Perceptual Maps in Marketing Simulation

Perceptual Maps in Marketing Simulation

Introduction

Marketing of any product or services remains doubtful with its launch. Now-a-days with the help of efficient software it has become easier for marketers to create transparent and quantitative models that eventually makes better planed ideas (Perreault, 2004). Perpetual Maps are being widely used in marketing, it is considered as an effective tool that efficiently presents products to the consumers. Perpetual maps provides visual representation of the product and how the product is placed in the market (Jayalath, 2009). The customer is then left to judge the product on various aspects of similarity, satisfaction derived from the product, producing company, or brand, and purchasing likelihood. In other words perceptual maps is an effective way to visualize the position of the organization in the market so that organization can visualize their position against their competitors.

On the other hand simulation can be defined as a way in which people visualize a hypothetical situation and the way it would be visualized in real life situation. In this paper we have taken a fictional story that use perceptual map to build effective marketing strategy. In this paper we have included description of the situation, recommended solutions, and simulation results. In addition we shall describe the relationship between positioning and differentiation of the product. In the end the will discuss impact of product life cycle on marketing and its effects in the product in simulation. The product chosen for simulation is Cruiser Thorrr Motorcycle.

Overview

The simulation is related to Cruiser Thorr motor company which besides motorcycles offer various other products as well such as software packagesm leather goods, rider training, and motorcycles rentals. The company is very famous in producing high quality motorcycles. Actually the company produces more than 200,000 units per year which overall holds 40% market share. The company targets people aging between 35 to 50. Low cost motor cycle is preferred by young customers (University of Phoenix, 2006). Cruiser Thorr motor company is losing its market share therefore the company is required to revamp its products according to customer's needs and wants.

The Situation

The situation is that the sales of Cruiser Thorr Motorcycles is declining. The older targeted customers have grown up or are growing and eventually losing interest in motorcycle ride. On the other hand because of the high price of the product young people are not able to afford ...