Friday, 31 March 2017

Just Eat and Customer Engagement



Having ordered from Just Eat a few times, I therefore have an account with them and often receive promotion emails. These emails are usually personalized, containing my name in the introduction. 

I infrequently use their services, therefore I occasionally receive promotional offers, usually a discount of 10%-15% as an incentive to continue to use them. These emails are often received after I haven't ordered for a substantial period of time, and are usually accompanied with the message "We miss you. Take __% off your order on  us."


Personalized emails are effective - they capture customer attention and create a sense of patronage appreciation.

Friday, 24 March 2017

A&W's Pricing Strategy

A&W, unlike its competitors, does not utilize an odd-even pricing strategy, or "charm pricing". This type of strategy is a type of psychological pricing. Although it seeks to differentiate itself, A&W is at a disadvantage, simply due to the way in which the mind processes visual numerical information.


Interestingly, the use of prices that are not rounded to the whole dollar value (ex. $4.95 vs $5) causes what's referred to as the "left digit effect". Studies have concluded that people perceive an attractive price through examination of the furthest digit to the left. For example - an A&W value menu burger sells for $2.95. If a similar burger was displayed on the menu beside it for $3.00, although 5 cents cheaper, the smaller number is more appealing. People will see the number 2 as definitively less than 3. Therefore, this pricing strategy is far more effective as consumers believe they are getting a better deal.

Thursday, 9 March 2017

My Favourite Ad

I can remember the days leading up to the Super Bowl in 2011. Watching the commercials is always exciting for me - I enjoy seeing creative ideas in play. One of the most memorable ads to me was Volkswagen's Star Wars themed ad for the Passat. It quickly went viral and in my opinion, was one of the most well thought out ads ever made for the following reasons:

1. It hit the target - Volkswagen aims this particular model at young to middle aged professionals. The use of Star Wars was ingenious - this demographic would have grown up watching these movies, and Darth Vader is such a household name. Even the theme music "Imperial March" is so well known. By including something highly relatable to its target market, Volkswagen can appeal to its clients, both current and prospective, on a personal level.

2. The use of humour - the ad was captivating because it incorporated humour into it. Additionally, it utilized an emotional appeal, by showcasing the innocent, playful behaviour of a toddler.

Being a huge Star Wars fan myself, I found myself smiling throughout the duration of the commercial. It's interesting to reflect on how this commercial must have had such a low budget due to its simplicity, yet sometimes the simplest ideas are the most powerful.

The full commercial can be seen here: https://www.youtube.com/watch?v=FCDKQaH2-_s