Question

Imagine you have inherited a small motel chain in the New England area. You know you need to buy advertising, but you have a limited budget. Which of the following will hold true?

A. Local radio is the best advertising option as it reaches travelers in their cars and is low-cost.
B. Radio commercials are expensive to produce and hence radio advertising is inadvisable.
C. Advertising on network television can selectively tap the target audience.
D. Though radio commercials are cheap to produce, buying time on radio is expensive.
E. Television advertising is a flexible medium that has short lead times and is the best option.

Answer 1

For a small motel chain with a limited budget, traditional radio advertising has limitations, while TV advertising has broader reach and targeting capabilities, but is being circumvented by modern technology. Social media and internet advertising may provide more cost-effective and direct methods to reach targeted consumers.

Step-by-step explanation:

If you have inherited a small motel chain in the New England area and are working with a limited budget for advertising, it's crucial to analyze the effectiveness and costs of various advertising media. Considering that radio advertising may have a more localized impact, it could potentially be a cost-effective way to reach travelers in their cars. However, it is limited in its effectiveness, particularly among specific age groups.

Television advertising has traditionally been impactful due to the wide reach of TV and the sophisticated demographic targeting possible through data gathered by networks. Despite its advantages, conventional TV advertising is becoming less effective due to technology enabling consumers to bypass ads. Social media and internet advertising may offer a more cost-effective and responsive platform for reaching consumers, including travelers.

Lastly, while print media was once an effective way to reach older demographics, its cost-effectiveness has declined in comparison to online mediums. Therefore, it would be critical for a small motel chain to consider modern online advertising strategies that are more targeted and cost-effective than traditional radio or print campaigns.