MKTG5361 GRADUATE SEMINAR IN MARKETING

MKTG5361 GRADUATE SEMINAR IN MARKETING FINAL EXAM First Name: _________________ Last Name: __________________ Question 1: Please provide a summary for each of the three general marketing approaches that we have discussed in class; then give an example of a marketing problem or a business issue that can be solved using each approach (you can use the examples we discussed in class, or you can come up with your examples). 1) Analytical Approach Summary (5 points) The analytic approach in marketing refers to using data and quantitative methods to analyze and forecast marketing situations. It orientates on analyses of such patterns, trends, and insights concerning customers' behavior, market conditions, and company performance to enhance the efficiency of marketing activities. With the help of advanced techniques like predictive analysis, segmentation, and data visualization, marketing professionals can improve the general efficacy of the campaigns, target the customers appropriately, and make better decisions. This approach makes it better for organizations to be hastier and more emotional in the matters they tackle to avoid landing themselves in bad decisions that harm the organizations as they compete in the markets. Example (5 points) An example of a marketing problem is when a food delivery app has an issue where some areas within cities have low ordering usage despite high marketing investment. In using the analytical solution for the food delivery app, they need to gather comprehensive information on the consumers' characteristics and behaviors while employing the app, especially in the zones with low usage rates within the major cities. Through the clustering approach, the application can isolate various segments of customers and discover that many users in these areas prefer healthy foods like salad or vegetarian, but the application is promoting fast foods. The problem of low engagement can thus be attributed to the poor match between the customers and the marketing strategies in place. With this knowledge, the company can redirect its advertising strategy rather than display promotions from more unhealthy restaurant partners, and it can tailor the application to show health-conscious choices. The app can also use a form of predictive analytics to decide on other offers that would likely generate orders from such distinct user segments. Also, monitoring other metrics such as customer handling rate, order repetition rate, and average order size contributes towards the adaptation of campaigns by the app. Through an iterative process, the app addresses the concern of low user engagement in these cities, thereby improving customer satisfaction and increasing revenues. 2) Empirical Approach Summary (5 points) The empirical approach involves observation, experimentation, and overall assessment of customer behavior and results. This marketing research method collects actual data, contrary to theoretical models or assumptions, through field studies, surveys, experiments, and control experiments to check on the efficiency of marketing strategies. Consequently, marketers can decide on effective strategies, improve their campaigns, and guarantee that future marketing strategies are more reality-based than assumption-based. This method helps to obtain a practical vision of how customers engage with marketing campaigns. Example (5 points) An art café must choose the preferred design when guests search for a “gram-worthy location.” The shop decides to test three different aesthetics: Minimalism, old industrial appearance, and nature; concepts can be introduced by dividing the shop into sections with corresponding inspirations. All of them are advertised across social sites, and customers are asked to share photos of their experience there. Above all, the coffee shop measures the frequency of posts, likes, and shares on the Instagram account for each section over weeks and gathers the customers' responses from the surveys. The findings highlight that inhabitants' engagement in social media, satisfaction, and preference concern the interiors that imitate nature since plants, natural light, and the earthen color scheme positively affect people's reactions. Given this evidence in marketing, the coffee shop goes all in, designing and promoting according to the appeal that resonates best with the target audience and is earthy. 3) Behavioral Approach Summary (5 points) The behavioral approach concentrates on the study of how to control and persuade buyer behavior through psycho-emotionally appealing stimuli. Marketers can then devise how to influence customer decisions, their behavior towards brands, and how they are likely to react to specific cues that the marketer will likely be putting in their path. This approach relies on factors such as consumers' behavior patterns, choices, and rationale for decision-making to a significant degree in marketing. Techniques such as loyalty programs, social proof, and scarcity marketing are commonly used to guide consumer behavior, aiming to create strong, long-term customer relationships by aligning marketing initiatives with their behavioral patterns. Example (5 points) A new gym aims to compete with a high-end luxury competitor by leveraging the behavioral approach, focusing on motivating customer engagement rather than offering expensive amenities. The gym implements a tiered loyalty program, rewarding members with points for each workout or class attended, which can be redeemed for free training sessions or gym merchandise. Additionally, the gym introduces a "buddy system," allowing members to bring a friend for free once a week, creating a social incentive for frequent visits. This program encourages consistent engagement while building a sense of community. To further attract customers, the gym showcases member success stories through social media and in-gym displays, using social proof to inspire new and existing members. The gym positions itself as a value-based alternative by offering flexible pricing plans and no long-term contracts, making it accessible to budget-conscious customers. By emphasizing community-building and rewarding commitment, the gym appeals to those seeking high-quality services at an affordable price, effectively competing with the luxury gyms in the area. Question 2: In grocery stores, you usually see hotdogs in the package of 10-hotdog-in-a-pack; however, the buns usually come in the package of 8-bun-in-a-pack. Therefore, mathematically, you need to purchase five bags of eight-to-the-pack buns and four 10-to-the-pack hot dogs to match the hotdogs and the buns perfectly: 40 buns match 40 hotdogs. * If you were a hotdog marketer, would you like to change your packaging st...