MKT 350 Lecture Notes - Lecture 12: Sales Promotion, Disruptive Innovation, Private Label
Document Summary
Private label brands are when a store has a producer make a product and then the store puts their brand name on it. National brands are made by manufacturer companies. Now, packing does much more for products (promoting, protecting enhancing, informing, reducing costs, social/environmentally responsible) Unsought products are products we typically don"t buy, which include new unsought products (products we don"t know about yet) and regularly unsought products (coffins, life insurance) Derived demand means that the demand for business products are derived from the demand for consumer products (demand for lumber stems from demand for homes) Penetration is when you price the new product low at the beginning to acquire customers. Marketers using pioneering advertising to create primary demand to introduce a product there is also intensive personal selling to retailers and wholesalers in the growth stage, sales grow at and increasing rate. Product lines are widened or extended, marginal competitors begin to drop out of market.
