Steiway & Sons

Paper I Marketing 551 Marketing Analysis and Decision Making opening 2011 What should Steinway do with the Boston inciter as well as their own line of upright piano pianos? Should they discontinue one or both, or continue to make both? Steinway should continue both brands, Steinway and Boston, since they each serve different market segments and each grant their own audience. Steinway targets customers that value their premium product and can succumb to pay more for a classic of instrument small-arm Boston targets the customers who want performance and confidence of having one of the worlds finest pianos, which is Steinways value propositions, in more inexpensive price. If Steinway discontinues their vertical pianos make outly, they will essentially lose a tremendous market in US as well as the rest of the world. The Boston brand will enable Steinway to postulate more effectively in the market by having a product that is priced demean without damaging their well established Steinway brand by cuting the price of it to compete. During the eight years of (1987 to 1994), on average, vertical pianos have been contributing around 50% of the total revenue of pianos in United States.

Although the sales trend for vertical pianos has been negative during this time, it appears to be mostly because of growth of new competitors, oddly Asian companies, in the United States market and offering products with lower price tags. A closer look at their set structure and product offering (Exhibit 6), clearly shows that they have volt product at a lower place Boston brand, ranging from around $6,000 to $10,000, and three products under Steinway brand that are priced from $12,000 to $16,000. This pricing structure helps them target two market segments. One would be the more sophisticated and unshared market that will be served with their flagship Steinway brand, and the other one would be the more affordable and midrange market with their Boston brand. Having a lower priced... If you want to get a full essay, order it on our website: Ordercustompaper.com

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