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To:

Johann Andrew, Marketing manager, Perera and sons (Pvt) Ltd

From:

Nigel Mark, Executive marketing manager, Perera and son (Pvt) Ltd

Subject: Review of organizations current approach to integrated


Communications
Date:

01st of June 2015

Integrated communications

Membership number: 38450981

Contents
Task 01 (639 words)

01

1.1 Company background of Perera and sons

02

1.1.1 Size of the organization

02

1.1.2 Range of products

02

1.1.3 Organizational characteristics

02

1.1.4 Mendelows Matrix Important stakeholders

02

1.1.5 Cross functional relationships

02

1.1.6 Market share

02

1.2 Internal Communication methods used for employee engagement

03

1.3 Internal resource allocation of Perera and sons

03

1.4 Budget allocation for marketing activities

03

Task 02 (1852 words)

04

2.1 Creative brief developing process of Perera and sons

05

2.1.1 Value proposition

05

2.1.2 Creative brief

05

2.2 Main challenges and solutions when working with external agencies of Perera and sons

06

2.2.1 Agency relationships

06

2.2.2 Main challenges in working with external agencies

06

2.3 Product life cycle as a tool of profit maximizing for Perera and sons

07

2.3.1 Product life cycle

07

2.3.2 Maximizing profitability through the product life cycle

07

2.4 Branding for Perera and sons

08

2.4.1 Brand

08

2.4.2 Benefits of Branding

08

Task 03 (3109 words)

09

3.1 Comparison of marketing communication methods used by Perera and Sons and Cool planet

10

3.1.1Effective marketing communications

10

3.1.2 Benchmarking Cool planet (Pvt) ltd

10

Integrated communications

3.2 Marketing communication objectives


3.2.1 Importance of considering stakeholders when communicating
3.3 Perera and son (Pvt) ltd: Integrated marketing communication plan
3.3.1 Context analysis

Membership number: 38450981

11
11
12
12

3.3.1.1 Business context

12

3.3.1.2 Customer context

12

3.3.1.3 External context

13

3.3.2 Promotional objectives

13

3.3.3 Promotional Strategies

13

3.3.4 Co-ordinated promotional mix

14

3.3.5 Resources

14

3.3.6 Scheduling

14

3.3.7 Control and evaluation

15

References

16

Bibliography

17

Appendix A

18

Integrated communications

Membership number: 38450981

Perera and sons (Pvt) ltd

Task one
Word count: 639
Page count: 2

1.1 Company background of Perera and Sons (Pvt) ltd


With over 100 years of experience (since 1902) in the art of producing bakery products, Perera & Sons is best
qualified when it comes to making of cakes and short eats. The company has been manufacturing many varieties of bakery
products since its inception and offers customers a personalized service to produce Birthday cakes, Wedding cakes, Short
eats and Sweets.

1.1.1 Size of the organization

1.1.2 Range of products

1.1.3 Characteristics of the Organization


Organizational Characteristics
Motive

Profit motive

Ownership

Private Ownership

Geographical
Coverage

Local

Type of legal
entity

Registered Private Ltd. Company

Customer base

B2C

Main
Competitors

Fab, Bread talk, Sen


saal

1.1.5 Cross functional relationships

1.1.4 Mendelows matrix Important stakeholders

Market share

1.1.6 Market share

Perera & sons - 55%


Bread talk - 10%
Other - 4%

Fab - 25%
Paan Paan - 6%

Page 02

1.2 Internal communication methods used for employee engagement


Internal communication is the transmission of information between organizational members or parts of the
organization (Grimsley, n.d.). By creating and managing content, flexible and just in time information makes
employees in the organization feel more connected and engaged . In Perera and sons the following internal
communication methods are used to enhance employee engagement.
Internal communication
method
E-mail

How its used to enhance employee engagement

Employee Publications

Conduct ongoing day to day operations with employees, To


update on important issues and changes
Inform on office events, New employee orientation , upcoming
online exams, training programs,
Inform on business information, progress and future goals

