ABC received budget of $1 million (about KSh 87,580,000) on 16 th June 2045 for the marketing

activities. He needed to allocate the budget properly to enhance company’s brand image with
some innovative ideas. These marketing activities must lead to market share increase.

Company aim is to maintain or expand its brand equity in Kenya in order to gain losing market
shares. They have to design marketing and promotion activities in order to increase consumer
awareness. Following are three options where Company can invest in any one of activities:
i. Reinvigorate the brand
Company can reintroduce brand with improved new design packaging, new-quality
synthetic hair products.
ii. Explore new advertising channel
Instead of traditional route of newspaper, posters and branded vehicles, Company can reach
for television and digital advertising.
iii. Institute a Road Show
With 76% population in rural market, Company can attract customers with Road Show and
trial run of products.

The cost incurred is one of the criteria to be considered before engaging in promotional
activities. However, the most important criteria is estimation of customer reach which would
determine our sale value in KSh. It is necessary to calculate the estimated sales that would cover
our promotion cost and maximize the profit.
We consider base of Kenya Population and unit cost of Company product afforded by customer
as KSh 900 because of majority of rural customers.