Annual Kellogg Marketing Competition 2006 It’s showtime... are you ready? Platinum Sponsor: Gold Sponsor:

AGENDA Competition Scoring Promotional Materials TG Resources TG Pricing Q&A

COMPETITION SCORING SYSTEM The “Selling” Event The Promotions The Plan Design Execution Student Body Feedback AKMC Committee Revenues Event Execution 50 Points possible Grand Prize Special Awards TOTAL POSSIBLE:

PROMOTIONAL MATERIALS Friendly reminder to create appropriate and tasteful promotional materials –In years passed, several teams were impacted by administration cracking down on “inappropriate” campaigning. Remember that there are prospective students and companies visiting Kellogg all the time Post and promote only what, where, and how you were authorized to post and promote (honor code applies) Respect yourself, your classmates, our visitors, and your school

CALENDAR Deadline to provide one copy of each promotional material Monday, November 6, 2006, 4pm – 6pm –Schedule one 10-minute session with AKMC Executive Committee in Room 150 –Only one member needs to attend –Sign-up today on scheduling sheet Receive approval (or requests for revisions) on promotional materials Monday, November 6, 2006, Late evening

CALENDAR Deadline to submit ALL promotional materials Tuesday, November 7, 2006, 4:30pm – 5:30pm –Bring materials to Room 146 Receive promotional materials Wednesday, November 8, 2006, 5pm –Coordinate with your AKMC co-chair –Materials will have required administration approvals Campaigns launch Thursday, November 9, 2006, 7:30am Campaigns end Wednesday, November 15, 2006, 10:00pm

TG RESOURCES Each team has 100 TG Bid Points to secure resources Process is similar to allocation of Scarce and Non- Scarce Resources for Promotional Campaigns –1 st round: Bid on TG Booth Placement –2 nd round: Purchase remaining TG resources TG resources include the following: –In-store circular –Product sampling/ Floorwalking –Liquidation –Pricing change

TG BOOTH PLACEMENT

TG BOOTH PLACEMENT Things to consider –Availability of power: only booths 1-9 have access to electricity –Availability of walls or pillars to post materials or use as part of booth design –Amount of space for booth –Areas with high traffic Additional bidding info –If you win a booth, you are charged the exact amount that you bid for it

TG – ADDITIONAL DETAILS Each attendee of TG receives the following: –Bag for their goodies –In-store circular –Fake money: $20 of AKMC Mega-Bucks

TG PRICING Each team will determine the selling price for its product Price must be set and submitted to the co-chairs prior to TG (Details TBD) –Price cannot be changed (unless the “price change” or “liquidation” options have been purchased) Prices can only be in whole-dollar increments Teams can “bundle” to reach a higher price point –i.e., “2 for $3” Teams CANNOT give volume discounts –i.e., “1 for $2 or 2 for $3”

TG PRICING – Revenue Scoring Teams will be scored based on their profit/loss relative to their “up-front costs” Each team’s “up-front cost” will be a fixed cost based on a certain percentage of their product’s retail price x 500. Teams will be informed of their up-front cost prior to price setting Reminders Consumers are on a fixed income 12 other teams will be trying very hard to maximize their own revenue

CALENDAR Deadline to submit bids for TG booth placement Wednesday, November 8, 2006, 9pm –Submit via Receive results of TG booth bidding Thursday, November 9, 2006, 5pm Submit purchases of remaining TG resources Sunday, November 12, 2006, 5pm –Submit via

CALENDAR Set-up for TG Mega-Mart Sales Extravaganza Friday, November 18, 2006, 3pm Sales start! Friday, November 18, 2006, 5pm –Lasts for two hours

Q&A