Question 1
Evaluate PV's marketing strategy between 2012 and 2021.
Evaluate PV's marketing strategy between 2012 and 2021.
Level
AO1 Knowledge and understanding 3 marks
AO2 Application
2 marks
AO3 Analysis
8 marks
AO4 Evaluation
7 marks
3
7-8 marks
Developed analysis of the overall strategy that identifies
connections between
causes, impacts and/or
consequences.
6-7 marks
Effective evaluation
A developed judgement/conclusion is made in the business context that draws together developed evaluative comments which balance some key arguments in the business context.
2
2-3 marks
Developed knowledge of relevant key term(s) and/or factor(s) is used to answer the question.
2 marks
Developed application of relevant point(s) to the business context.
4-6 marks
Developed analysis of
individual strategic element(s) that
identifies connections between causes,
impacts and/or
consequences.
3-5 marks
Developed evaluation
- A developed judgement/conclusion is made.
- Developed evaluative comments which balance some key arguments.
1
1 mark
Limited knowledge of relevant key term(s) and/or factor(s) is used to answer the question.
1 mark
Limited application of relevant point(s) to the business context.
1-3 marks
Limited analysis that identifies connections between causes, impacts and/or consequences.
1-2 marks
Limited evaluation
- A judgement/conclusion is made with limited supporting comment/evidence.
- An attempt is made to balance the arguments.
0
0 marks
No creditable response.
0 marks
No creditable response.
0 marks
No creditable response.
0 marks
No creditable response.
1
Indicative content:
AO1 Knowledge and understanding
No other AO2, AO3 or AO4 marks can be awarded without AO1.
Candidates must show knowledge and understanding, they cannot just mention a key term.
- Strategy - A plan of action to achieve a long term aim.
- Marketing - the act of promoting and selling products and services.
- The contents of a marketing plan: objectives, resources, research, marketing mix (price, product, place, promotion).
AO2 Application
Candidates must apply their answers to marketing and marketing strategy.
- Strong brand identity begins in 2012 with rare old cars.
- Promotion in specialist magazines is used which changes objective to profit maximisation.
- Pricing method later changes to skimming.
- Use of TV restoration programme to raise brand awareness in 2015-16 leading to increased brand awareness worldwide.
- Use of website and social media to gain customers, brand awareness and sales.
- Sponsorship of Formula 2 team to raise brand awareness 2018-2021.
AO3 Analysis
Candidates need to identify an element of the marketing strategy and provide developed analysis to get to A2, this then needs to be counterbalanced to get to A3. If a candidate does this twice, they will gain 8 marks.
- A strategy to sell rare old cars in the niche market led to increased brand awareness. [A2] This brand awareness must have been high to attract the interest of a TV company which further developed the brand image. However, this will require specialist marketing to reach the niche. [A3]
- The marketing focus changes again to increasing brand awareness with the TV programme. This shows that PV is responsive to marketing opportunities and objectives can be fluid. [A2] But relies on product placement rather than direct advertising which may take longer to improve sales. [A3]
1
- The sponsorship of FAST continues to focus on brand awareness through an international platform. [A2] However, the sponsorship may not fit with the branding strategy as although costs are increasing by $2 m per year, the sponsored team is not providing the success necessary to increase or strengthen the brand image which leads to the marketing being abandoned. [A3]
AO4 Evaluation
Candidates MUST answer the question - a judgement on the strategy between 2012 and 2021. The development and support of this judgement will help them to move through N2 and N3.
To award N 3 the answer must be in context and draw upon the previous analysis.
Evaluation will largely depend on the points raised in the analysis of the marketing strategy of PV.
- Overall judgement required on the balance between strengths and weaknesses of PV's approach to its marketing strategy. [N1]
- The lack of a formal marketing plan suggests that PV is opportunist, and the approach is based on opportunity rather than a considered marketing strategy. Sales had stalled in 2017 and seemed to struggle to increase indicating the strategy had not worked.
- The TV programme was an effective and low-cost advertising method as the programme paid for filming, editing and managing the tv schedule which met the marketing strategy and objectives at the time. This also led to alternative revenue streams which suggests that the strategy to allow filming was successful.
- The sponsorship deal, while it could have been lucrative, was reliant on the FAST team who did not perform by 2020-21 - possibly impacting sales while the costs grew to $4m.
Accept all valid responses.