Positioning Victoria’s Secret-

What is Victoria’s Secret’s market position?a.Victoria Secret is the #1 lingerie retailer. They have created a trusted brand, known for
quality bras, underwear and lingerie. VS had many direct competitors including Hanes, Aerie by American Eagle, Maidenform, Vanit
y Fair and more. Victoria Secret’s mission is to deliver a best in class, captivating, branded customer experience built on loyalty. VS
is considered one of the most sexy glamourous stores in the world, using Supermodels to advertise, holdingup to the “best-in-
class” goal of its mission. They’ve build a loyal customer base using customer service and quality.

What are Victoria’s Secrets competitively valuable resources?

Victorias Secret has a sustained competitive advantage in its lingerie department. VS lingerie is of high value, it is costly to imitate a
nd rare in terms of quality and design. They have a temporary competitive advantage in advertising, with

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Value Propositions (in marketing) an innovation, service, or feature intended to make a company or product attractive to
customers.

Perdue chiken- Malambot at abot kaya

Dominos- Ihahatid sa bahay nyo withi 30mitues ng mainit sa murang halaga

Competitive Frame of Reference - In marketing, "frame of reference" is how a new product, service, or concept isseen by the
target market. ... These points can be used to communicate to their target audience why their product should appeal to them more,
and can highlight a competitive advantage in their offering.

Giving examples.

Defining Association

Points-of-difference (PODs)-

• Attributes or benefits consumers strongly associate with a brand, positively evaluate, and believe they could not find to the
same extent with a competitive brand

Points-of-parity

(POPs) - Associations that are not necessarily unique to the brand but may be shared with other brands

-for example is Mc. Do and jolibee – almost same menu same facilities similar in pricing, but in the quality of the ingridients and
menu flexibility are different

-An example of an association is thinking of milk when you think of cookies.

Category Membership Consumers categorize the product into a specific group and understand what the brand offers and what
makes it a superior competitive choice. For example, Consumers are aware that Lakme is a leading brand of cosmetics.

Konika he e-mini M can be used as a digital still camera and as a monitor-mounted ""computer cam."" In addition, it is designed
with an integrated MP3 player and audio recorder - making it a palm-sized, four-in-one entertainment solution.
Consumers can upload a picture, download a favorite song and create unforgettable digital files that can be sent anywhere via the
Internet.

Conveying Category Membership. Announcing category benefits. To assure consumers that a brand will deliver on the
fundamental reason for using a product. Comparing to exemplars.but hindi sila naging matagumpay pagdating don

 •Announcing category benefits• To assure consumers that a brand will deliver on the fundamental reason or importance
for using a product.
 Comparing to exemplars• Comparing with well known, to had widely perception and noteworthy or maging interesting
yung brands in a category.
 Relying on the product descriptor• Brand name is often conveying category origin.
There are three key consumer desirability criteria for PODs,

1. Relevance:
Target consumers must find the POD personally relevant and important. Example The Westin Stamford hotel in Singapore
advertised that it was the world’s tallest hotel, but a hotel height is not important to many tourists.
2. 2. Distinctiveness:
Target consumers must find the POD distinctive and superior. When entering a category where there are established
brands, the challenge is to find a viable basis for differentiation. Example Splenda sugar substitute overtook Equal and
Sweet Low to become the leader in its category in 2003 by differentiating itself on its authenticity as a product derived
from sugar, without any of the associated drawbacks.
3. 3. Believability:
Target consumers must find the POD believable and credible. A brand must offer a compelling reason for choosing it over
the other options. Mountain Dew may argue that it is more energizing than other soft drinks and support this claim by
noting that it has a higher level of caffeine.

There are three key deliverability criteria.

1. Feasibility: Does communicating the desired association involve real changes to the product itself, or just perceptual
ones as to how the consumer thinks of the product or brand? It is obviously easier to convince consumers of some fact
about the brand that they were unaware of and may have overlooked than to make changes in the product and convince
consumers of these changes.
2. 2. Communicability:
It is very difficult to create an association that is not consistent with existing consumer knowledge or that consumers, for
whatever reason, have trouble believing. Consumers must be given a compelling reason and understandable rationale as
to why the brand can deliver the desired benefits. What factual, verifiable evidence or proof pointscan be given as support
so that consumers will actually believe in the brand and its desired associations
3. Sustainability will depend on internal commitment and use of resources as well as external market forces. It is generally
easier for market leaders such as Gillette, Intel, and Microsoft, whose positioning is based in part on demonstrable
product performance, to sustain their positioning than for market leaders such as Gucci, Prada, and Hermes, whose
positioning is based on fashion and is thus subject to the whims of a more fickle market.

