l Marketing Mix Strategy A marketing mix strategy is a strategy that has been formulated after taking into consideration

the 4 P's of marketing: product, price, place and promotion. Read on to know more about marketing mix strategies. Launching a product in the market and winning consumers in the initial period is not enough. Sustaining market share even when competitors are on the rise is crucial for long term profit. We all know consumers have short concentration spans. It doesn't take long for a competitor to come and dangle a similar product, thereby snatching away one's consumers. Thus, a company has no time to be complacent. In this world of 'survival of the fittest', one cannot afford to be happy with today's sales rates and relax. Instead one needs to analyze the product life cycle and the marketing mix strategy and come up with ways to keep consumers lured. 12 hour to write Industrial marketing paper Marketing Mix Strategies Marketing mix is a term used to identify the critical ingredients in a business, which will conduce to long term profits. To understand what a marketing mix and mix market is, let us look at an analogy. Consider watercolor painting! An artist uses three primary colors (red, blue and yellow) to derive required shades on the canvas. If he wants green, he simply mixes some blue and yellow together. If he wants dark green, he simply increases the amount of blue and vice versa. Moreover, he blends different shades of paints on the canvas to get a exciting final painting. Read more on marketing strategies. Similarly, a marketing mix is the combination of factors such as the type of product, its price, place of distribution and promotional strategies used. These four factors are popularly called 4P's of marketing and were first introduced to the world in 1960 by McCarthy. Let's delve into each of them and see how they affect the life of a product. Product A 'Product' is anything that satisfies a customer's need. The product may be a tangible commodity like cars, accessories, gadgets, etc. or may be an intangible service like health care service, hotel service, etc. The product is the first P of the marketing mix and is by default the most important aspect of the marketing mix. This is because the product is the bait of the company, without which it cannot get the

fish. A bad, stinky bait will not lead to hooking soda cans. So this explains how crucial a good, innovative and impressive the product has to be. A useless, unimpressive product can never succeed no matter how good the other three P's of the marketing mix are. Thus, companies need to conduct thorough market research, to check if consumers need this product and then need to come up with a product that has a cutting edge above other products sold by competitors. Price Second place in the marketing mix goes to 'Price'. According to the management stalwarts; Philip Kotler and Gary Armstrong, the concept of price refers to the amount of money a consumer has to pay to attain a product. Price determination is not child's play. It is a popular belief that low prices lure large number of customers, thereby resulting in high sales ratios. However, this is not true. Price alone will not attract consumers. Before arriving at a price, the company needs to consider the prices of similar products sold in the market. Moreover, depending on the features provided by the product they will have to raise or lower the price. It doesn't end here! Price administration is also required, wherein the company needs to consider factors like geographic location, times for special sales, distributors, etc. to determine the price at special situations. For example a product in the United States may vary in price from the one sold in India. Depending on the demand for a product at a particular place, price determination can vary. Place The third P in the marketing mix stands for 'Place'. This refers to the methods of distributing finished products from the manufacturing unit to the final consumer. This would involve transportation and storage of goods, till they are availed by the customer. It's all about 'providing the right product to the right place at the right time' with the help of an efficient distribution system. The type of distribution channel chosen by manufacturers will depend on whether they find it convenient to sell it to wholesalers or directly to retailers or consumers via specific dealers. The company will focus on making products available to the consumer as fast as they can. Promotion The fourth P in the marketing mix stands for 'Promotion', which refers to a company's communication line with the end consumer. Just like how having talent is useless till one actually uses it and lets the world see it, same is the case with a product. No matter how good the product is, if it remains in the factory, it will never rope in profits. It

needs to be publicized among people who need it, who will buy it and come back to make more purchases. Various marketing promotion methods can be used to advertise the product and generate awareness. Promotional costs are usually very high in the introduction stage of the product life cycle, however, as the product gains market share, the promotional costs reduce. Later when the product sale begins to decline, it again undergoes vigorous advertising using various marketing tools. http://www.scribd.com/doc/9635134/targets-marketing-stratgy

New product development 1.

Idea Generation is often called the "fuzzy front end" of Ideas for new products can be obtained from basic research using a SWOT analysis (Strengths, Weaknesses, Opportunities & Threats), Market and consumer trends, company's R&D department, competitors, focus groups, employees, salespeople, corporate spies, trade shows, or Ethnographic discovery methods (searching for user patterns and habits) may also be used to get an insight into new product lines or product features. Lots of ideas are being generated about the new product. Out of these ideas many ideas are being implemented. The ideas use to generate in many forms and their generating places are also various. Many reasons are responsible for generation of an idea.

the NPD process

Idea Generation or Brainstorming of new product, service, or store concepts - idea generation techniques can begin

when you have done your OPPORTUNITY ANALYSIS to support your ideas in the Idea Screening Phase (shown in the next development step). 2.

Idea Screening The object is to eliminate unsound concepts prior to devoting resources to them.

The screeners should ask several questions: Will the customer in the target market benefit from the product?

What is the size and growth forecasts of the market segment/target market?

What is the current or expected competitive pressure for the product idea?

What are the industry sales and market trends the product idea is based on?

Is it technically feasible to manufacture the product?

Will the product be profitable when manufactured and delivered to the customer at the target price? 3.

Concept Development and Testing Develop the marketing and engineering details Investigate intellectual property issues and search patent data bases

Who is the target market and who is the decision maker in the purchasing process?

What product features must the product incorporate? What benefits will the product provide? How will consumers react to the product?

How will the product be produced most cost effectively? Prove feasibility through virtual computer aided rendering, and rapid prototyping

What will it cost to produce it?

Testing the Concept by asking a sample of prospective customers what they think of the idea. Usually via Choice Modelling.

4.

Business Analysis Estimate likely selling price based upon competition and customer feedback Estimate sales volume based upon size of market and such tools as the Fourt-Woodlock equation

Estimate profitability and break-even point Beta Testing and Market Testing Produce a physical prototype or mock-up

5.

Test the product (and its packaging) in typical usage situations Conduct focus group customer interviews or introduce at trade show

Make adjustments where necessary

Produce an initial run of the product and sell it in a test market area to determine customer acceptance 6.

Technical Implementation New program initiation Finalize Quality management system Resource estimation Requirement publication Publish technical communications such as data sheets Engineering operations planning Department scheduling Supplier collaboration Logistics plan Resource plan publication Program review and monitoring Contingencies - what-if planning Commercialization (often considered post-NPD)

7.

Launch the product Produce and place advertisements and other promotions

Fill the distribution pipeline with product Critical path analysis is most useful at this stage New Product Pricing Impact of new product on the entire product portfolio Value Analysis (internal & external) Competition and alternative competitive technologies Differing value segments (price, value, and need) Product Costs (fixed & variable) Forecast of unit volumes, revenue, and profit

8.