Memos / Letters

Inform about employee agreements, important announcements

Employee Intranet

Rating based on
effectiveness

1.3 Internal resource allocation of Perera and sons


Now lets have a look on how Perera and sons (Pvt) ltd allocates its internal resources for day to day business
purposes based on current allocation and expected amount.
Resource
Employees and
Worker skills

Brand

Cash flow

Type of resource Current allocation


Human
Currently there are
resource
700+ employees
working for P&S where
they mainly focus on
fulfilling orders in time
Intangible
P&S is the market
resource
Leader since they cater
to all income levels in
the bakery industry and
also focuses on brand
awareness

Financial
resource

Allocated for day to


day product related
expenses and
investments on bonds,
Fixed deposits etc

Justification
Instead of focusing on the quantity of employees, necessary
measures must be taken to enhance the quality of
them through training programs and employing skilled
employees etc which would enhance the customer
experience and uplift customer support
Even though they are the market leader, due to poor
quality of Food and continuous negative feedback
posted on social media sites, brand reputation has
decreased continuously where they must take necessary meas
increase brand reputation by maintaining quality and
providing a better customer service that leads to a
greater brand image which would directly influence
Sales and marketing activities.
Rather than just saving money must also consider means and
Ways to generate more money. Since they target all income
Levels its more wise to open up retail outlets in rural areas as
well and allocate money for marketing purposes such as
Advertising, promotions etc

1.4 Budget allocation for marketing activities


In the process of allocating budgets for marketing activities, Perera and sons uses the Objective and task
approach. It refers to the calculation of money the organization needs to achieve objectives and tasks. Primary
challenge associated with this method is the difficulty of accurately assessing the marketing costs necessary to
accomplish the goals (Bass, n.d.)

Ex:- Objective - Perera sons wanted to increase its market share by 20% in the year 2009. It increased its advertising
presence by 43% (TV, Radio, Hoardings and newspapers) which led to increase in market share (Source: Employee
newsletter)
TV 5%
Radio 10%
Hoardings 20%
Newspaper 65%
Share of voiceIncrease by 43%

Share of market
increase by 20%

Page 03

Integrated communications

Membership number: 38450981

Perera and sons (Pvt) ltd

Task two
Word count: 1852
Page count: 4

Page 04

2.1 Creative brief developing process of Perera and sons


2.1.1 Value proposition
Value proposition is the set of benefits or values it promises to deliver to consumers to satisfy their needs (Kotler
and Armstrong, 2011). Perera and sons believes in Freshness and flavor in every bite as their value proposition
where they mainly target the lower middle level and the middle level customer base of Sri Lanka. Perera and sons
could be differentiated from other competitors due to the Unique Spice taste it offers, freshness and quality. Its
important to communicate the value proposition of the organization effectively because it helps to create a strong
difference between the organization and the competitors, Gain market share in the targeted market, to improve the
efficiency of operations and brand value.

2.1.2 Creative brief


Creative brief is a document created through initial meetings, interviews, readings and discussions between a client
and agency before any work begins (Biederbeck, 2011). It is important to create a creative brief because it gives
guiding principles for each project, It brings clarity to the business issue and shows whom it impacts and also it can
be used as a tool to measure and for justification of concepts.
Perera and sons (Pvt) ltd uses the following process in the development of a creative brief:
Conduct an
internal meeting
with the
relevant
managers and
employees
Share the brief with the advertising agency
including the following details:

What the organization does


Markets in which the organization operates
Brief company history
Mission statement
Corporate objectives

Provide the following information with the standard agency


brief:
Introduction - What the organization does, Brief company
history, markets in operation, corporate objectives
Project requirements Reasons for needing the work and
how the project helps to solve the problems of the
organization, available budget
Supportive information Preferred colours, layouts, likes
and dislikes etc
Communication information Platforms to be used, skills
available in the organization to manage content, restricted
technologies
Timescales Deadlines of the campaign, Contract period

Identification of the important issues to


consider in the development of the
campaign Standard agency brief format
prepared by Perera & Sons (Pvt) ltd
1. Who? - Who are the targeted customers
in terms of geographic, demographic,
behavioral and psychographic qualities?
2. Why? Are there any needs or wants the
ad should appeal to based on Rational and
Emotional appeals
3. What? Does the product have special
features to satisfy consumer needs? What
factors support the product to claim?
4. Where? - Through which medium and
what are of the country will the message be
communicated
5. When? Which time of the year will the
message be communicated?

