Full Marks- 80
The figures in the margin indicate full marks for the questions.
1. (a) What is Modern Marketing? What new waves of thought have come to light in today’s marketing? Elaborate. (4+12=16)
-> The consumer-oriented marketing has given rise to a new philosophy in business known as ‘marketing concept’. The marketing concept emphasizes the determination of the requirements of potential customers and supplying products to satisfy their requirements.
Under the marketing concept customer is the fulcrum around which the business moves. The objective of a firm is not the maximization of profitable sales volume but profits through satisfaction of customers. And all the marketing activities in a firm are integrated and directed towards this objective. The managers practicing this philosophy think in terms of what benefits the market or what needs are they satisfying.
The marketing concept considers marketing as an integrated process of identification, assessment and satisfaction of human needs and wants. It regards creation of customer and satisfaction of his wants as the justification of business.
Determination of wants of the customers takes precedence over production and other business activities. In other words, production is carried on according to the needs of the customers. Thus, the emphasis in modern business is on selling satisfaction and not merely on selling goods.
The marketing concept is based on the following pillars:
(i) Identification of the prospective customers or the target market.
(ii) Understanding the needs and wants of the customers or the target market by connecting with them.
(iii) Development of products or services for satisfying the needs of the target market.
(iv) Satisfying the needs of target market better than the competitors.
(v) Ensuring profitable sales for the business.
Features of the Marketing Concept:
The marketing concept is characterized by the following features:
(i) Customer Orientation:
It emphasizes the necessity of consumer- orientation of the entire business. Marketing starts with the determination of customers’ wants and continues until the customers’ wants are completely satisfied and they are delighted with the goods and services.
(ii) Integrated Approach:
Marketing concept forces business firms to use an integrated approach in their operations. Each firm should coordinate the activities of production, finance and marketing departments to satisfy the needs and expectations of customers. Thus, marketing should not be considered merely as a fragmented assortment of marketing functions. Each and every department has to contribute for the satisfaction of customers.
(iii) Long-Term Perspective:
Marketing concept seeks development of the business and profits over a long period of time. The marketers offer value proposition to the customers and build lasting relationships with them so as to attract new customers and retain them in future.
(iv) Profitable Sales Volume:
Marketing is considered successful only when it is capable of maximizing profitable sales through customer satisfaction over the long-run.
New Waves of Thought in Marketing
1. Social Concept:
Social or societal concept of marketing has been the brain child of Prof. Philip Kotler and his team.
In his own words:
“The societal marketing concept calls for a consumer orientation backed by integrated marketing aimed at generating customer satisfaction and long-term consumer welfare as the key to attract long-run profitable volume.”
As noted earlier, this concept has all the ingredients of ‘modern marketing concept.’ The additional dimension is concerned with long-run consumer welfare.’
There are good many products and services which satisfy the consumers’ needs and wants in the short-run but dissatisfy in the long-run because short-run consumption and individual satisfaction have problems in the long run as consumer cannot be free from ecological ill effects. For example, moving from cycles to mobiles satisfy their own needs but create problems of air-pollution, parking, traffic congestion and increased accidents.
Varieties of alcohols, cigarettes and narcotics create the problems of health hazards and law and order; improved soaps and detergents help in household washing but have impacted reuse of water for irrigation and drinking purposes.
There are countless problems of this kind where short-run satisfaction is turning in long-run consumer welfare being demanded.
The essence of societal marketing concept is distrusting of excessive corporate concern over short-run individual consumer needs and their satisfaction, by emphasizing long-run consumer interest.
It worries more about the needs of society, as a whole, as against individual desires, whims and fancies. It spotlights the promotion of what is known as “responsible individual conception with the awareness but its social implications.”
2. Meta Marketing Concept:
This term ‘meta marketing’ was originally used by Prof. Kelly E.J. Here, ‘meta’ means ‘more comprehensive.’
In the words of Prof. Kelly E.J. “meta-marketing is to designate a new, although related discipline which deals critically with marketing as a discipline.” The concern of Meta marketing is to bring the whole of scientific, social, ethical and managerial experience to bear on marketing.
The essence of this definition is pointed out by Prof. Philip Kotler as “meta-marketing is the set of processes involved in attempting to develop or maintain exchange relations involving products and services, organizations, persons, place or causes. It is an attempt to widen the horizons of marketing by covering non-business organizations. Like the marketing-mix of business organisation, non-business organizations do, have their marketing mix.”
The best examples of meta-marketing can be selling of family planning ideas or the idea of temperance or prohibition. In this process, they activate one or more of the marketing-mix. Similar are the examples of organizations like temples, churches, mosques, gurudwaras, schools and colleges, hospitals and clubs and other service units.
Though meta-marketing emphasizes only the sales concept as against marketing concept, it has contributed to shape and reshape the thinking of men of eminence. It has given us the insight into the relevance of marketing new areas.
3. De-marketing Concept:
De-marketing is another recent marketing concept which is applicable to the world of underdeveloped countries.
“De-marketing is that aspect of marketing which deals with discouraging customers, in general, or certain class of customers in particular on either a temporary or permanent basis.”
By nature, the underdeveloped countries are featured by exceeding demand in relation to the supply of goods and services. Here, de-marketing concept supports the fact the management of excess demand is as much a marketing problem as that of excess supply and can be achieved by the use of similar marketing technology as used in case of managing excess supply.
It may be employed by any organisation to reduce the level of total demand without alienating loyal customers, to discourage the demand coming from certain segments of the market that are either unprofitable or possess the potential of injuring the loyal buyers to appear to, want less demand for sake of actually increasing it.
Pulling the concept further, Prof. Philip Kotler and Prof. S.J. Levy say “the marketing task is not blindly to engineer increase in demand but to regulate the level and shape of demand so as to conform it to the organisation’s current supply situation and to its long run objectives, because there is no danger in damaging customer relations in any de-marketing strategy.”
4. Macro Marketing Concept:
Macro-marketing concept as presented by Prof. R. Meyer refers to “The study of marketing within the context of entire economic system with special emphasis on its aggregate performance.”
Stated in other words, it studies the aggregate role of the different components of the marketing-mix employed by different marketers operating within the economic system and the way in which they interact with the socio-economic life of the society at length.
5. Remarketing Concept:
Remarketing is a concept that speaks of extension of strategic marketing. Remarketing is to do with finding alternative uses for the existing product or products together. It also concerned with creation of new users.
Perhaps the best example can be that of nylon, a synthetic fibre which was used to weave parachute cloth and making of nylon ropes in place of cotton cloth and coir ropes that had some drawbacks.
