Fig. 1 shows part of an advertising campaign by SecureHome Insurance. The company has hired 12 identical bus-shelter panels near a city shopping area for on...

Assessment: Commerce 4CM1 | Paper 1 Mock 01 | Written Paper 1 Subject: Commerce - 4CM1

Question 1 Report

Fig. 1 shows part of an advertising campaign by SecureHome Insurance. The company has hired 12 identical bus-shelter panels near a city shopping area for one month. Each panel costs $180 to hire. The advertisement gives customers a telephone number and a website.

SECUREHOME INSURANCEProtect what mattersCall 0800 555 280 or visit securehome.com© EAGLE BEACON GLOBAL

(a) Identify the promotion method shown in Fig. 1. [1]
(b) Calculate the total cost of hiring the 12 panels for one month. [2]
(c) State two ways customers can respond to this advertisement. [2]
(d) Give two reasons why the company may use bus-shelter advertising. [2]

Answer Details

(a) The method is outdoor advertising, also called poster advertising. [1]

(b)
\[12\text{ panels}\times\$180=\$2160\]
The total hiring cost is $2160. [2]

(c) Customers can telephone the company using the number shown or visit the website. [2]

(d) Bus-shelter panels are seen by pedestrians and bus users, and people using the same route repeatedly may see the advertisement several times. They also reach people near shops or homes, while the large display can attract attention. Any two. [2]

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