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Unit 41 Contemporary Issues in Marketing Management Assignment Copy 2
Marketing is the key element for organization to sustain and encourage the business according to desired manners by convincing the customers and gaining the competitive advantage by maintaining relation with the customers. In the current scenario, there are different issues and challenges in the marketing that have significant impact on the promotional activities of the organization such as use of digital and social media to be in touch with the potential customers and offer the information. This kind of practices requires high capital investment and monitoring of the process to achieve the objectives more efficient manners. The report will explain the concept of knowledge management and relationship marketing as well the role of ICT in maintaining the relation with the customer for retail organization. The report will assist a failing business that has been around since the mid 1970’s. D&D Enterprises is a General Retailer with branches in various locations across London. The organization is looking to expand the business and need to improve the knowledge about the customer relationship.
1.1 Concept of knowledge management and role of relationship marketing
Knowledge management refers to the process of creating, sharing and using the information according to needs and requirements of individual or organization to develop and implement the plan. According to analysis, knowledge management is a multi-disciplinary approach to achieve organizational objectives and establish the strong strategy to maintain the operational effectiveness. The organisations need to store the information and make it available for the users to use the information in decision makings. In the current scenario, knowledge management is important attribute for organization like retail sector to understand the needs of the customers, competitor policy and trends as well economic conditions to make changes to overcome the impact on the on-going process (Halinen and Törnroos, 2015). The objective of becoming market leader and earn more profit could be helped by presence of well defined customer database. This will help the organisation the customer buying pattern and plan strategies. For managing the relation and sustainability in the market, it is essential for D&D enterprises to have knowledge about the market condition and needs of the existing and potential customers.
Relationship marketing is the important approach for creating the brand awareness and retains the suppliers and customers to gain the competitive advantage. This kind of marketing approach is involving the use of social and digital media tools for offering and receiving the information. So as to enhance learning; it must understand the value and applications of the new knowledge created. The major role of relationship marketing is to increase the level of trust, word of mouth, create new opportunities and stay top of the needs of target customers.
1.2 Ways in ICT can support customers and relationship management
ICT is emerging term in the business sector that is influencing the mode of operations and functions within the organization. Information and Communication Technology (ICT) is providing the tools that are helping the organization to collect and offer the information to supplier and customers. In addition to this, ICT will be helpful for D&D enterprise to increase efficacy and performance in the operations (Hines and Bruce, 2009). For the retail organization, ICT tool will assist in decision making, improvement in the manufacturing and productivity and encouraging the customer's services. The communication through the website, email and Smartphone application is part of ICT that supporting organization to manage the relation with the customers and resolve their issues. For D&D, use of ICT is good to encourage the brand awareness and quality in the care services by having the database of information of each customer. This information will help D&D to assist the customers quickly and efficiently which will boost the customer satisfaction.
Additionally, social media is another powerful ICT tool for managing the customer relation and offering the information to customers. D&D can appoint a technical team for managing the public relation and online business activities. The team will analyze the mail and feedback of the customer and communicate to the top management to resolve the issues. This also gives the opportunity to the customer to contact with the organization at any point of time. So, it can be considered that ICT is effective for managing the public relation and can support the customers to have knowledge about the products and services of D&D enterprise (Kuratko and Hodgetts, 2010).
1.3 Benefits of customer relationship management
Following are the key benefits of Customer Relationship Management (CRM) for D&D enterprise:
- Lead generation: In the current scenario, lead generation for future sales and activity is performing through CRM that would help D&D organization to send the personalized message to the customers and influence their decisions.
- Time management: This would be a major benefit for D&D and its customer to have the knowledge about the products and services of the organization in retail (Sethi, 2014). The information about price, quality and availability will save the time of customer and organization to process the order.
- Better customer services: CRM system or software gives the opportunity to analyze the needs and demand of the customers and offer customized products and services. The system provides facility to maintain the repository of the customer profile, specific needs, repeat of sales and buying duration that helps to improve the services accordingly and retain the customer. In the current scenario, if D&D implement the CRM than it will help to develop and design products as per the requirements of customers.
