Marketing Chapter 8 Homework The Presumption Was That Since Coca-Cola Had

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subject Authors Roger Kerin, Steven Hartley

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ICA 8-2: IN-CLASS ACTIVITY
Websites for Marketers
Learning Objective. To have students experience the wide variety of marketing
information that is available on the Internet.
Nature of the Activity. To have students visit three websites that have been discussed in
the text or are likely to be of interest to marketing students and then select one website they find
interesting and summarize the kinds of information that this website offers.
Estimated Class Time and Teaching Suggestions.
If Internet access is available in the classroom, 10 minutes of “surfing” and discussion
should be adequate.
If Internet access is not available, two class sessionsone for assigning websites to
visit and one for discussionwill be necessary.
Materials Needed.
Copies for each student of the “Websites for Marketers” Handout.
Internet access and projection equipment the classroom that will allow the websites to
be shown on an overhead screen.
Steps to Teach this ICA.
1. OPTIONAL: Bookmark the following websites on your classroom computer and
familiarize yourself with these websites in the Websites for Marketers Handout:
2. Ask students about their experience “surfing” the Internet. Solicit examples of those
websites that interest them.
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4. Show Websites for Marketers.
6. Discuss the marketing implications of the websites.
Marketing Lessons. The websites listed on Websites for Marketers Handout
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Websites for Marketers Handout
[NOTE: “http://” is assumed before “www”]
1.
The American Marketing
Association
www.marketingpower.com
4.
The Drudge Report
(political news)
www.drudgereport.com
5.
Bloomberg Businessweek
(business news/video)
www.businessweek.com
ads/b-roll)
9.
Google (search engine)
www.google.com
10
.
eBay (on-line auction)
www.ebay.com
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ICA 8-3: IN-CLASS ACTIVITY
Designing a Taste Test Survey for Howlin’ Coyote Chili
Learning Objectives. To have students (1) design three questions for a taste test
questionnaire of a possible new Howlin’ Coyote® chili marketed by Paradise Kitchensthe firm
described in Appendix Aand (2) compare their questions with those actually used in the taste
test.
Nature of the Activity. To help students appreciate the precision needed in developing
meaningful questions that assess consumer attitudes, opinions, and/or behaviors when designing
a survey.
Estimated Class Time and Teaching Suggestions. About 15 minutes, conducted in
4-person teams.
Materials Needed. Copies for each student, either in hard copy or electronically, of the
following:
“Try Your Hand at Designing a Chili Taste-Test Questionnaire” handout.
Howlin’ Coyote Chili Challenge Taste Test Questionnaire.
Steps to Teach this ICA.
1. Read Appendix A for some background on Howlin’ Coyote Chili.
2. Review the typical problems encountered when constructing the wording of
questions.
3. Review the Howlin’ Coyote Chili Challenge Taste Test Questionnaire.
4. Pass out copies of the Try Your Hand at Designing a Chili Taste-Test Questionnaire
Handout.
5. Give the following background mini-lecture:
“Consumer packaged goods marketers (like Paradise Kitchens—see Appendix A)
often conduct taste tests to evaluate a new product (such as chili) that might be added
their product line (such as the Howlin’ Coyote line). As a part of the taste test,
participants are asked to complete a short questionnaire that summarizes their feelings
about the attributes of the product, such as taste. This questionnaire must be simple
and worded very carefully to obtain the information needed.”
6. Have students spend a few minutes to design each of the three scales or questions
shown on the Try Your Hand at Designing a Chili Taste-Test Questionnaire Handout.
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7. Have several students suggest their proposed scales for each of the three questions
from the Try Your Hand at Designing a Chili Taste-Test Questionnaire Handout, and
perhaps have them write them on the board.
