FIRST YEAR MCOM

BUSINESS MARKETING

MODULE - 5

BUSINESS
COMMUNICATION

SUBMITTED TO : PROF HARSHINI

ESTHER

SUBMITTED BY : NIDHA SAHER

SANJANA SINGH
Meaning of business communication
Business communication is information sharing between people within and outside
an organization that is performed for the commercial benefit of the organization.

Developing Business Communication Programs

 Identify the group that are important to your business – theses include customer,
employees, retailers, distributors and suppliers. This helps you to influence the
various groups this will to prioritize your communications. This way
communication will improve relationship with the priority groups.
 Find out what is important groups currently understand about your company –
create a simple survey form or speak to individuals to discover their attitude
towards your company your product and your product and your business.
Compare current understanding and awareness level with the perception you
would like various groups to hold.
 Create a series of message – create a series of message that targets each group.
Tell customers about your capabilities and product plans. Make employees aware
of the career opportunities your business plan will create.
 Create media for communication – create media that delivers your message to
target groups cost effectively. Set up forms on the website where customers and
employees can post comments.
 Operate an internal communication program – The best effective way for
employee engagement and employee commitment is through internal
communication especially if your business is expanding or going through
changes.
 Measure the change in awareness and understanding – contact members of the
target audience to identify changes following your communication program. By
communicating with the right people, with the right message you can increase the
chances of success for your business.
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Industrial advertising
Also known as business to business advertising, is a form of advertising to other
businesses. It can include the advertising of parts or raw materials for their
products or equipment used in their manufacturing process.

Role of Industrial Advertising

 It minimizes the hunt for buyers.
 It helps in increasing sales of the company.
 It helps in making more and more distribution channels.
 It makes company work more efficiently to produce the desired product or
service.
 It creates awareness among the customers.

Media used for Industrial Advertising

 Promotion - Promotion keeps the product in the minds of the customer and
helps stimulate demand for the product. Promotion involves ongoing
advertising and publicity. The ongoing activities of advertising, sales and
public relations are often considered aspects of promotions.
 Trade shows - An exhibition for companies in a specific industry to showcase
their new products and services. Generally trade shows are not open to the
public and can only be attended by company representatives and members of
the press.
 Seminars - A seminar is a form of academic instruction, either at an academic
institution or offered by a commercial or professional organization. It has the
function of bringing together small groups for recurring meetings, focusing
each time on some particular subject, in which everyone present is requested
to participate.
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4) Demonstrating - a product demonstration is a promotion where a product is
demonstrated to potential customers. The goal of such a demonstration is to
introduce customers to the product in hopes of getting them to purchase that item.

Indirect Marketing
The channel in which there is no direct communication to customers by the
companies is called indirect marketing. When customers are aware of the products
and only require to be reminded about the product than indirect marketing will be
used. Indirect marketing is generic in nature and no segmentation and targeting is
required. The retention to customers is made by presenting them in symbolic
representation without discriminating within the customers. In indirect marketing
we cannot record the immediate response of the customers but questionnaire can be
used to take response in future.

Role of Indirect Marketing

Indirect marketing is a way for a business to market their product, idea, or service
without having to use the methods of SPAM or direct advertising and marketing.
The idea behind indirect marketing is instead of sending a message out to your
target market directly, just send them something like a friend request, or a vote, or
anything to get their attention. Once they see who you are and go to find out more
about you, they then see your advertisement or links to places you want them to go.
If you give them more incentive to interact with you, they will be more likely to do
so. Indirect marketing is basically treated as the next stage for brand recognition
and awareness. This is a chain of intermediaries through which a product moves in
order to be made available for purchase by a customer.

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An indirect channel of distribution typically involves a product passing
through additional steps as it moves from the manufacturing business via
distributors to wholesaler and then retail stores.

Online Marketing or E-Marketing

Online Marketing or E-Marketing means using digital technologies to help
sell goods and services. These technologies are a valuable complement to
traditional marketing methods. The basics of marketing remain the same
creating a strategy to deliver the right messages to the right people. What
has changed is the number of options you have. Though businesses will
continue to make use of traditional marketing methods, such as advertising,
direct mail and public relation, e-marketing adds a whole new element to
the marketing mix. Many businesses are producing great results with e-
marketing and its flexible and cost effective nature makes it particularly
suitable for small business.

