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FINAL ASSESSMENT : MARKETING 2 (MAR202B) –

OPEN BOOK

SUBMISSION DEADLINE : 20:00 ON 27 MAY 2020

FOR UPLOAD ON ELEARN IN
PDF FORMAT

FINAL ASSESSMENT SESSION : 14:00 to 20:00

TOTAL MARKS : 100

Before uploading please read the How to Guide.

INSTRUCTIONS TO CANDIDATES FOR COMPLETING AND SUBMITTING THE

OPEN BOOK FINAL ASSESSMENT – SEMESTER 1-2020

1. This Final Assessment is compulsory and will replace the physical writing (in an examination
venue) of the May 2020 examination.
2. No supplementary examinations or assessments will be available for semester 1-2020.
3. The Final Assessment will count out of 100 marks and will contribute 60% towards the final module
mark. The remaining 40% will be contributed by the two assignments already completed.
4. Final Assessment completion and upload is not dependent on students submitting any of the
assignments.
5. The submission deadline refers to the day and time until which the Final Assessment upload will
be accepted for marking purposes. NO late submissions will be accepted. If a submission is late
no marks will be awarded.
6. IMPORTANT: Use the last hour of the allocated time to UPLOAD your assessment as per the
STEPS below and the ‘How to Guide’. NO LATE SUBMISSIONS will be accepted.
7. All Final Assessments must be uploaded in two steps on eLearn (as per Assignment 1, semester
1-2020):
a. STEP 1: Upload the Final Assessment (file saved as PDF, not scanned) to Check my Work
for Similarity (Turnitin) and download the similarity report.
A handwritten scanned document will only be accepted for financial modules where it is
difficult to include equations. A similarity report through Turnitin is NOT required for these
modules. Note: Take a photo of each page and submit online. You may also use the
Moodle app on your smartphone to upload the Final Assessment.
b. STEP 2: Upload the similarity report for grading in Upload FINAL ASSESSMENT activity (if
required).

NB: Your Final Assessment upload will not be marked if you do not follow the two steps
outlined above.
Word documents will NOT be accepted.
Feedback on Final Assessments will not be available.

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May 2020 Final Assessment MAR202B
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8. If you fail to follow these instructions carefully, the IMM Graduate School cannot accept
responsibility for the non-marking of the Final Assessment upload.

9. Important Notes:
● If your submission document is suspected of possible syndication or plagiarism you will
receive zero and disciplinary action will be taken against you.
● If there is any indication that answers were shared amongst students via any communication
channel including Internet or social media the students involved will receive zero and
disciplinary action will be taken against all parties involved.
● For the duration of the final assessment session, you may not discuss the questions or the
answers with anyone. Answers provided should be in your OWN words. If it is merely a ‘copy
and paste’ from a textbook or any online or other source zero marks will be awarded.

The following is not required:

★ A reference list and in-text referencing
★ Contents page.

The following is required:

The following information must appear on the top of every Final Assessment page:

✔ IMM Graduate School student number

✔ Module Code, e.g. (MAR303B)
✔ Page X of Y (e.g. Page 3 of 5 – this numbering convention must be used for every page of your
Final Assessment).

There is no word limit on the Final Assessment, however students are encouraged to produce a
concise, well-formulated assessment, in a neat and properly structured format.

● Spellcheck your Final Assessment using English (South Africa) or English (UK).
● Up to 5 marks may be deducted for spelling errors.
● Should you require assistance during the Final Assessment, please contact
helpme@immgsm.ac.za.

Should the IMM Graduate School need to communicate module specific information to students during
the Final Assessment, SMS messages will be forwarded and if needed, further messages will be posted
on the eDiscussion Forum.

SPECIFIC INSTRUCTIONS:

Material supplied: The Duchess – SA non-alcoholic drink is winning global awards.

References are to: Dibb, S., Simkin, L., Pride, W.M. & Ferrell, O.C. (2019) Marketing:
Concepts and Strategies. 7th ed. Hampshire, UK: CENGAGE Learning.

Answer ALL the questions.

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May 2020 Final Assessment MAR202B
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Answer ALL the questions

Please make use of the case study when specified.

QUESTION 1 [20]

1.1 Competitive positions are roles in the marketplace that organisations assume
and that influence their marketing strategies and programmes. These include
market leaders, challengers, fast movers, followers and nichers.

