Essay about Case 10.2 Hamilton Marketing Services

651 Words Feb 9th, 2013 3 Pages
OIS 3440 – 090
Case 10.2 Hamilton Marketing Services

Executive Summary In the Hamilton Marketing Services case, we have a full-service pet-grooming company that has hired a company called Hamilton Marketing Services (a major marketing consulting firm that helps provide a wide range of marketing and advertising services) to help them with their pet-grooming business. The pet-grooming company called in with an idea to either offer a flat $40.00 per visit price or a $30.00 per visit price if the pet owner signs up for a series of four groomings. The pet-grooming company has hired Hamilton Marketing Service to see which pricing option would be better. The
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Given the data from these confidence intervals, we can assume that since the two intervals overlap we do not have enough data to determine which pricing option is better for the pet-grooming company. There would be a major difference between the revenue generated between the two pricing options, the first option having 16 people say yes, which equals $640.00 in revenue, while the second option had 14 people say yes, which equals $1680.00 in revenue. The major difference does not signify anything important because there is no statistical data to say that those that purchased the flat $40.00 service would not continue to pay the $40.00 flat service in the upcoming months to equal four treatments. The major issue with this analysis is that we did not send fliers to enough people and did not send both pricing options out in each flier. This means that we cannot determine if those that responded positively to the $40.00 rate would not have responded positively to the $30.00 for 4 services option as well. Without the having both options of pricing to choose from, the statistical evidence that we obtain will not have much meaning because we needed to see what the customer’s option would have been between the two pricing options or the option to say no altogether for us to obtain information that we can truly analyze. The recommendation

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