A Practical Guide to Designing Winning Sales Reward Programs - Essay Example

Business-to-Business Marketing Other than personal selling, analyse the other marketing communication tools that CCS can use in order to win new business. Recommended which communication tools are likely to be the most productive. Justify your answer. The business field has faced a lot of competition due to the fact that various individuals and groups are engaging in similar business, providing similar products and services hence necessitating that a lot of effort is put towards retaining the existing customers as well as attracting new ones. This is necessary for business progress. Marketing which entails the process of promoting and selling products and services through aspects like advertising and market research has therefore become very essential in every business organization so as to ensure that it attains a competitive advantage. Cloud Creative solutions Ltd (CCS) is an organization that is involved in the provision of a variety of marketing services for instance online marketing, design, advertising, direct marketing, internet marketing, media planning and public relations among others to its clients and hence it is a key organization that not only helps itself in growth and development but also assists others through the provision of the essential services aimed at boosting sales. With the difficulties that have been experienced in the marketing and advertising industry in which CCS company falls, there is need to adopt effective strategies in the company in order to ensure that the existing customers are lot lost to other companies and new ones are gained too. Marketing communication entails a strategic relationship that exists between an organization and its market. There are various marketing communication tools that CCS can use in order to win new business, other than personal selling, which is the main tool of communication in the company. They include, sales promotion, advertising, public relations, sponsorships, exhibitions, corporate identity, use of websites, merchandising, packaging among others (Anonymous 2011). Sales promotion entails any form of initiative undertaken by a business organization in an effort to promote an increase in sales and usage of products and services. It is one of the four aspects of the promotional mix. Advertising is also a constituent of the promotional mix and entails commercial means (print or electronic) of persuasive creation of awareness to the public of the availability of a particular product and service and its value. Public relations involve efforts to establish and promote a good relationship between a business organization and the public. It aims at improving the business organization’s image with an aim of attracting and retaining customers. A business organization can also offer sponsorships in various fields so as to build a good image and name and hence attract and retain customers. Packaging and exhibitions entails attractive display of products to capture the attention of customers while corporate identity is the utilization of a business organization’s unique characteristics as a competitive advantage for instance the values and corporate culture which can be displayed through aspects like trademarks, logos and branding. The website marketing entails posting of various products and services provided by a business organization in various sites on the internet. I would recommend that CCS make use of the internet and the web as a marketing communication tool since with the advent, development and appreciation of technology, people have become used to the internet and its use is therefore likely to attract a large pool of customers from different parts of the world. The advertisements could be incorporated in the various social networks like Facebook and Twitter which have a large membership. The web has also proved to be very effective in advertising as well as direct distribution of products and service through e-commerce where a transaction can be initiated and terminated online saving time and other inconveniences. It has also been able to achieve an integrated marketing communication where the different elements of the communication mix are integrated with other tools of the communication mix making it possible to reinforce a unified message consistently. All in all CCS company should not do away with personal selling and public relations as communication marketing tools as they are still deemed to be very efficient and effective due to the personal touch associated with them which in a way makes customers to feel more inclined to the business as opposed to others (McKinney 2003). From the above, it is evident that there are various marketing communication tools which can be applied by organizations each with its advantages and drawbacks although they mostly differ only on aspects like coverage or the number of customers reached and the impact they have on new as well as existing customers. A combination of various marketing communication tools is however an ideal aspect which ensures that all the concepts associated with marketing are well covered and CCS should therefore adopt an integrated marketing communication system whenever possible ( currently or in future). 2. Peter and Sarah are seriously considering employing a sales team consisting of between 6-8 full-time staff. This may include both inside and outside sales staff. Discuss the various ways that Peter and Sarah might organise the sales force, and recommend which approach you believe to be the most appropriate. Justify your answer. According to Honeycutt, Ford, and Simintiras (2003), Sales is a very critical aspect in every organization and should therefore be handled with a lot of care. This is because the sales attained within a given period of time determines the profit made by the business organization, the greater the sales, the higher the profits and vice versa. For this reason it is advisable for any business organization to have an appropriate sales structure in terms of the team members involved including their number and qualifications as well as adoption of efficient and effective sales strategies so as to ensure that high sales of products and services is achieved at all times irrespective of any circumstances like economic recession among other factors. For the case of CCS Company, it is appropriate that the team members selected to make up the sales team are well trained and qualified in the field of sales and marketing to allow for efficiency and effectiveness in undertaking the sales related practices and procedures. The company should