b2b Communication

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Communicating with the

B2B Markets

Elements of the Promotional Mix


Personal Selling
Advertising

Sales Promotion
Public Relations

Exhibit 13-1 A Model of the Communication Process

Basic Terms
Marketing communications (Marcom)
Methods of communication other than personal selling
When public relations is performed at the corporate level,
what remains is called A & SP (nonpersonal
communication).

Marketing communications
-Public relations
Advertising & Sales Promotion (A & SP)
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Feedback
Rapidly changing markets frequently require feedback
before sales results are available.
Direct response requests (surveys, warranty
registrations) can be important, but require an active
interest by customers to provide feedback.
Personal selling and relationship marketing are critical
to the feedback process they allow for immediate
and personal feedback.
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Message interpretation is subject to


Selective
Exposure
Refers to the
actual media
to which a
receiver may
be exposed.

Selective
Attention
Only useful
information is
seen or heard.
It is used to
prevent
information
overload.

Selective
Retention
Refers to the
storage
function the
portion of a
message
retained
that is recalled.

What Promotion Can and Cant Do


Promotion can
Encourage awareness
Inform about
availability
Persuade trial
Build image
Encourage repurchase
Support selling efforts

Promotion cant
Sell products that are
not needed
Substitute for a bad
product or poor
marketing strategy.
Convince customers to
go out of their way
when a comparable
product is available
Convince customers to
pay more than
perceived value
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There are three categories of sales promotion.

Sales
promotion
focused on
the sales
team

Sales
promotion
focused on
channel
intermediaries
Sales
promotion
focused on
customers
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The Role of Advertising


Integrated Communication Programs.
Enhancing Sales Effectiveness.
Increased Sales Efficiency.
Creating Awareness.
Interactive Marketing Communications.
Advertising Cannot
Substitute for effective personnel
selling.
Advertising along cannot create
product preference.

The Decision Stages for


Developing the Business-toBusiness Advertising Program
Advertising is only one
aspect of the entire
marketing strategy.
The advertising decision
process begins with the
formulation of
advertising objectives.
Equally important is the
evaluation and selection
of the media.

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Determining Advertising Expenditures


Percent of Sales
Allocate some percent of sales to advertising.
Makes advertising a consequence rather than a
determinant of sales and profits.
Objective-Task Method
An attempt to relate advertising costs to the
objective it is to accomplish.
Focuses on the communications effects of
advertising, not on the sales effects.
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B2B Advertising Message


Development
Determine advertising objectives.
Evaluate the buying criteria of the
target audience.
Analyze the most appropriate language
for presenting the message.

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Developing the Message


Perception
Focus on Benefits
Understanding Buyer
Motivations

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The Power of
Internet Marketing Communications
1.
2.
3.
4.

Integrate the Internet into Media Plans.


Capture the Economies of the Internet.
Make Real-Time Changes.
Create Unlimited Shelf Space for
Products.
5. Reach Customers on a Global Scale.
6. Build One-to-One Relationships with
Customers.
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The Primary Areas for


Advertising Evaluation
1.

2.

A sound measurement
program entails substantial
advanced planning.
The advertising strategist
must determine;
1.
2.
3.

3.

what is to be measured,
how,
in what sequence.

A pre-evaluation phase is
required to establish a
benchmark.

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Trade Shows: Strategy Benefits


An effective selling message can be delivered to a
relatively large and interested audience at one time.
New products can be introduced to a mass audience.
Customers can get hands-on experience with the
product in a one-on-one selling situation.
Potential customers can be identified, providing sales
personnel with qualified leads.
General goodwill can be enhanced.
Free publicity is often generated for the company.

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Trade-Show Communications Strategy


1. What functions should the trade show perform in the
total marketing communications program?
2. To whom should the marketing effort at trade shows be
directed?
3. What is the appropriate show mix for the company?
4. What should the trade show investmentaudit policy
be? How should audits be carried out?

