ENGLISH FOR MARKETING AND

ADVERTISING

INNOVATION

EXAMPLES OF INNOVATIVE PRODUCTS

IES FORT PIUS (15yo)

LunchGum: a chewing-gum that

provides all nutrients of a meal

IES FORT PIUS (15yo)

LunchGum: a chewing-gum that

provides all nutrients of a meal

IES SEDETA (15yo)Time-travel agency: travel to any time in

history you wish

IES SEDETA (15yo)Time-travel agency: travel to any time in

history you wish

IES ICARIA (16yo)No-Mosquitos: fashion

clothing with rechargeable mosquito

repellant

IES ICARIA (16yo)No-Mosquitos: fashion

clothing with rechargeable mosquito

repellant

Before starting, read the following article:http://www.inc.com/articles/1999/03/17958.html

Introducing New Products

MARKETING AND ADVERTISING ACTIVITIES

Done in the company Outsourced

-Liaising with the sales and purchasing department.-Showing visitors around the company.-Speaking to journalists and writing press release.-Offering giveaways.-Offering free samples and periods of trial.-Socialising.-Presenting at a trade fair-Choosing the ad agency and commissioning the campaign.

-- Analysing the feasibility of the project. Doing market research; Talking to customers.- Drawing up a marketing plan.- Creating advertisements.-Organising the ad campaign.

Market research is any organized effort to gather information about markets or customers using statistical and analytical methods and techniques of the applied social sciences to gain insight or support decision making. It is a very important component of business strategy. It provides important information to identify and analyze the market need, market size and competition (competitors’ analysis is also an important kind of market research).It is the best way of knowing what people WANT, NEED or BELIEVE.

MARKET RESEARCH

Qualitative market researchIt is not numerically-based, but opinion-based.  It can be used to uncover how people feel and what they think about your product and identifying trends. One common type of qualitative research occurs when a company gets a number of their target customers together and presents them with a new product – say, a new yoghurt. One member might come out and say, “this product is far too fruity” and another might say, “I find the texture of this yoghurt far too runny”.  This kind of feedback helps the supplier improve the product.

Open-ended interviews: questions that can not be answered with a simple yes or no. This type of interview gives you a lot of information, but is time consuming.

Focus groups should be lead by professionals skilled in leading small groups of 6 to 12 people through a series of questions ranging from specific to general in nature. Usually, focus group sessions last for at least an hour. Since focus groups must be lead by trained professionals to be most effective, they are the most expensive form of market research.

Surveys take longer to develop, but are generally easier to administer than other types of market research. Since they take less time to complete, people are usually more willing to answer them. Also, surveys provide excellent information if they are well-constructed with thoughtful questions. The easiest and most cost effective way to conduct surveys is either by telephone or where the product is sold.

Quantitative market researchResearch that involves statistical analysis and mathematics. It should be used whenever you need to identify a numerical output. It could be appropriate to calculate market sizes for your potential product, that is to say, the number of people who could be interested in buying it. 

COLLECTING DATA

SOURCES OF AVAILABLE DATA:

-Sales and purchasing statistics (by studing your sales records, for instance, you get some information about the people who buy from you).

-Geographical statistics.

-Panel surveys (A longitudinal study in which variables are measured on the same units/samples over time.) For example, studying the musical taste of a specific sector of the population which ranges from 15 to 20 years old and repeating the same survey among the same sector of the population after periodical periods of time.

-In contrast to panel surveys, we have cross-sectional studies can be used to estimate change by asking questions about past behaviour.

COLLECTION OF NEW DATA:

-Individual interviews (direct contact with each one of the interviewed people. The most effective method but the most expensive one. Street interviews are an example of individual interviews).-Postal survey (by mail)-Email surveys. (They can be done, for instance, to the most loyal customers. This is called DIRECT MARKETING).-Telephone surveys (photoc. Page 15).-Feedback forms: forms to know about your company’s performance. Thus you know the level of satisfaction of your clients. They may include questions such as “please tell us if you plan on doing business with us again/consult professionalism/consult overall performance/ rate the quality of your meal: excellent, good, sufficient, abismal/please enter any request you may have below…”).-Social events. (This is a good chance to know about what existing and potential clients need).-Trade journals (by reading them, you learn about new trends).

