Offering Services at the Healthcare Marketplace Sector - Coursework Example

 HEALTH SERVICE Please respond to the following: "Marketing Segment and Perceptual Map" Evaluate the value and utility afforded by Philip Kotler’s Segment-by-Segment Invasion Plan as a tool for mapping current and future market segment pursuits. Provide support for your rationale. Philip Kotler’s Segment-by-Segment Invasion Plan has relevance with the dynamic business world in this wake of globalization. This concept is imperative in improving an existing product for specific target market to meet there changing socio-economic experiences. The plan must capture the perception of the customers on the product rather than the product itself. For new products, the existing products and customer behavior predicts future characteristics and this guides on basic value creation ideas. For the product to remain current and consistent with the changes in socio-economic characteristics of the identified target market, proactive identification of future markets segments to pursue promotes sustained growth in market size. Philip Kotler’s Segment-by-Segment Invasion Plan is therefore important for both the firm and the consumer in that it promotes customer focused products which in turn boosts the image of the firm by keeping it at its best level of performance. This concept is projected to improve the quality of product and reduce cost of production through well thought out product design. Assess the importance of a Perceptual Map for current and potential product offerings in the marketplace. Suggest one (1) way in which this instrument can be used by marketers to affect better product positioning outcomes within the health care industry. Perceptual map for current and potential products offering is critical in the contemporary business world. Increasing costs of production against competition for market is an issue the producers have to deal with. Healthcare sector has gained much attention in the recent times and the industry is highly competitive. It is therefore imperative that Perceptual Map remains the best instrument to penetrate the market and sustain the competitive threat from other firms. This concept is central in product position since the new product can be designed relative to the existing one but with more details that formed part of the customer need gaps. This will improve chances of producing a product that fits in the value ranks within the mind of the customers. Taking the example of healthcare insurance firms, coming up with varied age bracket policies is likely to gain market towards the increasing demand for healthcare across the world.   My Classmate, Latrice Fields, wrote the following: Evaluate the value and utility afforded by Philip Kotler’s Segment-by-Segment Invasion Plan as a tool for mapping current and future market segment pursuits. Provide support for your rationale. Philip Kotler's Segment-by-Segment Invasion can be defined as a means of identifying future market segment by determining which products should be offered and to whom these products would appeal to and how to get the market interested in said products. It is a tool used to expand current products and to embark on future products pursuits based on the needs of the target market. Kotler's mapping of current and future markets segment pursuits also allows an organization to best match their products with a particular target group. The Segment-by- Segment creates a concise self and competitive assessment of the current market and illustrates the anticipated market segment for a particular product (p119 and 120). A successful mapping strategy produces a stronger relationship and supports further improvements (Williams and Torrens, 2010. p493). A good mapping tool can be an important driver for continuous product improvement and help the business stay current on best practices to stay in the growth stages of the organization. Mapping current and future market segment pursuits varies because customers buying decisions change year to year, or even month to month. Having an effective mapping segment can help to quickly identify when these changes happen and allow for timely products to be placed and monitored to increase profitability for the company. By proactively identifying future market segments to pursue, marketers are better prepared to embark on a course of sustained growth (p118). Philip Kotler's Segment-by-Segment Plan Invasion is a good tool to also help prioritize the development of a new product, to show the specific product features, and to determine the most appropriate time to produce the new product into the market. Reference: Fortenberry, John L. (2010). Health Care Marketing: Tools and Techniques; third edition. Sudbury, Massachusetts: Jones and Bartlett Publishers. Williams, S. J, Torrens, P. R. (2010). Introduction to Health Services. Mason, Ohio. Cengage Learning. Using Market Segmentation for Better Customer Service and More Effective Strategic Planning. (2009, November). Retrieved February 2014 from Business Decision: www.civictechnologies.com Craig, H. (2009). Customer Segmentation: A Powerful Tool for Business Growth. Retrieved February 2014 from Trout Creek Consulting, LLC: www.troutcreekconsulting.com   Assess the importance of a Perceptual Map for current and potential product offerings in the marketplace. Suggest one (1) way in which this instrument can be used by marketers to affect better product positioning outcomes within the health care industry. Perceptual Map is important for current and potential product offerings in the marketplace because it compares products and potential products based on the perceptions of their customers (Wiley). Perceptual map helps to identify what images its potential customers have of a particular product and how they will react to the brand, product, services, and other market offerings (Wiley). In the health care industry perceptual mapping can be used as a guide to get feedback from their patients and other customers as to what they think of the products being offered at this point and in what ways they can improve on those, or possibly introduce new products. To assess products using Perceptual Map, marketers (1) identify the offerings to be evaluated, (2) construct the map diagram, (3) determine the product-related attributes that will compose the map's axes, labeling the diagram accordingly, (4) gather data pertaining to consumers perceptions of products to be evaluated, and (5) plot the coordinates of each product on the Perceptual Map (p125). A Perceptual Map has many dimensions to help evaluate and utilize how a product can appeal to its current patients and to its potential patients, and also how it stands up to its competitors. In the health care industry, when using a Perceptual Map, it can help the health care marketer see where they offer similar products as their competitor and at what point they can consider introducing a new product into the market. When searching for the market segment, the health care marketer can look for the ideal points location set up on the perceptual map and in those areas they can decide on the best product positioning to achieve their goals. Response I agree with the opinion of the writer in regard to the Philip Kotler’s Segment-by-Segment Invasion Plan and Perceptual Map. The facts presented are relevant to the subject and clearly identify the contemporary marketing strategies and subsequent outcome. The ever changing market requires producers to focus on customer needs and source of threat in the industry. Through Philip Kotler’s idea, the writer gives an in-depth analysis of market fundamentals and the prerequisites to sustainable product market growth. The flow of information and organization of ideas in this work is excellent. Grammar and other language skills are well addressed through this work with main themes given much emphasis through sound diction. The concepts in marketing are defined and relationships accurately drawn with good examples. This work therefore stands out coherent and relevant to the question. References: Fortenberry, J. (2010). Health Care Marketing: Tools and Techniques; third edition. Sudbury, Massachusetts: Jones and Bartlett Publishers.  