Advertising and Pricing Strategies
Advertising objectives determine the types of advertising selected to promote a product and that certain types of advertisements work best in particular stages of the product adoption process. Think about the different kinds of advertisements you have seen and consider the purpose behind the creation of these ads. In other words, what is the message the ad is trying to relate and why?
Brands make purchasing decisions easier, and creating a successful brand can go a long way toward the successful introduction of new products under the successful brand banner. Think about the pricing strategies that are applied to various products that you buy, especially new product offerings of successful brands.
- Identify one of your favorite ads, United States based,and describe the message (value proposition), medium, and language used. How does this relate to target segments?
- Choose a product that you or someone you know has purchased recently. What pricing strategy (e.g., introductory pricing, price skimming, market penetration) was used in pricing this product? On what basis was the decision to purchase made? What kind of research was done before a decision was made? What do you think the company's objective was in making its pricing decision?
Be sure to support your work with specific citations.