Taylor Swift perfume report Essay Example | Topics and Well Written Essays - 2000 words

Taylor Swift perfume report - Essay Example A product is any object which has a distinctive tangible existence. When applied in marketing however, the meaning of product takes in varied form. The product â€Å"may be a good, service or just an idea†4. For this paper, the product which is the subject for discussion is Taylor Swift perfume Wonderstruck. It is manufactured by Elizabeth Arden and is personally endorsed by the famous folk singer Taylor Swift who also bears her name as the namesake of the perfume. The perfume is created by Swift herself with perfumer Olivier Gillotin of Givaudan and is inspired by Swift’s favorite memories and scents, and it features notes of freesia, apple blossom, raspberry, vanilla, honeysuckle, white hibiscus, amber, sandalwood and peach. The packaging includes an antiqued gold Moravian star, a dove and bird cage charms5. The perfume is designed for consumer use and is branded after the singer to encourage easy patronage from the singer’s fans. Given that the product is a personal choice and personally made by Taylor Swift herself (with perfumer Olivier Gillotin of Givaudan), consumers will not accept any other brand because the identification of the perfume to the singer cannot be assigned to another brand. There are several ways where a company determines the price its products. One of the most common pricing methods is the internal accounting based pricing where profit is added as a mark-up in addition to its manufacturing cost6. Projected profit may be added as a ratio to cost or target profit is determined beforehand before determining pricing. Pricing is critical because under a perfect competitive market, price can determine demand; a higher price can discourage demand while a lower price can stimulate demand making a business enterprise more competitive in the market7. In the Taylor Swift Wonderstruck Perfume for Women, the pricing method employed is the value based pricing. â€Å"Value based pricing is tied to the customer’s