The two retail companies picked are Walmart and Costco whose 2017 Financial statement links are provided below: WALMART https://www.nasdaq.com/symbol/ wmt/financials?query=income- statement COSTCO https://www.nasdaq.com/symbol/ cost/financials?query=income- statement Both organizations are well known brands and position themselves well with their customer base. Walmart’s value proposition is “We save people money so they can live better”. On the other hand, Costco’s value proposition is “All-in-one convenience and everyday affordability”. Both retailers focus on cost saving for their customers. Looking at their financial statements and by analyzing them a few key areas are evident when comparing the two organization. Looking at the current ratio and quick ratio we can determine the short-term solvency of each organization. The current ratio can be determined by dividing the assets by the liabilities. Walmart’s current ratio sits at 0.86 while Costco’s sits at 0.99. The quick ratio is c...
If you were assigned to sell a product called “Sweet Treats” with the slogan, “so sweet, it will make you tweet,” but you thought the product tasted sour, and not at all sweet, what would you do?
Often, celebrities contract to endorse a product, but should they use the product regularly, or even like the product before they are allowed to claim that they “endorse” the product? If celebrity is lying, that is endorsing a product he/she does not use/consume then the ad should be pulled. The Federal Trade Commission requirement that ads or sponsored social media posts indicate so - is not enough to inform consumers. (Robert, 2017) So, yes, a celebrity who endorses a product should at least appear in public using the product. Examples go in the opposite direction, instead of claiming to use a product but not doing so, which would be lying, the Kardashians post product endorsements across several social media platforms either without disclosing it is an ad or waiting until hours or days after the initial post to do so. According to the the organization Truth in Advertising (TINA.org) The delay allows avid followers to see the initial post as a testimonial instead of as an ad. (Kilkenny 2017) I would find other people who did taste the sweetness and use them in the ad/commercial. Part of the sales process is finding a champion for a product – if you cannot be that person then find someone who can fill that role and let them hold the spotlight. Part of selling is looking reasons someone would buy the product: “People, Product, Process and Price.” Accept that you do not like the product, HOWEVER it is your job to sell it. So, focus on the process of selling. Use public relations tactics to put a spin on the product to make it look fantastic. You need to know what type of customer the product might appeal to, so make a list of its features – physical, financial, emotional – everything that describes the product. Step back and be an objective observer. Think through what demographic might be interested the features you listed out. Use this information to sell the product either in-person, in print or in video. (La Vecchia, 2013) As a salesperson, you also have to remember that you are not actually selling a “product”, you are introducing potential customers to a group of features that may be of interest to them. If you can project a positive attitude for the features that match up with your customers, then you have a better chance at making the sale. (Caygill, 2017) Explore where the line is between harmlessly implying that someone is promoting a product, and someone dishonestly claiming that they genuinely believe the product is the best. The line is at the point where the consumer audience loses awareness that they are seeing an advertisement not a testimonial. For a marketer, that is the desired effect. When the right celebrity mentions a product, whether as an actual testimonial, or in a seemingly casual conversation, this is a very effective marketing method because the features that elevate a person to such status, are subconsciously transferred to the item. Exploitation of this “line” is much more common now, due to the instant nature of social media. There is pressure to immediately process the message and respond to a post, or “like” it, without taking the time to think through the content. (Williams, n. d.)
References
Caygill, Sheelagh (10 March 2017) How Can You Effectively Sell A Product You Don’t Believe In? Quora Retrieved from: https://www.quora.com/How-can- Kilkenny, Katie (26 September 2017) The Kardashians Still Aren’t Disclosing Paid Ads on Instagram. Pacific Standard. Retrieved from: https://psmag.com/news/the- La Vecchia, T. F. (25 April 2013) How to Sell A Product You Don’t Really Love. Business News Daily. Retrieved from: https://www.businessnewsdaily. Roberts, Jeff John (20 April 2017) The FTC Says Celebrity Social Media Ads are Still Too Sneaky. Fortune. Retrieved from: http://fortune.com/2017/04/20/ Williams, Bob (n. d.) Powerful, Credible Celebrity Testimonials Drive Sales and Celebrity Marketing. The Brand Agent. Retrieved from: https://celeb-brand-agent.com/ |
Comments