Optical Distortion Inc. Has Come

Optical Distortion Inc. has come up with an idea that should revolutionize the industry, in terms of animal behavior. Thus, it attempts to promote contact lenses that would partially blind chickens, making them less aggressive and more malleable. Research within the industry has shown that hierarchy issues within the chicken pen frequently lead to cannibalism within the group. The effects of such practices are obvious.

The solutions, until now, were in the form of debeaking, a painful and traumatizing experience for the chickens in cause, as they had their beak partially removed and the wound cauterized. Debeaking and its effects had a direct impact on the production of eggs, as chickens tended to eat less in the subsequent months following the procedure. An alternative solution to hierarchical and cannibalistic problems in the chicken pen was the contact lenses.

The history of the idea went back as far as 1965, when the original product was designed and implemented. However, during the 60s, the product suffered several modifications aimed at improving its performances, before being issued an U.S. patent in 1969. In 1973, Optical Distortion Inc. gained a long-term license from New World related to the use of hydrophilic polymer for nonhuman applications and was ready to bombard the market with its invention. There are several significant problems that arise in this case.

We should first of all note that many of these issues are closely related to problems that every company in its early stages of development faces. These are closely connected to the lack of financial and human resources, as well as to the decisions the company needs to take in terms of levels of investment and general spending in advertising, etc. As such, the first issue that the company faces is cost and revenue related.

In terms of revenue, the stakeholders need to make a decision on how much to charge for the contact lenses. The minimum price they are currently considering is $0.08 per each pair of contact lenses, which is around $20 a box containing 250 pairs. The stakeholders need to consider, however, the benefits that the farmers gain from the use of contact lenses. As the case study points out, using contact lenses instead of debeaking saves on feeding, while at the same time increasing overall revenues because of higher egg production levels.

If we look at these benefits, we are likely to assume that the use of contact lenses will probably increase the revenues for the farmers several times more than the actual price paid for contact lenses. Additionally, when selling a product, one is always entitled to believe that a cheaper price will create the psychological impression for the buyer that he is acquiring a less useful or of lesser quality.

In this particular case, because of the fact that the product and the idea itself are new, this may be the effect the company will obtain if it sells its product at a sensibly low price. The pricing policy is, in my opinion, closely related to the human resource policy the company decides to apply. Because of the product's innovative character, the farmers need to be explained both its benefits and the way the product is used, with an emphasis on the savings the product will bring about.

Reading the case study, one of the most effective marketing methodology seems to be related to the fact that while you price a certain price for the contact lenses, you are likely to gain at least twice as much from the savings made on chicken food and increased egg production. Nevertheless, these benefits need to be explained and presented, because otherwise the reaction would be less enthusiastic (contact lenses for chicken .. !).

So, one of the first problem the company needs to deal with is a pricing problem: how much to charge for the revolutionary product. On the other hand, the second problem the company faces is a costing problem: how much are they ready to risk on the project and how much do they want to invest in marketing and human resource. This brings us to the third problem the company is currently facing, the marketing issue.

The main characteristics of the product are (1) its revolutionary concept and (2) the benefits it can bring to the industry and the persons directly involved. The company needs to keep in mind these two characteristics and relate to them as they are presented to the public. There are several marketing means that can be used for an efficient propagation of the concept and product. The first one would be advertising in the poultry industry publications.

Although the case study mentions advertising in magazines as a marketing tool, in my opinion, the company should go a little further than this and attempt to publish articles on the subject, including the research that has shown the hierarchical issues in the chicken pen are less traumatic with the use of the contact lenses. The effectiveness of the research articles would probably surpass simple advertising campaigns in the magazines and are more likely to arise some interest on the part of the farmers.

The company could also employ mobile workforce who could go around the farms and describe the advantages of using contact lenses. The advantages of direct marketing in this form are not to be minimized: the mobile workforce could also sell the products along the way. Each mobile team could be assigned to one of the regional offices that the company wants to set in place. Just as important is the participation to national fairs and industrial trade shows, where the concept can be presented and popularized.

Indeed, we are to assume that the industry trade shows are the proper places where farmers meet to learn about new technologies and new products. Participating in these shows could make Optical Distortion Inc. one of the important and recognized players on the market. The marketing strategy should include not only the advertising methods and ways to make the product known to the public, but also coherent marketing strategies.

The company needs to identify the market segment it will be addressing in the beginning, especially from a geographical and psychological perspective. The type of customer that the company is targeting is not obtuse to change and to adopting new ideas. Such a customer is likely to believe that contact lenses for chickens will improve egg production and increase his revenues. In my opinion, it is difficult to give a straight recommendation on the matter, given the fact that the company is not actually facing.