BSBMKG502 Establish And Adjust The Marketing Mix

BSBMKG502 Establish and adjust the marketing mix

Case Study 1:

Bryant has set itself the target of achieving a 5-10% premium on its sales values. To achieve this objective, its production and sales activities are all geared towards emphasising the four core values of:

location - being in the most desired spots

individuality – providing properties with individual characters
density - having fewer houses per acre than rival producers
specification - producing homes which have a wider range of value adding features than those provided by rival house builders.

From identifying a new site to selling a house

Bryant must make sure it provides the right homes in the right place at the right time. For this to happen, there must be careful integration between three groups of people who are responsible for researching the housing market:

  1. land buyers are responsible for identifying land for immediate usage and also for creating a long-term land bank. The land buyer is responsible for negotiating the best possible deals and will often use estate agents to determine the availability of development land. They are supported by the technical department who provide detailed studies of local plans. They also spend time with local authorities discussing demographic trends (changes in population) and local opportunities.
  2. sales managers work closely with land buyers and advise them on the feasibility of the potential market. They will research locations to ascertain the target market, future rate of sale, sales values, the extent of competition etc. The sales manager is ultimately responsible for selling houses and therefore must get the price right.
  3. estate agents work closely with both of the above and will sell the houses for Bryant. They have the local knowledge that Bryant needs and will be best placed to advise on pricing decisions. Some estate agents are land specialists and act as intermediaries in the sale of land. Estate agents provide weekly and monthly updates on market research, for example, informing Bryant what the second-hand market is doing and what competitors are doing.

Bryant’s target customers fit into the commonly used market research classifications of ABC1 - i.e. better off consumers with higher incomes. This group of customers is best placed to pay premium prices. Indeed in purchasing a capital good as important as housing, it would be surprising if ABC1 consumers were to purchase property that did not have a premium price reflecting premium quality.


  1. From the case study which of the 4 P’s of Marketing does Bryan Homes lays emphasis on in their marketing strategies when they sell a house?


(b) Price

(c) Place

(d) Promotion

  1. What pricing strategy would suit Bryant Homes for selling houses?


(b) Cost-Based

(c) Skim

(d) Penetration

  1. Which of the following best describes Bryant Homes pricing strategy in comparison with their competitors?

(a)Price Leader

(b) Highest Quality

(c) Luxury Brand

  1. Which of the following best describes Bryant Homesdistribution strategy?

(a)Intensive Distribution

(b) Extensive Distribution

(c) Selective Distribution

(d) None of the above

  1. Which of the following best describes Bryant Homes promotional strategy?

(a)Paid media and Sales Promotion

(b) Direct email and Internet Marketing

(c) Paid media, Sales promotion, Direct email and Internet Marketing

(d) None of the above

(e) Not mentioned in the case study

Case Study 2:

What are the main elements of the marketing mix of Manchester United? First of all the product includes providing an excellent football team that plays and wins in an exciting way. However, there are other ingredients of the product including merchandising such as the sale of shirts, and a range of memorabilia. The product also relates to television rights, and Manchester United's own television channel. In one respect the place is Old Trafford where home games are played, but Manchester United also plays at a range of other venues. And, of course its products are sold across the globe, through the club's website and a range of other sales media.

Manchester United markets itself as a global brand. The club also engages in a range of joint promotional activities, for example with the mobile phone company Vodafone. Manchester United books, shirts, programmes, keyrings and many other items are sold and promoted through its website.


  1. From the case study which aspects of 4P’s of Marketing are covered?

(a)Product& Price

(b) Product & Promotion

(c) Place& Price

(d) None of the above

Case Study 3:

Its charismatic boss Michael O’Leary has a business model with a central focus on cost reduction (and making money of course!). In around 20 years he has taken Ryanair from a single plane company to become the largest airline in Europe. He had a vision and achieved it through masterful leadership. So how did he do it? How does Michael O’Leary retain his narrow cost focus niche strategy in the face of intense competition? The business simply has lower costs and those costs are passed on to their passengers in the form of low fares.


  1. Which of the following best describes Ryan Air Pricing Strategy?


(b) Cost-Based

(c) Skim & Cost-Based

(d) Cost-Based & Penetration

Case Study 4:

Ryanair does not use travel agents so it does not pay agency commissions. It uses direct marketing techniques to recruit and retain customers, and to extend products and services to them (i.e. Customer Relationship Management). This reduces costs.
You book online over the Internet. This saves them 15% on agency fees.
They are based in Stansted in Essex – which is known as a secondary airport. It is new and accessible. It is cheaper to fly from Stansted than either Heathrow or Gatwick, and since it is less busy Ryanair can turn aircraft around more quickly.
Many of Ryanair’s destination airports are secondary. For example if you fly to Copenhagen (Denmark) you arrive in Malmo (Sweden) – although it is only a short coach trip over the border. Secondary airports, which tend to be smaller regional airports, depend upon this single carrier – some (it is rumored) paying up to £100, 000 for each additional new route. Costs are lower and aircraft can be turned around faster.
Keeping aircraft in the air as much as possible is another important part of the low cost jigsaw. However, the company has been challenged by the European Union in relation to anti-competition laws.


  1. From the case study which aspects of 4P’s of Marketing are covered?


(b) Price

(c) Place

(d) Promotion

Case Study 5:

Getting the right product to the right place at the right time involves the distribution system. Distribution is the process of moving goods and services to the places where they are wanted.

There are a number of ways in which Motorola distributes its phones. If you want to buy a Motorola mobile phone there are a number of distribution channels that you can use. Many people like to buy phones from independent retailers such as Carphone Warehouse. These can offer advice about a variety of different phones and suggest the one best suited to your needs. A second source is a retail outlet belonging to a network provider such as Vodafone.


  1. From the case study which of the following distribution strategies are covered?

(a) Intense & Selective

(b) Exclusive & Selective

(c) Intense & Exclusive

(d) None of the above

Case Study 6:

In a groundbreaking initiative Kellogg’s created and implemented a Crunchy Nut (CN) restaurant in 2012, and again in 2013, which invited consumers to a unique ‘outdoor’ experience to taste new products and actively engage with the Crunchy Nut brand.

Located at the Manchester Arndale shopping centre, the 2013 restaurant served 9,049 customers over a 12 day period.


  1. From the case study which aspects of 4P’s of Marketing are covered?


(b) Price

(c) Place

(d) Promotion

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