However, today nylon is used in making scrubbers both kitchen and non-kitchen flooring, tents, zips, brushes, bristles, artificial hair, upholstery and so on.
Remarketing elongates the life-cycle of the product which means optimum utilization of resources and greater satisfaction to the society. This strategy has become more pertinent in the wake of proliferation of competitive products.
In that sense, it is also called as ‘morph’ marketing. The word ‘morph’ means form or features. The word ‘morphology’ deals with the form, features and structure and the added benefits or value increased from form change.
It is rewriting the core benefits of brands and delivering them in a unique manner which he or she never dreamed of it. Value addition is the key to build consumer loyalty. It speaks more of quality than of price.
Lakme Company of India has set up chain of beauty parlors in megapolies. At present, there are more than 600 units working successfully and by 2002 end, the target set is 6000 parlours where only Lakme beauty products will be sold. These parlours are functioning on franchise basis.
6. Over Marketing:
As the caption suggests, the companies engaged in over marketing focus their attention on increasing sales by all possible means. These concerns might neglect quality control and production efficiency and benefits arising out of them.
It is a case of down trading; that is, reducing quality standards and benefits of efficiency and economy and diverting all their resources an increasing sale. The question is pushing the sales. It works well in case of rural markets and new markets.
In fact, the company might gain but the society is bound to suffer as they are not getting real value for the price they pay.
Demand for variety of goods, especially seasonal, fluctuates greatly causing an imbalance making the parties to suffer or gain. The most common items are water-proof products used during rainy season and woolen clothes and cloth used in winter season and so on.
There are other items that enjoy demand at peak only during certain seasons of the year. In case of school children, school bags, uniforms, socks and shoes. During off season, prices fall and with that nobody likes to block the money.
The problems associated with fluctuations in demand and supply conditions can be adjusted through price adjustments and special offers. During off season, price incentives are given and more money is spent wisely on promotion.
Even to draw the attention during the pre-peak period, the firms speak of fresh arrivals, variety of merchandise and brands and so on.
One thing is sure that there is something called business ethics or controlled behavior responding to the requirements of the well-being of the society. “Counter marketing is a deliberate attempt to damage or totally kill the demand for the goods and services because they are known for harmful effects on the consumers, the suppliers and the people engaged in making available these products and services.”
(b) What do you understand by the term ‘Marketing mix’? Indicate the importance of marketing mix in modern marketing system. (4+12=16)
-> The marketing mix refers to the set of actions, or tactics, that a company uses to promote its brand or product in the market. The 4Ps make up a typical marketing mix – Price, Product, Promotion and Place. However, nowadays, the marketing mix increasingly includes several other Ps like Packaging, Positioning, People and even Politics as vital mix elements.
The 4Ps of marketing:-
Price: refers to the value that is put for a product. It depends on costs of production, segment targeted, ability of the market to pay, supply – demand and a host of other direct and indirect factors. There can be several types of pricing strategies, each tied in with an overall business plan. Pricing can also be used a demarcation, to differentiate and enhance the image of a product.
Product: refers to the item actually being sold. The product must deliver a minimum level of performance; otherwise even the best work on the other elements of the marketing mix won’t do any good.
Place: refers to the point of sale. In every industry, catching the eye of the consumer and making it easy for her to buy it is the main aim of a good distribution or ‘place’ strategy. Retailers pay a premium for the right location. In fact, the mantra of a successful retail business is ‘location, location, location’.
Promotion: this refers to all the activities undertaken to make the product or service known to the user and trade. This can include advertising, word of mouth, press reports, incentives, commissions and awards to the trade. It can also include consumer schemes, direct marketing, contests and prizes.
Each aspect of business builds upon marketing. Marketing is a significant role player in the performance of business. The importance of marketing can be understood through the points mentioned below:
- Exchange and progression of goods — Marketing is highly beneficial in deportation, transaction and progression of goods and services. Products and services are contrived available to consumers by numerous intermediaries like wholesalers and vendors. Marketing is profitable to manufacturer and consumers both.
- Rising the living standard — Through the availability of continuous supply of goods and services to customers at a nominal price, marketing has a significant role in establishing living standards of the society. Community consists of three genres of people that are wealthy, middle and poor. All the things which are accounted by these three classes of society are outfitted by marketing.
- Increase in employment — Marketing is a complicated practice involving numerous people in under one segment. The chief marketing activities include buying, selling, transporting, storing etc. Every function comprises of different activities which are performed by a large variety of individuals. Hence it helps in raising the level of employment. According to the sources almost 40% of the whole population is reliant on marketing directly or indirectly. The widened role of marketing has immensely increased the employment level for people.
- Opening of income and revenue -Marketing caters various opportunities to bring in profits in the practice of buying and selling the products and goods, through slashing time, place and tenure utilities. That income and investment can be used as profits in future ventures. Marketing must be given the utmost significance, as the initial and conclusive survival of the company gambles upon the potency of the marketing operation.
- Support for Making Decisions — A businessman goes through several complications during the process of creation and distribution of goods and services. He/she requires the exact and relevant information and queries related to their product and service. Marketing process ease this complexity of businessmen by forming a direct link between manufacturer and consumer.
- Opening of new ideas — Marketing concept is deeply dynamic and progressive. It has altered and modified several aspects for the better functioning of certain activities. With the changes in taste and preferences of consumers marketing accord understanding and apprehension accordingly.
- Advancement of Economy — Marketing is considered and characterized as a wizard that sets the economy whirling. An organized marketing structure helps the economy to rise and lessens the burden of weaker economy.
2. (a) What are the different tools used by the marketer to study the buying behavior? Discuss the Consumer decision making process. (6+10=16)
-> Buyer behavior refers to the decision and acts people undertake to buy products or services for individual or group use. It’s synonymous with the term “consumer buying behavior,” which often applies to individual customers in contrast to businesses.
Buyer behavior is the driving force behind any marketing process. Understanding why and how people decide to purchase this or that product or why they are so loyal to one particular brand is the number one task for companies that strive for improving their business model and acquiring more customers.
Buyer behavior patterns
Each consumer may have unique buying habits. Still, there are typical tendencies, which allow distinguishing the following buyer behavior patterns:
Place of purchase
If customers have access to several stores, they are not always loyal to one place. So even if all items are available in one outlet, they may divide their purchases among several shops.
