1. How do target market characteristics determine which promotional methods to include in a promotion mix? Assume a company is planning to promote a cereal to both adults and children. Along what major dimensions would these two promotional efforts have to differ from each other?2. Explain the difference between a pull policy and a push policy. Under what conditions should each policy be used?
3. Developing a promotion mix is contingent on many factors, including the type of product and the product's attributes. Which of the four promotional methods-advertising, personal selling, public relations, or sales promotion-would you emphasize if you were developing the promotion mix for the following products? Explain your answers.
a. Washing machine
b. Cereal
c. Halloween candy
d. Compact disc
4. An organization must define its objectives carefully when developing an advertising campaign. Which of the following advertising objectives would be most useful for a company, and why?
a. The organization will spend $1 million to move from second in market share to market leader.
b. The organization wants to increase sales from $1.2 million to $1.5 million this year to gain the lead in market share.
c. The advertising objective is to gain as much market share as possible within the next 12 months.
d. The advertising objective is to increase sales by 15 percent.
5. Copy, the verbal portion of advertising, is used to move readers through a persuasive sequence called AIDA: attention, interest, desire, and action. To achieve this, some copywriters have adopted guidelines for developing advertising copy. Select a print ad and identify how it (a) identifies a specific problem, (b) recommends the product as the best solution to the problem, (c) states the product's advantages and benefits, (d) substantiates the ad's claims, and (e) asks the reader to take action.
6. Negative public relations can harm an organization's marketing efforts if not dealt with properly. Identify a company that was recently the target of negative public relations. Describe the situation and discuss the company's response. What did marketers at this company do well? What, if anything, would you recommend that they change about their response?
7. LEGO Company has been making toys since 1932 and has become one of the most recognized brand names in the toy industry. With the company motto "Only the best is good enough," it is no surprise that LEGO Company has developed an exciting and interactive website. See how the company promotes LEGO products and encourages consumer involvement with the brand by visiting LEGO's website at www.lego.com.
- Which type of advertising is LEGO Company using on its website?
- What target audience is LEGO attempting to reach through its website?
- Identify the advertising objectives LEGO is attempting to achieve through its website.
8. Explain the major advantages and disadvantages of the three basic methods of compensating salespeople. In general, which method would you prefer? Why?
9. Briefly describe an experience you have had with a salesperson at a clothing store or an automobile dealership. Describe the steps the salesperson used. Did the salesperson skip any steps? What did the salesperson do well? Not so well? Would you describe the salesperson as an order getter, an order taker, or a support salesperson? Why? Did the salesperson perform more than one of these functions?
10. Consumer sales promotions aim to increase sales of a particular retail store or product. Identify a familiar type of retail store or product. Recommend at least three sales promotion methods that could effectively promote the store or product. Explain why you would use these methods.