Know-How Exchange : Strategy

You start, as you say-- with your costs plus percent of profit. That is wholesale. Then if the product is going thru distribution, add typical markup for your industry. That is suggested selling price.

Looking at that number, shop the competition. I'd go out and purchase similar items and when you justify your numbers, have them on hand for everyone to review. Drill deep, are there features and beneifits of your product that provide a measurable difference and can justify higher selling price? Are you competitive. You don't have to be the cheapest, in fact that is a losing strategy.

If you are having problems justifying your costs, have every dept review what they are doing. Cut costs by better purchasing, in manufacturing-- your job is to preserve profit.

One of the biggest mistakes a new marketer can make is to assume that your boss expects you to know it all without having to ask. You even said it yourself when you said that he is testing to see what you can learn.

It's time to ask him some questions such as:

- How have we launched products in the past?
- What kinds of things worked well and what didn't?
——谁管理启动?如果那个人仍然是in the organization they probably have some good advice.

Whatever the launch plan is, you need to document it. Once you have it documented, it's time to ask questions like, "where are the holes?" and "How can we make this stronger?"

As a manager of many new marketers over the years, I can personally tell you that the ones I appreciate the most are those who:
- ask questions
- come up with ideas (even if they won't work at least I know they are thinking)
- don't expect me to do the work for them.
- keep the ego in check. It's the biggest obstacle to learning

Sounds like you're started off on the right foot and your boss has some confidence in you.

All the best!

Melissa

can you provide more information? For example, is this a product for businesses or for consumers? Will you sell the product directly or through resellers or agents? What is an approximate price range for the product? Is the product similar to the company's current products, or is this an entirely new sort of product? Do you have a budget for the product launch?

The advice above looks very good to me, but the more details you can get us, the more helpful and accuratel we can be with our advice.

can you provide more information? For example, is this a product for businesses or for consumers? Will you sell the product directly or through resellers or agents? What is an approximate price range for the product? Is the product similar to the company's current products, or is this an entirely new sort of product? Do you have a budget for the product launch?

The advice above looks very good to me, but the more details you can get us, the more helpful and accuratel we can be with our advice.

To answer this question properly, more information is definitely needed as has already been suggested. However, for your own benefit you need to understand how the brand you are marketing is positioned in the marketplace in order to launch a new product successfully. You will need to do your homework. Do your own market study/competitive analysis, ask questions and find out what has been done previously for other launches. Get the history that went into the decision-making process to create this product. This helps with pricing-the bottom line is that the product needs to be priced to be in sync with the rest of your line and to what the marketplace can bear, at an acceptable level of profit.

First, you need to agree up front with your boss what the potential sales are, and what budget will be allocated for the launch. It will be difficult to make any recommendations without knowing how much money you have to spend. Study marketing spend ratios for your industry. New products need to have a higher spend for launch as a percentage of planned sales. Know your stuff and be prepared for the budget discussion with your boss-have a recommendation for the spend and be prepared to back it up with research.

You also need to understand your target audience and have a feel for what they will respond to. Gather all available research on your target market and consider conducting an online survey if feasible to help guide your decision making.

Hope this helps-just a few generic tips to think about.

Good Luck!
Linda Whitehead
ZUZ Marketing

stubahn is right. You wil never get more for a product than the price u set. good advice