Telemarketing
Telemarketing is an act of marketing goods and services to potential
customers over the telephone. Telemarketing may either be carried out by
telemarketers or increasingly, by automated telephone calls or “robocalls.”
The intrusive nature of telemarketing, as well as reports of scams and fraud
perpetrated over the telephone, has spurred a growing backlash against this
direct marketing practice. Telemarketing can be an effective tool for
business and it can also be an effective way to increase profits and promote
products or service.

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Advantages of Telemarketing

The main benefit of using telemarketing to promote business is that it allows

to immediately gauge customer’s level of interest in product or service.
Additionally it allows the following:
 Provides more interactive and personal sale service.
 Create an immediate rapport with the customers.
 Explain technical issues more clearly.
 Generate leads and appointment.
 Self from a distance to increase the sales territory.
 Reach more customers than with in person sales calls.
 Achieve results that are measurable.

Disadvantages of Telemarketing

 Telemarketing can be resented – particularly when dealing with business-

to-customers, and when calls are made in the evenings.
 Customer lists may not always be clean and opted-out – this leaves with a
potential risk of breaking the law.
 Customer lists can be very costly.
 Telemarketing has a negative image that could damage the business
reputation – if carried out poorly.
 Telemarketing has the potential to replace sales team and this could lead to
negative feelings among employees.
 Training staff can be time consuming and costly.
 An outside service provider can result in losing control over sales
processes because the people doing the work aren’t your employees.
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Direct Mail
Direct Mail is a marketing effort that uses a mail service to deliver a
promotional printed piece to target audience. Direct mail encompasses a
wide variety of marketing materials, including brochures, catalogs,
postcards, newsletters and sales letters. Major corporations know that
direct mail advertising is one the most effective and profitable ways to
reach out to new and existing clients. Direct mail helps to communicate
one-on-one with the target audience. That allows controlling who
receives the message. The most effective direct-mail inserts often use key
words and colors.

Publicity
Publicity is the movement of information with effect of increasing public
awareness of a subject. The subjects of publicity include people (for
example, politicians and performing artists), goods and service,
organisations of all kinds and works of art or entertainment. This is a
public message whose purpose is to let people know about something
like a concert or a new product.

Public Relation
Public Relation is an activity carried on between advertising to make the
public understand what the product actually is and thus posing a
confidence in prospects about the product. Public Relation plays a very
important role in a marketing operation. Public Relation creates a convert
image of the product and the producer.

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Objectives of Public Relation
Building Product Awareness: When introducing a new product or re-
launching an existing product, marketers can use a public relation that
generates consumers attention and awareness through media placements
and special events.

Creating Interest: Whether a public relation placement is a short product

article or is included with other products in “round up’ article, stories in the
media can help entice a targeted audience to try the product. For example,
around the holiday season, a special holiday food may be promoted with
public relation through promotional releases sent to the food media or
understanding of the product.

Providing Information: Public relation can be used to provide customers

with more in depth information about products and services. Though article,
collateral materials, newsletters and websites, public delivers information to
customers that can help them gain understanding of the product.

Stimulating Demand: A positive article in a newspaper, on TV news show

or mentioned on the internet, often results in a discernable increase in
product sales.

Reinforcing the Brand: In many companies the public relations function is

also involved with brand reinforcement by maintaining positive
relationships with key audiences, and thereby aiding in building a strong
image. Today it is ever more important for companies and brands to build a
good image.

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A Strong image helps the company build its business and it can help the
company in times of cities as well.

Types of Public Relations

Public relations experts create awareness and market their organisation and its
products or service to various media sources which include TV, radio, internet,
newspapers, magazines and so on. Public relation experts develop and design
various interesting and creative stories about their organisation and product and
pitch it to various media people. Organisation bank on their relation with media
channels to enhance the reputation of their brand. Following are the tools used
in media relations:
 Press Kits: It includes written material about the organisation and its top
people.
 Audio Releases: It is an audio release or video release is pre-recorded
messages distributed to various media channels.
 Matte Releases: Small local newspapers accept articles written by
organisations when they do not have sufficient articles or stories to publish.
Such releases are called as matte releases.
 Website Press Room: Public relations expert promotes their organisaton
and its products or services through online press rooms.
 Media Tour: Public relation experts publicise their organisation and its
products through media tour where key people of the organisation travel to
important places and location and promote their products through various
interviews to media people. They interact and share their benefits of their
products or service with people from various news channels, radio
channels and even print media. Organisations also hire celebrities or other
people popular among the masses to promote and publicise their
organisation.
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 Newsletters: Newsletters are nothing but publications which are
distributed in a regular basis (monthly, quarterly) among target
audiences. Public relation experts collect complete information (name,
address, age group) of their customers and distribute newsletters to
create awareness about their products. Newsletter should include
information about the organisation, interview from key people, product
information and testimonials from clients
 Events/Functions: Public relation experts organise special events,
gathering, parties to target their customers and promote their
organisation and its products among them. People from media are also
invited for coverage.
 Speaking Engagements: One of the indirect ways of publicising an
organisation and its products is through interacting with potential
customers and target audience. Company officials address the target
audience and do not only discuss about their products and service. They
generally prefer topic which would interest the target audience.