Phases of product lifecycle and corresponding technologies

Many software solutions have developed to organize and integrate the different phases of a products lifecycle. PLM should not be seen as a single software product but a collection of software tools and working methods integrated together to address either single stages of the lifecycle or connect different tasks or manage the whole process. Some software providers cover the whole PLM range while others a single niche application. Some applications can span many fields of PLM with different modules within the same data model. An overview of the

fields within PLM is covered here. It should be noted however that the simple classifications do not always fit exactly, many areas overlap and many software products cover more than one area or do not fit easily into one category. It should also not be forgotten that one of the main goals of PLM is to collect knowledge that can be reused for other projects and to coordinate simultaneous concurrent development of many products. It is about business processes, people and methods as much as software application solutions. Although PLM is mainly associated with engineering tasks it also involves marketing activities such as Product Portfolio Management (PPM), particularly with regards to new product development (NPD). There are several life-cycle models in industry to consider, but most are rather similar. What follows below is one possible life-cycle model; while it emphasizes hardware-oriented products, similar phases would describe any form of product or service, including non-technical or software-based products: [edit]Phase 1: Conceive Imagine, specify, plan, innovate The first stage in idea is the definition of its requirements based on customer, company, market and regulatory bodies viewpoints. From this specification of the products major technical parameters can be defined. Parallel to the requirements specification the initial concept design work is carried out defining the aesthetics of the product together with its main functional aspects. For the Industrial Design, Styling, work many different media are used from pencil and paper, clay models to 3D CAID Computer-aided industrial design software. In some concepts, the investment of resources into research or analysis-of-options may be included in the conception phase e.g. bringing the technology to a level of maturity sufficent to move to the next phase. However, life-cycle engineering is iterative. It is always possible that something doesn't work well in any phase enough to back up into a prior phase - perhaps all the way back to conception or research. There are many examples to draw from.

[edit]Phase 2: Design Describe, define, develop, test, analyze and validate This is where the detailed design and development of the products form starts, progressing to prototype testing, through pilot release to full product launch. It can also involve redesign and ramp for improvement to existing products as well as planned obsolescence. The main tool used for design and development is CAD Computeraided design. This can be simple 2D Drawing / Drafting or 3D Parametric Feature Based Solid/Surface Modeling. Such software includes technology such as Hybrid Modeling, Reverse Engineering, KBE (Knowledge-Based Engineering), NDT (Nondestructive testing), Assembly construction. This step covers many engineering disciplines including: Mechanical, Electrical, Electronic, Software (embedded), and domain-specific, such as Architectural, Aerospace, Automotive, ... Along with the actual creation of geometry there is the analysis of the components and product assemblies. Simulation, validation and optimization tasks are carried out using CAE (Computer-aided engineering) software either integrated in the CAD package or stand-alone. These are used to perform tasks such as:- Stress analysis, FEA (Finite Element Analysis);Kinematics; Computational fluid dynamics (CFD); and mechanical event simulation (MES). CAQ (Computer-aided quality) is used for tasks such as Dimensional Tolerance (engineering)Analysis. Another task performed at this stage is the sourcing of bought out components, possibly with the aid of Procurement systems. [edit]Phase 3: Realize Manufacture, make, build, procure, produce, sell and deliver Once the design of the products components is complete the method of manufacturing is defined. This includes CAD tasks such as tool design; creation of CNC Machining instructions for the products parts as well as tools to manufacture those parts, using integrated or separate CAM Computer-aided manufacturing software. This will also involve analysis tools for

process simulation for operations such as casting, molding, and die press forming. Once the manufacturing method has been identified CPM comes into play. This involves CAPE (Computer-aided Production Engineering) or CAP/CAPP (Production Planning) tools for carrying out Factory, Plant and Facility Layout and Production Simulation. For example: Press-Line Simulation; and Industrial Ergonomics; as well as tool selection management. Once components are manufactured their geometrical form and size can be checked against the original CAD data with the use of Computer Aided Inspection equipment and software. Parallel to the engineering tasks, sales product configuration and marketing documentation work will be taking place. This could include transferring engineering data (geometry and part list data) to a web based sales configurator and other Desktop Publishing systems. [edit]Phase 4: Service Use, operate, maintain, support, sustain, phase-out, retire, recycle and disposal The final phase of the lifecycle involves managing of in service information. Providing customers and service engineers with support information for repair and maintenance, as well aswaste management/recycling information. This involves using such tools as Maintenance, Repair and Operations Management (MRO) software. It is easy to forget that there is an end-of-life to every product. Whether it be disposal or destruction of material objects or information, this needs to be considered since it may not be free from ramifications. [edit]All phases: product lifecycle Communicate, manage and collaborate None of the above phases can be seen in isolation. In reality a project does not run sequentially or in isolation of other product development projects. Information is flowing between different people and systems. A major part of PLM is the co-ordination of

and management of product definition data. This includes managing engineering changes and release status of components; configuration product variations; document management; planning project resources and timescale and risk assessment. For these tasks graphical, text and metadata such as product bills of materials (BOMs) needs to be managed. At the engineering departments level this is the domain of PDM (Product Data Management) software, at the corporate level EDM (Enterprise Data Management) software, these two definitions tend to blur however but it is typical to see two or more data management systems within an organization. These systems are also linked to other corporate systems such as SCM, CRM, and ERP. Associated with these system are Project Management Systems for Project/Program Planning. This central role is covered by numerous Collaborative Product Development tools which run throughout the whole lifecycle and across organizations. This requires many technology tools in the areas of Conferencing, Data Sharing and Data Translation. The field being Product visualization which includes technologies such as DMU (Digital Mock-Up), Immersive Virtual Digital Prototyping (virtual reality) and Photo realistic Imaging. User skills The broad array of solutions that make up the tools used within a PLM solution-set (e.g., CAD, CAM, CAx...) were initially used by dedicated practitioners who invested time and effort to gain the required skills. Designers and engineers worked wonders with CAD systems, manufacturing engineers became highly skilled CAM users while analysts, administrators and managers fully mastered their support technologies. However, achieving the full advantages of PLM requires the participation of many people of various skills from throughout an extended enterprise, each requiring the ability to access and operate on the inputs and output of other participants.

Despite the increased ease of use of PLM tools, cross-training all personnel on the entire PLM tool-set has not proven to be practical. Now, however, advances are being made to address ease of use for all participants within the PLM arena. One such advance is the availability of role specific user interfaces. Through Tailorable UIs, the commands that are presented to users are appropriate to their function and expertise. [edit]Product development processes and methodologies A number of established methodologies have been adopted by PLM and been further advanced. Together with PLM digital engineering techniques, they have been advanced to meet company goals such as reduced time to market and lower production costs. Reducing lead times is a major factor as getting a product to market quicker than the competition will help with higher revenue and profit margins and increase market share. These techniques include:

Concurrent engineering workflow Industrial Design Bottom-up design Top-down design Front loading design workflow Design in context Modular design NPD New product development DFSS Design for Six Sigma DFMA Design for manufacture / assembly Digital simulation engineering Requirement driven design Specification managed validation Configuration Management

