Developing a Marketing Campaign
External assessment
Activity A - prepare rationale for the bikeshop marketing campaign which can
be (established business which want to increase profits or new business in which
case it will be about increasing awareness)
1. The Rationale - Aims and objectives for Biky's marketing campaign [8 marks]
Biky is a bicycle shop based in San Francisco, California, which aims to increase its revenue by
15% by the end of 2025. To help achieve this aim, a number of SMART objectives have to be
set:
1.1 - Reach 30% more people in the area, this is important because it will increase brand
awareness and drive new people into their customer’s base.
1.2 - Gain 25% of the bike market in San Francisco and 10% of the online market floor.
1. Define the term "marketing" and explain its relevance to Biky's campaign to increase revenue. [4 marks]
Sample Answer: Marketing is the process of identifying, anticipating, and satisfying customer
needs profitably (2 marks). For Biky, this is relevant as it involves promoting folding bikes to
meet the growing demand for eco-friendly commuting in San Francisco, driving sales to achieve
the 15% revenue goal (2 marks).
2. State one marketing aim and two SMART objectives for Biky's campaign, and justify how they support the
15% revenue goal. [8 marks]
Sample Answer: Aim: Increase revenue by 15% by Q4 2025 (2 marks). Objectives: (1) Reach
30% more customers via social media ads by Q3 2025 (SMART: Specific, Measurable,
Achievable, Realistic, Time-bound) (2 marks). (2) Achieve 25% market share in San Francisco
by launching a folding bike promotion by Q4 2025 (SMART) (2 marks). Justification: The aim
directly targets revenue growth. Objective 1 boosts brand awareness, attracting new customers to
increase sales, while Objective 2 expands market presence, supporting higher revenue through
increased market share (2 marks).
3. Explain the concept of a Unique Selling Proposition (USP) and suggest one USP for Biky's folding bikes. [4
marks]
Sample Answer: A USP is a unique feature that differentiates a product from competitors (2
marks). For Biky, a USP could be "compact, eco-friendly folding bikes ideal for urban
commuting," setting it apart from larger retailers (2 marks).
, 2. Research and Analysis of Market Information / Justification [10 marks]
2. Introduction to the business (Refer to the case study!) / Product, Price, Place and Promotion. >
Summary of points for the business.
Biky is a small bicycle shop based in San Francisco, which is specialised in the niche market of
folding bikes. The shop is doing well due to the accessories sold and the services like bike repair
which are provided. The shop owner wants to expand his business to increase the bikes sales in
his shop.
4. Analyze the market size and structure for Biky's folding bike market in the USA. [6 marks]
Sample Answer: The US bike market is valued at $6 billion, with folding bikes growing at 7%
annually due to urban demand (Statista, 2024) (2 marks). The market structure is competitive,
with niche players like Biky alongside large retailers like REI, creating a fragmented landscape
where specialization can succeed (2 marks). This growth supports Biky's expansion potential (2
marks).
5. Identify two key competitors for Biky and explain how they impact the campaign. [6 marks]
Sample Answer: Competitors include REI, offering a wide bike range, and online retailer
BikeBerry, with lower prices (2 marks). REI’s broad appeal may draw general customers,
requiring Biky to emphasize its niche focus, while BikeBerry’s pricing challenges Biky to offer
competitive value, impacting campaign pricing strategies (2 marks). This necessitates targeted
promotion of Biky's USP (2 marks).
6. Evaluate the reliability of market data from Statista for Biky's campaign planning. [4 marks]
Sample Answer: Statista is reliable due to its use of verified industry data (e.g., $6 billion bike
market) from multiple sources (2 marks). However, its validity may be limited by regional
variations in San Francisco, requiring local data to refine campaign targets (2 marks).
3. (SWOT - bullet points) - Summary and analysis of SWOT - Summary of points for the
business [10 marks]
SWOT ANALYSIS OF BIKY
Biky is in the really competitive bike market, this means that in order to successfully achieve the
aims and objectives set the owner, it is necessary to carry out a number of analysis. One of the
most important analyses is SWOT which looks at both internal and external aspects.