Task 2 – Functional areas
The finance department need to work the marketing department closely as the need to organise the budgets and this will determine what kind of activities that the marketing department can do for example if the marketing department have not got the budget they required then they may not be able to conduct as much market research as they intended to do. The Finance department can also affect the marketing mix for the marketing department because there are many different aspects in the mix that require money and good financial decisions. Firstly, promotion needs to be discussed with the finance department because Promote a lot of money is required for advertising e.g. advertising a new product will cost lots of money so the marketing department may require a boost in the budget however the business may not have enough funds to do this and therefore will have to either cancel any plans for advertisement or try to do it at a lower cost. Packaging and branding are also other promotional activities that need to be carefully thought out by both marketing and finance department. The price needs to be discussed with the finance department because it needs to be correct and according to the quality of the products e.g. Kwik-Fit are a automotive replacement company so there sports tyres are going to be more expensive that regular tyres and the finance department must give the figures as if the tyres are priced to high then customers may avoid the product and too low could mean that there is something wrong with it. It needs to be taken into consideration also the type of pricing strategy the marketing department are going to use needs to be discussed with the finance department as they need to choose the most effective one e.g. when a game is released by stores such as Tesco, Asda, game and Argos they sometimes use the penetration pricing method to get sales quickly as the customers will desperately want the game or if the sales are going well they could increase the price like in Argos the game may be sold out so Tesco can take advantage as they may have plenty of stock so they could increase the price for a short period of time to increase sales and profit and this would mean that finance department has done their job successfully. The Place is also important and requires the communication between marketing and finance to make it successful. The method of transport uses is going to require money and this is where the finance department is needed as they must decide how much money is allowed to be spent transporting the goods to customers and this will depend on type of load, size of load and the distance e.g. in walkers they deliver their crisps to retailers and wholesalers so they need to decide how much it will cost getting to the retailer such as Tesco or wholesale such as BRITSUPERSTORE.
Walkers also can do direct distribution which would also cost money as it goes straight to customers. The product being created is also the most important part of the marketing mix and needs to be discussed with the finance department. During the making of the product there will be lots of money needed and involvement of the finance department is crucial as tasks such as creating a logo and design cost lots of money. The more materials involved in the creation process the more money requires for example in car companies they use many different materials like the creation of the Bugatti Veyron cost £4.1million and is sold for only £850,000 which really indicates they have made a loss.
The customer service department also needs to work closely with the marketing department so they can gain more customers and satisfy their needs also they support marketing department with the marketing mix. The departments will work together to achieve the aims and objectives of the business and the marketing activities. Firstly during promotion of the product, the departments work together frequently because they need to get the information to the customers and any questions they have need to be answered. The customer service should always be open as it could cause problems if not e.g. businesses such as Primark, sometimes their customers services are closed due to some problems or maybe the employees are ill which results in the lines becoming longer and customer becoming impatient and waiting in queues for long time also they may want to return a product. This could also affect the marketing department because they need to promote the products to the customers and if they are all returning back for refunds then they haven’t done their job properly. The customer service department’s job is to provide feedback to the marketing department so if something is done wrong or customers are unhappy then the marketing department can do something about it e.g. when a car is sold to the customer, you expect it to work especially if it is brand new however if the customer has bought it then when driving the car it begins to stall or has leaks in the pipes then there is something wrong which means marketing department has made an error and the customer service department will receive this news and tell them what has happened. With prices increasing in the market it is important the customer has a good relationship with the business however, Some customers may have an issue with price that the marketing department have set and may require help on what to do e.g. Dell have many computers however a customer may require one for multimedia purposes but may not have enough money so they have an online customer service live chat which can help them make the right choice and possibly offer them discounts by talking to the marketing department but this would mean dell would be losing money by selling it less than the retail price also the marketing department may have to chance their pricing strategy. When transporting the goods to the customers the customer services department arrange the deliveries so they would communicate with the marketing department on what type of transport they require and who the goods will go to. If there is a promotion on the store, they can post it on the company website and new customers can also receive help as online there are searching filters in stores that could narrow down what they are looking for e.g. in JD sports, if the customer is looking for Male adidas trainers they would first select the male gender, select footwear and look got the brand adidas and a selection of different trainers would appear on screen. This would help make more sales and decrease the complaints from customers.