1.4 Recommendation for improvement in customer relationship
The business practices are changing as the role of ICT is increasing with the time and people also like the ways of buying and selling the products through online services. Additionally, CRM is the effective tool in terms of encouraging trust and decision making of customers (Shaw.et.al, 2010). Now to craft improvement in the CRM services, D&D enterprise requires implementing the following recommendation:
- Organization is selling FMCG products in a different location of London since 1970 but to sustain the position, the organization requires implementing the CRM which will connect with the website. This kind of initiative will influence the morale of customer as they can draft real-time feedback for retail products and service of D&D enterprise. For D&D, use of ICT is good to encourage the brand awareness and quality in the care services by having the database of information of each customer. This information will help D&D to assist the customers quickly and efficiently which will boost the customer satisfaction (Tsalikis and Fritzsche, 2014).
- Organization needs to ensure that information about each customer will be stored in the database for further communication and customers, clients and even the internal employees on the new banking schemes and benefits that banks will provide to them. This will help in making the customers and clients aware of the new programs and options available.
Conclusion: From the task, it is been considered that customer relationship and ICT tools are useful for D&D enterprise to encourage the sales and retain the customer for a longer period of time. Moreover, the report has provided the information about benefits and ways to maintain the customer relation. It has offered the recommendation for improvement in the customer relationship management services.
Introduction:The report will provide analysis of stakeholder for the voluntary and public sector and describe the nature of relationship within two organizations. Marketing and customer relations are playing a critical role in the business development activities for the organization and have a significant impact on the management approach. Furthermore, the report will compare methods used for marketing in the public and private sector as well as explain the key issues in marketing that could affect the process of business.
2.1 Stakeholder analysis for public sector organization
For D&D enterprise, stakeholder analysis will help to manage the conflicts and maintain the relation with the different internal and external stakeholders that will influence the performance and coordination to achieve the objectives. The primary stakeholder of the organization will make the decisions for the development of public organisation by considering the capital investment and actions that required for managing the resources. The analysis of stakeholder will assist the organization to gain the knowledge about the key performing staff, supplier, customer groups and government bodies that offering the support for achieving the objectives. Using the stakeholder analysis, the top management of D&D enterprises would be able to monitor the efforts of the individual and manage the resources closely to maintain the interest in the operational activities (Wilson.et.al, 2010). Moreover, stakeholder analysis will help to keep the members informed as well empower them by assigning the new role and responsibilities to perform staff. The approach of stakeholder analysis involve the priorities for stakeholder that and keep the planning according to needs to meet the satisfaction level. So as to enhance learning; it must understand the value and applications of the new knowledge created. Stakeholder Management is an important discipline that successful people use to win support from others. It helps them ensure that their projects succeed where others fail.
2.2 Describe the nature of the relationships with customer within two selected not-for-profit organizations.
The two selected not-for-profit organizations are SLH Group and B3Living which works for the wellbeing of the human or for the society. The nature of the relationship with the customers of this two selected NPO focuses mainly on obtaining a customer satisfaction, not in making a profit by concentrating more in business transactions. They mainly depend on the kindness and support of contributors, volunteers and sponsors (Hennig-Thurau.et.al, 2010). They maintain a relationship with the customers to improve their standard of living by providing them with superior quality goods or products at very economical prices.
Their main priority is the wellbeing of the customers and then the profit. They maintain this relationship by making the use of various sites and social Medias like Facebook and Instagram. They create a Facebook page to inform the contributors, volunteers and sponsors about the new outreach efforts.
2.3 Compare methods used in marketing within the public, private and voluntary sectors.
The following is the comparison between the methods used in marketing within the public, private and voluntary sectors:
Table 1: Comparison of marketing methods
Marketing concept used
Use of societal concept for marketing purpose.
Use of marketing concept for marketing purpose.
Use of society concept for marketing purpose.
The main purpose is to provide the customers or the people of the country with best quality products in affordable prices.
To expand the business worldwide and to achieve greater profits by attaining greater customer satisfaction (Kumar, 2010).
The main purpose of voluntary sectors is to aid general public by fulfilling their basic needs.
