(1)Evaluate the results of the market survey carried out in advance of the release of “Cleopatra” after analysing the Canadian soap market. If you believe the market survey was not appropriate, explain specifically how you would have modified it.
The results of the market survey carried out in advance of the release of “Cleopatra” were less significant in confirming that there was a real strong demand for Cleopatra in the target Quebec market. This is mainly because of the following reasons:(1) Inappropriate Target Sampling The idea of introducing Cleopatra soap to Canada, especially Quebec Province with French background, came because of the grand success in France and the expectation that the cultural similarities between those two places would produce similar results. Though the basis of considering the Quebec Province was their French influence, the market survey was conducted in Toronto, a city in Quebec’s neighbouring province Ontario that has British influence. So at the first place, the researchers got the target sampling completely wrong and the market survey results for the British-influenced market cannot be used to assess the demand in the French-influenced market.(2) Inappropriate Research Study Method. The first research study was conducted with a “super group” of articulate professional women who were introduced to the product, its price and advertising, followed by open discussion on likes and dislikes. This study showed positive and receptive results for Cleopatra. As Cleopatra was intended to be premium-quality, premium-priced soap, this study definitely validated the premium quality but there was still a question mark on the reception of premium price as the “super group” in this case are mainly concerned with the benefits of the soap and are less sensitive to the price. The second research study was conducted with more typical general consumers who were exposed to the advertising for Cleopatra and then asked if they were willing to buy the product. Also they were given a bar of soap for trial and were phoned a week later for their reactions. This study showed that 50% were willing to buy the product after exposure to the advertising and 64% would buy it when it is available at the stores. Though this study shows that the people are willing to buy the product, it does not validate the reception of the premium price or the willingness-to-pay of the consumers as the price was not exposed to this study group. Since the typical general consumers were more price-sensitive, their willingness-to-buy the product definitely does not mean their willingness-to-pay the premium price for the product. Because of the above reasons, I believe that the market survey was not appropriate.
If I was in charge of the market survey, I would like to modify it as follows:STEP1: Clarify the objectives of the market survey as below:(a) Assess the acceptance (willingness-to-buy) of Cleopatra soap by consumers in Quebec(b) Assess the factors influencing the buying decision of the potential consumers(c) Assess the willingness-to-pay the premium price of Cleopatra soap(d) Assess the effectiveness of the proposed advertising commercial for Cleopatra soap(e) Assess the response of consumers on Cleopatra soap for planning future promotionsSTEP2: Collect the information for determining the above objectives by doing the following:(1) Conduct the survey in the target market, Quebec instead of Toronto to assess the demand in the French-influenced market. Start survey with mass consumers and then based on the results, survey further on specific target consumers.(2) Ask question like below to assess the key buying factors of the potential consumers. Quebec. What are the things that you consider while buying a skin care soap? Possible choices would be:(a) Price, (b) Quality, (c) Fragrance, (d) Mildness, (e) Soft for skin, (f) Other ( ___ )(3) Ask questions like below to assess the willingness-to-pay of...
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