The second “P” of the marketing mix, Promotion, sounds deceptively simple: a dep
ID: 391423 • Letter: T
Question
The second “P” of the marketing mix, Promotion, sounds deceptively simple: a department store advertises “buy one, get one free” for all women’s shoes, shoppers rush in, and record sales result! In reality, some of the most complex, data-driven decisions are promotion decisions. When a corporate giant like Samsung spends $4.3 billion on advertising, plus $5.3 billion on sales promotion, in a single year (2012), it’s clear that the funds must be spent strategically and results tracked carefully.
Contributing to the complexity of promotion decisions is the rise of social media and Internet marketing. Spending for online advertising topped $100 billion for the first time in 2012, and is expected to reach $163 billion by 2016 (Zenith Optimedia, 2012). These rapid changes in media usage – not to mention new technology that allows consumers to avoid advertising altogether – makes it essential that marketers develop a message that resonates with consumers, and deliver that message across the right assortment of advertising media.
If you noticed the simple equation above, you must be asking yourself “what’s wrong with that math?” The answer is: nothing at all. This is the math of integrated marketing communications – the simple idea that one compelling message, repeated in multiple media , produces better results than two different messages delivered through different media.
The fact is that you interact with media in radically different ways today than you did even five years ago. The advent of mobile devices (and mobile advertising), the ever-expanding influence of social media, the convenience of on-demand entertainment – all of these have contributed to the demise of traditional mass-market media like the “major” television networks, ABC, NBC and CBS.
With the proliferation of ways to deliver a marketing message, it becomes even more important that the message be consistent across each and every media outlet. Any ad on network TV that isn’t also supported with social media, internet advertising, and signage in the retail store simply isn’t working hard enough to deliver your message!
Another critical change in marketing communications is the shift from a one-way monologue (marketer to consumer) to a multi-way conversation (marketer to consumer, consumer to consumer, and consumer back to marketer). It has become a key role of marketing to not only monitor what consumers are saying about the product to each other, but to actually take steps to create positive “buzz” among consumers. No longer do marketers have sole control over the product messages delivered to consumers!
Sean Corcoran of Forrester Research (a leader in online media research) proposes looking at the world of interactive media as having three major categories:
Owned media – a website, Facebook page, YouTube channel, etc. that is created and controlled by a company. These media are used to build ongoing relationships with consumers.
Earned media – this is where “buzz” begins: viral videos, retweets, or blog comments that represent the voice of the consumer.
Paid media – paid searches through search engines like Google, Yahoo or Bing; online banner, button or display ads – all are included in this category.
As online media gains prominence, savvy marketers are making great use of all these communication methods to reach new audiences.
Online ad spending topped $100 billion for the first time in 2012, and is forecast to reach $163 billion by 2016. At the same time, print advertising budgets (newspapers and magazines) fell to just $34 billion in 2012. Clearly, marketers see the benefits of an online presence, which include:
Listening – careful listening to consumers online allows companies to understand their audiences more deeply than any other media.
Building relationships – as mentioned before, online media permits a dialogue between companies and their customers. This creates a more engaged, more committed consumer.
Promotion – online delivery of product information, usage tips, and even coupons can get online customers talking and sharing.
Managing reputations – companies can help to correct misinformation, respond quickly to complaints, and demonstrate their commitment to consumers and communities, all with a minimum of time and cost.
Problem-solving – rather than becoming defensive over negative comments on social media, companies can connect directly with dissatisfied customers and resolve issues before they escalate.
A major challenge for marketers who want to successfully integrate traditional and online media is to stay ahead of online media trends. As quickly as videos go viral and products are “liked,” they can just as quickly disappear. Participation in social media especially means a commitment to daily, if not hourly, attention to the rapid changes that virtually define this category of integrated communication.
Assignment:
In this assignment, you will complete another key section of your marketing plan:
Write a 2-3 page recommendation for the integrated promotional plan necessary to successfully market your health care product or service.
· Describe the audience you hope to reach with the promotion efforts, the primary message to be delivered across all media, and the rationale for your media choices. Take into consideration the geographic reach of your target market, and adapt your media choices accordingly.
· Also, be realistic in cost considerations – do not plan a $2 million ad campaign for a product that will only create $1 million in revenue. The U.S. Small Business Administration suggests spending 7-8% of sales revenue on marketing and advertising each year. So, a new product expected to produce $10 million in sales annually might have a $700,000–$800,000 ad budget for the first year.
· You will need to research the costs of local media and other communications such as public relations or special events to create an estimated budget for your total promotional plan. Much of this information can be found on the websites of local media outlets (search “ad rates”). For purposes of this assignment, estimated costs are acceptable.