Operations/productions are necessary for making the good or service for the customer and this is one of the hardest parts of the business to perform and the tasks are difficult however they need to work with the marketing department to carry out the marketing actives as they use resources such as buildings, equipment, materials, and people and help create the product or service. Firstly they need to make sure that the products are created on time and the quality of the product is precise to what the marketing department expect. There are 3 methods of production that the operations/product department use. The first is called job production which is when one item is created at a time however this is possibly used for smaller manufacturers and have a smaller product width so Large products like cars and washing machines may be used in this form of production as they take time to make. The second type of production is batch production which is a group of products in single go through a machine so for example in a drink factory like Coca-Cola they will use the machines to pour the drink in several bottles or cans in one go creating a batch of cans and bottles ready for delivery. This shows that they are producing lots of products at one time so they can sell to wholesalers or retailers in large quantities to make a lot of money fast instead of selling one by one and they support the marketing department by doing this making their job easier. The final form of production is called continuous production which is a method used to manufacture, produce, or process materials without interruption e.g. walkers are constantly 24 hours running factory making crisps and employees are working their constantly in different shift times however this way they can never run out of crisps during distribution or transport. This form of production can help the marketing department achieves its aims of meeting customer needs. During production some staff may have to work overtime to ensure the goods are delivered on time and customers get more variety and choice. The operations/Production department also consider the R&D’s and marketing department’s ideas and see if they are possible to make into functional, useful and necessitating products e.g. Dyson may decide to make a rechargeable hover however if they don’t have the right resources or technology to make it then the production department will not accept. The Operations/productions department also help out with Transportation of goods using the method of distribution requested by the marketing department. There are also factors of production such as capital which is the amount of money used to create the product so this will affect the marketing department because they need to communicate about what the product is and how much it will cost so they need to consider the budget as it may not cover the costs.
Research and development department gather information of new and existing products and see how they can be improved also they assess the performance of the products. They help the marketing department by using the results of the market research and see what they can do to benefit both the customers and the business for example they may need to make more products as they have less variety or improve the current products they have e.g. the company apple have their phone known as the iPhone however the initial 8gb version had to less memory and customers possibly thought why all the applications, music and images wasn’t fitting in their phone so then apple decided to use this research and develop the iphone by Expanding the memory to 16gb and later on a 32gb version however this means that the price of the phone would also increase due to more memory being put inside the phone costing the business more money and time, However this would benefit customers as they have more storage so the sales at apple increased which is why they are successful but to build on this success they need the research and development team to look at what the customers need. R&S is not only used for businesses just to make money but also to help the customers or scientific research e.g. Drugs are being developed constantly to help curse diseases quickly and effectively so R&D are constantly working hard to do this. R&D don’t just research products but also what prices there are of similar products e.g. GAME who sell video games and consoles won’t have the same prices as CEX or Argos so the R&D department from GAME will see the prices of competitors and also how many units are sold at that price. If the marketing department want to achieve their objective of becoming innovative and enterprising then they must rely on the R&D department to do their job effectively otherwise the business will find it hard to succeed. The R&D department will be mainly focused on the product as they are responsible for innovations in design, products, and style. The Marketing Department studies consumer trends by surveying and researching consumer demands, purchasing methods, product sales, and the existence and development of technology across the relevant market. The marketing department gathers all the data, and makes this information available to the R&D department, which will take action in response to the findings and proceed to keep the company on top of current market needs. The marketing department provides R&D with value information about changes in consumer demand and current requirements of customers. The research and development department should also be informed of new technology, materials and products that meet the customer's requirements and trends for the future of the customer’s needs e.g. like most Franchises and Fast food stores, Tesco have also released a drive-thru supermarket and this is a first for supermarkets as no one else has done this so this shows that Tesco are innovative and meeting customer needs also the R&D departments for competitors such as Asda, Morrison’s and Sainsbury’s will monitor and notice this and possibly have their own.
