Marketing Communications - Essay Example

A brand managing perspective is applied when comprising the report with the addition of recommendations which are hypothetically positive additions to ass’s integrated marketing communication tragedy and overall position in the I-J market. Introduction: Successful organizations have extensively applied marketing communication strategies to portray a certain message or image to their consumers, which contributes to its market position and performance. The general marketing mix that is applied in successful marketing is comprised of the “Seven AS” which include price, place, promotion, product, people, process and physical evidence.

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Marketing communication is compromised of the promotion aspect of the marketing mix. The objective of this report is to analyze the differences between 02 and Avoidance sousing on their marketing mix and the effectiveness of appealing to consumers. The I-J mobile network marketplace is comprised of many different companies that base their target market by capturing the multitude of wants consumers require in everyday life. The two major market shareholders from the five major networks not including virtual networks such as M and Tests mobile are Avoidance and 02.

To better understand a company’s position in the marketplace is evaluating their different marketing communication strategies, which projects their market performance. Today’s fast passed life conditions and high emphasis on social communication and media have stimulated companies in to becoming more dependent on using social media channels to attract consumers. Nowadays organizations have started viewing communications as managing the customer relationship over time, from pre-selling to post purchase (Kettle, 2008)1.

Integrated marketing communication is creating a cohesive message, which is aimed at the target market. By using advertising, promotion, direct marketing, public relations, direct marketing and establish brand recognition companies are able to teeter understand and effectively penetrate their target audience. In order to create a successful marketing strategy it is important to understand how consumers think, act and make decisions while constantly changing to encompass new technology and social fads.

Integrated marketing communications is the model under which companies carefully integrate and organizes its many communications channels to deliver a clear dependable and compelling message about their products and organization image (Kettle, 2008)2. Today’s common consumer is more educated and better informed wherefore it is important to insure a positive branding image by creating relevant competitive services and prices that can be utilized by the consumer base.

By better understanding marketing communications companies can control their consumer base and secure their market share by utilizing the different aspects and tools available; while differentiating between what is demanded and what has become outdated. Methodology: This report will be compromised using resources such as Journals, databases, academic websites and library material in order to accurately portray an effective perception of both Avoidance and 02.

The central purpose of this report is to analyze and discuss the integrated marketing strategy and marketing mix of Avoidance and 02 from a brand mangers perspective with the application of academic opinions that are portrayed as effective and irrefutable in order to increase company competitiveness. This report will not include primary research which is comprised of personal opinions, first-hand customer information or self-conducted surveys; these are the limitations to the report.

Company Profiles: Avoidance is an international company that operates in 30 countries and is partner in another 50 countries across five contents encompassing the world’s largest mobile telecommunications community; making it the seventh most valuable brand in the world. As a highly widespread international company and company which describes itself as “Were a brand that loves change. ” this gives Avoidance a unique advantage by using cultural knowledge and providing services suitable based on different social and cultural behaviors.

Having more than 439 million customers worldwide and employing over 86,373 internationally can be seen as successful marketing and extraordinary branding recognition. 3 2 is a mobile service provider that is owned by Telephonic 02 Europe, which only operates within Europe branching out to five countries using “02” as their consumer brand. The company is comprised of a European culture that consists of over 40 million customers and over 29,000 employees throughout the company. 2 emphasizes employee and customer satisfaction and has been ranked 6th best workplace experience in the Best Companies to Work for 2008 list and has achieved multiple award rankings from different accredited institutions, which is an extraordinary accomplishment that creates a positive company image and threatens brand recognition. 4 5 The telecoms sector in the UK not only represents telephone services of all mobile providers it also includes connectivity and access to different networks such as the internet.

Telecommunication industry is not limited to cellular technology it also includes electronic systems used in transmitting messages, as by telegraph, cable, telephone, radio, or television. This definition covers transmission of all types of information such as sound, pictures using different mediums such as radio waves, cables and satellite networks. 6 1. Market Review 1 . 1 The Marketing Mix The marketing mix is expressed as a set of marketing tools that firms use to practice its marketing objectives in the selected target market (Kettle, 2008)7.

A successful organization requires an emphasis on marketing that is incorporated through an effective marketing mix composed of the 4 AS, which are price, promotion, place and product. Telecommunications is relentlessly growing making it become a crucial part of everyday life especially in our interconnected world, which is continually increasing due to the effects of globalization. Avoidance provides a variety of products targeted to penetrate different consumers needs and wants.

In order to increase convenience for its customers there are over 300 stores not including independent retailers making their product and services widely available throughout the I-J. Establishing the target market is crucial and is usually constructed around pricing as it establishes perceived value and revenue. This has become a crucial part of Avoidance’s mix by offering prices for all segments of today’s community whether being a multinational business or an average consumer.

Promotions are vital in presenting the companies services and attracting consumers; with the new G launch Maida” a star wars character represents the force” which advertises the new lightning speeds of internet. 8 02 a prominent competitor to Avoidance has acquired a large portion of the UK Telecoms market using its powerful marketing mix which embraces the ups. A competitive market such as the telecoms business requires easy consumer access which is provided by over 300 02 stores not including independent retailers making it a head to head competitor with Avoidance.