ANALISING THE ENVIRONMENT

- Legal environment: the company must apply the law currently in force for instance, relating the safety rules for the product, its composition, for the allowed preservatives, its pollutant waste, etc. - Technological environment: the company must know all the technological improvements which can ease the production process and reduce costs.- Social environment: it is essential to know the changes going on among the potential consumers: tastes, economy, fashion, trends, salaries, etc.- Economic environment: recessions, expansion, economic downturn. Any economic environment affect the consumption of a product.

ANALISING THE COMPETITION

To do so, it is important to follow these steps:

-Positioning of the competition.

-Research of the required information: market share, costumers profile, prices, suppliers, presentations of their products, location of its premises, applied technology, marketing plans, ads, etc.

-Comparison concurrence-our company.

ANALISING THE CUSTOMER

-Who buys? (The buyer is often not the same person as the consumer)- What? (What’s the feature of our product which is attractive for the client?) -Where (what kind of stores are their favourite)? -Why (what are the costumers’ needs? -When? (Has our product a seasonal consumption?) -How much? (Big/small quantities?)-What’s our clients’ behaviour? (Do they care for brand loyalty? Do they follow the trends?)

MARKET SEGMENTATION

This is a marketing strategy that involves dividing a broad target market into subsets of consumers who have common needs.

Geographic segmentationSegmentation according to geographic criteria—nations, states, countries, cities, neighborhoods, or zip codes. With respect to region, in rainy regions you can sell things like raincoats, umbrellas and gumboots. In hot regions you can sell summer wear. In cold regions, warm clothes.

Psychographic segmentationConsumers are divided according to their lifestyle, personality, values and social class. Consumers within the same demographic group can exhibit very different psychographic profiles.

Behavioral segmentationIn behavioral segmentation, consumers are divided into groups according to their knowledge of, attitude towards, use of or response to a product.

Segmentation according to occasionsIt is based on the arising of special need and desires in consumers at various occasions. For example, for products that will be used in relation with a certain holiday, such as Christmas decorations or Halloween masks are marketed almost exclusively in the time leading up to the related event, and will not generally be available all year round. Another type of occational market segments are people preparing for their wedding or a funeral, occasions that only occur a few times in a persons lifetime but happens so often in a large population that it can be considered a market segment.

Segmentation according to benefitsSegmentation takes place according to benefits sought by the consumer or which the product/service can provide.

(...)

THE MARKETING PLAN

MARKETING = All the activities a company does to satisfy the consumers’ needs in order to get a profit. It is a critical business process

that is responsible for attracting, retaining and growing customers.Goods and high-quality products aren’t sold if there isn’t a good

marketing plan behind the scenes which make the product known and desirable. To make a product successful quality is not enough. We also

need to know for instance when and where the consumers need it.

Drawing up a marketing plan

SWOT analysisFixing objectives and sales projectionsSelecting strategies (being focused on the marketing mix)BudgetFollow-up (is there any need for corrective measures?)

Photoc. Page 26

SWOT ANALYSIS

A structured planning method used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a project or in a business venture. (=DAFO = debilitats, amenaces, fortaleses i oportunitats). It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieving that objective.

Lack of working capitalLack of staffOld-fashioned technology (...)

Well-motivated staffWell-defined objectivesUp-to-date technology (...)

Competitive competitionThe need of pollutant waste (...)

A wide target marketAn increase in import dutiesGood options for exporting

SELECTING STRATEGIES

Deciding the best way to get the fixed objectives, always focusing on the marketing mix. Some examples:

-To offer short delivery times to customers-To invest in important ad campaigns-To become more specialized as a company-Not to commercialise a product in some specific markets-To increase the product portfolio-To change the distribution channel-To increase some feature of the product-(...)

When organising your marketing plan, take into account what is called the MARKETING MIX, that is to say, the four Ps:

- product- price- place (=distribution) - promotion.

To better understand these concepts (0-5.40min): http://www.youtube.com/watch?v=ys7zx1Vc9po

Features which make it different and better from other existing products. These features should also respond to the customers’ needs and should be flexible and adaptable to them.

PRODUCT

KINDS OF PRODUCTS:

-CONSUMER GOODS: Products that are purchased for consumption by the average consumer. Clothing, food, automobiles and jewelry are all examples of consumer goods. They satisfy the needs of individuals.-INDUSTRIAL GOODS: Those used by companies. They can be the same as the consumer goods but with an industrial purpose.-SERVICES: those intangible products included in the tertiary sector: turism, insurances, education, health, finances, leisure, etc.

