Product Upgrade- pie- Trap-.docVIP

 PAGE \* MERGEFORMAT 16 Product Upgrade: pie? Trap? A long time ago, I was TY the company’s marketing head. Not too long a period of work experience, but has experienced the success of product upgrades, and turned it saw the failure of product upgrades. TY, Inc. is a dairy enterprise, its product advantage is that there are medical background, the business ‘functional milk’, particularly the function of fermented milk, have a certain reputation; marketing organization’s ‘core tactical capabilities’ is doing to subscribers; disadvantage is the scale of investment is small, poor equipment, high operating costs, raw material supply instability; lead to higher prices of products, flow-based milk, juice and feel the quality is not stable. I presided over the marketing efforts for the development of both products. First, fermented milk, in the company’s flagship product, based on adding a ‘calcium’ concept, as the product of the ‘upgrade’, operate in parallel with the original product; two to transform a poor flow of juice-based milk, by adding ‘health’ factor. Result, the new escalation of fermented milk price 15% higher than the original product is still much higher than the original post-sales products, fermented milk for the company’s new high-quality products and the most important profit source; a new juice-based milk flow upgrade , unit prices increased 17%, sales actually doubled compared with the original products for more than five-fold, from a loss of flow of products into the company’s juice-based milk only profitable products. From to today, these two products still are the business flow of juice fermented milk and milk-based benefits far ahead, no one hold a candle to the product. Later, my work gradually to full-time ‘consultant’ transition, the company’s marketing needs of the market based on a successor to develop a market demand for the largest series of milk beverages; however, corporate profits actually decreased overall; another successor, pla