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3.1.3 Product trial and repeat purchase

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Presentation on theme: "3.1.3 Product trial and repeat purchase"— Presentation transcript:

1 3.1.3 Product trial and repeat purchase
Do you recognise these trial flavours? Would these adverts have encouraged you to trial a new flavour? Is this good market research or just a gimmicky campaign? Have any of these flavours been launched? How else can a business encourage customers to trial a new product? 3.1.3 Product trial and repeat purchase 3.1.3 Product trial and repeat purchase

2 3.1.3 Product trial and repeat purchase
A product trial involves getting people to buy your good or service for the first time. The product is usually brand new to the market. A repeat purchase involves getting your customers to buy your product again. What new products have you tried recently? What encouraged you to try it? Will you buy it again? Why might it be easier for an established brand to launch a new product than a new business? 3.1.3 Product trial and repeat purchase

3 Product trial There are a number of ways in which a business might promote a new product. These might include: Advertising Below the line – direct promotion rather than through an intermediary e.g. direct mail/ , trade stands etc. Above the line – indirect promotion through mass media such as TV, radio and newspapers Penetration pricing – setting low initial prices to attract customers Free samples – targeting potential consumers at locations such as railway stations with free tasters 3.1.3 Product trial and repeat purchase

4 Repeat purchase Brand loyalty means that customers will continue to buy their favourite product. Businesses will spend money advertising their products in order to inform and persuade customers with their buying habits. A product trial will involve an initial promotional campaign. Hopefully, people will try the new product. If it is good enough they will become repeat purchasers. Write down your five favourite brands – ones that you will not accept a substitute for. Prioritise them from 1 to 5. State two reasons why you must have that brand. 3.1.3 Product trial and repeat purchase

5 Walkers take Sunbites ‘Once bitten, flavour smitten’ on the road
Read the article about Walker’s marketing campaign Split the activities into 2 categories: Product trial Repeat purchase Rank the components of the marketing campaign by how successful you think they will be 3.1.3 Product trial and repeat purchase

6 New Heinz Moshi Monster Pasta Shapes
3.1.3 Product trial and repeat purchase Heinz post details of all new products on their website. Within the marketing mix is this an example of: Product Place Price Promotion (1) Identify two marketing activities Heinz could take to get customers to trial Moshi Monster pasta shapes. (2) Explain how one of these actions would encourage customers to trial Moshi Monster pasta shapes. (3) Explain one marketing activity Heinz could use to encourage repeat purchases of Moshi Monster pasta shapes. (3) What is meant by the term pester power? Trivia: The number of families that buy Heinz Kids Pasta is the same as the population of London


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