also first consider the internal talents and capabilities among its current staff and give them a chance before considering outside people due to the problem of adaptability for instance the company’s corporate culture and the rules and regulations involved. Peter and Sarah, the owners of CCS and the other individuals in the management body should ensure that the sales team formed in the company is well equipped with the necessary skills and knowledge as well as facilities and resources needed to facilitate the sales practices and procedures. Organization of the sales team is another critical aspect in any business organization as it determines how best the team may perform. According to Hopson (2011), organizing the sales force in terms of offering guidance is very essential if their work is to be successful. They should for instance be equipped with verbal and follow up skills as well as contact methods aspects. To ensure that success is achieved, the sales persons should be made to understand the products and services provided by a business organization and the value they have in regard to the clients. This will ensure that the salespersons are courageous and confident enough to persuade the customers to not only purchase the products but also continue using them even in future. Encouragement of team selling is also important since it ensures that different sales talents are combined to allow for success in the whole process. Technology should also be embraced as a way of empowering the sales team and making their work easier and presentable. The sales leads and contacts should also be well organized and maintained to allow for easy tracing and communication with each other on different issues (Duggan 1999). There are various approaches that could be adopted by an organization like CCS to organize the sales force for achievement of the best and desired results each with its benefits and drawbacks depending on different situations experienced in an organization or else the number of the sales team members and the overall size of the organization. Some of the approaches that can be well utilized By CCS Company include the organization of the sales personnel according to geographical locations that are served by the business organization, the various categories of customers served by the organization as well as the products and services offered by the business among other approaches (Ritter, Wilkinson, and Johnston 2004). In terms of geographical division, some of the sales individuals are assigned full responsibilities to perpetrate sales practices in particular regions where they are expected to ensure that the sales of certain products and services are as high as possible. In regard to organization that is customer based, the sales persons are assigned specific customers depending on their needs and how well the sales personnel is able to handle the needs for example those who have unique requirements and hence require special attention. There is also another approach that can be adopted by business organizations in organizing their sales force for success in the organization in terms of increasing the sales levels. This involves product based sales force organization which entails the involvement of the sales personnel with customers on specialized products. This is for example in case some products require some form of specialization in knowledge in terms of usage for instance health products. Generalization is also another approach which entails sales individuals selling all products to all customers in a region. It is more efficient in a homogeneous environment and less efficient where the population is heterogeneous. A hybrid approach on the other hand entails a meaningful combination of any of the above mentioned approaches. It is applicable in relatively large organizations that operate in multiple regions and sell/ offer a wide range of products and services (Ersöz 2010). The main goal of organizing the sales force is to ensure that the particular sales force is able to attend to all aspects of the customers as a way of enhancing satisfaction hence increasing sales. Hiring and organizing the sales people geographically means that less sales persons will be needed although there may arise a problem of products knowledge. Organizing the sales force on a product based approach on the other hand will necessitate the hiring of more sales persons to ensure that they deal effectively with the various products provided and hence an appropriate decision have to be made (Cohon 2004). In the case of CCS, I recommend that the sales force be organized geographically. This is because the proposed team is relatively small ( 6-8 individuals) and it can only work when organized geographically as the product based and customer based organization requires a relatively bigger number of sales persons. In case of future expansion, CCS should organize the sales force in such a manner that it touches on all aspects of the customers whereby some of the sales persons may dwell in some regions while at the same time specializing in specific products and certain categories of customers to ensure that all customers are reached and their needs are satisfied fully (hybrid approach). This will ensure that numerous customers are attracted to the business and the existing ones are maintained. From the research, it is evident that sales and the sales team is a very essential element and only works best when good organization and appropriate strategies are adopted. Apart from proper organization, the sales force also requires some motivation and compensation to ensure that they carry out their work with a lot of determination and passion which is fuelled by job satisfaction. The sales persons should be kept in a good working condition as they play a great role in the business as they ensure that the products and services of a given organization are sold hence allowing for growth and prosperity through the profit attained. Sales force management involves various tasks for instance establishment of the sales force and its organization, supervision by the management including performance measurement and application of motivational strategies as well as adoption of appropriate methods for selling and managing the sales and the associated practices and procedures (Cichelli 2010). . 