Saturday, December 8, 2012

Thesis: The Marketing Communication Strategy of Blue Bird Taxi... (Part 12)


To get a better understanding about this, please start reading from the first post of the series. 

THESIS: The Marketing Communication Strategy of Blue Bird Taxi To Maintain Market Leader Position After Using The Highest Tariff:

  • Introduction & Book Cover   : Part 1
  • Research Originality Statement and Acknowledgement   : Part 2
  • Abstract                                          : Part 3
  • Table of Contents                          : Part 4



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(Chapter II continued...)


2.8.      Marketing Communication Mix
Marketing communications is closely associated with its tools or called the communications mix or the promotional mix. According to Smith et al., (2002:11) the marketing communications mix consists of the following communication tools:
  1. Sales force (personal  selling)
  2. Advertising
  3. Sales promotions
  4. Direct marketing (sometimes  called  database  marketing)
  5. Public Relations
  6. Sponsorship
  7. Exhibitions
  8. Corporate identity
  9. Packaging
  10. Point-of-purchase and merchandising.
  11. Word of mouth.
  12. Internet and new media

Personal selling is promotion via a sales pitch by a sales representative to a prospect or by a retail assistant to a customer, guaranteeing exposure to self-selected members of a target market. (Baker, 2003:420) Personal selling includes according to Foster (1998:78) face-to-face sales meetings, telephone sales calls, videoconferencing, tradeshows and exhibitions, conferences/ seminars, and word of mouth. According to Czinkota and Ronkainen (2001:405), personal selling is the most effective of the communication tools available to the marketer. However, its costs per contact are high.

Advertising is a non personal, paid announcement by identified sponsor. It is used to reach large audiences, create brand awareness, help differentiate a brand from its competitors and build an image of the brand. (Duncan, 2005:7). Smith (1998:297) also mentions that advertising builds associations between brands, logos, images, and benefits — a form of classical conditioning. A few advertising media examples include TV, radio, newspaper, magazines, and cinema (Yeshin, 1998:175):

Sales promotion definition by The International Chamber of Commerce (ICC) is a: ‘marketing devices and techniques which are used to make goods and services more attractive by providing some additional benefit, whether in cash or in kind, or the expectation of such a benefit (Boddewyn & Leardi, 1989: 365) Sales promotion (SP) is used as short-term incentives to encourage purchase or sales of a product or service. According to Smith (2004:357) there are three main categories of sales promotion:
  • Customer promotions (premiums, gifts, prizes and competitions, e.g. on the back of breakfast cereal boxes)
  • Trade promotions (special terms, point-of-sale materials and free pens, diaries, competition prizes. et cetera)
  • Sales force promotions (incentive and motivation schemes)

Direct marketing is the use of mail, telephone, fax, email, or Internet to communicate directly with or solicit response or dialogue from specific customers and prospects. (Kotler & Keller, 2006:536) Direct marketing brings the market directly into the home or office of an individual buyer instead of the buyer having to go to the market. Direct marketing includes direct mail, telemarketing, door-to-door selling, direct response advertising (TV, radio, cinema, web and press advertisements that solicit an immediate response, e.g. “phone now” or fill in the coupon”), computerized home shopping (link home computer with a store so that one can browse around the aisles, pick up merchandise, inspect it by turning it around on screen, et cetera.), home shopping networks, and miscellaneous (stuffers, inserts, leaflet drops house to house distribution). (ibid)