2 (a) CC's Marketing manager wants to carry out market research. Identify and explain two factors which could influence the accuracy of the market research data. Factor 1: Explanation: Factor 2: Explanation:
- (a)CC's Marketing manager wants to carry out market research. Identify and explain two factors which could influence the accuracy of the market research data. Factor 1: Explanation: Factor 2: Explanation:[8]
- (b)CC's bestselling product is a good quality camping cooker which is similar to those produced by competitors. Explain how each of the following three elements of the marketing mix could be used to market CC's camping cooker. Justify why each element is important to the success of this product. Price: Promotion: Place:[12]
Mark scheme
Marking points from the official mark scheme (Oct/Nov 2015). The mark or mark type is shown in brackets.
- Knowledge [2 × 1] – award one mark for each relevant factor
- Analysis [2 × 1] - award one mark for a relevant explanation for each factor
- Application [2 × 2] - award two application marks for each factor
- Award one mark for each relevant factor (maximum of two), such as:
- • Ensuring the information is up-to-date
- • Ensuring a suitable size of sample is selected
- • Ensuring a suitable sample method is used/aimed at target market
- • Ensure the questions on a questionnaire are well phrased
- • Check who carried out the research
- • Check where the research was carried out
- • Check if there was any bias/dishonesty
- • Method of market research used
- Award a maximum of three additional marks for each explanation – 2 of which must be applied to this context – of how it can be ensured that the information is accurate.
- Indicative response:
- To ensure the information is up-to-date [k] because if the market research had been carried out a few years earlier then customer camping habits may have changed [an]. The Marketing manager needs to ensure that the information has been carried out recently so it reflects current camping habits (ap) and then CC will know whether the current customers are happy with its camping equipment (ap).
- Possible application marks: in country X; manufactures camping equipment; customers have tents or caravans; country Z; camping shops; camping cooker; prices just below competitors prices; equipment listed from Appendix 1; Appendix 2 information such as price of cooker = $40 or variable cost per cooker = £20.
- There may be other examples in context which have not been included here.
- Relevant points might include:
- Price
- Competitive pricing as they have several competitors
- Need to make sure costs are covered – cost plus pricing
- Psychological pricing – e.g. $39.99
- Penetration pricing – to enter new market
- Promotion
- Posters on campsite noticeboards
- Discount vouchers in specialist camping magazines
- Advertise on holiday company websites
- Examples of promotional offers e.g. buy camping cooker and get another item free
- Place
- CC equipment is sold through camping shops
- Could be sold direct to customers through the website
- Sell through other outlets as well as camping shops
- Open new stores near camping sites/activity centres
- Knowledge/Analysis/Evaluation – award up to 10 marks using the levels-based mark scheme below.
- Level 2: 4-10 marks Detailed discussion of each of the elements of the marketing mix. Developed reasoning for the course of action suggested Justification of why the description of the element of the marketing mix will lead to successful sales of the camping cooker.
- Level 1: 1-3 marks Outline the elements of the marketing mix.
- Level 1: 1 mark for each L1 statement (max of 3 marks) e.g. Competitive pricing
- Level 2: one L2 explanation can gain 4 marks and a further mark can be awarded for each additional L2 explanation (max 10 marks) e.g. Competitive pricing needs to be used with the marketing of the camping cooker as there are many competitors and so CC cannot have very different prices to the other cookers. (4 marks for L2 answer).
- Award up to 2 additional marks for relevant application.
- NB - do not reward Cooker as an application mark as it is mentioned in the question.
- Possible application marks: in country X; loyal customers, need to maintain our competitiveness; manufactures camping equipment; customers have tents or caravans; selling into country Z; camping shops; prices just below competitors prices; equipment listed from Appendix 1; Appendix 2 information such as price of cooker = $40 or variable cost per cooker = £20.
- There may be other examples in context which have not been included here.
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