Kodak Harvard Case

Case preparation memoranda GROUP NAME _____________________________ YOUR NAME_________Jordan Lewis_______ CASE __Kodak_________________ 1. What is/ atomic number 18 the problem(s) in this case? preclude it to a single statement. At most, you may point out a couple of the key questions. The problem in the Kodak case is that Kodak is losing grocery store harbor because they are reworking their crop contention, causing doubt in customer mindset. They squander created the Funtime remove to attempt to regain market survey. 2. What are the key issues? This is honorable a simple list (condensed SWOT).You do non need to discerp in great detail. The key issues are that they are losing market value by remaking their best switcher. By attempting to enter the economic system brand- charge tier, they subscribe to restructured and rebranded their other films, making their consumer doubt the quality of their original product. They have renamed their super subvention film to correlate with their premium brand, which is a strength, but could lose a some of their customers in the transition. By not intemperately advertising their brand-new line of Funtime film they run the risk of not reaching their consumer.From a telephone circuit standpoint, it seems odd to devote so little marketing to a new product, it seems as though they dont care/believe in the product to begin with. 3. What are the alternatives? Be creative What are the strategical tradeoffs (pros / cons)? This should be a list of at least 5 alternatives. They do not all have to be wonderful ideas. This is a cogitate step -Take a percentage of the advertising/marketing dollars designated to the most closely known, most purchased film, Gold incontrovertible, and use it to run one campaign for Funtime. -Find a way to package the Gold Plus and the Funtime together. Advertise and market to reliable consumers of Gold Plus, their most popular film. -Give a free sample to light speed legitimate Kodak us ers, its not incredibly costly and may be able to generate word of mouth advertising. -Sell each cockle of Funtime individually. focalise the price point a little higher than the packaged price would be, and market them as a quick solution to those prerequisite moments when a photo is needed. 4. Present a quantitative analysis of key alternatives (if appropriate). This fraction may include break still, margin analysis, ROI, LCV, etc.State clearly if you do not find relevant numbers in the case. It is an interesting strategy to sell the Funtime film in value packs. By selling them in packs they are making a relatively similar amount of money, as they would by selling one pick off of Gold Plus film. On ordinary consumers spent between $2. 50 and $3. 50 on a roll of film so by bundling Funtime together and selling them for round the same price as one roll of Gold Plus, it seems give care a higher margin could be made by selling the Funtime rolls individually. If they were to sell them individually they could sell them for 0. 0 slight than their Gold Plus and still pass a decent margin, while maintaining the lower price point necessary for the consumer. The case states that Funtime is to be sell at a price 20% less than Gold Plus, which is sold for 20% less than Royal Gold. 5. In your own words, what is your recommendation? First, what reason(s) do you have to convey this alternative? Second, how will it be implemented? Use the marketing assortment elements and research components as implementation guidelines. The previous sections can be duplicated within your group, but this part should be individual effort.The best strategy would be to concentrate on the new product line and promote it heavily with a competitive price. Product strategies I think they need to reassess the way they are introducing Funtime into the market. It flummoxs little to no sense to introduce an economy price based item into the market without advertising it. In analyzing their come out only 10% were price shoppers, but their manager of general production marketing stated that there is a significant rise in price-sensitive shoppers, so it would make sense to dedicate at least a portion of the marketing strategy to the new price point product.Go for market penetration Pricing The Funtime film is meant to fit the economy brand determine tier. The other films in this tier range from $2. 69-$2. 91. The case does not instanter state the price of one individual roll of Funtime film. It does however discover that it is only to be sold in packages of two or quad. It would make most sense to sell two of the Funtime films for the price of one roll of their premium film. However, they do offer more exposures in the pack of four and could possibly sell it for a larger margin.Especially if they are trying to make do with the private label margin which is higher than Kodaks margin. To implement this pricing strategy I would advertise a 2 for 1 or more bang for your buck strategy, emphasizing the quality or literary genre difference as well. Promotional ideas As an alternative I would ask to offer some form of promotion for the Funtime film. I find it necessary to promote a new product, rather than introduce it twice a year in limited quantities. An economy-based shopper is looking for something easy, cheap, and on the go, so make it easily accessible to them.Promote it around graduation time, wedding season, and holidays so that large number remember to pick up an extra roll of film. By evacuant it with hardly any advertising and on a limited sum of money run it doesnt show much confidence in the product to begin with, so leave it out there and promote it when necessary. dispersion tactics Distribute at point of sale, registers, next to picture frames, in the photo developing section of department and drug store. Maybe even convenience stores. It is an economy priced item, sell it where people will make it an humanitarian sale i tem.Distribute where current users of Kodak film shop so that they may suit acquainted with it and understand its use. Research (goals, methods, etc. ) Research how other companies marketed and sold their economy brand priced film. Find out which consumer would be interested in the film and target them. Use a survey to ask current consumers what price they would be willing to pay for a less premium film, and what they would expect out of it. Run a trial test in key areas and around peak seasonal times.