Module II: Marketing Communications By-Dr. Arif Hasan

Amity Business School
Module II: Marketing

Communications
By- Dr. Arif Hasan
Marketing communication
• The Marketing Communication refers to the means adopted
by the companies to convey messages about the products and
the brands they sell, either directly or indirectly to the
customers with the intention to persuade them to purchase.
• In other words, the different medium that company adopts to

exchange the information about their goods and services to the
customers is termed as Marketing Communication.
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• The marketer uses the tools of marketing communication to

create the brand awareness among the potential customers,
which means some image of the brand gets created in their
minds that help them to make the purchase decision.
• Marketing communication offer solutions to the following

questions:
Why shall the product be used?

How can the product be used?
Who can use the product?
Where can the product be used?
When can the product be used?
• Marketing communication includes Advertising, Sales

Promotion, Events and Experiences (sponsorship), Public
Relations and Publicity, Direct Marketing, Interactive
Marketing, Word-of-Mouth Marketing, Personal Selling.
• These tools of communication are collectively called

as Marketing Communication Mix.
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Advertising Amity Business School
Advertising is any paid form of non-personal method for the

promotion of ideas, goods, or services by an identified sponsor.
• Paid communication Sponsor is identified
• Inform or persuade Non-personal/ Reaches a large audience
Types of Advertising Media

• Publications, Broadcast Media, Direct Mail, The Web, & Other
Types of Advertising Media

• Product advertising – Non-personal selling of a particular good or service
• Institutional advertising - Promotion of a concept, an idea, a philosophy, or
the goodwill of an industry, company, organization, person, geographic
location, or government agency
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Types Of Advertising Amity Business School
1 -Television Advertising – TV
TV advertising is a popular way to mass-market messages to large
audiences. Although this me-dium has the ability to reach a high number of
potential buyers, it is also one of the most costly forms of advertising.
2 -Radio Advertising
Radio advertising is an effective way for businesses to target a group of
people based on location or similar tastes.
3- Print Advertising
Magazine and newspaper advertisements are another way to spread the word
about a product or service. Print advertising also offers the ability to target
specific audience based on geography or com-mon interests. Print
advertising usually includes larger display ads, as well as classified
advertising. The classifieds are typically very affordable, whereas display
ads are a bit pricey.

4- Online Advertising
Advertising online is an increasingly popular method for promoting a
business. There are many forms of online advertising. Banners are image
advertising displayed on web pages. Google advertise-ment is another
popular form of online advertising that matches an ad to an internet user's
search inquiry.
5- Billboard Advertising
Billboard advertisements are large advertisements displayed on structures in
public places. Most commonly, billboards are located along the highways
to target the passing motorists.
6- In-store Advertising
In-store advertising, takes place within a retail store. For example, a
company that produces a new cleaning product might include an end cap
display when they ship the product to stores. This gives the store an
attractive display that draws attention to the new product. Other types of in-
store advertising include banners and display cases.
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7 -Word of Mouth Advertising

While some may argue that word of mouth is not advertising because it is
free, this form of promo-tion is one of the best and the most credible and
priceless asset of any business. Even if business owners cannot buy word
of mouth advertising, they can encourage their customers to tell their
friends and family about the great product or service they purchased.
8 –Endorsements
Endorsement is similar to word of mouth promotion but typically does
involve money. Having a product or service endorsed by a celebrity can
increase sales and product awareness. Not every company can afford to
have major A-list celebrities promoting a product. Smaller companies
consider using local celebrities or well-known individuals within the
product's niche market.
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Five Players of Advertising Amity Business School
• The Advertiser is the individual or organization that usually initiates

the advertising process.
• The Advertising Agency plans and implements part or all of the
advertising efforts.
– May use an outside agency, or their own advertising department or
in-house agency.
• The Media are the channels of communication that carry the messages
from the advertiser to the audience, i.e. television, magazines, radio,
etc.
• The Vendors are a group of service organizations that assist
advertisers, advertising agencies, and the media, i.e. freelance
copywriters, graphic artists, photographers, etc.
• The Target Audience may be the purchaser or the consumer of the
product, or both. May need to design different ads for each group.
– Critical to know as much about these target audiences as possible.
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Functions of Advertising Amity Business School
• Communicating a Brand’s Identity