Business to Business Selling

Business to business is a type of commerce transaction that exists between
business, such as those involving a manufacturer and wholesaler, or a
wholesaler and a retailer. Business to business selling refers to business that
is conducted between companies, rather than between a company and
individual consumers. Business to business selling is that sales from one
business entity to another. This type of sales is likely to be larger than a
business to consumer sales. An example that illustrates the business to
business concept is automobile manufacturing.

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Many of a vehicle’s components are manufactured independently and the
auto manufacturer must purchase these parts separately.

B2B Sales Process

The steps in a business to business (B2B) selling process:
 Understand Need and Ability to Pay: The first step is to understand the
problem of the prospective customers is trying to solve and their ability
to pay for the product or service. The seller starts off the conversation
by asking the prospect questions about their reason for purchasing a
product or service and what they currently have in place. He discusses
the features of the current product that are using and any not available
that they wish they had. He also asks about their budget for the
implementation, so he proposes a solution that the company can afford.
 Develop a Solution: Once the seller understands the prospects needs and
financial means, he need to evaluate the various products he have to
offer and develop a customised solution for them that meets both their
needs and budget. The seller now takes the information provided in the
initial meeting and compares it to the various systems he has available
and selects one that he thinks would best meet their needs. He then puts
together an information package and quotation for this system, along
with a customized checklist comparing the customer’s “wish list” to the
proposed hardware.
 Evaluate Solution with the Customer: The customised solution is now
shared with the prospective customer, generally in a sit-down meeting
where the solution is presented and all customer questions can be

addressed.

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The solution may be modified with customer input prior to finalizing. The
seller meets with the customer again and walks them through the proposal
he’s developed. After a lengthy discussion, he heads back to his office to
revise the proposal to reflect a few modifications that came out of the
meeting.
 Finalise sale: Once the terms are agreed upon, a purchase agreement or
contract is signed to finalise the agreement. He sends the final proposal
over to the client, along with a contract they can sign and return to
begin the process. Once the signed document is received, the sale is
complete and the implementation process will begin.

Team Selling Approach

Team selling approach is group of people representing the sales
department and other area in a firm, all sharing common goal of
increased sales. Team selling is sometimes used in real estate. The
idea behind the concept is that teamwork and sharing knowledge
can benefit the bottom line of a firm. When a company decides to
use a team selling approach, there are several factors to consider:
 The size and diversity of the team.
 Rewards for each individual vs. rewards for the team as a
whole.
 Strategic objectives involved with the decision-making process.
Team selling should be used when there is a chance for high sales
and profit. Firm must weigh the concept’s pros and cons and base
their decision on whether the approach matches the needs of the
buyer.

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Advantages of Team Selling
 A team approach allows for “continuous learning” as team members can
work together to identify flaws during the presentation process. They may
also identify features that can be added to the sales pitch.
 When a small company uses multiple salespeople to contact a client it helps
the company appears larger than it is. Customers any like this approach, as it
gives them multiple people to contact if there’s a problem.
 Team selling shows clients that a company has more than one person with
strong selling capabilities, giving the clients a higher comfort level about the
company.
 Effective team selling will lower the cost of sales calls. This will increase
their “ batting average,” resulting in an overall increase in productivity.

Solution-Oriented Efforts in Team Selling

The solution-oriented effort is required to build for team selling. Once upon a
time the sales folks believed that in order to sell, they needed to provide
solutions to their customers’ problems. In the old playbook, sales representative
would take the time to discover a customer’s needs and sell them the solutions
to those needs. For a long time, this approach worked simply because customers
didn’t know how to solve their own problem.
But as the quote above highlights, times have changed. Almost everything that a
customer needs to know about solving her perceived problem is just a click
away. And the implementations are huge for sales teams, who need to keep up
with this new buying process.

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Entrepreneurial Philosophy
Every company can have different ideas or philosophy. Sales Driven
Philosophy is a marketing strategy that uses a more direct and personal
approach to entice consumers to buy the company’s product or service.
Motivation philosophy and thoughts are about what being an entrepreneur
means and how to inject the entrepreneurial spirit into you and your
endeavors.

