Table of Contents

Three years ago, SheerTech embarked on a mission to develop a solution to improve the durability problems associated with wearing hosiery, that is, easy to run, snag, and cause static cling in clothing. SheerTech’s scientific team found, historically, women, men, and children have used hosiery for everyday dress, special occasions, dance, athletics, and more recently for therapeutics, health, and wellness. However, not all groups experience the same problems or the same degree of these problems; the problems occurred mostly with nylon hose wearers.

The concept of making a durable stocking is not a new concept in the U.S. market. In the late 1800s, Carl Freschl sought to manufacture “Holeproof Hosiery” (Anonymous1, 1924, p.1), durable hosiery made from the most refined materials in the world (Anonymous1, 1924). However, the scientific team sought to develop a topical product that the user could control and apply to any hosiery.

The importance of marketing for the success of SheerTech’s longevity would be to build the company’s reputation and to spread the word regarding the product (Armstrong & Kotler, 2011). SheerTech’s sustainability as a company highly depends on building a solid reputation as a foundation. Marketing Perfect Nylon will build name acknowledgment or publicity for the company as a whole. Once Perfect Nylon solution reaches the potential expectations of its targeted customers, the company’s name will expand, which will lead to increased sales (Armstrong & Kotler, 2011). Additionally, SheerTech’s reputation will increase through active involvement within targeted areas and communities gaining the customer’s trust. SheerTech’s Perfect Nylon solution will be known to potential buyers (Armstrong & Kotler, 2011) by using marketing strategies to promote Perfect Nylon. This will ensure opportunities for SheerTech to be discovered by prospective customers and retail businesses, taking the company to the next level.

Name of organization

The name of the organization is SheerTech Laboratory Corporation (also known as “SheerTech” or “SheerTech Corp.”), with the headquarters office located at 90010 Manufacturers Boulevard in Technology City, Pennsylvania. Two years ago, SheerTech Corp. registered as an S corporation with a board of directors and shareholders. The S corporation provides the greatest level of personal liability protections for SheerTech owners, offers better tax advantages than a C corporation offers, and allows the organization to raise money through debt securities (Cheeseman, 2010).

The CEO, COO, and CFO comprise the management team, which has decision-making authority, and provides day-to-day leadership of the organization. The functional organizational structure allows the management team to divide the primary responsibilities into three specific divisions: operations (COO), finance (CFO), and all other functions (CEO). The corporation has 33 employees, including the three management team members.

Mission statement - organization’s basic values and philosophy

Our company's goal is to help hosiery wearers feel secure while conducting day-to-day tasks without the issues of nylon tears and static cling of clothing with a product that is affordable and easily accessible. SheerTech Corp.has adopted the following mission:

To add value to the hosiery industry by offering improved technology to stop hosiery tears and reduce static cling.

Geographic location

SheerTech Laboratory Corporation headquarters office and Laboratory are located in Technology City, Pennsylvania, which has sustainable characteristics. Three major textile manufacturers producing hosiery operate locally, along with other manufacturing companies, which supplies SheerTech’s Laboratory with the needed materials to test and further develop the product line. Freight and hauling companies are established locally, and have competitive shipping rates and have a good reputation for timely services. As an incentive, the local government does not impose sanctions on manufacturing as the city relies on the manufacturing industry to support the local economy. Additionally, the taxing authorities have established a tax credit program to attract more manufacturing companies that bring jobs to local residents, thereby improving the community impact and appealing to the customer-producer relationship. An additional community impact exists with the local university, which produces bright, new recruits in the field of technology and life sciences who can bring fresh new ideas to the company and to the textiles and apparel industry.

Product mix

SheerTech will market a single-product line. This product will be developed into two forms of delivery for direct marketing to the customer and retail marketing.

0. A description of the new product or service.

Perfect Nylon is a clear based lotion solution that is applied to the skin before applying nylon stockings to reduce static cling and prevent snags or runs. Perfect Nylon solution is a clear based allergenic moisturizing lotion with no scent for sensitive skin. The solution protects skin without altering the naturally smooth feeling of the nylon stocking. Once lightly applied to the area in which the nylon will be worn, the nylon fibers are altered strengthening the texture to prevent any damage due to the thin fabric of nylon, which should be applied before every use. Perfect Nylon solution is all natural making it gentle enough for everyday use.

The solution is offered in a 3.4 ounce (100ml), twist-to-open and close, squeeze bottle for convenience, specifications within airplane carry-on regulations. The twist-to-open and close cap offers a sense of security childproofing protection. Perfect Nylon will also be offered in a capped covered mist spray bottle of 3.4 ounces.

