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8/12/2019 3484-3202 Kotler MM 13e Media 19-Personal Communication
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Managing Personal
Communications:
Direct andInteractive Marketing,
Word of Mouth, and
Personal Selling
19
Marketing Management
A Sou th Asian Perspect ive, 13th
ed
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-2
Chapter Questions
How can companies integrate direct marketingfor competitive advantage?
How can companies do effective interactive
marketing? How can marketers best take advantage of the
power of word of mouth?
What decisions do companies face in
designing and managing a sales force?
How can salespeople improve selling,
negotiating, and relationship marketing skills?
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-3
Cokes Embraces Interactive Marketing
with MyCoke.com
http://www.mycoke.com/8/12/2019 3484-3202 Kotler MM 13e Media 19-Personal Communication
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-4
What is Direct Marketing?
Direct marketingis the use of
consumer-direct channels to reach and
deliver goods and services to
customers without using market
middlemen.
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-5
Direct Marketing Channels
Direct mail
Catalogs
Telemarketing
Other direct response
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-6
Constructing a Direct-Mail Campaign
Establish objectives
Select target prospects
Develop offer elements
Test elements
Execute
Measure success
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-7
RFM Formula for
Selecting Prospects
Recency
Frequency
Monetary value
http://www.the-dma.org/8/12/2019 3484-3202 Kotler MM 13e Media 19-Personal Communication
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-8
Elements of the Offer Strategy
Product
Offer
Medium Distribution method
Creative strategy
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-9
Components of the Mailing
Outside envelope
Sales letter
Circular Reply form
Reply envelope
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-10
Types of Telemarketing
Telesales
Telecoverage
Teleprospecting
Customer service
and technical
support
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-11
Other Media for Direct Response
Television
Direct Response Advertising
At-home shopping channels
Videotext
Kiosks
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-12
Public Issues in Direct Marketing
Irritation
Unfairness
Deception/fraud
Invasion of privacy
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-13
Interactive Marketing
Tailored messages possible
Easy to track responsiveness
Contextual ad placement possible Search engine advertising possible
Subject to click fraud
Consumers develop selective attention
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-14
Online Promotional Opportunities
Websites
Microsites
Search ads
Display ads
Interstitials
Internet-specific ads
and videos
Sponsorships
Alliances and
affiliate programs
Online communities
Mobile marketing
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-15
A Microsite:
Burger Kings Subservient Chicken
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-16
e-Marketing Guidelines
Give the customer a reason to respond
Personalize the content of your emails
Offer something the customer could notget via direct mail
Make it easy for customers to
unsubscribe
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-17
Word-of-Mouth Marketing is
Empowered by Social Networks
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-18
How to Start Buzz
Identify influential individuals and companiesand devote extra effort to them
Supply key people with product samples
Work through community influentials Develop word-of-mouth referral channels to
build business
Provide compelling information that
customers want to pass along
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-19
Figure 19.4 Designing
a Sales Force
Sales force objectives
Sales force strategy
Sales force structure
Sales force size
Compensation
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-20
Types of Sales Representatives
Deliverer
Order taker Missionary
Technician
Demand creator
Solution vendor
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-21
Sales Tasks
Prospecting
Targeting
Communicating
Selling
Servicing
Information
gathering Allocating
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-22
Figure 19.7 Managing the
Sales Force
Recruiting, selecting
Training
Supervising
Motivating
Evaluating
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-23
Workload Approach to Determining
Sales Force Size
Customers are grouped into size classes
Desirable call frequencies are established
Number of accounts in each size class
multiplied by call frequency Average number of calls possible per year
established
Number of reps equal to total annual callsrequired divided by number possible
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-24
Components of Sales Force
Compensation
Fixed amount
Variable amount
Expense allowances
Benefits
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-25
Table 19.1 Form for Evaluating Performance
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-27
Figure 19.8 Steps in Effective Selling
Prospecting/Qualifying
Preapproach
Approach
Presentation
Overcoming objections
Closing
Follow-up
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-28
Marketing Debate
Are great salespeople born or made?
Take a position:1. The key to developing an effective sales
force is selection.
or
2. The key to developing an effective salesforce is training.
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Copyright 2009 Dorling Kindersley (India) Pvt. Ltd. 19-29
Marketing Discussion
Pick a company and go to the
Website. How would you evaluate the site?
How well does it score on the seven
Cs design elements?