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9609 · 3.1.4

Consumer and industrial marketing — practice questions

Practice and worked examples for 9609 Consumer and industrial marketing. Short previews only — attempt the full question in MarkScheme against the official scheme.

Worked example 1

Compare marketing a smartphone (B2C) vs industrial microchips (B2B) — one difference in promotion and one in buyer behaviour.

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Promotion: Smartphone — mass advertising, influencers, retail display. Microchips — direct sales team, technical datasheets, trade fairs; no consumer TV ads.

Buyer behaviour: Smartphone buyer — individual, emotional brand choice, quick purchase. Chip buyer — procurement team, compares specs, reliability, price over months, long-term supply contracts.

Worked example 2

A manufacturing firm is considering buying a new machine for $250,000. The B2B supplier claims it will increase annual revenue by $80,000 and reduce annual operating costs by $40,000. As part of their sales pitch, the supplier presents a calculation of the payback period and first-year Return on Investment (ROI). Calculate these two figures and explain their relevance in B2B marketing.

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1. Calculate Total Annual Gain: This is the sum of new revenue and cost savings. 80,000+80,000 + 40,000 = 120,000120,000

2. Calculate Payback Period: This shows how long it takes to recoup the initial cost. Formula: Payback Period = Initial Investment / Annual Gain Calculation: 250,000/250,000 / 120,000 = 2.08 years

3. Calculate Return on Investment (ROI) for Year 1: This shows the investment's profitability. Formula: ROI = (Annual Gain / Initial Investment) x 100% Calculation: (120,000/120,000 / 250,000) x 100% = 48%

Final Answer & Relevance: The payback period is 2.08 years and the first-year ROI is 48%. These rational, financial metrics are crucial in B2B marketing. They allow the salesperson to build a business case, justifying the high capital expenditure by proving its long-term value and profitability, which is far more persuasive to a professional buyer than the emotional appeals used in B2C marketing.

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