The product portfolio is comprised of all products a company commercializes.

PRICING MODELS:

- Captive product pricing: Pricing one item very low and its complement very high. (cheap printers and expensive cartridges)

- Economy pricing: Pricing goods/services as cheaply as possible.

- Geographical pricing: Pricing according to area where goods are sold. (cheaper in countries with a lower per-capita income).

- Penetration pricing: Pricing goods at a very low price to encourage people to buy them – often the prices are later raised.

- Premium pricing: Keeping a price artificially high in order to encourage favorable perceptions among buyers (“the quality justifies the cost”).

PLACE

This element of the marketing mix includes two concepts:

The kind of stores where the product

will be commercialized

The distribution

STORES: These are some types of shop which can become sellers of your product. Match the definitions with the name of the shop:

Chain stores – convenience stores – franchises – high-street shops - hypermarkets mail-order stores – online stores – outlet stores

a. Large no-frills stores located outside the town centre .......................b. Stores selling thorough the Internet ..................c. Independently-owned shops licensed to trade under the same name ...............d. Shops located in the centre of town .................e. Shops run by a single company with multiple locations around the

country............f. Very large stores that sells groceries, clothes, and many other products.............g. Stores selling through a catalogue posted to customers ..................h. Small, independently-owned stores selling essential products .................

DISTRIBUTION: the process of making a product or service available for use or consumption by a consumer, using direct means, or using indirect means with intermediaries.

The channels of distribution are broadly divided into three types:- Producer-Customer:The simplest and shortest channel in which no middlemen is involved and producers directly sell their products to the consumers. It is fast and economical. Under it, the producer performs all the marketing activities himself and has full control over distribution. A producer may sell directly to consumers through door-to-door salesmen, direct mail or through his own retail stores.

Producer-Retailer-Customer:This channel of distribution involves only one middlemen called 'retailer'. This channel relieves the manufacturer from burden of selling the goods himself and at the same time gives him control over the process of distribution.

Producer-Wholesaler-Retailer-Customer:This is the most common and traditional channel of distribution. Under it, two middlemen are involved. This channel is suitable for the producers who needed expert services and promotional support of wholesalers. This is mostly used for the products with widely scattered market.

Franchising: the franchisor is a supplier who allows an operator, or a franchisee, to use the supplier's trademark and distribute the supplier's goods. In return, the operator pays the supplier a fee. The franchisee has to follow the business concept and secure its know-how. There is a great deal of standardization required. The place of service has to bear the franchisor's signs, logos and trademark in a prominent place. The uniforms worn by the staff of the franchisee have to be of a particular design and color. The service has to be in accordance with the pattern followed by the franchisor in the successful franchise operations. Thus, franchisees are not in full control of the business.

(...)

PROMOTION: The way you reach customers. By means of three kind of agencies:

PR agencyCreative agencyMedia Agency

Advertising is a form of communication for marketing used to encourage, persuade, or manipulate an audience (viewers, readers or listeners; sometimes a specific group) to continue or take some new action. Most commonly, the desired result is to drive consumer behavior with respect to a commercial offering, although political and ideological advertising is also common.

Advertising messages are viewed via various media:

- Traditional media: newspapers, magazines, television commercials, radio advertisement, outdoor advertisement (=wall paintings or billboards), direct mail.- New media: blogs, websites or text messages.

HOW TO CREATE AN AD:

-Know the customer. Even the cleverest ad won’t work if it doesn't appeal to the target audience. Are you looking for a certain age group? Do you want people with a set income level? Or maybe you're looking for a population with a special interest? Whatever it is, try to get a clear picture of who your dream consumer is and why he or she would be interested in what you're advertising.

-Use a persuasive technique. There are tried and true methods that advertisers rely on to make their ads stick. These include:

- Common sense-Humor-Repetition

- Come up with a catchy, snappy slogan.1

2

3

- Find a way to connect the desires of consumers to what you're advertising. Think of it this way: the ad should be a bridge between what your dream consumer wants or needs and your product.

- Focus on the most appealing aspect of your product. Why should people be interested in it? What sets it apart from other similar products? What do you like best about it?

4

5

Here are the 15 tutorials for creating ads with a professional look. Most of them with photoshop: http://www.onextrapixel.com/2010/06/04/how-to-make-a-professional-ad-15-awesome-tutorials/

- Try to make sure your advertisement will age well. You don't want people looking back at your ad in 10 years and being shocked at its content.

