Free samples of a breakfast cereal are given to supermarket customers to try - HSC - SSCE Business Studies - Question 3 - 2012 - Paper 1
Question 3
Free samples of a breakfast cereal are given to supermarket customers to try.
For which stage of the product life cycle is this most likely to be an appropriate str... show full transcript
Worked Solution & Example Answer:Free samples of a breakfast cereal are given to supermarket customers to try - HSC - SSCE Business Studies - Question 3 - 2012 - Paper 1
Step 1
For which stage of the product life cycle is this most likely to be an appropriate strategy?
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Answer
The strategy of giving out free samples is most commonly associated with the 'Establishment' stage of the product life cycle. At this stage, companies aim to create awareness and generate interest in the product. Free samples serve as an effective way to introduce a new product to consumers, allowing them to experience the product without any financial commitment. By doing so, companies can encourage initial trial and word-of-mouth promotion, which are critical for establishing a market presence.