ZENITH CASE ANALYSIS
Zenith is a US based company that manufactures consumer electronic products (mainly Color TV c and sets and video recorders), color picture tubes, color computer monitors and many more electronic components as well.
In the current scenario the CEO of Zenith, Mr. Jerry Pearlman and Bruce Huber are contemplating launching HDTV and were advocating whether to continue with Zenith’s traditional marketing manner that was gut feeling based or enter the new realm of marketing research.
The company is plagued with a lot of problems that are enumerated below:
* The appropriate marketing strategy to be adopted for launching HDTV technology aimed at regaining its slipping position in the market.
* Approval from FCC with respect to high definition broadcasting.
PRICE: The budget of consumers was neither too high nor too low, too low-priced TV sets were looked down upon by them.
PRODUCT: Picture quality, product features, style and warranty mattered majorly to the consumers.
PLACE: Consumers preferred retail outlets over advertisements when it came to gaining information.
PROMOTION: Consumers were more attracted towards sales or offers rather than informative formats in advertising.
ASPECT RATIO STUDY:
Since Zenith was considering launching an altogether new product, they should seek to test if the product will be accepted. It can very well turn out to be a gamble. The Buyer decision process starts off with evaluation of product attributes- consumers as revealed by studies looked for value for their money. An HDTV priced 30% higher should give them customer satisfaction at par with the premium they would pay for it. This can be achieved if they smoothly sail each level of Buyer decision process- satisfying consumers with respect to Product attributes, fulfilling their prioritized attributes, exceeding brand expectations and much more worth than its price. Though the research was...