SUBJECT: INTEGRATED MARKETING COMMUNICATION Time – 2 hours Max Marks – 50 Note : Part I and Part II should be answered in separate Answer Booklets. PART 1 – Advertising Management Section A: Answer all questions. Each question carries 1 mark (5*1 = 5 marks) 1. ----------------- is the act of designing the company’s offering and image to occupy a distinctive place in the mind of the target consumer. (a) Positioning (b) Product conceptualization (c) Preproduct launching (d) Performance presentation (e) none of the above 2. Which of the following is an example of Primary demand advertising? (a) Tanishq advertising its jewellery (b) The Coir Board’s promotion of coir products (c) “ Kohinoor” advertising basmati rice (d) Kissan advertising tomato sauce (e) None of the above 3. A housewife requests a treadmill for her birthday. With respect to consumer decision roles, which role is the housewife playing in this case? (a) Influencer (b) Initiator (c) Decider (d) Buyer (e) Gatekeeper 4. Advertising of DETTOL liquid handwash shows how DETTOL is superior to other liquid handwash brands such as LIFEBUOY. This is an example of ---------------------------- advertising. (a) Persuasive (b) Comparative (c) Reinforcement (d) Informative 5. Which of the following would not be a method of compensating an advertising agency? (a) Flat Rate Structure (b) Commission from Media (c) Monthly Retainer (d) Brokerage (e) Incentive based payment Section B: Answer any two questions. Each question carries 5 marks (2*5 = 10 marks) 1. Explain with diagram how the communication process works. What would happen if the message is not properly encoded or decoded? 2. What is the “Percentage of Sales” approach to advertising budgeting ? What are its advantages ? Mention TWO situations when it needs to be modified. 3. What are the various kinds of advertising agencies? Discuss three main departments in an advertising agency and briefly describe their functions. 4. Explain the pros and cons of DAGMAR approach to setting objectives for advertising. Section C: Case study (Compulsory) (10 marks) Advertising at Various Stages of Rin’s Life Cycle Launched in a bar form, Rin bar was the first-ever detergent bar launched in India in 1970 after test marketing it in 1969. Although direct competition was absent at this stage, the challenge in those introductory years was to distinguish Rin detergent bar from other regular washing soaps, by talking about its superior benefits. The communication therefore focused on Rin's concentrated cleaning power and established that Rin bar washed 50 per cent more clothes and washed them whiter than any other soap. In order to make this benefit more visual, Rin commercials featured the lightning flash symbol PART – II - OTHER ELEMENTS OF COMMUNICATION MIX: with the powerful baseline, 'Whiteness strikes with Rin'. After the first 10 years post its launch, Rin shifted its focus from communicating mere functional Section A: Answer all questions. Each question carries 1 mark (5*1 = 5 marks) advantages to building an emotional bond with Indians. While the message proposition still remained 1. Define sales promotion? the same — `to communicate superior whiteness' — the advertising tone became more emotional. 2. Mention one important objective of sales promotion? Television commercials showed non-Rin users getting jealous by Rin whiteness and visuals of off-white 3. Mention two consumer oriented sales promotion tools. clothes being crossed over by Rin whiteness. The catchline, “Bhala uski kameez meri kameez se zyada 4. Mention one important quality of a PR person. safed kaise?" became very successful and was used as the prime theme for different media executions 5. What do you mean by publicity? for almost 10 years. Rin remained the market leader for nearly 20 years with practically no competition till about 1987, Section B: Answer any two questions. Each question carries 5 marks (2*5 = 10 marks) Then, modeling on Rin's success, many low - priced detergent bars were launched, most prominent 1. Discuss different trade oriented promotional tools. among them being Nirma. To meet with this new challenge, Rin introduced Super Power Rin focusing not 2. What are various objectives for consumer oriented sales promotion only on whiteness but also on the power and economy of the detergent. To strengthen the value 3. Explain push and pull strategies of sales promotion with examples. proposition of Rin in the wake of competition, the brand emphasized 3-pronged superiority: greater 4. Maximizing awareness is the first goal of public relations – Explain. whiteness, lesser detergent quantity requirement ("Zara sa Rin”), and more number of clothes that could 5. Marketing communication is an important part of corporate communication –explain. be washed by the same amount of detergent (depicted by a stack of clean clothes washed by the Rin housewife). Section C: Case study (Compulsory) (1*10=10 