Would Sales promotion, Public Relations and Direct Digital Marketing be relevant/helpful to promote the profuct in Australia? Why or why not?  Please justify your answer.    (Hint: Make sure you include definitions,  advantages and disadvantages of all three)

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
Problem 1.1DQ
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 Would Sales promotion, Public Relations and Direct Digital Marketing be relevant/helpful to promote the profuct in Australia? Why or why not?  Please justify your answer.   

(Hint: Make sure you include definitions,  advantages and disadvantages of all three)

Part 3: Case Study - Fyna Foods
Required: Read the case study below and answer
the questions on Page 10
Fyna
Fyna Foods Australia
As he strode purposefully into the board room to
make his presentation to the firm's monthly
directors' meeting, Fred Fahr, General Manager of
Fyna Foods Ltd, felt just great. His confidence was that of someone who knows he has faced a
problem and can develop the right answer.
'Ladies and gentlemen,' he began, 'as you are aware, two months ago we were given the
opportunity to supply the Beefies Hamburger Chain with their new Supa-Long French fries (hot
potato chips). At the time, we all agreed this was a great potential business for Fyna Foods, but
that it also posed a major problem for us-what to do with the excess potato left over after we
supply Beefies with the extra-length fries. To dump this excess material would mean almost
certainly making a loss on the Supa-Long fries' business.
'We found the answer by combining the excess potato material with other vegetables to create a
breakfast burger,' Fred went on. I have to say the technical department has done a really good
job and created a product that Fyna Foods can be proud of. Once we developed the product, I
gave it to our marketing people and they've decided to call it "Bubble and Squeak" - it's what we
used to call leftovers back in the 1960s. We've decided to advertise it as "The delicious breakfast
alternative to bacon and eggs for families in the morning or snacks at night.'
'What about the factory?" one of the directors asked. This product doesn't look like anything we
produce at the moment.' 'Well, you know how our Production Department's managers are,'
replied Fred. 'If the factory had its way, we'd never produce anything that wasn't quick and cheap
to run through the machines. Anyway, we've agreed to pack the new line in boxes of 24 burgers,
which nicely fits our packaging machinery. The factory was pleased with that.'
The directors thought the Supa-Long contract is going to grow at about 10 percent per annum, so
we need to budget to increase Bubble and Squeak's sales by that amount each year. We do have
a bit of a problem with the price, which I'm still working on. The Sales Department is concerned
it won't be able to move these volumes of product at the price the accountants have given us
without increasing the promotion budget substantially. The product development team has also
produced a super-premium quality product in the test kitchen which is too good for our target
market. I'm confident that we can reduce the costs down to a level that Sales Department can
sell to customers.
There was a general murmur of approval around the table. As it subsided, however, Fred noticed
that Bill Wyse, the recently retired Marketing Director of a large transnational food business had
his hand raised waiting to catch the chairman's eye. As silence returned to the room, he spoke
for the first time during the meeting. 'Well, Fred,' he said quietly. "You've obviously put a lot of
work into this. I can tell you feel you've done a great job. But in my humble opinion, you don't
seem to appreciate what marketing is all about. The success of this product depends on getting
your thinking right about marketing.'
Transcribed Image Text:Part 3: Case Study - Fyna Foods Required: Read the case study below and answer the questions on Page 10 Fyna Fyna Foods Australia As he strode purposefully into the board room to make his presentation to the firm's monthly directors' meeting, Fred Fahr, General Manager of Fyna Foods Ltd, felt just great. His confidence was that of someone who knows he has faced a problem and can develop the right answer. 'Ladies and gentlemen,' he began, 'as you are aware, two months ago we were given the opportunity to supply the Beefies Hamburger Chain with their new Supa-Long French fries (hot potato chips). At the time, we all agreed this was a great potential business for Fyna Foods, but that it also posed a major problem for us-what to do with the excess potato left over after we supply Beefies with the extra-length fries. To dump this excess material would mean almost certainly making a loss on the Supa-Long fries' business. 'We found the answer by combining the excess potato material with other vegetables to create a breakfast burger,' Fred went on. I have to say the technical department has done a really good job and created a product that Fyna Foods can be proud of. Once we developed the product, I gave it to our marketing people and they've decided to call it "Bubble and Squeak" - it's what we used to call leftovers back in the 1960s. We've decided to advertise it as "The delicious breakfast alternative to bacon and eggs for families in the morning or snacks at night.' 'What about the factory?" one of the directors asked. This product doesn't look like anything we produce at the moment.' 'Well, you know how our Production Department's managers are,' replied Fred. 'If the factory had its way, we'd never produce anything that wasn't quick and cheap to run through the machines. Anyway, we've agreed to pack the new line in boxes of 24 burgers, which nicely fits our packaging machinery. The factory was pleased with that.' The directors thought the Supa-Long contract is going to grow at about 10 percent per annum, so we need to budget to increase Bubble and Squeak's sales by that amount each year. We do have a bit of a problem with the price, which I'm still working on. The Sales Department is concerned it won't be able to move these volumes of product at the price the accountants have given us without increasing the promotion budget substantially. The product development team has also produced a super-premium quality product in the test kitchen which is too good for our target market. I'm confident that we can reduce the costs down to a level that Sales Department can sell to customers. There was a general murmur of approval around the table. As it subsided, however, Fred noticed that Bill Wyse, the recently retired Marketing Director of a large transnational food business had his hand raised waiting to catch the chairman's eye. As silence returned to the room, he spoke for the first time during the meeting. 'Well, Fred,' he said quietly. "You've obviously put a lot of work into this. I can tell you feel you've done a great job. But in my humble opinion, you don't seem to appreciate what marketing is all about. The success of this product depends on getting your thinking right about marketing.'
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