Chapter-7: Business Marketing

    Monster Cable specializes in high performance. This makes their products a must have for business owners, since the company has always had a history of quality and reliability. Monster has a section on their web site dedicated to testimonials. These testimonies are from DJ's, Musicians, Sound Engineers, to even custom auto shop owners. Each profess the importants of sound quality, and that the only products they rely on to supply their businesses are from Monster. DJ's use Monster Cables when setting up their equipment at clubs, as well as Sound Engineers when hooking up speakers in stadiums at concerts or private studios. The owner of West Coast Customs a customs auto shop Ryan Friedlinghaus says he only uses Monster audio products for his cars.

    With this much brand recognition, Monster has been able to form strategic alliances with other companies, by supplying them with component parts. Companies such as computer manufacturer HP, automobile maker Chrysler and cell phone company HTC all use Monster's Beat by Dre speakers in some of their product lines. These companies recognize that Monster's popularity and superior audio can be a selling point for their products to consumers, giving them an effective niche advantage. However Monster is not just a producer in the business to business market, it is also a consumer. Since Monster does not make any raw materials, they must order them from another companies. Raw Materials such as copper wiring, rubber, plastic, dielectric to even special machinery use to make their high performance cables must be ordered from outside vendors. This practice is common with most manufacturers. Automobile manufacturers don't make steel or paint so they order it from company that do.

Chapter-8 Segmenting and Targeting Markets

   Monster does a great job at market segmentation. They are able to create a need for products based on different subgroup's desire for high quality, for example their line of HDMI cables. HDMI cables are a combination of high definition audio and video cables in a single cord. Before the creation of HDMI cables, consumers would have to use several different wires for each output in order to get high definition, creating a maze of loose wire behind their entertainment centers.

 Although it more expensive, the HDMI cable eliminates this mess, and has since become the preferred cable among consumers. There is a HDMI output slot on just about every video device from blu-ray players to gaming consoles. Eventhough manufacturers of the these device never suggest getting any specialized HDMI cable, Monster caters to owners of each device by creating a line of HDMI cables that vary in performance. Monster HDMI cables for gaming consoles (M1000) is said to process digital video and audio at speeds of 17.8 gbps (Giga-Bits-Per-Second), much higher than that of their standard HDMI cable (the M650 is only 13.8gbps). These specifications may not appeal to the average consumers, however to the gaming subculture the difference in quality will increase their playing experience.

   Monster also uses demographic segmentation, such as age and gender. In regard to age, Monster typical target market is to Generation Xers and Yers. They cater to these groups because they have the most disposable income. Monster makes accessories for electronic product that are vital in today's pop culture, such as apple's ipod. In Monster advertisements for headphones, they usually feature active young adult, appeal to Gen Yers. When advertising to Gen Xers, Monster show ads of families together enjoying there product, as seen on their website. There has yet to be any advertising for baby boomer or children, but who know what the future holds. Monster will probably come out with a line of high definition hearing aid if the market called for one.

    Although Monster's product are unisex, they are largely consider male oriented, since most of their endorsements, reviews or co-signs are from the male perspective. To change this perception, Monster offers alternates color like pink to products. They also use advertisement with women going about their normal activities, such as the case with their new line of headphones Purity featuring ballet dancer Lara Turk.

    However, Monster does have a few products that are marketed to females such as Gwen Stefani's Harajuku loves line, Lady Gaga's Heartbeats and Monster Butterfly from Vivienne Tam. The Harajuku in-ear headphones features exterior doll like shape. Monster Butterfly has a butterfly, while Heartbeats generation one feature a jewel encrusted exterior.

Chapter-11 Developing and Managing product

 As noted in chapter 11 of the MKTG text book, new products are important to sustain growth and profits for businesses. And with that said, Monster Cable continues to diversify their headphone line with the new and soon to be release NCredible line of headphone. The NCredible product line is a joint venture with entertainer Nick Cannon. NCredible should not be consider "new to the world" , but rather a revision to an existing line (namely Best by Dre), marketed to the youth. The NCredible line will feature the same signature Monster sound that is available with the Beats by Dre line, which caters to music with heavy baselines, however at a more affordable price ($70 to $170). The NCredible line will have it own unique design, such as lights that flash during playback for the NTune headset, and magnetic claps for the Neregy in-ear phones. When not use, the user can use the magnetic clap to form a necklace around their neck to, so they won't have to stuff the product in the pockets. The ear buds will also feature the Monster signature tangle-free cables.

  As of now, the NCredible line is in the commercialization stage of the product development process, because it was recently introduce at this years CES convention. Nick Cannnon and Monster have both begun using word-of-mouth communication to raise interest by consumers for the line  via social media (i.e Monster's Twitter page) and interviews. In regards to the products life cycle, the NCredible is barely in the introductory stage, so it is going to be hard to tell how long this product will last. However, if the concept was to mimic the successful Beats by Dre line (but for kids), then it could be said that the PLC will last quite so time, since the Beats by Dre show no sign of decline. Monster has become a master at developing and managing their products. Their pairing of celebrity endorsement products with their quality sound is a tried and true method. They created a way to constantly reintroduce their brand to newer consumers. By creating a product aimed at younger audiences, Monster is able to ensure the company's legacy, by keeping future generation familiar with their brand. This is what I believe the purpose of the NCredible line is for.  

