No matter where you are in the world or what type of a business is involved, if sales are involved, the need for a marketing director exists. Differences may exist in the way a marketing director performs his job in different types of businesses, but in the end, the job entails the same basic function: developing a marketing plan that will effectively sell the product or service of his company.

Any sales or merchandising operation may employ a marketing directing including a bank. Many credit card operations have an entire Marketing Department that is heading by a marketing director or manager to present current card offerings to the public. A clothing chain may have a marketing director to develop the marketing tactics that will be used to promote the new season off clothing. Even service organisations may use the services of a marketing director in order to make the public aware of their company and how they can do the job differently and more efficiently than the company that a person is currently using.

The marketing director must be able to work well with people of all ethnic origins and nationalities. He must work well under pressure and know what kinds of tactics to use in a given situation. That means know when to use strong tactics and when weaker ones will work better. It means knowing the target audience for the product you are trying to promote, which in turn means having the flexibility to change your marketing plan to accommodate a change in that audience. Your target audience may change for several reasons:

•#Income of the region

•#Weather and geographic location

•#Seasonal variations of each region

•#Ages of the general population of the region

For example, if your company is trying to promote a snow blower, you are not going to have much luck in a region that is now in the middle of their summer, thus your target audience is now those in colder regions. You might succeed in a warmer region if your promotion includes an inflated discount because of the weather conditions currently in existence. A marketing director must know when to target a given region and when to place his concentration on another region for various regions that may even include knowing the current employment of the region you wish to target to avoid pursing a region with a population that is struggling to simply provide daily necessities.

Source by Richard Taylor Edwards

FORCES IN THE RETAILERS MACRO ENVIRONMENT

Various elements such as demographic, legal, social, economic and technological variables affect an organisation and its marketing efforts. It is now recognized by all that even a well concerned marketing plan may fail if adversely influenced by uncontrollable factors (demographic, legal etc.). Therefore the external macro environment must be continually monitored and its effects incorporated into Retailer’s marketing plans.

The External Environment of Retail Marketing

Demographic Environment

Technological Environment

Social Environment

Political / Legal Environment

Economic Environment

DEMOGRAPHICENVIRONMENT

The first environmental fact of interest to retailers is population because people make up markets. Retailers are keenly interested in the size of the population, its geographical distribution, density, mobility trends, age distribution and social ethnic and religious structure.

Demographic structure is seldom static for long and changes in its composition often test the residency of a marketing firm. Further, these changes influence the behaviour of consumers which, in turn, will have a direct impact in the retailer’s business. The ripples of these changes will reach the organisation forcing it to alter or amend the existing marketing practices in vogue. In short, Retail firms, will have to continuously measure the changes – qualitative as well as quantitative – that are taking place in the population structure. To avoid negative consequences brought on by active consumer groups, a retailer must communicate with consumers, anticipate

problems, respond to complaints and make sure that the firm operates properly.

POLITICAL / LEGAL ENVIRONMENT

Retail marketing decisions are substantially impacted by developments in the political / legal environment. This environment is composed of laws, government agencies and pressure groups that influence and constrain various organisations and individuals in society. Legislation affecting retail business has steadily increased over the years. The legislation has a number of purposes. The first is to protect from each others. So laws are passed to prevent unfair competition. The second purpose of Government regulation is to protect consumers from unfair retail practices. Some firms, if left alone, would adulterate their products, tell lies in their advertising, deceive through their packages and bait through their prices

SOCIAL/ CULTURAL ENVIRONMENT

In recent years, the concept of social responsibility has entered into the marketing literature as an alternative to the marketing concept. The implication of socially responsible marketing is that retail firms should take the lead in eliminating socially harmful products such as cigarettes and other harmful drugs etc. There are innumerable pressure groups such as consumer activists, social workers, mass media, professional groups and others who impose restrictions on marketing process and its impact may be felt by retailers in doing their business. The society that people grow up in shapes their basic beliefs, values and norms.

