MKT 431 Week 5 Advertising and Customer Loyalty Example

Reviewed by Davina Cresswell, MBA · University of Phoenix · Updated

This MKT 431 Week 5 example builds an advertising and loyalty plan that lets a small business win new customers and keep its best ones on a modest budget. University of Phoenix MKT 431 ends with advertising and customer loyalty, and in MKT/431 the BS in Business student chooses affordable media, design programs that bring customers back and show how both build a sustainable business. The business studied, a composite independent bike retailer in Chattanooga, now offers tune-up packages, an e-bike care plan and new guided tours. The paper sets goals, picks local search, social media, reviews and partnerships over costly mass media, applies loyalty and word-of-mouth research, designs a rewards and community program, budgets the plan and defines how results will be tracked.

CourseMKT 431 Small Business Marketing (MKT/431)
Week5
Paper typeSmall business advertising and loyalty plan
Lengthabout 1,044 words, 4 double-spaced pages plus title page and references
FormatAPA 7 student paper
SchoolUniversity of Phoenix
ProgramBS in Business
UpdatedOctober 2026

Free sample paper for MKT 431 Week 5

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Group Rides, Reviews and Reminders: Advertising and Customer Loyalty for an Independent Bike Shop

[Student Name]

University of Phoenix

MKT/431: Small Business Marketing

Week 5 Final Assignment

[Instructor Name]

[Date]

Iron Horse Cycles, its budget, programs and results are composites written for a model paper.

What this part is doingThe title names three low-cost tools at the heart of the plan.
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Over four weeks, Iron Horse Cycles has analyzed its customers, chosen growth through e-bikes and guided tours, defined a value proposition built on fitting, test rides and fast repairs and set prices for service packages, a care plan and tours. It now needs to tell the right people about these offers and keep its best customers coming back. Its marketing budget is about $48,000 a year, 3% of revenue. A small shop's best advertisement is a rider telling a friend where to get a bike fitted, so the plan spends as much effort on keeping customers as on finding them. This paper builds the advertising and loyalty plan.

Advertising Objectives

For the coming year, Iron Horse aims to sell 160 e-bikes, up from 120; book 1,200 guided tour riders; enroll 150 e-bike owners in the care plan; and raise the share of revenue from repeat customers from 68% to 72%.

Target Audiences

E-bike buyers are often 40 or older and research online before visiting. Tourists search on phones while visiting. Families respond to local recommendations and school or neighborhood events. Serious riders are reached through clubs.

Key Message

All advertising will carry one message tied to the value proposition: Ride more, worry less. Fitted right, tested on real roads and fixed in three days.

Why Not Mass Media

A single week of local television spots or a billboard on the interstate would consume a large share of the annual budget and reach mostly people who will never buy a bike. Newspaper ads reach older readers, some of whom are e-bike prospects, but cost more per interested reader than targeted digital ads. The plan therefore puts money where customers are actively searching or already gathered, and it relies on customers themselves to carry the message to friends.

Local Search

Most customers search for bike shops and rentals on phones. The shop will keep its online business listings complete, with hours, photos and booking links, and will run search ads for e-bikes and tours in the Chattanooga area. Budget: $12,000.

Social Media

Targeted ads on Facebook and Instagram will show e-bike test ride events to adults within 25 miles and tour videos to visitors in the area. Organic posts will feature group rides and customer stories. Budget: $9,000.

What this part is doingMatching each medium to an audience keeps a small budget focused.
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Partnerships

Hotels and the visitor center will display tour brochures and receive a commission of $5 per booked rider. A partnership with a local brewery will offer a tour and tasting package. Budget: $6,000 in commissions and materials.

Community Events

Iron Horse will sponsor two charity rides and host free bike safety clinics at elementary schools each spring, reaching families. Budget: $5,000.

Customer Loyalty

Dick and Basu (1994) proposed that true loyalty combines high relative attitude with high repeat patronage; customers who buy often without a favorable attitude show spurious loyalty and leave when a better offer appears. Oliver (1999) argued that the deepest loyalty develops in stages, from belief to liking to commitment to action, and is strongest when customers feel part of a community connected to the product.

What this part is doingTwo loyalty studies support building attitude and community, not just discounts.
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Who Is Loyal Today

Applying the Dick and Basu framework to the shop's customers is revealing. Serious riders show true loyalty: they return often and speak warmly of the staff. Many commuters show spurious loyalty, returning because the shop is close to work, and could switch if a cheaper option opened nearby. Families show latent loyalty, liking the shop but buying rarely. The plan aims to turn commuters' habit into attachment and give families more reasons to return.

What this part is doingClassifying current customers by loyalty type makes the research directly useful.
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Points Program

Customers will earn one point per dollar on service, parts and accessories, redeemable for credit. Points will not apply to new bikes because of manufacturer pricing rules. Budget: about $8,000 in redeemed rewards.

Riders Club

A free riders club will host weekly group rides for different levels, maintenance clinics in winter and an annual party. Members receive early notice of events and new bikes. The club builds the community that Oliver described.

Service Reminders

The booking system will send reminders when a bike is due for a tune-up, based on purchase date and riding habits. E-bike owners in the care plan will receive scheduled reminders automatically.

Word of Mouth

Trusov et al. (2009) studied an internet social networking site and found that word-of-mouth referrals had much longer-lasting effects on new member sign-ups than traditional marketing and a higher response. For Iron Horse, reviews and referrals are powerful. Staff will ask satisfied customers for reviews, and a referral program will give both the referrer and the new customer a $25 credit. Budget: $4,000.