The quality control/assurance department check quality of goods produced on production line also many regard the quality of a product more important than the value so they have a duty to make the products in perfect condition ready for customers to get their hands on. The quality assurance department also focuses on preventing the claims from customers. In case of receiving such claims on quality of provided products and services, the department starts searching the reasons and effects of the revealed inconsistencies e.g. In a car company all cars must be in the condition stated such as if the car is labelled brand new then the rest of the cars must be the same quality as it would be unfair on another customer receiving the same car but lower quality. Quality Assurance means the completion of a project in accordance with the previously agreed conditions and functionality required without faults and possible problems. The marketing department are involved in the work of the quality assurance department as they ensure products meet customer expectations so both departments must work to get the ideal product for customers and also as mentioned earlier the quality and condition of the same product must be the identical for all customers as it shows equality in the treatment of customers. They are also involved in the 4p’s and mainly the product because they have to make sure the quality of the product meets the customers’ expectations e.g. sometimes on EBay or amazon.uk they state a product that is in the used section as new so the customer is tempted to buy as they will think it is in good condition however when they receive the good it sometimes doesn’t turn out the way it was described or stated on the website. The quality and marketing department must also make sure the reinforce the image and reputation of the business so if the quality department produce poor products and have bad services the it will affect the promotional activities of the marketing department e.g. during advertisement when the product of shown to the customers it will make the business look cheap and unreliable resulting in customers ignoring the adverts and products of that particular business. The price is also affected by the quality of the product so the quality control/assurance department must make sure the quality is ideal for the price so if the product looks very well made and pristine condition then it would sell for a high price and sometimes during valuation of the price the product can be under-valued or over-valued. The more faults or errors that happen in creation of the product, the more their costs increase which means that if the marketing department need funds for advertising or any other promotional activity, they may not be able to as the money may be required for the quality control department to finalise the best design product.
Human resources department are responsible for the People in the business and organise them to work appropriately and efficiently also another requirement is that they must train staff in the business. There are also many other tasks the HR department do such as giving employees promotions and a wage/salary boost, annual appraisals and other employee benefits. The marketing department do not directly work with the HR department however they do provide the wages for each employee working for the marketing department and give them training also the HR department make sure that the marketing department are working carefully and in a safe environment following the rules and conditions in the business. the promotion of the HR department is not related to the marketing mix as that is to do with promoting the product however HR provide promotions for the employees as the lower ranked staff have opportunities to get a higher role in the marketing department e.g. a marketing manager could get promoted to a higher role like a marketing director where they will have more control in the department and more tasks to handle. The human resource management will make sure the employees are focuses in the tasks on the business e.g. the marketing department are meeting the objectives and working on achieving a good marketing mix to help create a successful product or service for the business. If the marketing department do not perform tasks efficiently or too a high standard then during their appraisal this will be recorded and they will be questioned why they are not working hard enough and those who have worked hard may be rewarded in some way possibly longer holiday entitlement or bonuses in their salary/wages. The employees will have set targets that they must meet in order to help the business achieve its aims and objectives and become successful so for the marketing department they have such as monitoring and trying to beat the competition and become innovative and enterprising. So the Human resources must get the best out of the marketing department and make them work harder if they are slacking or becoming lazy also if anyone is absent then another employee with equal skills must cover for the absentee. If members in the marketing department are not working hard enough then the HR department have the right to issue a warning and then immediate dismissal e.g. in the marketing department, If there is discrimination between employees constantly then the person who initiated this for no particular or relevant reason may get fired.
ICT is a support function because they provide technical support all the departments and employees of the business e.g. in the marketing department, if they have a break down on one of the computers then they are there to fix the problems in the computer also they speed up the operations of the business so when the business have any important work they need to do then ICT can make that faster with their up to date software and quality computers. They are also very useful for when computers crash and break so in the marketing department if there is trouble on the computers or a break down then the ICT would have backup copies of all files or a drive with everything on it that restores any important files and folders which then they could restore back to the employees. Administration is when the business has the right resources in the correct places when needed so if departments need things printing paper and stationary equipment then administration will provide that. They are a very important support function and are essential in helping the business run efficiently. They do many tasks that include opening and distributing post when it arrives so any letters for directors and so on which can include bills or meetings with other business or shareholders. The ICT and Administration department work with the marketing department and support the marketing mix in a number of different ways. One of these ways could be product differentiation. During the creation of the product they can create many different designs and logos using the ICT department so many different businesses worldwide have uses the ICT to create shapes, colours and added text to their logo and brand so they are well known for instance Nike and adidas are well known business with Nikes Unique Check mark and adidas with their 3 stripes on their sports version and a another set called ‘adidas originals’ with a trefoil leaf design.