Wiley, C. (2003). What is Perceptual Mapping in Product Development? Retrieved February 2014 from Small Business Chronicles: www.smallbusiness.chron.com Discussion Question 2 Please respond to the following: "Product Ladder and Hierarchy of Needs” Assess the importance of the Ries and Trout’s Product Ladder as a target marketing device within the health care industry. Provide a rationale for your response. In regard to the increasing competition in the business world, marketing strategy is the key to survival. It is because of this scenario that Ries and Trout’s Product Ladder as a target marketing device comes in handy. In the past century, product brands were limited and the pioneers created some level of confidence in the minds of the consumers. This lead to ranking within the clients minds on the variety of products on offer. It is therefore difficult to succeed in the market with a new product unless target market concept is reinforced by ability to recognize the section of the rank ladder the product falls. With focus on the healthcare industry, Ries and Trout’s Product Ladder enables new entrants to position themselves by developing an alternative product to the leader in the mind rankings of the customers. This helps in securing a market niche through strategic position close to the existing product .The justification behind this marketing concept is promotion of production of many other alternative drugs for the increasing size of the healthcare industry. Assess the level of necessity for health care marketers to possess an effective understand of human motivation in order to better understand their customers. Provide at least two (2) specific examples of the use of human motivation within a health care organization. Human needs are subject to taste and preference which are in turn influenced by internal motivation. It is therefore important that for a product to get its way in the market, the target group must be identified in terms of the socio-economic class which reflects their level of needs. The Maslow’s hierarchy of needs is a critical concept that marketers need to take into consideration when treating prospective customers. Healthcare marketers need to provide different medical products that suits different people in the society. For instance, the elite are at the top of the Maslow’s hierarchy of needs and require quality and customized care while the poor needs basic and cheaper products that will meet their immediate needs. In the event that no clear boundary is made in terms of market segmentation, the product will not survive in the market. My Classmate, Arlette Mungroo, wrote the following: Assess the importance of the Ries and Trout’s Product Ladder as a target marketing device within the health care industry. Provide a rationale for your response. I think the Ries and Trout’s product ladder strategy to be very interesting. It does make quite a bit of sense when you think of the process. For example, when I go the pharmacy to purchase sinus medication there is quite a variety of different one’s to choose from but in my mind I know which one ranks first which is Tylenol. And when my husband goes car shopping he will only go to Nissan so they are definitely top in his mind. Going back to healthcare service it can be quite difficult trying to determine what patients will rank fist in their minds, this is why a target market is so important allowing marketers to narrow down to a specific group. According to our text the Product Ladder provide great assistance to markets in their endeavors to achieve prominent positions for their product offerings in the minds of consumers. It is equally interesting how Ries and Trout’s Product ladder ties into Maslow’s Theory linking marketing to human psychology. Which states you can connect best with prospective customers if you appeal to their needs in a relevant, meaningful way. Making customer satisfaction surveys very important and performing periodic evaluations of your marketing techniques due to frequent changes in your selected target market. Assess the level of necessity for health care marketers to possess an effective understand of human motivation in order to better understand their customers. Provide at least two (2) specific examples of the use of human motivation within a health care organization. I feel it is imperative for marketers to have a good understanding of human motivation in order to understand their customer’s needs and wants. In the healthcare industry customers wants the best service at an affordable price, they also want to feel comfortable and cared for, most of all patients like to know that their needs are being understood and met. Here is where Maslow’s hierarchy of needs come into action beginning with physiological, or basic life survival, needs, to safety and security, self –esteem and self –actualization. By understand the level of need your patient is trying to meet, and then you can market your product in a way to convince them that it will be fulfilled. Response The writer’s assertion on the importance of the Ries and Trout’s Product Ladder as a target marketing device within the health care industry concurs with my opinion. The ideas expressed in the justification gives a clear picture of the nature of humanity in terms of wants. Each customer is unique and specific in what he/she wants and this forms the basis of product ranking within the mind of any customer. Considering the clear use of examples by the writer, she explores the basic factors critical in successful introduction and position of a new product in the market. Coming up with close competitor’s product makes more appeal and increases chances of succeeding in creating market niche. The concept of motivation in line with Maslow’s hierarchy of needs is true when it comes to winning the heart of various customers in their different position within the hierarchy of needs. Overall grammatical accuracy is above average but the ideas are comprehensive and I therefore agree with this post. Reference John L. Fortenberry, J. (2010). Health Care Marketing Tools and Techniques. Ontario: Jones and Barlett Publishing LLC. Molly Thompson, D. M. (n.d.). Description of How Marketers Can Use Maslow's Hierarchy of Needs. 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