[edit]Concurrent engineering workflow Concurrent engineering (British English: simultaneous engineering) is a workflow that, instead of working sequentially through stages, carries out a number of tasks in parallel. For example: starting tool design before the detailed designs of the product are finished, or starting on detail design solid models before the concept design surfaces models are complete. Although this does not necessarily reduce the amount of manpower required for a project, it does drastically reduce lead times and thus time to market. Feature-based CAD systems have for many years allowed the simultaneous work on 3D solid model and the 2D drawing by means of two separate files, with the drawing looking at the data in the model; when the model changes the drawing will associatively update. Some CAD packages also allow associative copying of geometry between files. This allows, for example, the copying of a part design into the files used by the tooling designer. The manufacturing engineer can then start work on tools before the final design freeze; when a design changes size or shape the tool geometry will then update. Concurrent engineering also has the added benefit of providing better and more immediate communication between departments, reducing the chance of costly, late design changes. It adopts a problem prevention method as compared to the problem solving and re-designing method of traditional sequential engineering. [edit]Bottom-up design Bottom-up design (CAD Centric) occurs where the definition of 3D models of a product starts with the construction of individual components. These are then virtually brought together in subassemblies of more than one level until the full product is digitally defined. This is sometimes known as the review structure showing what the product will look like. The BOM contains all of the physical (solid) components; it may (but not also) contain other items required for the final product BOM such as paint, glue, oil and other materials commonly described as 'bulk items'. Bulk

items typically have mass and quantities but are not usually modelled with geometry. Bottom-up design tends to focus on the capabilities of available real-world physical technology, implementing those solutions which this technology is most suited to. When these bottom-up solutions have real-world value, bottom-up design can be much more efficient than top-down design. The risk of bottom-up design is that it very efficiently provides solutions to low-value problems. The focus of Bottom-Up design is "what can we most efficiently do with this technology?" rather than the focus of Top-Down which is "What is the most valuable thing to do?" [edit]Top-down design Top-Down design is focused on high-level functional requirements, with relatively less focus on existing implementation technology. A top level spec is decomposed into lower and lower level structures and specifications, until the physical implementation layer is reached. The risk of a top-down design is that it will not take advantage of the most efficient applications of current physical technology, especially with respect to hardware implementation. Top-Down design sometimes results in excessive layers of lowerlevel abstraction and inefficient performance when the Top-Down model has followed an abstraction path which does not efficiently fit available physical-level technology. The positive value of TopDown design is that it preserves a focus on the optimum solution requirements. A Part-Centric Top-down design may eliminate some of the risks of Top-Down design. This starts with a layout model, often a simple 2D sketch defining basic sizes and some major defining parameters. Industrial Design, brings creative ideas to product development. Geometry from this is associatively copied down to the next level, which represents different sub-systems of the product. The geometry in the sub-systems is then used to define more detail in levels below. Depending on the complexity of the product, a number of levels of this assembly are created until the

basic definition of components can be identified, such as position and principal dimensions. This information is then associatively copied to component files. In these files the components are detailed; this is where the classic bottom-up assembly starts. The top down assembly is sometime known as a control structure. If a single file is used to define the layout and parameters for the review structure it is often known as a skeleton file. Defense engineering traditionally develops the product structure from the top down. The system engineering process[10] prescribes a functional decomposition of requirements and then physical allocation of product structure to the functions. This top down approach would normally have lower levels of the product structure developed from CAD data as a bottom up structure or design. [edit]Both-Ends-Against-The-Middle design Both-Ends-Against-The-Middle (BEATM) design is a design process that endeavors to combine the best features of Top-Down design, and Bottom-Up design into one process. A BEATM design process flow may begin with an emergent technology which suggests solutions which may have value, or it may begin with a top-down view of an important problem which needs a solution. In either case the key attribute of BEATM design methodology is to immediately focus at both ends of the design process flow: a topdown view of the solution requirements, and a bottom-up view of the available technology which may offer promise of an efficient solution. The BEATM design process proceeds from both ends in search of an optimum merging somewhere between the top-down requirements, and bottom-up efficient implementation. In this fashion, BEATM has been shown to genuinely offer the best of both methodologies. Indeed some of the best success stories from either top-down or bottom-up have been successful because of an intuitive, yet unconscious use of the BEATM methodology. When employed consciously, BEATM offers even more powerful advantages.

[edit]Front loading design and workflow Front loading is taking top-down design to the next stage. The complete control structure and review structure, as well as downstream data such as drawings, tooling development and CAM models, are constructed before the product has been defined or a project kick-off has been authorized. These assemblies of files constitute a template from which a family of products can be constructed. When the decision has been made to go with a new product, the parameters of the product are entered into the template model and all the associated data is updated. Obviously predefined associative models will not be able to predict all possibilities and will require additional work. The main principle is that a lot of the experimental/investigative work has already been completed. A lot of knowledge is built into these templates to be reused on new products. This does require additional resources up front but can drastically reduce the time between project kick-off and launch. Such methods do however require organizational changes, as considerable engineering efforts are moved into offline development departments. It can be seen as an analogy to creating a concept car to test new technology for future products, but in this case the work is directly used for the next product generation. [edit]Design in context Individual components cannot be constructed in isolation. CAD; CAiD models of components are designed within the context of part or all of the product being developed. This is achieved using assembly modelling techniques. Other components geometry can be seen and referenced within the CAD tool being used. The other components within the sub-assembly, may or may not have been constructed in the same system, their geometry being translated from other CPD formats. Some assembly checking such as DMU is also carried out using Product visualization software. [edit]Product and process lifecycle management (PPLM)

Product and process lifecycle management (PPLM) is an alternate genre of PLM in which the process by which the product is made is just as important as the product itself. Typically, this is the life sciences and advanced specialty chemicals markets. The process behind the manufacture of a given compound is a key element of the regulatory filing for a new drug application. As such, PPLM seeks to manage information around the development of the process in a similar fashion that baseline PLM talks about managing information around development of the product. [edit]Market size Total spending on PLM software and services was estimated in 2006 to be above $15 billion a year, but it is difficult to find any two market analysis reports that agree on figures.[11][12]Market growth estimates are in the 10% area.

Consumer sales promotion techniques Price deal: A temporary reduction in the price, such as happy hour Loyal Reward Program: Consumers collect points, miles, or credits for purchases and redeem them for rewards. Two famous examples arePepsi Stuff and AAdvantage. Cents-off deal: Offers a brand at a lower price. Price reduction may be a percentage marked on the package. Price-pack deal: The packaging offers a consumer a certain percentage more of the product for the same price (for example, 25 percent extra). Coupons: coupons have become a standard mechanism for sales promotions. Loss leader: the price of a popular product is temporarily reduced in order to stimulate other profitable sales Free-standing insert (FSI): A coupon booklet is inserted into the local newspaper for delivery. On-shelf couponing: Coupons are present at the shelf where the product is available. Checkout dispensers: On checkout the customer is given a coupon based on products purchased. On-line couponing: Coupons are available online. Consumers print them out and take them to the store.