Another way they could help the marketing department with the product is by helping them with supporting customers as if the business has a website they assist the customers using technical support and live on to one communication. ICT and administration can also help with market research by using desk research and the internet to find similar products and also what is the best product selling on the market e.g. The company Virgin Media may wonder why more people are Using Sky TV so the ICT can research the deals that both companies have on offer and which ones are better.
Task 3 – Marketing Mix
The marketing mix is using necessary tools to get a result and see if it has a positive or negative outcome using the marketing objectives. The marketing mix is also known as the 4P’s. They are Price, Product, Place and Promotion. A good mixture of these elements makes it more likely that the business will succeed with a good product. So the business must sell the product the best place, for the best price, selling the products customers want and promoting them appropriately so the customers know what is on the market.
Product – This is the most important part of the marketing mix as this is what is going to be in the hands of customers and will determine of the business is successful with profit or not. There are many different characteristics a product must have in order for it to sell and help the business make large sums of money and become successful. The product must have quality as it needs to be used to its highest potential such as a mobile phone, the more functions and tasks it can do the better it is which is why the iphone is one of the most popular phones on the market because of its array of tasks it can handle. It must be good value and useful for the customer, a reasonable size, nice colour and style and the design of products could also be a factor such as the design of a sofa or curtains in a home as they want to make the house look fashionable and welcoming. Good Packaging will also appeal to customers as well as if it looks professional then it will more likely sell. If a product that is expensive has a long warranty that other products then it may be more likely to sell. There are also so many similar products on the market but they are branded different for example football boots they are all used for the same purpose which is to run with the ball or kick a ball and score a goal however over the years the boots have become more and more advanced where now there are some built for speed as they are durable and light and others made for control and shooting precision. Brands are used to give the product a an identity and make it easy to distinguish it with other brands and so things such as brand names, designs, trademarks, symbols and sometimes music are used. A popular brand which has all these elements could be Cadbury as they have a funny and popular advert that has a gorilla playing the drums with a song and their slogan was ‘a glass and a half full of joy’ and this advert was watched by many and enjoyed by many customers also their logo was 2 glasses of milk being poured onto chocolate. There are also many kinds of different brands but there are 3 main types of brands. 1) Manufacturer brands which are products that are promoted with the use of the producer e.g. Kellogg’s cornflakes and in the sports industry, the most popular of manufacturing brands are Nike and Adidas as most football today were these two sports giants on their feet and are constantly competition against each other. 2) Own label brands are the second types of brands and these are owned and controlled by retailers such as Tesco and Sainsbury’s and one of the most popular is Asda’s George range which is worth £1billion in sales. Own-labelled products and Products will differentiate from others because of the Logo which is a symbol printed on the product for identity, the name of the product which also helps identify the product and is registered as a trademark so no one else can copy it and finally the design contributes to the product being unique and different to other products. 3) The last of the brands are generic brands which are products that have no names or logo and are rare in most cases and not worth a lot in value. Examples of these products could be plain t-shirts or some do have names on them such as copies of coca cola many shops have cheap and different versions of cola which they can make some profit out of. Businesses also use something called the product mix and this is used to show that the business sell more than one product as they is a range of different products e.g. Nike don’t just sell clothes as they also sell sports equipment, footwear and bags. Businesses also have a product range which is several products that are similar e.g. walkers crisps all look the same however they are all different in flavour and the colour of the packaging is different also. They also use product item which is the size of a product e.g. 5kg or 10kg rice, the product line which is related to similar products e.g. there is semi skimmed, skimmed and lot fat types of milk, product mix which is the mixture of all businesses product lines e.g. if Tesco will have product lines of milk, bread, sugar, butter and the mix can be described according to its length, width, depth and consistency. The width is the number of different product lines a business has so a car company like Toyota who have many Light Commercial Vehicles Heavy Commercial Vehicles and also own Lexus have a more narrow range of cars than Renault who only have Daihatsu and themselves to work with as Toyota also has 5 other car company alliances.
