Product
In our era of constantly changing technologies, it is very important to monitor the current situation in the world thoroughly (Kumar 519). New Technologies Corp. is ready to launch an absolutely unique product – a heated towel rail with a built-in ultraviolet light sensor for towel disinfection and a timer under the draft title “Easydisi”. Ultraviolet effectively destroys various microorganisms, including viruses, bacteria, spores and fungi (Markham and Barton 5). In turn, the timer will let the consumer not only turn a towel rail on manually or keep it on standby 24/7, but also use the timer for turning it on and off at a concrete period of time.
Target Audience and Its Consumption Ability
Identifying the target market is an important step before launching a new product. As the current situation with COVID-19 shows, “Easydisi” has a high chance of success, as demand for such category of goods has increased significantly. After the horror experienced, people will do their best to protect themselves as much as possible from any kind of bacteria in order to prevent a pandemic relapse. Therefore, the product demand forecast is positive, as the desire to protect oneself and the loved ones surpasses the actual consumption ability of population.
Another potential success component is an almost limitless target market. In 2019, before the pandemic, it most possibly would have been limited to several target categories, like medical institutions, beauty care industry like beauty shops, wellness and spa, solariums, sports clubs, and private kindergartens. Now this product will interest not only large organizations, but also a single consumer. Thus, it gives New Technologies Corp. to cover both B2B and B2C markets.
Price Determination
There will be several strategies affecting price determination of “Easydisi”. First of all, the company focuses on product affordability for the end consumer. As there are no equal products on the world market as of now, the price can be reasonably high. In case with medical institutions, “proven clinical benefits must translate into financial savings for the hospital and the healthcare system” (Kerr and Recupero 5). Nevertheless, it should still be affordable for an average consumer for him to give preference to “Easydisi” instead of more familiar and affordable products. Therefore, it is obvious that the company will give preference to the short distribution channels.
Short SWOT Analysis
Strengths
At the moment, there is a free niche in the market relatively to such kind of product. Modern people are trying to keep up with the times and, therefore, they are interested in acquiring a completely new product. If the consumers are satisfied with its quality, they will contribute to the products marketing strategy with one of the most powerful tools of marketing – so-called “word of mouth”. The companys product is absolutely new, thus, at first, the target audience will be very wide (Sarsby 22). Moreover, the company already has a good reputation and the established trust of consumers.
Weaknesses
The product is new, therefore, no customers have already tried or tested it. Thus, it is difficult to give real demand accurate forecasts (Araman and Caldentey 1). Moreover, one of the internal weaknesses of New Technology Corp. is keeping up the employment rates in terms of economic instability due to the virus.
Opportunities
The main opportunity is that this niche in the market is still completely free. There is no such invention at the moment, thus, the opportunity of “Easydisi” to be successful is rather high. The need in such kind of product is currently unsatisfied, as identified during a thorough pre-launching research of the market, therefore, there is every reason to predict the demand for this product.
Threats
The main threat to the originality of “Easydisi” is the possibility of competitors inventing a similar or very similar product in the nearest future. The consumption ability of the companys target audience is at risk of inflation and economic decline in light of recent virus events. Thus, the rate of disposable income of the target audience will directly affect the demand for “Easydisi”.
Marketing Environment
The company has conducted the marketing environmental analysis including micro- and macro-environmental factors. The macro-environment, as described before, is now positive for such kind of product, as people are protecting themselves regardless their beliefs, lifestyles, socio-economic class, attitudes and values. Micro-environmental factors include suppliers, distributors, consumers (mentioned above), and competitors (Kampira 29). All these factors influence the companys ability to provide the correct service to the targeted market.
Within the first several months after the products launch, it is very important to make sure that “Easydisi” is available everywhere possible to gain a foothold in its market niche. New Technologies Corp. has its own production facilities, therefore, the question will be in a timely supply of the raw materials. Thus, it is critical to control the suppliers for the manufacturing and conclude the supply contracts only with the reputable companies (Stamatis 36).
The major factor which can negatively affect the business is competitors. As the launched product is absolutely unique and new, the company should be ready for multiple attempts of its competitors to copy “Easydisi”, using the materials of low quality. Thus, this may lead to price dumping in potential markets. Besides, they may add some features to the product to make it more functional. Therefore, a constant monitoring and a market research of the current situation will be essential.
Works Cited
Araman, Victor, and Rene Caldentey. “Crowdvoting the Time of New Product Introduction.” SSRN, 2016. Working paper. Web.
Kampira, Abisha. Feasibility Studies: New Product Development and Launch. Afregarde Strategies Pvt., 2018.
Kerr, Nikolas, and Tony Recupero. Product Launch: Practical Guide to Launching Medical Device Products. Kerr Consulting Group LLC, 2015.
Kumar, Vijay, et al. “New Product Launching with Pricing, Free Replacement, Rework and Warranty Policies Via Genetic Algorithmic Approach.” Atlantic Press, vol. 12, no. 2, 2019, pp. 519-529. Web.
Markham, Ronald, and Matthew Barton. “Humidifier with Ultraviolet Disinfection.” Google Patents, 2017. Web.
Sarsby, Alan. SWOT Analysis. Leadership Library, 2016.
Stamatis, Dean H. Quality Assurance: Methodologies for Launching New Products, Services and Customers Satisfaction. Taylor & Francis Group, 2018.