Mobile couponing: Coupons are available on a mobile phone. Consumers show the offer on a mobile phone to a salesperson for redemption. Online interactive promotion game: Consumers play an interactive game associated with the promoted product. See an example of the Interactive Internet Ad for tomato ketchup. promotional tools Promotion is one of the four elements of marketing mix (product, price, promotion, place). It is the communication link between sellers and buyers for the purpose of influencing, informing, or persuading a potential buyer's purchasing decision.[1] The following are two types of promotion: 1. Above the line promotion: Promotion in mass media (e.g. TV, radio, newspapers, internet, mobile phones, and, historically, illustrated songs) in which the advertiser pays an advertising agency to place the advertisement 2. Below the line promotion: All other promotion. Much of this is intended to be subtle enough for the consumer to be unaware that promotion is taking place. E.g. sponsorship, product placement, testimonials, sales promotion, merchandising, direct mail, personal selling, public relations, trade shows The specification of five elements creates a promotional mix or promotional plan. These elements are personal selling, advertising, sales promotion, direct marketing, and publicity.[2] A promotional mix specifies how much attention to pay to each of the five subcategories, and how much money to budget for each. A promotional plan can have a wide range of objectives, including: sales increases, new product acceptance, creation of brand equity, positioning, competitive retaliations, or creation of a corporate image. Fundamentally, however there are three basic objectives of promotion. These are:[3] 1. To present information to consumers as well as others 2. To increase demand 3. To differentiate a product. There are different ways to promote a product in different areas of media. Promoters use internet advertisement, special events, endorsements, and newspapers to advertise their product. Many times with the purchase of a product there is an incentive like discounts, free items, or a contest. This is to increase the sales of a given product. The term "promotion" is usually an "in" expression used internally by the marketing company, but not normally to the public or the market - phrases like "special offer" are more common. An example of a fully integrated, long-term, large-scale promotion are My Coke Rewards and Pepsi Stuff. The UK version of My Coke Rewards is Coke Zone

TOOLS OF PROMOTION Day in and day out, people are bombarded with messages. There is no way to evaluate and act on all these messages so we pick and choose between them. This makes the choice of promotional tools extremely important.

There are four main promotional tools: advertising, personal selling, sales promotion, and publicity. The following table gives examples of each tool along with advantages and disadvantages of each.
Table 1. (Vis. 1) Examples, Advantages and Disadvantages of Promotional Tools DEVELOPING YOUR PROMOTIONAL STRATEGY Developing an effective promotional strategy demands more than just being aware of the tools of promotion. Promotion is an ongoing process that requires much planning. A strategy is simply a careful plan. The effectiveness of your strategy depends on more than how much money you put into it. Effectiveness results from the thoroughness of your planning and the consistency with which you carry it out. The following nine steps outline an easy to follow procedure for developing an effective promotional strategy. STEP 1-FIGURING OUT WHO YOU ARE Establishing Your Identity When people talk about developing a promotional image, they often forget about first developing their identity. Identity and image are not synonymous. Identity is what you really are. Image is how others see you. This is an important distinction because how you see yourself may not be how you are seen by the public. To manage how others see you, first clarify your identity. You can then project it in such a strong way that identity and image are the same. To accomplish this step, make a list of all your characteristics including such things as facilities, location, price, and attractions (see

Extension bulletin E-1957 to learn how to do this). STEP 2-DECIDING ON YOUR PRODUCT Developing a Theme The list of characteristics that make up your identity will be a long one. You cannot and should not promote all of these characteristics. You need to decide on what part of your identity you want to promote. This will be the theme for your promotional strategy. A theme is the one main idea, or message you want to communicate with your promotional efforts. The theme must be intimately tied to your identity. To determine a theme, ask yourself the following questions. "What is there about my facility that would be appealing to visitors?" 'What can I tell them that would make them want to come and visit us?" "What makes my facility unique?" STEP 3-DECIDING WHO YOU WANT TO ATTRACT Identifying Your Target Audience Deciding on your identity and theme is the foundation for your strategy. Build on this foundation by deciding on who you want to reach. You must decide on and contact your target audience, those people you want to reach with your information. Do you want to attract local or non-local visitors? Repeat or first-time visitors? Families or singles? Young or old? Deciding on who you want to attract is important. To reach your target audience, you must identify their needs and how they obtain information about recreation and tourism opportunities. (see Extension bulletin E-1940 for more on this topic). Different groups have different needs. Senior citizens have different needs than do young adults. Handicappers have different needs than do non-handicappers. When you are developing your message you should address some of these needs. Different groups also get information from different sources. Some groups get information through informal

sources, such as past visitors or local people. Others go through formal sources such as travel agencies. Some choose personal sources, such as friends or neighbors, while others will go through non-personal sources, such as reading every brochure they see. Identifying these sources of information is important so that you can find your target audience and distribute your information directly to them. STEP 4-WHAT DO YOU WANT TO ACCOMPLISH WITH YOUR STRATEGY Establishing Your Objectives Before going any further, decide what you want to accomplish with your promotional strategy. This means establishing objectives that are very specific based on what you want the outcome of your strategy to be. Objectives should have the following characteristics: 1. They should identify who you are trying to reach. 2. They should state how much change you want to accomplish through your promotion. 3. They should state how much time it will take to accomplish your objectives. 4. They should state what you want people to do because of your promotion. Some examples of objectives: * Increase visitation of tent campers by 10% over the next three years. * Increase Detroit residents' awareness of the charter-boat industry by 10% this year. * Increase total sales to out-of-state travelers by 25% this year. * Increase total roadside farm produce sales by 15% over the growing season. STEP 5-ACTUALLY GETTING YOUR MESSAGE ACROSS

Developing Your Message Content An important part of your content is your theme. Do not try to get across two or more ideas in the same message. This does not work, and will hinder your message. All information in your message must center on your theme. Your theme has to bind your message together. Keeping the content centered on your theme will also help limit the amount of information you present. This will help keep your message short and to the point. There are two types of information that you can use: informative and persuasive. Informative messages tell people something without regard to their response. Persuasive information tries to convince people to do something. There are also two types of persuasive information. The first type, rational persuasive information, uses logical arguments based on supportive evidence. The second type, motivational persuasive information, appeals to people's needs and desires. STEP 6-DECIDING HOW TO SAY IT Developing Your Message Structure Putting your message together is called message structure. How it is put together depends on what type of information you are using. For persuasive messages, it will depend on whether you are using rational or motivational information. A rational message has three parts. The first part is the claim of the message. This is what you want people to believe is true of you. The second part is the evidence, or facts, that you use to support your claim. The third part is the warrant. The warrant is a general hypothetical statement that ties the evidence and the claim together. It is the "glue" that holds the message together and helps it make sense (Vis. 2). With rational messages, you need to decide if you want to use a one-sided argument or a two-sided argument. A one-sided argument only presents the pro side of the argument, while a two-sided argument presents both sides.