Innovation is crucial in order to stay ahead and is demonstrated with the new launch of G connectivity service which 02 announced will be available in London, Leeds & Bradford which is improvement over Avoidance’s limited coverage to London. Market Analysis: 2006-2013: This market respectively is one of the largest in the I-J with the end of 2006 the market saw a 10% increase and a 4% increase in 2007 showing positive growth and popularity. An economic crunch in 2008 and 2009 resulted in a decline of 6% in market share but with the reversing downward trend in the UK telecommunications market is seeing a moderate increase of 1% to EYE. Billion in 2010 showing an improvement over the downward trend which was evident in previous years. 2011 and onward has shown a positive increase of 1-2% with projected total revenue of 5. 6 billion. Although the economic crunch played a major role in the decline of market power there are other factors such as telecommunication expenditures and a massively competitive market to control. The low percentage increase indicates high market saturation leading to the market reaching a degree of maturity.

Smartness and tablets popularity with new advanced applications and software requiring internet connections have allowed the market to breathe by increasing revenue through data packages and mobile internet contrary to previous years were minutes and texts were the prime priority. 9 Market Forecast: 2013-2016: An expectation for the UK telecommunications market is to see positive growth at moderate levels in market power and revenue. A projected strong annual growth of levels ranging from 2-5% in the following years making the expected market forecast to reach EYE. 7 billion by 2016 showing a cumulative growth of 17% compared to 2010.

In addition smart phone, broadband interest and technological advancements will assist in the forecasted growth expectations with the increase demand for mobile broadband services, data services and mobile applications. 10 1. 2 1-J Market Share: Avoidance: Today’s modern society has become continually reliant on new technology, especially smartness which are becoming increasingly popular and common. Since the increase of social applications and media has helped to benefit mobile service providers to emphasize internet plans and has resulted in a constant increase of revenue.

In the past four years there have been significant revenue growth within Avoidance due to the stable growth of the economy. Smartened penetration has allowed companies to increase their customer contracts and increase data plans which have seen a 28. 5% increase sanctioning mobile providers more influence on customers lives making a want seem to be a need in today’s society. 11 12 02: 02 has experienced a secure and consistent growth in its consumer base between the years of 2007-2011. This trend has continued on and they have not experienced noticeable seasonal swings in mobile subscribers. 2 has established popularity with younger consumers because of their concert services and targeted older consumers with 02 Visa which allows tracking and processing of financial transactions. High availability of smartened options and creative contract plans has provided 02 with a strategic advantage in the market. 3 Literature Review: Promotion: The marketing world uses advertisements and promotion in order to achieve a positive connection when delivering a message to its targeted consumer. There are numerous methods to promote products and services with the internet and television being the most powerful.

Avoidance and 02 both deliver their intended message through Television advertisements and internet while also taking advantage of print media such as e-mail subscriptions, customer newsletters, billboards and post mail. An organization must deliver a clear, consistent and compelling message bout their products and organization through promotion mix channels to achieve success and increase sales. The promotion mix is the definite mix of advertising, public relations, sales promotion, personal selling and direct marketing tools that organizations apply to persuasively communicate customer value and build customer relationships. 4(Kettle,2008) An important factor which companies need to consider is not overwhelming the customers with useless information and use a moderate approach in order to minimize spam in all its mediums therefore maintaining positive customer satisfaction. Public Relations: The profession or practice of creating and maintaining goodwill of an organization’s various publics (customers, employees, investors, suppliers, etc. ), usually through publicity and other unpaid forms of communication.

These efforts may also include support of arts, charitable causes, education, sporting events, and other civic engagements. 15 This directly affects both Avoidance and 02 as it helps them establish and maintain a certain perceived company image. Today’s modern society has a high demand for information therefore smartness are significant in making his possible on the move allowing for minute-to-minute coverage of news and events. Avoidance coverage of grand PRI has allowed it to create positive press coverage and word to mouth because of its association with popular strong brands such as Ferreira. 6 ass’s fight against cynicism with its “Be more dog” campaign shows a more cheerful and playful approach to its brand. 17 Brand Value and Positioning: Companies use branding in order to create a clear and distinctive symbol that represents certain standards and quality. A brand should be unique in order for nonusers to recognize and create a clear association with it. A Brand is the symbol, term, name, sign, design or a mixture of these that identify the goods and services of an organization and separates it from those of competitors (Kettle, 2008)18.

As stated early on in the report Avoidance has the seventh most valuable brand in the world surpassing all major mobile providers in the I-J such as 02. 02 has strong brand recognition in Europe but lacks international brand positioning compared to Avoidance therefore it must try to emphasize more international recognition through pensioners and expansion. Competitive Edge: In order to gain a competitive edge in today’s market, companies must work towards constantly improving services and using new creative and innovative techniques.

In the present day the newest innovative service available is G connectivity, which is faster than typical average home broadband helping increase consumers incentive to take advantage of the new service. 02 has a competitive edge over Avoidance in its G network coverage as their network cover more areas giving them an edge and allowing incentive for consumers to switch carriers. Target Market: When founding a prosperous plan for piercing a certain market, effective segmentation in the form of “measurable, substantial, accessible, differential and actionable” (Fill. C 2009) will generate encouraging results. 9 The stated criteria should be taken advantage of by 02 in order to maximize their profit margin and market share, by extensively segmenting the market in order to maximize attraction towards using their services and products. Mobile providers such as 02 and Avoidance both have loyal customers; a result of effective application of services eased on different market segments such as meeting average consumer needs or businesses. By segmenting the market companies are able to concentrate on providing appropriate services that will help insure long-term sustainability and loyalty.