marks) In the mid-1990s, with the market stagnating a bit, and with powder concentrate brands attacking the Lipton Tea asks young consumers to Rethink the Drink. detergent bars, Rin launched Rin Supreme bar and Rin Shakti powder. The former promised less Lipton came to Ogilvy PR with a very clear challenge—to make Lipton Tea hot with tea’s cool crowd of sogginess and more whiteness whereas the latter was positioned as an aspirational brand that plugged younger consumers. They wanted PR to play a part in its overall brand transformation to make the the gap between premium and mass- market powders. Due to increasing competition, Rin resorted to brand relevant - both in terms of the changing nutrition landscape, as well as ‘steeping’ the brand in pop comparative advertising that established Rin's superiority by demonstrating onscreen that Rin Shakti culture. could wash out dirt even from clothes washed with ordinary bars. It launched a commercial featuring Today’s consumers think more about what they eat and less about what they drink. Research showed ‘Rin Whiteness Challenge' wherein housewives were shown testing the Rin whiteness and finding it that Americans consume an estimated 25 percent of their daily caloric intake through liquid calories, whiter than their detergents. while it should only be about 10 percent. The idea to Rethink the Drink worked functionally and Competition remained intense through those years and Rin launched more variants of its product. A emotionally by linking the brand with the health benefits of tea and infusing it into pop culture with research conducted by HUL, the company behind the Rin brand, indicated that more than 25 per young influencers. cent consumers rated detergents based on their ability to deliver whiteness. Another survey on To get media, influencers and consumers talking about Lipton, Rethink the Drink was developed as a habits and attitudes of consumers also revealed that maintaining whiteness of clothes was the two-part campaign, Healthy Beverage Guidelines and the Lipton Pyramid Tea Party. second most important consumer problem. Thus, realizing the importance of -whiteness to Indian Using renowned nutrition expert Dr. Barry Popkin and a panel of experts, The Healthy Beverage housewives, HUL launched an improved version of Rin powder that gave double the whiteness. The Guidelines highlighted the health benefits of this ancient beverage, and positioned Lipton as a leader, path-breaking innovation did not contain any insoluble, mud-like ingredients, unlike other detergents. committed to revolutionizing the way Americans perceive beverages in their diet. The launch of the Hence, it thoroughly dissolved in water and brought enhanced whiteness. Healthy Beverage Guidelines included media outreach, paid advertisement, the development of a micro In early 2004, when P&G's prominent detergent Tide slashed its prices to half, Rin decided not to site, and direct mail aimed at registered dieticians. A parallel campaign targeted the Hispanic compete on the price platform and stayed put with the whiteness proposition. However, Tide was also community, with Spanish-language media. positioned on the 'whiteness' advantage. To counter Tide's offensive, Rin decided to launch Rin Next, Ogilvy PR executed the Lipton Pyramid Tea Party, a chic, stylish, sensory-packed event that Advance and establish that only Rin whiteness was true whiteness. To score a notch above Tide, it brought the premium product positioning to life and contemporized the brand and the traditional tea even brought in India's celebrity idol Amitabh Bachchan. A television commercial showed Amitabh as drinking experience. The New York City event was hosted by Golden Globe nominated actress and a school principal, checking out a boy's shirt and asking, "Yeh naya rang kaunsa hai?." thus harping on singer, Emmy Rossum and invitations were extended to celebrities, fashion influencers, Gen Art 'Advanced White' being a new colour, whiter than regular white. Based on the same theme, a 'Safedi members and target media. Lipton partnered with the nonprofit organization, Youth Aids, in order to ka Shahenshah' promotion was also launched in May 2005. Also, a re-launch of the Rin Shakti powder secure media, celebrities and public interest. An exclusive story with The New York Times was secured revived and reinforced the brand symbol of the lightning. The communication strengthened the power and then extended to additional media targets following the event through creative deliveries, premium of the symbol by alluding to it even in the audio and the tagline 'Bijli giri !' press kits and desk side visits. Recently, Rin has partnered with the television channel Star Plus and launched ‘Rin Mera Star Super The Healthy Beverage Guidelines was a groundbreaking initiative that generated 50 million+ media Star' — a nationwide talent hunt programme providing a platform to talented