Firstly the product width which is the number of different products a business’s sell to the customer or the number of product lines they have e.g. Tesco have wide variety of products from food to electrical equipment and stationery to clothing and this is what makes them so successful and a powerful competitive supermarket regarded as one of the best in the UK. If there are a large variety of products then the business can expand their current range however the range of products are narrow then the customer will require large scale business to get any benefits such as Tesco as mentioned before. Another part of the product mix is the Length which is how many products a business has to offer so a large business that is popular will have more products that a small more recently opened business e.g. Starbucks will have more types of coffee than a local café.
Price - This is putting an amount on the product for customers and this will determine how much revenue the business makes. Having a pricing strategy is important because it must match the complete outlook of the product e.g. if there are 2 businesses that sell cosmetics and both are selling lynx deodorant with one at £1.20 and the other at £3.00 then most customers would buy the cheaper one because they will save money also it is the same brand and used for the same thing. One pricing strategy is penetration pricing which is to set the price low intentionally to secure high volumes which means more sales and less profit. This pricing strategy is normally used for new products and mass market products such as chocolate bars or other products from the food category and it is used to increase the customers awareness e.g. if a walkers releases a new type or flavour of crisps on the market then it would start off at a low price with sales promotions and discounts so it sells and customers know it is there and then slowly once a lot of sales are made for low profit the price will go higher as it becomes more popular. It is good to use when competitors are making lots of sales from a similar item. The second way of pricing is called price skimming and this is when the price is set very high and fewer sales are made. This is normally done for products that will not last very long and gets old quickly such as playstation, DVD players and mostly things that are electronic. Is it normally targeted a group of customers wanting to spend large amounts of money to make cash quickly however at a slower rate because not many will be sold as it would be a product high in cost. It may be a product that everyone has or the customer wants to be the first to get it so like for example when the playstation 3 came out it was £300 and lot of people bought it to try it out as it is the next big thing on the market and the best gaming console at the time of release. The third pricing strategy is called value pricing and this is when customers perceptions are put forward and used to price the product so if a product looks really good quality and new like a brand new sports car for example then customers would recognise this and would be willing to pay high price for it because of its appearance and desirability. They need to be perfect for customer’s needs as too high could drive them away and lose customers and charging to low would make the products seem like they are low quality. The products that are normally priced with value pricing are exclusive products that are for a limited time only. The fourth pricing strategy is called the loss leader which is when products are sold intentionally below the actual price or retail price because they want to attract them with other products e.g. if a Tie is normally priced at £15 is now £9.99 which customers would find a great deal however there may be other products with the tie such as a shirt or suit that may attract customers to spend even more so the tie is bought for cheap however they are then encouraged to spend more money because they may want a full suit making the £5 they took off the tie instantly back with extra cash on top. This is normally done with mobile phone contracts as well because with some expensive contracts that are £35-40 monthly there is a free gift involved which makes the customers buy the contract to get the gift also. Finally there is a pricing strategy known as psychological pricing which is used to play on customers minds similar to value pricing. The price is high but then made a penny or two cheaper e.g. a 2 litre bottle of coca cola is £1.99 instead of £2.00 and customers think it is good value because it looks cheap however it is just a penny under the even priced £2.00. They use price to judge the quality.
