chapter 8, advance marketing research v2.0l

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Chapter 8 Research Support for the Packaging And Pack Size Decisions

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  • Chapter 8Research Support for the Packaging And Pack Size Decisions

  • Packaging And Pack Size Decisions*IntroductionDuring the 1960s the decade of mass marketing packaging became a serious candidate as marketing mixs fifth P

    This was the time when the mass marketing product paradigm was Coca-Cola with its distinctive world-famous bottle.

    The cosmetics industry also made packaging a (if not be) major element of its marketing mix.

    Today importance of Packaging is that we also need a strategy decision of its own (McCarthy and Perreault, 198: p 194) How ever we correctly count as now a part of the product variable.

    We also accept the fact that it can be a major marketing input in some industries but a minor one in others.

    This is the context of considering packaging as essentially the physical counterpart of the brand name as a dress of the product, but we do recognize that it has marketing functions beyond that of a physical dress.

    Component variables in the packaging decision, unlike the symbolic dress, i.e. the brand name, packaging is not a one-dimensional marketing element. It is a multidimensional ad we begin by appreciating this character.

    Packaging And Pack Size Decisions

  • Packaging And Pack Size Decisions*The variables in the decisionFor products catering to several of a markets age segments, the packaging decision for a new product depends on the prior decision about new product formats.

    For example:, if new product managers decide that the new product will participate in the infant segment, then it has to be in the liquid format. This in turn means that the how-to-package decision stats with the bottle. This is what the marketing practice calls the Primary Package. In many cases, particularly for cosmetics or others where the glass bottle is used, there is a secondary package: the box that holds and protects the bottle. It also serves as a point-of-purchase print medium for the product message.

    The sequence of format to container defines for the packaging decision a sequence of two-choice concern.

    The first choice has to do with the formats its target market segments require;

    The second, with the container a given format needs

    Packaging And Pack Size Decisions

  • Packaging And Pack Size Decisions*The variables in the decisionThe Pack size mix decisions comes as a part of this sequence.

    It is a decision that asks the new product manager to choose for a given product format and packaging container, the different sizes the packaging should have.

    It is important to clarify the sequential character of the packaging decisions in many markets right at the beginning. It is an often overlooked and neglected aspect. When so ignored the discussion on packaging becomes muddled.

    Attending to it sets order to he packaging decision making and defines the new product managers packaging-decision responsibilities in a better light.

    Packaging And Pack Size Decisions

  • Packaging And Pack Size Decisions*The variables in the decision

    Packages in the sequence are

    Format Decision

    The container or Physical Decision

    Pack-size mix decision

    Packaging And Pack Size Decisions

  • Advance Marketing ResearchPackaging And Pack Size Decisions*The Format Decision and its Research SupportWhile competitive considerations are a factor in this decision they are not the most important. Of more importance is the considerations of market segment need for the candidate format.

    The key factors are the market segmentation and analysis of market segment.

    Some authors like to talk about positioning a format when the subject is about needs.

    To position a format means to find out if a given format is satisfying the format need of a certain consumer segment.

    For a new product introduction it is also important to find out the size and accessibility of the market segment with the format need in question.

    Packaging And Pack Size Decisions

  • Advance Marketing ResearchPackaging And Pack Size Decisions*The Format Decision and its Research SupportThe apparent suggestion is that the format choice should take the following step:

    First, check if the format need by an identifiable market segment is a more sustained need than what it has for other alternative

    Second confirm if the market segment in need of the format is relatively more sizeable and accessible to the companys market inputs.

    These two steps should enable the ranking of the format in question above or below the others as the best format choice for the new product.

    This proposition determines the kind of research support that the format decision requires.

    Packaging And Pack Size Decisions

  • Packaging And Pack Size Decisions*The Format Decision and its Research SupportExample:In other industries like the milk industry the equivalent of format is product form or type. Milk comes in four or five different types: powdered, fresh, condensed and ready to drink. Consumers have associated each form with a certain packaging powdered milk with large tin can, condensed with small-size tin can, fresh milk with thick glass or thick white plastic bottles and ready to drink with tetrapak. In the laundry detergent market, three product forms exist: powder, hard bar, and liquid. Again buyers and users have become used to pairing each form with a particular packaging: powder detergent with cartoon boxes, hard bar with transparent plastic wrapping, and liquid with plastic bottles.

    The research data required for the product format, form or type decision can be obtained by adding the necessary questions in the regular UAI survey.

    Packaging And Pack Size Decisions

  • Packaging And Pack Size Decisions*The packaging-Container Decision and Its Research SupportIn consumer marketing the buying consumer has the most concern for a new or existing products physical packaging.

    This concern is particularly high for consumers products principally available in self-service outlets

    In a super Market , convenience store, drugstore and other self-service retail stores, no one sells the product at point of purchase. However, the first physical contact of the buying consumer with the product is not with the product itself but with its displayed packaging, Because of this packaging, its often asked to act as the products point of purchase salesman to the buying consumer. The decision on the effective physical packaging should therefore be tested on the buying consumers.