Agency would meet


up for further
clarifications

Fig 2.1 Creative brief development process


Page 05

2.2 Main challenges and solutions when working with external agencies of Perera and
sons
2.2.1 Agency relationships
The advertising business is essentially a people business. In a world that revolves around things as abstract as
brands, perceptions and ideas, and where judgments are largely subjective, relationships are bound to be highly
volatile and emotionally charged (Cerone, n.d.)

2.2.2 Main challenges in working with external agencies


Main challenges Perera and sons deals with external agencies and solutions to overcome these challenges could be
classified based on Williams 4Cs (Kotler and Armstrong, 2011) model of factors affecting client agency relationships.
1.

Chemistry

Challenge: The most critical factor is the personal chemistry between the clients and the agencys staff; mutual
understanding and attitudes.
Solutions : Showing positive feedback if the agency comes up with a creative/valuable idea, Citing a valid reason if an
idea is turned down, Reacting like a person rather than a corporation, such as laughing at funny ads even if they
dont work.
2.

Communication

Challenge: Poor communication is a major problem that leads to misunderstandings about objectives, strategies,
roles and to poor advertising.
Solutions: Being specific about the details provided, having constant and open communications, providing accurate
details in the simplest form using the most effective medium/mediums.
3.

Conduct

Challenge: Dissatisfaction with agency conduct or performance is the most commonly cited reason for agency switches
in every organization. The main reason for this is the agency not being able to understand clients marketing problems.
Example: Perera and sons shifting into 4 external advertising agencies during the financial year 2012/2013. (Source:
Annual Internal newsletter 2013)
Solutions: Avoid changing concepts during the production stage, be willing to admit if unsure of content and rather
than providing misleading details, Always making sure the agency understand what the organization wants to
deliver.
4.

Changes

Challenge: Changes occur in every relationship. Unfortunately some of them damage the agency/client partnership
Example: An advertising campaign of Perera and sons (Reconstruction of the brand logo) conducted by an external
advertising agency in the year 2013 was delayed by 3 months due to a structural change of the marketing division of
the company. (Source: Annual Internal newsletter 2013)
Solutions: Avoiding nitpicking last minute changes, providing reasonable time for agencies to work on campaigns
where they have time to make alterations before meeting deadlines, Agencies work best when objectives come from
top level rather than from filtered layers which leads to multiple changes and alterations.
Page 06

2.3 Product life cycle as a tool of profit maximizing for Perera and sons
2.3.1 Product life cycle

Sales

Product life cycle is the course of a products sales and profits over its lifetime. It involves five distinct stages:
product development, introduction, growth, maturity, and decline (Kotler and Armstrong, 2011).