Which one you use will depend on which one meets your needs and the type of audience. Generally, one-sided arguments are better with audiences already favorable to your message. Two-sided arguments are best with audiences who are opposed to your argument, are better educated or have already been exposed to counter arguments. For motivational messages, there are two parts: the claim and the appeal. Again, the claim is what you want people to believe is true of you. The appeal is a statement aimed at your audience's particular needs or desires to motivate them to do what you want. (Vis. 2) When using rational or motivational messages, make sure the promotional tool you are using is credible with your audience. This is especially true if you are using a spokesperson. Your spokesperson must be competent and trustworthy in the eyes of your audience. He/she should be likeable and appear to fit in with your message. Informational messages are different from persuasive messages. For them, organization is the key. Since this is an informative message, all your information needs to be presented in a logical and orderly manner. Finally, whether using informative or persuasive messages, there is one problem that always ariseswhere to place your punchline, the key to your message. This will depend on the type of audience you have. If you have a captive audience and a lot of time, place it at the end of your message as a climax. If your audience is non-captive, place the punchline at the beginning of your message to get and keep their attention. STEP 7-DECIDING HOW TO PRESENT IT Developing Your Message Format Formatting your message is the next step. Format refers to how your message will appear to people when you distribute it. The media or the method used to convey your message will determine your format. The number of types and combinations of media available to use are almost endless. You are only limited by your

imagination. Examples include television, radio, employees, community calendars, and newspaper feature or human interest stories. A good way to decide what you want to use is to look at what others are already using. Take any ideas that you like and adapt them to your format, but do not directly copy them and make sure that you are adapting the ideas to your needs. Second, learn the good and bad points of various media, including their limitations. Find out what best suits your needs and what will allow you to meet your audience's needs. Finally, check to see what will be most cost-effective (see Extension bulletin E-2005). Once you select the media you want to use, the actual message must be put together. Pay close attention to the nonverbal aspects of the message. Things such as graphics, color selection, type style and size will have a big effect on how people perceive your message. It is important that these things relate to your theme, message, and audience for the maximum effect. Finally, your message must be united. Each part of your message must relate directly to your theme. STEP 8-TAKING YOUR MESSAGE TO YOUR AUDIENCE Choosing Your Delivery System Most businesspeople in the tourism industry would agree that coming up with a good promotional message is only half the battle. The other half is getting your message to your target audience. Thus, the delivery system you choose is very important. A delivery system is how you distribute your message and your media. There are two types of delivery systems. The first type is the formal delivery system, one that you plan to use or in which you have control over the content of the message, such as television, radio, newspapers, newsletters, and catalogs. The second type is the informal delivery system. An informal delivery system is one that you do not have control over, such as word-of-mouth, friends, family members, and repeat visitors. Whether formal or informal, each system is composed of a

message and the media that is used to present it. Many times your choice of media goes with your delivery system (promotional ads in newspapers, for instance). With some forms of media, such as brochures and exhibits, this is not always the case. Many times people overlook how they intend to distribute their brochure or display their exhibit. Know in advance how you will use these items. Overlooking how you intend to distribute any kind of media can cause it to become ineffective. Finally, different audiences obtain information from different media. A thorough understanding of what media your target audience uses is essential to distribute your message effectively. (See Extension bulletin E-1940). STEP 9-HOW IS IT GOING? Evaluation Creating and implementing a promotional strategy can drain your resources if you do not regularly evaluate the strategy to see how effectively it is working. This is where your objectives come in handy. To evaluate your strategy you need only to determine whether you have made progress in meeting your established objectives. Generally, it is good to wait one year after implementing your strategy to see if it works because promotional effects can be cumulative. Always be ready to make changes.

Industrial Marketing Plan Template

Executive Summary Summary Table of Contents Current Situation Market Situation Market Size (units, dollars, shares) over past years Typical growth Market and Geographical segments Industrial segments Customer needs and perceptions Buying behaviour trends Product Situation Sales Prices

Contribution margins & net profits ..past years.table Benefits: why do customers buy this product ? Competitive situation Major Competitors identified Size of each competitor Goals Market Share Product Quality Marketing strategies Distribution Situation Largest customers Now In 2 y / 5 y Why customers buy from us Supply Chain Maps Suppliers Manufacturer (us) customers
Industrial Marketing Plan Template Page 2 18/02/04

Critical planning information Inventory Holdings along the supply chain Macroenvironment Situation Broad trends Demographic Economic Technological Political / Legal Social / Cultural Opportunity and Issue Analysis Opportunities and Threats facing the business List of Opportunitiesbrainstorm, affinity, pareto List of Threats Analysis: what can a given opportunity be developed to ? Priority!!! What do we really need to take advantage of? What risk does a given threat pose to this market ? Rankingwhich ones do we really need to worry about ? What do our customers think of us in this business? Strengths and Weaknesses of the product What are the products strengths ? Why ? What do the customers say about the product? Data ? How secure are the strengths ? (eg patent protected) What are the products weaknesses? Do they need to be improved? Any fatal flaws? ie must improve now Eg key component not working (cf GEs CAT scanners) Eg technology being superseded Cost of improvement? Cost/ benefit analysis / chart of improvements Issues Define issues from Strengths / Weaknesses

Prioritise Issues Which business should we be in? Which product line 4P: product, distribution, price and promotion policies the same or change? Advertising and promotion
Industrial Marketing Plan Template Page 3 18/02/04

R+D..does the product need it? Priority / Benefits? Objectives Financial Objectives ROI Prosper Profits Succeed Cash Flow Survive Marketing Objectives Sales $$ , units needed to meet financial objectives? Price meet costs, desired profit, projections Market share, what advertising, distribution needed to get there? Marketing Strategy Target Market Positioning Product Line Price Distribution Outlets Sales Force Service Advertising Sales Promotion Research & Development Marketing Research Action Programs Timing of programs Timelines
Industrial Marketing Plan Template Page 4 18/02/04

Projected Profit and Loss Statements Year 1 Year 2 Year 3 Controls Contingency Plan Potential Problem Analysis

Segmentation, Targeting, and Positioning

Segmentation, targeting, and positioning together comprise a three stage process. We first

(1) determine which kinds of customers exist, then (2) select which ones we are best off trying to serve and, finally, (3) implement our segmentation by optimizing our products/services for that segment and communicating that we have made the choice to distinguish ourselves that way.

Segmentation involves finding out what kinds of consumers with different needs exist. In the auto market, for example, some consumers demand speed and performance, while others are much more concerned about roominess and safety. In general, it holds true that You cant be all things to all people, and experience has demonstrated that firms that specialize in meeting the needs of one group of consumers over another tend to be more profitable. Generically, there are three approaches to marketing. In the undifferentiated strategy, all consumers are treated as the same, with firms not making any specific efforts to satisfy particular groups. This may work when the product is a standard one where one competitor really cant offer much that another one cant. Usually, this is the case only for commodities. In the concentrated strategy, one firm chooses to focus on one of several segments that exist while leaving other segments to competitors. For example, Southwest Airlines focuses on price sensitive consumers who will forego meals and assigned seating for low prices. In contrast, most airlines follow the differentiated strategy: They offer high priced tickets to those who are inflexible in that they cannot tell in advance when they need to fly and find it impractical to stay over a Saturday. These travelersusually business travelerspay high fares but can only fill the planes up partially. The same airlines then sell some of the remaining seats to more price sensitive customers who can buy two weeks in advance and stay over. Note that segmentation calls for some tough choices. There may be a large number of variables that can be used to differentiate consumers of a given product category; yet, in practice, it becomes impossibly cumbersome to work with more than a few at a time. Thus, we need to determine which variables will be most useful in distinguishing different groups of consumers. We might thus decide, for example, that the variables that

are most relevant in separating different kinds of soft drink consumers are (1) preference for taste vs. low calories, (2) preference for Cola vs. non-cola taste, (3) price sensitivity willingness to pay for brand names; and (4) heavy vs. light consumers. We now put these variables together to arrive at various combinations. Several different kinds of variables can be used for segmentation.

