Page 483 - Foundations of Marketing

450 Part 6 | Promotion Decisions

attributes. Which of the four promotional methods— promoted using a mix of the two policies. Explain your
advertising, personal selling, public relations, or sales answers.
promotion—would you emphasize if you were devel- 5. The SMART car was launched in the United States in
oping the promotion mix for the following products? 2008, thereby establishing the American “micro-car”
Explain your answers. category. Sales of SMART cars to date have not met
a. Washing machine expectations, but the introduction of the iQ from Scion
b. Cereal and plans for small vehicles at Toyota, Hyundai, and
c. Halloween candy other car manufacturers suggest that the micro-car
d. Compact disc category is not going away. An ongoing challenge for
the manufacturers of micro-cars, however, is overcoming
3. Suppose marketers at Falcon International Corporation
the rumors that circulate about the miniscule machines,
have come to you for recommendations on how to pro-
notably the idea that micro-cars are unsafe and useless
mote their products. They want to develop a comprehen-
without a back seat. Develop a very simple questionnaire
sive promotional campaign and have a generous budget
of four to five items and survey 10 to 15 friends or fam-
with which to implement their plans. What questions
ily members about their beliefs on micro-cars. Based on
would you ask them, and what would you suggest they
this information, develop a budget in terms of percent-
consider before developing a promotional program?
age of sales revenue to be spent for advertising, personal
4. Marketers must consider whether to use a push or a pull
selling, sales promotion, and public relations.
policy when deciding on a promotion mix (see Figure
6. Develop your analytical and communication
15.4 ). Identify a product for which marketers should
skills using the Role-Play Exercises online at
use each policy and a third product that might best be
www.cengagebrain.com.
Internet Exercise

Myspace members to post their pictures, songs, and music videos
on their own Myspace profile pages. Visit the website
Myspace is not just for friends. It is also a unique
at http://myspace.com , and look for your favorite
promotional platform for musical artists, especially
artist or discover a new one.
unsigned and independent artists. By creating a
Myspace page, musicians can share their songs, post 1. Who is the target market for members?
important dates, or even blog. Myspace music pages 2. What is being promoted to these individuals?
are different from record company websites because 3. What are the promotional objectives of this website?
they feel more personal. Artists also take advantage 4. Is word-of-mouth communication occurring at this
of Myspace’s viral nature by allowing other Myspace website? Explain.

A vital component of a successful marketing strategy is 2. What are your objectives for promotion? Use Table 15.2
the company’s plan for communication to its stakehold- as a guide in answering this question.
ers. One segment of the communication plan is included 3. Which of the four elements of the promotional mix are
in the marketing mix as the promotional element. A clear most appropriate for accomplishing your objectives?
understanding of the role that promotion plays, as well Discuss the advantages and disadvantages of each.
as the various methods of promotion, is important in 4. What role should word-of-mouth communications, buzz
developing the promotional plan. The following ques- marketing, or product placement play in your promo-
tions should assist you in relating the information in this tional plan?
chapter to several decisions in your marketing plan.
The information obtained from these questions should assist
1. Review the communication process in Figure 15.1 . you in developing various aspects of your marketing plan.
Identify the various players in the communication pro- Develop your marketing plan online using the Interactive
cess for promotion of your product. Marketing Plan at www.cengagebrain.com.

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