Introduction

Growth

Maturity

Fig 2.2 Product life cycle of Perera and sons

Decline

Time

2.3.2 Maximizing profitability through the product life cycle


During the Introductory stage the company bears a large cost due to the introduction of lunch sandwich and the
Opera cake. These products remain at this stage because it was introduced recently and it will take time to be
aware of these products. The primary goal of this stage is to build primary demand and generate brand awareness.
Since sales will be low at this stage because it takes time for the market to accept the product, marketers must use
relevant strategies such as advertising (TV, Hoardings, Posters) and promotions such as happy hours, buy one get
one free options to increase sales and brand awareness. During the Growth stage sales on products such as the
Almond tart, Sausage Pastry would increase and with the rise of profits. The reason for these products to lie on
this stage is the unique flavor added into the almond tart and the spice taste of the sausage pastry which
enhances customer choice. The main goal of this stage is to increase sales and enhance customer preference. Perera
and sons can also have cost benefits from economies of scale due to the large scale production at this stage.
Investing more on advertising would also help to achieve the maximum potential at this stage. At the Maturity stage
its important to maintain the market share they gained. Since competition at this stage would be at a higher rate its
important to conduct marketing activities wisely. They could also use product improvements and modification on
products such the traditional Beef rotty and the Chicken Cornish which lies at the growth stage to face
competition successfully, and also promotions such as discounts, buy one get one free promotions would also lead
the organization to increase its sales at this stage. During the Declining stage sales on products such as the Baked
patty and the Fish patty would start to fall. Since its pointless to invest on advertising to increase sales, instead
Perera and sons could use cost effective production methods and promotions such as free giveaways to attract
customers to the store and earn some profit.
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2.4 Branding for Perera and sons


2.4.1 Brand
A brand is a name, term, sign, symbol, or design, or a combination of these, that identifies the maker
or seller of a product or service (Kotler and Armstrong, 2011). Its important to use branding because;

2.4.2 Benefits of Branding


1. Ability to enhance organizations recognition and loyalty Branding creates an image of the organizations
products in the minds of consumers and by creating distinctive and durable perceptions in the minds of consumers
loyalty towards the organization increases. An example would be a customer who loves the "beef rotty" (and trusts
the brand) is more likely to try other products the company offers, such as Sausage pastry", Chicken Cornish"
2. Assists in Introduction of New Products Firms that have established a successful brand can expand its brand
range by adjoining new products under the same family brand. It enhances the procedure of marketing and
promoting the product since the brand has already been recognized by the market. An example would be the lunch
sandwich, Opera cake, Stuffed chili bun which was introduced lately has achieved higher interest in social
media than of the other latest products of the competitor.
3. Builds Brand Equity The value premium that a company realizes from a product with a recognizable name as
compared to its generic equivalent (Investopedia , n.d.). When a strong brand is been created it brings financial
advantages and makes the brand valuable. The additional money that consumers are willing to spend on a brand
apart from others brands could be considered as an example for brand equity. An example would be locals
preferring to buy the Chicken Cornish of Perera and sons than of the other same product of the competitors due to
the mass marketing campaigns conducted by the organization.
4. Lower marketing expenses and distinguish products from competition Although there is an initiation cost to
build a brand, once it's crafted it can be maintained without having to tell the whole story about the brand every
time its been marketed and also it assists in differentiating the product from other competitive brands. An example
would be the jingle created by Perera and sons continue to promote the organization when it's played without any
words, which leads to lower marketing expenses.
Perera and sons considers brand building as a process of creating value to customers. The activities in the brand
building process could be categorized based Kotlers main brand strategy decision tool (Kotler and Armstrong, 2011)
Brand positioning
Determining the current
position of the brand
Understand competitor
brand positioning
Development of a value
based positioning idea

Brand name selection


Review of product
benefits, target market,
business objectives
Generating multiple
names

Brand sponsorship

Brand development

Perera and sons launches


the brand as a
manufacturers brand

Perera and sons uses


Brand extension as a form
of developing brands
Extending the existing
brand to new product
categories.

Selection of a name based


on required
characteristics

And also Perera and sons uses the following methods to communicate the brand:
1. Advertising Use of Press media, Hoardings, Posters in publishing their advertisements on mass media for brand
awareness, Vehicle branding for out of home advertising purposes, Web banners Advertisements published on
social media regarding promotions, new products, competitions etc (Refer Appendix A)
2. Events Contributions and sponsorships provided for environmental conservation programs and charity events
such as Mawbima raka gamu, Sisu diriya. (Refer Appendix A)
Page 08