Marketing technique used
Use of marketing mix strategy in order to attract more number of customers.
In private sectors, the marketing strategy and techniques keeps on changing with the changes in market trends.
Us of social medias as marketing tool for transmitting the messages related to charity.
Need of marketing
Less need of marketing as compared to the private sectors.
In order to survive, there is a need of strong marketing strategy and technique.
Small charities do not require a strong marketing strategies and techniques.
2.4 Explain the key issues involved in marketing in a selected virtual organization.
The key issue in the marketing of British telecom is obligatory to use the ethical marketing policies and strategies. Today, consumers prefer only those organizations which fulfil all the ethical requirements. Therefore, it becomes very necessary to follow all the ethical requirements because through this a good brand name can be established in the market. The marketing strategy should be such that it fulfils the needs and requirements of the customers.
The introduction of Information Technology makes easier for the customer to compare the products and services easily and this brings problem for the virtual organization and forces them to avoid any type of price wars or deceptive marketing (Heller Baird and Parasnis, 2011). The virtual organizations like British telecom face many of the problems while marketing like it becomes difficult to them to interact personally face-to-face with its customers in order to inform them about the offers and discounts. The people who are regularly active in through the internet are the targeted group of customers which as compared to other normal organization are less and to make the marketing strategy for them becomes difficult and costly.
Conclusion: In the above task, we have studied about the nature and type of marketing strategies used by the public, private and not-for-profit organizations. Also, the key issues in marketing in these organizations are also considered. A comparison is also made to know about the various methods of marketing used in these organizations.
Introduction: The service sector is also required to apply a concept of marketing mix with its extended elements in their business in order to achieve customer satisfaction. The marketing mix would assist the organizations working in service sector in increasing the values of products and services it offers.
3.1 Describe the use of the extended marketing mix in selected service sector businesses.
The marketing mix is a most popular type of marketing tool which is being adopted by many organizations to increase their business as well as profit. The extended marketing mix basically consists of seven P’s which would help the D&D which is an organization working in a service sector in expanding its business and attaining higher customer satisfaction. These factors would increase the value of the products and services by increasing its efficiency and effectiveness (Hollensen, 2015). Earlier, in marketing, there were only 4P’s which includes Product, Price, Promotion and Place. The following are the additional 3Ps of extended marketing mix:
- People: People are an important factor for the organization because through a trained and talented workforce an organization can achieve effectiveness and Excellency in their operations and various processes. People are those who represent the organization. D&D invest a lot in providing highly effective training agendas to their employees in order to achieve higher productivity from them which in future would be beneficial for the organization.
- Process: Process is another factor of marketing mix which is concerned with the ability of the organization to achieve objectives by bringing effectiveness in its process (Wilson.et.al, 2012). Earlier the services provided by the D&D were done manually which slowdowns the process speed and the customers have to wait for a while for getting the product or services from the D&D. Now, the use of new technologies and machines has speed up their processes and customers are now served with a quick delivery.
- Physical Evidence/Layout: It is a last factor or P of the marketing mix. This factor states that products or services offered by the organization should be presented in a decent and unique manner to the customers. The organization D&D is a general retailer, therefore, to attract the number of customers it requires to have a more concentration towards the presentation and look of the product offered as well the surrounding.
3.2 Explain how the product/service mix can be used to enhance value for the customer and organization.
The product or service mix is very helpful in enhancing the value of the offered products and services. To make the end product more enhanced and beneficial, the product or service mix is being used by the many organizations. It is beneficial not only for the organization but also to the customers (Jobber and Ellis-Chadwick, 2012). The customers would get more enhanced products or services in a less time. The following parameters of the product/service mix will be helpful in adding a value to the product and services:
- Product: The product parameter of the marketing mix assists the Starbuck in making their products more unique and stylish according to the taste and choice of the customers. This would help in building a good brand name in the market and creating name recognition among the customers.
- Place: This parameter of the marketing mix suggests the organization to take a full benefit of the location where it is situated. It tells the type of distribution channel which helps the organization to be in touch with its customers in order to attract a number of customers (Lovelock, 2011).