ECONOMICENVIRONMENT

Retail markets consist of purchasing power as well as people. Total purchasing power is a function of current income, prices, savings and credit availability. Marketers should be cognizant of major trends in the economic environment. The changes in economic conditions can have destructive impacts on business plans of a firm. Economic forecasters looking ahead through the next decade are likely to find their predictions clouded by the recurrent themes of shortages, rising costs and up and down business cycles. These changes in economic conditions provide marketers with new challenges and threats. How effectively these challenges could be converted into opportunities depend on well-thought-out marketing programmes and strategies. Further, no economy is free from the tendency of variation between boom and depression, whether it is a free economy or controlled economy. In any event, economic swings affect marketing activity, because they affect purchasing power.

TECHNOLOGICAL ENVIRONMENT

The most dramatic force shaping people’s lives is technology. Advances in technology are an important factor which affect detail marketers in two ways. First, they are totally unpredictable and secondly, adoption of new technology often is prevented by constraints imposed by internal and external resources. At the same time, it should be remembered that technological progress creates new avenues of opportunity and also poses threat for individual firms. Technology has helped retailers to measure the products with modern weighing machines. Earlier, they have used balances which could not measure the merchandise correctly.With the help of weighing machine, products can be measured with the result customer satisfaction can be enhanced. In the following areas where technology have been extensively used.

1. Packing of the products

2. Printing the name of the shop on the product visibly

3. Modern refrigerators where merchandise can be used for a long time and

4. Billing.

.R.YUVARANI
M.Phil Scholar
Department of Commerce
Periyar University
Salem-11

Source by R.Yuvarani

The 5 P’s of Marketing

Product One of the big elements to consider is product, what the actual “thing” is. Whether it appeals to people and if the idea has a place in the industry. The product itself has to sell itself, customers should be attracted to it right away. In other words, it has to be packaged the right way as well. Not only that, the product has to work. Customers using the product will talk about it to potential prospects. The right product also needs approval from the target market, the object for the business is to satisfy a need. Place The location is essential when marketing any good or service. It has to be convenient and customers should be able to remember the spot. A strategically located business requires heavy research and analysis. The target group should be questioned through surveys. They will tell you what the right location is. Price The price is also important. High enough to cover the costs but low as well to attract customers. The price can be charged in accordance to the demand. With high demand, the business can afford to charge a high price. However, the business has to understand that by raising price, the loyalty of customers is compromised. In some cases, the price can be irrelevant. An example of this would be a monopoly, where the firm controls an industry with its rare product. Promotion The right promotion needs to be done at the right time. Intensive campaigns to the right target group. Finding this target group is important to ensure a promising health for the business. Strategically, seasonal sales should be planned along with attractive events. With enough research, businesses would know when and where to throw these events. The company should also have samples and giveaways to entice customers. People The newest P is to do with finding as much about people as possible. Giving them the best service deliverable and understanding legitimate concerns. By serving the desires of the customer, the business is earning respect and word of mouth referrals. The customer is the boss. Without people, businesses would not be able to survive. Without questioning people, the businesses would not know what to sell. Sources http://homebusiness.about.com/od/homebusinessglossar1/g/marketing-mix.htm

Source by Basim

Marketing is misunderstood and much maligned. The industry is dogged by pejorative associations with concepts such as ‘spin’, ‘hype’, ‘gimmick’ and ‘ploy’, and it is not uncommon for fellow board members to refer to the marketing director as ‘the chief flower arranger’.

So it’s perhaps not surprising that when times get tough, marketing gets it in the neck from governments too. Marketing is seen as an agent of consumerism, and is, therefore, an obvious scapegoat for major societal problems such as obesity, binge drinking, global warming and debt. It is much easier for governments to publicly ‘punish’ marketers with legislation that restricts their licence to operate, than it is for those governments to tackle some of the issues themselves. Marketing and democracy provide similar benefits, as I and my fellow author Katherine Jocz outline in Greater Good – How good marketing makes for better democracy (Harvard Business School Press, February 2008). For example, marketers give consumers information and choice, they seek to engage them to earn their loyalty, they try to bring quality and innovation to the masses. Marketing also provides ‘social glue’ via successful exchanges, and improves living standards and consumer wellbeing. Similarly, democracies depend on informed citizens participating in the political process and making choices among political alternatives.

They also promote the welfare of all citizens, which leads to improved prosperity. But marketing is better than democracies at providing these benefits. For example, while consumers in the commercial world ‘vote’ every day at the cash tills, citizens have to subsume their individual preference to a collective will, and consume the policies of the party that has been elected. Marketing is also quicker than democracy to spot and embrace new trends, while strong brands can forge the kind of long-term loyal relationships with their consumers that politics, with its mass market approach and lack of any real competition, can only dream of.