There are two things to consider: the type of the product customers purchase and its quantity. As a rule, people buy necessity items in bulk. In contrast, luxury items are more likely to be purchased in small quantities and not frequently. The amount of goods people buy is influenced by such factors:
- Product durability
- Product availability
- Product price
- Buyer’s purchasing power
- Number of customers for whom the product is intended
The analysis of a buyer’s shopping cart may bring many valuable insights about buyer behavior.
Time and frequency of purchase
With the development of e-commerce, purchases have become only a few clicks away. Anyway, marketers should understand how often and at what time of the year or day people tend to buy more goods. The product purchase frequency may depend on the following factors:
- Product type
- Customer’s lifestyle
- Product necessity
- Customer’s traditions and customs
Method of purchase
People buy goods in different ways: some go to the store, while others prefer ordering items online. Some pay cash, while others use a credit card. Among customers who buy goods in online stores, some pay on delivery, while others are ready to pay right after they place an order. The way customers choose to purchase products tells a lot about their buyer persona.
Consumer Decision Making refers to the process under which consumers go through in deciding what to purchase, including problem recognition, information searching, evaluation of alternatives, making the decision and post-purchase evaluation.
Reasons behind Consumer Decisions:
In the present world, a consumer has a lot of options while taking any decision. But basically the consumer has five decision dimensions
These are as follows:
1. What to buy?
2. How much to buy?
3. Where to buy?
4. When to buy?
5. How to buy?
1. What to buy?
The decision to buy any product is the most important task. Until and unless if a decision is made a consumer cannot buy anything. The consumer has also to make the choice of the product available in the market. After taking any decision consumers buy a product. Then the consumer takes a decision about which brand to buy. This can be attached with the price and features of the product.
2. How much to buy?
The next decision the consumer has to make is to how much of the product to be purchased. It depends on the type of the product to be purchased and then the purchases can be made. The quantity to be purchased by the consumer depends on the availability and frequency of use of the product.
3. Where to buy?
Another decision the consumer has to make is where the product should be bought. Consumers usually will go to a place where the services offered are excellent. Also the other factors like prices and outlets are being decided by the consumers. The consumer expects a discount on the product. So, consumers usually go to such places where availability of the product quantity and quality can be decided by just looking at the other brands of the same product to be purchased. Many products have different features and therefore after thoroughly examining the purchase is made.
4. When to buy?
The consumer also has to decide the time when the purchase has to be made. This also is influenced by the availability of the products. Usually the purchase made by a consumer is very high during the festive season, due to large volume of discount. This not only ensures the consumer that they can get a product at a discount price. It is also influenced by opening times, sale and clearance period, transportation etc., for the goods purchased.
5. How to buy?
Under this the consumer has to decide whether to pay cash or by credit payment. Also the consumer expects the goods purchased to be delivered by the retailer. Also the installment facility on line purchased option may boost the sale of the products. If this part is handled with utmost care, the revenue for the retailer will go up. So, all the facility the consumer needs if available, there is no problem to dispatch the goods. The sale will go up automatically of course the proper paper work is done, depending on which the sale is made.
Every day we are involved in taking decisions related to the various aspects of our lives. Usually such decisions are taken automatically without the involvement of any particular decision making process.
For instance say a housewife goes to purchase a mid-priced range of tea, her decision making merely involves making a selection from the various brands of tea like Taj Mahal, Tata Tea, Red label, Yellow Label and so on. The process by which a person is required to make a choice from various alternative options is referred to as decision making.
Levels of Consumer Decision Making:-
The decisions to buy shaving cream, a tennis racket, a personal computer, and a new car are all very different. If all purchase decisions required extensive effort, then consumer decision-making would be an exhausting process would leave little time for anything else. Types of buying habits of consumer/buying situations are also known as levels of consumer decision making process.
Consumer decision making varies with the types of buying decision. On the other hand, if all purchases were routine, then they would tend to be monotonous and would provide little pleasure or novelty.
On a continuum of effort ranging from very high to very low, we can distinguish four specific levels of consumer decision-making:
1. Complex buying behavior
2. Dissonance-reducing buying behavior
3. Habitual buying behavior
4. Variety-seeking buying behavior
1. Significant differences between brands – Complex buying behavior.
2. Few differences between brands – Dissonance-reducing buying behavior.
1. Significant differences between brands – Variety-seeking buying behavior.
2. Few differences between brands – Habitual buying behavior.
(b) Can marketing research solve all marketing problems? Justify your arguments with examples. (16)
-> Market research is defined as the process of evaluating the feasibility of a new product or service, through research conducted directly with potential consumers. This method allows organizations or businesses to discover their target market, collect and document opinions and make informed decisions.
Market research can be conducted directly by organizations or companies or can be outsourced to agencies which have expertise in this process.
Primary purpose of conducting market research is to understand or examine the market associated with a particular product or service, to decide how the audience will react to a product or service. The information obtained from conducting market research can be used to tailor marketing/ advertising activities or to determine what are the feature priorities/service requirement (if any) of consumers.
Three key objectives of market research
A market research project may usually have 3 different types of objectives.
1. Administrative: Help a company or business development, through proper planning, organization, and both human and material resources control, and thus satisfy all specific needs within the market, at the right time.
2. Social: Satisfy customer’s specific needs through a required product or service. The product or service should comply with the requirements and preferences of a customer when it’s consumed.
3. Economical: Determine the economical degree of success or failure a company can have while being new to the market, or otherwise introducing new products or services, and thus providing certainty to all actions to be implemented.
Types of Market Research: Market Research Methods and Examples
Whether an organization or business wishes to know purchase behavior of consumers or the likelihood of consumers paying a certain cost for a product, market research helps in drawing meaningful conclusions.
Depending on the methods and tools required, following are the types:
1. Primary Market Research (A combination of both Qualitative and Quantitative Research): Primary market research is a process, where organizations or businesses get in touch with the end consumers or employ a third party to carry out relevant studies to collect data. The data collected can be qualitative data (non-numerical data) or quantitative data (numerical or statistical data).
While conducting primary market research, one can gather two types of information: Exploratory and Specific. Exploratory research is open ended, where a problem is explored by asking open ended questions in a detailed interview format usually with a small group of people also known as sample. Here the sample size is restricted to 6-10 members. Specific research, on the other hand, is more pinpointed and is used to solve the problems that are identified by exploratory research.
As mentioned earlier primary market research is a combination of qualitative market research and quantitative market research. Qualitative market research study involves semi-structured or unstructured data collected through some of the commonly used qualitative research methods like:
Focus groups : Focus group is one of the commonly used qualitative research methods. Focus group is a small group of people (6-10) who typically respond to online surveys sent to them. The best part about focus group is the information can be collected remotely, can be done without personally interacting with the group members. However, this is a more expensive method as it is used to collect complex information.