children to showcase impressions, including coverage in CBS Early Show, USA Today, U.S. News & World Report, Washington their potential. Over the years, Rin has also won a number of accolades, the most recent being getting Post, Allure, Health, The New York Times and Consumer Reports. The Healthy Beverage Guidelines was voted as the 'Most Preferred Detergent Brand in India' at the Awaaz Consumer Awards. the centerpiece of a retail promotion at Target that enabled the brand to have a much bigger presence Questions (3+4+3 )Marks on the selling floor. In addition, the Healthy Beverage Guidelines are regularly quoted (both with and 1. In this case let, what different stages of Rin’s life cycle are depicted? In what stage of its PLC is Rin without Lipton branding) in food and nutrition stories, further validating Lipton’s leadership. The currently placed? Lipton Pyramid Tea Party was attended by over 500 of the Big Apple’s glitterati including celebrities 2. What product and communication strategies has Rin used in various PLC stages to fight such as Emmy Rossum, Tori Spelling, Miss Universe, Miss Teen USA and supermodel Karolina Kurkova. competitive threats? Q. 1 It is possible to make a brand steeped in history hot to a new generation of tea drinkers – Do you 3. While advertisements of Rin detergent have changed in these 35 years, what central message or agree ? Give your opinion based on above case. benefit do you think has remained common throughout? What other benefits has Rin promised over the years to its consumers? III SEMESTER MIDTERM EXAMINATION, AUGUST 2017 PGDM-AICTE BATCH 2016-18 INTEGRATED MARKETING COMMUNICATION Time: 2 Hours Max. Marks: 50 Section A: Answer all questions. Question 7 carries 3 marks. (6X2=12) Note : Part I and Part II should be answered in separate Answer Booklets. PART 1 - Advertising Management Section A: Answer all questions. Each question carries 1 mark (5*1 = 5 marks) 1. A ----------------- strategy involves the manufacturer using advertising and promotions to persuade consumers to ask intermediaries for the product, thus inducing the intermediaries to order it. (a) push (b) pull (c) promote (d) provide (e) none of the above 2. The marketing communications mix consists of six major modes of communications. Which of the following is NOT one of these modes? a. Personal selling b. Direct marketing c. Sales promotions d. Packaging e. Advertising 3. Advertising of DOVE Moisturising Soap shows how DOVE is superior to other moisturizing soap brands such as VIVEL. This is an example of ---------------------------- advertising. (a) Persuasive (b) Comparative (c) Reinforcement (d) Informative 4. Which of the following would not be a department of a typical advertising agency : (a) Creative (b) Media (c) Research (d) Sales (e) All of the above would be a department 5. What is a “Creative Brief “? Explain briefly its utility. Section B: Answer any two questions. Each question carries 5 marks (2*5 = 10 marks) 6. Explain, with the help of a diagram, how the Communication Process works. What would happen if the message is not properly encoded or decoded? 7. Discuss economic and social effects of Advertising, with specific reference to its influence on prices, mass media and vulnerable sections of society such as children. 8. Discuss the role of an advertising agency. What are the services rendered by a full-service advertising agency? 9. Explain the concept of “Integrated Marketing Communications” and its benefits. Also state reasons for its growing importance. Section C: Case study (Compulsory) (1*10 = 10 marks) Case Study (I) – Cadbury Chocolates 10. Cadbury Manages a Crisis with Integrated Marketing Communications Cadbury India Ltd, the market leader in Indian confectionary segment, encountered the worst-ever crisis in its 56 years of operations in India in October 2003. In eight outlets across Maharashtra, worms were found in some bars of Cadbury Dairy Milk, Cadbury's bread-and-butter brand selling 1 million bars a day and an icon of 'chocolate' in India. Inquiry was instituted by the Food and Drug Administration and negative media publicity spread like wildfire. The extensively graphic media coverage led people to believe that every bar could be contaminated. Consequently, sales volume plummeted, retailer. co-operation lessened and employee morale dwindled. All in all, the company's credibility suffered extensive damage. PART - II - OTHER ELEMENTS OF COMMUNICATION MIX: After a thorough investigation of the entire supply chain, it was found that the problem originated at the distribution end. Apparently, at the retail outlets, the infested bars were placed next to open Section A: Answer all questions. Each question carries 1 mark (5*1 = 5 marks) 1. Write one example of consumer oriented sales promotion? unpacked items susceptible to worms. However, although the problem was not of its own making, 2. What is Public Relation? Cadbury did take responsibility for the slack in educating retailers on storage and hygiene. 