Place – This is where the product or service is going to be sold as customers expect everything to be exactly where and when they want it. The customers want the goods as quickly and cheaply as possible also expecting the best quality and quantity. The way the products get to the customer is also called the chain of distribution. The more places there is available to buy the product the better for customers and the business as they would both benefit from this e.g. Tesco have their large building known as Tesco extra where most people do their shopping however they also have little stores known as Tesco express for people who don’t need to buy too many items. Transports are important in the chain of distribution as it help moves the supplies of materials between businesses. The main aim is to provide goods for the customers at the right time and in the right place with the condition requested such as if the customer ordered something new it should be fully packaged and in new condition and if it is used then it the business or seller must provide details of its condition. When products are handed and moved around after the manufacturer has created the products there destination is to be the consumer and channel institution. This is known as physical distribution and it must be used in order to create balance in the business as the costs of the product must match the quality of the service. If the business wants the costs of the distribution to be low then they must have a low number of stock and staff and transport to be slow. in order to provide a competitive service the physical distribution must benefit the customer e.g. when meeting the customers needs and providing service on time with the product intact and in the condition requested, the business will become a more competitive rival to other business and would cause major rivalry between businesses however if the distribution does not meet the customers demands then it should be recovered and the other areas of the marketing mix such as the product and price should be better and perfect for the customer. There are some key decisions that need to be made during distribution such as inventory which is to record how much stock it will need in order to provide quality customer service however if the business want to provide high quality service they will need to order a lot of stock which could cost them a lot of money and also the product may not be very good so they may not be able to make a return on the amount of money the business has spent on ordering the stock also if they order to less stock then they may run out and lose customers because of bad service e.g. a chocolate business orders 1000 chocolate bars to sell in their shop however over 2000 customers turn up so only 1000 has been sold and the other 1000 have nothing at all because the business has ran out of stock so the customers will be dissatisfied and may not return for any products in future making them lose profit and future sales and income. Warehousing is also another part of physical distribution and this where decisions have to be made where to locate the warehouse and how many to have e.g. have 2 warehouses near an airport because there will be lots of people travelling on holiday so potential for customers. Another key decision that need to be made is load size which is how the units should be travelled so in large volume at one go or y smaller amounts for delivery again customers must have the highest priority at the cost of distribution so no matter how much it will cost the customers should be regarded with great importance. Finally there is communications which is the system of payment and information processing such as an EPOS system scanning barcodes and then paying for the goods in cash or card concluding with a customer receiving a receipt. There are 3 things that determine what sort of transport should be used, they are speed for how fast the other person needs it, cost of the distance or load and finally the types of goods being transported expensive or bulky e.g. if products such as windows were being transported then they would need to be kept safe on the transport which could be a lorry and also the speed should be kept at a minimum otherwise if the lorry sways to much or makes a mistake the glass could crack also if the distance was far then the driver would have to be more cautious. The chain of distribution can be indirect or direct. Indirect is when the business sell to the customer through a store or warehouse but the goods are first given to the business by a wholesaler or agent. They are first manufactured and given to the wholesaler who then sells to the retailer for the highest price and then the customer will buy from the store. An example could be walkers manufactures a truck load of crisps and then sells it to a wholesaler who then sells it to the highest paying retailer so he makes a profit. The retailer then prepares it in his store ready for customers to buy. Then there is direct distribution which is when the manufacturer sells straight to the customer e.g. car manufacturers like BMW and Mercedes have their own company and customers take a look around and purchase a car
straight from the company.
