kotler framework 5e_17_sppt
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Framework for Marketing Management
17Managing Personal
Communications
1
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-2
Chapter Questions How can companies conduct direct marketing
and interactive marketing for competitive advantage?
How does word of mouth affect marketing success?
What decisions do companies face in designing and managing a sales force?
How can salespeople improve selling, negotiating, and relationship marketing skills?
The Pepsi Refresh Project Changed How Pepsi Marketed Itself to its Target Market
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-3
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-4
What is Direct Marketing?
Direct marketing is the use of consumer-direct channels to reach and deliver goods
and services to customers without using market middlemen.
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-5
Direct Marketing Channels
Direct mail Catalogs Telemarketing Other direct response
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-6
Constructing a Direct-Mail Campaign
Establish objectives Select target prospects Develop offer elements Test elements Execute Measure success
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-7
RFM Formula for Selecting Prospects Recency Frequency Monetary value
Elements of the Offer Strategy
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-8
Product
Offer
Medium
Distribution Method
Creative Strategy
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-9
Components of the Mailing
Outside envelope Sales letter Circular Reply form Reply envelope
Catalogs
How many catalogs did you get in the mail yesterday?
How many catalog websites do you visit when shopping online?
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-10
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-11
Types of Telemarketing
Telesales Telecoverage Teleprospecting Customer service and technical support
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-12
Other Media for Direct Response
Television Radio Kiosks Newspapers Magazines Internet
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-13
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
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-14
Online Promotional Opportunities
Websites Microsites Search ads Display ads Interstitials Internet-specific ads and videos
Sponsorships Alliances and
affiliate programs Online
communities Email Mobile marketing
Figure 17.1 Key Design Elements of Effective WebSites
Context: Layout and design Content: Text, pictures, sound, video Community: User-to-user communication Customization: Site’s personalization ability Communication: Site-user communication Connection: Links to other sites Commerce: Ability to conduct transactions
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-15
Online Ads
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-16
Search Ads
Display Ads
Is mobile marketing the next big medium for direct marketers?
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-17
Platforms of Social Media
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-18
Online Communities and Forums
Blogs
Social Networks
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-19
How to Start Buzz Identify influential individuals and companies
and 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
Types of Sales Representatives
1. Deliverer 2. Order taker3. Missionary4. Technician5. Demand creator6. Solution vendor
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-20
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-21
Figure 17.1 Designing a Sales Force
Sales Force Objectives
Sales Force Strategy
Sales Force Structure
Sales Force Size
Sales Force Compensation
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-22
Sales Tasks Prospecting Targeting Communicating Selling Servicing Information gathering Allocating
How should the firm organize the sales force
structure?
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-23
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-24
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 calls
required divided by number possible
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-25
Components of Sales Force Compensation Fixed amount Variable amount Expense allowance Benefits
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-26
Figure 17.2 Managing the Sales Force
Recruiting
Selecting
Training
Supervising
Motivating
Evaluating
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-27
Steps in Effective Selling
1. Prospecting/qualifying2. Preapproach3. Approach4. Presentation5. Overcoming objections6. Closing7. Follow up
For Review How can companies conduct direct marketing
and interactive marketing for competitive advantage?
How does word of mouth affect marketing success?
What decisions do companies face in designing and managing a sales force?
How can salespeople improve selling, negotiating, and relationship marketing skills?
Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 17-28
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