posted by Admin on Mar 7
The second level of adjustment, however, requires some fundamental rethinking of the product’s place in the new market, quite separately from any previous success, experienced in the home or other markets. It is at this level than an analysis based on comparative life cycle considerations can be most useful. A classic example of an ill-fated transfer illustrates the importance of these considerations.
In late 1965 Polaroid introduced the Model 20 “Swinger” Land Camera in the United States at a suggested retail price of $19.95. This model placed Polaroid for the first time in the mass market for inexpensive cameras (less than $50 retail), which accounted for over three fourths of all still cameras purchased yearly in the United States. The results were phenomenal. Polaroid sales jumped by over 50 percent in 1965 and by nearly 60 percent in 1966. The company reported more than five million Swinger cameras sold by ” sometime in 1969.”
Polaroid had designed a product aimed at this mass market. It was simple and inexpensive. Extensive national advertising ( nearly 60 percent of sales in 1965 and 1966) displayed these features prominently, capitalizing on the previously established reputation of Polaroid and its concept of instant photography. Television accounted for nearly one-half of the total advertising budget, and the emphasis on Swinger advertising shifted from the earlier educational message to a low price and “swinging” appeal. Distribution was made directly to over 15,000 retailers, including many, such as drugstores, that had never carried Polaroid cameras before. Discounters often offered the Swinger at prices well below the suggested retail price (as low as $14), featuring it as promotional item r or loss leader.