Integrated communications

Membership number: 38450981

Perera and sons (Pvt) ltd

Task three
Word count: 3109
Page count: 6

Page 09

3.1 Comparison of marketing communication methods used by Perera and Sons and
Cool planet
3.1.1Effective marketing communications
Marketing communication (MarCom) is a fundamental and complex part of a companys marketing efforts. Loosely
defined, MarCom can be described as all the messages and media you deploy to communicate with the market
(Mars, 2013). Following are some marketing communication methods used based on the communication mix:
Advertising

Personal selling

Public relations

Direct marketing

Sales promotion

Newspapers
TV
Radio
Magazines
Web banners
Hoardings and
posters

Retail selling
Field selling
Inside selling

Public events
Press releases
Newsletters
Blogging
Social media
marketing

Direct mail
E-mail
marketing
Face to face
selling
Telemarketing

Discounts
Refunds
Usable benefits
Contest
Samples
Lucky draw

Figure 3.1: Marketing communication methods

3.1.2 Benchmarking Cool planet (Pvt) ltd


Cool planet (Pvt) ltd is a trending fashion design store in which designs and manufactures for both men and women
in Sri Lanka. Perera and sons (Pvt) ltd has the ability to benchmark Cool planet because it both has island wide
presence, which targets a middle level and a lower middle level customer base. Visit ( http://www.coolplanet.lk/) for
further information.
Comparison of marketing communication methods used by Perera and sons (Pvt) ltd and Cool planet (Pvt) ltd
Marketing
communication method
TV

Cool
planet
Yes

Perera
and sons
No

Newspapers

Yes

Yes

Notes
Cool planet advertises on TV channels such as CSN, Art TV

Cool planet Daily mirror, Lankadeepa, The Island


Perera and sons Daily mirror, Daily news , Sunday leader
Yes
Yes
Cool planet Facebook, Twitter, LinkedIn
Social media
Perera and sons - Facebook, Twitter, LinkedIn, YouTube
Yes
No
Face to face selling conducted by Cool planet at different
Face to face selling
super markets in the western province
Yes
No
Cool planet provides discounts to customers based on
Discounts
seasons, events quantity of purchase etc
No
Yes
Perera and sons organizes and sponsors environmental
Public events
conservation programs
Yes
No
Cool planet uses e-mail as a marketing tool to inform and
E-mail
create brand awareness on the latest products
No
Yes
Perera and sons provides samples of food items to gain
Field selling
feedback from consumers
Yes
Yes
Both Perera and sons and cool planet uses hoardings at
Hoardings
different locations island wide to create brand awareness
No
No
Both Perera and sons and cool planet doesnt use
Magazines
Magazines as a marketing method
No
Yes
Perera and sons conducts competitions via online platforms
Contest
which is a marketing communication method
The main objective of all marketing communication methods is to provide information to their target audience in a
way that encourages a positive, or buying, response. Thus its important to communicate effectively. The following
key points could be traced out by these two organizations on how they use marketing communication methods.
Perera and sons generally uses an informal approach to communicate with external parties whereas Cool planet uses
a formal approach to communicate with customers. Perera and sons prefers to use Advertising, public
Page 10
relations and sales promotions as a mode of communication since it has a wider coverage of and a higher

level of interactions with external parties. Ex: - Paper and TV advertisements, Seasonal promotions, Hoardings and
banners etc Cool planet uses methods such as personal selling since its more into B2B activities and find their
customers more or less by themselves. Ex: - Direct mail, Newspapers etcThe key priority of Perera and sons for
marketing communications is Brand management where as Cool planet consider Sales management as the key
priority.

