Tag Archives: product positioning

Billie Body Brand – No More Pink Tax!

Why is it that many products that are quite similar in scope and use cost more when sold to women compared to men? It’s sometimes referred to as the “pink tax” when women are charged more than men for feminine products and general services. According to a study done by New York City in 2015, girl’s clothes cost 4% more than boy’s clothes, women pay 7% more than men for accessories such as bags and watches, 8% more than men for clothing, and 13% more than men for personal care products.

Enter Billie – a company that offers a direct-to-consumer product line of female-focused razors, shaving creams, and lotions developed – and priced – for women. One might think of it as the female equivalent of male-focused Dollar Shave Club, but according to Billie’s founders, it really wants to be a friend to its customers and be considered a body brand. It offers a subscription service of razors delivered every one, two, or three months at a price point of $9.00, including free shipping.

Billie makes a point of listening to its customers and forging relationships. They try to treat customers as friends and be helpful and in tune. Billie doesn’t want to tell women how they should look, but do want women to have a choice and provide an affordable solution designed specifically for women.

No more pink tax!

Group Activities and Discussion Questions:

  1. Discuss the stages in
  2. The New York City study report: http://www1.nyc.gov/assets/dca/downloads/pdf/partners/Study-of-Gender-Pricing-in-NYC.pdf
  3. View
  4. View Billie’s story: https://youtu.be/810UnL8ZTNk
  5. View Billie Web site: https://mybillie.com/
  6. Discuss competition: what are the direct competitors for this product? Indirect competitors?
  7. Divide students into teams. Have each team compare one of Billie’s product with a competitive product. What are the points of difference?
  8. Draw a positioning map for Billie.

Source: Brady, S. (8 May, 2018). Making mundane magic: 5 questions with Billie co-founder Georgina Gooley. Brandchannel.com

 

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Google Glass Evolves and Repositions

Remember Google Glass? Google Glass had a short life; it was pulled from the market in 2015 amidst complaints about technology, usefulness, price, and privacy. The original product was focused on consumers as wearable technology. The glasses had a smart heads-up display and camera, allowing users to connect to data and share information and images.

However, Alphabet (Google’s parent company) has now relaunched the product as Glass Enterprise Edition (EE). The new Glass EE is being repositioned into the enterprise/industrial market as wearable tech for workers. Alphabet has been testing Glass EE at locations for companies including Boeing, General Electric, Volkswagen, Samsung, Sutter Health, and DHL.

The Glass EE looks similar to the original, but has a better camera, extended battery life, faster Wi-Fi and processor, and has a new red light that turns on when recording. The electronics are now modular in the shape of a pod which can be detached and reattached to any frame, including safety goggles.

How useful are they? GE reported a 46% decrease in time for certain activities, and 85% of the workers believe the system will help reduce mistakes. Glass EE is sold exclusively through Glass Partners. Prices vary depending on the software customization, customer support, and training.

It’s tough to reposition a failed product, but Glass EE seems ready for an entirely new market.

Group Activities and Discussion Questions:

  1. Review key aspects of developing a product positioning map, including determining the axis labels for positioning.
  2. Review Glass EE product: https://www.x.company/glass/
  3. What products are competitors (direct and indirect)?
  4. Divide students into teams and have each team develop a positioning map for Glass. Start with the original Google Glass, and then reposition for the Glass EE product.
  5. Have each team draw their map on the board.
  6. Debrief exercise.

Source: Wired, New York Times, Wall Street Journal, other news sources

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Vehicle Dependability Study

Cars are one of the most expensive and involved purchases that consumers make. They have an extended decision-making process, use multiple information sources, and include multiple evaluation criteria before making a final decision. The decisions that car buyers make impact not only their immediate budgets, but also their long-term budgets with respect to repairs and vehicle dependability (post-purchase behavior).

One source often used by consumers is the J.D. Power Vehicle Dependability Study. According to the most recent study, car buyers avoid models with poor reputations for dependability. The good news is that buyers do not have to spend a lot of money in order to get a dependable vehicle.

The study examines problems experienced over the past 12 months by original owners of 3-year cars. Eight categories are examined, including exterior, engine/transmission, audio/communication/entertainment/navigation, interior, features/controls/displays, the driving experience, heating/ventilation/air condition, and seats. The survey examined responses from 35,186 original owners of 2014 auto models.

Check out the report and see where your vehicle placed.

Group Activities and Discussion Questions:

  1. Review key aspects of developing a product positioning map, including determining the axis labels for positioning.
  2. Poll students: What are factors that influence consumer purchases of cars?
  3. Divide students into teams.
  4. Have each team select two criteria and draw a positioning map for automobiles using those criteria (Ex: price and reliability).
  5. Show the J.D. Power report and video:
  6. http://www.jdpower.com/cars/awards/Vehicle-Dependability-Study-%2528VDS%2529-by-Category/1882ENG
  7. Based on the J.D. Power ranking, how could different auto manufacturers use the rankings to reposition their products?

Source:  J.D. Power, Manufacturing Business Technology

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