Cumberland Metal Industry Case Study

...

through TV, promotional email, and direct face-to-face communication and events. They need to establish a network to increase the public relations. Professor McCormack is a great example of one that they could endorse CMI’s new product. Being endorsed with a respected individual builds character and trust with the product.

The third thing that CMI needs to do in relation to the marketing mix creates a promotional plan that attracts consumers on the value and benefits of the new product. They must make sure that the consumers know the health benefits, safety (they do not overheat and explode like the asbestos), cushion pads prevent the shock of the hammer from any damages towards the piles, the quality that goes into each pad and the money that they will save compared to others.

Targeting

Targeting those who rent equipment only makes up 25% of pile driving contractors, so CMI should focus on the 75% who already own their own tools. Customers who own their own will drive the largest sale and might even repeat customers because they always buy their own cushions for the hammers and only want the best quality for the equipment.

Conclusion

CMI should focus on selling only the most popular size (11 ½ in) of pads for $140 each to receive a 50% margin. Advertising and target to those who are contractors and own their own equipment because they are the ones that want to receive the best tools. Advertising through seminars, events, emails and face-to-face communications. When CMI gets their desired patent, it will ensure that as a company they continue to grow and make a profit.