Niche Market Launch
PROs
CONs
*Cost for advertising, consumer and trade promotion is lower compare to mainstream.
*Huge market to explore – Emotional Shaver makes 39% of nondisposable razor user
*The advantage of being enter to niche market is by conquering the small portion of market its easier to control the customer buying response and also easy to evaluate customer feedback. By then, it also can improve more in the future.
* Useful approach, which can help businesses to increase their financial gain margins.
* Niche market also is a cost-efficient strategy which the company can use the allocation budget of product launching wisely.
Suggested price is higher than its closest competitor Naiv. Less competitive because is small targeted of market and less competitors
Hardly to grow bigger because the market tendency to buy the product is not frequent.
Difficult to get brand or customer loyalty because the market is less competitive, customer have no choice.
Mainstream Market Launch
PROs
CONs
Wider and larger market to grab.
Technology offered by Clean Edge will influence customer’s purchase decision to buy Paramount product.
Will compete against it own product : Paramount Pro and Avail. Product cannibalisation will occur as 60% of Clean Edge sales will come from Pro and Avail users.
High cost of advertising and marketing approach.
Buyer may change to other brand due to if company lack of advertising to convince about the product.
From Niche to Mainstream
PROs
CONs
Easy to get customer loyalty because of the small market already attain by the producer. This can consider as conquering the niche market so that when get enter into the mainstream, the company already have their own customer and follower.
Previous profit from niche market ventures can bare production cost covering higher budget for promotion..
Proliferation of brand positioning and bring to