Brand repositioning.

Philips.

It is a global company, so it has quite a lot of customers and requires global qualitative researches. Qualitative research implies working with small focus groups that included Philips' consumers and professionals (trade and opinion leaders, for example: hospital surgeons who use its scanning equipment). Furthermore, this research helps to find out a huge amount of detailed information e.g. current perceptions of the company and its products, the types of new products and the image that consumers would like to see Philips develop. As a tool of this research questionnaires and surveys are used to statistical analysis. 

The results contained the following points:

• the customers suppose that they can "rely on Philip's products"
• these products "make life better"

Then the research showed that people want and need simple products. It extends to consumers in Healthcare, Lifestyle or enabling Technologies. Moreover, there is only one company called Apple that is very close to "sense and simplicity" and that has limited product variety. 

An analysis revealed such minuses as not following the innovations and not having a sense of direction as competitors do.

Philips' new brand positioning intends more comfortable and more straightforward relationship with technology and with Philips, but inspire of customers' wishes the Technology Revolution does not  make our lives easier, simpler and better. On the contrary, it makes things more complex. 

Philips' new position 'sense and simplicity' is based on three foundations:

1. 'Products are designed around you'.
2. 'Products are easy to experience'.
3. 'Products are advanced'.

Philips is becoming more popular on the market because of the needs of the customer. Advertising campaigns designed to communicate its repositioning exercise focused on a core target group, consisting of the 20% of rich people from 35 to 55 doing 80% of the buying. The company started to use new language - fresher, cleaner, more human.  Every advertisement and insert that is used in the campaign tells part of a story. One advertisement reinforces another, so for example multiple insertions are used in consecutive TV commercial breaks.

http://www.youtube.com/watch?feature=player_detailpage&v=6M1jS8BWIuE

http://www.youtube.com/watch?feature=player_detailpage&v=-JM7CvGAxnA

Philips has always been associated with value for money high-tech products. However, in the past it would have benefited from having a stronger brand image.

The new strategy helps the people to better understand Philips as a consumer focused organisation that is continually providing appropriate simple-to-use solutions for everyday needs through the application of the latest technology.

The source was used - http://businesscasestudies.co.uk/philips/brand-repositioning-and-communications/research.html#axzz2D4elUC76

Segmentation.

The Australian Tourism Commission (ATC) 

In these latter days Australia has become more popular holiday destination for UK travelers due to its variety such as city lifestyles, adventures. beaches, rain forests, and etc. It is also a result of cheap flights and the strength of pounds of sterling against the Australian dollar. Furthermore, the UK is the third largest source market for visitors to Australia behind Japan and New Zealand. Moreover, there are no language barriers for understanding each other. On the other hand, the international tourist industry is very competitive and Europeans willings to travel have many short, medium and long-lengthy destinations from which to choose. 

ATC was established in 1967 to promote Australia as an international tourism destination. ATC had two main goals: to increase the number of visitors to Australia from overseas and to maximise the benefits to Australia from overseas visitors. For achieving these objectives, ATC helps travellers to plan their trip to Australia through the provision of destination information and businesses to co-operate in mutually supportive tourist ventures, works with a range of partners to convert strong interest levels in visiting Australia into actual travel decisions. 

ATC has maximised the efficiency of its marketing efforts by breaking up the travel market into specific market segments, including:

• independent adventurers aged 25-34 (primary market)
• young independent travellers (YIT’s) aged 18-24 (secondary market)
• independent adventurers aged 45-65.

To understand better each segment, the exploration of the nature, attributes and appeal of their own products, the buying behaviour of their customers (length of stay, money to spend on travel) is using. 

For example, YIT’s are typically single students who make their own travel arrangements.  Many are on a ‘gap year’ and travel either on their own or with friends.  YIT’s see themselves as travellers seeking experiences rather than as tourists seeing sights opting for low-price products, including hostel accommodation, bus passes, sporting activities, adventure and an immersion in the "fun" Australian lifestyle and people. 

