Reference no: EM133313403

The Green Action Centre doesn't like it. Poletical doesn't like it. Many are not thrilled with the Tim Hortons Roll up the Rim (RUTR) sales promotion.

Check out the economics of RUTR. Check out the facts and figures. Check out the win frequency. Have you ever considered the sheer amount of public relations advertising that Tims gets as a result of this promotion?

Did you know that Tims used to estimate sales increases of 10-15% during RUTR but 2019 sales were down 0.5% from previous year? Did you know that in 2011 Tim Hortons blamed poor financial results on expanding costs for the promotion?

Remember the IMC mantra: Exposure vs. costs. Consider the questions listed above. In the end, Tims is in a battle with McDonald's, Starbucks and other coffee restaurants for your lowly Canadian dollar. Is it "worth it" for Tim Hortons to continue Roll up the Rim?

Tims cancelled RUTR in 2020 due to COVID. Is it "worth it" for Tim Hortons to reboot and continue in future years?

How to Proceed

Topic 1

Using the information, discovered from the sites above and research, pitch the idea to Tim Hortons that it should discontinue RUTR. People hate the amount of litter being produced. What are the PR consequences? Can you "spin" this? How/where should Tims then divert its marketing dollars instead? Be persuasive and ensure the logic and rationale back up some arguments.

Topic 2

Using the information discovered, assume you are working for the Tim Hortons marketing team. Axel Schwan (President - Canada, US & Latin America Tim Hortons) has been listening to the accountants and wants you to present why Roll Up the Rim should continue despite the substantial and increasing costs of running the promotion. As you are working to reboot the program next year and include seamless digital integration, what can be the proposal to get RUTR (and the sales) back on track?