X:\Business\MRHOLT\AS\UNIT1\assignmenttasks\a01\place (Mr Holt’s folder)
X:\Business\MRHOLT\AS\UNIT1\assignmenttasks\a01\Place (Mr Holt folder)
Promotion – This is when the customers or public are informed about the product and persuade them to buy it. The business will communicate with the customers orally, verbally, visually and using written messages. This is known as encoding for example When promoting a product the business or person promoting will user a medium to communicate with the audience or customers e.g. television or leaflets to attract the customer attention. The business should use persuasive techniques to attract the customers understand what the business is trying to do then it should have a impact on them either positive or negative. Their must be some sort of outcome when the business is trying to promote a product. There are many different types of promotion such as advertising, Sales Promotion, Public Relations and Merchandising. Firstly there is advertising which is communicating with certain types of groups and people so the business can achieve their objectives. Within advertising there are also different types such as Print Advertising which is done on newspapers and leaflets however the more popular the newspaper or magazine is the more it would cost for the business to advertising e.g. if a business wanted to advertise on the sun or daily mirror it would cost far more than advertising on the guardian and the daily telegraph. Then there is outdoor advertising which is done on billboards, Tradeshows and Events so sometimes when driving along the road you might see a large board with an advertisement. Another advertising method is Celebrity Advertising which is when celebrities and their popularity are used for advertising their products e.g. Cheryl Cole is a singer and model so she advertises for businesses like L’Oreal and has also done adverts for Samsung and Nintendo DS. Advertising costs has to be paid by the business to communicate to the customers and is used to target a specific audience. There are many different advertising objectives that must be fulfilled. Firstly with promoting goods and services the objectives that should be met are helping sell the goods or service, increase the sales, aware of new goods or improving on the existing ones, providing information with selling decisions, help the customers to make the right choice and make questions. When developing the appearance of the business the objectives that should be accomplished are to tell the audience about anything important, keep it friendly between staff and customers, help with public relations activities, better external environment and receive support from the community. There are also 3 types of advertising that can be done. firstly there is informative advertising which is when the product is explained and the audience is clearly informed about the product so a car for example when it is advertised they tell you all the features in the car like the Satellite navigation, air conditioning and other features of the interior also the exterior parts could include the body kit, lights rear and front and the hood weather it is a hard top or convertible. Another advertising method is persuasive advertising which is when the product is made irresistible so the customer is persuaded to buy it. This technique is used for established products for example, vehicle manufacturers like Mercedes-Benz with their new s-class has many features in their car such as being the 1st car in the world to receive digital television, voice activated Satellite navigation, automatic headlights and many other features that most cars do not. This will make the product unique and persuade the customers to buy it. Finally there is reinforcement advertising which is reminding customers about the product and explains to them the benefits of the product e.g. playstation customers suddenly went to Xbox 360 because there was something wrong with the product however they are then interested because a newer version of the PS3 has been released with better features making it less likely to cause problems so they may be persuaded back to PlayStation. Printed media are part of the media and one of the most common forms used today. They are group that publish newspapers and magazines locally and nationally so newspapers can be Broadsheets such as the Sunday or daily telegraph, Tabloid such as the daily mirror or the sun and Berliner which the guardian initiated with also magazines have many different sections such as sports, business, fashion etc. the benefit of printed media is that it allows the message to be repeated without paying more money for it rather than pay lots of money for one television advert and it may not even get to all the customers as they may not have seen it. However with printed media this cannot be the case because when customers buy magazines and newspapers they can keep re-reading the article several times so the information has bonded with them. Public relations are also important when prompting the business and the goods and services. In public relations the business tries to create a better image of the business. So the business tries to establish and increase the reputation of the business by doing local, socialising, political and environmental activities. The stakeholders that could help them achieve this are the customers, shareholders, employees and special interest groups. Public relations is not a short term task as it takes long time to build up the reputation and make the organisation on top where they have everything to make themselves successful. They need to make the public think positive about the products and services in the business e.g. if the business donates lots of money to a charity or provides sponsorship then they will get more interest and potentially more customers increasing profit and sales. To turn negative feelings and comments into positive ones they must organise public relation activities. Firstly the business could do charitable donations and community relations to show them they are not heartless and have empathy for those who are suffering as it is for a good cause for example Nike try to help people in Brazil as they are constantly fighting where there is lot of violence on women and girls also many people have AIDS and HIV so Nike are engaging them to work together creating a programme to reduce these problems.
Hospitality at top sporting events is another thing that can be done to increase the customer relations of the business for example during the 2010 FIFA World Cup in South Africa there was a opening ceremony to entertain the crowd and welcome them to south Africa for the world cup.
press releases is another activity in public relations and this is when news, achievement and things that have happens recently are announced and it could enhance the businesses image e.g. the business may reveal how much profit they have made this year compared to last year and it may be better so this shows the business is improving and their products are good because they have sold more to make more money. Open days are used to invite people and show them what the business looks like and what they do e.g. in many universities, before the students can start their classes, they may have open days to show what courses they have on offer and the students can talk to different teachers about courses and if they are eligible for whatever course they want to do. Sponsorship is another activity that businesses use and this is when the business links with a club or another organisation to promote their business e.g. IN football, the English Premier league is sponsored by Barclays Bank which is why many people are familiar with the bank and why they have lot of money and reputation.
