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Marketing Strategies for Bicycle Firm

The document discusses different marketing orientation philosophies that a newly formed bicycle manufacturing firm could adopt. James suggests a product concept focusing on innovative technology. Julie recommends a production concept with low prices for mass market appeal. John thinks a sales/promotion concept using celebrity endorsements could build a strong brand. Jane believes focus groups should determine customer needs and wants. Jenny argues a societal marketing concept could appeal to environmentalism and generate free publicity. The assistant believes the firm should follow a societal marketing concept to cater to current needs, focus on social responsibility, and sustain long-term success by providing value to customers and society.

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Anwesha Nath
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11 views3 pages

Marketing Strategies for Bicycle Firm

The document discusses different marketing orientation philosophies that a newly formed bicycle manufacturing firm could adopt. James suggests a product concept focusing on innovative technology. Julie recommends a production concept with low prices for mass market appeal. John thinks a sales/promotion concept using celebrity endorsements could build a strong brand. Jane believes focus groups should determine customer needs and wants. Jenny argues a societal marketing concept could appeal to environmentalism and generate free publicity. The assistant believes the firm should follow a societal marketing concept to cater to current needs, focus on social responsibility, and sustain long-term success by providing value to customers and society.

Uploaded by

Anwesha Nath
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd

Fashion Marketing

By: Anwesha Nath, Nancy Das and Santa Jocita Minj

EXERCISE 5

James:
As you all know, I’ve been a keen cyclist for many years. And I think that there’s a real
opportunity for innovative state-of-the-art bikes. There’s always someone out there who
wants the latest gadget. We’ve all seen that in the entertainment market (with PlayStation
and iPod for instance). So I think that we can easily pick up on that trend in the bike market.

Julie:
Sure, that’s an option, but you’re talking about a pretty small market. I think that we should
go mass market. These days some kids own two or three bikes, or get a new one every year.
Success in that large market is simply price. If we make the bikes efficiently and sell them at
a low price – then the bikes will roll off the shelves as fast as we can make them.

John:
Yeah – maybe that will work. But today’s world is celebrity and brand crazy. For many kids
today, it’s all about image and status. So I think that we should get a high-profile celebrity to
endorse our product, and then get out there and really build a strong brand. This is a real
opportunity – I mean, you can list a dozen brands of cereal, but how many brands of bicycles
do you know?

Jane:
But do people really choose a bike based on the brand? Or do they choose a bike that really
suits them and has a good range of features. You know what I think – I think we should run
some focus groups with kids, teenagers, and young adults and find out what they really want
in a bike. Meeting customer needs is the key to success.
Jenny:
Well, of course, we should meet customer needs! But wouldn’t it be great if we could make a
difference to the environment as well. You know, encourage people to cycle (not drive)
whenever they can. And we could also generate a lot of free publicity by using this approach.

Based on an excerpt of a discussion provided to you from a manager’s meeting for a newly
formed firm that is setting up
as a manufacturer of bicycles. Essentially, they are discussing which marketing
orientation/philosophy they should adopt. Your task is to determine which
orientation/philosophy that you think would be the most appropriate approach for
this firm. Answer the following questions

QUESTIONS
1. Which marketing orientation/philosophy is each person essentially referring to? (Choose
from the list provided.)

James- Product Concept


Julie- Production Concept
John- Sales/Promotion Concept
Jane-Marketing Concept
Jenny- Societal Marketing Concept

2. Based on the information you have, which particular orientation do you think that the
firm should follow? Why?
I believe the firm should follow the Societal marketing concept as this particular
orientation is catering to the current need of bikes and focusing on the whole climate
control idea. The emphasis should be on social responsibility and to sustain in long term
success. This can happen when the company is providing value to the customers by
maintaining and improving both consumers and society’s well being. This would also help
the firm being better than its competitors in the long run.

3. Which orientation approach do you think is adopted by most large firms?


Well focusing just on one approach can make a firm lag in a lot of aspects. In this case a
large firm should follow the production concept as well as the marketing concept
together. This is because for a large firm mass productivity is essential but keeping other
factors of the market in mind is second to none. The firm is cost efficient and much
invested into research and development while satisfying its customers and gaining loyalty
points.
● Production Concept
● Product Concept
● Sales/Promotion Concept
● Marketing Concept
● Societal Marketing Concept

Common questions

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Jenny supports the societal marketing concept by suggesting the firm should promote cycling as environmentally friendly, integrating social responsibility with marketing strategy to create value beyond customer needs and contribute to societal well-being .

Balancing different marketing orientations helps a firm avoid limitations such as overlooking consumer needs (in a production focus) or neglecting cost efficiency (in a pure marketing focus), thus achieving comprehensive competitiveness by addressing efficiency, needs, and social responsibility concurrently .

James suggests focusing on state-of-the-art bikes, reflecting the product concept because he emphasizes innovation and the latest gadgets, akin to the strategy seen in other tech-driven markets like PlayStation and iPod .

John's proposal to use a high-profile celebrity for endorsement aligns with the sales promotion concept, implying that he believes strong branding and aggressive marketing are crucial for establishing market presence and attracting consumers through image and status .

Focusing on the societal marketing concept distinguishes a firm by promoting its commitment to sustainability and social responsibility, appealing to eco-conscious consumers and thereby establishing the firm as a leader in corporate social responsibility, setting it apart from competitors focused purely on profit metrics .

The societal marketing concept can ensure long-term success by aligning with the current market trend towards sustainability, thereby differentiating the firm in a competitive market by addressing both consumer and societal needs, fostering customer loyalty, and achieving better competitive positioning .

By understanding and meeting specific customer needs through tailored product features, firms can enhance brand loyalty as customers feel that products are catering specifically to their preferences, leading to increased satisfaction, repeat purchases, and positive word-of-mouth advocacy .

Jane argues for understanding customer preferences through focus groups, which relates to the marketing concept by stressing that meeting customer needs is key to success, emphasizing consumer satisfaction and tailoring products accordingly .

Large firms might adopt both production and marketing concepts to balance cost efficiency with responsiveness to market demands, thereby leveraging mass production capabilities while ensuring products meet customer expectations and maintaining competitive advantage through continual market adaptation .

Julie's suggestion to produce bikes efficiently at a low price for mass market aligns with the production concept, emphasizing economies of scale and cost-efficiency to drive sales volumes .

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