One-to-one interview: As the name suggests this method involves personal interaction in the form of an interview, where the researcher asks a series of questions to collect information or data from the respondents. The questions are mostly open ended questions and asked in a way to facilitate responses. This method is heavily dependent on the ability and experience of the interviewer to ask questions that evoke responses.
Ethnographic research : This type of in-depth research is conducted in the natural settings of the respondents. This method requires the interviewer to adapt himself/herself to the natural environment of the respondents which could be a city or a remote village. Geographical constraints can be a hindering factor in conducting this kind of research. Ethnographic research can last from a few days to a few years.
Qualitative research methods are used by organizations to conducted structured market research by using online surveys, questionnaires and polls to gain statistical insights to make informed decisions.
This method was once conducted using pen and paper. This has now evolved to sending structured online surveys to the respondents to gain actionable insights. Researchers tend to use modern and technology-oriented survey platforms to structure and design their survey to evoke maximum response from respondents.
Through a well-structured mechanism, data is easily collected and reported and necessary action can be taken with all the information that is made available first hand.
2. Secondary Market Research: Secondary research uses information that is organized by outside source like government agencies, media, chambers of commerce etc. This information is published in newspaper, magazines, books, company website, free government and nongovernment agencies and so on. Secondary source makes use of the following:
Public sources: Public sources like library are an awesome way of gathering free information. Government libraries usually offer services free of cost and a researcher can document available information.
Commercial sources: Commercial source although reliable are expensive. Local newspapers, magazines, journal, television media are great commercial sources to collect information.
Educational Institutions: Although not a very popular source of collecting information, most universities and educational institutions are a rich source of information as many research projects are carried out there than any business sector.
Steps for conducting Market Research
Knowing what to do in various situations that arise during the investigation will save the researcher’s time and reduce problems. Today’s successful enterprises use powerful market research survey software that helps them conduct comprehensive research under a unified platform and hence provide actionable insights much faster with fewer problems.
Following are the steps to conduct an effective market research.
Step #1: Define the Problem
Having a well-defined subject of research will help researchers when they ask questions. These questions should be directed to solve problems and they have to be adapted to the project. Make sure the questions are written clearly and that the respondents understand them. Researchers can conduct a test with a small group to know if the questions are going to know whether the asked questions are understandable and will they be enough to gain insightful results.
Research objectives should be written in a precise way and should include a brief description of the information that is needed and the way in which it will obtain it. They should have an answer to this question “why are we doing the research?”
Step #2: Define the Sample
To carry out market research, researchers need a representative sample that can be collected using one of the many sampling techniques . A representative sample is a small number of people that reflect, as accurately as possible, a larger group.
· An organization cannot waste their resources in collecting information from the wrong population. It is important that the population represents characteristics that matter to the researchers and that they need to investigate, are in the chosen sample.
· Take into account that marketers will always be prone to fall into a bias in the sample because there will always be people who do not answer the survey because they are busy, or answer it incompletely, so researchers may not obtain the required data.
· Regarding the size of the sample, the larger it is, the more likely it is to be representative of the population. A larger representative sample gives the researcher greater certainty that the people included are the ones they need, and they can possibly reduce bias. Therefore, if they want to avoid inaccuracy in our surveys, they should have representative and balanced samples.
· Practically all the surveys that are considered in a serious way, are based on a scientific sampling, based on statistical and probability theories.
There are two ways to obtain a representative sample:
- Probability sampling : In probability sampling , the choice of the sample will be made at random, which guarantees that each member of the population will have the same probability of selection and inclusion in the sample group. Researchers should ensure that they have updated information on the population from which they will draw the sample and survey the majority to establish representativeness.
- Non-probability sampling : In a non-probability sampling , different types of people are seeking to obtain a more balanced representative sample. Knowing the demographic characteristics of our group will undoubtedly help to limit the profile of the desired sample and define the variables that interest the researchers, such as gender, age, place of residence, etc. By knowing these criteria, before obtaining the information, researchers can have the control to create a representative sample that is efficient for us.
When a sample is not representative, there can be a
margin of error
. If researchers want to have a representative sample of 100 employees,
they should choose a similar number of men and women.
The sample size is very important, but it does not guarantee accuracy. More than size, representativeness is related to the sampling frame, that is, to the list from which people are selected, for example, part of a survey.
If researchers want to continue expanding their knowledge on how to determine the size of the sample consult our guide on sampling here.
Step #3: Carry out data collection
First, a data collection instrument should be developed. The fact that they do not answer a survey, or answer it incompletely will cause errors in research. The correct collection of data will prevent this.
Step #4: Analyze the results
Each of the points of the market research process is linked to one another. If all the above is executed well, but there is no accurate analysis of the results, then the decisions made consequently will not be appropriate. In-depth analysis conducted without leaving loose ends will be effective in gaining solutions. Data analysis will be captured in a report, which should also be written clearly so that effective decisions can be made on that basis.
Analyze and interpret the results is to look for a wider meaning to the
obtained data. All the previous phases have been developed to arrive at
How can researchers measure the obtained results? The only quantitative data that will be obtained is age, sex, profession, and number of interviewees because the rest are emotions and experiences that have been transmitted to us by the interlocutors. For this, there is a tool called empathy map that forces us to put ourselves in the place of our clientele with the aim of being able to identify, really, the characteristics that will allow us to make a better adjustment between our products or services and their needs or interests.
When the research has been carefully planned, the hypotheses have been adequately defined and the indicated collection method has been used, the interpretation is usually carried out easily and successfully. What follows after conducting market research?
Step #5: Make the Research Report
When presenting the results, researchers should focus on: what do they want to achieve using this research report and while answering this question they should not assume that the structure of the survey is the best way to do the analysis. One of the big mistakes that many researchers make is that they present the reports in the same order of their questions and do not see the potential of storytelling.
To make good reports, the best analysts give the following advice: follow the inverted pyramid style to present the results, answering at the beginning the essential questions of the business that caused the investigation. Start with the conclusions and give them fundamentals, instead of accumulating evidence. After this researchers can provide details to the readers who have the time and interest.
Step #6: Make Decisions
An organization or a researcher should never ask “why do market research”,
they should just do it!
A market research helps researchers to know a wide range of information, for example, consumer purchase intentions, or gives feedback about the growth of the target market. They can also discover valuable information that will help in estimating the prices of their product or service and find a point of balance that will benefit them and the consumers.
