Launch implementation and management

Question 1

Explain what the pre launch stage is and when pre announcement signalling is useful? (2)

Answer 1

1. the pre launch stage is when we are building our capability to compete.
   - training of sales and other promotional people
   - building service capacity
   - putting up pre announcement if they are in order
   - arranging for stocking
2. Preannouncement signalling may be used to:
   - hype interest in the upcoming product
   - to keep current customers from switching to a competitor
   - to encourage prospective buyers to wait for the new product

Question 2

What is beachhead? (4)

Answer 2

1. This refers to the heavy expenditure needed to overcome sales inertia (getting the ball rolling).
2. Steep rising expenditures curve during this period up to the point where sales are growing at an increasing rate.
3. Begins with the announcement
4. Key decision during beached: when do you end it? how do you know inertia has been overcome?
   - improvements and flankers will not be brought in
   - temporary marketing arrangement will be made permanent

Question 3

What is part of the launch tactics? (4)

Answer 3

1. Selecting distribution channels
2. Setting price
3. Marketing communication
4. Training salespeople

Question 4

What does the communication plan entitle? (2)

Answer 4

1. Communications – all information and attitude effort we put into changing how the end user sees our situation
   - From technical product data to strong persuasion
2. Communication requirements are the specifics that must be communicated in our plan

Question 5

What is the copy strategy statement used for? and what is its typical contents? (3)

Answer 5

1. Communications tools used at launch will have certain deliverables.
2. The way in which the firm communicates these deliverables to the advertising and promotion creative people is the copy strategy statement.
3. Typical contents:
   - The market segment targeted
   - The product positioning statement
   - The communications (promotion) mix
   - The major copy points to be communicated (product attributes – features, functions and benefits).

ex: The provider of this insurance policy is the largest in the world

Question 6

What is the new product groups obligations regarding the ATAR Goals? (2)

Answer 6

1. New product group must convince itself and management that the plan can achieve the necessary awareness, availability, trial, and repeat purchase…
2. and that it can do so in sufficient quantity and at acceptable cost.

Question 7

What is the importance of the ATAR model in the implementation plan?

Answer 7

1. Awareness is the necessary first step towards adoption. determines whether product is minutes or months away from trial

Question 8

What are the barriers to trial? (10)

Answer 8

1. Lack of interest in the claim
2. Lack of belief in the claim
3. Rejecting something negative about product
4. Complacency
5. Competitive ties
6. Doubts about trials
7. lack of usage opportunity
8. Cost
9. Routines
10. Risk of rejection

Question 9

What is the purpose of the launch management system?

Answer 9

1. Spot potential problems
   - problem section from the situation analysis
   - role play what competitors will do
   - look back over all the data in the NP file
   - consider hierarchy of effects needed to result in a satisfied customer (ATAR)
2. Select those to control:
   - the ones that have enough impact to warrant investigation
3. Develop contingency plans for the management of problems
   - base contingency plan on type of problem: company or consumer failure.
4. design the tracking systems
   - select the tracking variables (relevant, measurable predictable)
   - select the trigger points
   - consider the non trackable problems

Question 10

What are questions for the new product tracking study?

Answer 10

1. Category Usage Questions
   - In the past six months, how many times have you bought (product category)?
   - What brands of (product category) have you ever heard of?
2. Advertising Awareness Questions
   - Do you recall seeing any advertising for (brand)? (ask all brands respondent is aware of)
3. Purchase Questions
   - Have you ever bought (brand)?

Question 11

What is after action review?

Answer 11

1. Designed to capture the events leading up to product launch.
2. Identify what went right (so it can be duplicated) and what went wrong (so it can be fixed in the future).
   3 Contains planned versus actual results, what has been learned, and outline for next steps.

(objectives, results reasons for variance, lessons learned)

Question 12

What is the stepwise product deletion process?

Answer 12

1. Recognition of the product to be deleted: compare performance against criteria that signal the beginning of the deletion process->
2. Analysis and revitalization stage:
   - Can the product’s viability be restored? Quality improvements?New markets to enter? Increase price? ->
3. Evaluation and decision formulation stage:
   - Consider the effect of the deletion on overheads, the firm’s ‘full line’ policy, and capacity utilisation->
4. Implementation stage
   Decide whether the product is to be deleted immediately, milked, sold out, etc.