Question: Media Selection Problem Relax-and-Enjoy Lake Development Corporation is developing a lakeside community at a privately owned lake. Relax-and-Enjoy employed the advertising firm of Boone, Phillips,

Media Selection Problem Relax-and-Enjoy Lake Development Corporation is developing a lakeside community at a privately owned lake. Relax-and-Enjoy employed the advertising firm of Boone, Phillips, and Jackson (BP&J) to design the promotional campaign. After considering possible advertising media and the market to be covered, BP&J recommended that the first months advertising be restricted to five media. The quality rating is measured in terms of an exposure quality unit, a measure of the relative value of one advertisement in each of the media. Advertising Media Number of Potential Customers Reached Cost ($) per Advertisement Maximum Times Available per Month Exposure Quality Units 1. Daytime TV (1 min), station WKLA 1000 1500 15 65 2. Evening TV (30 sec), station WKLA 2000 3000 10 90 3. Website advertisement (banner ad) 1500 400 25 40 4. Sunday newspaper magazine ( page color), The Sunday Press 2500 1000 4 60 5. Radio, 8:00 a.m. or 5:00 p.m. news (30 sec), station KNOP 300 100 30 20 Relax-and-Enjoy provided BP&J with an advertising budget of $30,000 for the first months campaign. In addition, Relax-and-Enjoy imposed the following restrictions on how BP&J may allocate these funds: At least 10 television commercials must be used, at least 50,000 potential customers must be reached, and no more than $18,000 may be spent on television advertisements. What advertising media selection plan should be recommended? AND PLEASE EXPLAIN AND SHOW HOW TO SETUP EXCEL SOLVER!

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!