3.2 Marketing communication objectives


Regardless of marketing communication method; Mass media, print, e-mail, online, or any other method, has
three major objectives:
1. To Create a brand awareness or, in other words, to inform your target audience about your brand.
2. To define a fulfilling need for your product or service, or to persuade them to use your product or service.
3. Encourage action from your target audience or, in other words, to remind them through various marketing
channels about your product or services (Stafford, 2012)

3.2.1 Importance of considering stakeholders when communicating


1. To earn profits Operating in a customer centric manner is the best way to earn profits. Customers expect the
organizations to be truthful and transparent in marketing activities.
2. To gain community support Maintaining healthy relationships with Government, customers and society
benefits the organizations in a long term approach. Society requires organizations to operate in an
environmentally friendly manner and benefit the society. Conducting marketing activities in a harmful manner
could distort the relationship with society and not paying attention to government rules and regulations
regarding communication activities could break the bond and reputation regarding the organization
3. To conduct business activities without interruptions To conduct business activities without any
interruptions, maintaining good relationships with suppliers, creditors and partners is required. They expect
honest communication and decision-making that takes into account the mutual interest.
4. To build a positive work culture Employees are the key internal stakeholder. Maintaining effective
communications with employees would reduce disputes and get the work done right by keeping them happy and
using effective communication methods to enhance the message clearly.
Objective

How it helps build corporate reputation and effects external stakeholders

1. Increase online brand


awareness by 20% within the
next 6 months

Using relevant strategies to promote the brand online makes people aware of the
brand. It helps to build up the overall image of the brand in the minds of the customers
and also it would make customers re-think about their daily wants.

2. Increase employee product


knowledge and work skills by
40% within the next two weeks

Increasing the product knowledge and building up the working skills of employees
would help the organization deliver a better service to the customer and build
corporate image.

3. Retain 65% of the current


customer within the next 8
months

By taking necessary measures for retention, customers would be benefited and also
they would be satisfied with the organization which would lead to increase corporate
reputation and goodwill.

4. Increase sales by 20% than


the previous year within the
next 6 months

Strategies used to increase sales would convince customers to purchase products and
enhance loyalty towards the organization. Government would also be benefited since
the increase in sales would contribute to the GDP of the country.

5. Gain 60% of the market by


the end of this year

Increasing market share would help to convince customers to purchase products since
the trust and loyalty would increase with the increase in market share, it would also
affect the competitors in the market to be more focused on their products.
Fig 3.2 Marketing communication objectives

Page 11

3.3 Perera and son (Pvt) ltd: Integrated marketing communication plan
Integrated communication plan is an approach to achieving the objectives of a marketing campaign, through a well
coordinated use of different promotional methods that are intended to reinforce each other
(BusinessDictionary.Com, n.d.).
The model which is been used to develop this integrated marketing communication plan is the Marketing
communication planning framework (MCPF) created by Chris Fill which provides a visual guide with elements.

3.3.1 Context analysis


Context analysis contains information on several related contexts, which enriches the marketing communications
plan. It may emphasize on the business context, the customer context, the stakeholder context, the organizational
context and the environmental context (Fill, 1999)
3.3.1.1 Business context

Company background
As Sri Lankas foremost baker and caterer with over a century of tradition behind them, Perera & Sons takes
pride in producing every great tasting item of food on its list with care, and with a strong commitment to
quality. The quality of his products soon won him a steady, loyal and ever growing customer base that gave
him the confidence and encouragement to set up his own business a bakery. A century and several
generations later, Perera & Sons has enhanced and expanded their founders initial business philosophy since
1902, and now, celebrates over 100 years of success and goodness; qualities inherent in all its products and
services. Perera and sons is a registered Private limited company which is profit motive where the customer
base is B2C. Its geographical coverage is limited only to Sri lanka and there over 110 sales outlets spread
throughout the country which mainly targets middle level and lower middle level customers.
Product analysis
Perera and sons has wide range of mouth watering bakery products such as the traditional beef roti, Chicken
savory, Chicken Cornish, Chicken and fish roll, egg and fish savory, fish cutlet, lunch sandwich, lasagna, chicken
sausage bun, Baked patty, Almond tart, Opera Cake, Chocolate Roll, Doughnut, Chocolate eclair, Chocolate
muffin, Cheese and deviled chicken sandwich etc...Also With over 100 years of experience in the art of making
cakes, Perera & Sons is best qualified when it comes to cake making. The company has been manufacturing
many varieties of cakes since its inception and offers customers a personalized service to produce Birthday
cakes, Specialty cakes for any occasion and Wedding cake structures. Customers can even design their own
cakes with the help of the latest edition of the highly renowned Wilton cake decorating books available at all
Perera & Sons outlets.
Competitor analysis
The main competitors for Perera and son are Fab, Bread talk and Sen Saal out of which Perera and sons
is the market leader.
Fab Geographically spread throughout Colombo, with 14 outlets targeting middle level and upper middle
level customers
Breadtalk Geographically spread throughout the western province, with 5 outlets targeting middle level and
lower middle level customers.
Sen Saal Geographically spread throughout the western province, with 7 outlets targeting middle level and
upper middle level customers
3.3.1.2 Customer context
Segment analysis
Perera and sons is the market leader in the bakery industry of Sri Lanka with 55% of market share, and its
necessary to segment the target market based on various characteristics to fulfill customer needs and for the
survival of the business. Perera and sons segments their customers on the following basis:
Demographic - Individuals in the age of 15-65
50% male/female balanced
Lower middle and middle level income holders
Geographic - Both Urban and suburban
Page 12
Behavioral
- Business lunch, Special occasion, Quick spot