The primary objective of any advertising strategy is to communicate the
identity of any brand to its existing customers and to build relationships with
new customers. Since companies are meant to act just like the face and name
do for a person. Companies are the identity of any product and to help the
people in getting the idea that a particular belongs to a specific company or
that specific company has that much amazing product under its list of
creations, advertising is put to good use.
• Supplying Information to Consumers

Advertising a brand out in the target market is the best way of informing
people that what your brand is and surprising them by showing the enormous
potential that your brand holds in it. And for that purpose, one can make use of
any advertising medium so that he can broadcast the detailed features of a
particular product in such a compelling way that people are automatically
attracted to services and products which his company provides.
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• Maintaining Customer Base

Amity
It is a fact that demand generation is the job of advertising Business
but School
fulfilling that
demand and keeping the customers happy with the product quality is the next
most important thing that your company needs to care for. Yet there too,
advertising comes in as a savior and keeps the confidence of your customer up
by encouraging the purchasing activity. Moreover, the loyalty of the
customers increases, in a pretty much similar pattern, as that of the quality
consistency of the both the product and advertisements.
• Persuading customers to go for your Products

If your advertising strategy has got what it needs to compel the customers for
purchasing your products, then surely there’s nothing that can stop you from
doing business. Among the most obvious functions of advertising, persuasion
belongs to the most important category, also. That’s why it is important for a
business to create powerful and creative visual presentations with a strong
action driving effect so that the customers get the feel of your company as a
trustable and a reliable one.
• Generating demand
Getting a feel in hearts of consumers that how easy it all will get with your
brand and products to tackle many difficult tasks of everyday life and thus,
ultimately leading to a rising demand for it. It is one of the most powerful
functions of advertising since it lets you manipulate the consumers thinking to
your advantage, therefore luring them to your business. Because of targeted
advertising, a company is likely to get a refined customer base consisting of
customers that are interested in buying only your product.

• Pricing Comparisons
Once you put an ad on any of the advertising media, it is very likely to be
seen by hundreds and thousands of customers (and there are also chances
for the number to grow up to millions and billions). This, along with the
ads from your competitors helps the customers in making the comparison
between your product and that of your competition. This comparison can
be made on the basis of features, qualities, drawbacks and mainly, prices.
Since price is one of the main factors that drives the customers purchasing
activities.
• Previewing New Trends

Whenever a new product hits the market, it is very likely that it will lead to
the formation of a new and lasting trend. But how far it lasts depends on its
features, the quality level of the advertising strategies meant for promoting
it as well as the disturbance it causes in the current business levels of your
competitors. You can think of it as a product unique of its kind starts
getting a lot of sales, then there are huge chances that your customers will
also try to jump right into the competition with their products.
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Activity Amity Business School
• A start up, low-budget company wants to market its detergent

powder in a phased manner. Suggest what promotional
method(s) should it adopt, and why?
• You are area PR manager in an airline and there is passenger

plane crash. What steps would you take to handle the crisis?
• What steps Coca Cola and Pepsi Co. undertook to counter

negative publicity? Write a report.
Activity -2 Create a Print Advertisement

• Create an advertisement for

your product in Microsoft
Office Publisher or Word.
• Refer to the 4 P’s. Use
words and graphics to
identify and explain how
the product fits into the 4
P’s.
• Use an 8.5 X 11 inch paper.
• Include a picture of your
product on the poster.
• Include your company
name, logo, and slogan.
• Use the Print Ad Rubric,
for guidelines.
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Activity -3 Create a Commercials

• Create a commercial advertising your product.

• Your commercial should be only one minute long and
recorded.
• This will be presented in front of the class.
Assignment: Solo or Duo Amity Business School
• Design an advertisement for your business (select any company)

• Find five of the most unique advertisements you can, Place
them in a PowerPoint & Rank them as your top 5
• Create a Human advertisement,