Using your own words, discuss each of these competitive positions. For the
market leader and challenger positions discuss what type of strategies can be
used. Identify what position The Duchess is in (in South Africa) and recommend
a strategy it can use to keep this position. (10)

One (1) mark for explaining each competitive position = 5 marks

Two (2) marks for identifying the position of The Duchess = 2 marks
Three (3) marks for recommending a strategy for The Duchess = 3 marks.

1.2 Once the price of a product or service has been decided, the business
marketing manager has the option of adjusting the price using discounts. In your
OWN words, explain each of the following discounting options and provide a
practical example of how The Duchess might use each.

- Trade (2)
- Quantity (2)
- Cash (2)
- Seasonal (2)
- Allowances. (2)

QUESTION 2 [22]

2.1 The segmentation, targeting and positioning (also known as STP) process is a
fundamental marketing principle. Once an organisation has segmented its
market into well-defined segments of customers with similar needs, the next
step is to target specific segment(s). According to Dibb et al. (2019) there are
three (3) main strategies for targeting priority segments.

Using your own words, discuss the three (3) strategies for targeting priority
segments and practically apply each to the case study. (12)

Two (2) marks for explaining each targeting strategy in your OWN words.
Two (2) marks for providing a practical example of each from the case
study or your own examples and explain WHY you say this.

2.2 Once a new product has been developed and is ready for commercialisation,
the marketing manager can use the product adoption process to analyse how
customers move from first becoming aware of the new product to finally
purchasing the product.

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May 2020 Final Assessment MAR202B
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Imagine that The Duchess has decided to introduce an alcoholic version of its
Gin and Tonic. Practically explain how a consumer will move through the five (5)
stages of the product adoption process for the new variant. (10)

Two (2) marks for applying each stage to the case study.

QUESTION 3 [24]

3.1 Marketing channels serve a number of functions, either through independent or

joint efforts of channel members. These functions include creating utility,
facilitating exchange efficiencies, alleviating discrepancies, standardising
transactions and providing customer service. Discuss each of the following
functions using practical examples of your choice to support your answer:

- Creating utility (4)

- Facilitating exchange efficiencies (4)
- Alleviating discrepancies. (4)

3.2 According to Dibb et al. (2019), there are several factors that affect pricing
decisions. Discuss each of the following factors that will affect company’s
pricing strategy (1 mark each) and practically apply each of these to the case
study (2 marks each).

- Marketing objectives (3)

- Other marketing mix variables (3)
- Buyer perceptions (3)
- Competition. (3)

QUESTION 4 [22]

4.1 According to Dibb et al. (2019), the dimensions of social responsibility can be
illustrated using the phases of CSR (corporate social responsibility) model.

Interpret each of the phases of CSR using the case study to support your
answer. (16)

One (1) mark for explaining each phase = 4 marks

Three (3) marks for applying to the case study = 12 marks.

4.2 Provide a practical example for an intended strategy and realised strategy
based on The Duchess. (6)

Three (3) marks for discussing each concept using the case study to
support your answer.

QUESTION 5 [12]

Imagine you have just completed your studies and have been appointed as the
assistant marketing manager for The Duchess. As your first task, the marketing
manager has asked you to advise on how best to create a marketing strategy.

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May 2020 Final Assessment MAR202B
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5.1 Practically apply the seven (7) components of a marketing strategy to The
Duchess. (7)
One (1) mark for applying each step to The Duchess.

5.2 Recommend five (5) promotional mix elements that The Duchess should utilise
in its IMC strategy. Explain how The Duchess can make use of each element (1
mark each). (5)

EXAMINATION TOTAL: 100

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Case study: The Duchess - SA non-alcoholic drink is winning global

awards.

Cape Town locals Johannes Le Roux and Inus

Smuts may not have set out to become role
models for other South African entrepreneurs,
but that is what they have become. In the space
of only three years, their non-alcoholic gin and
tonic beverage, called the Duchess, has won
awards and has been successfully introduced to
overseas markets. It also has plans to expand
into more countries. Following its entry into the
UK, Belgium, the Netherlands, Luxembourg and
Scandinavia, where he says governments have
encouraged non-alcoholic alternatives, the plan
is to launch in Japan, the UAE, Australia and
then finally the US.

Crafted using natural botanical extracts

traditionally found in the spirit, The Duchess
retains the authentic gin tasting notes but with
zero alcohol. A team of botanists has blended
re-distilled juniper berries with tonic water
infused with botanicals, giving the drink that distinct ‘gin and tonic’ taste with aromatic
layers of orange peel, all spice, star anise and devil’s claw. To top it all off, the
refreshing sipper doesn’t contain any sugar and is naturally sweetened using Stevia
and Xylitol.

