Evaluate whether Inolla will need to change its marketing strategy to increase sales to businesses that rent out scooters in the shared micromobility market.

Mark scheme

Marking points from the official mark scheme (May/June 2021). The mark or mark type is shown in brackets.

1. [1] Marketing strategy includes marketing objectives, budget and a coordinated marketing mix.
2. [1] Understanding of different techniques within the marketing mix such as different forms of promotion and pricing.
3. [1] Difference between B2B (a business selling to other businesses) and B2C (a business selling to consumers).
4. [1] Market research to understand the market.
5. [1] Selling to shared micromobility businesses is B2B.
6. [1] Scooters will need to be more durable for the B2B market than for selling direct to consumers.
7. [1] Businesses will purchase in high volumes and price will be important.
8. [1] Some businesses produce their own scooters.
9. [1] Competition is likely to be significant – larger firms with economies of scale exist.
10. [1] Comment on existing approach – viral marketing, social media and advertising buses and trains, premium prices less likely to appeal to business customers.
11. [1] Product changes might include offering servicing (maintenance) of scooters.
12. [1] Price more important and clear pricing strategy required that is competitive and identifies not only the upfront cost but also costs of servicing if required.
13. [1] Promotion more likely to include trade shows, email marketing, trade (industry) press, website, production of brochures for potential customers.
14. [1] Salespeople may be important for building trust and motivating companies to buy.
15. [1] B2B marketers must persuade decision makers of a company therefore information must be concise and clear.
16. [1] Identification of most important element of marketing strategy and justification. (e.g. Need for servicing of scooters? Businesses less likely to be influenced by persuasive advertising. More interested in information.)
17. [1] Need for market research prior to the marketing strategy as this is a new market.
18. [1] Need to continue with existing marketing strategy as higher demand from consumers will increase pressure on business customers to purchase from Inolla.
19. [1] The extent to which the strategy needs to change. Some elements may be retained others changed.
20. [1] Marketing budget may be constrained by the cash outflows associated with increasing output if extension or new factory is built.