8. Make these points about the three questions:
Question #1. A six-point scale could be as follows:
Dislike extremely Neutral Like very much
Question #2. This should have been easy. The chili spiciness scale is:
Question #3. Point out to the class that the time period covered must be
9. Ask students to critique other parts of the actual Howlin’ Coyote Chili Challenge
Taste Test Questionnaire. Then ask students to critique other parts of the actual
Howlin’ Coyote Chili Questionnaire and to suggest marketing actions. A critique:
Opening Statement. Offering “valuable coupons” and a “raffle entry to win
prizes” may increase the response rate but can give biased favorable answers.
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TRY YOUR HAND AT DESIGNING
A CHILI TASTE-TEST QUESTIONNAIRE HANDOUT
1. You have a respondent taste a new Howlin’ Coyote chili
being considered for manufacture. Suggest names for the
six scale points seeking the respondent’s reaction, where
one of the scale points is “neutral.”
______ ______ ______ ______ ______ ______
2. Suggest three names on a “spiciness scale” to evaluate the
new chili.
________________ _______________ _______________
3. You are especially interested in reactions of consumers who
frequently eat chili. Compose a question to measure a
respondent’s frequency of consuming chili.
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Chapter 08 - Marketing Research: From Customer Insights to Actions
IN-CLASS ACTIVITY (ICA) 8-4
Pepsi vs. Coke Taste Test
Learning Objectives. To have students run an experiment, collect data, and interpret the
results by replicating the “Pepsi Challenge” with Pepsi Cola and Coca-Cola.
Nature of the Activity. To have students replicate the historic Pepsi vs. Coke taste test.
Estimated Class Time and Teaching Suggestions. This activity takes about 20
minutes. Depending on class size, this activity may take more time. It may be necessary to limit
the number of taste test participants if the class size is too large and if the amount of materials
required to serve all the students is excessive.
Materials Needed.
Copies for each student of the Pepsi vs. Coke Taste Test Survey.
A sufficient number of refrigerated 2-liter bottles of Pepsi Cola and Coca-Cola so that
each student in the class can participate in the experiment.
A sufficient number of 3-ounce Dixie® paper cups for each student in the class.
Steps to Teach this ICA.
1. OPTIONAL: Bookmark the following websites on your classroom computer:
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2. Before class starts, set up two taste test stations at the front of the classroom that
consists of a shield (to prohibit taste-testers from identifying the soft drink brands
being evaluated), labeled cups, water, saltines, Pepsi vs. Coke Taste Test Surveys,
and (optional) blindfolds.
3. At the start of class, select two teams of 1 to 2 students to manage each taste test
station. Recruit students who are responsible to perform this task. One team will put
Pepsi in the “B” cups and Coke in the “N” cup and the other team will put Coke in
the “B” cups and Pepsi in the “N” cups. Water will be placed in the “W” cups for
both taste test stations.
4. Click the Internet icon to play the Pepsi vs. Coke YouTube Taste Test TV ad. [TRT
= 0:30] Inform students that we are going to replicate the Pepsi Challenge and Coke
Taste Test experiments.”2
5. Give the following mini-lecture as you set up the experiment:
“During the late 1970s and early 1980s, Pepsi Cola conducted a nationwide
comparative taste test known as the ‘Pepsi Challenge.’ Pepsi set up stations on
college campuses and at other public arenas to have consumers compare the taste of
Pepsi to Coca-Cola (the original brand, now known as ‘Coca-Cola Classic’). This
‘blind’ taste test was conducted in the following manner:
a. Two small cups were labeled ‘B’ and ‘N.’ To prohibit taste-testers from
identifying which cola was poured into which cup, one was filled with Pepsi and
the other one with Coke behind a cardboard backdrop or shield.
2 Robert F. Hartley, “Marketing Mistakes and Successes,” 8th ed. (New York: John Wiley & Sons, 2001), pp. 11-14.
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In 1985, Coca-Cola decided to conduct its own Coke Taste Test when it compared a
reformulated, sweeter ‘New’ Coke with the original Coca-Cola formula. Based on
results obtained from blind taste tests run on almost 200,000 people:
Consumers preferred New Coke (55%) to ‘Old’ Coke (45%).