Australia is a good opportunity for individual experiences that the mass tourist destinations of the Mediterranean cannot provide.  Australia’s appeal is strongly driven by people’s perceptions of the open and outdoor lifestyle, as well as by its natural beauty and space. Younger travellers look for a sense of adventure and are attracted to the more challenging and active elements such as snorkeling, surfing, white water rafting and bungee jumping. 

ATC involves the following strategies to attack customers' attention:

• tour operators (eg STA, USIT, Trailfinders)
• airlines (eg Qantas and Singapore Airlines)
• other organisations that are seeking to tap into the Australian market based in the UK
• produces a couple of key consumer publications (the main tool for providing information to the consumer)
• the annual Travellers Guide and a consumer website, australia.com.
• participation in trade events
• providing regular newsletters for industry partners

The source was used - http://businesscasestudies.co.uk/australia/targeting-a-market-segment/introduction.html#axzz2CVO8EIRj

Ethics.

"McDonald's Legislation"

There are a lot of examples when companies' shareholders study their own interests instead instead of companies and its employees. In such cases ethical issues are caused. 

One of these instances can be McDonald's. Despite of it's global success, the public reacts negatively on the business ethics in its relationships with workers. In 1972 the founder of the company Ray Kroc made a donation of 250000$ to Nixon's reelection campaign. As a result the organization got auspicious conditions in legislation sphere. It allowed companies such as McDonald's Corporation to pay teenage employees 20 percent less rather than federal minimum wages.  Moreover, McDonald's doesn't permit staff to unionize. There was an incident where workers in St. Hubert Quebec formed a union and following which the unit was closed down at once. Between 1986 and 1990, activists of London Greenpeace distributed pamphlets with the title “What's Wrong with McDonald's? Everything They Don't Want You to Know” and the wordings “McDollars, McGreedy, McCancer, McMurder, McProfits, McGarbage,” asserting that McDonald's promoted Third World poverty, sold unhealthy food, exploited workers and children, tortured animals, and destroyed the Amazon rain forest. McDonald's sued for libel, but the court found the organization guilty. 

The source was used: http://www.brighthub.com/office/entrepreneurs/articles/115557.aspx

Me as a buyer

When i go shopping i usually pay attention to the package — it catches my eye, i look at it. Then whether its a grocery store or a fashion store I look at the quality of the product — what is the material, what is the consistency of the product. Organic food is usually more expensive, but some products are worth getting from organic sections especially if one is allergic. There are some things that are specific for fashion stores — they have to be bright, and eye-catching. If the store is gloomy, the customer service is dead and it smells like cheap product, it gets to you.
My parents are not much different from me, but most of the time they purchase things they know from companies they trust though. Quality is the most important thing in their marathon of life, since they are older and are more experienced. Younger generation is more open to try out new and colourful package. That is why there are different targets on the market starting from the location of the store ending with the package as all these things influence the decision making.

What affects marketing?

There are several factors that can affect marketing. First of all, demographic and population trends and shifts influence on a market. Moreover, it impacts not only on it, but on society in general. Different generations prefer different products. Population trends also could be caused by racial and ethic changes. New culture balance provokes new ideas and values. To purchase products customers should have money. So, consumers' income, inflation and recession are also very important here. In addition, there are some influences that can discribe the world in general. For example, technology innovations that have great effect in customers' lives and businesses cycles. In addition, competitors stimulate each others to develop their companies to be better, not to lose a market share and to get a better profit. In the long run though none can exist for a long period of time without knowledge of government regulations, laws and rules.

Customer-oriented marketing

Customer-orinted marketing is one of the marketing's strategy but it is more detailed and accurate than all the other strategies. Orientation on customers' needs is the key point for the success of marketing activity. To determine clients' preferances marketing research is used. It helps to satisfy customers who can possibly repeat the purchase. It also requires managers to analyze and select the necessary information through the whole data base and determine the most important market segments for a given product. These knowledge identifies the trends that are occulting in the whole market. 

Marketing mix is one of the most important concepts in this strategy. It includes such elements as price, place, promotion and product; it is called 4P model. 