Selling Structure
Business to Business (B2B) is commerce transactions between businesses
such as between a manufacturer and a wholesaler, or between a wholesaler
and a retailer. Various steps in selling structure are given below:
 Select the Right Prospects: Investing the time to carefully select your
prospects is essential because you want to make sure that you are
investing your time and energy on developing the right opportunities.
Focusing your efforts will help ensure that you invest in providing your
prospects with a great client experience.
 Make First Contact: Once you have selected your targets the next step is
to make first contact. Your goal at first contact is to simply get a meeting.
This is especially true if you prospect is not familiar with who you are.
Contemporary Analysis uses mathematics and big data to predict and
influence human behaviour. One of our products, pulse, applies predictive
analytics to analyse the profitability, loyalty and activity of individual in
your client portfolio. This allows you to focus your marketing and
customer service efforts, anticipate trends in your portfolio and engineer
greater retention and profitability by contacting the right people at the
right time.
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 Select your Sales Approach: Once your prospect has agreed to meet
with you it is important to prepare for your face-to –face meeting. One
of the most important steps in preparing is to select your sales
approach. Different people require different approaches, and while it
takes a little bit of research selecting the right approach will help you
make the best first impression possible. The following are 5 typical
sales approaches:
 The Ego: These people want to feel important, and they will most
likely respond to you and possibly purchase your product to satisfy an
egotistical need.
 The Expert: Person considers themselves to be an expert in their field,
and will expect you to have a minimum knowledge of their field, or to
be an expert if you are approaching them about something in their
field.
 The Good Samaritan: These people are very open to being contacted,
but they don’t want to be sold. They want to help out and listen to
someone.
 The Skeptic: The skeptical people you want to lead with facts and
figures. They won’t agree to a meeting with you unless you have Case
Studies, Testimonials, and or an impressive client list.
 The Explorer: These people are very open to being contacted, because
they love learning about new things. When you approach them about
an opportunity, it has to be unique and also be exciting. If it is these
two things you will most likely get a meeting.
 The Face-to-Face Meeting: Typically in business-to-business sales
your prospects are only able to meet with you once or twice before
they decide whether or not they are going to purchase.

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Because of this, it is essential to make the most of your face-to-face and
then move the sale forward using emails and voicemail.
 Determine Next Steps: During your face-to-face meeting you want to
move the call as far as possible towards a decision as possible.
However, it is highly unlikely that you will be able to get a decision
either for a sale or no sale during your first meeting. Having clear
definitions of where opportunities are in the sales cycle allows the
sales team to determine what next steps to take and which
opportunities to priorities to make sure we meet our sales quotas for
the next 15, 30, and 60 days.
 Close the Deal: Once you have led your prospect to the realization
that they have the need, willingness and resources to purchase what
you sell; the simplest close is to simply ask for the business and then
wait until your prospect breaks the silence. Even if it takes 10
minutes, they will eventually break the silence, and if they are
confident that you have the solution necessary to achieve their goals
they will most likely respond by agreeing to purchase what you sell.

Sales Coverage through Manufacture’s Representative

Manufacturers' representatives are independent contractors who develop
long-term relationships with their client companies to sell the products.
The relationship is not like a boss and employee, but is a business-to-
business relationship. EXAMPLE: IndiaMART - is India's largest online
B2B marketplace, connecting buyers with suppliers.

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Customer-relationship management
Customer-relationship management is an approach to manage a
company's interaction with current and potential customers. It uses data
analysis about customers' history with a company to improve business
relationships with customers, specifically focusing on customer retention
and ultimately driving sales growth.

How to sustain CRM

 Email messages, newsletters, and surveys: Provide product/service

updates, promote goods and services, and communicate news/events.
 Feedback: Ask for, capture, and act on your customer’s input.
 Insight: Research your customers’ markets, strategies, and goals.
 Customer loyalty: Implement loyalty, affinity, and rewards programs.
 Relationship building: Talk and listen to customers in order to
maintain a dialogue and to build a trust based relationship.
 Be accessible: Make it easy for customers to reach you.
 Customer satisfaction: Implement a customer satisfaction policy that
provides a way to resolve/remedy problems and issues.
 Involvement: Engage customers in product development
/enhancement, via beta tests, focus groups, and pilots.
 Anticipate customer needs: Learn their business, their purchasing
patterns, and their requirements for effective proactive solutions.
 Help lines: Provide support, service, advice, and information.

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