Marketing is also being used as a force for social good – witness the rising popularity of Fairtrade goods and the commitment to tackling climate change by brands such as Marks & Spencer. Indeed, you could argue that the practice we get as consumers every day in the commercial marketplace makes us better, smarter citizens – which may be why our politicians are frequently such a disappointment to us. The difference in the way politicians and brands ‘advertise’ themselves is further evidence of marketing’s more highly evolved status.

Brand advertisements knocking the competition are frowned upon in the commercial world – marketers know that a tit-for-tat war of words turns consumers off the category as a whole – but they are par for the course in politics. The penalties of this approach were obvious in the US Democratic race, where Hillary Clinton and Barrack Obama took every opportunity to undermine each other’s credibility. Their subsequent efforts to present a united front against Republican John McCain in the Presidential campaign were met with understandable cynicism.

It is time governments, NGOs and the general public sat up and recognised the positive social and economic impacts marketing has on society as a whole. It contributes significantly to economic development, for example. In the US alone 17 million people hold marketing, sales and customer-service jobs. Marketing also supports the pillars of democratic society. It funds our diverse media, including the internet, giving citizens access to information about political figures, policies and programmes. And marketing knowhow helps public policy makers change citizens’ behaviours by, for example, encouraging seat-belt use, good nutrition and responsible drinking. So instead of treating them merely as taxpayers, donors and voters, politicians should treat citizens as well as marketers treat their customers. They could improve the democratic process as a result.

Previously published in the Business Review, Impact Executives

Interim Management

Source by Clive Sexton

Most of what I am going to talk about here is geared towards the new coffee shop. However, it can be utilized and directed towards an established shop. When I wrote my business plan, I made sure I had marketing covered from many angles because most traditional forms of marketing do not work in the specialty coffee business. When opening your coffee shop, you should know what types of advertising and marketing are actually worth your money.

Outside of your regulars, coffee is an impulse buy because the customer saw your sign. Aside from your regulars, most folks do not set out to ‘go to the coffee shop’ like they would to a restaurant (unless you ask them to so more on this later). You need a steady stream of customers outside of your normal morning commute business.

The morning commuters are your bread and butter, the rest helps fill in the revenue holes. These are your impulse buyers. They are going to come to you mainly via your sign outside, so instead of sending out 10,000 post cards to your neighborhood residents, spend that money on a premium location, visible sign and branding your image. You’ll be glad you did:

As far as your signage, get one that is AS BIG AS POSSIBLE. That is, as allowable by your city ordinance and landlord, without being tacky! The bigger the sign is, the more visible it is.

By branding your image, you are identifying your existence within your community. Be sure you have a unique logo. If you cannot design it, get one custom made by a professional! I have seen a lot of cheap looking logos that do not help the image.

Another step in branding your image is to secure your shop’s name on the world wide web by registering the domain name. Try to get all the domain tags: .com, .net, .org, etc. This is for email, and your website. You will be glad you did because it gives you a more professional image. Remember, the more common your business name is, the more difficult getting it registered online is going to be because the name may be taken.

As for your website, get one! If you can do this on your own, more power to you here too. I know just enough to be dangerous but you can get a nice website, even with online sales capabilities done economically. Check around locally, I bet there are a few web gurus in your area.

Here is where you have the chance to have every customer take your name with them when they leave allowing others to see it. Whether you have sleeves custom printed or you use stickers and put one on each cup or protective sleeve, they are all part of your branding. Be sure the design is clear and defines your shop well. The same goes for stamps. You can have a rubber stamp made to stamp your whole bean coffee bags with. Note that the brown Kraft paper bags are what you’d need for this. If you use the foil bags, your stickers will work well for this too.

Press releases are an inexpensive way to tell the world what you are doing. A carefully crafted press release sent to the right person at the right news outlet can be the best form of advertising for you. Just be sure that whomever is on the press release as the contact person is actually available to be contacted.