- Pricing: The price factor of the marketing mix is very important because this can make or take the organization. It suggests the organization to adopt such a pricing strategy which would help in capturing the maximum shares in the marketplace. The pricing strategy should be such that it captures the attention of more customers.
- Promotion: The promotion strategy would help in promoting the products and services to their potential customers by enhancing the relationship with the customers. Organization can make the appropriate promotion strategy by conducting a break-even analysis (Gummesson, 2011). Promotional techniques would help the organization to stay in connected with their customers in order to build a good brand name.
3.3 Explain how difficulties peculiar to the marketing of services can be overcome with references to a particular organization.
Marketing is being used for many years by many organizations in order to strengthen their business. To apply the concept of marketing in the service sector is not very easy. Many difficulties and problems are raised especially in the marketing of services. D&D has laid down the following strategies to overcome the problems and difficulties faced during the marketing of their services:
- Use of benchmarking: Starbucks can make use of the concept of benchmarking in order to overcome the problems faced during the marketing of services (Kotler.et.al, 2015). Through benchmarking it can compare its performances and effectiveness of process used to the performance and process used by its competitors on the basis of some metrics which can be measured in terms of money, time and quality.
- Conducting survey: Through the survey, the organization can locate any changes and trends arising in the market. This would help the organization to stand and survive in the marketplace by introducing the new and unique products and services as compared to the products and services offered by the rivals.
- Receiving Feedbacks: Receiving feedback from the customers would be beneficial for the organization to evaluate the effectiveness of their products and services offered to the customers. It would suggest the D&D whether it has to make required improvements in the quality of its products or services or the offered products or services are satisfactory (Kozinets.et.al, 2010).
- Research: Through a deep research and proper consideration of the people’s psychology would be helpful in developing a strong marketing strategy which would assist the organization to expand its business by attaining a maximum number of customers.
3.4 Explain the role of IT in services marketing management in a selected organization.
Information technology has changed the perspective of business by providing the facility of the internet through which each and everyone can be connected easily only through a single click. Information technology has taken the business or the trade one step forward by providing the various methods and types through which business can be expanded easily without any need of physical structure.
IT plays a major role in marketing the services of D&D. An online website of D&D provides details of each and every item they offered in their store (De Mooij, 2013). This would facilitate the customers to view and compare the products and even they can buy or place the order through online. D&D can also do marketing of their products by using online sources like social Medias, e-mails, etc. Today, everyone is active on the internet and therefore, this is a best and suitable source for marketing the products and services of D&D.
Through the internet, the organization can maintain a strong and continuous relationship with their potential customers by providing them with the information about the newly launched products, highly qualitative services and various available discounts and offers. It has also speed up the process speed and increases the efficiency of the productivity (Shani and Chalasani, 2013). Through the internet, a proper research can also be conducted for making the comparison between the products and services with that of competitors in terms of quality and quantity.
Conclusion: It has been concluded from the above task that today the extensive marketing mix plays an important role in marketing the services. The extended marketing mix gives additional 3 P’s which would assist the organization in targeting the maximum number of customers and building a good brand name in the market. The introduction of IT has improved the working of the organization. Through IT the marketing of the services becomes easy and also it assists the organization in maintaining a strong relationship with the customers.
Introduction: The following task will show the role of social, ethical and Corporate Social Responsibility (CSR) on the business of the organization. This will show the various responsibilities that an organization would have on the society and the existence of various legal policies and rules and groups that pressurize the organization to follow the rules strictly in their conduct of business.
4.1 Explain some of the current issues of ethical and social concern to marketers in a particular industry.
In the present scenario, marketing has become a necessary activity for every business organization in order to survive in the prevailing competitive environment. Marketing is not an easy task. A various analysis is required to be conducted in order to form a better and effective marketing strategy. The marketers are also required to follow and obey the various rules and regulations related to the ethical and social concerns. The negligence of these rules and regulation might hamper the image of the organization (Schiebel, 2015). Therefore, the marketers of D&D are required to pay a special attention towards the issues faced by them related to the ethical and social concerns.