Demographic variables essentially refer to personal statistics such as income, gender, education, location (rural vs. urban, East vs. West), ethnicity, and family size. Campbells soup, for instance, has found that Western U.S. consumers on the average prefer spicier soupsthus, you get a different product in the same cans at the East and West coasts. Facing flat sales of guns in the traditional male dominated market, a manufacturer came out with the Lady Remmington, a more compact, handier gun more attractive to women. Taking this a step farther, it is also possible to segment on lifestyle and values. Some consumers want to be seen as similar to others, while a different segment wants to stand apart from the crowd. Another basis for segmentation is behavior. Some consumers are brand loyal i.e., they tend to stick with their preferred brands even when a competing one is on sale. Some consumers are heavy users while others are light users. For example, research conducted by the wine industry shows that some 80% of the product is consumed by 20% of the consumerspresumably a rather intoxicated group. One can also segment on benefits sought, essentially bypassing demographic explanatory variables. Some consumers, for example, like scented soap (a segment likely to be attracted to brands such as Irish Spring), while others prefer the clean feeling of unscented soap (the Ivory segment). Some consumers use toothpaste primarily to promote oral health, while another segment is more interested in breath freshening.

In the next step, we decide to target one or more segments. Our choice should generally depend on several factors. First, how well are existing segments served by other manufacturers? It will be more difficult to appeal to a segment that is already well served than to one whose needs are not currently being served well. Secondly, how large is the segment, and how can we expect it to grow? (Note that a downside to a large, rapidly growing segment is that it tends to attract competition). Thirdly, do we have strengths as a company that will help us appeal particularly to one group of consumers? Firms may already have an established reputation. While McDonalds has a great reputation for fast, consistent quality, family friendly food, it would be difficult to convince consumers that McDonalds now offers gourmet food. Thus, McDs would probably be better off targeting families in search of consistent quality food in nice, clean restaurants. Positioning involves implementing our targeting. For example, Apple Computer has chosen to position itself as a maker of user-friendly computers. Thus, Apple has done a lot through its advertising to promote itself, through its unintimidating icons, as a computer for non-geeks. The Visual C software programming language, in contrast, is aimed a techies.

Michael Treacy and Fred Wiersema suggested in their 1993 book The Discipline of Market Leaders that most successful firms fall into one of three categories:

Operationally excellent firms, which maintain a strong competitive advantage by maintaining exceptional efficiency, thus enabling the firm to provide reliable service to the customer at a significantly lower cost than those of less well organized and well run competitors. The emphasis here is mostly on low cost, subject to reliable performance, and less value is put on customizing the offering for the specific customer. Wal-Mart is an example of this discipline. Elaborate logistical designs allow goods to be moved at the lowest cost, with extensive systems predicting when specific quantities of supplies will be needed. Customer intimate firms, which excel in serving the specific needs of the individual customer well. There is less emphasis on efficiency, which is sacrificed for providing more precisely what is wanted by the customer. Reliability is also stressed. Nordstroms and IBM are examples of this discipline. Technologically excellent firms, which produce the most advanced products currently available with the latest technology, constantly maintaining leadership in innovation. These firms, because they work with costly technology that need constant refinement, cannot be as efficient as the operationally excellent firms and often cannot adapt their products as well to the needs of the individual customer. Intel is an example of this discipline.

Treacy and Wiersema suggest that in addition to excelling on one of the three value dimensions, firms must meet acceptable levels on the other two. Wal-Mart, for example, does maintain some level of customer service. Nordstroms and Intel both must meet some standards of cost effectiveness. The emphasis, beyond meeting the minimum required level in the two other dimensions, is on the dimension of strength. Repositioning involves an attempt to change consumer perceptions of a brand, usually because the existing position that the brand holds has become less attractive. Sears, for example, attempted to reposition itself from a place that offered great sales but

unattractive prices the rest of the time to a store that consistently offered everyday low prices. Repositioning in practice is very difficult to accomplish. A great deal of money is often needed for advertising and other promotional efforts, and in many cases, the repositioning fails. To effectively attempt repositioning, it is important to understand how ones brand and those of competitors are perceived. One approach to identifying consumer product perceptions is multidimensional scaling. Here, we identify how products are perceived on two or more dimensions, allowing us to plot brands against each other. It may then be possible to attempt to move ones brand in a more desirable direction by selectively promoting certain points. There are two main approaches to multi-dimensional scaling. In the a priori approach, market researchers identify dimensions of interest and then ask consumers about their perceptions on each dimension for each brand. This is useful when (1) the market researcher knows which dimensions are of interest and (2) the customers perception on each dimension is relatively clear (as opposed to being made up on the spot to be able to give the researcher a desired answer). In the similarity rating approach, respondents are not asked about their perceptions of brands on any specific dimensions. Instead, subjects are asked to rate the extent of similarity of different pairs of products (e.g., How similar, on a scale of 1-7, is Snickers to Kitkat, and how similar is Toblerone to Three Musketeers?) Using a computer algorithms, the computer then identifies positions of each brand on a map of a given number of dimensions. The computer does not reveal what each dimension meansthat must be left to human interpretation based on what the variations in each dimension appears to reveal. This second method is more useful when no specific product dimensions have been identified as being of particular interest or when it is not clear what the variables of difference are for the product category.
The marketing Information systems: Trend in the marketing environment are picked up and analyzed through four subsystems making up the marketing information systems the internal accounting systems, marketing intelligence system, marketing research systems, and analytical systems. The information flows to marketing managers to help them in their marketing analysis planning, implementation, and control. Their marketing decision and communication then flow back to the market. Internal Accounting System: The most basic information systems used by marketing executives is the internal accounting system. it is the system that report orders, sales, inventory levels, receivables, payables, and so on. By analyzing this information, marketing managers can spot important opportunities and problems. The trends in sales during different seasons can be analysed. They can also formulate a strategy to overcome that dip in sales during that season. Inventory level reports are very useful for the managers as they know what level of inventory to maintain at different times of the year, instead of stocking the raw materials of related products in the warehouse which is only going to occupy unwanted space and not fetch them any dividends. This inturn affects the receivables and payables to a large extent. Managers can properly formulate and plan accordingly to the MIS report on these factors. The order Shipping Billing Cycle:

The heart of the accounting system is the order shipping billing cycle. Sales representatives, dealers and consumers dispatch orders to the firm. The order department prepares, multi copy invoices and sends them to various departments. Out - of stock items are ordered back. Shipped items are accompanied by shipping and billing documents that are also multi copied and sent to various departments. The company wants to carry out these steps quickly and accurately. Sales representative are supposed to send in their orders every evening. in some cases immediately. The order department is designed to process them quickly. The ware house is set up to send the goods out as soon as possible. And bills should go out as soon as possible. The computer is harnessed to expedite the order shipping cycle. Ringer and Howell reported a company study that resulted in reducing the time between the receipt and execution of an order from sixty two hours to thirty hours with out any change is costs. Improving the timeliness of sales Reports: Marketing executives reports their sales immediately after the sales have taken place. In consumer food companies, ware house withdrawal reports are issued with fair regularity, but actual retail purchase reports take about two months, based on special store or consumer panel audits. In the auto industry, executives wait about ten days for their sales report : if sales down , they will have to work harder and face ten sleepless night until the next report. Many marketing executives complain that sales arent reported fast enough in their company.