3. Write short notes on: (any two) (8×2=16)
-> Branding is a process which involves creating a specific name, logo, and an image of a particular product, service or company. This is done to attract customers. It is usually done through advertising with a consistent theme.
Branding aims to establish a significant and differentiated presence in the market that attracts and retains loyal customers. A brand is a name, term, symbol, or other feature that distinguishes an organization or product from its rivals in the eyes of the customer. Brands are used in business, marketing, and advertising.
Features of Branding
Branding should be planned according to the targeted audience. No business firm can target the entire population. Business owners should identify the type of people who are buying their products and services. Research should be done on the basis of age, gender, income, the lifestyle of their customers, etc.
The percentage of people who are aware of a brand is known as brand awareness. Well established companies have the benefit of a high level of brand awareness. Brand awareness can be increased with the help of advertisement on TV, radio, newspaper or social media marketing and advertising. Logos also help companies build brand awareness, as people often recognize brands by these symbols or diagrams.
Brand loyalty is the highest achievement or apex of any company. A customer who buys the product of a particular company extensively is known as a brand loyalist. Many consumers prefer using certain brands of clothing, deodorants or tubes of toothpaste, for example. They like how these brands benefit them. Brand loyalty can be build by staying in touch with the customers, asking them for their reviews.
Consistency is necessary for a brand. A brand must remain consistent. Small businesses make numerous promises in commercials and ads about their brands, and consumers expect companies to continue living up to these promises. Their products should also be effective.
-> Packaging may be defined as the general group of activities in the planning of a product. These activities concentrate on formulating a design of the package and producing an appropriate and attractive container or wrapper for a product. The container itself can act as a forceful though silent and colourful salesman at the point of purchase or an effective medium of advertisement encouraging impulse buying. Many a time, package design itself can act as a registered brand.
Almost every article has to be packed to make a trip to the ultimate consumer. But packing is merely a physical action and provides a handling convenience, e.g., wheat, cotton, etc. Packing is necessary to prevent flowing out of such liquids as milk, drinks, etc. It is essential to maintain freshness and quality, e.g., ghee, sauce, etc. It can prevent the danger of adulteration, e.g., butter, cheese, spices, edible oil, etc.
However, packaging is much more than mere packing. Packaging is a marketing necessity. The public does not want just the product. It wants explanation, assurance, encouragement, confidence and praise, i.e., pat-on-the-back, all integrated or combined with a pleasant and eye-catching get-up or appearance on the top to gain action, i.e., close the sale- Thus, a good package ensures ultimate success of the product as a commercial venture.
Packaging may be classified into three categories as follows:
1. Family Packaging:
When the product of a particular manufacturer is packaged in an identical manner, it is known as family packaging. The size, shape, colour, etc. of the packages will be similar for all his products. “Family brands” are made meaningful by using family packaging also. In such cases, packaging methods, materials used for packaging, the appearance, etc. will be one and the same for all the products of a firm.
2. Re-Use Packaging:
Packages that could be used for some other purpose after the packed goods have been taken out or consumed fall under the re-use packaging. Vegetable oils, and wellness drinks are being sold in re-usable plastic containers of different shapes. Reuse packaging can increase the sales value of the product considerably.
3. Multiple Packaging:
It is the practice of placing several units in one container. For example, liquor industry uses multiple packaging.
Packaging is aimed at attaining two basic functions, the first to protect the product and the second to promote the product. According to Philip Kotler “protection, convenience and economy were the three traditional purposes attached to package.” But in this modern era, we need to add all the modern functions of packaging.
Following are the functions of packaging:
Packaging performs the basic functions of providing a container for a material. For example- consumer durables like televisions, refrigerators, washing machines, etc. are packed in cardboard cartons, vegetables, fruits and milk are packed in plastic cover. Beer and Milkmaid is packed in cans which are easy to open.
Thus, the utilitarian function of packaging has the following advantages:
1. It protects the products from deterioration, spilling, spoilage and evaporation during its transit from manufacturer to consumer.
2. It enhances product use and convenience by keeping the contents clean and undisturbed.
3. It helps easy brand identification.
4. It makes product handling easier and safer to exhibit in super markets.
Goods are to be transported from the place of manufacture to the ultimate consumer. This involves several types of risk. Packaging helps protect the goods from damage during transport and warehousing. It also removes the hindrance of risk by keeping goods safe and free from spoilage. Thus packaging helps make the transporting of goods easier and safer.
Packaging helps to distinguish from one brand to another. It is mandatory that packages contain the name of the product, the maker, the ingredients, date of manufacture, expiry date, etc.
This function of packaging has the following advantages:
1. Packaging makes product identification and differentiation both easy and effective. In a competitive market, unique presentation makes products look different from competing brands.
2. Package features communicate the product message and motivate consumers to buy the product.
Wholesalers, retailers, middlemen, warehouse keepers and consumers demand convenience in packaging i.e. they should be light-weight and conveniently packed so as to be carried by hand. For example- Amul Mithai Mate is packed in an aluminum container in an easy to open form. Similarly, ten tablets of Crocin are packed in a strip and soft drinks are packed in a glass bottle with lift off caps that required a bottle opener. These have also evolved to non – returnable, unbreakable aluminum cans.
Packaging enhances the appearance of the product. The design, colour, label, printed matter, picture etc. all add value to the packaging. For example- chocolates are always packed in attractive packets and displayed to attract the target group.
Products must sell themselves. This is possible, if they are placed in more attractive and eye – appealing packages. This has resulted in a number of innovations which appeal to the consumers. For example- Nescafe, Boost, Horlicks, etc. are now available in attractive glass jars.
Nowadays several companies aim at providing “re – useable container”, once the product has been completely used. For example- health drinks like Boost, Horlicks, Nescafe, Pickles, Jams, etc. are sold in glass bottles that can be used for storing provisions in the kitchen. If not, they can be sold as scrap.
Packaging should not create a financial burden for the company. Consumers prefer economical packaging options, because the packaging cost is included in the cost price. Hence, the packaging should be made attractive, appealing and economical.
c) Pricing objectives.
-> Pricing is an important decision making aspect after the product is manufactured. Price determines the future of the product, acceptability of the product to the customers and return and profitability from the product. It is a tool of competition.
Pricing can be defined as the process of determining an appropriate price for the product, or it is an act of setting price for the product. Pricing involves a number of decisions related to setting price of product. Pricing policies are aimed at achieving various objectives. Company has several objectives to be achieved by the sound pricing policies and strategies. Pricing decisions are based on the objectives to be achieved. Objectives are related to sales volume, profitability, market shares, or competition.