6. To begin the taste test, have students come down by rows. Have students from odd
numbered rows go to station 1 and those from even rows go to station 2. Then, place
a blindfold on the student. Next, take one “B”, “N”, and “W” cup from behind the
shield and place them in front of the student.
7. With a blindfold on, have each taste-tester take a sip from cup “B.” Then, have
him/her take a bite of a saltine cracker and a sip of water. Next, have her/him repeat
8. When the taste test is completed, have each student fill out and hand in the Pepsi vs.
Coke Taste Test Survey. When all students have completed the test and turned in
their surveys, take a poll by station number as to which brand (cup “B” or cup “N”)
9. Have someone tabulate the results using a calculator or Excel on the classroom PC
during the middle of class and discuss the results.
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10. Conclude this ICA with the following mini-lecture:
“Experiments like the one we just completed are useful because they allow marketers
to test one or more aspects of the marketing mix under strictly controlled conditions
to determine which features, prices, promotions, etc. customers prefer. However, two
drawbacks of experiments as a research tool are that (1) consumers’ behaviors may
not match that shown when operating in the marketplace and (2) actions of
competitors can distort the results or impact the marketing actions taken by the firm
as a result of the experiment.
Two controls were built into the Pepsi vs. Coke Taste Test experiment:
11. Tabulate the results of the Pepsi vs. Coke Taste Test experiment. The simplest
analysis is based on tabulating the taste test results on a blank copy of the form and
calculating the percentages for each question with a calculator or Excel.
Tabulations of Questions 1 and 2 tell how the two brands compare with each other in
paired-comparison tests. An in-class discussion led by the instructor might initially
assume that the class test results were consistent with the shares reported in the
surveys. Ask students how they might explain the discrepancy between their stated
preferences and the results from the in-class taste test experiment.
Marketing Lessons. Intentions expressed in an experiment do not always translate well
into actual practice. The experimental condition itself can affect results (the Hawthorne effect:
people know they’re being evaluated). Measuring only one element of the marketing mix does
not provide the whole marketing mix context within which consumers may evaluate products
and make purchase decisions of how consumers will react to the entire offering).
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PEPSI VS. COKE TASTE TEST SURVEY
STATION NUMBER: _______________
1. In comparing the tastes of brand “B” and brand “N”:
I prefer “B” ..... I am indifferent between “B” and “N” ...... I prefer “N” .....
2. Based on your station number, which soft drink brand is “B” and which is “N”?
“B” is: ________________________ “N” is: ________________________
3. Are you a “Heavy”, “Medium”, “Light” or “Non” user or consumer of soft drinks?
Heavy User...... Medium User .. Light User ....... Non User .........
4. Which is your preferred brand: “Pepsi,” “Coca-Cola,” or “None”?
Pepsi ...................... Coca-Cola ............. None ......................
5. What is your gender: Male .......... Female .......
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Connect Application Exercises
Application Exercise 1: Marketing Research Strategies at Frito-Lay
Activity Summary: In this case analysis, students are presented with a mini-case containing
Frito-Lay’s history and current situation in which sales of Lays potato chips are stagnant.
Students learn that Frito-Lay has gathered market research from focus groups and retail scanner
data prior to prototyping an ultra-low-fat potato chip. After reading the mini-case, students are
presented with 5 questions covering research objectives, primary/secondary data, and data
mining.
Tagging (Topic, Learning Objectives, AACSB, Bloom’s, Difficulty)
Topics: Marketing Research Process, Secondary Data
Learning Objectives: LO 08-02 Describe the five-step marketing research approach that leads
to marketing actions.
LO 08-03 Explain how marketing uses secondary and primary data.
LO 08-05 Explain how data analytics and data mining lead to marketing
actions.
AACSB: Analytical Thinking
Blooms: Understand
Difficulty Level: 2 Medium
Follow-Up Activity: Instructors could use this activity as a launching point for a mini-marketing
research class project at the university. Working in groups, ask students to visit different
Application Exercise 2: Marketing Research Approach
Activity Summary: In this click and drag activity, students learn about the five-step marketing
research approach as utilized for Fisher Price’s toy, Rescue Heroes, in a short case format.
