Business Bsbmkg413A Project Essay

1844 Words8 Pages
Providing information, consumers and organisational buyers often want specific information about complex product construction, ingredients and uses to help reduce the perceived risk in buying such products. Marketers must provide informative ads about the firm, product warranty and services. Informative ads, brochures, folders and store demonstrations also help inform target customers about changes in products. Organisations need to explain their actions to people who believe those actions affect them. Failure to do this can lead to misinterpretation, distrust. Promotion is used to induce people to try products. The aim is to motivate rather than inform target markets. Getting action rather than awareness often requires different promotional appeals. Some types of direct marketing, coupons, reduced prices, samples, and contests are examples of efforts that can help get people to make trail purchases. Every year many firms go out of business simply because their target segment (customers) never hears about them or what they have to offer. Product awareness also plays a major role in distribution strategy. Wholesalers, for example, are unwilling to stock products that are unknown to consumers and retailers. Supermarket chains generally refuse to stock a new product unless the producer backs it with a big promotion budget. According to one expert, approximately 90 percent of new products are withdrawn from the market within two to three years. “In most cases, failures were the result of a lack of product recognition. Many promotion activities are undertaken to provide information. Consumers and organisational buyers often want specific information about complex product construction, ingredients, and uses-to help reduce the perceived risk in buying such products. Marketers must provide informative ads about the firm, product warranty, and service

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