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Unit 4
Communication Process, Promotion Mix- advertising, Direct Marketing,
Personal Selling, Publicity and Public relations; Sales Promotion-Tools
and Techniques, Advantages of Personal Selling, Steps involved in
Personal Selling, Buying motives & Buying habits, Factors influencing
buying behaviour, Buying decision process, Consumerism. New terms of
Marketing: Niche Marketing, Green Marketing, Gorilla Marketing
MarketingofInfrastructureServicesand Utilities Module6
Promotion
- How do we make customers aware about
the product
- How do we communicate?
- Problem of integrated marketing
communications
What is the communication process
PROMOTION IN
MARKETING
MarketingofInfrastructureServicesand Utilities Module6
Marketing Communications
Advertising
Direct
Marketing
Sales
Promotion
Public
Relations
Personal
Selling
MarketingofInfrastructureServicesand Utilities Module6
Communication process
- Interactive process
- Between company and its
customers
Every aspect communicates
- Product styling
- Price
- Packaging
- Shape, colour
- Sales personnel dress and
manners
- Channel partners behaviour
- Office décor
- Sales personnel business card
- Stationery
PROMOTION IN
MARKETING
MarketingofInfrastructureServicesand Utilities Module6
Example
Customer wants to buy computers. What will he
do?
- Talk to others
- See ads on television
- Read articles
- Surf internet
- Go to computer shop
- See a live demonstration
Marketers need to understand which experiences and
impressions will have the most influence at each
stage of the buying process.
PROMOTION IN MARKETING
MarketingofInfrastructureServicesand Utilities Module6
Steps in
Developing
Effective
Communication
MarketingofInfrastructureServicesand Utilities Module6
1. Advertising
- Any paid form of non personal presentation and promotion of
ideas, goods or services by an identified sponsor
- Is done by
o Commercial organizations
o Government
o Non-profit organizations
- Direct messages to target public
PROMOTION IN
MARKETING
MarketingofInfrastructureServicesand Utilities Module6
Advertising can be used to
1. Long term image
Image positioning
2. Trigger quick sales
- Buy one, get one free
3. Geographically dispersed buyers
- Lifebuoy customers o
Rural
o Semi-urban
o All over India
4. Brand preference
-Surf comparing ordinary washing powder with surf
PROMOTION IN
MARKETING
8
MarketingofInfrastructureServicesand Utilities Module6
5. Removing misconceptions
oPresent right picture
PROMOTION IN MARKETING
9
MarketingofInfrastructureServicesand Utilities Module6
Who carries out advertising?
- Advertising department within the
marketing department
- Most of the work carried out by an
outside advertising agency
PROMOTION IN MARKETING
10
MarketingofInfrastructureServicesand Utilities Module6
11
The Five Ms of Advertising
MarketingofInfrastructureServicesand Utilities Module6
2. Sales promotion
Consists of a diverse collection of incentive tools,
mostly short term, designed to stimulate quicker
or greater purchase of particular products or
services by consumers or the trade.
PROMOTION IN
MARKETING
12
MarketingofInfrastructureServicesand Utilities Module6
Sales promotion
Whereas advertising offers a reason to buy, sales
promotion offers an incentive to buy.
Examples
- Samples
- Cash refund
- Prices off
- Prizes
- Free trials
- Cross – promotions
PROMOTION IN
MARKETING
13
MarketingofInfrastructureServicesand Utilities Module6
Types of sales promotion
1. Consumer promotion
- Targeted on end consumers
2. Trade promotion
- Targeted on intermediaries and channel partners
3. Business promotion
- Targeted on business / institutional consumers
PROMOTION IN
MARKETING
14
MarketingofInfrastructureServicesand Utilities Module6
Purposes of sales promotion
• Introducing new Services product
• Overcoming seasonal Fluctuation
• Getting new accounts
• Retrieving lost accounts
• As a support and supplement to the advertising effort
• As a supplement and support to the salesmen’s effort
• Persuading marketing channel to buy more / increase
the size of the orders.