Examples of Negatively Correlated Attributes and Benefits

Addressing negatively correlated PODs and POPs

 Present separately
 Leverage equity of another entity
 Redefine the relationship

Differentiation Strategies

as the name suggests, is the strategythat aims to distinguish a product or service, from other similar products, offered by the
competitors in the market. ... Differentiation strategy is one of three Porter's Generic Strategy; others are cost leadership and
focus
 Product, Personnel. Channel, Image Personnel Differentiation: Singapore Airlines

Channel Differentiation one of ways a companies can differrinciate their offerings in the mind of customers, they can
diffirinciate their offerings through their channels coverage, expertice, and performance and thus may achieve competitive
advantage.

Image Differentiation. as a source of competitive advantage, a company maydifferentiate itself from its competitors
by image; the particular image or 'personality' it acquires is created by its logo and other symbols, its advertising, its
atmosphere, its events and personalities.

Claims of Product Life Cycles

1. Products have a limited life

2. Product sales pass through distinct stages each with different challenges and opportunities
3. Profits rise and fall at different stages
4. Products require different strategies in each life cycle stage

Sales and
Product Life Cycle

The main stages of the product life cycle are:

1. Research & development - researching and developing a product before it is made available for sale in the market
2. Introduction – launching the product into the market
3. Growth – when sales are increasing at their fastest rate
4. Maturity – sales are near their highest, but the rate of growth is slowing down, e.g. new competitors in market or
saturation
5. Decline – final stage of the cycle, when sales begin to fall

Common
Product Life-Cycle Patterns

growth-slump-maturity A product can follow a pattern known as growth-slump-maturity pattern. This kind of pattern usually
encounters a rapid growth in the beginning and after later sales decline with a stabilization at a certain level. One of the examples of
such product group is kitchen appliances where the late adopters purchase a new product while the early adopters end up replacing
their old appliances.

cycle-recycle pattern The cycle-recycle pattern usually starts with a period of growth which is followed by decline. Another phase
of growth is triggered by promotion of the product which see a lesser growth as compared to the primary cycle. A typical example of
this pattern can be seen in pharmaceutical industry where sales start declining the company gives the drug another push, which
produces a second cycle.

scalloped pattern Another common pattern is called scalloped pattern. Sales observe a succession of growth periods based on
the discovery of new product characteristics, uses, or users. Nylon sales, for example, display a scalloped pattern because, over
time, new and a new uses have been discovered -parachutes, hosiery, shirts, carpeting, etc.
 Style, Fashion, and Fad Life CyclesIt
is important to discuss another type of life cycles. The first one is called style. It is basic and distinctive mode of expression. Once
invented, styles can last for generations, going in and out of vogue. This is usually seen in products such as homes, clothing and art
etc.

Fashion is currently accepted or popular style in a given field. Fashions pretty much follow the typical bell-shaped product lifecycle
curve. The length of fashion cycles is difficult to predict as the consumers soon start to look for the missing attributes.

Fads are fashions that come quickly into public view, are adopted with great zeal, peak early, and decline very fast. Their
acceptance cycle is short, and they tend to attract only a limited following who are searching for excitement or want to distinguish
themselves from others.

o The Pioneer Advantage

 Objectives- creat product awareness and trials
 Product- offer a basic product
 Price- charge cost plus
 Distribution- build selective distribution
 Ads- product knowledge among early adoptors
 Sales promotion- use heavy sales promotion to attract new cutomes

Long-Range Product Market Expansion Strategy

The product market expansion grid considers two main factors. The product and the market. The product can either be a current
product or a new product. And the market can either be a current market or a new market. Thus, a grid is made, keeping in mind the
two forms of products and the two forms of markets. This grid is the product market expansion grid. With the help of the grid, the
proper market expansion strategy is decided. There are 4 main strategies of the product market expansion grid. These are
mentioned below.

Market penetration strategy

Market penetration strategy is decided when the product is a current product in an existing market. It falls in quadrant 1. Thus, in
such a case, the customers are aware about the product and due to one reason or another are not using the product. There are
three main tactics which a company can implement to increase market penetration.
Market development strategy
The market development strategy is used when the product is an existing product but the market is new. This strategy falls in
quadrant 2 of the grid. A company might decide to increase its territorial reach and therefore enter a new market. The new market
may have tough competitors, or it may happen that the new company may be received very positively. In either of the cases, there
are three main tactics which the company can use for market development.
Product development strategy
Product development is used when there is a new product which has to be introduced in an existing market. It falls in quadrant 3 of
the matrix. This may be done because the companies products are not selling anymore or that the company has identified new
segments which it had missed before and wants to introduce new product to increase product sales. There are majorly three tactics
which the company can use for Product development.
Diversification strategy
Diversification strategy is used when a company enters new markets with new products. In such a scenario, the demands of the
new market might be different from the current markets where the company exists. Thus, the company has to bring new products in
new markets and hence the complication rises. In such a case, there are 3 different tactics which a company has to use to establish
a diversification strategy.
Strategies for sustaining rapid market growth
During this stage, the company uses several strategies to sustain rapid market growth as long as possible:

