Substitute products and supplementary products

Substitute products and supplementary products

is an economic term used to describe the relationship between related goods for consumer consumption. Substitutes are goods that can be used interchangeably for consumption, such as soft drinks and fruit juices. or coffee and tea Complementary products are products that are used together to increase consumer utility or satisfaction, such as toothpaste and toothbrushes. or cars and fuel

Substitute and complementary products affect the demand and price of products in the market. If the price of substitute goods increases The demand for substitute products will increase, for example, if the price of coffee increases. The demand for tea will increase. If the price of additional goods increases Demand for key products will decrease, for example, if the price of fuel increases. Demand for cars will decrease.

Complementary and substitute products affect the pricing of the main product. Complementary products are products that are used together to increase utility or consumer satisfaction, such as toothpaste and toothbrushes. or cars and fuel Substitutes are goods that can be used interchangeably for consumption, such as soft drinks and fruit juices. or coffee and tea

Complementary and substitute products affect the demand and price of products in the market. If the price of additional goods increases Demand for key products will decrease, for example, if the price of fuel increases. Demand for cars will decrease. If the price of substitute goods increases The demand for substitute products will increase, for example, if the price of coffee increases. The demand for tea will increase.

Marketing planning is the determination of business goals, strategies, and marketing operations. To be able to create interest, satisfaction, and loyalty to customers. and increase sales and profits for the business

Marketing planning has several steps. This may vary based on the nature, size, and purpose of your business, but generally speaking, the main steps most businesses will use include:

1. Analyze the business before planning marketing with a SWOT Analysis, which is an analysis of the strengths, weaknesses, opportunities, and threats of the business. By considering both inside and outside the organization.

2. Survey and analyze target groups This is to find information about customers who have needs, interests, and ability to purchase products or services of the business. and segment customers according to appropriate characteristics

3. Create clear goals using the SMART technique, which is to set goals that are specific (Specific), measurable (Measurable), consistent with the possibility (Attainable), appropriate to the situation (Realistic), and time-bound (Time-bound)

4. Set a marketing strategy and set KPIs, which is choosing the methods, messages, and media that will be used to communicate with customers. and determining indicators that will be used to monitor and evaluate the performance of goals.

5. Set the budget that will be used throughout the marketing plan. This is the calculation of expenses that will occur in implementing the marketing plan. and allocation of budgets to suit various activities

6. Create a backup marketing plan. This means preparing a marketing plan that can be used in place of the main plan in the event of unexpected situations. or there is a change in the market or competition