· Within this section draft, please demonstrate your grasp of the marketing terminology and concepts related to promotion and advertising. Be sure to include the use of traditional media and interactive/social media that you feel are the best choices to reach your target consumers. Explain why you have chosen these media, using the concepts of market segmentation and consumer buying behavior.
The second “P” of the marketing mix, Promotion, sounds deceptively simple: a department store advertises “buy one, get one free” for all women’s shoes, shoppers rush in, and record sales result! In reality, some of the most complex, data-driven decisions are promotion decisions. When a corporate giant like Samsung spends $4.3 billion on advertising, plus $5.3 billion on sales promotion, in a single year (2012), it’s clear that the funds must be spent strategically and results tracked carefully.
Contributing to the complexity of promotion decisions is the rise of social media and Internet marketing. Spending for online advertising topped $100 billion for the first time in 2012, and is expected to reach $163 billion by 2016 (Zenith Optimedia, 2012). These rapid changes in media usage – not to mention new technology that allows consumers to avoid advertising altogether – makes it essential that marketers develop a message that resonates with consumers, and deliver that message across the right assortment of advertising media.
If you noticed the simple equation above, you must be asking yourself “what’s wrong with that math?” The answer is: nothing at all. This is the math of integrated marketing communications – the simple idea that one compelling message, repeated in multiple media , produces better results than two different messages delivered through different media.
The fact is that you interact with media in radically different ways today than you did even five years ago. The advent of mobile devices (and mobile advertising), the ever-expanding influence of social media, the convenience of on-demand entertainment – all of these have contributed to the demise of traditional mass-market media like the “major” television networks, ABC, NBC and CBS.
With the proliferation of ways to deliver a marketing message, it becomes even more important that the message be consistent across each and every media outlet. Any ad on network TV that isn’t also supported with social media, internet advertising, and signage in the retail store simply isn’t working hard enough to deliver your message!
Another critical change in marketing communications is the shift from a one-way monologue (marketer to consumer) to a multi-way conversation (marketer to consumer, consumer to consumer, and consumer back to marketer). It has become a key role of marketing to not only monitor what consumers are saying about the product to each other, but to actually take steps to create positive “buzz” among consumers. No longer do marketers have sole control over the product messages delivered to consumers!
Sean Corcoran of Forrester Research (a leader in online media research) proposes looking at the world of interactive media as having three major categories:
Owned media – a website, Facebook page, YouTube channel, etc. that is created and controlled by a company. These media are used to build ongoing relationships with consumers.
Earned media – this is where “buzz” begins: viral videos, retweets, or blog comments that represent the voice of the consumer.
Paid media – paid searches through search engines like Google, Yahoo or Bing; online banner, button or display ads – all are included in this category.
As online media gains prominence, savvy marketers are making great use of all these communication methods to reach new audiences.
Online ad spending topped $100 billion for the first time in 2012, and is forecast to reach $163 billion by 2016. At the same time, print advertising budgets (newspapers and magazines) fell to just $34 billion in 2012. Clearly, marketers see the benefits of an online presence, which include:
Listening – careful listening to consumers online allows companies to understand their audiences more deeply than any other media.
Building relationships – as mentioned before, online media permits a dialogue between companies and their customers. This creates a more engaged, more committed consumer.
Promotion – online delivery of product information, usage tips, and even coupons can get online customers talking and sharing.
Managing reputations – companies can help to correct misinformation, respond quickly to complaints, and demonstrate their commitment to consumers and communities, all with a minimum of time and cost.
Problem-solving – rather than becoming defensive over negative comments on social media, companies can connect directly with dissatisfied customers and resolve issues before they escalate.
A major challenge for marketers who want to successfully integrate traditional and online media is to stay ahead of online media trends. As quickly as videos go viral and products are “liked,” they can just as quickly disappear. Participation in social media especially means a commitment to daily, if not hourly, attention to the rapid changes that virtually define this category of integrated communication.
Assignment:
In this assignment, you will complete another key section of your marketing plan:
Write a 2-3 page recommendation for the integrated promotional plan necessary to successfully market your health care product or service.
· Describe the audience you hope to reach with the promotion efforts, the primary message to be delivered across all media, and the rationale for your media choices. Take into consideration the geographic reach of your target market, and adapt your media choices accordingly.
· Also, be realistic in cost considerations – do not plan a $2 million ad campaign for a product that will only create $1 million in revenue. The U.S. Small Business Administration suggests spending 7-8% of sales revenue on marketing and advertising each year. So, a new product expected to produce $10 million in sales annually might have a $700,000–$800,000 ad budget for the first year.
· You will need to research the costs of local media and other communications such as public relations or special events to create an estimated budget for your total promotional plan. Much of this information can be found on the websites of local media outlets (search “ad rates”). For purposes of this assignment, estimated costs are acceptable.