3.3.1.3 External context


Environmental analysis
Refer table 1.1 (Mendelow's matrix) to identify key stake holders of the organization. The External business
environment could be analyzed using the PEST analysis.
Political environment Regulations imposed by the government on employee hygiene, Health and food
regulations imposed by the consumer affairs authority, inspections by the health department
Economical environment Decrease of interest rates for loans by the central bank, Decrease of inflation
rate by 1.2% within the last 6 months
Social environment Fast food purchasing trend, more concern on health, Increase in population growth
rate by 0.8%, Ration Of people preferring to eat out regularly
Technological environment efficient machines available in the market, Replacement of technology
SWOT analysis conducted for Perera and sons (Pvt) ltd to identify key strengths, weaknesses,
opportunities and threats of the internal and external environment
Strengths

Weaknesses

Strong financial status


Skilled employees
Strong brand with loyal customers
Effective marketing strategies
Market leader with the highest
marketing share
Opportunities

Outdated point of sale system


Lack of communication among staff
members
Lack of customer care strategies
Limited parking space on outlets

Threats

Government tax incentives


Increase in sales opportunities in take
away business
Subsidies provided by the government
Increase in population growth
Arrival of efficient technologies

Government regulations on food


and safety
Competitive pricing of competitors
Arrival of new technology
Health conscious trends
Price increase on flour

Fig 3.3 SWOT analysis

3.3.2 Promotional objectives


1. Increase brand awareness by 20% within the next 6 months
2. Increase employee product knowledge and work skills by 40% within the next two weeks
3. Retain 65% of the current customer within the next 8 months
4. Increase sales by 20% than the previous year within the next 6 months
5. Gain 60% of the market by the end of this year

3.3.3 Promotional Strategies


Both pull and push strategies could be used in the selection of marketing communication methods to fulfill the
above mentioned communication objectives of Perera and sons.
Push strategies Its about taking the product to the customer. Following methods could be used to fulfill push
strategies

Package design to encourage purchase This would attract customers to purchase the product and create brand
perceptions in the mind of customers, and also it would help to increase brand awareness which would facilitate
objective 1
Page 13

Direct sale Direct sale is a highly effective marketing communication method which would lead to increase
sales of the organization and create good customer- business relationships since its an interactive mode of
marketing which would help to achieve objectives 3 & 4
Catalogs and brochures This would help to increase the product knowledge of both customers and employees,
increase brand awareness and will also lead to increase sales of the organization if its able to convince
customers to purchase the product. This strategy would help in achieving objectives 1,2 and 4.