– Choose a person
– Place on body
– Company
– Explain why this person was chosen for product
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Sales Promotion
• The sales promotion includes the several short-term
incentives to persuade the customers to initiate the
purchase of the goods and services.
• This promotion technique not only helps in retaining

the existing customers but also attract the new ones
with the additional benefits.
• Rebates, discounts, paybacks, Buy- one –get- one free

scheme, coupons, samples, cash refund offers, prices
off, premiums, free trials, warranties, tie in
promotions, point of purchase displays, and
demonstrations for consumer promotion; price off,
advertising and display allowance for Trade
Promotion; and trade shows and conventions,
contests are some of the sales promotion tools.
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Features of Sales Promotion

• Sales promotion does not include advertising, personal
selling, and publicity.
• Sales promotion activities are generally performed at
certain times thus, these are not regular activities, like the
display, fairs, and exhibitions, demonstration, seasonal
discount, free gifts, etc.
• Sales promotions help in selling and it makes
advertisements and personal selling easy and effective.
• Sales promotion encourages dealers and distributors to
sell the product more.
• Sales promotion encourages consumers also to buy the
product.
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Direct Marketing
• With the intent of technology, the companies make use of
emails, fax, mobile phones, to communicate directly with the
prospective customers without involving any third party in
between.
• It is a collection of techniques that enable organisations to

market products directly to customers (Business to customer or
B2C).
• It is a proactive approach to marketing that takes the products to

customers without the use of intermediaries. It is a form of
“non-shop” shopping referred to as one to one marketing.
• Direct marketing tends to target specific individuals or

households. The firm is eliminating the use of intermediaries
and selling directly to customers. This has implication for both
channel and logistical decision.
• There are two main features of direct marketing. Firstly, it

attempts to send messages directly to customers (direct mail,
e-mail, telephone) usually unsolicited. Secondly, it tries to
evoke a direct response from the customers (it attempts to
make the customer act).
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FEATURES OF DIRECT MARKETING

1. No middlemen- In direct marketing system, selling and
buying take place keeping direct contact between
marketers and customers through different media. So, no
middlemen are found in this marketing, therefore, no
commission is given to them, the cost is saved and the
customers can get goods at the cheapest price.
2. Customer oriented- Here relationship between

sellers and customers becomes deep as well as strong.
The sellers give emphasis on the wants, desires of each
customer. It is one-to-one marketing. As the producers
remain in direct contact with customers, they make
marketing mix keeping the customers at the centre.
3. Forms- The channels which help to conduct direct

marketing are taken as its forms. So, there are many
forms like direct mail, and catalogue marketing,
telemarketing, television marketing, Internet marketing,
etc. Any of these forms can be direct marketing.
4. Direct channel- Marketing channel becomes direct in

direct marketing. In this marketing channel, no
middlemen can be found. The producers themselves
deliver products to the customers directly. Customers
also keep direct contact with producers or distributors
through different media. Selling and buying take place
directly between them. As the channel becomes short in
this marketing, distribution cost also becomes least.
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5. Direct contact- There is direct channel in direct

marketing. Since no middlemen remain in this form,
direct contact is established between sellers and
customers. Producers can keep contact with customers
one by one. This makes easy for the producers to know
about the purchasing power, wants and interest of the
customers. Direct ransacking taking place. Distribution
cost is also reduced due to direct channel of distribution.
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PUBLIC RELATIONS
• Public relations activities are typically designed to build and
maintain a favourable image for an organisation and a
favourable relationship with the organization’s various
“publics.”
• These publics may be customers, stakeholders, employees,
unions, environmentalist, the government, people in local
community or some other groups in society.
• Common responsibilities include designing communications
campaigns, writing press releases and other content for news,
working with the press, arranging interviews for company
spokespeople.
• It also includes activities such as acting as an

organisation's spokesperson, preparing clients
for press conferences, media interviews and speeches,
writing website and social media content, managing
company reputation (crisis management),
managing internal communications and marketing
activities like brand awareness and event
management.
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Public Relations Amity Business School

PR refers to variety of programme designed to promote or protect a company’s
image or its individual products
Public relations is a strategic communication process that builds mutually
beneficial relationships between organization and their public.
PR is to create positive image about the company in the mind of public through a
campaign planning and use of public relation tools.
This is the process of non paid, non personal stimulation of demand for a product,
service or business units by planting significant news about it or a favorable
presentation of it in the media. Ex.- News paper report; presentations etc.
Major Tools in Marketing PR
Publications Events Sponsorships News Speeches
Charitable contribution seminar
Public Relations Functions/ Characteristics
Publicity; unpaid, impersonal promotions (talk show, movie premiere, charity, cars)
Promoting goodwill Promoting product, service, Corporate image
Lobbying Neutralizing negative publicity Press relations
Product publicity Corporate communications Counseling
Objectives of Public RelationsAmity Business School
- Assist in the launch of products/ company