3. Peter and Sarah have highlighted the importance of relationships in B2B. Given the current economic climate, discuss to what extent relationship variables and business networks are likely to be important for CCS both now and in the future. Make reference to relevant IMP literature in your answer. Adobor and McMullen (2002) assert that business relationships are very significant as they reinforce the business strategies and operations increasing the chances of success and survival. The business relationships particularly become handy in times of crisis where one business may be needing some assistance or when there is an overall economic crisis which may necessitate combination of efforts in order to succeed and avoid any instance of falling down. The marketing and advertising industry in which CCS falls have in the recent past been experiencing some difficulties due to the emergence of various organizations offering the same services and more so recession and inflation that has led to the reduction of funds set aside for the purpose of marketing and advertising. Another challenge facing the industry is the emergence of new forms of advertising and marketing media for instance the internet making the tradition media less effective in regard to the audience it is able to reach. These challenges have necessitated the adoption of some changes aimed at dealing with these change of demand issues that prove to be a stumbling block towards success of the business organizations in this industry. CCS Company is an organization that places a lot of importance on business to business relationships as it realizes the benefits associated with them. There have been various relationships created between CCS and its clients. The CCS business organization is also a member of various business organizations in the United Kingdom. CCS also have a comprehensive and attractive profile in the North London business community an aspect that has made its recognition and support to be widely spread among business agencies as well as individuals who may need its services. It is evident that business relationships are very vital for every organization that is deemed to be successful in the present as well as in the future. This is so because the networking acts as a way through which resources are pooled together for effective progress. Key relationship variables that exist in business to business relationships entails the factors that in one way or the other affect the success or failure of a given business relationship. They include satisfaction, trust and commitment. The success variables are very important. A good business to business relationship should at all times ensure that there is maximum trust among all the parties involved. Relationship commitment is a key variable that should be emphasized if a business to business relationship is to be successful. It entails an exchange of belief by the partners that the relationship is worth the expenditure of efforts by all the members involved and that its chances of survival are high avoiding doubts of collapsing. Commitment allows for achievement of good outcomes or results. It also comes along with some closeness and confidence among the parties. When there is adequate commitment and trust in a business relationship, it is automatic that satisfaction which is an essential variable is achieved. This in return gives all the involved parties the morale and energy to put even more efforts to ensure that the activities they engage in are successful as they know it is for the benefit of them all (Donaldson and O’Toole 2007). Business networks entail the creation of business related connections and building of enduring relationships where mutual benefits are enjoyed. Business networking can also be termed as a type of networking which is aimed at the establishment and development of new business. A business network is responsible for increasing a business organization’s popularity among individuals and business firms in the market as well as managing the business resources to ensure that success and profitability is achieved at all times through the effective utilization of the resources. Strategic business network is very powerful marketing tactic that act as a catalyst towards a business’ success (Andersson, Holm and Johanson 2007). Business networking could take various forms for instance face to face business networking and online business networking. Face to face business networking entails the physical connection between the parties involved in a business to business relationship while online business networking entails the connection of various parties through the internet where they do not meet or do business physically but rather online based. It is relatively fast as it saves time used in organizing for venue or meeting places and also moving to the places (Heffernan 2004). Business networking could be of different types for example research organizations, learning networks, employer’s federations, regional networks, community networks as well as virtual networks among others. Some of the benefits that CCS may achieve through business networking involves meeting the right business partners and customers hence expanding the sphere of influence in a great way, promotion of products and services even to a very individual level which is also associated with building of more trust and credibility of the company among the associates in regard to the service and products offered. Another major benefit of business networking that CCS is likely to enjoy include being involved with a relatively wide business group which facilitates sharing of ideas and opportunities that help in the growth of the company in a great manner. CCS Company is also deemed to achieve the benefit of giving and receiving targeted referrals and leads courtesy of business networking (Burg 2005). It will also enjoy the opportunity to liaise with significant decision makers which may make it better positioned in terms of influence and making things happen. CCS will also have an advantage of achieving increased productivity which is made possible by the availability of additional resources and information in the various relationships or networks among other benefits (Misner, Alexander and Hilliard 2009). Reference list Adobor J. and McMullen, S. 2002. Strategic partnering in e-commerce: Guidelines for managing alliances. Business Horizons, March-April, pp. 67-76. Andersson U., Holm D. B., and Johanson, M. 2007. Moving or doing? Knowledge flow, problem solving, and change in industrial networks. Journal of Business Research, No. 60, pp. 32–40. Anonymous 2011. “5 Marketing Communication Tools. Fire Alarm Marketing”. [Online]. Available at; http://firealarmmarketing.com/2010/06/15/5-marketing- communication-tools/ [Accessed April 4, 2011] Burg, B. 2005. Endless Referrals: Network your Everyday Contacts into Sales. 3rd Ed. 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