Brand Name Definition: A trade name used by an enterprise to name their products or services. The brand name of this product Is swap, which stands for smart watch and Phone. 3. The customers The customers would be: People Interested In technology Business Minded People People who want more features on their watch for a lower price Would Ilke a fashionable watch People who Ilke a conversation starter Want a phone as well as a watch Do not want to pay a EIOOO for a watch 4. Importance of Customers The customers are very Important to the business because if they dont buy the product not many others will.
They are also important because if they recommend the product, they will get more customers and public awareness. With customer feedback they will find out new ways to develop their product and if customers are pleased with the product. 5. Customer Satisfaction Customer satisfaction, a business term, is a measure of how products and services supplied by a company meet or surpass customer expectation. It is important to maintain a high customer satisfaction as it enables a higher number of sales leading to profit.
Keeping in contact with the customers is key to identify what the typical consumer thinks of your product. They can provide you with tips and assistance to develop your product even more. swap watches have listed a host of emails on their website allowing the consumer to contact them with enquiries and tips. They also provide an address and telephone number on their website to contact them In other alternative ways. 6. The Marketing MIX Definition: “The combination of factors which help a business sell their product/servlce (GCSE Edexcel Business Studies textbook) 7.
Product Product : A material object or an Intangible service that Is mass produced If the customers are pleased with the product and recommend It the company can harge a higher price for their product Furthermore, If the product Is of a high quality, they can charge a higher price. 8. Product 9. Place Place (Distribution channel )” Place represents the location where a product can be purchased. It can include any physical store as well as virtual stores on the Internet, 10. 11. Pricing Pricing- The amount of money customers have to give up to acquire a product.
The price of a product must reflect the value that customers place on the product. The price must be hgh but reasonable so that the product reflects for what the customers are prepared to pay for this quality. Price, quality and how customers perceive the product are all interlinked. It is also important that you conduct research to identify the suitable price for the product. In this case, I believe that the watches are worth their price because of the many uses of it providing all the specifications are true. There are many factors that can affect the price these are called pricing strategies.
These options Include cost-plus, competition, penetration, skimming and promotional. Cost-plus Is when d business adds plans how much profit they want and add It on to the actual price. This also Includes added value. This Is effective as it ensures that a profit Is made and shows that the business have planned out financial objectives. Sometimes this can mean the price is too high lea01ng to tne consumer not Duylng tne product. competltlon Is wnen a Duslness charges a similar price to the price what competitors offer. An advantage of this is that the price will be competitive but the price you sell the product at may not be profitable.
Penetration is when a business starts with a lower price to attract customers and then gradually increase. An advantage is that it encourages people to uy but on the other hand this may not be profitable and cannot last long. Once the price is high again there is a possibility of a rapid decrease in sales. Skimming is when a business starts with a high price as it is unique. This allows extra profits to be made which can be paid towards start up costs. But the price has to be reduced if there is competition. Promotional is when there is a special price for a planned limited time.
This is useful to get rid of old stock but it is also useful for new but reduces the profit received from sales. It is only useful for a limited time. I would uggest cost-plus or skimming, because I think these will provide reasonable prices for the watches and will attract customers to buy the product. Cost-plus is effective especially if you keep it at a low percentage profit. It is effective because a profit is definitely on the cards and charges the customers close to the manufacturing costs enabling more customer satisfaction. Skimming, the better of the two selected, is effective as it is vastly unique.