Pull strategies Its about getting the customer to come to us. Following methods could be used to fulfill pull
strategies
TV Has the ability to reach a larger audience and it helps transfer the required content with audio and video
which would lead to increase brand awareness of the organization and also to increase sales by showing the
privileges out of the product. It would be a bit costly but it helps in achieving objectives 1,,4 and 5
Newspapers Has the ability to transfer content visually at vast geographical area, and a larger audience which is a
very cost effective method that would help to increase brand awareness of the product and increase sales by
convincing customers, Also it would help in enhancing the market share. These would facilitate objectives 1,4 and
5. Public relations
Social media Cost effective method which has the ability show product details, promotions, discounts and
interact with customers. This method would enhance to increase brand awareness, increase sales, increase
market share, and retain customers since it has a wider coverage of audience. This method would help achieve
objectives 1, 3, 4 & 5

3.3.4 Co-ordinated promotional mix


The 4Cs framework showing the summary of the key characteristics of the tools of marketing communication (Fill,
2013)

Clout
- Level of interactions
- Ability to deliver a personalized message
- Ability to reach a large audience
Costs
- Wastage
- Investment
-Absolute cost
Credibility
- Given by the target audience
Control
- Ability to target particular customers

Advertising Sales
promotion

Public
relations

Personal
selling

Direct
marketing

Low
Low
High

Low
Low
Medium

Low
Low
Medium

High
High
Low

High
High
Medium

High
High
High

Medium
Medium
Medium

High
Low
Low

Low
High
High

Low
Medium
Medium

Low

Medium

High

Medium

Medium

Medium

High

Low

Medium

High

Fig 3.4 The 4Cs framework

3.3.5 Resources
Resources of Perera and sons could be categorized under elements such as Human, Financial, Physical and
intangible. It has over 700 employees as human resources to accompany task of the organization, Latest technology,
machinery and 110 sales outlets spread throughout Sri Lanka as physical resources. Overall the plan has been
composed to be as profitable and low-cost as possible where finances would be invested on communication
methods which are most effective. Budgets should be based on the recommended goals and objectives to minimize
wastage and to gain a high return on investment.

3.3.6 Scheduling
Scheduling differs based on the activities undertaken by the organization. Heavier advertising phase required for
new products such as the Opera cake and Lunch sandwich and during time periods of promotions, festivals, and
occasion etc to fulfill objectives such as increasing brand awareness, Sales and Market share.
Page 14

Duration

Cost
(Rs.)

Begin product launch

3 months

1,435,000/=

Determine marketing concept

4 months

245,000/=

Review available resources and


find new requirements

1 month

80,000/=

Product specification

2 months

465,000/=

Determine internal
communication requirement

2 months

70,000/=

Determine communication
mediums

1 month

122,000/=

Match product release time with


marketing plan

1 month

25,000/=

Grouping sales staff for training


and plan sales objectives

2 moths

80,000/=

Budget approval and plan


updates

1 month

35,000/=

Name

Priority

Jan

Feb

Mar

Apr

May

Fig 3.5 Gantt chart of scheduling the marketing process - *Based on assumptions

3.3.7 Control and evaluation


Control of the campaign must be planned carefully as it would help to evaluate the performance of marketing
communication plan. Effectiveness of the marketing plan could be measured in the following ways based on the
marketing communication methods used.
Increase of brand awareness of the organization due to advertising - Increase in brand awareness as a
percentage due to advertising campaigns is a good way to measure the effectiveness of a communication
plan
Increases in sales revenue due to personal selling Revenue earned by the organizations on personal selling
methods such as retail selling and field selling
Contacts made at exhibitions Contact numbers provided by customers who visits exhibition stalls is a
reliable way to measure the effectiveness of communications
Coupons redeemed at sales promotions Number of coupons redeemed at sales promotions such as
contests and lucky draws
Editorial coverage gained from public relations
Likes obtained on Social media Likes and shares gained on social media is a practical method to measure
the effectiveness of good communication methods
Surveys conducted on employee and customer satisfaction Surveys conducted internally and externally of
the organization is a great way to measure how effective communication activities have been undertaken by
the organization.
Page 15

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Page 17

Appendix A
Brand Communication methods
1. Posters

4. Charity events

2. Newspaper

3. Social media

Page 18

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