The management team at SheerTech Corp. conducted an analysis of the strengths, weaknesses, opportunities, threats, and trends (SWOTT) to identify the organization’s internal factors for success, characteristics of challenges, resources, and capabilities, and the external factors for opportunities, threats, and trends of the market environment, customers, and competition.

Strengths

· Innovation

· Experience research and development team

· Central location

· Local distribution channels

· Eco-friendly

· 100% Organic ingredients

· Familiar product form

Weaknesses

· Single product

· Lack of human resources

· Total quality process

· Marketing experience

· Insufficient market research data

Opportunities

· Expansion to Western regions with one year of launch

· Expand into International market

· Immediate acceptance of product

· Recycle products

Threats

· Product rejection – not satisfying customer needs

· Education – not familiar with product ingredients

· Introduction of similar product by competitor

Trends

· Consumers willingness to pay for a new product that will meet needs

· Consumer awareness of harmful products and ingredients

0. Strengths

One of the strengths of SheerTech Laboratory is innovation in developing affordable quality solutions that will help stop hosiery tears and static clings. The location of the organization is also a strength for SheerTech. The organization is centrally located within a populated metropolitan city in the United States with major arteries for distribution of products, materials, supplies, and other resources. The organization is an eco-friendly company and uses only organic ingredients in its product.

Individuals use lotion products for other reasons, such as to improve skin texture, youthful appeal, healing, and moisturizing. So, the product can appeal to the customer in a form already used on a daily basis. Additionally, because the product packaging has an easy to close and open spout or spray bottle, the customer may port the product easily. The size of the product is conducive for travel regulations.

0. Weaknesses

Potential weaknesses of the organization include human resources, producing a single product line, and total quality processes. The organization could possibly lack total quality processes because of the new product. Convincing individuals to change can be challenging because individuals may have already developed loyalty to the currently favored product, SheerTech will need to market the new product in a way that the customer will want to try this product because it offers them something the old product does not.

0. Opportunities

There are many opportunities for the organization. In the event in a demand of production the organization can create an alliance with another manufacturing company or outsource some of its production to a third party manufacturing company. This will help keep up with the demand and prevent loss of revenue.

SheerTech can build sustainability by taking advantage of the local tax credits and manufacturing incentives for local businesses.

In addition to availing the local business incentives, SheerTech can offer the local residents positions in the company and some job training. In addition to on-the-job experience, the company may choose to avail the university by offering internship opportunities for newly graduating scholars in life sciences.

Threats

Potential threats include customer rejection to use the product because not understanding the ingredients of the product. The possibility of copy-cats to the product by a competitor, and not meeting the customers expectation and needs.

This product may cause skin irritation in some individuals. While the product has been tested, the increase in users due to the marketing strategy may have an impact on the number of cases associated with adverse reactions, and increase the potential for law suits or Federal Drug Administration investigations.

If the local authorities no longer offer incentives and impose sanctions or increase taxes, SheerTech may suffer economic losses. With a change in on-hand funds for operations, the company may need to increase debt securities to cover the increase funds needed or adjust (reduce) the marketing budget to offset potential deficits.

Trends

Considering the current state of the economy, customers constantly look for a product that offers alternative usage, reasonably priced, of good quality, and not harmful to the body.

Consumers look for opportunities to minimize exposure to harsh chemicals, dies, irritants, and fillers in daily use products and to opt for alternative remedies focused on preserving the environment and healthful for consumption. Therefore, the SheerTech would do well to focus the marketing strategy on some of these aspects.

To be effective at marketing this new product, the marketing team at SheerTech Corp. needs to determine customer needs and how well the company can satisfy the needs of the customer. By targeting the appropriate market mix, the marketing team collects information about this target market in order to satisfy product, price, place, and promotion known as the four Ps (Armstong & Kotler, 2011). Information collected will help the marketing team understand its competitor’s strengths and weaknesses, how to position the product, how to price competitively, and how to advertise in a particular target area.

The marketing team determined part of the information gathering activities will be outsourced to a marketing research firm in obtaining relevant data in a target market. The marketing research firm can provide the organization with vital information into the characteristic, spending habits, and the competition in a target market. The marketing team will collect data information through telephone interviews, structured questioning, and observation experiments with customers. The marketing team and regional account representatives will conduct those approaches and combine the information collected by the marketing team, account representatives, and marketing research firm into the organization’s marketing information system (MIS) database. The MIS will include a decision support system (DSS) that will help marketing managers and department managers with the decision of planning and the adjustments to product, price, place, and promotions. Those approaches to marketing research will utilize the organization’s money in the most timely and cost-effective method.