- Assist in repositioning a mature product
- Building interest in a product category
- Influencing specific target groups
- Building Corporate image
Prerequisites of Public Relations
- It must first put its own house in order

- PR must have the respect of employees and community
- Work for the community as an able corporate citizen
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Features of Public Relations

(1) Securing Cooperation of Public: Public relation is
an activity to get support from public. Every
organisation wants to run successfully. For this public
(i.e., all related protagonists like consumers,
employees, shareholders and society) support is
essential or needed. And the support of public can be
earned through Public Relations.
(2) Successful relation with Public: Sometimes Public
develops negative attitude towards any company.
This attitude could be changed by establishing public
relations which helps in developing better relations
with public.
(3) Satisfying different Groups: Public relation is an

effort to satisfy different groups (like-consumers,
employees, shareholders and society). For example,
with the help of Public relation, the expectation of
any particular group is acknowledged. The group is
tried to satisfy by most possibly meeting their
expectations.
(4) Engaging in Dialogue: Every organisation wishes
to enjoy goodwill among all related protagonists. For
establishing good reputation it is essential to engage
in dialogue (i.e., exchange of ideas). During dialogue
organisation provides information and this is possible
only through Public Relations.
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(5) Ongoing Activity: This is an effort which has to be

repeated again and again. For example, to keep the
employees satisfied, meetings must be arranged with
them from time to time.
(6) Specialized Activity: Public Relation is recognised
in the form of a specialized activity. For example,
like-the other activities (purchase, production, sale,
finance, marketing etc.) in a business organisation,
Public Relation activity is also performed under the
same series of activities. This is the reason why all
big organisations establish Public Relation
Department separately.
Benefits of public relations

• Influence - Audiences are more likely to trust messages coming
from an objective source rather than paid-for advertising
messages. It is one of the most credible forms of promotion and
can be persuasive.
• Reach - A good story can be picked up by several news outlets,
exposing your message to a large audience.
• Cost-effectiveness - PR can be an economical way to reach a
large audience in comparison to paid for advertising media
placement, particularly if it is done in-house.
• Advantage
- PR is considered a highly credible form of promotion.
- PR objectives can be achieved at very low cost
- Spreading a single story to many locations
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Disadvantages Amity Business School
- Marketers don’t have direct control over whether a

message is delivered and where it placed for
delivery.
- Final message may not be the same what marketer
planned.
- Marketers have to spend many hours talking with a
magzine writer, who is preparing an industry, only
to find that their company is never mentioned in
the article
Challenges of public relations

• No direct control - Unlike advertising, you can't exactly
control how your business is portrayed by the media,
when your message will appear, and where it will be
placed.
• No guaranteed results - You may spend time and
money on writing a press release, getting suitable
photography and speaking with journalists, but you can
never guarantee your story will be published. This can
result in a poor return-on-investment.
• Evaluation - It can be difficult to measure the
effectiveness of PR activities. You can count media
mentions and published stories, but it's harder to
determine the impact this has on your audience.
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How do PR people get their job done?

Enlightening relations with media and leveraging
that when required Communication that is
newsworthy and which media would be glad to
carry
Limitations
Biased information shall bring in more resistance
than acceptance.
Credibility of media as an unbiased reporter
must be maintained . Therefore most media have
their own editorial policies where all such
information is suitably edited before it goes on
print
Activities in India by PR for good Amity

image Business School
• Sponsorships
• Education/ scholarships for poor
• Health
• Public facilities like parks
• Green marketing
• Public visits
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PACKAGING
• As we know first impressions go a very long way
in how people perceive anything. This is the
same idea that companies implement via
their packaging. The outer appearance of the
product (the package) is the first thing a potential
customer will see, and so it can be a great
marketing tool for the product.
• In fact, the package of a product serves multiple

practical purposes as well.
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• Protection: The first and the most obvious use

