MARKETING OF SERVICES Ing. Veronika Braciníková, Ph.D. MARKETING MIX IN SERVICES MARKETING COMMUNICATION 1 • Communicating the positioning of the service to customers. • MC adds significance to services. • The service marketers must design a MC strategy which helps the customers overcome some constraints. MARKETING COMMUNICATION 2 • Establish need for category • Build Brand Awareness • Build Brand Attitude • Influence Brand Purchase Intention SETTING THE COMMUNICATION OBJECTIVES 3 • Provide tangible clues. • Make the service understood. • Communication continuity. • Promising what is possible. • Capitalising on word of mouth. • Direct communications to employees. GUIDELINES FOR SERVICE ADVERTISING 4 • Advertising • Personal Selling • Sales Promotion • Public Relations • Direct Marketing • Online Marketing • Event Marketing and Sponsoring MARKETING COMMUNICATION MIX 5 • Paid, non-personal method of promotion. • The role of advertising: • to build awareness, • to add to customer’s knowledge, • to help persuade the customer to buy, • to differentiate the service. ADVERTISING 6 • WOM. • 15th and 16th – development of printing. • 17th – newspapers in London. • 18th – advertising in newspapers was flourishing. 7 HISTORY OF ADVERTISING A Coca-Cola advertisement, 1890s. • 19th – growth of advertising industry – advertising agencies. • 20th – advertising developed in a variety of media. • 21th – increasingly used digital technology. • Successful advertising campaigns can be emotive, creative, eye-catching, catchy, musical, or even intentionally annoying. SUCCESSFUL ADVERTISING 8 Billboards advertising Broadway shows, Times Square, NYC. • Anything to grab attention! • Vital role in services. • Personal interaction between the service provider and the customer. • Provided by a person, not a machine. PERSONAL SELLING 9 • Personal contact • Relationship enhancement • Cross selling PERSONAL SELLING 10 • Multilevel Marketing. • Body Language: • Kinesics • Chronemics • Paralanguage • A gesture • Face-play • Oculesics • Haptics • Proxemics PERSONAL SELLING 11 • The product is promoted using short-term attractive initiatives to stimulate its demand and increase its sales. • Sales promotion tools used for consumer-oriented promotion are: • Free Samples. • Free Gifts. • Discounts/Discount Coupons. • Exchange Schemes. • Finance Schemes. • Shipping Schemes. • Bundle Discounts. • Bulk Purchase. SALES PROMOTION 12 • Mainly in the fast-moving consumer goods market. • Sales promotion tools are aimed at these audiences: • Customers. • Intermediaries. • Sales force. • POP/POS materials. SALES PROMOTION 13 • A management function that establishes and maintains relationships between company and various groups of the public. • PR is responsible for selling the company's reputation, inspire confidence. PUBLIC RELATIONS 14 • Build relationships. • Generate information. • Pass information to the media. • Promote awareness. • Gain publicity. • Lobbying. 15 PUBLIC RELATIONS PUBLICITY 16 • Publicity/PR refers to the ability to generate interest about business, service, or product through media outlets at very little to no cost. • Use of direct channels to reach customers and delivery of goods and services without using marketing middlemen (intermediaries). • Many marketers use direct marketing to build long-term relationships with customers. DIRECT MARKETING 17 • Direct marketing transmits the promotion message directly to the existing or future consumers. • To obtain an immediate response, we can use coupons, phone calls and personal visits. DIRECT MARKETING 18 • Sponsorship is the financial or material support. • Funds are made available to the recipient of the sponsorship deal. • Service for service. SPONSORSHIP 19 • Benefits for sponsors: • Exposure. • Lack of clutter. • Opportunity to build image. • Differentiation. • Exclusion of competition. • Opportunity to sell goods or services. • CSR. 20 SPONSORSHIP • It has dual purpose: • To strengthen the firm's brand. • To provide sales. • The combination of the creative side of the discipline (using powerful narratives) and the technical side of data (digital engineering and analytics). ONLINE MARKETING 21 • Tools of OM: • Website • Social media • SEO • Webinar • Content marketing • Online ads • Email Campaign • Newsletter 22 ONLINE MARKETING • Refers to the fact that creative teams are no longer tied to a limited palette of surfaces. • Guerilla Marketing. • Viral Marketing. • Product Placement. ALTERNATIVE FORMS OF MC 23 • Unconventional marketing campaign designed to achieve maximum effect with minimum resources. • Forms of GM: • Ambient Marketing. • Ambush Marketing. • Buzzmarketing. • Mosquito Marketing. • Sensation Marketing. GUERILLA MARKETING 24 • Self-replicating viral processes. • Advantages: low costs, quick spread of information, high effectivity of targeting. • Disadvantages: loss of the information control. • Examples of successful viral campaigns. VIRAL MARKETING 25 • Products are placed in movies, music videos, TV shows, video games etc. • Quality PP puts the product in a positive context. PRODUCT PLACEMENT 26 • Influencer marketing. • Wild posting. • Green marketing. • Neuro marketing. • Mobile marketing. OTHER ALTERNATIVE FORMS OF MC 27 THANK YOU FOR YOUR ATTENTION☺ 28