Tutorial 2

MARKETING COMMUNICATIONS & BRANDING

Tutorial 2

2012 Past Paper

Discussion

Hull BA (Hons) – Marketing and Management

Note: Pictures used in this powerpoint file is for academic purpose only

• What are the benefits of branding for the organisation and the consumer? With reference to one of your favourite brands evaluate how it adds value for both the organisation and the consumer.

Question 1

Is this the answer?

• Improved perceptions of product performance

• Greater loyalty• Less vulnerable to

competition• Less vulnerable to

crises• Larger margins• Inelastic consumer

response to price increases

• Elastic consumer response to price decreases

• Greater trade cooperation

• Increase in effectiveness of IMC

• Licensing opportunities

• Brand extension opportunities

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There are other benefits to consider(make sure there’s differentiation between

organization and customer)

• Listing the benefits from the previous pages only answered Part 1 of the question

• Part 2 asks for an example of your favorite brand

• A good answer should illustrate the benefits you have identified in Part 1 with the example in Part 2

Answer the question in full

Where can you find examples?

• Benefit for organization– Brand extension opportunity

My pick would be Google

• Benefit for consumer– A credible brand’s new products often get

review from 3rd party source

My pick would be Google

• Imagine you are a marketing manager for a fashion clothing manufacturing company. You are trying to figure out if you need to utilize a push or pull strategy. Using examples, outline how you might develop a marketing communications strategy focusing on these concepts. Evaluate the usefulness of these concepts in the development of marketing communications strategies.

Question 2

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What should be your considerations?

1. You are a fashion clothing manufacturer but the question does not tell whether you have your own brand or retail shops.

2. It’s important to make assumptions. Let’s say you work for FILA, which sells via its own shops (including online shop) and other intermediaries.

3. It may be easier to justify your answers by assuming you are launching a new product: Let’s say it’s kids collection

• Making assumptions will help you justify your answers.

• The next part of the question asks you to “outline how you might develop a marketing communications strategy focusing on these concepts.”

• Before you decide on your answers, it’s important to list down your IMC strategy development approach.

Answer the question in full

• Push strategy: involves directing effort at intermediaries so that they are motivated to direct their promotional effort at customers, thereby pushing the product down the distribution channel.

• Pull strategy: involves aiming promotional activities at end users so that they demand the product from intermediaries, thereby pulling the product down the distribution channel.

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PUSH, PULL STRATEGY

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MANUFACTURER

RETAILER

TradeTradePromotionsPromotions

CONSUMER

ConsumerConsumerPromotionsPromotions

Push

PushPullRetailRetail

PromotionsPromotions

Is this the answer?

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Translating corporate objectives to media objectives

Market StudySWOT / Competitive Analysis

Identify your target consumer

Know their buying and media consumption behavior

Think about your story and the core message

Budgeting and media planning

Deploy your communications tools

Evaluating performance based on objectives

IMC DEVELOPMENT

• If you have both wholesale and retail, what should be our business objectives?

• Who are your target customers (B2B / B2C)?

• What message would appeal to your target customers?

• Which channels would you choose?

• What IMC tools will you deploy?

Answer the following under this part of the question

• The last part of the question asks you to “evaluate the usefulness of these concepts in the development of marketing communications strategies.”

• The concepts you need to evaluate are the push and pull strategies in each stage of your IMC development process.

Answer the question in full

• Do you want more sales volume to come from intermediaries or direct sales?

• Should FILA be relying on intermediaries to market its products? Can you do it yourself?

• How are your intermediaries’ capacity in different markets in building relationship with customers?

• Is there a consistent message that can appeal to your customers?

• Are the same IMC tools available in all your target markets?

Answer the following under this part of the question

• Is this clearly a pull strategy where by C&A is trying to reach customers directly without going through the intermediaries.

• The end result isthat customers would be pulled tobuy from C&A’sretail shops.

Example available to you

• This promotion is pushed down to the customers via an intermediary, thus the push strategy.

• It is clear that thecustomers aremotivated by thisshop’s promotionaleffort to buy fromthis particular shop.

Example available to you

• In comparing the C&A and the A&F promotional campaign, the pull strategy from C&A seems to be able to reach out to customers of any one particular store, but potentially a nation wide or region wide approach.

• The A&F promotion, however, is quite limited to that particular store. The scope is quite limited.

Evaluation

• Sales promotions (e.g. buy one get one free, 2 for 1, coupons, trade promotions) are becoming a very popular tool for manufacturing and retail marketing managers, as part of the marketing communications mix. Using examples of your choice describe and evaluate the role of sales promotions.

Question 3

• Key words in the question– Marketing mix– Sales promotion– Retail marketing– Manufacturing marketing– Describe and evaluate examples

Understand the question

Start from broad concepts down to specific examples

Sales Promotion Definition

– Is any incentive that is additional to the basic benefits provided by the brand and temporarilytemporarily changes its perceived price or value.

– Is short-termshort-term orientedoriented and capable of influencing behavior because it offers buyers superior value and can make them feel better about the buying experience.

Sales Promotion Definitions

Examples of sales promotion

• For both retail marketing and manufacturing marketing– Should they focus on B2B or B2C?– Who would buy from a manufacturer?– Where do transactions normally take place?– What kind of incentives would appeal to your

customers in influencing their behaviors?

• For manufacturing marketing, my pick would be HOFEX in the F&B industry

Under example, you need to describe the role of sales promotion

• For retail marketing, my pick would be 1111 Crazy sale

Under example, you need to describe the role of sales promotion

Evaluation against your objectives is the last element