of packaging is protection. It physically protects
the goods from damage that may be caused due
to environmental factors. It is the protection
against breaking, moisture, dust, temperature
changes etc.
• Information Transmission: Packaging and
labelling are essential tools to inform the
customer about the product. They relay
important information about directions for use,
storage instructions, ingredients, warnings,
helpline information and
any government required warnings.
• Convenience: Goods have to be transported,

distributed, stored and warehoused during their
journey from production to consumption.
Packaging will make the process of handling
goods more convenient for all parties involved.
• Security: To ensure that there is no tampering

with the goods packaging is crucial. The
package of a product will secure the goods from
any foreign elements or alterations. High-quality
packages will reduce the risk of any pilferage.
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Packaging as a Marketing
Tool
• Effective packaging can actually help a company
attract consumers to their product. It can be the
tool that sets apart their product in a vast sea of
options that the consumer has at their disposal.
A good packaging can actually add to the
perceived value of a product.
• There are some effective techniques one can

use to ensure that your product package is a
great marketing tool for your product.
Let us take a look at some elements that you can

incorporate into a package to make it more
effective.
• Capturing Attention- One important aspect of a
package is that it must draw the attention of a
potential customer when it is sitting on a shelf. It
does not have to be the loudest or brightest
package, but it must be unique in some way.
Sometimes simplicity could be what sets it apart.
Other factors could be the shape, the colour
scheme or even the texture of the package.
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• Brand and Product Names should be very Clear- It is

of absolute attention that your packaging draws
maximum attention to your brand name. The customer
will not buy a product if they do not know whose product
they are buying. And clearly displaying your brand name
is also a good branding strategy.
• Point out to Benefits- Your product may have certain

unique elements or benefits. Your packaging should
draw attention to such benefits, it is a huge selling point.
For example, if the product is ‘organic’ or has ‘no
preservatives’ it should say so on the package and be
displayed prominently.
• Designed with the Target Audience in Mind-

The company must be clear on whom the
packaging is designed to attract and impress.
Say the target audience is youth, then the
design can be abstract and modernistic. But say
the target customers are senior citizens, then the
design should be clear and specific. Designing
your packaging for a target audience is not
always easy but certain criteria can be followed.
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DISADVANTAGES OF
PACKAGING
1.Packaging exhausts natural resources.
2. Packaging is too expensive.
3. Some forms of plastic packaging are
health hazards.
4. Used and discarded packaging
contributes significantly to the consumer
protection problem.
SPONSORSHIPS
• Sponsorship is when a company commits money
or resources to a non-profit event or program in
exchange for specific promotional benefits.
• At its core, sponsorship is an exchange of money
for services.
• In exchange for supporting the nonprofit, the
company gets their name and logo on a banner,
t-shirt, poster, brochure or other kinds of
marketing and communications related to the
event or program.
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• The business objective of sponsorship is to reach a specific

target audience and to earn a “halo” for supporting a good
cause.
• The favourability sponsorship delivers can give a business a
competitive edge that goes beyond product and price.
Increasingly, businesses of all sizes are striving to balance
profit with purpose through sponsorship and other socially
responsible marketing.
• Several companies sponsor the events such as sports,
entertainment, non-profit or community events with the
intention to reinforce their brand in the minds of the customers
and create a long term association with them. The name of the
firm sponsoring the event can be seen on the playground
boundaries, player’s jerseys, trophies, awards in the
entertainment shows, hoardings on stage, etc.
ADVANTAGES TO THE
SPONSOR
• Sponsorship is powerful advertising.
• Popular and televised sponsored events make brand
names well known.
• Successful individuals and teams are well supported and
sponsors' names are linked with these.
• For certain sponsors, the image of healthy lifestyles and
high level performances are important for their product.
• Sponsors can pay less tax by giving money to sports or
any such event.
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DISADVANTAGES TO THE
SPONSOR
• Sponsoring unsuccessful events or teams will not be
beneficial to the sponsor, particularly if the team loses a
lot of matches or an individual is injured or unable to
play.
• Sponsorship deals over long periods of time may not be
valuable if media coverage is reduced.
• The company or product associated with a sport may not
be appropriate.
• The money paid in sponsorship may be very high
compared with the money the company gets back in
increased sales.
CORPORATE VISUAL IDENTITY