3. Mention one important objective of Sales Promotion? The company then began its multi-pronged campaign on key print, broadcast and electronic media, 4. Mention one important quality of a PR person. to regain its lost credibility and almost reestablish the category. It decided to convey that the root of the 5. Write down one advantage of in-house PR department problem was at the distribution end, that any food item could face similar infestation, and yet Cadbury Section B: Answer any two questions. Each question carries 5 marks (2*5 = 10 marks) would take initiatives to check the problem. The company launched Project Vishvas, a three-pronged 6. Explain the various causes for the growing importance of sales promotion measures. programme that addressed the trade, consumers, media and employees. The project incorporated the 7. Explain five different types of Public Relation. following measures: 8. Mention the 4- step PR process. A retail monitoring and education programme was launched that performed quality checks at over 9. Write down objectives of trade oriented sales promotion tools. 50,000 retail outlets and educated 190,000 wholesalers and retailers regarding storage requirements. Section C: Case study (Compulsory) (1*10 = 10 marks) A press ad regarding ‘Facts about Cadbury' was also published nationally in 55 trade publications 10. When most of us think of McDonald’s, we think of cheap fast food and little children racing around the restaurant informing channel members about remedial measures being taken by the company. Posters and with their happy meal toys. While this is much the same wherever you go in the world, upon closer inspection, leaflets on the issue were also distributed to retailers, encouraging them to share them with McDonald’s India retains some major differences. The most noticeable difference is the menu. McDonald’s is consumers. Cadbury also linked the trade with a response cell through a toll-free number and an known worldwide for its Big Mac. However more than 80% of India’s population of 1.17 billion does not eat beef email id to let them contact the company directly. (CIA). So to have any chance of success in the country, McDonald’s recognized that the company would have to spend a lot of time and effort developing a menu that catered to India’s enormous Hindu and Muslim The media was also explained the company's point-of-view, given updates about actions-initiated by communities. Elsewhere in the world, McDonald’s maintains a strict 70% original 30% local menu. In India the company, and encouraged to share them with consumers. The company instituted a media desk however, McDonald’s inverted those numbers maintaining a 30% original 70% local menu. Stricken from the menu and diligently answered every media query, friendly or not. The company's managing director urged were the Big Mac and Quarter Pounder, the hamburgers that made McDonald’s famous. Gone also was the media to assure consumers that Cadbury was safe to eat, but that consumers must exercise the usual McRib. After all, Muslims do not eat pork. In their places, McDonald’s unveiled its potato, lamb, and chicken based care in purchasing a chocolate that they exercise in purchasing a food item. Furthermore, it also menu featuring such delectable treats as the Mc AlooTikki Burger and Maharaja Mac (see appendix 1). But not to promised to implement packaging changes within two months to ensure against poor storage. worry McDonald’s fans, you can still get your French fries and Chicken McNuggets. Cadbury's MD and key spokespersons had one-on-one sessions with 3 media editors as part of an McDonald’s also represents something different to the youth of India. The company has been accused of cultural 'Outreach' program initiated in November 2003. imperialism by numerous sources but this is not really true. McDonald’s has had to Indianize itself in order to be accepted by the population (Singhal). Even so, McDonald’s has retained many of its key western elements and this Employees were also briefed about actions taken through meetings with senior managers and email has made the restaurant that much more popular. Thinking of our own experiences at McDonald’s, few of us would updates from the MD. remember all the great times we had with our friends at that cool American style restaurant. Yet this is exactly the Then in January 2004, the company launched a new double packaging that wrapped even the memory that Indian youth associate with McDonald’s. They see the restaurant as something different, unique, and smallest 13 gm chocolate in an aluminium foil, heat-sealed for complete protection from all sides and fun. They see it as a great place where they can get out of the house and away from their parents. This is where further encased in a polyflow pack. The over-engineered pack, the first of its kind in