1. Profits-related Objectives:
Profit has remained a dominant objective of business activities.
Company’s pricing policies and strategies are aimed at following profits-related objectives:
i. Maximum Current Profit:
One of the objectives of pricing is to maximize current profits. This objective is aimed at making as much money as possible. Company tries to set its price in a way that more current profits can be earned. However, company cannot set its price beyond the limit. But, it concentrates on maximum profits.
ii. Target Return on Investment:
Most companies want to earn reasonable rate of return on investment.
Target return may be:
(1) fixed percentage of sales,
(2) return on investment, or
(3) a fixed rupee amount.
Company sets its pricing policies and strategies in a way that sales revenue ultimately yields average return on total investment. For example, company decides to earn 20% return on total investment of 3 crore rupees. It must set price of product in a way that it can earn 60 lakh rupees.
2. Sales-related Objectives:
The main sales-related objectives of pricing may include:
i. Sales Growth:
Company’s objective is to increase sales volume. It sets its price in such a way that more and more sales can be achieved. It is assumed that sales growth has direct positive impact on the profits. So, pricing decisions are taken in way that sales volume can be raised. Setting price, altering in price, and modifying pricing policies are targeted to improve sales.
ii. Target Market Share:
A company aims its pricing policies at achieving or maintaining the target market share. Pricing decisions are taken in such a manner that enables the company to achieve targeted market share. Market share is a specific volume of sales determined in light of total sales in an industry. For example, company may try to achieve 25% market shares in the relevant industry.
iii. Increase in Market Share:
Sometimes, price and pricing are taken as the tool to increase its market share. When company assumes that its market share is below than expected, it can raise it by appropriate pricing; pricing is aimed at improving market share.
3. Competition-related Objectives:
Competition is a powerful factor affecting marketing performance. Every company tries to react to the competitors by appropriate business strategies.
With reference to price, following competition-related objectives may be priorized:
i. To Face Competition:
Pricing is primarily concerns with facing competition. Today’s market is characterized by the severe competition. Company sets and modifies its pricing policies so as to respond the competitors strongly. Many companies use price as a powerful means to react to level and intensity of competition.
ii. To Keep Competitors Away:
To prevent the entry of competitors can be one of the main objectives of pricing. The phase ‘prevention is better than cure’ is equally applicable here. If competitors are kept away, no need to fight with them. To achieve the objective, a company keeps its price as low as possible to minimize profit attractiveness of products. In some cases, a company reacts offensively to prevent entry of competitors by selling product even at a loss.
iii. To Achieve Quality Leadership by Pricing:
Pricing is also aimed at achieving the quality leadership. The quality leadership is the image in mind of buyers that high price is related to high quality product. In order to create a positive image that company’s product is standard or superior than offered by the close competitors; the company designs its pricing policies accordingly.
iv. To Remove Competitors from the Market:
The pricing policies and practices are directed to remove the competitors away from the market. This can be done by forgoing the current profits – by keeping price as low as possible – in order to maximize the future profits by charging a high price after removing competitors from the market. Price competition can remove weak competitors.
4. Customer-related Objectives:
Customers are in center of every marketing decision.
Company wants to achieve following objectives by the suitable pricing policies and practices:
i. To Win Confidence of Customers:
Customers are the target to serve. Company sets and practices its pricing policies to win the confidence of the target market. Company, by appropriate pricing policies, can establish, maintain or even strengthen the confidence of customers that price charged for the product is reasonable one. Customers are made feel that they are not being cheated.
ii. To Satisfy Customers:
To satisfy customers is the prime objective of the entire range of marketing efforts. And, pricing is no exception. Company sets, adjusts, and readjusts its pricing to satisfy its target customers. In short, a company should design pricing in such a way that results into maximum consumer satisfaction.
5. Other Objectives:
Over and above the objectives discussed so far, there are certain objectives that company wants to achieve by pricing.
They are as under:
i. Market Penetration:
This objective concerns with entering the deep into the market to attract maximum number of customers. This objective calls for charging the lowest possible price to win price-sensitive buyers.
ii. Promoting a New Product:
To promote a new product successfully, the company sets low price for its products in the initial stage to encourage for trial and repeat buying. The sound pricing can help the company introduce a new product successfully.
iii. Maintaining Image and Reputation in the Market:
Company’s effective pricing policies have positive impact on its image and reputation in the market. Company, by charging reasonable price, stabilizing price, or keeping fixed price can create a good image and reputation in the mind of the target customers.
iv. To Skim the Cream from the Market:
This objective concerns with skimming maximum profit in initial stage of product life cycle. Because a product is new, offering new and superior advantages, the company can charge relatively high price. Some segments will buy product even at a premium price.
v. Price Stability:
Company with stable price is ranked high in the market. Company formulates pricing policies and strategies to eliminate seasonal and cyclical fluctuations. Stability in price has a good impression on the buyers. Frequent changes in pricing affect adversely the prestige of company.
vi. Survival and Growth:
Finally, pricing is aimed at survival and growth of company’s business activities and operations. It is a fundamental pricing objective. Pricing policies are set in a way that company’s existence is not threatened.
d) New Product.
-> A new product is a product that is new to the company introducing it even though it may have been made in same form by others. In the area of toilet soaps, different brands introduced by each company are that way, new products as it is new to the company. New products are those whose degree of change for customers is sufficient to require the design or re-design of marketing strategies.
Product development is the next step to product planning. Product development is the process of finding out the possibility of producing a product. It includes the decision as to whether it would be feasible or not to produce the product and whether it would be profitable or not for the enterprise to do so.
Broadly new products can be classified into the following four categories:
i. New to the World:
These products represent innovative novel creations that did not exist before. A large number of products that are now taken for granted and considered old were once new to the world. Consider products such as microprocessor, nylon, post-it notes, transistor, television, and airplane were new products when they were created for the first time. Sony introduced to the world a device called Walkman that allowed people to listen to music on the go.
ii. New to the Company:
As the name of this category suggests, these products are not new to the world but are new for the company. Companies expand their offering to grow like ITC added readymade apparels and food products to its portfolio. Addition of new product lines fall into this category.
Micromax started its operations as a mobile handset marketer and added television line later. Sony added digital camera line to its existing portfolio in 1996.
iii. Additions to Product Line:
Firms add new items to their existing product line in order to meet evolving consumer and competitive conditions. For instance, Pepsi added Pepsi Blue to cash in on a particular cricketing season. Nokia added Asha to its mobile phone line. Sony introduced a new model to its mobile phone line, Sony Xperia Z2, which they promoted as the ‘best phone ever’.
iv. Product Improvement:
Improved products are considered new because of their newness. These are linear improvements to a product. For instance, Maruti launched its cars with new K Series engines that delivered superior fuel efficiency.