· Within this section draft, please demonstrate your grasp of the marketing terminology and concepts related to promotion and advertising. Be sure to include the use of traditional media and interactive/social media that you feel are the best choices to reach your target consumers. Explain why you have chosen these media, using the concepts of market segmentation and consumer buying behavior.
Explanation / Answer
Integrating Marketing Communication is most important tools for creating an impact on the customers as well as to provide adequate support to the overall cost and capabilities of an organisation.
There are 6 steps in Integrated Marketing planning
By knowing your target audience you can easily implement the Integrated Marketing strategy into your organisation and can provide the most effective way of the integration. Badminton your audience you can easily apply Different techniques as well as communication model into different integrated marketing strategies for taking out a better outcome.
Developing the situation analysis
Best specific term is generally defaulter SWOT analysis for the organisation. By carrying out a SWOT analysis we can easily increase the brands internal strength as well as assessment of the business and can be provided. This specific strategy provide the base and support for the organisational determination of opportunities and threats as well.
Determine the communication objectives
Determination of we can implement the needed strategy into the organisational structure. Determine the goal that what you want to accomplish with her specific Integrated Marketing Communication strategy can increase the overall effectiveness of your plan's term.
Determination of the budget
By determining the overall require budget for the organisation and calculating the available funds can easily help you in determining the correct strategy according to your budget for the betterment of the organisation. This is specific step is necessary to determine the overall size of the applicable strategies.
Applying studies and technique
After selecting the budget one should be easily able to apply the selected strategy and tactics and to the organisational communication. To accomplish the objectives you need you can apply the strategies as well as tactics on specific actions by providing the budget selected.
Evaluation and measurement
After applying detecting and overall steps which we have followed evaluation of the effectiveness of the IMP strategy is very necessary. For looking is each and every step of the plan is working out efficiently and correctly evaluation and measurement of the specific strategic is very necessary. By measuring and evaluating you can easily determine the errors in the specific IMP strategy and can provide a better support for the marketing environment.
Social Media Marketing
Social media works in business to business market place as it provides adequate information about the company background and helps in research for increasing the trustworthiness of a company regarding other companies. It is not very widely used in B2B marketing but still social media plays an important role of providing adequate information about the trustworthiness as well as social standard of the company which could be very beneficial while making deals with the company in terms of social marketing as well as by creating good relations with other company and project in your company as an ethical to avoid any specific consequence of joining or collaborating with any company which is not socially respected.
Some basic Strategies for the social media marketing would be as follows
• Identification of the business goals
• Identification of the ideal customers
• Researching the competition
• Choosing the different channel as well as the advertisement tactics
• Creating content according to the company's profile
• Allocation of budget as well as resources
• Deciding a medium to advertise.
Some main tools that are used for customer segmentation for creating a better impact are as follows.
Behavioral segmentation
Behavioural segmentation can be defined as a marketing strategy with which customer is segmented according to their buying behaviour. It directly divide the overall market in several groups which is decided in form of the knowledge and attitude of the customer towards any specific product.
Spending money as well as buying patterns are observed for proper segmentation of the customer into specific segments. Other Lifestyle factors are also measured for proper segmentation of the customer.
Basically market segmentation is done to increase the overall influencing factors for different type of customers and to design advertisement and the target forecast promotional strategies accordingly.
There are several type of behavioral segmentation some of them are as follows.
Finest example for the behavioral segmentation is the greeting card segments from Archies. Archies create the specified segment for each and every occasion and the buyer decision totally depends on the choice of the customer. Targeted customer is defined with the help of the specific thing regarding the equation. Customers are given the choices of different cards by perfection towards their expression as a gift.
Customer Analytics
Customer analytics has always been a very vital part of a business marketing strategies. By analysing the customers abroad can easily identify their needs and can provide best to the customers. By having an understanding of the customers requirement of brand can grow towards be specific goal for providing best services to their customers as well as regaining the best profits.
Previously the customer analytics was totally analogue and dependent on the human capability which made it a bit inefficient as compared to the today is human resource management system which is called as CRM.
Technological advance customer relationship management systems are Highly Effective and provide an analytical interface which can measure vast amount of information in very short time.
By implementing the customer relationship management in your organisation you can easily organise your customers according to their needs as well as their behaviour analysis. By taking multiple feedback from the customers as well as getting information by different mediums is really helpful in improving the profits for your organisation as well as services for the customers.
Technology has played a vital role in changing the customer analytics process as now the process is most and more efficient than the previous times because of the vast reach of the technology towards the customer.
All in all we can say that social media and digital technology have created experience impact on the overall availability of opportunities for the organisations to influence the custom and provide positive support to the operational capabilities. This type of approach not only enables them to maintain high quality standard in Operation but also provide adequate support to their strategy.
P.S.- please leave a comment if any explanation is needed.