Demand and Value

Targets Neiman Marcaus
               
In discussion this week the idea of assimilating or associating brands together was brought up.  I think that this was and is an innovative way to reach outside target markets and also differentiating from competition. The example of target and Neiman Marcus demonstrates the unique opportunities aligning two different businesses can have. Target closes in on standing apart from its competitors by appearing to have a higher end product while Neiman Marcus gains exposure to a part of the market it does not target.

I wonder what the outcome would be if these companies followed in Target and Neiman Marcus's shoes:
McDonald's and Chef Ramsey's Restaurant



Period 4: Pharamsim

This week we were asked to look at and evaluate the market demand and marker value of potential new line extensions. These extensions are a 4 hour children's cold liquid, a 12 hr multi capsule and a 4 hr cold liquid.

Allround is an over the counter cold medicine produced by Allstar brands.

The Brand Purchased Report  identifies 545.8 million units of over the counter remedies were sold.
The target market focuses on young and mature families.

4 hour children's cold liquid-
Benefits of launching a children's cold medicine would be increased market share. Competition in this particular niche of the market is Coldcure. According to the Brand Formulation report Coldcure is the only brand manufacturing an over the counter child's cold remedy. Of the 545.8 total units sold Coldcure sold 50.6million $5.59 which was 9.3% of the total units sold. The Brand share for Coldcure for young families is  24.6% and mature families was 9.0%. It appears that yes, there is room in this market for additional cold remedies for children.

Purchases Survey Details for Coldcure hide details
	Market units purchased: 545.8 Coldcure units purchased: 50.6 Pct of Market Brand Share Pct of Brand Cold 74.0% 12.5% 99.8% Cough 14.9% 0.2% 0.2% Allergy 11.2% 0.0% 0.0% Young Singles 14.5% 0.0% 0.0% Young Family 26.8% 24.6% 71.1% Mature Family 29.7% 9.0% 28.9% Empty Nester 14.8% 0.0% 0.0% Retired 14.2% 0.0% 0.0%

12 Hour multi capsule- This product is has a great opportunity to take over the market because of its longevity however, allround already has a 4 hour multi liquid and this would be an introduction of the same product. Unless, they can advertise it like a luxury brand as was discussed in this weeks lecture. Allround has sold 124.7 million units at $5.29. And has the largest market share.

Purchases Survey Details for Allround hide details
	Market units purchased: 545.8 Allround units purchased: 124.7 Pct of Market Brand Share Pct of Brand Cold 74.0% 23.5% 76.2% Cough 14.9% 35.3% 23.0% Allergy 11.2% 1.7% 0.8% Young Singles 14.5% 20.9% 13.2% Young Family 26.8% 19.7% 23.1% Mature Family 29.7% 21.6% 28.1% Empty Nester 14.8% 22.2% 14.3% Retired 14.2% 34.1% 21.2%

	4 Hour cold liquid- This product much like the 12 hr multi cap will be pose an a threat to the all ready existing 4 hr multi liquid by Allround.  Allround multi can and is used as a cold remedy and it would be introducing the same product into the market by the same brand. No Not to mention there are several other brands that produce the same product. Coughcure and End produce 4 hour cold liquid. End sold 50 million units at $4.79 and Coughcure sold 35.2 million units at $7.09.
	When analyzing the market demand and value for a extension line for Allround. I would say that the best possible addition would be the 4 hour children's cold liquid. This product has the most room for growth and market capture.