4MD3 Business to Business Marketing

Steve Howse, C. Dir

February 2, 2009

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Steve’s Tip• Have an elevator pitch• 3 minutes on who you are• Two ways:

o Historical growtho Who I am and how I got here

• 10 minute version to overview your CV

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Segmentation

Targeting

Positioning

The 4 Ps

 

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INTRO TO PROMOTION

• three classes

o overall aspects of Promotion aka IMCo Advertising

o Sales Promotion and Publicityo Direct Marketing

o Personal Selling

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PREVIEW OF PROMOTION AND ADVERTISING SECTIONS• the elements of Promotion• how IMC differs from Promotion• BM/CM promotional differences

• intro to Advertising • advertising in trade publications & directories• and in broadcast media• making your business ads “sing”

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THE ELEMENTS OF PROMOTION

• advertising • sales promotion• publicity

• personal selling

• direct marketing  

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MORE ON PROMOTION

• each element contains media

• each medium contains vehicles

• use all three in combination  

• but that requires coordination

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INTEGRATED MARKETING COMMUNICATION (IMC)

• Also known as MARCOM • gives the required coordination• by stating product position consistently• Marcom Manager is in charge

• high-level objectives of IMCo predispose customer to action o get customer to take action

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BM/CM DIFFERENCES – PROMOTION IN GENERAL

• business promotion never creates a product position  

• the “theme” is more rational• promotion smaller percent of revenues• personal selling dominates promotion• “mass” elements of promotion are secondary• advertising is dominated by magazines  • sales promotion by trade shows

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BM/CM DIFFERENCES – MASS/NON-PERSONAL

PROMOTION• primary goal is to support the sales force by…

o generating sales leads  o creating a suitable selling climate  o conveying simple information

 • secondary goals • "creative" more often done in-house  

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ADVERTISING

• represents about 55% of the 25%

• creates awareness• creates positive attitudes i.e. preference• inspires action • long ad-to-sales lag • trade publications and directories dominate• ad costs vary widely

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TRADE PUBLICATIONS

• vertical trade mags • horizontal trade mags • hybrid trade mags• use CARD in all cases • most publish annual "buyers' guide“ issue• "controlled circulation" is common • ability to tailor message is limited• ability to get response is limited

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CHOOSING THE RIGHT TRADE PUBLICATION

• identify candidates• request kit • count qualified readers• determine ad cost • calculate raw cpm  • adjust using effectiveness data• make choice based on adjusted cpm

 

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TRADE DIRECTORIES

• they show manufacturers by product• used by designers & purchasing agents • Canadian examples  • the listings are free  • the ads are not • can’t change message quickly• good for research  

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BROADCAST MEDIA

• more logical when business product widely used • also good for reaching consumers• i.e. for ”telescopic marketing” • also for reaching employees and neighbors  • wastage high but raw CPM low

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MAKING YOUR BUSINESS ADS “SING”

• focus on conveying your positions• just one or two• use similar words every time  • show your position in the "head"• and in the picture  • and in the picture caption  • and in the body copy• use sub-heads  to break up body copy• use pictures of people