MGT301MGT301Principles of Principles of MarketingMarketing

Lecture-38Lecture-38

SummarySummaryof of

Lecture-37Lecture-37

Supervising SalespeopleSupervising SalespeopleMotivating SalespeopleMotivating Salespeople

Evaluating SalespeopleEvaluating Salespeople

Direct MarketingDirect Marketing

Direct MarketingDirect Marketing

Bettertargetingreduceswaste

Bettertargetingreduceswaste

Breaksthrough ad

clutter

Breaksthrough ad

clutter

Advantages of Direct MarketingAdvantages of Direct Marketing

Factors Driving Factors Driving Direct Marketing GrowthDirect Marketing Growth

PredictiveModeling

PredictiveModeling

CustomizedProducts

CustomizedProducts

ConvenienceConvenience

FragmentedMarkets

FragmentedMarkets

ShrinkingMedia Audiences

ShrinkingMedia Audiences

ImmediateSales

ImmediateSales

PriceSensitivity

PriceSensitivity

Forms of Direct MarketingForms of Direct Marketing

Direct Mail

KioskMarketing

OnlineMarketing Telemarketing

Direct-ResponseTV Marketing

Catalog

Face-to-Face Selling

Customer DatabasesCustomer Databases

Identifying Prospects Identifying Prospects

Deciding Which Customers Should Receive a Particular Offer

Deciding Which Customers Should Receive a Particular Offer

Deepening Customer LoyaltyDeepening Customer Loyalty

Reactivating Customer Purchases Reactivating Customer Purchases

How Companies Use Their How Companies Use Their Databases ?Databases ?

Today’s TopicsToday’s Topics

Other Marketing Applications through Other Marketing Applications through Databases Databases

Match profiles to cross-sell other products to Match profiles to cross-sell other products to customerscustomers

Modify marketing messages based on Modify marketing messages based on customer profilescustomer profiles

Reach out to customers to reinforce the Reach out to customers to reinforce the purchase decisionpurchase decision

Find new customersFind new customers

Gain insight into who is purchasing Gain insight into who is purchasing productsproducts

Improve customer serviceImprove customer service

Marketing databases can be costly and time Marketing databases can be costly and time consuming.consuming.

Databases need to be carefully planned.Databases need to be carefully planned.

Consumer privacy issues.Consumer privacy issues.

DisadvantagesDisadvantages

Direct marketing campaigns that use Direct marketing campaigns that use multiple vehicles and multiple stages to multiple vehicles and multiple stages to improve response rates and profits.improve response rates and profits.

Marketers seek toMarketers seek to improve response improve response rates and profits by adding media and rates and profits by adding media and stages that contribute more to stages that contribute more to additional sales than to additional costs. additional sales than to additional costs.

Integrated Direct MarketingIntegrated Direct Marketing

Ethical Issues in Direct MarketingEthical Issues in Direct Marketing

Irritation to

Consumers

Unfairness,Deception,

orFraud

Invasionof

Privacy

Building good relations with the company’s Building good relations with the company’s various publics by obtaining favorable various publics by obtaining favorable publicity, building up a good “corporate publicity, building up a good “corporate image” and handling or heading off image” and handling or heading off unfavorable rumors, stories and eventsunfavorable rumors, stories and events..

Public RelationsPublic Relations

Major functions are:Major functions are:

– Press Relations Press Relations

– Product PublicityProduct Publicity

– Public AffairsPublic Affairs

– LobbyingLobbying

– Investor RelationsInvestor Relations

– DevelopmentDevelopment

Evaluates public attitudes

Evaluates public attitudes

Identifies issues of public concern

Identifies issues of public concern

Executes programs to gain

public acceptance

Executes programs to gain

public acceptance

The Role of Public Relations

The Role of Public Relations

The marketing function thatThe marketing function that

evaluates public attitudes, identifies evaluates public attitudes, identifies

areas within the organization that the areas within the organization that the

public may be interested in, and executes public may be interested in, and executes

a program of action to earn public a program of action to earn public

understanding and acceptance.understanding and acceptance.