SheerTech Laboratory has developed a solution that targets the market of anyone who has a use for Nylon material stockings. In order to determine the targeted market of SheerTech we needed to determine who would most benefit from SheerTech’s product Perfect Nylon. SheerTech Laboratory targeted markets for Perfect Nylon are men, women, and children who would benefit from the durability of nylon stockings. Perfect Nylon solution is for everyday purposes such as dress, athletics, special occasions, dance, and for therapeutic measures. The segmentation criteria for SheerTech would be tailored to the age, income, and lifestyle of men, women, and children. In order to market Perfect Nylon to our targeted market the efficiency of use and durability of the solution would have to build a solid reputation with customers.

SheerTech collected information regarding the potential customer base (Alpert, 2012). The targeted market that uses nylon stockings in their daily everyday life is large enough to justify marketing that is accessible through normal marketing channels (Perreault, Cannon, McCathy, 2011). Perfect Nylon solution is a distinctive enough product to spark the curiosity of its targeted customers to attract them as first time buyers. Our marketing techniques should appeal to all potential customers with special emphases on teenagers. The way we market to men will have to appeal different to their everyday life then it would a woman. Men that wear nylon for athletic use will not be attracted to a product that only portrays itself as a feminine only product (Alpert, 2012).

When analyzing the competition, SheerTech focused on the type of companies offering products in the market that may be substituted for the new product, then chose industry leaders providing a similar product to a market mix like that of SheerTech, women. The table below outlines the comparison of the products or services and the characteristics.

Attributes of a product are the features and benefits consumers use to compare products of similarity. In contrast, SheerTech Laboratory is the only manufacture that produces a product that prevents tears and static cling.

The Perfect Nylon product is an unscented clear lotion and spray applied to the skin before putting on nylon stockings. The ingredients of the products consist of organic herbs, oils, and other natural resources. The mixed ingredient strengthens the nylon while maintaining its elasticity and form. Perfect Nylon is also a moisturizer. The lotion comes in a fissure green 3.4 oz. (100 ml) twist-top high quality grade recycled plastic tube, while the spray comes in a 3.4 oz. (100 ml) pump with a twist-off cap plastic bottle made from high quality grade recycled plastic. The product label will consist of the logo “Perfect Nylon” will be in large bold black letterings with a dark green aloe icon below the logo. The phrase “Stops hosiery tears and reduce static cling” in a smaller bold type font centered on the product.

There are many benefits of the product. Consumers will feel more comfortable putting on and wearing of nylon stocking with confidence. Additionally, consumer will not have to replace costly stockings as often because of the ingredients in the product will help stop tears, stocking runs, and static cling. Consumers should not experience allergenic reaction and the non-oily feel on his or her hands when applying product to skin. The lotion acts as a moisturizer that can help with controlling dry skin and will also helps protect the skin from harmful elements. The offering of the product in two forms will enable consumers the choice on the methods of applying the product to his or her skin. Consumers who support eco-friendly environment will see the company is also eco-friendly because of the use of recycled plastic for its product. The convenience size of the product is small enough to carry day-to-day and will fit perfectly in a consumer purse or bag. The product also meets the allowable size when hand carrying product on airlines. Finally, consumers will remember the miracle product in the bright green tube or bottle. In the initial introduction of the product into the marketplace consumers are not likely to remember the name of the product but will likely remember the color of the package.

The marketing idea to brand the product in fissure green package is a competitive advantage move for SheerTech Laboratory because there are no competitors in the market offering a product that stops tears, runs, and static cling. This will establish as the only brand of this type of product in the marketplace.

Perfect Nylon will experience all stages of the product life cycle in the market, which includes introduction, growth, maturity, and decline (Perrault, Cannon, & McCarthy, 2011, p. 257). However, there is no defined market trend for Perfect Nylon as it has new indications for a lotion. Therefore, the marketing team considered the minimum projected sales goals when defining a product life cycle over a four-year period. The following table (Table 1) reflects the number of units SheerTech expects to sell at the minimum, which targets the organizational goal to have one million units sold by four years post product launch.

