Costco Expansion and the Lottery Value Pricing Paradigm – Gregg Edgar, Arizona Lottery
- Very early on In the video (1:30) Gregg on defines the problem the Arizona lottery has. What is that problem? In your answer, mention which of the 4P’s of marketing the case involves.
- This is case is about the lottery trying to get a major retailer to sell lottery products (Costco had not sold lottery products before this test). Gregg mentions several entry barriers (3:00) the lottery had to overcome. List those entry barriers. Which do you think represents the biggest challenge to overcome for the Costco and for the lottery?
- Gregg says (2:00) that there is a lot of affinity between lottery players and the Costco member. In other words, the demographic profiles of lottery players and the demographic profiles Costco members are similar. As a marketer, how do you think have similar demographics would make the project more likely to succeed? What concern of Costco does this help address? (6:09)
Blackhawk Networks Presentation – Richard Gotlieb
- What is the primary thing that Blackhawk Networks does (you might have to look it up)?
- What were their revenues for 2017?
- Richard Gotlieb says that Blackhawk has 60,000 intergrated p.o.s. across the nation. What does that mean? What p.o.s?
- What does friction to purchase mean and why is it important for a product that is only occasionally purchased.
- Super bonus question: Which of the P’s of marketing does a gift card purchased at retail represent (you guys get this right and I will be very impressed. Think outside the box.)