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The graph shows the shelf life of a product according to number of sales to the time it took. In the first section, customers are starting to take notice in the product and the product is slowly going into different stores, so sales are quite slow. In the second section, customers have noticed the product and are taking action and telling friends and or families of this good product after the first few customers have tried it. The third section is where the sales peak hits. It is when all potential and targeted audiences have bought the product or have known the product but decided not to buy it. In the fourth section, the product starts to die down, either the product has all been sold out or the demand for the product is not high anymore, the sales are decreasing and the products novelty factor is gone.

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- Radio advertisement

- Ambient (billboards & posters & flyers) advertisement

- TV advertisement

- Newspaper advertisement

- Online (facebook) advertisement

- The Starbucks advertisement is advertising their brand image and brand loyalty as it says that they will remake the coffee if you (the customer) is unhappy with it and this tells us that they want to say that they have good customer service while at the end, telling that they have the best coffee and you have to make sure you are in a Starbucks restaurant or else you won’t be satisfied, this again promotes brand loyalty. Whereas for McDonalds, rather than promoting the brand, it is completely only promoting the new product ‘expresso’ on the billboard. McDonalds was also saying that ‘four bucks is dumb’ and it could mean Starbucks which is criticising a competitor. One focuses on brand loyalty and brand image while the other focuses on product.

Do you think the Starbucks ad or the McDonalds ad is better at developing a brand and improving customer perception? (Justify your answer)

I think that Starbucks is better at developing a brand image and improving customer service because the poster for Starbucks says that they would remake the coffee as many times as you want if the customer is unhappy with it. However, McDonalds did not talk about customer service and only talked about the new 'expresso' product.

THINK ABOUT WHERE THE ADS APPEAR, NOT SO MUCH WHAT THEY SAY

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Price reduction: Price reduction could be in the form of gift cards or sales. This could be during special seasonal offers during the holidays etc. Price reduction is appealing to customers as they believe they are 'saving money' and naturally want to buy the product which may also result in brand loyalty.
Sales Offer: Sales offers are often found on low order goods, they are bought often and relatively cheap. This could be things such as ' buy one get one free' or 'buy one get second half price'. This encourages people to buy as they believe they are saving money.
Gift: Gifts are usually found in children products, this is because children are more likely to want something if it has a free toy or anything they can play with, encouraging people to buy. Gifts can also be presented in stores such as makeup stores where they might provide a free bag, brush etc. The gifts encourage people to buy as it adds extra value to the product and also influences brand loyalty and a good customer review.
Free samples: Free samples can be found in supermarkets and/or shopping malls, they encourage people to buy, as if the product is good, a desire for the product is created, and people are more likely to buy the product the next time they visit the shop.
Point of sale: The point of sale is where the product is placed to increase sales. This could be next to a cashier or at the entrance of the shop. This encourages sales as it creates attention towards the product, and customers are more likely to buy it. For things such as lighters, they are usually at the cashier, where one would expect, so it is also easier and more accessible for the customer to buy the product.
After sale services: After sale services is when the customer has bought the product and the company offers maintenance for the product for a period of time. This could be for products such as a TV, phones, heaters etc. This would encourage customers to buy as it guarantees that the product can be used for longer even if it breaks, and they won't have to spend more money, making them feel safer with their choice in product and company.
Competitions: Competitions can be found in products such as cereal boxes and toys. They could be any types of games, which would encourage brand loyalty as the customer is more attracted to the satisfaction of playing and perhaps winning the game/ product/ prize. This would encourage the customers to buy more of these products to have an even bigger chance of winning.

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Price Reductions - It could be gift cards or stamp cards that makes the customers come back again and again, this promotes brand loyalty in customers. It makes the product more appealing to the customer as they are able to save money for maybe another product in their store.

Gifts & Sales Offer- These are often on kids products or daily necessities as people would be more willing to buy more than 1 as you would not buy 2 fridges at once as there is no need for 2 at the same time. This could work with it being coupons such as on cereal boxes with gifts which makes the product ‘cheaper’ as you are also buying something else even though its a gift. Buy one and get one free can also be one and the price you are paying is worth more as you are buying 2 things instead of 1 and to the customer, it is saving money.

Free Samples - Free samples are often used in shampoo shops are food shops to encourage customers to buy it if they like it. It increases the customers intention of buying and increases the likeliness of buying as well. This is because the customer has already tried it and knows (hopefully) that the product is good and worth buying, therefore encourages the customer to take action. It also helps the sales people in the shop to not waste time with customers who won’t buy it as the customer already knows they don’t like the product.

After-Sales Service - This happens when the customer has bought the product and the company still offers help or maintenance for the product such as TVs and Air conditioning (usually high order goods). This is because sometimes products break and you can not use it anymore due to production malfunctions so the company could help you fix it or get you a brand new one without having to waste more money. This to the company would secure good reviews as the customer can’t complain when they have helped fixed the problem and to the customer, you would feel safe with the product even when it is broken.

Competitions - These can be used in cereal boxes and other products. It could be bingo, lottery tickets or other number games such as having the correct number in the ticket. This can encourage brand loyalty as the customers might want to win and buy more of the product. It could also encourage customers as if they were originally buying the product, they wouldn’t mind buying a few more to have fun with winning something. The prize would usually be quite big, like money or a Tv which encourages customers more as they could be buying a cereal box price for a good TV.

Point of Sales - This is similar to the 4P’s which is place. It also considers where to put the product where customers would likely buy it. It could be next to the cashier or in front of the shop doors. This catches immediate attention from the customers and they might want to see what the product is and have interest in it.

