RESEARCH PROPOSAL TO NEW APPROACH FOR EXTRA INCOME
Submitted to

Andy Smith
Advertising Department Supervisor
Thomas Advertisements Company

Prepare by
Jason Vu
Advertising Associate
Thomas Advertisements Company

March 24, 2010

THOMAS ADVERTISEMENTS COMPANY
MEMORANDUM

To : Andy Smith, Advertising Department Supervisor
From : Jason Vu, Advertising Associate
Date : March 24, 2010
Re : New Approach for Extra Income
As a consequence of the recent increase in minimum wages, there is an increase in the discretionary income of our current advertising base. People with more money tend to spend more. Our current advertising approach does not take this into consideration. This is a proposal to modify the approach in our advertising strategy so that we can take advantage of the coming shift in our advertising base and enhance our advertising revenue by expanding our potential client base. The rationale behind the proposal and its implementation will be elaborated in the following report.
When people have achieved basic survival needs such as food, shelter, and relatively secured physical and financial safety, they seek to attain things that they haven’t yet possess, such as status symbols or a sense of belonging to an exclusive group. If we can encourage our existing advertisement consumers to spend their extra income, hence shift the demand of our current advertising base to consume more upscale products, then we stand to gain an expanded and more profitable set of ads buyers. This project is a market study in potential new products in which ads targeted for the new minimum wage consumers segment can be created.
This project will determine the current advertising consumers’ income. The result of this project will be used in devising a strategy to create and capture new demand. Indirectly, it would also contribute in determining the advertising budget