    There is another group of people who can be as equally concerned about a product's packaging as the buying consumers.

    Packaging And Pack Size Decisions

  • Packaging And Pack Size Decisions*The packaging-Container Decision and Its Research SupportExample: In fact in certain cases, they can be much more concerned, For example in selling prescription medicines, the people who ask questions about physical packaging and complain about it are the drugstore owners and managers. The prescribing doctor known as the decision maker in the consumer buying decision, may be concerned about the product format. However, doctors rarely bother about the products physical packaging. Most of them do not even know what kind of container some of their most prescribed products are in and do not express apprehension about it. The end user is dependent upon the doctor and will buy the prescribed product regardless of what container it is in. End users have many other things on their minds to bother about. Also if the doctor seems unmindful then why should they bother

    In less extreme cases the packaging decision must respond to the needs of both the buying consumer and the retailer.

    Packaging marketing functions differ with each group and should therefore be done separately.

    Packaging And Pack Size Decisions

  • Packaging And Pack Size Decisions*Package Testing with ConsumersPackage testing with consumers depends upon the marketing functions where we want packaging to perform with them.

    How well a chosen package performs its assigned functions depends on how well it contains certain packaging dimensions.

    Consumers associate specific dimensions with specific functions

    They regard such dimensions as responsible for delivering on a given function.

    What these dimensions are differ from one product to another and from one situation to the next

    Packaging And Pack Size Decisions

  • Packaging And Pack Size Decisions*Package Testing with ConsumersA major objective of the package testing is to find out what these perceived influencing dimensions

    By packaging dimensions we refer to the visible and other tangible characteristics of a package. These include the following

    The packaging materialColor of the packageLabelShapeColorCopySizeWeightSymbolsScent

    Packaging And Pack Size Decisions

  • Packaging And Pack Size Decisions*Package Testing with ConsumersDepending on the product and the situation, packaging may be asked to carry out some most or all twelve marketing functions.

    Seven of these are at point of purchase, i.e. inside the store.Three of these are during or while the packaged product is in useThe last two are after the packaged product has been used or consumed.

    Packaging And Pack Size Decisions

  • Packaging And Pack Size Decisions*Package Testing with Consumers

    Marketing functions at point of purchase

    To attract buyer attention at point of purchaseTo create instant recognition for the packaged brandTo fit and reinforce the packaged brands distinctivenessTo describe the packaged productTo lend continuing exposure to the packaged brand as a point of purchase advertising mediaTo act as a point of purchase promotion for the packaged brandTo provide safety to the packaged product while on display and prevent tampering

    Packaging And Pack Size Decisions

  • Packaging And Pack Size Decisions*

    Marketing Functions while in use

    To assure safe usage of the packaged productTo provide convenience in the packaged products usageTo maintain or preferably lengthen the packaged products shelf life

    Marketing Functions after product

    To serve other uses after the packaged product has been consumedTo assure social and ecological safety when disposed of

    Package Testing with Consumers

    Packaging And Pack Size Decisions

  • Packaging And Pack Size Decisions*Package Testing Retailers

    Package testing with retailers depends upon their concerns about a brands packaging

    The testing objective is to find out how the packaging may be designed or redesigned to satisfy the retailers packaging needs.

    Package testing evaluates candidate packaging containers for a given new product format, form or type. For example a cough-cold tablet format may be presented in a blister pack or foil wrap or in a plain tablet format. Its liquid format may be in a dark plastic glass or clear, glass bottle

    Packaging And Pack Size Decisions

  • Packaging And Pack Size Decisions*Consider the stakeholders, decision makers, influencers etc. The best proper test has the following steps.

    The field interviewer explains to the drugstore manager the purpose of the test and briefs the manager on the new product.

    The respondent manager is then exposed to the candidate physical packages per chosen format. The respondent manager is allowed to physically handle the candidate test package.

    Next the respondent manager is asked which of the candidate packages in a format he/she likes more than the others with respect to : (1) handling (2) Stocking (3) marking and (4) displaying

    The interviewer asks an overall Liking question

    Steps # 2 to # 4 are repeated for the next chosen format

    The test ends with a request for some specific suggestions from the respondent manager.Package Testing Retailers

    Packaging And Pack Size Decisions

  • Packaging And Pack Size Decisions*The pack size Mix Decision and its research Support

    Just like the format decision the pack size mix decision is often made for competitive reasons. To base pack size mix decision on market needs is to regard the pack size mix as yet another existing product use segmentation

    There must be as many pack sizes as there are product use segments each in need of its own pack size

    In many companies research may trigger an opportunity to add another pack size to an existing additional pack size mix.

    The research can be integrated into the regular UAI survey

    Packaging And Pack Size Decisions