The Duchess aims to solve the dilemma of what to drink when you’re not drinking,
explains founder Johannes Le Roux. “It was created for the conscious consumer –
the healthy, discerning individual who wants the option of an adult beverage without
alcohol. Whether at a business lunch or being the designated driver, for personal or
religious reasons, The Duchess now offers you the choice of a sugar-free, calorie-
free, and hangover-free refreshment.”
As for the beautiful packaging, the design of the ready-
made drink was created in partnership with Fanakolo, a
design studio based in Stellenbosch that’s known for
creating striking designs for boutique wine bottles.

The beverage is produced in Cape Town and is available

in stores such as Makro, Spar and Pick n Pay and major
online retailers such as Yuppie Chef, Faithful to Nature,
The Bottle Shop and Takealot.com.

“Our vision is to supply global mindful consumers with

innovative non-alcoholic beverages that will disrupt the
traditional alcohol and soft drink industry, as the market
becomes more sober curious.” – Johannes Le Roux –
Founder, The Duchess Drinks Company.

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While the idea of a non-alcoholic, sugar-

free gin and tonic in South Africa was
undoubtedly good – tapping into an
upswing globally in health drinks as well
as craft gin – the company’s success
could be attributed more to the
combination of background, experience
and expertise of the founders.

Le Roux was inspired by what he termed

"the move to mindful drinking" while on
holiday in Amsterdam in the summer of
2016.
It wasn’t only about tapping into a more
health-conscious, sugar-free and "clean
lifestyle". It was also about appealing to
the hipster culture in Cape Town and
creating an elegant, aspirational feel
around a non-alcoholic, trendy beverage
for adults.

This meant developing a brand, creating awareness, positioning it in the market and
spreading the word. Knowledge of online markets came into play too: for instance,
marketing less on Facebook and more on Instagram where beautiful imagery could
be shown to better effect. A conscious decision was also made to stay away from
digital channels which did not resonate with the brand, like Twitter. On the other
hand, YouTube was used for short video clips on how to make various The Duchess
cocktails.

Le Roux and Smuts took their product to their customers. The Duchess was
launched in September 2016 at The Honest Gin Bar in Cape Town, the owner being
a friend of the founders. Then the friends rolled up their sleeves and in December
2016, built and painted a golden drinks trolley and braved their way into three big
media houses in Cape Town, serving editors and bloggers with a variety of cocktails
made from The Duchess.

Because the drinks were alcohol-free, they could be enjoyed at work – at 10am! This
campaign paid off, there was exposure in local magazines and blogs and the idea
was extended with other bloggers, creating an organic word-of-mouth awareness.

The Duchess Brand was developed on four pillars: music; art, design and fashion;
health and adventure; and food. These categories provided guidelines for the choice
of events they could use to leverage brand awareness. For instance, a Valentine’s
Day theme in Newlands Forest featured an exclusive pop-up picnic experience.

The Duchess faced many challenges including how it ran out of stock once, how it
encountered a different market in the UK compared to South Africa as well as
distribution partnership issues in international countries. But it was able to find
solutions and product quality remained crucial.

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In the UK for instance, there are similar products on the market. But The Duchess is
made using a secret recipe with a key ingredient from Le Roux’s botanist aunt’s
aromatic botanicals, along with orange peel, star anise, cardamom and cloves.
As Inus puts it: "People see a non-alcoholic gin and tonic and they just wonder:
what’s the point? And then they taste it and they get it".
The Duchess was the world’s first non-alcoholic, sugar-free Gin & Tonic and has
been established as one of the most popular non- alcoholic Gin and Tonic brands.

Competitors include:
- Seedlip alcohol-free spirits is the most popular brand in the UK at the moment.
For adults who want to drink without drinking, Seedlip is a great option.
- Barker & Quin has been experimenting with botanicals for a number of years
now with its innovative premium range of tonic waters, which have taken the SA
market by storm in the past year. South Africa needed a natural, high-quality
tonic water to complement its emerging gin industry.

Source:
Heathcock, F. & Bick, G. (2019) “An SA non-alcoholic drink is winning global awards
- here's what the makers learnt”. Available from: <https://www.fin24.com/Opinion/an-
sa-non-alcoholic-drink-is-winning-global-awards-heres-what-the-makers-learnt-
20191004>. [Accessed on 11 Nov 2019]

© IMM Graduate School

May 2020 Final Assessment MAR202B