Convenience stores enable marketers to satisfy the entire range of customers with different products and services within the one-stop shop. Marketing mix differentiation involves the provision of a marketing mix that is distinct and better than what competitors offer. It includes fine-tuning all the elements of the marketing mix to specific needs for satisfying a distinctive target market.
The process of differentiation in a convenience store can be ensured through product pricing, packaging, and features. However, differentiation within such stores is focused on services owing to the similarity in standardizea d product and low prices irrespective of the location. The service determines to a larger extent, the willingness of customers to switch from one place to another. Thus differentiation plays a key role in the building of relationships between brand and consumers (Hutt and Speh, 2002).
Describe the characteristics of products and services that would represent poor candidates for outsourcing
New products believed to be still strongly attached to the process of research and development as well as marketing present poor prospects in outsourcing. Also, products and services with new propriety information might not do well as products with established well-defined background presented at low margins.
At the same time, products and services with low labor content and lower percentage market share in rapidly developing economies represent poor outsourcing candidates. The other characteristic involves the products and services with critical aspect of Intellectual property protection, such products and services are recommended to stay within home boundaries for security purposes (Hutt and Speh, 2002).
Evaluate the statement: a brand is much more than a name, and branding is a strategy problem, not a naming problem
The process of naming new products, companies and acquisitions seems a regular activity done by marketers. The naming of a product, service or company has to fulfill some unique characteristics such as unique selling position of the product, definition of the company and at the same time capable of being identified with specific category. The name should also be capable of presenting the product in one linguistic meaning.
True meaning of a brand originates from the knowledge about the brand and the process of evolution it undergoes within the market. Meaningful name is obtained from many elements working in concert with words; these elements include color, symbol, and logotype as well as word structure used. Such elements make a name appear to be more than mere description of a product to a brand with relevance, differentiation and at the same time exhibiting some level of personality (Hutt and Speh, 2002).
The success of a brand depends on the nature of the creation of the brand language which comprises various communication tools. The strategy of branding involves combination of verbal side and visual components. Brand evolution should aim at cutting through categories and multiple cultures hence transcending the differences and struggles presented by verbal communication (Hutt and Speh, 2002)..
Discuss BASF and their use of services to build a strong brand. What type of strategies do they use and how does this reflect a positioning strategy?
BASF is a company dealing with the production and sale of chemicals. They utilize the use of the strategy referred to as ‘we create chemistry’. The brand of BASF is considered a corporate brand since it represents select and consistent quality of the company’s products. Their services have for many years presented consumers with quality signals hence making the consumers comfortable buying their products owing to easier means of disposal provided alongside the chemicals.
The company has utilized the use of images people create in their heads to develop the consistent quality of products as well as the improved appearances. This has enabled the creation of trust amongst the target groups making the consumers to easily identify themselves with the company’s products and services (Hutt and Speh, 2002).
Hutt, M. D. & Speh, T.W (2002). Business Marketing Management: B2B. (10th Edition). Thomson Learning: South-Western