• Corporate visual identity plays a significant role in the
way an organization presents itself to both internal and
external stakeholders.
• Corporate visual identity expresses the values and

ambitions of an organization, its business, and its
characteristics.
• Four functions of corporate visual identity can be

distinguished. Three of these are aimed at external
stakeholders.
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• First, it provides an organisation with visibility and

"recognisability". For virtually all profit and non-profit
organisations, it is of vital importance that people know
that the organization exists and remember its name and
core business at the right time.
• Second, it symbolizes an organization for external
stakeholders and contributes to its image and reputation
as corporate visual identity plays a supportive role in
corporate reputations.
• Third, it expresses the structure of an organization to its
external stakeholders, visualising its coherence as well as
the relationships between divisions or units.
• A fourth, internal function of corporate visual identity

relates to employees' identification with the organization
as a whole and/or the specific departments they work for
(depending on the corporate visual strategy in this
respect).
Identification appears to be crucial for
employees, and corporate visual identity probably plays
a symbolic role in creating such identification.
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EXHIBITIONS
• Exhibitions – often known as ‘expos’ or ‘shows’ – are
powerful marketplaces.
• They are an experiential marketing channel that engages
an active and highly motivated audience in a face-to-face
environment.
• The people who attend exhibitions choose to be there
and want to connect with the products or services on
show.
• They are engaged in the purchase cycle and have the
authority to purchase or influence purchasing.
An exhibition has the power to:
• bring your most active prospects and customers to you.

• create a deep vertical interaction with the product.
• drive business to other sales channels – e.g. online and
retail.
• provide opportunity to meet more interested buyers than
any other sales activity.
• to build business relationships and generate leads.
• emotionally connect with customers.
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ADVANTAGES OF EXHIBITIONS
The benefits of exhibiting include:

• Raise awareness - exhibiting at industry events is a
good way to raise your profiles and generate brand
awareness. As well as taking a stand at an event, there
are usually other advertising and sponsorship
opportunities.
• Meet in person - meeting face-to-face with potential
customers is a great way to start building relationships.
• Networking - trade shows are a great way to meet
potential new customers, suppliers and to learn more
about your competitors.
• Launch new product - trade shows are a

good place to introduce a new product or
service. Being able to explain your offering
in person and answer questions is ideal if
your product is innovative.
• Build your database - meeting with
potential customers at an exhibition helps
you to start building your marketing lists
and generate qualified sales leads.
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DISADVANTAGES OF EXHIBITIONS
Some of the downsides of taking a stand at an exhibition
include:
• Costs - costs include; stand space, stand design and
build, travel and accommodation for staff.
• Competition - it is likely your competitors will also be
exhibiting at the event. You'll need to stand out to get the
attention of potential customers.
• Results aren't guaranteed - despite the investment of
exhibiting, you are not guaranteed any sales leads.
• Potential low turnouts - without big name speakers or
the right publicity, trade shows may not have enough
delegates to make your presence worthwhile. Do your
research before choosing to exhibit at a particular event.
See choose the right trade fair.
SALES MANAGEMENT
• Sales management is defined as the planning, direction,
and control of personal selling including recruiting,
selecting, equipping, assigning, routing, supervising,
paying, and motivating as these tasks apply to personal
sales force.
• Sales management originally referred exclusively to the
direction of the sales force. Later the term took on
broader significance in addition to the management of
personal selling.
• Sales management specifically contributes to achieve
the marketing objectives of a firm. In fact, sales
managers set their personal selling objectives and
formulate the personal selling policies and strategies.
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• The word sales management is a combination of two

words- sales and management.
• Sales is the art of planning in the mind of another a
motive which will induce favourable action.
• The committee of American Marketing Association has
defined it as- “Selling is the personal or impersonal
process of assisting and or persuading a prospective
customer to buy a commodity or a service or to act
favourably upon an idea that has commercial
significance to the seller.”
• Apart from the management of personal selling, it
encompassed other marketing activities like advertising,
sales promotion, marketing research, physical
distribution, pricing, merchandising and so on.
OBJECTIVES OF SALES
MANAGEMENT
1. Revenue Generation – One of the main
objectives of sales management is to generate
revenue for the organization. The sales
department is solely responsible to bring in the
money.
2. Increase Sales Volume – Through efficient sales
management, the organization wishes to
increase the number of units sold. This will
ensure that the production facilities do not
remain idle and are utilized to the fullest.
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3. Sustained Profits – Sales management has an objective