Designing a User Oriented Reports System: In Designing an advanced sales information system, the company should avoid certain pitfalls. Firstly they should engage themselves in creating a system that does not deliver too much information. The managers arrive at their office each morning to face voluminous sales statistics, which delivers information that is too complicated. Current managers may end up over reacting to minor sales declines. Marketing Intelligence Systems: While the internal accounting systems supplies executive with happenings data. We define the marketing intelligence systems as the set of procedures and sources used by executives to obtain their everyday information about pertinent developments in the marketing environment. Executive scan the environment in four ways : Undirected Viewing: General exposure to information where the manager has no specific purpose in mind. Conditioned viewing: Directed exposure, not involving active search, to more or less clearly identified area or type of information. Informal search: A relatively limited and unstructured efforts to obtain specific information or information for a specific purpose. Formal search: A deliberate efforts usually following a pre-established plan, procedure, or methodology to secure specific information or information relating to a specific issue . Marketing executive carry on marketing intelligence mostly on their own by reading books, newspaper, and trade publications: taking to customers, suppliers, distributors, and other outsiders: yet this system is quite casual and valuable information may be lost or come In too late. Executive may learn of a competitive move, a new customer need, or a dealer problem too

late to make the best response. This might in turn affect the sales turnover as the dealers requirements are not met on time. Additional Steps to improve the quality and quantity: They train and motivate the sales force to spot and report new developments, Sales representatives are the companys eye and ears . They are in an excellent position to pick up information missed by other means. Yet they are busy and often fail to pass on significant information. The company must sell its sales force. To sell its sales force effectively, they have to be well trained to face the competitive environment. To make them realize their own potential, the companies must motivate their employees which inturn would result in achieving more business to the company. The company motivates distributors, retails, and other allies to pass along important intelligence. The company purchase information from outside intelligence suppliers. Clipping services are hired t report on competitors advertising expenditures and media mixes. It has established information centers to collect and circulate marketing intelligence. The staff scans major publications, abstracts relevant news, and disseminates a news bulletin to marketing managers. It develops a file of relevant information. The staff assists managers in evaluating new information. These services greatly of information available to marketing managers.

Answer: 1)helps to recognise market trends: MIS helps managers to recognise market trends, in respect of price, designs of products, fashions, etc. timely information of the market trend enables the firm to follow the right course of action. 2)facilitates marketing planning and control: effective marketing planning is required in terms of product planning, pricing, promotion and distribution. such planning will be possible only if the company is possessing adequate and relevant information. this is also possible through MIS. 3)quick supply of information: today a firm has to take quick decisions. for this purpose it requires fast flow of information which is facilitated by a properly designed MIS. 4)improves quality of decision making: a properly designed MIS supplies reliable and relevant information. with the help of computers and other data processing equipments, the marketing managers can make the right decisions at the rught time. Read more: http://wiki.answers.com/Q/What_are_the_benefits_of_marketing_information_system#ix zz1OvuqJgo7

The micro-environment
This environment influences the organization directly. It includes suppliers that deal directly or indirectly, consumers and customers, and other local stakeholders. Micro tends to suggest small, but this can be misleading. In this context, micro describes the relationship between firms and the driving forces that control this relationship. It is a more local relationship, and the firm may exercise a degree of influence.

The macro-environment
This includes all factors that can influence and organization, but that are out of their direct control. A company does not generally influence any laws (although it is accepted that they could lobby or be part of a trade organization). It is continuously changing, and the company needs to be flexible to adapt. There may be aggressive competition and rivalry in a market. Globalization means that there is always the threat of substitute products and new entrants. The wider environment is also ever changing, and the marketer needs to compensate for changes in culture, politics, economics and technology.

Integrated marketing communications

Integrated Marketing Communications (IMC) is the coordination and integration of all marketing communication tools, avenues, functions and sources within a company into a seamless program that maximizes the impact on consumers and other end users at a minimal cost

What is IMC?
Integrated marketing communications (IMC) is a process for managing customer relationships that drive brand value primarily through communication efforts. Such efforts often include cross-functional processes that create and nourish profitable relationships with customers and other stakeholders by strategically controlling or influencing all messages sent to these groups and encouraging data-driven, purposeful dialog with them. IMC includes the coordination and integration of all marketing communication tools, avenues, and sources within a company into a seamless program in order to maximize the impact on end users at a minimal cost. This integration affects all firm's business-to-business, marketing channel, customer-focused, and internally directed communications.[2]

IMC Components

The Foundation - corporate image and brand management; buyer behavior; promotions opportunity analysis. Advertising Tools - advertising management, advertising design: theoretical frameworks and types of appeals; advertising design: message strategies and executional frameworks; advertising media selection. Advertising also reinforces brand and firm image.[3] Promotional Tools - trade promotions; consumer promotions; personal selling, database marketing, and customer relations management; public relations and sponsorship programs. Integration Tools - Internet Marketing; IMC for small business and entrepreneurial ventures; evaluating and integrated marketing program.[4]