Table 1. Sales Goals (Units to Sell)

SheerTech Laboratory will notify the filing of their utility patent by the United States Patent and Trademark Office (UPOUS) to all retailers and manufacturers for Perfect Nylon to protect specific non-disclosure information. In our highly competitive world, SheerTech Laboratory will have to be unique and fill a special niche to be successful in the marketplace by positioning themselves as the preference within the hosiery industry. The company will gain a competitive advantage by using the buying power capabilities of their target market to reduce the cost of Perfect Nylon materials. Outsourcing Perfect Nylon to companies will increase the overall design and provide efficiencies in the manufacturing process by creating a product that is reliable and durable for all consumers ("Patent application information," 2012).

SheerTech branding strategy will consist of positioning Perfect Nylon within the market segment from competitors with cooperative advertisements that display the quality of the materials, the cost savings to consumers, and the innovation of a triple use product. SheerTech management team will attend trades shows to overcome barriers to market entry; raise awareness of Perfect Nylon, create a demand for the product in the market to consumers, suppliers, manufacturers, and distributors. The management team will conduct product demonstrations and provide free samples of Perfect Nylon in addition to providing articles in trade periodicals to our target market.

In addition, SheerTech will launch a multi-media advertising campaign to separate Perfect Nylon from the competitor with a $10,000 dollar advertising budget to build brand knowledge while incorporating company recognition among retailers, manufacturers, and consumers with an online search engine at the cost of $3,103 dollars; opt-in email partnership program at a cost of $690 dollars, online newsletters and delivery $1,724 dollars, and site argumentation at a cost of $3,104 dollars ensuring consistency and accuracy in all marketing materials.

SheerTech differentiation strategy is there is no other product on the market that prevents tears and static. In comparison to Static Guard in a 5.5 ounce aerosol can with the recommended appliance to the surface of clothing, fabric, and multi-surface. It is unscented and provides wrinkle release. The innovative technology design of Perfect Nylons allows direct application to the skin rather than applying directly to clothing or other articles. SheerTech is aware and confident that they will have the attributes that can serve and defend against all competitive forces SheerTech is aware and confident that they will have the attributes that can serve and defend against all competitive forces.

The pricing for Perfect Nylon of SheerTech Laboratory is considered to be a broad approach that price will play in distribution. Pricing will also develop a strategy for Perfect Nylon. Pricing can be tricky but a very important selling point, this will give customers a vibe on the quality of SheerTech’s product. If the pricing for Perfect Nylon is too low, the product will assume to be of poor quality and SheerTech will have to sell more units in order to make a profit. If the pricing to too high potential customers for Perfect Nylon could be turned off to the product.

Positioning Perfect Nylon will determine the actual bottom line price for each unit. Perfect Nylon will be marketed to individual customers through telemarketing and retail stores. Pricing Perfect Nylon too low in either atmosphere may hurt the brand image of SheerTech Lab, the pricing must be consistent with the positioning of the product. Before marketing Perfect Nylon to customers SheerTech must first research how much the customers would be willing to spend on such an exclusive product. SheerTech will introduce Perfect Nylon to the market at a set price.

Perfect Nylon is a new non competitive product, meaning the only solution in the market to serve its purpose. Pricing will be set to provide per item profit sold so when sells per customers grow so will the profit for the overall business. Included in the pricing factor will be labor and materials considering the how many units SheerTech has to sell to breakeven covering operations. The base price will be determined will be the minimum price that SheerTech can charge still earning a profit.

The price set for Perfect Nylon includes production costs and cost of goods. The raw material for both bottles will cost SheerTech $32.56 per 100 units. One hundred units at the cost of $32.56 will cost SheerTech an estimate of $0.35 per bottle. The quality of the product is null-and-void if the customers consider the price to be unreasonable for the size of the bottles offered with no consideration to the quality of the product. With that in mind fair pricing would be $15.99 per bottle. The determination of $15.99 is a fair pricing considering operation costs, raw material cost, three-in-one purpose solution (act in the place of lotion when applied), and the convenience of travel. At the cost of $15.99 per unit sold Perfect Nylon will be able to make an overall product while not being offered too inexpensive taking away from the quality of the product in the eyes of the customers.

Promotion Strategy

Based on the product life cycle, SheerTech will focus efforts on direct marketing in the first three months following product launch. However, prior to launching the product, the company will consider the competitors’ position in the market by using perceptual mapping and analysis to differentiate the Perfect Nylon product, define an ideal market position, and evaluate how customers perceive their needs in relation to competitor products. By evaluating what is important to customers for similar products, SheerTech can develop a strong promotion strategy for Perfect Nylon, which appeals to potential customers. The marketing team identified promotion opportunities in personal selling and mass selling. SheerTech will launch the Perfect Nylon product in October 2012. In October, the initial market mix will target women living in areas where temperatures change with the seasons, such as the east coast region of the U.S. As these women begin to wear hosiery more often during the colder months, SheerTech can take advantage of the increased interest in hosiery and offer an alternative to improve their wearing experience, Perfect Nylon.