PROMOTION IN
MARKETING
15
MarketingofInfrastructureServicesand Utilities Module6
3. Public relations (PR)
Involves a variety of programs designed to
promote or protect a company’s image or its
individual services product
PROMOTION IN MARKETING
16
Function of PR
1. Press relations
Presenting news and information about the organization in most positive light
2. Service Product publicity
Sponsoring efforts to publicize specific services products
3. Corporate communication
Promoting understanding of the organization through internal and external
communications
4. Lobbying
Dealing with legislators and government officials to promote or defeat legislation
and regulation
5. Counselling
Advising management about public issues and company positions and image.
This includes in the event of a product mishap.
MarketingofInfrastructureServicesand Utilities Module6
4. Personal selling
Face – to –face interaction with one or more
prospective purchasers for the purpose of
making presentations, answering questions and
procuring orders
PROMOTION IN MARKETING
18
MarketingofInfrastructureServicesand Utilities Module6
Personal selling
- Is the most effective tool at later stages of the
buying process.
- Particularly in building up
o Buyer preference
o Conviction
o Action
PROMOTION IN MARKETING
19
MarketingofInfrastructureServicesand Utilities Module6
Personal selling
Three distinctive qualities
1. Personal confrontation
Immediate and interactive relationship between two
or more persons
2. Cultivation
- Encourages personal relationship
- Informal
3. Response
- Buyer under obligation
- Listen to sales talk
PROMOTION IN
MARKETING
20
MarketingofInfrastructureServicesand Utilities Module6
5. Direct marketing
- Is an interactive marketing system that uses or
one or more advertising media to effect a
measurable response and/or transaction at any
location
PROMOTION IN
MARKETING
21
MarketingofInfrastructureServicesand Utilities Module6
Direct marketing – characteristics
1. Non public
Message is addressed to a specific person
2. Customized
Message can be prepared to appeal to the addressed
individual
3. Up-to-date
A message can be prepared very quickly
4. Interactive
The message can be changed depending on the
person’s response.
PROMOTION IN
MARKETING
22
MarketingofInfrastructureServicesand Utilities Module6
Major channels for direct marketing
1. Face – to – face selling
2. Direct mail
3. Catalogue marketing
4. Telemarketing
5. On-line marketing
PROMOTION IN MARKETING
23
Guide line for improving
Promotion of Service
1. Use Clear , Unambiguous Message
2. Emphasise the benefits of services
3. Only Promise what can be delivered
4. Advertise to employee
5. Obtain and Maintain customer cooperation in the service Production Process
6. Build on word of mouth communication
7. Provide tangible clues
8. Develop continuity in advertising
9. Remove post purchase anxiety
10. Brand Building
11. Proper training of customers
Green Marketing
Green marketing is the marketing of products that are presumed to be
environmentally safe. It incorporates a broad range of activities, including
product modification, changes to the production process, sustainable
packaging, as well as modifying advertising. Yet defining green
marketing is not a simple task where several meanings intersect and
contradict each other; an example of this will be the existence of varying
social, environmental and retail definitions attached to this term. Other
similar terms used are environmental marketing and ecological
marketing.
Green Marketing Methods/ Strategies
1. Using eco-friendly paper and inks for print marketing materials
2. Skipping the printed materials altogether and option for electronic
marketing
3. Having a recycling program and responsible waste disposal practices
4. Using eco-friendly product packaging
5. Using efficient packing and shipping methods
6. Using eco-friendly power sources
7. Taking steps to offset environmental impact
“Greenwashing”
Some marketers try to capitalize on the growing number of green consumers by
simply taking a green marketing approach to products that might not otherwise
be considered green.
They try to position their products as a better choice for the environment when
they’re really not. An example of this is when a company uses the color green
in their packaging, or the word green somewhere in their messaging, when
there isn’t anything particularly eco-friendly about their product, nor it’s not
more eco-friendly than competing products.
Greenwashing is not only misleading, but it can also be damaging to a
company’s reputation.
Niche Marketing
Niche marketing is a targeted marketing plan that centers on a specific
portion of the market that possesses a higher potential in connecting
with a given product or service offered. This allows a brand to zero in on
strategically selected channels and media platforms that can help the
company reach its respected audience at a better rate. Here, marketers
tailor their marketing strategies according to a predicted response.