Product component contains: product line, shape, design, size, colour, quality, packaging, labeling, branding. It also involves product planning and developing. Customers choose a product according to it's features and attributes. A consumer takes into account the total package of benefits available from the product and makes a decision to purchase it. To influence them to do it, attacking customers is being made by labeling the product, its' variety, innovations, guarantees, and etc.

The place is the goods' distribution. That means delivery at the right place and the right time. It includes channels of distribution, transportation, warehousing, inventory.

Promotion is an activity that let's customers know about the product. It is affecting the public through advertising, personal selling, sales promotion, PR-techniques. 

Price is the component that is mentioned by customers first of all. This part develops such areas as pricing and discount policies, payment strategies, delivery terms, and others. Price of a product should cover the expenses for it at least to "pay" for the creation of this product, but it also tries to make a profit. The price should also be low that stimulate customers to buy a product. Moreover, pricing is used in the market competition.

An example of the customer-oriented companies could be Lindström company that provides hire out services. One basically rents a store/place/building but it is oriented on working clothes, hiring and mat's changing. http://www.lindstromgroup.com/en-GB/company/

The source was used: http://kalyan-city.blogspot.fi/2010/05/marketing-marketing-mix-4-ps-of.html

Marketing effects

Positive effects:

• Price competition
• Comparative information
• Service's and product's understanding by customers
• Attractions of customers
• Keeping customers
• Analyzing customers' needs
• Customers' satisfaction
• Positive attitudes towards the products
• Company's communications
• Amount of sales
• Consumers' and corporate's expectations
• Brand building
• Image
• Name recognition
• Phone calls, feedbacks 
• Frequency of purchasing
• Advertising efficiency

Negative effects:

• Lack of free choice
• Influence on subconsciousness
• Ascendancy in children
• Ethical disagreements in different countries, nations, cultures.

Successful firms and activities.

What is a successful firm? It is a business where actions (sales production or service) within a period of time are crowned with a success of reaching a goal, and it could be expressed as good financial income.

Activities:

- Huge amount of sales

- Focus on new markets

- Use new technologies

- Improve own existing technologies

- Use innovative-driven products

- Develop customer relationships and trust

- Increase target group

- Price leadership

- Product variety 

- Name recognition, brandbuilding

- Competitive advantages

- Try to be unique

Pros&Con of marketing

Pros.

Marketing helps:

• To know about products' existing.
• To make a choice for a good.
• To be better that competitors.
• To present advantages of a product.
• To find new customers.
• To develop customers' relationships.
• To increase income and sales.
• To build brand.
• To share a market and increase its' part.
• To communicate with suppliers, customers, competitors, etc (with the whole world).

Con.

• Marketing is one of the biggest expenses of a company.
• Marketing is flexible activity. Customers' needs and preferences change and marketing strategy should be modified, too.
• Clients can make a wrong decision due to marketing activities. For instance, it promotes goods with bad quality.
• It is a barrier for new companies to come into a market if other organizations have money for marketing activities.
• Government policies should be known in every country where marketing strategies might be used.

Market-driven business examples

What is a product? It is a result of a labour process. It is something offered and could satisfy customers' needs. The development of new products is based on a product orientation or a marketing orientation. The first one means the concentration on good's producing, characteristics, etc. The last one learns customers' wants and preferences. 

One of the examples of market driven company can be Home Depot organization. It is a U.S. retail chain which is the largest in the world for the sale of the tools for repairing and building materials. The Home Deport is the third largest retailer in the world after U.S. Wal-Malt and the French chain Carrefour. The strategy of Home Deport company was to provide the customer value through the customer service. The company offers a four-week education program for customers who want to make do-it-themselves goods. Moreover, customers' value increases when the organization always update its' stores. The brand-name products can not be found anywhere else. For doing it, many contracts are signed with the suppliers.

The paragraph was written according to Bill Barrett's article, http://www.wdbarrett.com/pdfs/marketdrivenorg.pdf.

Some more exactly instances could be found on the link below: http://ru.scribd.com/doc/59816825/Examples-of-Market-Drivers-and-Market-Driven-Companiesz