Name: Chandrakant Vadluru

Roll no: 20M110

Q1. Technology and other factors have profoundly changed the way consumers process
communication. With the inception of smart phones, broadband and Wi-Fi, the effectiveness of mass
media has declined. The number of viewers a company could reach with one 30-second commercial
has reduced a lot in today’s age. In this new communication environment, although advertisement
through mass media is the central element of marketing mix, it is usually not the only one.

In the mass-media age the role of marketing communication was to provide information about the
product through commercial ads or newspaper/magazines. But as technology advanced and
competition increased it became more essential for a company to not only provide information but
also retain their customers. The role of marketing communication now is to persuade customers to
buy our products, remind them about our products directly or indirectly, build relationship with
customers to strengthen customer loyalty.

P&G is an American company with one of the largest selection of brands mainly focusing on daily
household products. P&G is one of the largest advertising company in the world. The company had
the ability to reach homemaker segment through commercials. This implies that the company would
reach a very small fraction of the audience if they relied on this method of advertising. P&G should
continue to use digital media and online advertisement in future. As the number of internet users is
increasing and the technology is advancing a lot P&G should invest in its online strategies.

Q2. A) The metrics used here is customers count, recency and retention. Customers count metrics
defines the number of customers of a firm for a specific period. Recency defines the length of time
since customers last purchase and retention metric defines the ratio of number of customers
retained to the numbers at risk. To measure the performance of the south Indian restaurant the
above given metrics are necessary.

C) Distribution metrics quantify the availability of products sold through resellers, usually as a
percentage of potential outlets.

Numeric distribution = Number of outlets carrying brand/ Total number of outlets. To measure how
well Gucci’s products are distributed the above metrics is used.

D) To evaluate whether the pharma company can hold its premium price, Price premium metrics can
be used. Price premium metrics is used to evaluate product pricing in the context of market
competition. Price premium, or relative price, is the percentage by which a product’s selling price
exceeds (or falls short of) a benchmark price.

Price premium= (Brand A Price – Competitor’s price) / Competitor’s price.

By calculating the price premium metrics, the pharmaceuticals can understand whether its new asthma
product will be better received in the market.

Q3. Adoption process in marketing is defined as the series of phases which a consumer goes through
before deciding of buying a product or not. There are 5 stages involved in consumer adoption.
a. Product awareness:

This stage is about creating awareness of our product. It is very important to create an awareness of our
product in the minds of our customers. If customers do not our product exists, then it might as well not
exist. In this social media era there are many tools available in the market that provide companies with
many tools to increase product awareness.

b. Product Interest:

When the customers are ready to learn more about our products or services the organization must be ready
to guide the customer through this stage by providing relevant information on the product. Nowadays
many organizations provide information about their products on their websites, blogs, posts.

c. Product evaluation:

Prior to purchasing, consumers examine, compare and evaluate the product. Consumers are
searching for information. In addition, they find online reviews and recommendations.

d. Product trial:

This stage consumers tries your product. Nothing helps a consumer  make a decision about your
product more than trying your product out! There are many ways this is accomplished. For example,
your company can provide your consumer with a free trial or a proof of concept campaign.

e. Product adoption:

In this phase the consumers are ready to purchase the product. This is the critical stage of business.
The company must make sure the payment process is simple and pain free. In addition, the company
must also ensure the product is easily available to consumers.

Even in the case of adoption process of smartphones, the company should follow the above-
mentioned stages. To create awareness the company should focus on social media marketing as the
product is technologically driven. The company should have a website for that smart phone so that
consumers can get additional information about it. The company should make sure proper reviews
about product quality and price is made available. For product trial, the company can give access
consumers to use it for some time, take it hand and use it so that the consumers can have a trial
before purchasing. At the time of payment, there should be no hassle and issues. The process should
be easy. The product should also be made available online. Since the market is flexible, we need to
alter especially the pricing to blend with the adoption process