Few Sectors for Niche Marketing
Computers
Music
Fashion
Engineering firms
Travel and Tourism
Health and Fitness
Common Niche Marketing Strategies
Word-of-Mouth Campaigns
(This subtle approach to marketing focuses more on the conversations
made among consumers. Unlike most advertising materials, brand exposure
in this type of campaign is relatively low key)
Targeted Collateral Campaigns
(For this type of marketing strategy, consistent brand exposure is highly
prioritized. For example, radio stations often play a niche genre of music to
cater to a specific group of listeners)
Trusted-Messenger/Endorsement Campaigns
(In an attempt to reach optimum market impact, many businesses utilize
various celebrity marketing strategies to appeal to consumers. These
endorsements often generate a lot of attention due to the collaborations
made with these personalities and influencers.)
Guerilla marketing
Guerilla marketing is a set of marketing actions employed to launch a
marketing campaign at a fraction of the price it would typically cost.
The impact should be, of course, more significant regardless of the low
budget invested in it.
In other words, guerrilla marketing acts as a magnifying glass for the
impact of a marketing campaign.
StreetMarketing
Street marketing is the more recently coined term for theoutdoorguerrillamarketing
type.
Ambient Marketing
This type refers to marketing practices that help promote a product by
interfering with the flow of things.
A common practice is when brands place ads at unconventional
places to increase brand awareness creatively.
With this creative
marketing campaign,
BIC makes a HUGE
statement:
“Our razors are sharp
enough to mow your
lawn!”
Ambush Marketing
Event ambush marketing is when marketers take advantage of the
audience of an event and use it to promote their product or service.
Here’s all-time favorite guerrilla marketing example from Rona:
Guerrilla Projections
This form of marketing involves mastering the installation of hidden
projectors onto high-rise buildings at high-traffic streets to generate
buzz.
For retail stores, this practice will generate additional foot traffic and
increase brand awareness.
Vueling, for instance, uses this
simple guerrilla advertising
campaign to intrigue passers-by.
Experiential Marketing
This incredible guerrilla marketing idea is also known as participation
marketing or live marketing.
Experiential marketing entails the creation of immersive, pop-up
experiences that invite users to “talk, live, breathe” the brand.
For Volkswagen, a major
automobile company, its
unforgettable interactive
piano campaign was a
major hit.

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Promotion Mix and Consumer Behaviour Concepts for Marketing Communications

  • 1. Unit 4 Communication Process, Promotion Mix- advertising, Direct Marketing, Personal Selling, Publicity and Public relations; Sales Promotion-Tools and Techniques, Advantages of Personal Selling, Steps involved in Personal Selling, Buying motives & Buying habits, Factors influencing buying behaviour, Buying decision process, Consumerism. New terms of Marketing: Niche Marketing, Green Marketing, Gorilla Marketing
  • 2. MarketingofInfrastructureServicesand Utilities Module6 Promotion - How do we make customers aware about the product - How do we communicate? - Problem of integrated marketing communications What is the communication process PROMOTION IN MARKETING
  • 3. MarketingofInfrastructureServicesand Utilities Module6 Marketing Communications Advertising Direct Marketing Sales Promotion Public Relations Personal Selling
  • 4. MarketingofInfrastructureServicesand Utilities Module6 Communication process - Interactive process - Between company and its customers Every aspect communicates - Product styling - Price - Packaging - Shape, colour - Sales personnel dress and manners - Channel partners behaviour - Office décor - Sales personnel business card - Stationery PROMOTION IN MARKETING
  • 5. MarketingofInfrastructureServicesand Utilities Module6 Example Customer wants to buy computers. What will he do? - Talk to others - See ads on television - Read articles - Surf internet - Go to computer shop - See a live demonstration Marketers need to understand which experiences and impressions will have the most influence at each stage of the buying process. PROMOTION IN MARKETING
  • 6. MarketingofInfrastructureServicesand Utilities Module6 Steps in Developing Effective Communication
  • 7. MarketingofInfrastructureServicesand Utilities Module6 1. Advertising - Any paid form of non personal presentation and promotion of ideas, goods or services by an identified sponsor - Is done by o Commercial organizations o Government o Non-profit organizations - Direct messages to target public PROMOTION IN MARKETING
  • 8. MarketingofInfrastructureServicesand Utilities Module6 Advertising can be used to 1. Long term image Image positioning 2. Trigger quick sales - Buy one, get one free 3. Geographically dispersed buyers - Lifebuoy customers o Rural o Semi-urban o All over India 4. Brand preference -Surf comparing ordinary washing powder with surf PROMOTION IN MARKETING 8
