|
What is
marketing? How does it relate to sales, customer relations, public
relations, marcom?
Let's start with the classic
definition of the marketing concept.
“The achievement of a company's
goals by determining the wants and needs of its target market
and delivering the desired satisfaction - better than the
competition"
Who needs marketing? Everybody - no matter if
it's a company, organization, country or person - in order to
reach the desired goals, each and everyone uses marketing.
So how do companies handle marketing?
It is important to realize that the ultimate goal
of any company or organization is survival.
In order to stay in business, a company has a
mission. Formulating the mission statement is an
important marketing task.
The mission is often reflected in the company
slogan and is part of its branding.
After conducting a SWOT analysis, the company
defines its product and market.
Market and competitor research is a crucial part
of this process.
Once the company has launched its product in the
targeted markets, the marketing and sales process starts.
Marketing and sales are closely linked – only a
joined effort will result revenues.
The potential customers must first be aware
of and then comprehend the product. Only when potential
customers are convinced that it is beneficial for them will
they consider purchasing the product.
During
each of the phases described, the company interacts with different
publics.
Depending on the public to be addresses, PR is
the communication tool.
PR consists of different disciplines that each one addresses
its own specific public(s).
Launching a
new product
A product launch is one
of the most exciting marketing activities a corporate marketer can
come across. It is a company-critical activity that involves
planning, coordination, interaction and execution both internally
and externally.
There are several rules
that the marketer in charge has to play by:
1)
Make
sure the product is market ready. Never market a product that
is still in its beta-phase - a mistake that led to the demise of
many a hightech company.
2)
Make
sure the launch plan involves the production, shipping, marketing
and PR departments. Don’t forget it’s a company
effort.
3)
Make
sure the launch team consists of product management and
brand management. Launching is a strategic marketing
activity and should not be handled by a CEO of
CTO.
4)
Make
sure the employees know about the launch, the product itself
and the reasons behind and the expectations of the launch. Nothing
antagonizes employees more finding out from the media what the
company has been up to.
5)
Make
sure that the media outlets are selected carefully to ensure
that the target audiences are reached in the most effective way. The
starting point is, as always in marketing, a SWOT analysis and
market/competitor research.
6)
Make
sure that there is a crisis plan ready. Don’t forget, what
can go wrong, might to wrong. Especially when the new product is
crucial for the existence of the company, the means to perform
damage control on the spot must be in place.
7)
Make
sure the expectations in the company are realistic.
Launching a product always takes longer, costs more and does less
than expected. Especially if corporate management is emotionally
involved in their product, it is important to spell out that the
market reception might not be as rosy as they expect.
International
marketing
Globalization, the world is just one
big market place, think global/act local…All
of us have heard these phrases in variations many times over the two
decades regardless where we are situated or what industry we work
in.
Especially companies located in relatively small
countries need to export to survive.
To
get their message across to their international customers and target
audience, companies need the assistance of a marketer who knows
about international marketing and PR.
International marketing is a complex and ongoing
activity in an ever-changing environment.
Before even
considering entering a foreign market, a company has to take the
following steps in its decision making
process:
1)
Research about the
country in general: political and tax climate, legal system and
relevant legislation (such as
treaties) or legislative complications, language,
religion;
2)
Research about the
target audience: wants, needs, tastes, language,
culture;
3)
Research about the
market: competitors, business practices, sales and distribution
channels;
4)
Research on product:
functionality, price, package, guarantee, service &
support;
5)
Research on public
relations: promotion mix, media selection, messaging, format,
language.
After each step, the company has to take a go/no go
decision to avoid wasting time, money and
effort.
Once
the company has done its research, it can start implementing its
international marketing plan, starting with a SWOT analysis of each
of the international targeted markets and audiences.
Golden rule: never
assume! What works in one country can be a total
failure in another.
Make
sure that the international marketing & PR professional not
only speaks the local language but also understands the culture and
has experience in that specific business climate.
Be
aware that British English is dominant in Western Europe, the Middle
East and parts of the Far East (India, Pakistan) and American
English is dominant in the Americas, Eastern Europe, the Caribbean,
Israel and parts of the Far East (Indonesia).
Within countries, there are
often significant differences between the various geographical
areas especially if those with their own language and culture.
Targeting a certain demographic group within a country
or continent (India, China, Europe, the USA) has its own
challenges.
The
international marketer has to take the following 7 elements into
consideration:
1) Product
Does it have the
features the target market understands, needs and
wants?
Does it meet the local legal requirements? Some toys are allowed in
one country and deemed unsafe in others.
Certain industries such as OTC (over the counter medication) and
personal safety (such as peppersprays) operate in an
environment that a medication or device might be legal in one
country and considered illegal and is banned in another.
Car
manufacturers have to adapt their cars to the different countries.
Mileage should be in kilometers or in miles; the steering wheel
should be on the left or on the right.
2) Packaging
Does the product have
the correct labeling? Are the form and color fitting for the target
market? Does the logo need to be adapted or changed?
A good example is shape of the mobile phone: in some countries, the
devices should be small and light, other countries such as Japan
prefer more chunky and heavy devices.
3) Brandname
Can the product name and
brandname stay the same or does it have a negative connotation in
the target market?
A famous case is the US perfume called "Morning Mist" that
failed in Germany due to the German meaning of the word
"Mist".
4) Positioning
Should the product be
positioned as a local, global or national (e.g. American, French,
German) product?
For cosmetics and fashion, positioning the product as French or
Italian can be a USP (Unique Selling
Point).
5)
Price
Is the price structure
fitting for the target market? Is an introduction price required?
Should it be a recommended or a binding price?
Again, checking local legislation is crucial - some countries only
along recommended prices.
6)
Distribution
channels
What fits best: local
distributor(s), direct or online sales, (exclusive) agents?
In
some countries such as India and China, a company can only enter the
market by forming JV or other strategic partnerships with local
companies.
7) Promotion
What works best:
advertising, exhibitions, press releases, direct mail/email
campaigns?
What should be the look, feel, messaging and size of
the corporate collateral and the product documentation? What
language should the website be in?
Can it be a mirror of the
existing one or is a completely different design (and domain name)
necessary?
From a
perspective, having the same templates, look and feel throughout all
the collateral is not only an advantage for building and maintaining
the corporate image, but it is also cost saving.
| 