The emerging industry expands into the growth stage and looks to employ its growth strategy based on market conditions. In this
post, I assume a rapid growth rate and market expansion strategy to be deployed. Recognizing that various rates of growth may
occur

 The company improves product quality and adds new product features
 The company adds a new product line, flanker strategy, and products
 It enters new market segments in an existing market
 The company enters new distribution channels
 It shifts some advertising from building product awareness to bringing about product conversion and sales
 The company lowers price at the right time to attract the next layer of price-sensitive buyers

Stage in the maturity stage

Growth stable maturity

Marketing product modification-

Quality improvement- syempre kapag nag increase ka ng quality mag iincreas ka din ng price

Feature improvement- This type of change can place a product in a favorable competitive position by providing benefits not
offered by competing items

Style improvement- Style modifications are directed at changing the sensory appeal of a product by altering its taste, texture,
sound, smell, or visual characteristics. Since a buyer's purchase decision is affected by how the product looks, smells, tastes,
feels, or sounds, a style modification may have a definite impact on purchases.

Marketing Program modification

Prices:Price cut can attract new buyers, if so, the list prices can be lowered or lowered through price specials, volume or early
purchase discounts, freight cost absorption, or easier credit terms. Alternately if the prices are raised can it signal higher quality to
buyers?

Distribution:The company obtains more product support and display in existing outlets or needs more outlets to be penetrated.
Can the company introduce the product into new distribution channels?

Advertising; Increasing advertising expenditures will help in increasing the sales. Changing the message or copy, media mix,
timing, frequency, or size of ads will help in stimulating the sales.

Sales promotion: Should the company step up sales promotion trade deals, coupons, rebates, warranties, gifts, and contests?

Services:Marketers often debate which tools are most effective in the mature stage. For example, would the company gain more
by increasing its advertising or its sales promotion budget? Sales promotion has more impact at this stage because consumers have
reached equilibrium in their buying habits and preferences, and psychological persuasion (advertising) is not as effective as financial
persuasion (sales promotion deals).

Ways to Increase Sales Volume

• Convert nonusers
• Enter new market segments
• Attract competitors’ customers
• Have consumers use the product on more occasions
• Have consumers use more of the product on each occasion
• Have consumers use the product in new ways

A Product in Decline- Generally, there are four stages to the product life cycle, from the product's development to its decline in
value and eventual retirement from the market.
 Market evolution stage

The second stage in the evolution of marketing theory is product orientation. Product orientation is the view that an ideal product
can be produced that will have all the features any potential customer might want. This orientation is thought to be a result of
oversupply of basic goods

Emergence- emerging markets. New market structures arising from digitalization, deregulation, globalization, and open-standards,
that are shifting the balance of economic power from the sellers to the buyers. In such markets information is freely and widely
available, and is almost instantly accessible.

Growth Stage - The second stage of the product life cycle, the growth stage, builds on the demand established during the
introduction stage. This is a period of rapid sales increase, and the character of the marketing campaign changes significant ly.

Maturity Stage - Once sales volumes peak and the product has reached a level of maturity, the marketing focus may shift away
from gaining new customers to pleasing existing ones and ensuring recurring revenues through new products and services
designed to augment the product.

Decline Stage - When the product life cycle nears an end, the market has become increasingly competitive. The unique nature
of the product may be lost as more competitors come into the market with similar offerings, and prices will drop.

Emerge market
An emerging market is a country that has some characteristics of a developed market, but does not satisfy standards to be
termed a developed market.

Latent - A latent market is a potential market, i.e., a market for a good or service but without a supplier. In other words, there is
demand for something but it is not available. A company that can identify a latent market and subsequently supply that market can
earn significant profits

Single-niche- The market niche defines the product features aimed at satisfying specific marketneeds, as well as the price range,
production quality and the demographics that it is intended to target. It is also a small market segment. Not every product can be
defined by its market niche.

Multiple nitche - Advertising for niche markets is attractive because of the ability it gives you to heavily focus your marketing. For
instance, you can send out different business card printing orders to target different audiences, you can do the same for print
brochures.

Mass market - The term "mass market" refers to a market for goods produced on a large scale for a significant number of end
consumers. The mass market differs from the niche market in that the former focuses on consumers with a wide variety of
backgrounds with no identifiable preferences and expectations in a large market segment. [1][2] Traditionally, businesses reach out to
the mass market with advertising messages through a variety of media including radio, TV, newspapers and the Web.

market fragmentation stage- Market fragmentation is the concept that all markets are diverse and composed of different
segments, reflecting different needs, wants, responses to marketing messages, and behavior. These many segments that
characterize all markets are indicative of the fragmentation of these markets. Think of all the TV channels you have, all the
magazines you can read, all the soft drinks and cereals you can consume, all the iPhone apps you can explore, and you start
getting a feel for market fragmentation.

Market Consolidation stage - The consolidation state is a phase in the industry or company life cycle where segments in the
company or competitors in the industry start to merge.