Blue Star improved its air conditioners by improving its compressor to inverter technology. Sony listened to customer feedback and it was the first to improve its camera by making their devices dustproof and waterproof.
4. (a) What is Marketing Communication? Discuss the factors that influence the marketing communication process. (2+14=16)
(b) What is a channel of distribution? Discuss the factors governing the choice of channels of distribution. (4+12=16)
-> A distribution channel, in simple terms, is the flow that a good or service follows from production or manufacturing to the final consumer/buyer. Distribution channels vary but typically include a producer, a wholesaler, a retailer, and the end buyer/consumer. A distribution channel can also provide a sense of how money flows back from the buyers to the producer or original point of sale.
Types of Distribution Channels
Distribution channels can either be direct or indirect. The indirect channels can be divided up into different levels.
1. Direct distribution channels
The direct distribution channel does not make use of any intermediaries. The manufacturer or producer sells directly to the end consumer. The direct form of distribution is typically used by producers or manufacturers of niche and expensive goods and items that are perishable. An example is a baker.
2. Indirect distribution channels
The indirect distribution channel makes use of intermediaries in order to bring a product to market. The three types of indirect channels are:
The one-level channel entails a product coming from a producer to a retailer and then to the end buyer. The retailers buy the product from the manufacturer and sell it to the end buyers. The one-level channel is ideal for manufacturers of furniture, clothing items, toys, etc.
The two-level channel follows the following process:
Wholesalers generally make bulk purchases, buy from the producer, and divide the goods into smaller packages to sell to retailers. The retailers then sell the goods to the end buyers. The two-level channel is suitable for more affordable and long-lasting goods with a larger target market.
The three-level channel is similar to the two-level channel, except the goods flow from the producer to an agent and then to a wholesaler. Agents assist with selling the goods and getting the goods delivered to the market promptly.
The agents normally receive a commission and are allocated the task of product distribution in a particular area. The three-level channel is suitable for goods that are in high demand and with a target market that stretches across a country.
5 Important Factors Affecting the Choice of Channels of Distribution
(A) Considerations Related to Product
When a manufacturer selects some channel of distribution he/she should take care of such factors which are related to the quality and nature of the product. They are as follows:
1. Unit Value of the Product:
When the product is very costly it is best to use small distribution channel. For example, Industrial Machinery or Gold Ornaments are very costly products that are why for their distribution small distribution channel is used. On the other hand, for less costly products long distribution channel is used.
2. Standardised or Customised Product:
Standardised products are those for which are pre-determined and there has no scope for alteration. For example: utensils of MILTON. To sell this long distribution channel is used.
On the other hand, customised products are those which are made according to the discretion of the consumer and also there is a scope for alteration, for example; furniture. For such products face-to-face interaction between the manufacturer and the consumer is essential. So for these Direct Sales is a good option.
A manufacturer should choose minimum or no middlemen as channel of distribution for such an item or product which is of highly perishable nature. On the contrary, a long distribution channel can be selected for durable goods.
4. Technical Nature:
If a product is of a technical nature, then it is better to supply it directly to the consumer. This will help the user to know the necessary technicalities of the product.
(B) Considerations Related to Market
Market considerations are given below:
1. Number of Buyers:
If the number of buyer is large then it is better to take the services of middlemen for the distribution of the goods. On the contrary, the distribution should be done by the manufacturer directly if the number of buyers is less.
2. Types of Buyers:
Buyers can be of two types: General Buyers and Industrial Buyers. If the more buyers of the product belong to general category then there can be more middlemen. But in case of industrial buyers there can be less middlemen.
3. Buying Habits:
A manufacturer should take the services of middlemen if his financial position does not permit him to sell goods on credit to those consumers who are in the habit of purchasing goods on credit.
4. Buying Quantity:
It is useful for the manufacturer to rely on the services of middlemen if the goods are bought in smaller quantity.
5. Size of Market:
If the market area of the product is scattered fairly, then the producer must take the help of middlemen.
(C) Considerations Related to Manufacturer/Company
Considerations related to manufacturer are given below:
Manufacturer’s goodwill also affects the selection of channel of distribution. A manufacturer enjoying good reputation need not depend on the middlemen as he can open his own branches easily.
2. Desire to control the channel of Distribution:
A manufacturer’s ambition to control the channel of distribution affects its selection. Consumers should be approached directly by such type of manufacturer. For example, electronic goods sector with a motive to control the service levels provided to the customers at the point of sale are resorting to company owned retail counters.
3. Financial Strength:
A company which has a strong financial base can evolve its own channels. On the other hand, financially weak companies would have to depend upon middlemen.
(D) Considerations Related to Government
Considerations related to the government also affect the selection of channel of distribution. For example, only a license holder can sell medicines in the market according to the law of the government.
In this situation, the manufacturer of medicines should take care that the distribution of his product takes place only through such middlemen who have the relevant license.
A manufacturer should select such a channel of distribution which is less costly and also useful from other angles.
Sometimes some other channel of distribution can be selected if the desired one is not available.
3. Possibilities of Sales:
Such a channel which has a possibility of large sale should be given weight age.
5. Answer briefly on any two of the following: (8+8=16)
a) Explain the process of environmental analysis in marketing.
-> Environment analysis plays a critical role in shaping the destinies of entire industries as well as those of individual businesses. According to Kotler, ‘The company’s marketing environment is made up of the sectors and forces outside the firm’s marketing function which infringes upon the ability of marketing management to develop and maintain a successful relationship with the firm’s target group.’
For analysing the environment, Johnson and Scholes argue for a step-wise approach. This involves an initial audit of general environmental influences, followed by a series of increasingly tightly focused stages that are designed to provide the strategist with an understanding of the key opportunities and threats as a prelude to identifying the organization’s strategic position.
Process of Environmental Analysis
The process of environmental analysis consists of the following stages:
- Environmental Scanning: Scanning means the process of analyzing the environment for identifying the factors which may influence the business. Its purpose is to identify the emerging trends or early warning signals. Such trends may have evolved over time or may have appeared suddenly. Environmental scanning alerts the organization to potentially significant forces in the external environment so that suitable strategic initiatives may be taken before these forces become critical for the organization; Scanning is basically exploratory in nature. There are so many environmental factors which influence the operation of a business. All these factors may not be relevant to an enterprise. Therefore, the critical and high priority factors must be identified. Several factors, e.g., managerial philosophy, age, size, power, geographic dimension, type of business of the organization influence the selection of relevant environmental factors.