India, cost the India’s youths go to hang out with their friends and treat themselves to some great tasting reasonably priced food. company a fortune, but fulfilled the company's promise to media and consumers. Cadbury also roped in McDonald’s has cultivated this image and built brand loyalty with young Indians through advertisements specifically targeted towards young adults. The restaurant recognizes that this age bracket, more so than in the US, Amitabh Bachchan as its brand ambassador since the celebrity was hugely popular and reputed for his influences the purchases of the entire family. And as such, by capturing the youth market, McDonald’s can capture integrity, qualities that Cadbury needed to re-associate with the brand. the rest of the family as well. Additionally, due to the recent increases in FDI and the abundance of call centers, The new packaging was launched amidst much fanfare in a media conference. Amongst the material India’s youth have more money than previous generations did. And without the families and other obligations that distributed in the conference were a comparison kit allowing evaluation of old and new packs and a drain the wallets of their elders, these wealthy youth are free to exercise more discretionary spending than previous video news release with packaging and factory shots for television coverage. To reinstate confidence generations. among sales people and to motivate them, another audio-visual with a message from the ambassador Through the company’s operating model of targeting the teen and young adult populations of India, the company Bachchan was shown in a string of sales conferences. has enjoyed great success, capturing 39% of fast food sales in the country (Fast Food – India), this despite the fact that McDonald’s does not even have the most restaurants. That honor lies with Baskin-Robbins. Meanwhile the A rationally and emotionally connecting. television commercial, again starring Bachchan, was also market is expected to grow nearly 50% by the year 2014 (Fast Food in India). All of which makes McDonald’s and aired nationally. The star gave a first-hand account of his visit to the Cadbury factory, assuring people its competitors salivate. In total, McDonald’s has more than 160 restaurants concentrated primarily in the northern about the quality of the chocolate. In another version of the ad, he also emphasised the safety of the and western districts of the country (McDonald’s India website). In addition to their traditional restaurants, the product for children. company also operates many ice cream kiosks. These are small stores located primarily in shopping districts where As a result of the integrated campaign, Cadbury won over the invincible media and got extensive customers can take a break from their day to sit and enjoy an ice cream cone (see appendix 3). The company has media coverage that highlighted the company's perspective instead of pointing a finger at it. Surveys also chosen to forgo its usual franchising model. Instead choosing to start two joint ventures and establish two revealed a positive change in consumer perceptions, and an increase in their likelihood to buy. Further, master franchisees that are responsible for managing every restaurant in the country. This joint venture model helps the company exercise stronger control over the individual restaurants and ensures that each one meets the not only did Cadbury's sales recover from the crisis plunge, but also grew by 20% in 2005. company’s strict QSCV (Quality, Service, Cleanliness, and Value) motto. McDonald’s has so far been highly Through timely and consistent marketing communications Cadbury succeeded in solving a daunting successful in its expansion into India, but all is not rosy for the company. The same reasons that attracted business crisis. With a 360-degree communications approach that targeted various audiences, Cadbury McDonald’s to the country have attracted many competitors as well. Yum! Brands, owners of KFC and Taco Bell, as could quickly control and offset the negative word-of-mouth it had received. By integrating a variety of well as local competitor Nirulas have also grown in size and popularity in the market. These competitors have the tools like press releases and conferences, consumer advertising, trade advertising, point-of-purchase added benefit of seeing what strategies have worked well and what strategies have failed for McDonald’s and other communications, packaging initiatives, email communications and the like, all focusing on the same companies. Additionally, while McDonald’s stresses its QSCV motto, ensuring American standards of cleanliness and hygiene in a country with much lower standards is a constant concern. Finally, poor infrastructure outside of problem, Cadbury could communicate a unified message and get audiences to appreciate the efforts it the major cities impedes McDonald’s growth into smaller