BU121 Lecture Notes - Profit Margin, National Enquirer, Loss Leader
Document Summary
Copy slides after econ midterm and print notes! The 5 drivers of brand insistence (copy slides) arave acronym. Awareness- must stand out in heads of customers. Emotional connection- a gut feeling that bonds you to the brand! Objectives of pricing: pproaches (i. e. penetration, loss leader, cost-based markup (text calculation) Competitive based- market share (your product vs theirs) Most important: supports cbp (core benefit proposition, test pricing (to attract people to test drive, fortune magazine- came out around great depression. Founded by co-founder of time magazine (waited till partner passed away) fortune was priced at just b/c of cover printing while wall street journal cost 5 cents. The two key opportunities with awake energy drinks are taste and price: Awake tastes better than red bull, also priced better. Advertising ( any form of non-personal sales presentation of a long-term nature that is paid for by an identified sponsor )