SheerTech will develop a website for the product, a recruitment strategy, and training materials for the sales staff. The website provides a vehicle for SheerTech to market Perfect Nylon to large market segmentation, control the promotion messaging, distribute the product, and expand operations. At product launch going forward, marketing efforts will drive customers to the Perfect Nylon website, where SheerTech will have product information available and offer merchant account services. Internet sales provide a cost effective means of taking in orders, shipping product directly to the customer, and performing customer support. This option will be a good resource for individuals who heard about the product by word of mouth, have an interest in the product, need product orientation, or need to reorder. By using the website, SheerTech will capture the subset of individuals who prefer to make online transactions, thereby increasing sales opportunities for the Perfect Nylon product.

In addition to the website, SheerTech intends to market the Perfect Nylon product through personal selling. Sales staff will be hired and trained on the intricacies of the product, how it benefits the customer, and act as the front line order getters, customer service representatives for receiving feedback, and relaying that feedback to corporate marketers. The majority of these jobs staffed by local university students or qualified local residents will provide opportunities to gain experience in a way that other sales people may not understand, such as learning the chemistry of the product and communicate effectively its utility to consumers. These new recruits will have the energy and knowledge to market the product successfully where the marketing mix exists as groups, in shopping malls, colleges, and shops, and direct customers to the product website. SheerTech expects the direct sales staff to be recruited, trained, and fully functional by October 2012.

During this introductory phase, sales staff will offer potential customers the sample size of Perfect Nylon, 14 days supply, at no cost to encourage customers to try the product. After 14 days, the sales staff will use the leads generated to call back on customers to get product feedback and offer opportunities for new orders. They will also provide an alternative means of ordering through customer service by phone or online. Person-to-person contact allows sales staff to build a relationship or rapport with customers, particularly to avail opportunities for customer satisfaction. SheerTech expects that this introductory phase will exhaust sample size supply within three months, and an increase in actual sales. A customer support team will be established to handle the orders, customer support, and assess customer satisfaction. The marketing team will develop metrics to assess the success of the product after launch; and the sales team will define short-term sales goals and distribution channels to maximize image development and profitability.

In addition to Internet sales and personal selling, SheerTech will market Perfect Nylon in pharmacies, markets, super stores, and department stores. Therefore, sales staff will focus more at this stage on wholesale marketing. Based on the marketing plan, this phase should commence around six months post product launch, in March 2013. By this time, individual customers are reordering Perfect Nylon as a replacement for the former product, and popularity is increasing for the Perfect Nylon brand. In the pharmacies and markets, Perfect Nylon discounts and coupons can encourage customers who shop in these places to try the product. Coupons for $1.00 off the regular price encourage increased sales (Perreault, Cannon, & McCarthy, 2011). Often buy-one-get-one promotions offer incentives to the customer. Additionally, using the store circulars, for example, for CVS or Walmart, can provide opportunities to advertise promotions and discounts.

At this phase, promotions can occur on a weekly basis, in the front of the stores with discount signage clearly displayed, and on the shelf for customer convenience. By cycling these promotions during the six to nine months post product launch, SheerTech expects sales to increase during the product growth period and continue for the first year through the second year.

Advertising Plan

Successful advertisement stems from a well put together and organized advertising plan. SheerTech’s objective with advertising Perfect Nylon is to target a multitude of markets at one time. The overall goal is to achieve brand recognition for SheerTech to promote Perfect Nylon. SheerTech Laboratory’s targeted market is anyone whom has a use for Nylon material based stockings. There will be several advertising strategies to not only appeal to women but to men who use nylon stockings for athletic, medical, and therapeutic measures. Also, we are targeting children with another means of advertisement something that will allure them to the brand making it recognizable in their eyes.

The advertisement goal for SheerTech is to convince the targeted audience that Perfect Nylon is a necessity when using nylon stockings to feel secure throughout day-to-day tasks through persuasion. Before Perfect Nylon is offered to the market through retailers, SheerTech will introduce Perfect Nylon to the market seeking recognition and anticipation. To introduce Perfect Nylon, SheerTech will first market through televised and audio commercials preferably during peak television and radio hours. Also, SheerTech will advertise Perfect Nylon on its website providing all relevant information regarding the product, what retail stores will offer it, and ordering capabilities on the site.