- Environmental Monitoring: At this stage information from the relevant environment is collected. Once the relevant factors in the environmental are identified, adequate data about these factors are gathered so as to ascertain their emerging pattern and trends. Monitoring is a follow up and deeper analysis of relevant environmental forces identified through scanning. Several techniques are used to collect the relevant facts about environmental factors. Company records, publications, spying and verbal talks with the employees, customers, dealers, suppliers and competitors are the main sources of data.
- Environmental Forecasting: Forecasting is the process of estimating the relevant events of future based on the analysis of their past and present behavior. It is necessary to anticipate future events before any strategic plans are formulated. Forecasting can focus on future aspects of the environment which affects the organization. Forecasts are made for economic, social, political and technological elements of environment, several technique like time series analysis, econometric model, scenario building, Delphi method, etc. are used for the purpose of forecasting.
- Diagnosis (Assessment): Environmental factors are assessed in terms of their impact on the organization. Some factors in the environment may entail an opportunity while others may pose a threat to the organization. The degree of impact may also vary from one factor to another. SWOT analysis, ETOP and other such techniques are used for environmental diagnosis.
b) Importance of Market Segmentation.
-> Market segmentation can help you to define and better understand your target audiences and ideal customers. If you’re a marketer, this allows you to identify the right market for your products and then target your marketing more effectively. Similarly, publishers can use market segmentation to offer more precisely targeted advertising options and to customize their content for different audience groups.
Say, for example, you’re a marketer who’s advertising a new brand of dog food. You could split an audience into segments based on whether they have a dog. You could then segment that audience further based on what kind of dog they have and then show them ads for food formulated for their dog’s breed. A publisher could use this same information to show content about dogs to people who have or like dogs.
Market segmentation allows you to target your content to the right people in the right way, rather than targeting your entire audience with a generic message. This helps you increase the chances of people engaging with your ad or content, resulting in more efficient campaigns and improved return on investment (ROI).
c) Domestic Marketing vs. International Marketing.
-> The significant differences between domestic and international marketing are explained below:
1. The activities of production, promotion, advertising, distribution, selling and customer satisfaction within one’s own country is known as Domestic marketing. International marketing is when the marketing activities are undertaken at the international level.
2. Domestic marketing caters a small area, whereas International marketing covers a large area.
3. In domestic marketing, there is less government influence as compared to the international marketing because the company has to deal with rules and regulations of numerous countries.
4. In domestic marketing, business operations are done in one country only. On the other hand, in international marketing, the business operations conducted in multiple countries.
5. In international marketing, there is an advantage that the business organisation can have access to the latest technology of several countries which is absent in case domestic countries.
6. The risk involved and challenges in case of international marketing are very high due to some factors like socio-cultural differences, exchange rates, setting an international price for the product and so on. The risk factor and challenges are comparatively less in the case of domestic marketing.
7. International marketing requires huge capital investment, but domestic marketing requires less investment for acquiring resources.
8. In domestic marketing, the executives face fewer problems while dealing with the people because of similar nature. However, in the case of international marketing, it is quite difficult to deal with customers of different tastes, habits, preferences, segments, etc.
9. International marketing seeks deep research on the foreign market due to lack of familiarity, which is just opposite in the case of domestic marketing, where a small survey will prove helpful to know the market conditions.
d) Discuss the benefit of e-marketing.
-> E-marketing comprises all the processes of planning, pricing, promotion, execution, and distribution of products and services over the internet and the World Wide Web. The purpose of using the computerized system is to facilitate the customers and meet their demands. E-marketing serves many important functions both for the customers and businesses as well. The customers would get competitive pricing and businesses would be able to cut down their operational cost.
Many businesses and companies provide the service of e-marketing and retail online-shopping nowadays. The customers can find contact details about your business and product information either from their computer or their smartphones anytime whenever they want.
E-marketing also means that you advertise your products and services online and your targeted customers get ads online; see the pictures of products, get discounted coupons, even purchase the product, and place the order online for home delivery. The traditional concept of visiting the physical store is losing the interest of customers.
Following are the major advantages of using e-marketing for products, services and brands.
The good thing about using e-marketing is that it doesn’t involve too much risk. The online and social media marketing campaigns are much cheaper compared to TV, billboards, and newspaper advertisements . The e-marketing initiation and operational cost of online retail stores are very low compared to the establishment of physical stores. When you add all of these factors, it makes e-marketing less risky than traditional marketing.
Cost Reduction by Automation
E-marketing also provides the option of automating various processes of your business. For instance, you can send the customers orders directly to the third-party suppliers and ask them to send the order directly to the customers. Here automation is allowing you to save inventory cost, logistic cost, inventory management cost, rental cost, and product delivery costs.
Speed and fast response is the key to the success and widespread usage of e-marketing. It allows you to reply to your audience instantly regardless of the distance. It’s because of the fast response; the world has become a global village. The speed and fast interaction is the main reason behind the technological growth and development in the past few decades. If people were using the conventional modes of communication like newspapers, books, and face-to-face interaction, then we wouldn’t be able to see the current technology.
Easy Data Collection & Evaluation
When it comes to data collection to monitor the performance of your business, there’s no better alternative than e-marketing tools. Consider if you have to collect through conventional and traditional way, then it would months and plethora of monetary resources. But you can do it within a day online. Whether it’s data collection, evaluation, monitoring the performance of your business, or checking the analytics of your business; it’s only possible through an e-marketing approach.
Personalized marketing is the latest and modern approach in the e-marketing world. Where you treat your customers like you know them based on the shopping data you have collected from them. It’s almost impossible to remember the names of hundreds of thousands of customers on the tip of your tongue. Only e-marketing allows you to follow the personalized marketing approach in your business.
With the combination of the e-marketing approach with social media marketing, you can increase the interaction with your target customers. You interact with your audience by using the personalized marketing approach. The more you’re active in your interaction with your audience, the more you increase the chances for the success of your business. It’s our human nature; we tend to visit those places where we’re familiar with them.
The most important thing from the business point of view is that e-marketing increases the exposure of your product/service. It’s the main concern of every new business owner that they want their product to be out there in the market where people could see it. More exposure to your products means that it would increase the chances of sales.
E-marketing has made it possible for the business to reach the global market. Everyone is familiar with global brands like Google, Facebook, Microsoft, Apple, and Amazon. It’s because of e-marketing such brands have become global brands and reach a worldwide audience. Many new brands are rising is because of the advanced e-marketing approaches.