Client Contests

Friday, January 6, 2012

Product Deception, Brand Expansion & Product Placement in this Week's Marketing Fix



Honda is Running Short on Miles
Honda is in the news this week and being sued for failing to provide owners with the mileage promised.  Many people rushed to hybrid cars because they believed that an extra couple of thousand dollars on the sticker price would save them many thousands of dollars over the lifetime of the vehicle.  Heather Peters in this case feels she was deceived.  She said her vehicle only provides 30mpg when it was advertised to provide 50mpg.  She is a former attorney and is taking Honda to small claims court to get money back for being sold a vehicle with false information.  Honda says that on the window sticker it states that mileage may vary.  Peters doesn’t believe that was enough warning to make up for the 20mpg difference.  This is the very reason there were many skeptics of hybrids when they first came out.  There had been no history to prove that long-term it would be more efficient.  Honda did its job marketing high miles per gallon, but if the consumer feels duped, then they did more deceiving than marketing.  There should be a clear line between fact and deception.  You want your consumers to keep coming back because you gave them what they wanted.  Let’s see how much more discretion Honda uses in it’s next set of marketing ploys to keep its name out of the news and the courtroom.


Vitner, A Chicago Brand is Going National
First Jays Potato Chips, now C. J. Vitner, is being sold.  Chicago is losing in the potato chip industry.  Vitner started in Chicago in 1926 by the Vitner family.  The move to sell the company was initiated to make Vitner a national brand.  A company called Snak King Corp. out of Los Angeles will purchase Vitner.  Business operations out of Chicago will remain the same and the management team will not be affected by this move.  We wish Vitner much success in their pursuit to become a national brand, they have a strong backing in Chicago, and we hope it follows them throughout. 


Chicken & Beer Can Now Board the Plane in Atlanta
Rapper and Entrepreneur Christopher Bridges, better known as Ludacris, announced that he would be opening a new restaurant in one of the busiest airports in the world.  He will open his restaurant called “Chicken & Beer” in Hartsfield-Jackson Atlanta International Airport.  This is great product placement for Ludacris.  This airport services 89 million passengers per year.  The restaurant will open in Concourse D, which is under expansion and expected to be ready in 2014.  Ludacris derived the name of the restaurant from the title of his album that debut in 2003.  We wish Ludacris much success and will have to get a flight out of Atlanta to try it out once it’s up and running.

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