Extra Posting: Holiday Special Offers

At this time, Monster Cable has not posted any particular advertisement for their products for the holidays on their website. Instead Monster has create an email list to keep consumers up to date on future holiday offers. All customers have to do is input their email address into the form located on the lower half of  home page of Monster's website.

Chapter-16 Integrated Marketing Communication

  Monster uses the AIDA concept for most of their endorsed products. An example of this can be seen with their promotion of the headphone inspired by the movie Tron:Legacy. This year Disney release a fellow up to their cult classic Tron. The movie is about a society that live in computer' hard drives, were the occupants are forced to battle via live action video games. Fans of the new movie rave about the film cutting edge graphics and designs, as well as the hit soundtrack by the techno artist Daft Punk. Monster use the films premise to create a line of headphone and accessories for fans of video games and techno/electronic music.

The exterior design is based on the stylish outfits featured in the movie, while the sound is suppose to enhance the quality from video games and music, specifically techno/electronic genre. The AIDA concept works perfectly for this product.

• Attention- Monster creates a headphone line that's is based of the future style from the movie Tron: Legacy. The headphone even glows like the outfits in the film. There is also a limited edition endorsed by the techno group Daft Punk, the artists behind the soundtrack to the movie.
• Interest- Monster will peak the interest of consumers with their claim that the headset will enhance the sound quality of electronic music and video games. Fans can get a chance at owning a limited pair from the Daft Punks. And to help advertise, Monster has a web page dedicate for the Tron:Legacy products. This will give consumers the chance to view all the products available as well as some specifications. The web page looks strikingly similar to the movie's web page.
• Desire- Fans of the both the movie and video games will more than likely be drawn to purchase these items for the simple fact that the product may improve their experience with games, as well as owning something that look like its from the movie itself. Consumers will have a reason to believe the claims of enhancements, since the product is made from a company that is world renown for quality in sound. 
• Action- Monster provides live demonstration at conventions to back up their claims. Also, with viral testimonials on YouTube to motivate potential buyers, when the product becomes available. This also factors in a bit of the pull strategy in which Monster's promotion to consumers causes the consumer to demand the product from the retailer like Target or Best Buy. The retailer then has to order the product in order to meet the demand. 

                                                            

Chapter-10 Product Concept

  Monster's brand fit the charactertics types of a specialty product. Their family brands can only be purchase at a few authorized outlets. Consumers are willing to pay higher prices in order to get the special quality that Monster's products offer. Their products are sought out by consumers that are serious about their own electronics as seen in a episode from Street Customs a show about car customizations. In the episode owner Ryan expresses his love for Monster's products and that it is the only audio cable they use in their custom cars assembly. Monster's product mix has great depth as noted in one of my earlier posting. When Apple announed its newest iPhone the 4S, Monster begin advertising a slew of their products that were already available, and compatable with the 4S. The same can be said with video game console to which Monster dedicated a portion of the website to. Monster product mix extend beyond just cable and headphones. Monster's line also includes screen cleaners, 3D glasses, ethernet networks and power surge protecters. Monster even paired with WestCoast Customs to create a car care line.

    In order to stay current, Monster constently modify its products style and qualtiy by offering different variations to their products, such as with their M series of HDMI cables. Each cable while boast superior video quality, but varies in output capabilabity. The M650 HDMI cable ($90) caters to standard HD viewing while the M1000 ($150) line caters to hardcore gamers. And of course, Monster offer a cable that can do both functions and perform at a higher rate if the consumer is willing to spend a little more (Monster's M2000 priced at $200).

   Style modifications are very apparent with Monsters headphone lines. The sound quality doesn't change, however the aesthetics changes with each models release, such as with singers Gwen Stefani's Harajuku Girls earbuds and Lada Gaga's Heartbeats.
   

Chapter 18- Sales Promotion and Personal selling

   Products from Monster Cable have a long standing history of quality and excellents. The company does a great job in promoting their concepts and ideology through their website, and tons of celebrity endorsements. Monster even offers discount prices and a frequent buyer program for their customers. However, there are a few restrictions that may cause some consumers to feel a little leery about participating in these incentive programs.
   Monster Cable's frequent buyer program is called "Monster Bucks". Customers earn points which values at 30% of purchase before taxes. Customers are then able to use these points to purchase other Monster items. Unfortunately there are a few downsides to these programs. First, Monster Bucks are only available for selected products that are Monster's website. Second, Monster Bucks are non transferable and are not legal tender. Third, the "bucks" will expire one year after they are earned. Fourth, if a product is purchased using Monster Bucks and is returned, the full value of he points may be reduced or unearned.

   Discounted products are available at Monster's outlet store online. At the outlet store, several products are available for up to 50% off of their normal prices. The drawn back is that these products are all refurbished, and Monster's standard warranty does not apply. In place of Monster standard warranty is a limited 90 day warranty. Also, Monster Bucks can't be used for purchase at the online outlet.
   Monster doesn't have any retail stores so most personal selling is done by sales representatives at authorize chain stores (Wal-mart, target PC Richards & Sons, etc).

   However, Monster does their best to aid these sales representatives by providing in store demonstration. These demonstration are a simple display of Monster's quality. For video, Monster will set up two monitors. One using regular component cables, and the other using Monsters superior HD component cables.

As for the audio demonstrations, Monster will step up their headsets with a pre select rotation of music to show monster audio quality through a range of music genres. This make the sales representatives job easier, by show the consumer the quality before they purchase the product.