  • 9. MarketingofInfrastructureServicesand Utilities Module6 5. Removing misconceptions oPresent right picture PROMOTION IN MARKETING 9
  • 10. MarketingofInfrastructureServicesand Utilities Module6 Who carries out advertising? - Advertising department within the marketing department - Most of the work carried out by an outside advertising agency PROMOTION IN MARKETING 10
  • 12. MarketingofInfrastructureServicesand Utilities Module6 2. Sales promotion Consists of a diverse collection of incentive tools, mostly short term, designed to stimulate quicker or greater purchase of particular products or services by consumers or the trade. PROMOTION IN MARKETING 12
  • 13. MarketingofInfrastructureServicesand Utilities Module6 Sales promotion Whereas advertising offers a reason to buy, sales promotion offers an incentive to buy. Examples - Samples - Cash refund - Prices off - Prizes - Free trials - Cross – promotions PROMOTION IN MARKETING 13
  • 14. MarketingofInfrastructureServicesand Utilities Module6 Types of sales promotion 1. Consumer promotion - Targeted on end consumers 2. Trade promotion - Targeted on intermediaries and channel partners 3. Business promotion - Targeted on business / institutional consumers PROMOTION IN MARKETING 14
  • 15. MarketingofInfrastructureServicesand Utilities Module6 Purposes of sales promotion • Introducing new Services product • Overcoming seasonal Fluctuation • Getting new accounts • Retrieving lost accounts • As a support and supplement to the advertising effort • As a supplement and support to the salesmen’s effort • Persuading marketing channel to buy more / increase the size of the orders. PROMOTION IN MARKETING 15
  • 16. MarketingofInfrastructureServicesand Utilities Module6 3. Public relations (PR) Involves a variety of programs designed to promote or protect a company’s image or its individual services product PROMOTION IN MARKETING 16
  • 17. Function of PR 1. Press relations Presenting news and information about the organization in most positive light 2. Service Product publicity Sponsoring efforts to publicize specific services products 3. Corporate communication Promoting understanding of the organization through internal and external communications 4. Lobbying Dealing with legislators and government officials to promote or defeat legislation and regulation 5. Counselling Advising management about public issues and company positions and image. This includes in the event of a product mishap.
  • 18. MarketingofInfrastructureServicesand Utilities Module6 4. Personal selling Face – to –face interaction with one or more prospective purchasers for the purpose of making presentations, answering questions and procuring orders PROMOTION IN MARKETING 18
  • 19. MarketingofInfrastructureServicesand Utilities Module6 Personal selling - Is the most effective tool at later stages of the buying process. - Particularly in building up o Buyer preference o Conviction o Action PROMOTION IN MARKETING 19
  • 20. MarketingofInfrastructureServicesand Utilities Module6 Personal selling Three distinctive qualities 1. Personal confrontation Immediate and interactive relationship between two or more persons 2. Cultivation - Encourages personal relationship - Informal 3. Response - Buyer under obligation - Listen to sales talk PROMOTION IN MARKETING 20
  • 21. MarketingofInfrastructureServicesand Utilities Module6 5. Direct marketing - Is an interactive marketing system that uses or one or more advertising media to effect a measurable response and/or transaction at any location PROMOTION IN MARKETING 21
  • 22. MarketingofInfrastructureServicesand Utilities Module6 Direct marketing – characteristics 1. Non public Message is addressed to a specific person 2. Customized Message can be prepared to appeal to the addressed individual 3. Up-to-date A message can be prepared very quickly 4. Interactive The message can be changed depending on the person’s response. PROMOTION IN MARKETING 22
  • 23. MarketingofInfrastructureServicesand Utilities Module6 Major channels for direct marketing 1. Face – to – face selling 2. Direct mail 3. Catalogue marketing 4. Telemarketing 5. On-line marketing PROMOTION IN MARKETING 23
  • 24. Guide line for improving Promotion of Service 1. Use Clear , Unambiguous Message 2. Emphasise the benefits of services 3. Only Promise what can be delivered 4. Advertise to employee 5. Obtain and Maintain customer cooperation in the service Production Process 6. Build on word of mouth communication 7. Provide tangible clues 8. Develop continuity in advertising 9. Remove post purchase anxiety 10. Brand Building 11. Proper training of customers
  • 25. Green Marketing Green marketing is the marketing of products that are presumed to be environmentally safe. It incorporates a broad range of activities, including product modification, changes to the production process, sustainable packaging, as well as modifying advertising. Yet defining green marketing is not a simple task where several meanings intersect and contradict each other; an example of this will be the existence of varying social, environmental and retail definitions attached to this term. Other similar terms used are environmental marketing and ecological marketing.