of improving the profits of the organization through
effective planning, coordination and control. Sales
management strives to increase sales and reducing
costs, this ensures good profits for the organization.
4. Organization Growth – With the sustained and
continuous sales management techniques, the
organization tends to gain market share and results in
growth of the organization.
5. Market Leadership – With increased sales volumes and
profits, ‘sales management’ enables an organization to
become the market leader.
6. Converting Prospects to Customers – Getting prospects

to become customers is an art and a science, it requires
good planning and sustained efforts. This is
accomplished through sales management.
7. Motivate the Sales Force – One of the core objectives of
sales management is to motivate the sales force. Selling
is a very stressful task, achieving sales targets can
become very challenging. Therefore, the sales
management task is to ensure that the sales force is
continuously motivated through proper incentives and
reward systems.
8. Compliment Marketing Activities – Sales management’s
task is to support the marketing functions of the
organization. Marketing and sales need to go hand in
hand to achieve the desired results.
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SALES MANAGEMENT FUNCTIONS
1. Preparing the Sales Plan

2. Recruiting the right people to execute the sales plan
3. Training the people selected to build competency in
achieving the targets set and fulfilling the organization’s
objectives.
4. Defining the sales territories
5. Specifying the sales quota to be achieved for each
territory
6. Defining the remuneration and reward system for the
sales force
7. Providing welfare and healthcare facilities to the sales

force
8. Devising a sales force development program
9. Analyzing past performance with the current
performance and making predictions on demand
10. Coordinating with the marketing department and the
consumers
11. Sales planning and sales policies
12. Pricing policy and price fixing
13. Advertising and sales promotion
14. Scientific salesperson ship, management and control of
sales force
34
15. Marketing research

16. Planning and control of sales operations
and control of sales costs
17. Selection and management of channels
of distribution
18. Branding, packing and labelling
19. After sales service, if necessary
20. Integration and coordination of all
functions
• Personal Selling: This is the traditional

method of marketing communication wherein
the salesmen approach the prospective
customers directly and inform them about the
goods and services they are dealing in. It is
considered as one of the most reliable modes
of communication because it is done directly
either orally, i.e., face to face or in writing via
emails or text messages.
35
ADVANTAGES OF PERSONAL SELLING
• It is two-way communication. So the selling agent can

get instant feedback from the prospective buyer. If it is
not according to plan he can even adjust his approach or
sales presentation accordingly.
• Since it is an interactive form of selling, it helps build

trust with the customer. When you are selling high-value
products like cars, it is important that the customer trusts
not only the product but the seller also. This is possible
in personal selling.
• It also is a more persuasive form of marketing.

Since the customer is face to face with the
salesperson it is not easy to dismiss them. The
customer at least makes an effort to listen.
• Finally, direct selling helps reach the audience

that we cannot reach in any other form. There
are sometimes customers that cannot be
reached by any other method.
36

DISADVANTAGES OF PERSONAL
SELLING
• It is a relatively expensive method of selling. There is a
requirement of high capital costs.
• Also, it is an extremely labour intensive method because
a large sales force is required to carry out personal
selling successfully.
• The training of the salesperson is also a very time
consuming and costly process.
• The method can only reach a limited number of people.
Unlike TV or Radio ads it does not cover a huge
demographic.
MERCHANDISING
• Merchandising is the promotion of goods
and/or services that are available for retail
sale.
• Merchandising includes the determination

of quantities, setting prices for goods and
services, creating display designs,
developing marketing strategies, and
establishing discounts or coupons.
37
Merchandising Strategies
Some of the most popular ways to entice buyers to
purchase include:
• Window and in-store displays

