You Decide: Graves Enterprises - Analysis of Consumer Products Proposal

Graves Enterprises, a maker of consumer and commercial grade floor care products, is seeking to expand in both markets. Graves Enterprises is currently price comparable to its competitors in both markets. Its products are also distributed through the same distribution channels. The size and packaging of Graves Floor Care Products are also similar to its competitors. Its primary competitors are rented carpet steam cleaners, Kleen Floor, Spray ‘n" Vac, and Kleen Floor Spot Cleaner. The company products are currently being sold in grocery stores and mass merchandisers such as Walmart. This paper will examine the analysis of consumer behavior and purchase patterns as it relates to their respective markets. An analysis of the company target markets, primary competitors, pricing position, and a distribution strategy will be examined. The company's objective is to double sales in both the consumer and commercial market within the next year.

Analysis of Consumer Products Proposal

Consumer behavior is defined as the study of how individuals, groups, and organization select, buy, use and dispose of goods, services, ideas or experiences to satisfy their needs and wants (Kotler 2009). It is essential for marketers to understand both the theory and reality of consumer behavior. Consumer behavior is influenced by cultural, social and personal factors. Culture is the fundamental source of a person's wants and behavior (Kotler 2009). Social factors such as reference groups, family and social roles, and status, influence consumer behavior. Kotler also identifies personal factors influencing consumer purchasing patterns. Personal factors consist of

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age and stage in the life cycle; occupation and economic circumstances; personality and self concept; and lifestyle and values. In preparing the analysis of consumer behavior and purchase patterns, Graves Enterprises needs to identify consumer wants, needs, and factors affecting buying decisions to better serve their customers effectively. Successful marketing requires that companies fully connect with their consumers ( Kotler 2009).

Based on market research conducted, Graves Enterprises target market is homeowners, females between the ages of 29-59 with a household income of $75-$150,000. The market research done by the directors determines whether the proposal would double the company sales for both markets. After analyzing Joshua Edwards' proposal, it is my belief that it will not work. Mr Edwards proposed the development of a new product line that is promoted as " safe, effective, and eco-friendly", priced at 1.5 times the price of