Marketing and Paul Logan Essay

ACA is a marketing consultant firm specializing in creating strategies to assist businesses. Our burster is to aid your companion by planning suitable approaches to support filth transition for Manchester Products.Business OverviewIn the case of the Manchester Products A Brand Transition take exception (Quelch, 2009), Manchester Product was a manufacturer, which offers premium office article of furniture. Also, the company is one of the leading office furniture brands in the United States because of their skills in engineering and ergonomics that render the companys intersections become popular in term of style and comfort. However, the research by the company shows that 5% of their consumers purposely bought office furniture products for home. Therefore, Manchester has pertinacious to levy household furniture market with the acquisition of capital of Minnesota Logans Furniture Davison (PLFD). Also, Paul Logan is a well-known brand for home furniture callable to its fashionab le and colorful style, which confines its products unique. In addition, the acquisition only included a furniture division however, Paul Logan still runs the apparel, fashion accessories, and home dcor divisions. Also, Paul Logan allows Manchester to use its brand name for only a three-year period.SWOT AnalysisStrengths- Manchester has a strong reputation and brand image in the office furniture market, while PLFD is the leading brand for household furniture. Therefore, the coexistence of these two popular brands will allow the company easily promotes its products. Also, the acquisition of PLFD will allow the company to fly off the handle its product line as well as gain market share from household furniture market. In addition, the company financial was stabled and expected to fester by 30% in 2005.Weakness- the company is struggling with their distribution network because office furnisher distribution did not interact with home furnisher distribution network. Thus, the consumer capability shake off difficulty to access home furnishes products line.Opportunities- the economy started to recover after the recession period, and it seems that the household furniture industry has been growing since 2002. Therefore, there is a potential for Manchester to enter the home furniture market during this period.Threats- the increasing number of imported furnishers from China and Mexico has threaten the United States furnisher industry because these regions have lower labor cost, which make product less expensive. For instance, over the past five years, the percentage of importing furnisher from China increases by 154%. If the low-cost imports trend from overseas still continues increasing, the United States furnisher industry talent collapse in the future.Synopsis of the current situationThe case, Manchester Products A Brand Transition Challenge, Quelch (2009), reports that Manchester is facing the challenge of brand transition as well as determining the marketing ex penditure to support the transition of the brand. Paul Logan has strong brand images, which allows Manchester to easily promote household products. However, Manchester can use the Paul Logan brand only for three year, so after three years, the company has to change the name and by that time its power struggle to rebrand itself. Therefore, the company must make sure at first place that the consumer will not confuse or mislead with these two brands.On the other hand, the company should take avail of Paul Logan brand image because consumer have confident to buy Paul Logan product because in the sense that they will receive a high-style and quality finisher. Moreover, since the company will use Paul Logan brand only for three year, thus company have to determine the marketing expenditure for Paul Logan by decision the right advertising strategy and promotion programs. Currently, Paul Logan mainly spends its marketing budget on push programs such as volume discounts because the company believes that rebate program will lead to successful distribution network. Whereas, Manchester focus on pull program such as national adverting because advertisement will stand by company promote the brand as well as provoking of sales.Identify Key Marketing conceptsCustomer brand roles- brands will give the familiarity about the product to the consumer. Once consumers has experienced the product and its satisfied their need. Also, when consumer already have knowledge about the brand this will make they feel more(prenominal) comfortable for the next purchase. Purchase decision alike became less. Paul Logan is already a well-known brand for household furnisher, and consumers have their product experience and knowledge about the brand. Thus, for the next purchase, the consumer will have confidence to buy the product because they has their experience in the brand and feeling they will receive quality piece. However, if Manchester considers rebrand itself, it might take time for c onsumer to learn about the brand also purchase decision is more longer than buying the branded ones.Company brand roles- to protect the brand, the company should be able to keep the feature of the product, such as design, also the brand will help company-categorizing product. For instance, Manchester is known as an office furnisher and consumer might be confused if Manchester used the same brand name for household furnisher product line. Thus, the Paul Logan brand has a stronger identification for household furnishers, and it will also help consumers not be confused about the brand.Competitor brand roles- the competitor of the market-leading brand is aiming to compete by building product to target at the market leader. For example, National Furniture Company, which is Paul Logans competitor in terms of price point, realize that Manchester and Paul Logan will merge that brand. National takes avail of the uncertainly association by announcing price reduction.