Outline
 Introduction
 Marketing & Promotional Mix  Promotion Budget Allocation  Advertising  Sales Promotion

 Personal Selling
 Decision Summary

Introduction – (Main Char)
• Demographic Characteristics:
– – – – Gender: Female Age: 25 & above Household size: 3 or more persons Occupation: Skilled and Unskilled labor (Blue Collar)

• Geographic Char:
– St. John’s metropolitan area

• Benefits Sought:
– Strong high quality – Bagged tea in “Boxed tea”

Introduction - (Previous Decisions)
• Team 1, Planning:
– Entering the market with a new brand named “Bentley Fresh Brew Tea”

• Team 2, Product Strategy:
– Blend: lower than the market brands – Amount of tea: 1 Cup Bag – Package size: Medium 60-72 bags

• Team 3, Pricing Strategy:
– Price: 2.49

Marketing Mix
Variables that marketing managers can control in order to best satisfy customers in the target market

1. Product

3. Promotion

2. Price

4. Place

Marketing Mix

Promotional Mix
“Promotion is all about companies communicating with customers”
“It is no longer enough for a business to have great products”

1. 2. 3.

Advertising * Personal Selling * Sales Promotion *

4.
5. 6.

Public Relation
Direct Marketing

Publicity

The Objectives
• Firm Objective:
– Increase Market share By 5% within two years

• Advertising Objective:
– Establish a 70% product awareness among Blue Collar Females by end of the first year

Budget Allocation Methods
1. Percentage of Sales
2. Fixed amount per unit sold

3. Meeting Competition Method
4. Task Objective Method

Budget Allocation Methods
1.

Percentage of Sales

Example:
Two percent of the sales are allocated for advertising

Advantage:
- Simplicity - Controllable Budget

Limitation:
- Less sales less advertising! - Starting Company can not use it - Depends heavily on past experience