Consider the following case: During the early 1980s, Western General Hospital (WGH) embarked on a major advertising campaign to distinguish itself from competitors in its market area and to improve its market share. A massive initiative was mounted involving heavy doses of print advertising in local newspapers and magazines and electronic advertising on local radio and television.
A multimillion-dollar marketing budget supported efforts to increase business by enhancing the hospital’s image. These advertisements were aimed at the end users—the patients—for whom WGH promised to do all things for all consumers. An evaluation of WGH’s marketing efforts found that the campaign had indeed improved the hospital’s image and its top-of-mind recognition among the general public.
However, it had had virtually no impact on volume, revenue, or market share, despite the fact that the general public clearly considered WGH the “best” hospital in the community. WGH was forced to rethink its marketing approach and determine what method would contribute to its volume, revenue, and market share goals.
After reviewing the preceding case, address the following points:
· Does it appear that WGH had performed adequate market research on the target audience?
· Should WGH have considered marketing specific services rather than its overall image?
· What is the downside of offering all things to all consumers?
· Did WGH adequately consider the consumer’s decision-making process in developing its marketing campaign?
· To influence the decision-making process, to whom might WGH direct its marketing efforts?
· Ultimately, was advertising the best marketing vehicle for improving the organization’s bottom line?
No use this case study to develop a marketing plan that involves a different target market for WGH. You can choose to focus on patients, physicians, OR health plans.
For each target audience, the following information at a minimum should be elicited:
· Characteristics of the target audience
· Specific targets for marketing in each
· The strategy to be employed
· The benefits emphasized
· The emphasis placed on each of the following:
o Public relations
o Advertising
o Sales promotion
o Direct sales
o Customer relationship marketing
· The method for measuring the effectiveness of the approach