Basic Marketing: A Global Managerial Approach

Perreault−McCarthy: Basic

Marketing: A

Global−Managerial

Approach, 14/e

21. Developing Innovative
    Marketing Plans

Text © The McGraw−Hill

Companies, 2002

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standard in Europe. This is in

part an economic issue. Front-

loaders heat less water so less

energy is used, and Europeans

face steeper energy costs.

There is also a cultural differ-

ence. North Americans are

more convenience-oriented, but

front-loaders make you stoop,

they spill water on the floor,

and you can’t throw in a stray

sock during the wash cycle.

Maytag’s R&D people

thought that they could use

technology to improve the

design of a front-loading

washer to make it more con-

venient and to conserve water

and energy as well. With inputs

from marketers about broader

needs in the clothes care

product-market they looked at

needs beyond just cleaning. It

appeared that a consumer-

oriented design could improve

basic benefits like easier load-

ing and gentler care of fabrics.

Competitors were also on

the move. Frigidaire came out

with a front-load unit just in

time to be the only one tested

for a Consumer Reportsarticle.

It tested well on cleaning, but

Maytag thought it fell short in

improving other customer ben-

efits. GE was further behind in

working on a front-loader. But

these were strong competitors,

so if Maytag didn’t move

quickly they could get a lead.

Maytag formed a cross-

functional new-product

development team to quickly

focus the effort. It screened

various product ideas and

strategies on criteria such as

potential for superior customer

value, initial costs, long-term

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place

price

promotion

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