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28 November, 06:29

What could go wrong?

Imagine you are a marketing executive at AEO. This proposal has come across your desk from one of your marketing teams and your advertising agency.

What are the major risks of this campaign? How likely is each of these?

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  1. 28 November, 06:40
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    brand risk, demand risk, price risk, product development

    Explanation:

    marketing risk is a potential for losses and failures in marketing.

    brand risk : this is the risk that the product would lose it value due to competition and failures in declining brand awareness. it is likely to to affect a new product if prevailing measures are not taken to curb such risk.

    demand risk: this is the risk that the demand for the product being advertised will fall or fail to materialized. this is likely to occur when there is a shift in customer needs or choice.

    price risk: this is related to a risk that the price tag on the product campaign may vary higher than competitor price.

    product development: this risk is related to launching and developing a new product. there is likely hood that new product has a higher percentage of not succeeding in the market.
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