If you have read the industry newsletter this period there are three new Vodites in the market (two from Team A and one from Team I). They are all very high-end products with base costs around $400 and pricing in the range of $1000. Last period we were forced to order less Vodite market research studies due to insufficient funds for R&D. We are no longer 100% confident that that our Vodites currently under R&D will appeal to the Vodites target markets given that they are comparatively less sophisticated than the Vodites being offered by Teams I and U.
As for Sonites, we got rid of most of the SONY inventory but unfortunately we have loads of SOLD leftover. We are continually losing our competitive positioning and market share in the Sonites market because our Sonites are not aligned closely enough to their respective target markets (after everyone’s modified their products). In light of this situation, we are planning for most of our budget to be spent on modifying our Sonite products to better target them to their intended segments. A new tool we have picked up on is the advertising experiment research study which gives us an idea of where we are overspending on advertising in the previous period — from this study we now know we can cut down advertising and spend that additional portion of the budget on the remaining R&D of PVOVO (which is expected to be launched next period under the name VOTI).
It is frustrating that we sacrificed our opportunity to gain first-mover advantage in the Vodite market because we did not have a big enough budget this period. Regardless, we believe that being risk averse will help us bounce back from financial hardship as opposed to dig ourselves deeper into trouble. The plan with respect to launching VOTI is to get more information on the Vodite market rather than enter it with a “pure guessing” strategy.
We know we will be able to get back to the top. It is just a matter of time, and maybe luck (we definitely need some luck when we launch VOTI!).
It is frustrating that we sacrificed our opportunity to gain first-mover advantage in the Vodite market because we did not have a big enough budget this period. Regardless, we believe that being risk averse will help us bounce back from financial hardship as opposed to dig ourselves deeper into trouble. The plan with respect to launching VOTI is to get more information on the Vodite market rather than enter it with a “pure guessing” strategy.
We know we will be able to get back to the top. It is just a matter of time, and maybe luck (we definitely need some luck when we launch VOTI!).
4 comments:
WOW. I can’t believe my sales went down 38%!!! What are y’all doing to me? Are you trying to kill me? You might as well just give me a can of poison and get it over with. Argh. Why don’t you try to improve my performance? The others obviously perceive me to be lacking in that field. Even I can see that! At least y’all are making a reasonable profit margin off of me compared to my competitors. Now, I also noticed that y’all aren’t dedicating much of your sales force on me (actually the least amount compared to your other products in the market). Is there something that you aren’t telling me? I know I’ve been around since way back when, BUT my fans need some push into buying me. I can’t just jump out at them when they are in the store!
Toodles,
SOLD
You guys can’t get enough of me can you? Another rise in my volume sold while my fellow Sonites are failing terribly – am I always the one holding us up? I know my previous results got everyone excited and they pushed for me even further, but no one knows my potential. I’m at the perfect price of what Singles want and had to raise my price $10 to satisfy them, and maybe lower my convenience a bit – I’m too ready for them and they just don’t like it. It’s so hard to satisfy this group.
So once again I’m doing what I do best – FAILING! Another loss that I’ve caused our company, and it’s obvious no one wants me around. It’s so lonely sitting around in the middle of nowhere on the perceptual map, there’s no one to keep me company and there’s no one who wants to use me. It’s not surprising I’m doing worse than last period with a 15.9% drop in my volume sold. They just want to get rid of me…they’ve had enough of me so I don’t think I’ll be around much longer. *sigh*
Woe is me.
My sales have dropped by 12.8%. Darn it! I had a funny feeling that I just should have stayed in bed this morning. That’ll teach me to listen to my intuition and sleep through those terrible days you want to forget. HOW COULD THIS HAVE HAPPENED TO ME?!
Drastic measure must be taken to solve this, so it’s time for a facelift! I’ve ordered an R&D project to make me EXACTLY the way Hi Earners want me. Healing time might take a while, so no one is going to see the new and improved me for a while yet.
Sigh, SONO
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