  • 26. Green Marketing Methods/ Strategies 1. Using eco-friendly paper and inks for print marketing materials 2. Skipping the printed materials altogether and option for electronic marketing 3. Having a recycling program and responsible waste disposal practices 4. Using eco-friendly product packaging 5. Using efficient packing and shipping methods 6. Using eco-friendly power sources 7. Taking steps to offset environmental impact
  • 27. “Greenwashing” Some marketers try to capitalize on the growing number of green consumers by simply taking a green marketing approach to products that might not otherwise be considered green. They try to position their products as a better choice for the environment when they’re really not. An example of this is when a company uses the color green in their packaging, or the word green somewhere in their messaging, when there isn’t anything particularly eco-friendly about their product, nor it’s not more eco-friendly than competing products. Greenwashing is not only misleading, but it can also be damaging to a company’s reputation.
  • 28. Niche Marketing Niche marketing is a targeted marketing plan that centers on a specific portion of the market that possesses a higher potential in connecting with a given product or service offered. This allows a brand to zero in on strategically selected channels and media platforms that can help the company reach its respected audience at a better rate. Here, marketers tailor their marketing strategies according to a predicted response.
  • 29. Few Sectors for Niche Marketing Computers Music Fashion Engineering firms Travel and Tourism Health and Fitness
  • 30. Common Niche Marketing Strategies Word-of-Mouth Campaigns (This subtle approach to marketing focuses more on the conversations made among consumers. Unlike most advertising materials, brand exposure in this type of campaign is relatively low key) Targeted Collateral Campaigns (For this type of marketing strategy, consistent brand exposure is highly prioritized. For example, radio stations often play a niche genre of music to cater to a specific group of listeners) Trusted-Messenger/Endorsement Campaigns (In an attempt to reach optimum market impact, many businesses utilize various celebrity marketing strategies to appeal to consumers. These endorsements often generate a lot of attention due to the collaborations made with these personalities and influencers.)
  • 31. Guerilla marketing Guerilla marketing is a set of marketing actions employed to launch a marketing campaign at a fraction of the price it would typically cost. The impact should be, of course, more significant regardless of the low budget invested in it. In other words, guerrilla marketing acts as a magnifying glass for the impact of a marketing campaign.
  • 32. StreetMarketing Street marketing is the more recently coined term for theoutdoorguerrillamarketing type.
  • 33. Ambient Marketing This type refers to marketing practices that help promote a product by interfering with the flow of things. A common practice is when brands place ads at unconventional places to increase brand awareness creatively. With this creative marketing campaign, BIC makes a HUGE statement: “Our razors are sharp enough to mow your lawn!”
  • 34. Ambush Marketing Event ambush marketing is when marketers take advantage of the audience of an event and use it to promote their product or service. Here’s all-time favorite guerrilla marketing example from Rona:
  • 35. Guerrilla Projections This form of marketing involves mastering the installation of hidden projectors onto high-rise buildings at high-traffic streets to generate buzz. For retail stores, this practice will generate additional foot traffic and increase brand awareness. Vueling, for instance, uses this simple guerrilla advertising campaign to intrigue passers-by.
  • 36. Experiential Marketing This incredible guerrilla marketing idea is also known as participation marketing or live marketing. Experiential marketing entails the creation of immersive, pop-up experiences that invite users to “talk, live, breathe” the brand. For Volkswagen, a major automobile company, its unforgettable interactive piano campaign was a major hit.