Professional Documents
Culture Documents
Printing cost
$7001 $700 $700 $700 $700 $700 $700 $700 $5,600
(1600 mailers per times)
Hire cost (6 boys) $4203 $3002 $300 $300 $300 $300 $300 $300 $2,520
Total $8,670
1
$350 for a stack of 800 mailers but the campaign need 1,600 mailers that is cost of $700
2
Hire 6 boys working 5 hours a day, pay $10 per hour. Cost per time are 6 boys X 5 hrs X $10 = $300
3
include training cost of $120
Newspaper Advertising
Total $45,500
Radio Commercial
Expense Cost
Advertising cost
$320,0001
(8 times per day, 20 days)
Ads/jingles and charges (per
$750
jingles)
Total $320,750
1
$2000 per 60 second, Advertise for 8 times per day, 20 days. So $2000 x 8 times x 20 days = $320,000
Total budget for this marketing campaign are shown in the table below
Activities Cost
Total $374,920
Part B – Monitoring a marketing budget as per marketing objective/ plan
Task 1 Prepare the Actual ad spent at the end of the 3 month period
Expense Cost
Total $7,230
1
$450 for a stack of 1500 mailers but the campaign need 1,600 mailers that is cost of $480. For 7 times
are total cost of $3,360 ($480 x 7 times)
2
Hire 6 boys working 5 hours a day, pay $10 per hour, repeat 7 times. Total cost are 6 boys X 5 hrs X $10
X 7 times = $2,100 and plus training cost on the first day $120. So that it is $2,220
Newspaper Advertising
Repeated times of the newspaper advertising was changed to be 7 consecutive Saturdays from 5
consecutive Saturdays
Advertising cost $9000 $9000 $9000 $9000 $9000 $9000 $9000 $63,000
Total $63,500
Radio Commercial
The radio station decide to give us a special price $1,700 per 60 second ad
Expense Cost
Advertising cost
$272,0001
(8 times per day, 20 days)
Total $277,250
1
$1700 per 60 second, Advertising for 8 times per day, 20 days. So $1700 x 8 times x 20 days = $272,000
Task 2 Compare the Actual money spent with the budgeted & provide the variance
Total actual of mailer distribution campaign and Radio commercial are less than the budgeted
that show result of Favourable. But total actual of Newspaper Advertising is more than the budgeted
that show result is Unfavourable. Finally, the total actual of all activities in this campaign are less than
the budgeted that indicate result is “Favourable”.
Part C – Marketing Report
Task 1 Marketing report/ Marketing report writing to CEO &
Task 2 Use & illustrate the required graphs / bar charts to show the fluctuation between the budgeted
& actual marketing figures for each of the components.
12 September 2018
According to CEO require marketing campaign for introducing a new range of cordless, silent,
electric power driven lawn mowers both for the large and small households. The marketing campaign
has three activities including Mailer distribution campaign, Newspaper Advertising and Radio
Commercial that spread over 6 months. As I am marketing manager, I made a marketing expense
budget for the first 3 months period and monitored marketing plan in corrective activities as well as
actual spent while campaign has been going on of the 3 months.
Details of each activity in previous marketing plan and correction action with reason of any
changes are shown in the table 1. From any correction action in activities that lead to the budgeted
change from the fist making. There is Budgeted and actual spent of each activity in the table 2.
Table 1 : Detail of each activities in previous marketing plan and correction action
Activities Previous marketing Corrective action Reasons
plan
Mailer distribution campaign
Logo and mailers format - Hire to design on - Redesign on 9”x 6” size - Logo appears quite smudged
7”x5” size of mailers of mailers &unclear
($700 for 1,600 ($480 for 1,600 mailers) - Font was not quite readable
mailers) - Design cost $550 +
- Design cost $550 Redesign cost $600
Number of mailers per 1,600 1,600 -
times
Repeated times of 8 times 7 times As appropriate
campaign
Hire 6 boys to distribute No supervisor - A Junior staff member Found these boys were sitting
mailers supervise these boys and chatting in café and found
- Paid for the supervisor the bunch of filers were thrown
$500 in a trash bin
Newspaper Advertising
Advertisement design Hire to design - -
Size of advertising Full page single - -
Repeated times of 5 Consecutive 7 Consecutive Saturdays As suggestion of CEO
campaign Saturdays
Radio Commercial
Advertising cost $2000 per 60 second $1700 per 60 second ad Special price from radio station
ad
Repeated times of 8 times per day, 20 8 times per day, 20 days -
campaign days
Ads/Jingles& charges $750 per jingle $750 per jingle -
Spot radio - - Interview CEO about As decision in the meeting
the new product
- $4500 for 10 min spot
Table 2 : Budgeted and Actual spent of each activity for the marketing campaign
Moreover, the figure 1 and figure 2 below show difference between budgeted and actual spent
and differences of total of both, respectively.
Figure 1 Budgeted and Actual spent of each activity for the marketing campaign
Figure 2 Total of Budgeted and Actual spent for the marketing campaign
In conclusion, Total of actual spent is less than the total budgeted for the first 3 months of the
campaign. That shows the result is favourable.
Newspaper Advertising
Designing cost $500 $500 - -
Repeated times was changed to be 7
Advertising cost $45,000 $63,000 consecutive Saturdays from 5 -
consecutive Saturdays
Total $45,500 $63,500 - 18,000 (U)
Radio Commercial
Special price $1,700 per 60 second ad
Advertising cost $320,000 $272,000 -
from radio station
Ads/jingles and
$750 $750 - -
charges
Spot cost - $4,500 Interview CEO about the new product -
Total $320,750 $277,250 - 43,500 (F)
26,940
Total $374,920 $347,980 -
(Favourable)