Level 4 D2 Exam Preparation/WSET Level 4 D2P|
Complete Actual Questions and Detailed Answers(
100% A+)
Describe what happens when relative supply and demand change -
✔✔✔ ANSWER-- When supply exceeds demand: price falls,
consumer have greater choice of cheaper alternatives. Producers
lower price to remain competitive. Fall in prices lead to increased
demand in the long run
- When demand exceeds supply: price increase, consumers willing to
pay higher for some wines; others simply switch to another wine or a
different alcoholic drink
Cite benefits and issues of wine tourism - ✔✔✔ ANSWER-- Benefits:
particularly beneficial for new producers and those in up-and-
coming regions, provides opportunity to engage with public;
increase sales through tasting
- Issues: infrastructure can be expensive; get in the way of day-to-
day operations; staff requirement
Cite forms of wine tourism - ✔✔✔ ANSWER-- Simple cellar door
- Tasting rooms
- Vineyard and winery tours
- Visitor centres
- Shops (often selling local produce, art and wine-related
paraphernalia as well as the producer's wine)
,- Cafes
- Casual dining and fine dining
- Accommodation
- Experience packages: participate in harvest or become winemaker
- Hire space for events
- Bring together other tourist business: wine trails, specialist tourist
attractions (Napa Valley Wine Train)
Cite reasons for high-involvement and low-involvement consumers to
become wine tourists - ✔✔✔ ANSWER-- High-involvement: keen to
widen wine knowledge, they enjoy tours of vineyards and wineries
and like the opportunity to talk to the people involved in producing
the wine
- Low-involvement: winery is in the region they are visiting, they will
usually be happy with a brief tour or simply just a tasting
Cite advantages and disadvantages of using events and festivals as
promotion - ✔✔✔ ANSWER-- Advantages: take place in urban areas,
chance to taste a variety of wine without having to travel to
vineyards; attract mostly high-involvement consumers but can
engage with new customers because of other attractions
- Disadvantages: costs (pay to exhibit, additional staff, use up stock
that could have been sold, prepare stand); competition (need
something distinctive, like food pairing, run by the winemaker);
management (consumers that drink too much - issue visitors with
vouchers)
Cite features of reviews and awards - ✔✔✔ ANSWER-- A favourable
review from a well-respected critic can significantly boost sales of a
particular wine. Producers may target particular critics and send
,them samples of their wine to try and, hopefully, review. However,
many critics do not like this approach; for example, Robert Parker
made a virtue out of always buying his own wine to taste
- Producers may also send samples to wine competitions such as
Decanter World Wine Awards or the International Wine Challenge. If
the wine wins a medal, the producer can use this in their promotional
material and it is also possible to purchase stickers to put on the
bottle, showing at the point of sale the awards that a wine has won.
Compare advertising and Public Relations - ✔✔✔ ANSWER--
Advertising seeks to draw attention to and promote a specific
product or a range of products
- PR gives business the most favorable image possible in the mind of
consumers
List forms of PR activities - ✔✔✔ ANSWER-- Representatives of
company attending public events or appearing on TV or radio news
programs to comment on issues relevant to the business
- Press releases
- Newsletters
- Social media
- Brand ambassador
Who could be brand ambassadors? - ✔✔✔ ANSWER-- Full time
employees of company, chosen for excellent brand knowledge and
social and presentations skills
- Celebrities who the company believes share value and image of
their products; they will feature in advertising campaigns and/or
videos posted on the brand's website
, - Key opinion leaders hired to create social media content about the
company's brands shared with their huge number of followers; can
be very powerful where word of mouth and peer recommendation is
highly valued
What are key opinion leaders (KOLs)? - ✔✔✔ ANSWER-A person,
community or organization that creates high quality content on
social media and has a large group of loyal followers, ranging from
thousands to millions
Why is monitoring marketing necessary? - ✔✔✔ ANSWER--
Marketing is a dynamic process
- Need constant review to check if it is working as intended
- If necessary, should consider making changes; or abandon
marketing process and withdraw a product
Cite ways to measure the success of a marketing strategy - ✔✔✔
ANSWER-- Looking at sales figures, profits or number of hits on
website
- Marketing research (distinguish from market research): ask
consumers directly for feedback to understand how they are
reacting to the strategy
- Eye tracking to analyze how consumers look at websites
- Store layouts and adverts
- Viral marketing research (estimate the probability that specific
communications will be transmitted throughout an individual's social
network - social networking potential)