cities as poor roads make many parts of the country nearly had taken to minimize instances of future occurrences. inaccessible. It would also be very difficult for the company to establish a reliable distribution network to service 1. Explain the role of Integrated Marketing Communication in the worm crisis management by those areas. On the bright side, the Government of India has recently passed two bills calling for a massive increase Cadbury. What was the objective of the campaign? (4 marks) in infrastructure spending to the tune of nearly $1 trillion (ICICI Direct). These bills will enable to country to build many new roads and upgrade the existing infrastructure. McDonald’s hopes that by the time the company is ready 2. What tools were used in the campaign and what were their objectives? Which tool you think played to begin its expansion efforts beyond the major cities and into other regions of the country, the infrastructure will be the biggest part in mitigating (lowering the impact of) the crisis? (6 marks) in place to allow the company to do so. Q.1 Why McDonald has succeeded in India? (4) Q, 2 What type of sales promotional efforts by McDonald will attract more customers in India? (6) VENUE : CR: 311 REG.NO : 161142 SEAT NO : 101 III SEMESTER MIDTERM EXAMINATION, AUGUST 2018 PGDM-AICTE BATCH 2017-19 INTEGRATED MARKETING COMMUNICATION Time: 2 Hours Max. Marks: 50 PART – I - ADVERTISING: Section A: Answer all questions. Each question carries 1 mark (5x1 = 5) 1. Which of the following would not be a method of compensating an advertising agency? (a) Flat Rate Structure (d) Incentive based Compensation (b) Commission from Media (e) Monthly Retainer (c) Brokerage 2. Advertising of AASHIRVAD whole wheat atta shows how it is superior to other brands of wheat atta such as ANNAPURNA of HUL. This is an example of ---------------------------- advertising. (a) Persuasive (c) Reinforcement (b) Comparative (d) Informative 3. The major decisions involved in Advertising Management are all of the following except ……….. (a) Message (b) Media (c) Mission (d) Market (e) Money 4. What are Testimonials? 5. What are the functions of Account Management Department in an advertising agency? (Mention any TWO) Section B: Answer any two questions. Each question carries 5 marks (2x5=10) 6. Explain the concept of Integrated Marketing Communications and its benefits. Also state reasons for its growing importance. 7. Explain in brief the social effects of Advertising, giving both positive and negative sides of the picture. 8. Discuss the role of an Advertising Agency. What are the services rendered by a Full service advertising agency? 9. What is the “Percentage of Sales” approach to advertising budgeting? What are its advantages? In what situations it needs to be used with modifications and why? Section C: Case study (Compulsory) (1x10 = 10) 10. Cadbury’s Chocolates Cadbury is the market leader in chocolates in India and is also a very popular brand which enjoys the trust of its consumers. It already has a market share of around 70% in chocolates with its flagship brand Cadbury Dairy Milk alone having around 30% of the share of the Indian chocolate market. The company has come a long way since the 1990s when Indian consumers associated Dairy Milk as a product meant for children. To change this, Cadbury came up with a series of campaigns to target the adult group, starting with the ‘Real Taste of Life’ campaign, to encourage people to bring out the child in them. Then Cadbury came up with "Khane walo ko khane ka bahana chahiye"(‘Those who want to eat, will find a reason for it’) . This campaign built social acceptance for chocolate consumption amongst adults, by showcasing collective and shared moments. Through this, Dairy Milk was able to gain an acceptance for chocolates among the adult audiences for consumption. It even won a lot of awards for its campaigns which went on to become a huge success; like the ‘Real Taste of Life’ campaign. After this, Dairy Milk sought to achieve the difficult objective of replacing the traditional Indian sweets and desserts with their chocolates. For this, Cadbury ran various campaigns under ‘Kuch meetha ho jaye’ (Lets have something sweet), including two parallel campaigns – ‘Shubh Aarambh’ (Auspicious beginning) and ‘Meethe mein kuch meetha ho jaye’ (Let’s have something sweet for dessert) . Later Cadbury Celebrations debuted on the Indian festival stage in 1997 - serving up a tantalizing mix of chocolates in all shapes, sizes, flavors and packages at the many traditional festivals of India such as Diwali and Rakhi, positioning chocolate as a fitting replacement for the traditional mithai. The common thing for all the advertising campaigns was that they focused on the Indian customs and traditions and yet they gave it a modern and contemporary look to connect with all the people. Besides this, they also used a 360 degree campaign to support the