Industry Studies

Make, Take and Sell Challenge: Bringing it all together

Topic Number: 8

We are now getting very close to the final presentations where you will have the opportunity to present your work in front of a judging panel.

In this workshop, you will have the opportunity to bring your strategy together and work out the final parts to your presentation.

We will re-cap a number of the key concepts to ensure you have covered everything you need.

Overview

Learning outcomes for these workshops

• Be able to amalgamate a host of concepts into a concise presentation

• Develop a structured approach to illustrating a strategy

• Present the key elements of your strategy to your peers

• Get constructive feedback to be able to make amendments where required

Want to know what its like to be a…CEO

COOCMO

…at the same time? Here’s your chance!

Making a product

that resonates

with consumer

Above this understand your consumers…

How do you want to influence this?

Manufacture a product that meets a need…

…better than anybody else

Where to source

your raw materials

from?

A three point plan to identifying raw material suppliers

Analyse the

situation

Supplier Evaluation

1

2

3

Identify Opportunities

Identify Opportunities: What do you need?

Opportunities are usually triggered by a business requirement for a product or service.

Material Requirements Service Requirements

Equipment

Components

Raw materials

Computer programmers

Transportation services

Maintenance service

What manufacturing model do you

deploy?

So you know what you want to produce… lets understand how to produce it… consider three routes…

Outsource

Insource

Outsource &

Insource

1

2

3

Adopts to consider: A DLG Example

Source: McIvor (2008)

Where to manufacture? Home vs host

country

Considering risk and reward

Home Country Host Country

• Less upfront cost

• Less risky

• Less restrictions

However…

• May not make to local spec

• Tariffs & duties to be paid

• Issues in logistics

• Less logistical issues

• More tailored to needs

• Speed to market

However…

• Set up costs/investment

• Adhere to local regimes/requirements

• Not easy to pull out

What distribution strategies can you

use?

2 models to consider…

Hub and Spoke Point to Point

Tracking & packaging

your product

Issues with inventory

Late shipments

Breakage Theft

Two key areas to solve these issues…

RFID Technology

Packaging

Pricing your

product

Different Pricing Approaches

Today we will consider 3 strategies…

Cost-based Pricing

Value-based Pricing

Psychological Pricing

Communication

Plan

Brand Response

Direct Response

Salience Differentiation Bond/Loyalty

Keeps the brand from of mind for

when a need occurs e.g. When I run out of soap I will choose Dove

Ensuring the brand is differentiated

from its competitors e.g. I can identify the

brand the second I see the ad

Creates relevant and loyalty to the

brand e.g. If I want bake beans its got

to be Heinz

Motivation Identifies Need Call to Action

It motivates me to take action

immediately e.g. I have been putting it off but ill do it

now

Jogs your memory that its something you need or need

to do e.g. my insurance is up for

renewal

Clear concise message of what

the consumer needs to do e.g. call us now on…

* What is a compelling communication?

Background

What is the big picture?What are the key trends

in the marketplace?Any challenges or

opportunities in the market?

For example: In March 2014 c5 million will be coming to renew

their ISA we believe people are looking for an account that values their

loyalty so they do not need to keep changing each year our product

does just that.

Objectives

Concise statement of the effect the ad should have one consumers. Consider

think, feel and do.

Refer back to the brand & direct response

objectives.

For example:We would like consumers to feel like they can trust us with their savings for the long-term, making them feel more secure with us and increasing sales of our account by

20%

* What is in the brief?

Target Audience

Some up both the demographic and

attitudinal audiences you would like to talk to with

this communication

For example:

Young professionals that are highly mobile, have a high need for security and are financially savvy that

they are continually looking for the best rate

Consumer Insight

Sum up what is driving you to believe that there

is a gap in the consumer/market for your

offering

For example:

Consumers feel let down that banks constantly

offer new customer higher rates rather than

rewarding existing customers for their loyalty

* What is in the brief?

Single most important message

If only one message was communicated what

would it be?

This is the most important thing consumers should

know

For example:

Trust us to look after your savings over the long

term and we will never be beaten on rate

Reasons they will believe

Proof points or features that validate the message

For example:

We constantly check the market and up our rates if

someone is offering a higher rate

We send you a daily statement with market

rates so you can compare

* What is in the brief?

Budget & Timing

How much can we spend on media and creative?

When does the campaign go live?

For example:

National Campaign Budget

Media - £950,000Production- £1,000,000

1st January 2015

Channel Considerations

Indicate what media lines would be preferred for

this campaign using the ATL/BTL

For example:

ATL: TV, Billboards and Web banners

BTL: Direct mail and social

* What is in the brief?

Any questions?

End of Workshop

Note: This recording is for your personal use only and not for further distribution or wider review.

© Pearson College 2013