- Make sure all the relevant information is included. If your consumer needs to know your location, phone number, or website (or all three) in order to have access to your product, provide this information somewhere in the ad. If you're advertising an event, include the location, date, time and ticket price.

Publicity draws on several key themes including birth, love, and death. These are of particular interest because they are themes in human lives which feature heavily throughout life.

PR is the strategic management function that helps an organization communicate, establish and maintain relation with the important audiences.

PR agency:

1- Brand name of the product2- Brand positioning3- Press release4- Webpage5- Slogan.6- Giveaways7- Socialising acts.

http://www.youtube.com/watch?v=FOzylUcfUeQ

BRAND: NAME OF THE PRODUCT AND LOGO

BRAND = The "name, term, design, symbol, or any other feature that identifies one seller's good or service as distinct from those of other sellers. Many studies state that consumers need to feel secure by acting in loyalty with a brand.

Different BRAND STRATEGIES:

-Corporate brand strategy: using an only name for all its products. This strategy has the advantage of being cheap as promotional costs are reduced and is recommended when a company commercialise similar products (dairy products, pasta, etc). Disadvantage: the prestige of the company may be affected by a failure in one of its product launches as costumers may lose the trust they used to have in their manufacturer. Example: Sony or Pastas Gallo.

-Unique brand strategy: giving a specific brand for each product. In this case, no one will be affected by the other ones’ failure, should it ever happen. Example: the multinational Procter&Gamble manufactures several products such as H&S shampoo or Ariel.

-Private brand strategy: a large distributor buys from a manufacturer in bulk and puts its own name on the product. Advantages: more freedom and flexibility in pricing; more control over product attributes and qualityhigher margins (or lower selling price). Example: Carrefour.

BRAND POSITIONING

In marketing, POSITIONING is the process by which marketers try to create an image or identity in the minds of their target market for its product, brand or organization. This image or concept is often used in several ways during the ad campaign. Examples:

Disney: Family Fun EntertainmentMcDonalds: Food and FunApple: InnovationToyota: Reliability

https://www.youtube.com/watch?v=JKIAOZZritk&list=PLcSZO1nSjLwoulmIFHcIlFPeQIpNgpPF0

THE PRESS RELEASE

Webpage

SLOGANS :

A memorable phrase used in a commercial context as a repetitive expression of an idea or purpose. Slogans are often used in conjunction with company logos and in advertising campaigns.

They are claimed to be the most effective means of drawing attention to one or more aspects of a product or brand.

Top brands change their slogans all the time, and you can do the same if you feel you need to five years down the line. No slogan is cast in stone.

SOME TIMPS FOR A GOOD SLOGAN:

- Make it Memorable. Make it easy to remember.

- Keep It Simple. A logo is only effective if your audience can understand it quickly.-Be honest. A slogan only makes sense if your business can deliver the promised service.

-Rhythm and Rhyme. Create rhythm and rhyme. It will help to stick in the memories of those that read it or hear it.

-Key Benefits. Your slogan must contain a key benefit of the product or service.

A LOGO is a symbolic, identifying mark that conveys origin, identity, or ownership. The main function is to elicit recognition. The object of a logo is to communicate a desired thought or feeling, and to generate a desired emotional response. A thought-provoking logo design gives you a psychological advantage over your competition. Your logo is the core of your corporate identity, defining and symbolizing the character of your company or organization.

Iconic/Symbolic - Icons and symbols are uncomplicated images that are emblematic of a particular company or product. They use imagery that conveys a literal or abstract representation of your organization. Symbols are less direct than straight text, leaving room for broader interpretation of what the organization represents. It can be either concrete or abstract. In order for a symbol to be a truly effective logo, it should conform to these maxims:

- Instantaneously recognizable.- Memorable.- Clarity when reproduced in small sizes.

There are three basic types of logos

Logotype/Wordmark - A logotype, commonly known in the design industry as a "word mark", incorporates your company or brand name into a uniquely styled type font treatment. Type fonts come in thousands of possible variations, shapes, sizes, and styles, each conveying a slightly different impression upon your intended audience. Script fonts imply a sense of formality and refinement. Thick fonts proclaim strength and power, whereas slanted type fonts impart a sense of motion or movement. Type font treatments can also include hand-drawn letters, characters or symbols that have been rendered in such a way as to intrigue the eye and capture the interest. Of prime consideration when selecting a logotype or wordmark is legibility and ease of recognition, even when reduced to the size required for printing your business cards.