Marketing mix component

The Internet has changed the way business is done in the current world. The variables of segmentation, targeting and positioning are addressed differently. The way new products and services are marketed have changed even though the aim of business in bringing economic and social values remain unchanged. Indeed, the bottom line of increasing revenue and profit are still the same. Marketing has evolved to more of connectedness, due to the new characteristics brought in by the Internet. Marketing was once seen as a one way, with firms broadcasting their offerings and value proposition. Now it is seen more and more as a conversation between marketers and customers.[5] Marketing efforts incorporate the "marketing mix". Promotion is one element of marketing mix. Promotional activities include advertising (by using different media), sales promotion (sales and trades promotion), and personal selling activities. It also includes Internet marketing, sponsorship marketing, direct marketing, database marketing and public relations. Integration of all these promotional tools, along with other components of marketing mix, is a way to gain an edge over a competitor. The starting point of the IMC process is the marketing mix that includes different types of marketing, advertising, and sales efforts. Without a complete IMC plan there is no integration or harmony between client and customers. The goal of an organization is to create and maintain communication throughout its own employees and throughout its customers. Integrated marketing is based on a master marketing plan. This plan should coordinate efforts in all components of the marketing mix. A marketing plan consists on the following steps:[6] 1. Situation analysis 2. Marketing objectives 3. Marketing budget Integrated marketing communications aims to ensure consistency of message and the complementary use of media. The concept includes online and offline marketing channels. Online marketing channels include any e-marketing campaigns or programs, from search engine optimization (SEO), pay-per-click, affiliate, email, banner to latest web related channels for webinar, blog, micro-blogging, RSS, podcast, Internet Radio, and Internet TV. Offline marketing channels are traditional print (newspaper, magazine), mail order, public relations, industry relations, billboard, traditional radio, and television. A company develops its integrated marketing communication program using all the elements of the marketing mix (product, price, place, and promotion). Integrated marketing communications plans are vital to achieving success. The reasons for their importance begin with the explosion of information technologies. Channel power has shifted from manufacturers to retailers to consumers. Using outside-in thinking, Integrated Marketing Communications is a data-driven approach that focuses on identifying consumer insights and developing a strategy with

the right (online and offline combination) channels to forge a stronger brand-consumer relationship. This involves knowing the right touch points to use to reach consumers and understanding how and where they consume different types of media. Regression analysis and customer lifetime value are key data elements in this approach.

Importance of IMC
Several shifts in the advertising and media industry have caused IMC to develop into a primary strategy for marketers: 1. From media advertising to multiple forms of communication. 2. From mass media to more specialized (niche) media, which are centered on specific target audiences. 3. From a manufacturer-dominated market to a retailer-dominated, consumercontrolled market. 4. From general-focus advertising and marketing to data-based marketing. 5. From low agency accountability to greater agency accountability, particularly in advertising. 6. From traditional compensation to performance-based compensation (increased sales or benefits to the company). 7. From limited Internet access to 24/7 Internet availability and access to goods and services.

4 P's vs. 4 C's

Not PRODUCT, but CONSUMER

You have to understand what the consumer's wants and needs are. Times have changed and you can no longer sell whatever you can make. The product characteristics have to match the specifics of what someone wants to buy. And part of what the consumer is buying is the personal "buying experience."

Not PRICE, but COST

Understand the consumer's cost to satisfy the want or need. The product price may be only one part of the consumer's cost structure. Often it is the cost of time to drive somewhere, the cost of conscience of what you buy, the cost of guilt for not treating the kids, the investment a consumer is willing to make to avoid risk, etc.

Not PLACE, but CONVENIENCE

As above, turn the standard logic around. Think convenience of the buying experience and then relate that to a delivery mechanism. Consider all possible definitions of "convenience" as it relates to satisfying the consumer's wants and needs. Convenience

may include aspects of the physical or virtual location, access ease, transaction service time, and hours of availability.

Not PROMOTION, but COMMUNICATION

Communicate,many mediums working together to present a unified message with a feedback mechanism to make the communication two-way. And be sure to include an understanding of non-traditional mediums, such as word of mouth and how it can influence your position in the consumer's mind. How many ways can a customer hear (or see) the same message through the course of the day, each message reinforcing the earlier images? [7]

Effective communications elements

The goal of selecting the elements of proposed integrated marketing communications is to create a campaign that is effective and consistent across media platforms. Some marketers may want only ads with greatest breadth of appeal: the executions that, when combined, provide the greatest number of attention-getting, branded, and motivational moments. Others may only want ads with the greatest depth of appeal: the ads with the greatest number of attention-getting, branded, and motivational points within each. Although integrated marketing communications is more than just an advertising campaign, the bulk of marketing dollars is spent on the creation and distribution of advertisements. Hence, the bulk of the research budget is also spent on these elements of the campaign. Once the key marketing pieces have been tested, the researched elements can then be applied to other contact points: letterhead, packaging, logistics, customer service training, and more, to complete the IMC cycle. One common type of integrated marketing communication is personal selling. Personal selling can be defined as "face to face selling in which a seller attempts to persuade a buyer to make a purchase."

Promotions Opportunity Analysis

A major task that guides the way in creating an effective Integrated Marketing Communications plan is the promotions opportunity analysis. A promotions opportunity analysis is the process marketers use to identify target audiences for a companys goods and services and the communication strategies needed to reach these audiences. [8] A message sent by a marketer has a greater likelihood of achieving the intended results if the marketer has performed a good analysis and possesses accurate information pertaining to the target audience. There are five steps in developing a promotions opportunity analysis:[9] Conduct a communication market analysis

Competitors Opportunities Target markets Customers Product positioning

Establish communication objectives

Develop brand awareness Increase category demand Change customer belief or attitude Enhance purchase actions Encourage repeat purchases Build customer traffic Enhance firm image Increase market share Increase sales Reinforce purchase decisions

Create communications budget Several factors influence the relationship between expenditures on promotions and sales:

The goal of the promotion Threshold effects Carryover effects Wear-out effects Decay effects Random events

Prepare promotional strategies Match tactics with strategies Throughout these steps, marketers should consistently review and analyze the actions and tools that major competitors are utilizing.

promotion- push and pull strategies

"Push or Pull"? Marketing theory distinguishes between two main kinds of promotional strategy - "push" and "pull". Push

A push promotional strategy makes use of a company's sales force and trade promotion activities to create consumer demand for a product. The producer promotes the product to wholesalers, the wholesalers promote it to retailers, and the retailers promote it to consumers. A good example of "push" selling is mobile phones, where the major handset manufacturers such as Nokia promote their products via retailers such as Carphone Warehouse. Personal selling and trade promotions are often the most effective promotional tools for companies such as Nokia - for example offering subsidies on the handsets to encourage retailers to sell higher volumes. A "push" strategy tries to sell directly to the consumer, bypassing other distribution channels (e.g. selling insurance or holidays directly). With this type of strategy, consumer promotions and advertising are the most likely promotional tools. Pull A pull selling strategy is one that requires high spending on advertising and consumer promotion to build up consumer demand for a product. If the strategy is successful, consumers will ask their retailers for the product, the retailers will ask the wholesalers, and the wholesalers will ask the producers. A good example of a pull is the heavy advertising and promotion of children's toys mainly on television. Consider the recent BBC promotional campaign for its new preschool programme the Fimbles. Aimed at two to four-year-olds, 130 episodes of Fimbles have been made and are featured everyday on digital children's channel CBeebies and BBC2. As part of the promotional campaign, the BBC has agreed a deal with toy maker FisherPrice to market products based on the show, which it hopes will emulate the popularity of the Tweenies. Under the terms of the deal, Fisher-Price will develop, manufacture and distribute a range of Fimbles products including soft, plastic and electronic learning toys for the UK and Ireland. In 2001, BBC Worldwide (the commercial division of the BBC) achieved sales of 90m from its children's brands and properties last year. The demand created from broadcasting of the Fimbles and a major advertising campaign is likely to pull demand from children and encourage retailers to stock Fimbles toys in the stores for Christmas 2002.