Block 4 Assessment One

Gift Simau Block 4 Assessment 1 Page 1 of 8
Question one
(Institute of Marketing Management, 2020) explained that products offerings are
divided in five levels that usher value to the customer namely:
Core product
The core products are the benefits the customers buying. When customers purchase
products they buy benefits i.e. what the product can do for the customer .When a
customer buys an iPhone 6 he or she buys the benefits of communication. Having
the ability to communicate with colleagues instantly over long distances.
Basic product
This resemble the actually product including the features, packaging and branding
.For example apple iPhone has a big battery, two gig Ram and up to 64 gig internal
memory
Expected products
These are features that customers are expecting from the product e.g. customers
expect iPhone 6 to have battery that last for two days.
Augmented product
Marketers use augmented product to differentiate their product from those offered by
the competition for example Apple offers two years guarantee
Potential Product
This includes what the customers expect from the product in the future including
changes and modification of the product in the future for example customers expect
the iPhone to have a complete wireless charger through solar energy
QUESTION TWO
(Institute of Marketing, 2020) explained the following:
Introduction
Here the product is still new to the Market and sales and profits are still low.
Competition has not entered the market .The firms marketing communication
strategy is to create awareness of the product and inform the public of the potential
benefits of the product .The pricing level is penetration strategy to gain market share
.The product will be distributed to few selected outlets and being aimed at the
innovators .Innovators are those consumers who are happy to try new products .For
example Pro brands Zimbabwe as a Maheu product which only the innovators are
purchasing .
Growth
During this stage sales start to increase and profits start to be realised .As the
competition sees opportunities they start entering the market .At the growth start
companies must start adding additional features to product. The company must start
distributing the product intensively .The communication strategy now will be targeted
to a wider audience .For example electric cars such as Tesla Model S are in the
growth stage
Maturity
As the product reaches maturity sales and profits start to slow down as more and
more competition has entered the market .The reason due to customers are now
saturated with the product and the competition has brought a substitute of the
product which is more advanced .Marketing communications should be focused on
differentiating the product from those offered by competition ,the product must be
distributed intensively and offering intensives to to persuade customers to buy
.Prices will go down due to increased competition and price wars .
Decline
Here sales drop drastically and profits from the product lowers .Companies may try
to extend the life of the product by finding new uses of the product or entering new a
markets .for example Japanese second cars have found a new market in Zimbabwe
QUESTION THREE
(Institute Of Marketing Management, 2020) “Distribution intensity refers to the
number and spread of retail outlets in a specific geographic area where a consumer
can buy a specific product.”
 Intensive distribution
(Institute of Marketing Management ,2020) explained that with this strategy the
product is distributed widely i.e. to make the product available in every outlet be it
Large super markets or tuckshops .This strategy is most suited to product like bread
,matches etc. for Lobels bread Zimbabwe distributes its bread to all retailers in
Zimbabwe and including street vendors .
Selective distribution
Chand (n.d) explained that selective distribution is when a product is distributed in a

limited number of outlets in a certain geographic areas. This strategy is most suited
when consumers have a specific preference for a particular brand and will look for
shops that have that brand .Apple products are distributed using this strategy.
Exclusive distribution strategy
(Institute of Marketing Management, 2020) emphasised that “exclusive distribution

strategy is a form of distribution that establishes one or a few retailers in a specific
geographic area”
Chand (n.d) states that exclusive distribution is the opposite of intensive distribution.
A firm distributes its products to a very few outlets in the markets who are able to
give the product the attention its requires .Suited for very expensive products for
example Rolex watches are distributed using this strategy
QUESTION FOUR
My target market will consist of males and females between the ages of 22 to 65
who are conscience about their health, who exercise regularly and are of a middle
class earning around R20 000 to 60 000 per month. (Institute of Marketing
Management, 2020) emphasised that the marketing communications Mix is part of
the marketing mix (4ps) known as promotion. It is important for organisations to
deliver the same message using these marketing communication mixes. The use of
the communication mix to deliver the same message to the customer is known as
integrated communication mix. The natural energy drink company must use the
following communication mix to its customers:
 Sponsorship
(Institute of Marketing Management, 2020) states that “Sponsorship is the supporting

of an event, activity or organisation by providing money or other resources that is of
value to the sponsored event” p.11
The natural energy drink company must sponsor sport to create brand awareness
amongst soccer fans .The company may sponsor by for example we have a football
team known as Dynamos, the company may provide soccer uniforms and funds for
this team and also sponsor the premier league .The benefits includes improved
perception of brand when the football players are playing soccer whilst wearing
jersey which have name and logo of the Natural soft drink company. These types of
sponsor will drive sales and growth.
 Sales promotion
The natural energy drink company must use sales promotion in various retail outlets
like Pick n Pay, OK etc. The promotion must run from December to mid-January .It
will be a buy one and get one free. The benefits will be to increase sales and market
share.
 Advertising
(Institute of Marketing Management, 2020) stated that “Advertising is known as a

paid, non-personal presentation and promotion of ideas, goods and services by an
identified sponsor (usually an organisation” p.12
The natural energy drink company must put advertisements on Zbc television during
7.30 pm to 8.30 pm .The advertisement must be a video showing an energic young
male and female jogging early in the morning but feeling being tired but after
drinking the energy drink ,their energy have been boosted.
Digital or Internet marketing
During covid 19 lock down social media usage increased at an unprecedented rate.
It will be a mistake if an organisation does not have a social media presence. The
natural energy drink company must setup online account like Facebook and twitter in
order to engage with its customers, and be able to understand what their customers
think about their brand through social selling. The natural energy drink must put
promoted advertisements on Facebook and twitter.
References
Institute of Marketing Management Graduate School. (2020)

MAR101B.Marketing One 101B Learner Guide. South Africa: Institute of
Marketing Management Graduate School
Institute of Marketing Management Graduate School. (2020) Module 1

.Marketing Mix Strategy. Product and Distribution Management. South Africa:
Institute of Marketing Management Graduate School.
Institute of Marketing Management Graduate School. (2020) Module 2

.Marketing Mix Strategy. Marketing Communications Strategy and Media
Planning. South Africa: Institute of Marketing Management Graduate School.
Chand(n.d) “Types of Distribution: Intensive, Selective and Exclusive

Distribution” available on :
https://www.yourarticlelibrary.com/distribution/types-of-distribution-intensive-
selective-and-exclusive-distribution/5780 (accessed on 15 December 2020)

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Gift Simau Block 4 Assessment 1 Page 1 of 8

Chand (n.d) explained that selective distribution is when a product is distributed in a

Exclusive distribution strategy

(Institute of Marketing Management, 2020) emphasised that “exclusive distribution

(Institute of Marketing Management, 2020) states that “Sponsorship is the supporting

(Institute of Marketing Management, 2020) stated that “Advertising is known as a

Digital or Internet marketing

Institute of Marketing Management Graduate School. (2020)

Institute of Marketing Management Graduate School. (2020) Module 1

Institute of Marketing Management Graduate School. (2020) Module 2

Chand(n.d) “Types of Distribution: Intensive, Selective and Exclusive

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