Budget Summary

Total spending: local search $12,000, social media $9,000, loyalty rewards $8,000, partnerships $6,000, community events $5,000, referrals $4,000 and printed materials and design $4,000, for $48,000.

Reviewing Results

Every quarter, the owners will compare the cost of each tactic with the customers and sales it produced. Money will shift from weak tactics to strong ones, and a small test budget will try one new idea each season.

Calendar

Spring focuses on e-bike test ride events, school clinics and service reminders. Summer focuses on tours and rentals. Fall emphasizes group rides and tune-ups. Winter brings clinics and the club party.

Staff Role

Every employee shapes loyalty. Staff will learn regular customers' names and bikes, follow up after major repairs with a quick text and invite new buyers to a group ride. A monthly prize will go to the employee named most often in reviews.

Measures

The shop will track e-bike sales, tour bookings by source, care plan enrollments, repeat customer revenue, review counts and ratings and referral credits redeemed. Each ad campaign will use trackable links or codes.

Plan Summary

Iron Horse knows its customers, has chosen focused growth, offers a clear value proposition, prices services for value and fairness and now reaches customers through affordable, targeted media while building loyalty through rewards, community and reminders.

Conclusion

With a $48,000 budget, Iron Horse focuses advertising on local search, social media, partnerships and community events and builds loyalty through points, a riders club, service reminders and referrals. Research on loyalty and word of mouth supports investing in attitude and community, and clear measures will show what to keep and what to change.

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References

Dick, A. S., & Basu, K. (1994). Customer loyalty: Toward an integrated conceptual framework. Journal of the Academy of Marketing Science, 22(2), 99-113. https://doi.org/10.1177/0092070394222001

Oliver, R. L. (1999). Whence consumer loyalty? Journal of Marketing, 63(4_suppl1), 33-44. https://doi.org/10.1177/00222429990634s105

Trusov, M., Bucklin, R. E., & Pauwels, K. (2009). Effects of word-of-mouth versus traditional marketing: Findings from an internet social networking site. Journal of Marketing, 73(5), 90-102. https://doi.org/10.1509/jmkg.73.5.90

What the MKT 431 Week 5 instructions ask

In the final MKT 431 assignment, students usually build advertising and customer loyalty strategies. Typical requirements cover advertising objectives, selecting media that fit the budget and target customers, writing or describing key messages, designing a loyalty or retention program, explaining how word of mouth and community can be encouraged and tracking results. Many versions also want a short summary of the whole small business marketing plan. Ground choices in research on loyalty and advertising, use the business's earlier analyses and cite sources in APA format. Remember that keeping a good customer usually costs less than finding a new one, so retention deserves as much attention as advertising.

How this MKT 431 Week 5 example is built

A bike shop with a $48,000 annual marketing budget cannot afford television, so the paper focuses spending where its customers look. Advertising goals target e-bike buyers, tourists and families. Media include local search listings, targeted social ads, a review program, hotel and visitor center partnerships and a few sponsored community rides. Loyalty research shows that true loyalty combines repeat buying with a positive attitude, and word-of-mouth research shows that referrals can have longer-lasting effects than traditional ads. The plan creates a points program, a riders club with weekly group rides and service reminders, with a budget, a seasonal calendar and measures for each piece, plus a summary of the whole plan.

MKT 431 Week 5 grading rubric: where the points go

Strong advertising and loyalty papers connect media and programs to target customers, budget and the value proposition, and show how results will be measured. Instructors credit clear objectives, media choices suited to a small business, consistent messages, a loyalty program that builds attitude as well as repeat purchases, ways to encourage word of mouth and a budget with measures. Papers that apply loyalty research rather than offering discounts alone show understanding. Reviewers look for scholarly sources, realistic costs and a brief summary connecting the whole marketing plan. Showing how the owner will move money toward what works adds strength. Tables for budget and measures help, with organized headings and correct citations finishing the plan.

MKT 431 Week 5 help: mistakes to avoid

Students often choose expensive media that a small business cannot afford. Match media to the budget and target. Another common gap is designing loyalty programs that only give discounts. Build attitude and community as well as repeat purchases. Students also forget word of mouth, which is often a small business's best advertising. Plan ways to encourage reviews and referrals. Set measurable objectives with numbers and dates. Keep messages consistent with the value proposition. Include a budget and a seasonal calendar. Define how each tactic will be measured. Summarize earlier weeks briefly so the plan reads as one piece. Finally, explain how the owner will review results and shift money toward what works best.

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MKT 431 Week 5 questions, answered

What does MKT 431 Week 5 usually cover?

It usually covers advertising and customer loyalty: advertising objectives, affordable media, key messages, loyalty and retention programs, word of mouth and measuring results.

Where can I find a free MKT 431 Week 5 sample paper?

The full advertising and loyalty plan for an independent bike shop is shown in full above, and writers can prepare a version for the business you are studying.

What is true customer loyalty?

Loyalty that combines repeat purchasing with a favorable attitude toward the business, as opposed to repeat buying from habit or convenience alone.

How can a small business encourage word of mouth?

By delivering experiences worth talking about, asking satisfied customers for reviews, creating community events and offering simple referral rewards.

What advertising works best for small businesses?

Often local search listings, targeted social media ads, online reviews, partnerships and community events, which reach local customers at low cost.

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