Major Public Relations ToolsMajor Public Relations Tools

SpecialEvents

SpecialEvents

Written MaterialsWritten

Materials

Corporate Identity Materials

Corporate Identity Materials SpeechesSpeeches

NewsNews

AudiovisualMaterials

AudiovisualMaterials

Public Service

Activities

Public Service

Activities

Web SiteWeb Site

New product publicityNew product publicity Consumer educationConsumer education Event sponsorshipEvent sponsorship Issue sponsorshipIssue sponsorship Company websitesCompany websites

Other PR ToolsOther PR Tools

Press releasesPress releases Press conferencesPress conferences ExclusivesExclusives InterviewsInterviews Community involvementCommunity involvement

Setting Public Relations ObjectivesSetting Public Relations Objectives

Choosing the Public Relations Messages and Vehicles

Choosing the Public Relations Messages and Vehicles

Implementing the Public Relations PlanImplementing the Public Relations Plan

Evaluating Public Relations ResultsEvaluating Public Relations Results

Major Public Relations DecisionsMajor Public Relations Decisions

Public information about a company, good, Public information about a company, good,

or service appearing in the mass media as or service appearing in the mass media as

a news item.a news item.

PublicityPublicity

Stimulation of demand for a good, Stimulation of demand for a good, service, place, idea, person, or service, place, idea, person, or organization by unpaid placement of organization by unpaid placement of commercially significant news or commercially significant news or favorable media presentations.favorable media presentations.

Publicity is more credible to consumers Publicity is more credible to consumers than any other promotional mix than any other promotional mix element.24element.24Although publicity is generally thought of as not paid for, Although publicity is generally thought of as not paid for, firms incur publicity-related expenses that include the firms incur publicity-related expenses that include the cost of employing marketing personnel assigned to cost of employing marketing personnel assigned to create and submit publicity releases, printing and create and submit publicity releases, printing and mailing costs, and related expenses.mailing costs, and related expenses.

InsertsInserts EnclosuresEnclosures Annual reportsAnnual reports PostersPosters Bulletin boardsBulletin boards ExhibitsExhibits AudiovisualsAudiovisuals Position papersPosition papers SpeechesSpeeches

News releasesNews releases Media kitsMedia kits BookletsBooklets LeafletsLeaflets BrochuresBrochures ManualsManuals BooksBooks LettersLetters

Promotional PublicationsPromotional Publications

Enough for today. . .Enough for today. . .

Integrated Direct MarketingIntegrated Direct Marketing

SummarySummary

Public RelationsPublic Relations

Major functions are:Major functions are:

– Press Relations Press Relations

– Product PublicityProduct Publicity

– Public AffairsPublic Affairs

– LobbyingLobbying

– Investor RelationsInvestor Relations

– DevelopmentDevelopment

Evaluates public attitudes

Evaluates public attitudes

Identifies issues of public concernIdentifies issues of public concern

Executes programs to gain

public acceptance

Executes programs to gain

public acceptance

The Role of Public Relations

The Role of Public Relations

Major Public Relations ToolsMajor Public Relations Tools

SpecialEvents

SpecialEvents

Written MaterialsWritten

Materials

Corporate Identity Materials

Corporate Identity Materials SpeechesSpeeches

NewsNews

AudiovisualMaterials

AudiovisualMaterials

Public Service

Activities

Public Service

Activities

Web SiteWeb Site

Setting Public Relations ObjectivesSetting Public Relations Objectives

Choosing the Public Relations Messages and Vehicles

Choosing the Public Relations Messages and Vehicles

Implementing the Public Relations PlanImplementing the Public Relations Plan

Evaluating Public Relations ResultsEvaluating Public Relations Results

Major Public Relations DecisionsMajor Public Relations Decisions

Public information about a company, good, Public information about a company, good,

or service appearing in the mass media as a or service appearing in the mass media as a

news item.news item.

PublicityPublicity

Review 4th P (Promotion)Review 4th P (Promotion)

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MGT301MGT301Principles of Principles of MarketingMarketing

Lecture-38Lecture-38