The Buyer Decision Process for New Products

“We have looked at the stages buyers go through in trying to satisfy a need. Buyers may pass quickly or slowly through these stages, and some of the stages may even be reversed. Much depends on the nature of the buyer, the product, and the buying situation.

Stages in the Adoption Process
Consumers go through five stages in the process of adopting a new product:
• Awareness: The consumer becomes aware of the new product, but lacks information about it.
• Interest: The consumer seeks information about the new product.
• Evaluation: The consumer considers whether trying the new product makes sense.
• Trial: The consumer tries the new product on a small scale to improve his or her estimate of its value.
• Adoption: The consumer decides to make full and regular use of the new product.

(Armstrong & Kotler – Marketing 9e Ch.5 pg.149)”

Introducing a new product is always a huge risk, that is why if market carefully and execute the plan in precision will only increase your chances of your product staying alive to see the next quarterly income. With the plan I created, hopefully it will create the awareness, the interest, and evaluation that once Kettle V. comes out that people must have to try it. And of course of the great taste of Kettle V. and the fact that it is something new and exciting that people will hopefully decide to continue drinking Kettle V.

Concentrated Marketing

“Using a concentrated marketing (or niche marketing) strategy, instead of going after a small share of a large market, the firm goes after a large share of one or few smaller segments or niches. (Armstrong & Kotler – Marketing 9e Ch.6 pg.179)”

As stated before Kettle V. is going after the trend setters and leaders who go with their own flow. That is why we are targeting the sexy people who go out at night to nightclubs and trendy restaurants and also the sophisticated that do elaborate dinner parties and attend art galleries and book readings. These are the types of people we want to be drinking Kettle V.

More for the Same

“Companies can attack a competitor’s more-for-more positioning by introducing a brand offering comparable quality but at lower price. For example, Toyota introduced its Lexus line with a “more-for-the-same” value proposition versus Mercedes and BMW. Its first ad headline read: “Perhaps the first time in history that trading in a $72,000 car for a $36,000 car could be considered trading up.” It communicated the high quality of its new Lexus through rave reviews in car magazines and through a widely distributed videotape showing side-by-side comparisons of Lexus and Mercedes automobiles. (Armstrong & Kotler – Marketing 9e Ch.6 pg.191)”

Our target audiences aren’t millionaires, but they do have money to spend, and they want to spend it on high quality items rather than the price of the item. Pretty much all vodkas are the same, the only thing that is really different is where it’s from, how many times has it been distilled, and the packaging. Kettle V. is a high end product for a reasonable price at $35.99 for a 70cl bottle.

Specialty Products

“Specialty products are consumer products and services with unique characteristics or brand identification for which a significant group of buyers is willing to make a special purchase effort. Examples include specific brands of cars, high-priced photographic equipment, designer clothes, and the series of medical and legal specialists. (Armstrong & Kotler – Marketing 9e Ch.7 pg.201)”

I want Kettle V. to be an event when drinking it. That is why it is package the way it is and that it is unique from other vodkas. It is specialty vodka for special events.

Product Style and Design

“Another way to add customer value is through distinctive product style and design. Design is a larger concept than style. Style simply describes the appearance of a product. Styles can be eye-catching or yawn producing. A sensational style ay grab attention and produce pleasing aesthetics, but it does not necessarily make the product perform better. Unlike style, design is more than skin deep-it goes to the very heart of a product. Good design contributes to a product’s usefulness as well as to its look. (Armstrong & Kotler – Marketing 9e Ch.7 pg.205)”



They style of Kettle V. is sexy and unique at the same time. Shape like a tea kettle but still sexy like a vodka bottle. But the design of it, with its easy pouring spout and unique handle really separates it from other vodkas and is in a class on its own.

Commercialization

“Test marketing gives management the information needed to make a final decision about whether to launch the new product. If the company goes ahead with commercialization-introducing the new product into the market-it will face high costs. The company may need to build or rent a manufacturing facility. And, in the case of a major new customer packaged good, it may spend hundreds of millions of dollars for advertising, sales promotion, and other marketing efforts in the first year. (Armstrong & Kotler – Marketing 9e Ch.8 pg.241)”

Kettle V. is going to be local to Las Vegas only and if successful will branch of to newer markets like L.A. and New York. I know I described the marketing plan like a big budget movie but really it more of an independent movie. I want to slowly grow Kettle V. and introducing it into a market like Las Vegas is going to show if Kettle V. is really going to be successful or not.

Product Life-Cycle Strategies

“After launching the new product, management wants the product to enjoy a long and happy life. Although it does not expect the product to sell forever, the company wants to earn a decent profit to cover all the effort and risk that went into launching it. Management is aware that each product will have a life cycle, although its exact shape and length is not known in advance.

Typical Product Life Cycle
1. Product Development – begins when the company finds and develops a new-product idea. During product development, sales are zero and the company’s investment cost mount.
2. Introduction – is a period of slow growth as the product is introduced in the market. Profits are nonexistent in this stage because of the heavy expenses of product introduction.
3. Growth – is a period of rapid market acceptance and increasing profits.
4. Maturity – is a period of slowdown in sales growth because the product has achieved acceptance by most potential buyers. Profits level off or decline because of increases marketing outlays to defend the product against competition.
5. Decline – is the period when sales fall off and profits drop.

(Armstrong & Kotler – Marketing 9e Ch.8 pg.246)”

Our main goal for Kettle V. is to by a style and not a fad. We will always re-invent Kettle V. and create more unique marketing plans whenever Kettle V. starts to stumble. If successful, I would like to expand Kettle V. into other unique tea/vodkas and eventually into fruit flavor vodkas. But for right now, all I want is a successful intro into the vodka market for Kettle V.