Cathedral City - It’s not just how many consumers you have, it’s the quality of those consumers that counts

Cathedral City, producer of Cathedral City Cheddar, was facing a problem with regards balancing promotion of its product against advertising.
Agency: Grey LondonAuthor: Simon White

Cathedral City – It's not just how many consumers you have, it's the quality of those consumers that counts

INTRODUCTION

This paper is about profitable growth, lots of it.

It compares the merits of promotions and advertising in achieving it. How heavy promotions achieved lots of growth, but reduced profit, and how the right advertising achieved both.

By comparing different marketing plans over a 3 year period, it tackles two fundamental challenges brand managers face:

  • How to distribute budgets between promotions and advertising, between guaranteed short-term sales uplift and less certain long-term...

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