Quiz 12: Product and Service Strategies
When a consumer gets committed to a brand and makes repeated purchases over time, it is known as brand loyalty. The three stages used by marketers to measure brand loyalty are as follows: • Brand recognition refers to the phenomenon where customers are able to identify a brand through its attributes. • Brand preference shows the preference of brand by the customers. It indicates the position of brand in the mind of customers. • Brand insistence referred to a position when customers explicitly ask for their preferred brand and do not accept any alternative brand.
Evolution of food truck business: RC, a law school dropout was inspired to enroll in a culinary school. RC was passionate to serve healthy and tasty food to the public. KC started the business with a truck which served a mix of K and M cuisines. Along with another friend, RC started KBBQ which together generated $2million sales with an average tab of $13. The company has won various awards for the service provided. The company now operates four trucks in LA. The factors involved in building KBBQ brand are as follows: • Initially, RC borrowed a truck from his friend and designed it as rolling warming kitchen. • KBBQ served a mix of M and K cuisines. • It operated in targeted neighborhoods, parks, and other niches. • The initial investment was low, so the enterprise broke even at the first two months. Measures taken to extend the brand are given below : • Once the business turned out to be profitable, RC operated with four trucks in LA. • Those trucks served as rolling warming kitchens that fit into empty niches and revitalized the street life. • RC further expanded by setting up sit-down restaurants in malls. RC did not spend more money on designing the restaurants. Instead, he focused on serving quality foods at an affordable price. Further expansion of the business will not affect the effort of RC, if he is focused and clear on what is to be done to achieve his aim of providing tasty and healthy foods to the public. Further expansion will only financially strengthen RC, supporting him to achieve it quickly.
M.T: M.T is the market leader in the toy industry. The firm first started manufacturing wooden products and soon moved into toys. The company manufactured several toys such as H wheels, B-girl toys, F.P toys, A.M girls' toys and more. Marketing strategy of M.T: The company initially launched dolls targeting little girls. Later, they developed applications, online games, and online shopping to attract older girls. The strategy worked out well as it kept on increasing the number of customers and sustained the old customers. It satisfied different age groups with a similar product. Hence, this is a good marketing strategy for M.T products. New product : W.D W.D is the market leader in cartoon production. They started from production of cartoon movies alone and expanded into D land village, which is now a huge tourist attraction. They followed similar strategies of M.T by attracting customers of all age groups. They have primary customers (kids) for cartoon network and sustained older customers for resorts and movies. W.D has also been successful in proving its marketing strategy as an efficient one.