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Price reduction:

Price reduction on the end of a product’s life cycle is typical in every market when the products does not sold out by Christmas, the devalued product is then easier to sell and became more affordable to customers.

Gifts: Gifts suggest that the product have a benefit coming along when the customer was to choose between the product of the same type. This influences their decision t o buy the product more than others.

Sales offer:

Sales offer are effective for companies entering a competitive market. Popular chips company would have already established a certain amount of customer loyalty in which customers could less be bothered to try anything else, by taking sales offer new companies directs customers to try out their product because it is cheaper, cost less even if it wasn’t for the customer.

Point of sale:

This could be online or physical shop. But for companies to provide a physical store for customers to actually try out their product is crucial, as suppose buying clothes, customers would want to get their right size. This ensures the customer of what quality they are getting and the right choice to make.

After sale services:

This promises more confidence for the customer to buy the product as they could still either get it fixed after purchase. Especially in tech industries, such as cars/ vehicles, the product to sell is expensive, making the maintenance more of the same so this firms the decision to buy it.

Free- samples:

Very common in food products. Packaging often cannot advertise the product about the taste. Food sampling is easy at the market. The customer would then be able to know the taste of the product outside its packaging. Therefore choosing to buy the product that they have tasted that are good than the ones they did not.

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-TV advertisement
-Poster(ambient)
-Billboard (ambient)
-Radio advertisement
-Online advertisement
-Newspaper advertisement
Excellent identification of 'Ambient'

The Starbucks advertisement  is selling their Coffee as the best, they are doing this through the use of a poster. Starbucks is using its brand image, as a luxury and amazing product, as its selling point.
McDonalds is only revealing their new product "espresso" on a billboard. McDonalds puts the message of an affordable / cheaper coffee just through the use of small and bold sentences to attract customers. McDonalds deliberately  discourages customers into buying its competitors product by describing their 'expensive coffee' as "dumb".

Do you think the Starbucks ad or the McDonalds ad is better at targeting a specific audience? (Justify your answer)

I think both ads have good ways of targeting a specific audience, however the McDonalds ad targets adults specifically. For McDonalds, the billboards can be seen when in cars, or walking on streets attracting many different kinds of people, especially workers and adults who might want something cheaper. People who drive cars usually drink coffee so it also attracts them and they can see it easily. However for the Starbucks ad, a poster can be located anywhere such as on buildings and subways. This attracts a wide range of people who might drink their coffee or not.

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Attention: radio, online ads, magazines, newspaper
Interest: Providing little specifics of the product.
Desire: motivations to buy the product, such as having a celebrity as the face of the brand, discounts or promoting good reviews.
Action: Things that make people want to buy the product, easy and clear access to product, have samples to encourage people to buy.

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AIDA
Attention: Online ads, bill boards, magazine, sponsorship, etc.
Interest: Only give away small amounts of information about the product and kept mysterious from consumer.
Desire: Own a unique selling point for the product so that it is different with the rest of the same kind.
Action: Set up websites so that customers may order online, or set up stores for customers to try out the products such as "lush".

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Attention - Commercial ads on television, radio, internet.

Interest - Giving price and details for the product.

Desire - Reasons why the customer should buy your product like a celebrity or discounts and benefits.

Action - Something that makes the customer take action to buy like in a store, you can lead the customer to the product or give a link on the ad or say the product is limited only so they should quickly buy it first.

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Define 'Promotion'
[Enter your answers IN THIS BOX]

Charis - Promotion is where marketing activities aim is to raise awareness of the product or service to customers to improve sales and brand image and brand loyalty.

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TASK 1: Identify the four key elements of Promotion (AIDA)

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TASK 1: Identify the four key elements of Promotion (AIDA)

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[Identify the four key elements and POST EXAMPLES OF PROMOTIONAL CAMPAIGNS FOR EACH]
*Title your Posts TASK 1

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TASK 2: Identify the 7 different types of advertising in this image...

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TASK 2: Identify the 7 different types of advertising in this image...

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[CHALLENGE: What is the difference between the Starbucks ad and the McDonalds Ad?]
**Title your Posts TASK 2

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- Tv ads
- radio/ podcast
- online ads
- Ambient ( Billboards, posters, flyers, newspapers, magazines.)

In the two advertisements, both are selling coffee but Macdonalds are minimalistic because they know consumer's attention was good at reading short texts(buying 4 bucks coffee is DUMB), and less lengthy information may catch the eye more. And Starbucks has a long caption in the poster which is the opposite, but they have an advantage of remaking coffee and good servicing than other coffee shops, in this case customers would get appealed to such offer, which is different from Macdonald's way of critisizing other companies to promote themselves.

Why do you think the Starbuck ad has more information that the McDonalds ad? (Does this have anything to do with the TYPE of advertisement and the target customer - or neither?)

I think that Starbucks has more information because if customers don't know about their excellent service, it could not stand out. Probably their selling point is that. And maybe Starbucks would want to build customer loyalty, to make customers stick to their shop and Macdonalds wants to promote their new product and to take away other shop's coffee consumers through indicating they are expensive

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TASK 3: SALES PROMOTIONS are key in influencing the customer’s decision to buy!

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TASK 3: SALES PROMOTIONS are key in influencing the customer’s decision to buy!

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Research the different kinds of Sales Promotions shown in the images and try to explain how each method influences the customer TO BUY!
***Title your Posts TASK 3

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Identify, Label and EXPLAIN the graph below...

****Title your Posts EXTENSION