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Important Measures by Exhibit Surveys


Net Buying Influences
Measures the percentage of the show
audience that has decision authority for
the types of products being exhibited.
Total Buying Plan
Measures the percentage of the audience
planning to buy the products being
exhibited with the next 12 months.
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Public Relations
PR defined:
All efforts to obtain the attention and favorable
coverage of the firms business by third party
media and publics.

PR activities:
These can include special events, press tours,
public appearances by company executives,
participation in media dialog, trade shows or
guerilla marketing activities (attention-getting small
events to get the company noticed and obtain
word-of-mouth)
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Ex 13-3 Buying Decision Processes and


Methods of Nonpersonal Communications
DEFINITION STAGE
Process Flow Stages
Problem definition
Solution definition
Product specification

Nonpersonal
Communications Can
Help identify
problems
Provide information
for defining solutions
Help customers
remember vendors 25

Ex 13-3 Buying Decision Processes and


Methods of Nonpersonal Communications
SELECTION STAGE
Process Flow Stages
Solution provider
search
Acquire solution
provider(s)

Nonpersonal
Communications Can
Provide information
on vendors
Provide information
on products and
partners
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Ex 13-3 Buying Decision Processes and


Methods of Nonpersonal Communications
DELIVER SOLUTION STAGE

Process Flow Stages


Customize as
needed
Install/test/train

Nonpersonal
Communications Can
Deliver service and
training information

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Ex 13-3 Buying Decision Processes and


Methods of Nonpersonal Communications
END GAME STAGE
Process Flow Stages

Nonpersonal
Communications Can

Operate solution
Reach end result
Evaluate outcomes
Determine next set
of needs

Provide reinforcement
Deliver service
information
Share performance
data for evaluation
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Print Promotions

Convergence
of the
Promotion Mix

Corporate
Advertising

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Types of B2B Print Promotions


Advertising in
Trade Journals

Directory Advertising

Consumer Media
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Corporate Advertising
Why use corporate advertising?
Company reputation increases chances of
getting a first hearing at a new account.
Community concessions and subsidies can
be enhanced.
All things being equal, larger and more wellknown companies will frequently get the
business over a smaller, lesser known
competitor
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Types of Sales & Support Literature


(also called collateral materials)

Catalogs,
Product Brochures,
and Data Sheets

Capabilities
Brochures

Technical
Bulletins,
Test Reports, and
Application
Histories

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Trade Shows
Determining which
trade shows to attend?
Which shows are
important to
customers?
Which shows are
important to industry
analysts?
Which shows have
the best audience for
announcements?
Which are likely to be
attended by the target
audience?

Trade show issues


Who should attend?
Should your company
have an exhibit?
What will the exhibit
be?
How can we capitalize
on the trade show
after it is over?

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Internet and Web Communications in


Business-to-Business Marketing
The Web is used for two primary functions in B2B marketing:

Facilitating
Product Sales
and
Channel Functions

Communicating
with Customers
and Channel
Members

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B2B web sites can help buying


center members in several ways:

Recognize and
understand their
problems

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B2B web sites can help buying


center members in several ways:

Recognize and
understand their
problems

Collect and compare


information about
alternative solutions
and costs

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B2B web sites can help buying


center members in several ways:

Recognize and
understand their
problems

Collect and compare


information about
alternative solutions
and costs

Collect and compare


information about
alternative suppliers,
partners, and delivery of
value
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B2B web sites can help buying


center members in several ways:

Recognize and
understand their
problems

Collect and compare


information about
alternative solutions
and costs

Collect and compare


information about
alternative suppliers,
partners, and delivery of
value

Provide access to training


manuals, user manuals,
and troubleshooting guides
for use during installation,
testing, and product use
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Attracting Visitors to a Web Site


Banner advertising
Click-through rates have declined significantly

Attract visitors through search engines


Bid for the highest ranking, then pay for each
click-through
Design the web site to achieve higher rankings on
search engines
Purchase key words on search engines your ad
is displayed when a search is for your key word.
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Newsletters

On-Line
Seminars

Newsletter
Advertising

Other Types of EApplications


in B2B
Communications

Opt-In e-mail

Effective Internet
Communications

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