Ken Brabec has created a DVD, "How to Improve Your Tennis Game," by compiling tips on specific aspects of the game from several tennis pros around the country. He would like to sell the DVD to DVD/video stores, but he realizes that these stores normally deal with large broadcasting and movie companies instead of individuals. Ken decides that he will try to market the DVDs to people directly. He can easily mail a DVD to anyone who orders one, but he needs to decide how to promote the DVD.
Since he can easily mail DVDs to customers, he wants to promote his DVD throughout the United States. He first considers advertising in various tennis magazines, but he cannot afford the fee they charge for even a single ad. Ken's funds are limited, and he is not willing to risk all of his money on a few advertisements. Consequently, he decides to advertise his DVD on various websites, where the advertising fees are relatively low. He still needs to decide the best way to advertise over the Internet, however.
1. What types of websites should Ken use to advertise his tennis DVD?
2. Ken plans to advertise initially on five different websites. He may continue ads on the websites that generate the most sales of his DVDs. How can Ken determine which of his ads on the Internet are receiving the most attention?
3. Ken is trying to decide whether the promotion on the website should provide an order form for customers to send in. This method would be relatively inexpensive. Alternatively, he could allow customers to order the DVD over the Internet. This method is more expensive. Is there any benefit to allowing customers to order the DVD over the Internet using a credit card?