Capturing Customers with the Right Message for the Right Product at the Right Place with the Right Price at the Right Time
Recently a number of companies have offered special discounts to customers who subscribe to electronic coupon services. For instance, an electronic coupon provider will establish a relationship with a restaurant to give discounts to customers who show the restaurant an electronic coupon displayed from their Smartphone. Clearly, those who have smart phones, are members of social networks, and subscribe to a coupon service, may benefit from this offering. The coupon service can also collect subscription fees from subscribers as well as electronic ad fees from restaurants. The restaurants can benefit by capturing sales they may not have otherwise obtained had they not advertised a discount using this medium.
There are pros and cons to this marketing approach. State your agreement or disagreement with this practice using your understanding of the information presented in the lectures, text readings and other relevant sources. Your response should include the following:
- A description of the target market for electronic discount coupons.
- An analysis of at least two of the 4Ps that apply in marketing this service.
- Explanations of one advantage and one disadvantage associated with using this service from the perspective of the business owner or the customer redeeming the coupons
- An explanation of your position for or against the use of electronic discount coupons.
- An example from your personal experience or that of a friend, co-worker, family member, acquaintance, or other source to support your position
- An analysis of how this practice could be improved or leveraged for other products or services.