Getting Your Product onto Retail Shelves ( Article About Prodct)
In the article, ‘Getting Your Product onto Retail Shelves’ Eilene Zimmerman has described that the businesses are manufacturing their products by keeping into consideration the retail stores and winning the shelves such as the shelves of Target and Wal-Marts. The article explains an example of the president of Garlic Gold, named Brian Chossek, who succeeded in finding the shelf of Gelson that is currently a chain of 18 stores. Mr. Chossek has convinced a buyer for the in-store demonstration in order to sell its product, i.e., toasted organic garlic nuggets. Because of the unique features of the product, the product was on the shelves of every Gelson store within 6 months.
The retailer always put those products on their shelves that the customers are willing to buy, and the customers always want to know the distinguishing features of the product that differentiate it from the rest of the products. Furthermore, the author has also explained that in order to explain the unique features of the product the companies provide free samples to the retailers so that they can be given to the customers in order to know about the product, the quality, features, and the benefits associated with the product.
Furthermore, the author explains that the retailers consider the choice of customers while taking the product from the companies, and they will not accept the product that is not meeting the market demand and fulfilling the needs and requirements of the customer. So, the retailers and the businesses always try to listen to the customers. It is explained with the help of an example that Jill Cartwright has considered the market demand, competition, feedback from the buyers and retailers while developing the ergonomic bag of diapers. She considered all these in order to know that her product contains those features that are demanded, whether the price of product is affordable, and the product features are according to the requirement of customers.
The Dirty Secret of Black Friday 'Discounts' (Article About Price)
In the article ‘The Dirty Secret of Black Friday 'Discounts', Suzanne Kapner has described that the pricing strategy of the retail stores, which they are using in order to attract the customers. They are just providing the discounts in order to draw the customers into the stores, but as a matter of fact the veterans of the retail industry have acknowledged that in several cases such bargains will be a carefully designed illusion. It is generally considered that the retailers amass the products and then afterwards decrease the price of those products that do not sell in order to take a hit to the revenues and profits.
However, big retailers follow a strategy of working backward along with their suppliers in order to set the starting prices, with a view that the mark-downs will help in creating the profit margins that they want. Furthermore, the designed nature if the discount prices of the products raises many questions about the promotional activities. Furthermore, despite of the discounts the gross margin, which is the difference between what is actually paid for the product and the price at which it is actually sold remain flat at about 27.9%. This is because the product price plays an important role in its sale; the success of the product is only possible when an affordable price of the product is offered to the customers. Here the retailers are just considering their own benefits, discount price is offered to the customers on those products that are not meeting their demand.
Furthermore, another failure can result in the sale of the product if the deals are planned, in a way that they are profitable by adjusting the prices of the products above their expected price. Further, there is a high-low pricing strategy that is designed in order to lure the shoppers and for creating excitement in them by decreasing the price of the product for the purpose of occasional sales. Most of the retailers become successful in selling the product with this pricing strategy.
Target Tries to Find Its Place in the Big City (Article about Place)
In the article, ‘Target Tries to Find Its Place in the Big City’, Susan Berfield has indicated a fact that finding a right location of the product in the down-town areas is difficult and challenging as compared to the wider areas. The merchandise has to be chosen very carefully in order to fit in the smaller places. Considering this fact, an example is explained by the author in the article, the author describes about Target Company that has established itself well in the small areas, and now finding its way towards the big cities.
Previously in order to remain successful the company has build the stores in only a few cities, and then it has researched about the fact what is working, and what is useful for them, and they remain successful. The company is now planning to convince the shoppers for more frequent visits and encouraging them for spending more. Furthermore, the cheap chic cachet of Target will help the company to fit naturally in any of the big county. But, target takes cautions before taking any action. Furthermore, the company besides taking care in the location of also pays attention to the location of product within the store so that more and more products attract the attention of customers.
Penney to Tweak Message, but Not Its Strategy (Article about Promotion)
In the article, ‘Penney to Tweak Message, but Not Its Strategy’, Dana Mattioli, has described about the importance of the promotional strategy. The author has described that promotional and marketing strategies plays an important role in the success of the product and ultimately to the success of company. The author explains that the company is deciding to refurbish the marketing strategy of the company as it failed to attract the customers, but the chief executive of the company is not in the favor of modifying the marketing and promotional strategy, instead he is emphasizing on the low pricing strategy.
Furthermore, it is necessary that the promotional strategy should be such that it is consistent with the pricing strategy, and the President of the company has indicated the fact the company’s promotional strategy is not inconsistent with the pricing strategy of the company that is resulting in lowering the sales of the company. This article is an indicative of the fact the promotional strategy also play a significant role in the success of the product and company along with the pricing strategy, so the companies should take this fat into consideration that they should design the promotional strategy in a way that the pricing strategy is also impacted in a positive way.
References
Zimmerman, Eilene. "Getting Your Product onto Retail Shelves." The New York Times : n. pag. Web.
http://www.nytimes.com/2010/10/21/business/smallbusiness/21sbiz.html?_r=0
Kapner, Suzanne . "The Dirty Secret of Black Friday 'Discounts'." The Wall Street Journal: n. pag. Web.
http://online.wsj.com/news/articles/SB10001424052702304281004579217863262940166#
Berfield, Susan . "Target Tries to Find Its Place in the Big City." Bloomsberg Businessweek: n. pag. Web.
http://www.businessweek.com/articles/2014-01-09/target-other-big-box-retailers-find-city-stores-can-be-a-challenge
Mattioli, Dana. “Penney to Tweak Message, but Not Its Strategy.” The Wall Street Journal: n. Pag. Web.
http://online.wsj.com/news/articles/SB10001424052702303703004577476830407027186