television advertising campaigns, even as their rivals Nestle gave them tough competition with aggressive marketing and even directly taking on Cadbury’s advertising campaign message. But many industry observers doubted the effectiveness of Cadbury’s efforts and their ability to replace the traditional sweets and the traditional dessert items which had been a long part of the Indian traditions. Answer the following questions : 1. List the advertising goals of Cadbury India at different points of time as per the above case. (3 Marks) 2. Discuss the positioning of Cadbury’s Dairy Milk (CDM) based on the taglines used in advertisements as given in the case. (3 Marks) 3. Do you think that advertising of Cadbury has brought a change in consumer behavior? (4Marks)
PART – II - OTHER ELEMENTS OF COMMUNICATION MIX:
Section A: Answer all questions. Each question carries 1 mark (5x1=5) 1. What do you mean Sales Promotion? 2. Write down one advantage of Public Relation.
Note: Writing anything on the question paper will be considered as malpractice
VENUE : CR: 311 REG.NO : 161142 SEAT NO : 101 3. Mention one important objective of Trade Oriented Sales Promotion? 4. What do you mean by Coupons? 5. Mention one limitation of Sales Promotion. Section B: Answer any two questions. Each question carries 5 marks (2x5=10) 6. Explain reasons for growing importance of Corporate Communication. 7. Explain two main objectives of sales promotion with examples. 8. Explain the role of Corporate and Media Relation in Public Relation. 9. Explain sales promotion as a support to Marketing function. Section C: Case study(Compulsory) (1x10=10) 10. Dabur India Ltd. is the 4th largest fast-moving consumer goods (FMCG) company in India which makes a revenue of over INR 8,454 crores (2015-16) along with Market Capitalisation of over INR 50,120 crore. The Dabur legacy is of 130 plus years. Being the most trusted name in India and the world’s largest Ayurvedic medicine manufacturer, Dabur today has over 381 trusted products across 21 categories. It was founded by Dr S. K. Burman, a physician in West Bengal. He designed Ayurvedic medication for diseases like malaria and cholera. The medicines soon travelled and he came to be known as the trusted doctor or ‘Daktar’ who came up with effective cures. The name Dabur is derived from the Devanagri rendition of ‘Daktur Burman’. Dabur has successfully transformed itself from being a family-led business to a professionally managed enterprise. Dabur India’s FMCG portfolio includes five flagship brands having distinct brand identities: Dabur: master brand for natural healthcare products. Vatika: Premium personal care. Hajmola: Digestives. Real: Fruit-based beverages. Fem: Facial bleachers and skin care. The objective of Dabur is to fully leverage the potential of the online world and incorporate digital strategy for brand visibility and rebuilding. Growing customer base and making wider marketing strategies. The aim is to become a “young, modern, and socially conscious organisation”. Strategies Adopted 1. Presence On Online Grocery Stores Amidst of Amazon, Flipkart, and Snapdeal, FMCG titan, Dabur recognised a new platform for reaching out a wider customer base. They marked their presence on online grocery storeslike Grofers and Big Basket. 2. Focus On Their Own Websites They also started focusing more on their own websites. This is evident from the fact that a year ago, Dabur launched three websites to serve the mother brand. Also, after six months of efforts, the website was re-launched a month ago which proved to be a single window to the world of Dabur. This means that the customers can reach the content 3. Featured in Google Case Study And Customer Engagement Dabur had featured in a Google case study for their ‘brave and beautiful’ campaign by Vatika Shampoo which made Dabur to being the only FMCG company to have done so. One of the portals by Dabur is ‘mybeautynaturally.com’ which is a part of their customer engagement programme. 4. Exploring the Marketplace On the basis of the products available at the time, the new website directs the customer to the marketplace(s). By adding Chyavanapravash on Amazon, Dabur has given its products a modern and contemporary look which the youth will connect better. Dabur is planning to launch more products across all categories. However, none will be launched exclusively on digital mediums. The main medium for marketing will be TV which will be leveraged upon in order to reach out to customers in Tier 2 cities and above.Talking about social media, Dabur has been very agnostic. The organic reach of the brand via Twitter or Facebook is null. The FMCG giant has been building communities since 2012, by engaging with the consumers on a regular basis. Dabur has stayed away from the most famous trick to win customers i.e giving discounts. The only options of ‘buy now’ or ‘try now’ are available on their website. Q.1 Do you feel that if company gives discounts or other incentives on their FMCG products, it will improve their sale? If yes – give reasons. (5) Q.2 Do you agree that for Dabur with its iconic goodwill and reputation, it is crucial to adopt online modes for marketing their products? (5)