Normally the term ethics and social responsibility are used simultaneously but these two are two different terms. The ethics for marketers is the responsibility of them towards the marketing group and the social responsibility of marketers is the responsibility towards the society for the effects caused by the marketing practices. The marketers are, therefore, required to be transparency, honest, respect to the privacy of the customers and should include ethical pricing for conducting ethical marketing (Sheikh.et.al, 2011).
Proper planning is must required by the marketers in order to deal with such issues positively. The cultural and ethnicity differences should be considered and investigate properly so that everyone’s rights are respected and no harm is made to them. The investment on the internet should be made such that the fuller utilization of this can be achieved and the pricing strategy should be made by giving priority to the customers and then to the profits. The marketing process should not abuse or harm any of the social group. The marketers should obey the rules and regulations regarding the information rights and obligations, quality of life, etc.
4.2 Explain the concept of CSR with reference to a particular organization.
The concept of corporate social responsibility (CSR) is required to be followed by every business organization. It states that every business organization like D&D is bound and has some of the responsibilities towards the society. Their aim is not limited to the maximization of the profits but also towards the growth and development of the society by improving the standard of living by providing the safe and secure environment and reducing the poverty by providing the good quality products at economical or affordable prices (Hollensen, 2015).
The corporate social responsibility of D&D towards the society is to provide them with fresh quality products by stating the whole details of products like ingredients, expiry dates, etc. They should conduct the fair business. While conducting the marketing they should provide the customers with straight information and no hidden information or terms and conditions should be there that makes the customers confused. This would help the D&D organization to achieve the trust and faithfulness of the customers. According to the CSR, the process and techniques used by the organization should be clean and transparent because through this only it can build a strong relationship with its customers (Smith.et.al, 2010). The customers should be acknowledged timely about the current offers and discounts so that they can prevail or make use of such available offers and discounts.
4.3 Evaluate the role played by a selected pressure group in influencing ethical and social marketing policies for a selected organization.
The organization is required to be clean and transparent so as to stay away from the negative impacts caused by the pressurize groups. The groups like Green Peace assist the organization D&D to be clean and transparent in their business in all the aspects. This would help the organization to achieve the maximum number of customers and a good name in the market. Being clean and transparent in all the aspects of business would be beneficial to survive in a long run.
The presence of pressurize group forces the management of D&D organization to review the marketing strategies because these groups have a greater influence over these strategies. The pressurize group is basically the association of the people who works for the well being of the society (Lee.et.al, 2013). Therefore, the D&D organization should take decisions carefully related to the quality and prices of the products and services they offered. Selling of any inferior quality goods at high cost may raise the objections from these groups which may damage the image and reputation of the organization in the market. Therefore, the organization should walk with these groups in harmony. This will assist the organization to continue its operations without any hurdle or obstacle. For maintaining a good image in the market, the organization needs to participate in the charity or any other social events.
By this contemporary issues in marketing management assignment, it has been found that a CSR plays a very important role in the business organization. Every organization is bound to perform its responsibilities towards the society in order to survive in the business environment. Some of the pressurize groups like Green Peace may influence the marketing strategies adopted by the organization therefore, the management is required to form such a strategy that would be in harmony with these groups.
Books and journals
De Mooij, M. (2013). Global marketing and advertising: Understanding cultural paradoxes. Sage Publications.
Gummesson, E. (2011). Total relationship marketing. Routledge.
Halinen, A., & Törnroos, J. Å. (2015). Using case methods in the study of contemporary business networks. Journal of Business Research, 58(9), 1285-1297.
Heller Baird, C., & Parasnis, G. (2011). From social media to social customer relationship management. Strategy & Leadership, 39(5), 30-37.
Hennig-Thurau, T., Malthouse, E. C., Friege, C., Gensler, S., Lobschat, L., Rangaswamy, A., & Skiera, B. (2010). The impact of new media on customer relationships. Journal of service research, 13(3), 311-330.
Hines, T., & Bruce, M. (Eds.). (2009). Fashion marketing: contemporary issues. Routledge.
Hollensen, S. (2015). Marketing management: A relationship approach.