Question

1. Create a description of your family as a market segment using geographic, psychographic, and demographic factors.
2. Suppose that you’ve been hired by a local independent bookstore to help its owner win back customers lost to a large bookstore chain. Design and outline a plan to win back the store’s lost customers and rebuild those relationships. Be sure to incorporate marketing concepts from the course materials.
3. Assume you are the marketing director of a new restaurant that plans to open in six months. Conduct a short nonprobability sample among your acquaintances to determine (a) whether coupons would be a successful promotional tactic to use and (b) in what circumstances coupons would be an inducement for repeat business and when they would not. Report your findings.

Answer 1

Family as Market Segmentation for bookstore:

1. Demographics - 18 to 60 age, Male and Female, SEC A and B.
2. Psychographic- Brand loyal, Highly educated and avid reader
3. Geographical - Urban area and Metro Area

Marketing Campaign To win back lost customers :

The marketing has seen series of TV commercials which depicts the product benefits and are in continuation to target compelling user story. The brand has consistently clocked millions of views on YouTube and has meticulously used Facebook for penetrating new markets and high profile customers as per demographic segmentation.

The brand has leveraged and optimised page to track Analytics and measure success using metrics like bounce rate, exit rate, unique page views, unique customers and have also optimised search engines through programmatic buying which helps customers land on Facebook page itself.

The benefits exceed the costs for this campaign as it has proliferated customer base and has achieved diversity and higher average reveneue per user and decreased lifetime customer acquisition cost.

The brand however can improve its profile by using cliud storage for customer analytics, Artificial intelligence and Machine Learning algorithm for drill down Analysis and using Tableau as data visualization tools for devising right strategy.

The brand also needs to integrate various social media profiles and repetitively generate new fresh campaigns over period of time so that buzz remains active for longer period and helps create brand equity and brand resonance.

Moreover, various testimonials can be used to create awareness and generate positive word of mouth marketing amongst customers. Usage of referral marketing on Facebook can bring down costs substantially and increase revenues through profit maximizing. All in all 360 degree marketing campaign with well planned time frame can help brand optimise cost and grab maximum market share .

The usage of Radio and out of home media and newspapers can also help create propaganda for all Facebook campaign and bring organic traffic from multiple sources such that outreach is maximum and impact is well optimized.

This creates well crafted and well timed turnaround strategy for any brand and successful campaign can be created with seamless execution and implementation.

Restaurant Industry :

Coupons are successful tactic when they bring higher utility and better efficiency in terms of pricing structure.

Secondly coupons would be an inducement for repeat business when the willingness to buy and availability of coupons increases and when it brings added benefits and refers another customer set.

It can be inefficient and ineffective if it has multiple riders which loses customer trust and loyalty. It also brings ambiguity in brand and the overall impact minimises.