Letter Form (Lettermark): fun with letters, that’s essential the core of letter form logos. They are really common and can get really creative. Not just different type fonts, but actually using the letters to make the logo compelling and interesting. It can be as simple as one letter, or as complex as a half a dozen letters. Usually, most designers limit themselves to 3 letters, but more than that isn’t unheard of.

Combination Marks - Combination Marks are graphics with both text and a symbol/icon that signifies the brand image that you wish to project for your company or organization. There are integrated and stand alone combination marks. For instance, Starbucks logo has the text with the graphic integrated, whereas the AT&T logo has the icon separate from the text.

For more information: http://www.logodesignsource.com/

Offering giveaways

Foutain pens

USB stick

Conference file

Conference bag

Golf tees

Umbrellas

Mouse mat

Ballpoint pen

SOME EXAMPLES

Many companies organise social events for their clients and business partners. That provides an excellent opportunity for business people to “meet and greet” in an informal setting. These “meetings” focus on relationship-building through small talk and introducing mutual friends. They are a good chance to speak to the competition and find out more about one’s rivals.

Listen to the radio from the BBC on Business socialising.

Socialising Acts

Presenting at a trade fair

A good opportunity to meet customers, search for new ones and meet business partners. It’s an excellent opportunity to “meet and greet” and stablishing a

relationship-building through small talk and introducing mutual friends.

USEFUL PHRASESAttending stand at a trade fair Visitor’s questionsMay I help you? Could you tell me more about your company?Let me introduce myself. I’m.. Do you offer..?Let me give you my card. How can I reach you?Can I ask what comany you’re with? Do you have some info I can take away?Would you like to put your name on our mailing list? Excuse me, are these brochures to take away?Just let me know if you need anything.

Photoc. Pàg. 54-55Listening number 22.

Creative agency:

1- Reception of the briefing (all the information from the customer).2- Analysing the situation of the market, the concurrence and the target market of the product.3- Brainstorming to find the concept of the ad.4- Development of the concept and preparation of all the versions (TV ad, page on a magazine, online...). 5- Presentation of the different versions to the client.6- Dispatch of the material to the media agency.

CREATING ADDS

The objectives of any ad campaign follow the AIDA model:

Catch the audience’s AttentionMake them InterestedCreate DesireAnd state the Action the audience should take (e.g.Call now!)

-Use convincing adjectives: reliable, easy to use, luxurious, good value for money, trustworthy, innovative, unusual, user friendly...

-Be honest: people don’t like being deceived.

-Emphasize what makes you different from the competition (price, delivery services, after-sales service...)

-Offer trial periods or money-back guarantees which encourage your customers to try a new product.

-Other tips: be repetitive; put yourself on your client’s shoes (focus on benefits,etc); build rapport by saying you/your; use quotes from satisfied clients or experts; call to action!.

CREATING ADDS

Some examples of successful ads:

http://www.youtube.com/watch?v=OAlyHUWjNjE&feature=related

http://www.youtube.com/watch?v=i8Qt24kZbXs

http://www.youtube.com/watch?v=ZHCuA0KnITY&feature=fvwp&NR=1

Advertisements should be in some way UNIQUE:

-Sad -Surprising-Impressive-Funny-Short-Catchy slogan: A catchy slogan often adopts a figure of speech that makes it easier to say, alludes to a concept beyond simple description and/or makes it more memorable. Different kinds of figures of speech: rhyme, metaphor, personification, hyperbole, play on words usually to create an ambiguous meaning, alliteration (the same letter at the beginning of each word), etc. These figures of speech become a kind of mind glues for the audience and allow the ad to stay in their mind even when the ad is long gone.

Media agency:

1- Reception of the material2- Analysing the situation of the market, the concurrence and the target market of the product.3- Analysing the audience chart and the most suitable media for the ad. 4- Analysing the cost of distributing the ad. 5- Presentation of the campaign to the client.6- Buying the advertising slots by negotiating consecutive insertions.7- Sending all the material to the media.9- Controling te emission and analyising impact.

STUDYING AUDIENCE CHARTSAND DECIDING SLOTS