Marketing
The task of Identifying Consumer Needs and fulfilling
them. This may include activities like Marketing Research, New Product Development, Distribution Management, Pricing, Analysis of Competition, Promotion etc.
The Marketing Mix
Product Price Place Promotion
Product
Conception and planning of actual product Product quality, design, features, size, varieties,
warranty etc
Price
Setting the price of a product Retail/Wholesale price, discounts, Margins etc
Place
Getting the product to the final consumer Distribution channel, market coverage, location,
transportation etc
Promotion
Informing consumers about organizations offerings,
persuading them to buy it and reminding them about it from time to time. Advertising, sales promotion, direct marketing, personal selling
Communication
Imparting, sharing or exchanging of Information, thoughts, ideas, views etc between two or more people.
Communication Process
Message
Sender Encoding Channel Receiver Decoding
Barriers
Feedback Response
Marketing Communication
It
involves all the activities concerned with effectively communicating product information to the consumers and persuading them to buy it. The prime purpose of marketing communication is to seek a cognitive, affective or behavioral response of the consumer
Attention
Awareness
Personal Selling
Interactive/Internet
Marketing
Publicity
Personal Selling
Interactive/Internet
Marketing
Publicity
Advertising
Any paid form of non personal communication
about an organization, product, service or idea by an identified sponsor. -- Non-Personal indicates the Mass Media -- Paid form emphasizes that advertisement time or space must be purchased. -- Communication indicates the Message and its Presentation -- Identified Sponsor refers to the advertiser who is communicating.
Objectives of Advertisement
Inform Persuade Remind
Reinforce
Classification of Advertisements
Brand Building Advertisements Direct Response Advertisements National/Regional Advertisements Retail Advertisements Public Service Advertisements B2B Advertisements
Personal Selling
Interactive/Internet
Marketing
Publicity
Sales Promotion
Marketing activity that provide extra value or incentive to the
sales force, distributor or the ultimate consumer and can stimulate immediate sales. -- Consumer Oriented Sales Promotion Directed to the end user of a product (e.g. discounts, coupons, samples, contests, Point of Purchase material etc.) -- Trade Oriented Sales Promotion Directed to resellers like distributors, whole sellers, retailers etc to motive them to provide special support for the organizations products and market it. (Allowances, trade shows, sales contests etc)
Personal Selling
Interactive/Internet
Marketing
Publicity/Public
regarding an organization/product not directly paid for or run under identified sponsorship. E.g. News Releases, Media Coverage, Word-ofMouth, Press Conferences
Public Relations: The management function which
evaluates public attitudes, identifies the policies and procedures of an organization with public interest and executes a program of action to earn public understanding and acceptance. E.g. Participation in community activities, fund raising, sponsorship of special events etc.
Personal Selling
Interactive/Internet
Marketing
Publicity
Personal Selling
It is a form of person-to-person communication in
which a seller attempts to assist and/or persuade the prospective buyers to purchase the companys products or service. More prominent one-to-one contact is there as compared to direct selling Possibility of Moulding the message based upon the consumers reaction/response.
Personal Selling
Interactive/Internet
Marketing
Publicity
Direct Marketing
The marketer and the prospect interact directly, without
Marketing. There is no prominent one-to-one interaction like personal selling. Direct Response Advertising is one of the major tools of Direct Marketing. E.g. E-mail, catalogues, Home Shop 18, Star CJ Alive etc.
Personal Selling
Interactive/Internet
Marketing
Publicity
Internet/Interactive Marketing
Using network synergy for effective marketing.
recognizes the added value of a comprehensive plan that evaluates the strategic role of a variety of communication discipline, for e.g. advertising, direct selling, sales promotion etc, and combines these disciplines to provide clarity, consistency and maximum communication impact. An IMC approach seeks to have all of a companys marketing and communication activities , project a consistent, unified image to the marketplace. It calls for a centralized messaging function so that everything a company says and does communicate a common theme and positioning.
to other forms of promotion, particularly consumer and trade oriented sales promotion.
A movement away from relying on advertising
focused approaches, which emphasize mass media such as national TV, Magazines etc, to solve communication problem
A shift in marketplace power from manufacturer to
retailer
marketing.
Demand for greater accountability from marketing
advancements have changed the very nature of how companies do business and the way they communicate and Interact with the consumers.
