Service Marketing Communication and PROMOTION - Module 6
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What is the relevance of marketing communication? What are the elements of marketing communication mix? What is the purpose and relevance of each element of marketing communication mix?
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Service Marketing Communication and PROMOTION - Module 6
- 1. Marketing of Infrastructure Services and Utilities Module 6 Module ~ 6 Service Marketing Communication and PROMOTION 1
- 2. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING At the end of this module the learning outcomes are 1. What is the relevance of marketing communication? 2. What are the elements of marketing communication mix? 3. What is the purpose and relevance of each element of marketing communication mix? 2
- 3. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING Suggested readings 1. Marketing management by Kotler, chapter 18 & 19, Millineum edition 2. Services Marketing 7th edition by Pearson Publishers, Chapter 7 3
- 4. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING Promotion - How do we make customers aware about the product - How do we communicate? - Problem of integrated marketing communications What is the communication process 4
- 5. Module 6 Marketing of Infrastructure Services and Utilities Marketing Communications Direct Marketing Advertising Sales Promotion Public Relations Personal Selling 5
- 6. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING Communication process - Interactive process - Between company and its customers Every aspect communicates - Product styling - Price - Packaging o Shape, colour - Sales personnel dress and manners - Channel partners behaviour - Office décor - Sales personnel business card - Stationery 6
- 7. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING 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. 7
- 8. Marketing of Infrastructure Services and Utilities Module 6 Steps in Developing Effective Communication 8
- 9. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING 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 9
- 10. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING Advertising can be used to 1. Long term image - Ads of Coke 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 10
- 11. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING 5. Removing misconceptions - AIDS o Causes o Misconceptions o Remove o Present right picture 11
- 12. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING Who carries out advertising? - Advertising department within the marketing department - Most of the work carried out by an outside advertising agency 12
- 13. Marketing of Infrastructure Services and Utilities Module 6 Developing and Managing the Advertising Campaign The Five Ms of Advertising 13
- 14. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING 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. 14
- 15. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING 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 15
- 16. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING Sales promotion – who carries out - Manufacturers - Distributors - Retailers - Non-profit organizations 16
- 17. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING 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 17
- 18. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING Purposes of sales promotion - Introducing new products - Unloading accumulated inventory - Overcoming seasonal slumps - 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. 18
- 19. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING Public relations (PR) Involves a variety of programs designed to promote or protect a company’s image or its individual products 19
- 20. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING Functions of public relations 1. Press relations Presenting news and information about the organization in most positive light 2. Product publicity Sponsoring efforts to publicize specific products 3. Corporate communication Promoting understanding of the organization through internal and external communications 20
- 21. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING 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. 21
- 22. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING 4. Personal selling Face – to –face interaction with one or more prospective purchasers for the purpose of making presentations, answering questions and procuring orders 22
- 23. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING 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 23
- 24. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING 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 24
- 25. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING 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 25
- 26. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING 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. 26
- 27. Marketing of Infrastructure Services and Utilities Module 6 PROMOTION IN MARKETING Major channels for direct marketing 1. Face – to – face selling 2. Direct mail 3. Catalogue marketing 4. Telemarketing 5. On-line marketing 27