And now some pricing terminology

When he calls after the contract expires he is an apparently loyal customer and as a result he is likely price insensitive, so they can charge the higher price.

He asks for a lower price but there is no reason for them to do this and so they say no.

But when he says that he is leaving they realise that he either has substitutes lined up or does not need them any more, but whatever the reason not only is his demand price sensitive, but he is also prepared to act on it.

This last bit is very important.

He has to convince them that he is willing to back up words with actions.

They then reduce the price.

Selling luxury cars

I’d have speculated (since I am not in the market for these products myself) that selling luxury cars would involve presenting them in a special way and giving the purchase a sense of occasion.

In contrast, this dealership in Riyadh has luxury cars piled up like tins of tomatoes.

Perhaps the local clientele prefer seeing as much choice as possible and value that over lots of space being dedicated to any individual model.

You get the impression from the selection featured that they’d like to see as much variety as possible in terms of models and shapes and sizes.

Airline ad space marketing

I like the materials that airlines produce to sell ad space either on their inflight programming or elsewhere. Like other media kits produced by publishers, they contain useful demographic, psychographic, and behavioural information about the segments that advertisers can reach.

The image below shows that a large proportion of easyjet flyers are in the higher social classes and, therefore, likely to have more money to spend. Despite the airline's budget positioning, a good proportion are in management positions and also fly for business—all attributes that suggest they’ll have money to spend on the products being advertised to them.

Leveraging Del Monte

I’d not seen this anywhere else, but it seemed like a good use of the Del Monte brand. We associate it with fresh and good-tasting products, albeit at a relatively high price point. And let’s face it: most people who use Kuwait airport, where I saw this, aren’t running out of money any time soon.

However, to help convince customers to pay the extra, this outlet was located by the departure gate, so choice was limited.

I’d be interested to see whether the concept expands to other locations.

Tangibility

In the old days you could sample fruit to capture all the information you needed to assess how good or bad they were.

That made these products tangible.

Then they put them into packets and tasting was no longer possible, so they became relatively intangible. But people still wanted to do the next best thing and they started squeezing them to see how ripe (soft) they were.

So now we have this and strawberries are even more intangible since the only cue you have about their quality is their colour

Trait adoption vs. passing off

This is a good example of a marketer identifying that a competitor brand has established characteristics that consumers now associate with quality and that they want to adopt these, without wanting to pass themselves off as the competitor.

“Realising the opportunity, a local cigarette maker, Pyongyang Taeson created a cigarette that borrowed (!) many of the traits of the imported cigarette.

They used a bold green, gold edge and fancy embossing with golden text.”

— https://koryostudio.com/blog/smoking-is-good-for-you-north-korean-propaganda-poster

The brand being emulated is the Rothmans packaging on the right and the brand that was inspired by this is the North Korean cigarette brand on the left. Note that the indigenous imagery being used by the North Koreans shows that they are not trying to pass off as an international brand. Rather it’s the colours and stylying that are being copied to denote quality.

Customer Co-creation

I see this as an example of customer co-creation. A consumer who uses a product comes up with an innovative variation, which is then adopted by the company. Also, it does seem as if the company and the consumer ‘get on’ because she’s at a corporate stand promoting the product.

Disintermediation

I originally posted this because i needed some place to park the diagram, so that a Kahoot quiz could pick it up!

The only disco in Venice

The photo is useful to stimulate a class whether this has any competition or not.

Not 'physician heal thyself' but practitioner ...

At LSE this is a useful prompt for discussions around what topics might be covered in the focus group and why.

The hierarchy of effects and more

The FT has these little quizzes about a variety of different brands and they effectively map the journey from lack of awareness to loyalty. No doubt useful in the FTs own efforts to sell advertising and other promotions to potential clients.

An illustration of gains and losses

So consumers who perceive that a lack of alcohol may also lead to a loss of taste are assured that it won’t. This links to the idea that consumers perceive losses more acutely than gains (of the same size). The picture was taken in the Singapore MRT.

Pay it forward

This concept appeared in a number of different guises during the lockdown periods of the coronavirus pandemic. Here’s one application of the concept.

Tangibilising the benefits

We all know what the benefits are of taking the stairs but we likely don’t know how much. Here’s one way of making the experience feel better.

Marketing radioactivity

Fascinating how these people try and diminish the risks that people perceive with radioactivity, note the references to everyday things and make it seem that living next to a nuclear power station is no big deal at all.