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Deirdre Moloney hopes to start up her own cosmetics and personal beauty products business aimed at the consumer market - Leaving Cert Business - Question A - 2006
Question A
Deirdre Moloney hopes to start up her own cosmetics and personal beauty products business aimed at the consumer market. She has approached you as a marketing consult... show full transcript
Worked Solution & Example Answer:Deirdre Moloney hopes to start up her own cosmetics and personal beauty products business aimed at the consumer market - Leaving Cert Business - Question A - 2006
Step 1
The stages in the development of a new product/service.
Answer
The development of a new product or service typically involves several key stages:
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Idea Generation and Development: This is the initial stage where brainstorming ideas for new products occurs. It includes both internal and external sources of ideas:
- Internal sources include employees, while external sources include consumers, competitors, and market research.
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Product or Service Screening: After generating ideas, a screening process is necessary to evaluate which ideas warrant further exploration. This step helps in discarding those that do not align with business goals or market needs.
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Concept Development: The selected ideas are developed into full concepts, including the design, features, and benefits. This is where a prototype may be constructed.
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Feasibility Study: An analysis is conducted to determine the technical and financial viability of the product/service development, covering costs, potential sales, and return on investment.
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Prototype Development: A prototype or a minimum viable product (MVP) is created to allow for testing and feedback before full-scale production.
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Test Marketing: The product is introduced to a limited market to gauge consumer reactions and identify any necessary adjustments.
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Launch on the Market: Finally, after refining the product based on test feedback, it is launched into the broader market with accompanying promotional strategies.
Step 2
The significance of 'packaging', 'branding' and 'product life cycle' with reference to this business.
Answer
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Packaging: Packaging plays a crucial role as the first point of interaction with consumers. It not only protects the product but also serves as a marketing tool that can attract buyers through design, color, and functionality. For Deirdre's beauty products, attractive and informative packaging can significantly influence purchasing decisions.
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Branding: Branding establishes the identity of the product. A strong brand can build customer loyalty and differentiate Deirdre’s products in a crowded market. Effective branding communicates quality, values, and emotional connection, which are essential in the cosmetics industry.
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Product Life Cycle: Understanding the product life cycle (PLC) is vital for managing the life span of Deirdre's products. The PLC consists of four stages: Introduction, Growth, Maturity, and Decline. Success depends on effectively navigating these stages by adapting marketing strategies and responding to consumer demand throughout a product's lifecycle.
Step 3
The term 'channel of distribution' and recommend a suitable one for her business.
Answer
The term 'channel of distribution' refers to the pathway through which goods and services pass from the manufacturer to the consumer. This includes various intermediaries like wholesalers, retailers, and distributors.
For Deirdre’s cosmetics and personal beauty products business, a direct-to-consumer channel is highly recommended. By utilizing online platforms, such as an e-commerce website or selling through social media, she can reach consumers directly, enhancing brand engagement and providing personalized shopping experiences. This approach also allows for better control over pricing and product presentation while collecting valuable customer data for future marketing strategies.