Review of Marketing Plan Situational Analysis of Promotional Program Analysis of Communication Process Budget Determination Developing IMC Program
Advertising Direct Marketing Personal Selling Sales Promo Publicity/ PR Internet Mkt
base, Growth Rate etc The Product Situation: Product strength & Weakness, sales and profit margins etc The competitive Situation: Major competitors, their strength and Weakness etc The Socio-cultural Situation: Taste & Preferences, cultural norms etc. The distribution Situation: Channels of distribution, Modes of transportation etc. The Promotion Situation: Current campaigns, their objectives, media, Budget etc. Other factors: Economic, Political, Legal, Technological
Marketing Objectives
What company wants to achieve from its Marketing
Plans
Marketing Strategies
Determining the various ways and options for
and its results. Assessment of firms brand image and implication for promotion. Assessment of relative strengths and weaknesses of the products
External Factors
Customer Analysis Competitive Analysis: Promotional Strategies of
marketing program Designing and Distribution sales promotion material Designing and Implementation of PR/ Public relations program Designing and Implementation of Internet marketing programs.
Participants of IMC
Advertiser (Client)
Advertising Agency
Media
Participants of IMC
Advertiser (Client)
Advertising Agency
Media
Advertiser
They have the products or service to be
marketed Provide funds for advertising and promotion Develop marketing program Final decision maker of advertising and promotional programs to be used.
Participants of IMC
Advertiser (Client)
Advertising Agency
Media
Advertising Agency
An outside firm that specializes in the creation,
production and placement of communication message and that may provide other services to the marketing and promotions process. Functions of Advertising Agencies Client Servicing
Involves understanding the clients business in totality,
understanding their marketing strategy and convert it into an effective advertising program. This is done through working with clients on one side and creative and media teams of the agency on the other.
Creative Work Ensuring creative output in form of a print advertisement, television commercial, radio jingle etc. Copywriters, art persons play a key role into this. Media Planning and Buying Deciding on which form of Media is to be used for advertising. Buying of space, time etc for advertisement placements.
Participants of IMC
Advertiser (Client)
Advertising Agency
Media
Media
The media represents the channel through
which the advertisement is carried E.g: Print, TV, Radio, Outdoor etc. These media must have the content that attracts audience so that the advertisers and the agencies would want to buy time and space with them.
Participants of IMC
Advertiser (Client)
Advertisin g Agency
Media
Services
Direct Response Agencies Rapp Collins (Part of Mudra Group) Lintas Personal Saatchi & Saatchi Direct Sales Promotion Agencies Kidstuff Public Relation Agencies Good relations India Pvt. Ltd. Hammer & Partner Ogilvy Rediffusion PR Interactive Agencies Tribal DDB+Mudra Communication
Participants of IMC
Advertiser (Client)
Advertising Agency
Media
Collateral Services
Collateral services are the wide range of support
functions used by Advertisers, advertisement agencies etc. E.g: Photographers, Image Banks, Model Coordinators, Marketing research firms etc
Regulatory Bodies
ASCI
(Advertising Standards Council of India) Goal: To maintain and enhance the publics confidence in Advertising ASCI seeks to ensure that advertisements conform to their code of self regulation which requires advertisements to be: Truthful and fair to consumers and competitors Within the bounds of generally accepted standards of public decency Non Promotion of products hazardous to the society at large.
Product Placements
Sponsorships
When a company pays money to get promotional
Weeks etc Sports Events: Olympic, Asian Games, Cricket etc Cause Based Events: This normally refers to activities that are undertaken to promote cause such as that relating to Environment, Health, Security etc.
Merchandising
Refers to that promotional activity which involves
the proper placement and promotion of the product at the point of purchase. The main job of merchandising is to ensure that the companys stocks are well placed in the retail shelves and are visible clearly to the consumer.
POP Material (Point of Purchase Material): Includes
promotional material that a company uses to promote its products at the point of sale. E.g: Product Banners, Posters, Display Stands etc. Gifts
Airports, Neon Signs etc Transit Media: Buses,Trucks, Trains, Cars, Taxis, Airplanes etc. Advantages:
Selectivity of Location
Disadvantages:
Waste Coverage: it is not likely that everyone passing by a
billboard is a part of Target Market. Limited Message Capabilities Measurement of Effectiveness Wear out
dont have to earn it by making some product purchase. E.g: Ball Pens, T-Shirts, Coffee Mugs, Calendars, Key Rings etc
Advantages:
Selectivity Flexibility Frequency (Repetitive Exposure) Goodwill
Disadvantages:
Company Image (if proper selection of promotional material is not made) Saturation Lead Time
Yellow Pages
Yellow Pages includes: Specialized Directories General Directories Audiotex Internet Directories
Advantages:
Wide Availability Action Orientation Costs Frequency
Disadvantages: Localized Media Wear out Limited Creativity Long Publishing Period
Product Placements
Showing the use of Products in Movies, TV Serials,
Frequency
Source Association Recall
Disadvantages
Time of Exposure Lack of Control Public Reaction