Note: Writing anything on the question paper will be considered as malpractice
PART – II - OTHER ELEMENTS OF COMMUNICATION MIX: Section A: Answer all questions. Each question carries 1 mark (5*1 = 5 marks) 1. Mention one important quality of a PR person. 2. What is Direct Marketing? 3. Mention one important objective of Sales Promotion? 4. What do you mean by Telemarketing ? 5. Mention two popular sales promotion tools. Section B: Answer any two questions. Each question carries 5 marks (2*5 = 10 marks) 6. Explain the relationship between Marketing and Public Relations. 7. Explain five objectives of trade oriented sales promotion methods. 8. Write down different forms of Direct marketing. 9. Explain five consumer oriented sales promotion tools with examples. Section C: Case study (Compulsory) (1*10 = 10 marks) 10. Kentucky Fried Chicken or KFC has been a late entrant in the Indian market. Even though it has an unique offering with “Crispy Chicken”, it faces stiff competition in the fast food segment from organised players like McDonalds which competes with its range of value meals and Dominos which is symbolised by its 30- minutes delivery of Pizza. In fact, in all major markets across the globe, KFC competes with these two companies. Both the brands have looked at catering their product offerings suited to Indian tastes. KFC has also included items such as Rizo (Rice) which is served only in South-east Asian countries. The company is owned by Yum Brands! and has several licensees in India including KFC Malaysia with Kolkata forming a major sourcing destination. More than 50% of KFC’s sales and profits are generated from the Chinese market. However, the recent food scandal in China has affected KFC adversely, thereby the emphasising the need to grow in other markets. India forms the perfect answer to this requirement with a young population and growing spending power. KFC has a tie-up with FreeCharge.in through which it offers food coupons currently. The various offers that it has are: 1. Get three piece hot wings free with any meal 2. Get a Choco cake on purchase of Rs 300 3. Value Snacker meal at INR 70 (veg) and INR 80 (non-veg) In terms of in-store sales promotion, KFC offers a special offer to promote breakfast sales. If a meal is ordered in the breakfast slot, the customer can avail another piece of crispy chicken for an additional INR 20 instead of INR 75 in normal case. This can be seen in direct response to McDonald which is promoting its breakfast menu quite heavily with its loyalty cards that offer free McMuffin during breakfast. Both the FreeCharge campaign and the in-store campaign are not valid for home delivery order. However, there is a slight fallacy in this assumption on KFC’s part as Indians are not likely to consume chicken in breakfast. If we closely analyse the three offers above, the third coupon is redundant as the snacker meals are available at these prices even without the coupons. The second coupon ensures a minimum ticket size of INR 300 in order to avail the offer, which is possible only in groups of 2 or more generally. The only value coupon appears to be three piece hot wings free (INR 59) which can be availed with meals starting from INR 70 (Taxes extra in both cases). KFC recently started its home delivery service in India, for which it has similar offers. However the minimum order size for home delivery has to be INR 150. In addition to it, KFC was also offering 2 Litre Pepsi free with Chicken buckets for home delivery. The FreeCharge offers were introduced after the home delivery offers got discontinued in January, this year. As a consumer, there is enormous value in the deals as KFC is often perceived as a premium product due to its unique offering. In fact, the value deals can also be looked at as targeting the college student and the family market to change its perception from a fast food to family food. If we analyse the monetary value of the deals, KFC has a significant cushion as margins are quite high due to the price difference between the final product and the raw materials. The only problem for KFC though will be who redeems it and how it is being redeemed. For instance, the coupon for three piece hot wings free might pose serious challenge towards the profitability in case it is redeemed with the low priced meals. However, there is little doubt that the strategy is bound to increase market share for KFC in the fast food segment in short run. Q1. Do you agree that the Indian market is critical for KFC in long run. (5Marks) Q.2 Can KFC actually emerge as the breakfast destination in India and successfully compete with McDonalds? (5 Marks)