The marketing department of the referenced company appears to be promoting a marketing campaign that targets customers with smaller budgets. This marketing move is intended to boost sales of the company’s more expensive product. However, the marketing team used poor logic to make its decision

You have deduced that the economy filter lasts longer than the deluxe filter. However, this doesn’t necessarily imply that the deluxe filter is much more expensive. It could be that the company’s deluxe filter is made of stronger material. If it is, then the economy filter will wear out before its time. If, on the other hand, the economy filter is less efficient, then that filter will need to be replaced sooner. It is also possible that the economy filter is advertised at a lower price, meaning that the marketing cost is greatly reduced. Either way, the company’s marketing team should have realized this before initiating a campaign that ignores the fact that the economy filter is being offered at a lower price

The marketing argument also assumes that the company actually manufactures and markets two different air filters. The company may have only recently started selling one. If this is the case, then the argument holds some merit. However, if the marketing department produced this memorandum prior to the creation of the company’s first product, then the statement is suspect. Even if the company manufactures two different types of air filters, then the two filters could still be marketed separately. In this case, an argument could be made that the economy air filter should be marketed using pricing strategies that make the product more attractive to customers with smaller budgets. For example, an economy air filter that costs only $10.00 could be advertised as a high-value product that costs only $1.00 per month. However, these advertisements would only be effective if the company’s deluxe air filter is advertised as a high-quality product that costs $30.00 per month

The marketing department’s memorandum also indicates the company’s belief that the economy filter should be promoted through advertising. This is reasonable, but the company should first consider the effectiveness of using advertising to boost the economy filter’s sales. In many situations, customers make purchasing decisions based on product reputation. If customers believe that the economy air filter is an inferior product, then it is unlikely that they will purchase the economy air filter. In fact, this attitude could be encouraged by advertising the economy filter as a high-tech product with impressive specifications. In this case, the company’s advertising strategy would be to use techniques that do not reveal the true nature of the product, such as using reviews and specifications that conceal the fact that the economy air filter is only a basic model

This argument also assumes that the company’s marketing plans are working. Since the company’s marketing department contends that the economy filter is selling better than the deluxe air filter, then the company can assume that the marketing strategy is working. However, market conditions may have changed since the marketing plan was implemented. In this case, the company’s marketing plans might need revision. Another possibility is that the marketing strategy is not effective. The marketing plan could be misguided. The marketing department might assume that customers know the difference between the economy air filter and the deluxe air filter. However, this assumption might not hold true, especially in situations where customers make purchasing decisions based on price alone

The company’s marketing department appears to be making a flawed marketing decision. The company should revise the marketing strategy so that customers realize that the economy air filter is a superior product.