Students are provided with the five-step marketing research approach (define the problem,
develop the research plan, collect relevant information, develop findings, and take marketing
actions) as the drop areas for the twelve dragable items (research objective, best approach,
determine constraints, observe children, etc.). Clicking on the dragable item provides students
with a hint to help them match the item to the appropriate stage of the marketing research
approach.
Tagging (Topic, Learning Objectives, AACSB, Bloom’s, Difficulty)
Topic: Marketing Research Process
Learning Objectives: LO 08-02 Describe the five-step marketing research approach that leads
to marketing actions.
LO 08-03 Explain how marketing uses secondary and primary data.
LO 08-04 Discuss the uses of observations, questionnaires, panels,
experiments, and newer data collection methods.
LO 08-05 Explain how data analytics and data mining lead to marketing
actions.
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AACSB: Analytical Thinking
Blooms: Apply
Difficulty Level: 2 Medium
Follow-Up Activity: Instructors could create an activity which asks students to extend the
marketing research on the Rescue Heroes action figure line. Assume that Fisher-Price wanted to
Application Exercise 3: Carmex: Leveraging Facebook for Marketing Research
Activity Summary: In this 6-minute video, students learn the history of the Carmex lip balm
brand and its use of market research, traditional, and digital marketing to support its growth
initiatives domestically and internationally. After viewing the video, students are asked five
questions related to the marketing research approach, marketing research data, and social media
metrics.
Tagging (Topic, Learning Objectives, AACSB, Bloom’s, Difficulty)
Topics: Marketing Research Process, Primary Data
Learning Objectives: LO 08-02 Describe the five-step marketing research approach that leads
to marketing actions.
LO 08-04 Discuss the uses of observations, questionnaires, panels,
experiments, and newer data collection methods.
LO 08-05 Explain how data analytics and data mining lead to marketing
actions.
AACSB: Knowledge Application, Analytical Thinking
Blooms: Understand, Analyze
Difficulty Level: 2 Medium
Follow-Up Activity: Instructors could ask students to review Carmex’s current social media
Application Exercise 4: iSeeit! Video Case: Market Research Process
Activity Summary: In this straightforward whiteboard animation video, the five-step marketing
research process is explored in the context of the Coffee’s Collective’s decision whether or not to
host an open mic night for local performers. After watching the 3-minute video, students are
asked five follow-up questions related to data, the marketing research process, and data mining.
Tagging (Topic, Learning Objectives, AACSB, Bloom’s, Difficulty)
Topics: Secondary Data, Marketing Research Process, Primary Data
Learning Objectives: LO 08-02 Describe the five-step marketing research approach that leads
to marketing actions.
LO 08-03 Explain how marketing uses secondary and primary data.
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LO 08-04 Discuss the uses of observations, questionnaires, panels,
experiments, and newer data collection methods.
LO 08-05 Explain how data analytics and data mining lead to marketing
actions.
AACSB: Knowledge Application
Blooms: Understand
Difficulty Level: 1 Easy
Follow-Up Activity: Instructors could construct a data classification activity for the students by
Application Exercise 5: Sales Forecasting Techniques
Activity Summary: In click and drag activity, students are given six different sales forecasting
techniques (direct forecast, lost-horse forecast, salesforce, trend extrapolation, and Box-Jenkins).
Each of the sales forecasting techniques dragable items provides the students with a hint as they
mouse over the item. Students classify the sales forecasting techniques as one of three types;
judgment of the decision maker, survey of knowledgeable groups, or statistical method.
Tagging (Topic, Learning Objectives, AACSB, Bloom’s, Difficulty)
Topics: Secondary Data, Marketing Research Process, Primary Data
Learning Objectives: LO 08-06 Describe three approaches to developing a company’s sales
forecast. Buyer’s intentions,
AACSB: Knowledge Application
Blooms: Apply
Difficulty Level: 2 Medium
Follow-Up Activity: Instructors could provide students with sales forecast data containing 5

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