• Grouping related products together
• Shelf signage
• In-store ads featuring the merchandise
• Samples and giveaways
• In-store demonstrations
• Well-stocked shelves
• Spotlighting promotional items
Benefits of Merchandising
Some small business owners hire professional visual
merchandisers to spruce up their displays and selling
floor, finding that the cost is well worth it. But
merchandising goes beyond just moving inventory
around, to space planning and product staging. Effective
merchandising yields:
• Higher sales
• Faster inventory turnover
• Buyers who spend more time in the store
• More satisfied customers
• Increased customer loyalty
38
Point-of-Purchase Display
• Point-of-purchase displays are printed or digital displays
placed near advertised items and where customers
make purchasing decisions.
• Unlike marketing campaigns designed to get customers

in stores, POP displays focus on customers' in-store
experience by bringing attention to particular brands or
special offers.
• POP displays can be as simple as a sign or as elaborate

as a display carton.
• For example, a retailer may use a shelf talker—a sticker

stuck to the end of a shelf to draw attention as the
customer walks down the aisle—or they may create a full
display where the vendor's products are merchandised
inside it.
• Think of a free-standing display with the vendor's
branding on it, with only its merchandise on display
inside.
39
Types of Point-of-Purchase Displays
• Vendor Shops- The most elaborate POP display is a

vendor shop, which is essentially a "store within a store"
idea where a vendor places a section in the retail store
that sets its merchandise apart from the rest.
Vendor shops are common amongst consumer

packaged goods (CPG) companies that compete for
limited shelf space in stores.
Instead of just having product placement on shelves,

using vendor shops allows CPG companies to bring
increased attention to a particular product.
• Freestanding Displays- Freestanding displays are

standalone displays that give attention to a particular
product. These displays are typically made from
cardboard, so there are many ways companies can get
creative with the presentation.
• Dump Bins- Dump bins are also standalone displays,

but they're not quite as organized as freestanding
displays. Dump bins are larger and typically feature
small, individually packaged goods, such as candy.
40
• Endcap Displays- Endcap displays are placed at the

end of an aisle, allowing customers to view the
advertised product without going down the particular
aisle.
Endcap displays resemble freestanding displays in their

organization, but the key difference is that freestanding
displays can be placed anywhere throughout a store,
endcap displays are only found at the end of aisles.
• Banner Stands- Banner stands are a type of

standalone signage that can be placed throughout a
store with relative ease.
They are larger than most POP displays, but their

mobility gives retailers flexibility in where they position
them.
Most POP displays will hold the physical products being

advertised, but banner stands only act as signage and
advertisement.
41
E-Marketing and Customer Service
• In E- marketing strategy or plan, it normally includes

online selling, online promotions and advertising.
Planning for Customer Relationship Management is as
important as paying attention to online selling efforts.
• Every marketing professional and businessman knows
that selling to a repeat buyer or an already existing
customer is far easier than the effort required in
developing a new customer.
• Customers are won over not by the product and
price alone but by the service and happy experience
too. Any customer who has been happy with the service
received is likely to be loyal to the Company.
• In case a customer is not happy with his experience or

the product, he can spread talk ill about the Company as
well as the product to his friends and family too.
• When you create an E Commerce platform and choose
promote your products and services, paying attention to
Customer Relationship Management becomes that much
more important.
• Using E Commerce as sales engine, you are going to
focus on wider markets and volume of prospects and
customers too.
• With increase in volume of sales, one needs to create
the necessary backend process and E- enabled System
infrastructure to cater to ‘After Sales Service’ as well as
Customer Relationship Management.
42
• The internet has changed the consumer behaviour.

Customers today expect superior service and
immediately.
• The delivery and service expectations have gone up.
Servicing a larger customer base in a short span of time
calls for robust CRM system and process backup.
• It is important to remember that the internet customers
have the power of instant communication across the
world wide web.
• Customer service is the interaction between the buyer of
a product and the company that sells it.
• Interactive Marketing: Interactive Marketing has recently

gained popularity as a marketing communication tool, wherein
the customers can interact with the firms online and can get
their queries resolved online.
Amazon is one of the best examples of interactive marketing

wherein the customers make their choice and can see what
they have chosen or ordered in the recent past. Also, Several
websites offer the platform to the customers wherein they ask
questions and get the answers online such as answer.com.
43
• Word-of- Mouth Marketing: It is one of the most widely

practiced method of communication tool wherein customer
share their experiences with their peers and friends about the
goods and services they bought recently. This method is very
crucial for the firms because the image of the brand depends
on what customer feels about the brand and what message he
convey to others.
THANK YOU
44

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