Launching Perfect Nylon will require persistence and ingenuity on SheerTech’s behalf. By advertising Perfect Nylon through commercials retail companies will not only gain awareness of the product but recognize the benefit of featuring Perfect Nylon in many of its’ stores locations. By publicizing Perfect Nylon before the public is able to purchase the item, creates an impressive awareness to the targeted market which creates anticipation of the product. In order to obtain public relations opportunities SheerTech must notate newsworthy aspects of Perfect Nylon.

Public Relations

For SheerTech to appropriately and effectively launch a public relation campaign, we will have to target knowledgeable public relations professionals. A news release and fact sheet will inform the targeted market about Perfect Nylon by proving the story, the uniqueness, and quality of the product. These facts will also contain quotes from the developers regarding the quality assurance behind Perfect Nylon. The executive team will also communicate with the media through phone and email interviews. This includes all vital media sources that will shed light on SheerTech. The executive team will also track any media showcasing of Perfect Nylon through news articles and other media sources advertising Perfect Nylon.

Channel Management Impact

SheerTech management will look for ways to respond to consumer need with offerings that create value for buyer and gain revenue for the company. In order to help managers make decisions, guidelines are provided to each distribution channel that each employee must follow. These guidelines will address relationships with distributors, standards in advertising, customer service, pricing, product development, and general standards of ethics (Armstrong & Kotler, 2009). According to SheerTech the marketing is to sell a Perfect Nylon in a market to create an image for the company and product that will have a positive effect on consumers that SheerTech management aims to target. Marketing is not only too successfully to sell the product to consumers also to create a strong market position in relation to the competitors. It is about answering the demand on the market in a good and profitable way and in the process, creating a demand for a new product.

The first portion of the SheerTech Laboratory itemized budget for the first quarter marketing expenditures through August, September, and October. The attached spreadsheet will provide totals for each marketing initiative in each month as well as a total for the entire quarter. SheerTech has focused on pursuing a mixture of inbound and outbound marketing strategies. They have combined online advertising with conventional print, radio, and magazine advertisements. In addition, they have also accounted for expenditures on attending conventions and the cost of exhibit booths.

The table below shows a month by month comparison of expenditures SheerTech Laboratory will spend in marketing in the first quarter, in marketing. This is done by taking the estimated quantity by the estimated cost per unit total spent in marketing by dividing the Q1 estimated marketing grand total.

Marketing plans set the framework for effective implementation and control. It is important for marketing managers to identify quantifiable elements to evaluate, monitor, and control the effectiveness of a marketing plan. SheerTech’s main goal is the implementation of an effective marketing strategy that achieves objectives that gets the job done better, faster, and at the lowest cost. There are a number of quantifiable elements that managers can use, such as customer feedback, sales, performance, and marketing costs. Information technology plays an important role for managers because information technology can provide real-time and day-to-day tracking customer feedback, sales, performance, and marketing costs analysis. Similarly, marketing managers can use tools like a marketing information system (MIS) that stores data that management can access at any time to evaluate and compare information to sales, performance, costs, and customer feedbacks in specific targeted segments. For example, the monitoring of daily, weekly, monthly, quarterly, and yearly sales will enable managers to determine if the objectives of the marketing strategy working to detailed plan. The use of sales analysis by capturing important dimensions such as territory, sales representatives, product type, and customer data will help management identify trends and forecast future sales.

Additionally, sales analysis can provide marketing managers information of specific objectives not meeting its goals. In this case, management can make the necessary adjustment to the marketing strategy that will meet the company’s goals. Another quantifiable element is performance analysis. Performance analysis is the comparison of similar variables and used to improve performance. For example, management can compare a targeted segment against another targeted segment or compare a targeted segment against last quarter’s performance. Similarly, performance analysis can identify factors of poor performance of a salesperson requiring corrected action or good performance factors that management can incorporate into the marketing strategy making it a required standard. The allocation of marketing cost to a targeted segment will enable management to determine the profitability of a targeted segment. A method used to determine profitability is the full-cost approach. The full-cost approach includes cost associated to targeted segment because marketing costs will vary in different targeted segments.

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Perfect Nylon Product Life Cycle -Sales Projections

Market PhasePoly. (Market Phase)

DeclineIntroGrowthOpportunitiesfor product variationlaunch; based on R&D