Free Money Promotion Turns Ugly But Still May Have Served Its PurposePosted by Paul Christ November 15, 2009
Labels: Legal Issue in Marketing, Sales Promotion
Promotional Event Leads to Violence in Paris (New York Times)
Unfortunately, French police did not see this as such a great promotional idea and closed it down before it got off the ground. That did not sit well with the crowd of over 7,000 gathered to snag the money. Nor did it sit well with local government officials who are considering fining the company. While the police later allowed the promotion to run on a much smaller scale, by then the news was out. A Loss Leader Promotion Has Franchisees Crying FoulPosted by Paul Christ November 13, 2009 Burger King Franchisees Sue Over $1 Promotion (MSNBC)
Burger King’s franchisees are screaming at the franchisor saying they are losing money on BK’s new, highly publicized $1 Double Cheeseburger promotion. They go a step further and claim that BK does not have the right to set maximum prices on products sold in the franchisees’ stores. How a Product’s Image of Quality Can Quickly EvaporatePosted by Paul Christ November 10, 2009 Maclaren's Stroller Recall: A Stumbling Response Online (Time)
The Story Behind the Subway $5 Footlong PromotionPosted by Paul Christ November 10, 2009 The Accidental Hero (BusinessWeek)
But the back-story on how Subway came up with this idea may be even more interesting than the success of the program. As this story discusses, a single franchisee operating two small stores in Florida had the original idea. To Subway’s credit they listen to their franchisees, which not all franchises seem to do, and it has paid off nicely. Critics Take on Kellogg's Health Claim LabelingPosted by Paul Christ November 07, 2009 Kellogg Pulls Immunity Claim From Rice Krispies (USA Today)
Unfortunately what was thought to be a good idea quickly turned to being a problem. The wording not only has critics in an uproar, given that many feel these cereals are not only not nutritious but may be unhealthy (see our post Research Report Has Cereal Marketers Playing Defense), but to make things worse the packaging is hitting store shelves at a time when there is worldwide concern for the H1N1 flu. (Although it is hard to believe some may think eating more Rice Krispies will help prevent a child from contracting the virus!) Visual Comparison Ad Has Leading Wireless Companies BattlingPosted by Paul Christ November 04, 2009
Labels: Advertising, Legal Issue in Marketing
AT&T to Verizon: There’s a Lawsuit For That (MSNBC) What do you do when a competitor produces a comparative advertisement that really hammers you hard? Well, one thing you may be able to do is take the problem to court. And that is what AT&T is doing because they are not very happy with new television ads being run by Verizon. |
Samples of Marketing TutorialsImportance of Internet Strategy: Part 2 Extreme Target Marketing The most efficient way for marketers to spend money is to direct spending to those who are most likely to be interested in what the marketer is offering. Unfortunately, efforts to target only customers who have the highest probably of buying has not been easy. For instance, consider how much money is wasted on televis… Latest Marketing Stories
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Promotions offering free money tend to be viewed suspiciously by consumers who wonder what the “catch” really is in order to participate in such giveaways. But here is a story of a free money promotion that apparently was all about giving free money without the need for the money receivers to give anything back other than showing up in the middle of Paris.
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When managing marketing decisions there is always the risk that something unforeseen can damage the reputation a company has spent years building. Here is story where that may just be the case. Maclaren is a well-known manufacturer of baby strollers that is well regarded for producing quality products. But the company faces a very large recall of its strollers (over 1 million) because of serious injuries that have occurred to young children.
The Subway $5 Footlong is a wildly successful promotion. With the help of a sizable advertising campaign the promotion is one of the most successful sales promotions currently being offered by any retailer and has generated sales of nearly $4 billion in one year.
Breakfast cereal maker Kellogg had what it thought was a good idea for promoting cereals as being healthy for children since these contain several vitamins that may be good for kids. They liked the idea to the point of adding a large area to their packaging aimed at parents that said the cereal “Supports Your Child’s Immunity.”
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