Assignment
Client Name: ACME
Industry: Apparel
Product Line: Designer jeans
Customers: North American (US and Canada) and European (Germany and UK) jeans buyers
Competitors:
1. Polo Ralph Lauren
2. Tommy Hilfiger
3. Nautica
"Thank you for meeting with us today," Tarek says. "Market intelligence has shown that our major competitors-Polo Ralph Lauren, Tommy Hilfiger, and Nautica-are all developing new designer jeans. These new designer jeans have attractive designs and elastic fabric, and withstand wear and tear. These jeans are priced well above commonly known brands such as Levi's and Wrangler, but also well below top designer jeans such as Hugo Boss."
Tarek looks to you: "As ACME is debating whether to enter this market, we need you to participate in a new cross-functional product development team that will research the customer jeans buying habits in our three main markets: North America, Germany, and the UK. We also need to know if there's an unmet demand for such jeans in those markets," he says. Erik Knops, ACME's CEO, nods his head in agreement.
Tarek continues, "We need to take into consideration the different needs and preferences of jeans buyers in those markets; as well as the demographics of those jeans buyers, such as age and gender. The customer requirements for each of those markets are quite different."
Finally, Tarek remarks, "In addition, we need to know how these customers wash their jeans and whether they dry clean them in order to decide on the type of fabric to use."
Erik nods his head again, smiles, and adds, "Tarek and I want you to research the jeans buyers' needs and preferences for those three markets and provide us with a customer buying behavior report in two weeks. Remember, the report should focus in the customers, and not the companies!"
You know that to give Erik and Tarek the most in-depth report, you will need to conduct an analysis of the jeans buyers in those markets. Each market has to be discussed and analyzed separately under its own headings and subheadings (three different discussions and analyses). In addition, you have to create a value proposition for ACME's proposed product. The value proposition should be specific to ACME's proposed new product. What value do customers see in the proposed product and what would compel them to buy it?
Project 1: Researching Consumer Buying Behavior
Step 3: Review Marketing Information on Consumer Buying Behavior
As you read through the following materials, begin to think about how this information will apply to the report you will prepare for Erik and Tarek. To successfully complete the report, you'll need an understanding of marketing. You'll also benefit from a keen understanding of digital marketing, consumer buying behavior, and evaluating business attractiveness.
As you conduct your analysis of ACME's consumer environment, remember that there are two types of market research: primary and secondary research. Both types of research are required in real-life, and each of them has its pros and cons. However, for this Project, only secondary research is required.
Finally, to fully understand ACME's position, read about offerings-what a company provides its customers, be it a product, a service, or a mix of both. Also consider the differences between a product and a service. You know that a product can be more than just a physical good, it can be a service attached to a physical product, a "pure" service, an idea, a place, an organization, or even a person.
After you have read these materials, proceed to the next step, where you will begin your analysis of the specified consumer markets.
How are things going?
As previously mentioned, I would like you to conduct an analysis of the consumers in our main markets. Your analysis should consider both current and potential product users and should address the following questions:
1. What needs are being met by the product purchase? What are the benefits to the consumers? Make sure that you differentiate between features and benefits; go beyond manifest motives and consider latent motives.
2. Who is involved in the purchase process? Who are the influencers? Who are the buyers? Who are the end users?
3. Where are the products sold, and what are the distribution channels?
4. How often are the products purchased? Is there seasonality to sales?
Format your assignment according to the following formatting requirements:
1. The answer should be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides.
2. The response also includes a cover page containing the title of the assignment, the student's name, the course title, and the date. The cover page is not included in the required page length.
3. Also include a reference page. The Citations and references should follow APA format. The reference page is not included in the required page length.