Compose a 500 words essay on Product Strategy, Pricing, and Distribution. Needs to be plagiarism free!
Product strategyAspirin as an external and internal analgesic is an example of OTC substance that is approved in the United States and manufactured by Bayer. The products strategy of Bayer Aspirin is that they sell their products through retail channels. They aim at attracting and retaining customers by appealing to them to continue using the products in case it works for them (Rogers, 2001). The company boasts of the best and most effective external and internal analgesic. In the introduction state of product lifecycle, Bayer aspirin is promoted so as to create awareness using skimming price strategy. In the growth strategy, the company has increased its advertising costs to outdo the generics. The company promotes the brand name version of the product to compete the competitors with similar offerings. In the maturity stage, the company’s sales stabilize and the company uses more widespread promotion to remain in the market. While in decline stage, Bayer has introduced new more innovative products. The company also improves profit by lowering marketing spending. Aspirin has a brand name Bayer Aspirin which has not been changed since 1899. The company has spent millions of dollars to build this trusted brand image which has helped them in attracting and retaining many customers. Though the brand-name aspirin versions are costier than generics, the company still has high sales volume due to loyal customers.Being a high-end provider, Bayer Inc includes distribution factors in its pricing decisions.
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