Another great form of marketing is your use of tee shirts, caps and other wearable’s. These are walking billboards for you courtesy of the folks that buy them. You can give them away if you want, it’s all good advertising. Yes, they are expensive but I consider this great advertising and an expense under that category. Better, yes if you can make up the cost on them. But put this cost into your advertising budget. See if you can get them locally, if not there are several reputable companies on the internet. You will pay about $15.00 each in the end, but again the investment is very well worth it.

Where would we be without business cards? Think about it: how many people have you run into that do not have a business card for whatever it is they do for a living? Not many that I can remember. This is your time to tell everyone you meet that you are in the coffee business. Everyone you meet should get one of these and a few to spare. Do not be shy about handing them out!

Menus are a great example of simple marketing. These are the take out type so try to keep it simple. Under four pages, printed on an 8.5″x11″ sheet of BRIGHT colored paper and folded in half is best. You can leave them at area businesses if they allow it. You can also put them on your counter by the checkout and anywhere else your customers will see and take them. You can have them copied at any copy place, or see if you can have a local copy shop do them. They should cost about .10-.15 cents each. All you need is a place to make them on a copy machine. Menus printed on a printing press will be more expensive in most cases.

Support materials are also a good way to advertise your products. You can usually get POS materials FREE from any supplier you are using. This goes for tent cards to put on your counter to full color posters to hang in your windows. Check with your distributor. If they do not keep these kinds of materials on hand, a call to the manufacturer can usually get them in your hands relatively quickly.

Vinyl lettering on your vehicle is another form of advertising, and another type of moving billboard. There are several places online that will allow you to use a particular vehicle template to design your lettering. Again, check around locally for better service and pricing. I had vehicle lettering made for my SUV: rear window and both rear side windows or under $100.00. Your vehicle will essentially become a moving billboard.

Vinyl lettering can be gotten for your store windows too, which will be similar to your vehicle lettering. Check with the same source.

Word of mouth is an excellent source of marketing. Customers can be your biggest and best marketing source for you. It can also backfire on you if you tick someone off or if a customer ends up having a bad experience at your shop, for whatever reason.

Make every effort that all customers are satisfied before they walk out of your door. You may never have the chance to do it again and everyone that that dissatisfied customer meets may be told of the unfortunate incident at your store. They may not come to your store if there was ever that chance they would.

Talk to the world online via your blog. This has got to be the best invention since a website and the internet itself started. Where else can you talk about nearly anything and let the world read it? You may just develop a following not only locally, but around the world.

Have event nights. This is great for weekends and ‘dead’ times. Earlier, I spoke about customers coming to your shop if you asked them to. This is where you have that chance. Events that will bring in business are almost plentiful. A few examples are trivia night, open mikes, singer-songwriter and other music performances, book signings and poetry. It can also be just about anything else you can think of that is of interest to others. A word of caution about playing DVD’s and TV/cable shows: Most of these are copyright protected and although you may not think you are breaking any laws, it can be construed as such. It’s a royalty issue because you are making money on your beverages, in your establishment showing a DVD bought for ‘personal’ use. Just be careful here. Some satellite services allow this with a paid subscription, however.

It’s been my experience that this coupon mailers are usually a waste of money in the specialty coffee industry. There are way too many coupons in most of these mailers and most recipients throw them out. I know I do.

Internet advertising is good if you can limit to advertising locally using your zip code. You can reach a captive audience on the internet. It’s relatively inexpensive because you choose what to spend on each ad and only pay per click. This is also good if you choose to sell whole beans online, however if you do not roast in-house this may be cost and inventory prohibitive.

Be careful when using coupons in any form. Coupons tend to cheapen the specialty coffee industry so I do not recommend using them. Bogo’s (buy one get one) are ok for some advertising, like opening a new coffee shop but, you will get your bargain seekers that wait for those coupons in order to patronize you. You could create more monsters!

You will also, occasionally get regulars that bring in the coupons. Even though they are as deserving of the coupon as anyone else is, your aim is to get NEW customers so the ‘coupon’ doesn’t always work. The only way I recommend a coupon is for a first time customer. You can usually get mailing addresses of new residents from your chamber of commerce and do a select, targeted mailing to the new residents only.

So there are some easy, mostly economic ways to effectively advertise and market your coffee shop. Remember, your customer service and quality will always have to be top notch but you can skimp on some advertising dollars by being crafty and conservative.

Source by Tony DiCorpo