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Question 1

How would you interpret the consumer and market data if you were Dana
Wheeler?
If I am Dana Wheeler first I will classify my data into segments. Fashion channels are very
popular among women. Therefore, it distinguishes female audiences based on age, purchasing
power, and fashion nerds. Once I identified the market segment and then looked for segment
trends that could prove beneficial to the company. For example, in some trends in the market
data provided, about 15% of female audiences are fashion lovers, who are very fashion-focused
and pay close attention to trends. This market segment is made up of more diverse consumer
groups. Serving this market segment will definitely improve my score.
To recapitulate, finally what they survey shows is that the channel TFC in itself does not have a
real impact on the program choice of consumers. Instead consumers are looking for any
program that brings value to them, that helps them answer their doubts or wishes, a program
that gives good and useful advices in terms of human needs like comfort, entertainment, price
concern and self-esteem. And I think that this is what reflects the survey, that whatever the
cluster, the consumer is trying to find an answer to its vital needs, discovering an entertaining,
simple and affordable way of appearing sufficiently natural and classy to reach a self-esteem
need.

Question 2
What is the expected outcome of each of the targeting scenarios? Attempt to
complete a financial impact of the scenarios.
As we know that Dana Wheeler has proposed three options that combine the most popular
elements of channel programming. Its main purpose is to raise the advertising prices that
companies can charge

First Scenario
As from the first scenario Targeting planners / shoppers, fashionists and Situationists. According
to Table 4, the rating increases from 1.0% to 1.2% in this situation, but the CPM (cost per 1000
impressions) decreases from 2.00% to 1.80%. In other words, advertising revenue will increase
by 8% in this situation.

Second Scenario
According to the survey, this is the strongest group as it focuses on the fashionists’ market
segment. This method helps to show the fundamental change. It is an area that produces
economic benefits. Efforts to apply this segment of the market mean consumer loyalty, so
advertisers will generate more interest. The only objection is that they can make big profits, but
this is only a small part and the profits are not as high as the cost.

Third scenario
The third scenario focuses on two market segments: fashionists and shoppers. This approach
showed a modest change and the two parts worked well together. Marketing and advertising
activities have the potential to expand both market segments at the same time, strengthen
relationships with fashionists and attract new customers in both market segments. The promise
of this option is to increase your valuation by more than 20% and the CPM by about 25%.
Similarly, Wheeler wants to attract young viewers aged 18-34 in this way.

Question 3
Develop a factual analysis of the segmentation options and evaluate PROS and
CONS of each option. If you were Dana Wheeler what would you recommend?

Scenario 1
Broad multi segment approach

PROS CONS
Lowest total expense No strategy improve or development,
Reduced risk Loss of advertising revenue

Low ad sales commission Loss in average CPM

Less expected internal and external Low total revenue BECAUSE reduce of market
resistance share

Scenario 2
Focused approach

PROS CONS
Increase of CPM up to 3.5. Less audience.
Highest focus. Loss in average rating to 0.8.

Highest value for advertiser. Risk to loose loyal audience.

The unique niche strategy. Possible resistance of audience.

So from the second scenario represents a major change in strategy. This new strategy is aimed
exclusively at fashionists and no longer targets a wide audience, making it easier to establish a
true market niche. It is highly evaluated by advertisers. That's why the cost per 1000
impressions has increased to the expected 3.50.

Scenario 3
The Approach of Two Segments

PROS CONS
Increase of average rating. Medium average CPM.
The Growth in total revenue. Higher costs.

Leverage risk. The High additional programming cost of


20,000000 dollars.

I will go for the scenario 3 larger target customers and highest rating’s and net income and
basis of the locality of the viewers by taking into the consideration two main aspects of
commission from TV cable operator and ad revenues. So these are the recommendations if am
the Dana Wheeler.

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