Conflict Management Conflict management is the process to reduce the problems of channel of distribution by solving them effective ways.

Main conflicts Suppose company wants to achieve rapid market. In this case fix low price policy. But all dealers are seeing short run high profit. So, they are charging high profit margin and products are not sold easily by dealers. It will create confliction between dealers and company How to Do Conflict Management To remove conflict is major challenge for conflict management. First of all, concentrate all dealers on subordinate goals of company. If there is big confliction between company and dealers, then company can take some meeting with dealers and agree them by giving positive arguments. * Diplomacy :- A person goes to dealer and resolve the confliction * Mediation :- Solve problem by expert of third party. * Arbitration :- Agreement between two party by giving argument and confliction by arbitrator. Channel Management Definition of Channel Management Channel management means to select good middlemen and distribute the goods through them at cost effective. Function of Channel Management 1. Selecting channel members Before selecting good middlemen, check intermediary's experience and past reputation. 2. Training channel members To train channel for proper work 3. Motivate channel members 4. Evaluate channel

Types of Marketing Channels A. Conventional Channel or Non- Integrated Channel 1. Manufacturer to Consumer In this channel there is no intermediary. Manufacturer makes the goods and directly distributes to consumers. 2. Manufacturer to Retailer to Consumer Retailer is the intermediary between manufacturer and consumer. He purchases goods from manufacturer and sells to consumer. 3. Manufacturer to Wholesaler to Retailer to Consumer In this channel, there are two option, one is wholesaler and other is retailer. Wholesaler buys large scale and sells to retailer and the retailer sells to consumer. 4. Manufacturer to Wholesaler to Consumer Consumer can buy easily and directly from wholesaler. So, in this channel there is only one intermediary and he is wholesaler. 5. Manufacturer to agent to wholesaler to retailer to consumer B. Integrated Channel or Non conventional channels Integrated channel are modern channel for distribution of goods. These channel can be divided into two parts. 1. Vertical Channel Vertical channel is that corporate channel which are useful for the flow of products which are capital nature. In this, if one company contracts with other manufacturers who will convert the capital product into most usable shape and sell it to the dealers. Then it will be vertical channel. 2. Horizontal Channel Two companies join together for marketing of any product for reducing competition and excess capacity. Channel of Distribution

Channel of distribution are the intermediaries which transfer goods from producers to consumers. Thus marketing channel are useful for proper distribution of goods and services. Following are main principles which apply on the channel of distribution. 1. The principle of minimum total cost of transaction : Suppose, if goods are transferred to direct, the cost of transferring goods is Rs. 10. But if it is purchased by channel of distribution, its cost is Rs. 2, it will be useful to reduce the cost of producers. 2. The principle of smoothness gap in assortment and sorting : The intermediaries takes the goods and save it in store and sells it when consumer needs the goods. So, manufacturing needs intermediaries. 3. The principle of searching : Channel of distribution creates the market of specific goods where consumer can search and buy. 4. Personal Touch The channel of distribution close to the consumer, so they can know the needs of consumer and solve the problems of consumers. What are Brand and branding? What are the Main Strategies of Its? Definition of Brand of Company Brand means name, symbol or design of the product of company. It creates difference of one company's product with other competitor company's product. Definition of Branding of Company Branding is technique in which company provides the name and design to each product for creating a special identity. It is helpful for consumer to identify special quality product or products in market. Strategies of Branding of Company Following are the main branding strategy which can be used for making and developing of new brand.

1. Brand Positioning Strategy Brand positioning means bring the brand name of company in mind of customer. When a customer goes to market and he or she should demand of specific product. It means company is successful to position the brand in the mind of consumer. Company must be careful while positioning the brand. a) It must not be copied from other brand. b) Company's brand shows the benefits of products. c) It simply convey the idea of belief and values of company. 2. Brand Name Strategy You often see that one company's brand name are easily copied due to weakness of brand selection. For example YouTube.com video site's brand name has been copied by many other site like utube.com etc. So be careful when you are creating the name of brand. a) It should tell the quality of product. b) It should be easily to pronounce, recognize and remember. c) It should easily be translated. d) It should be capable for legal protection. 3. Brand Sponsorship a) National brand Sometime, a company can spend money for marketing of company brand as nation or international basis. b) Middle men's brand It is private brand which is created by middlemen. c) Licensing Sometime, company can take the brand of other company on license basis for increasing sale. d) Co-brand

Sometime, company can contract with other company and mix other company brand as cobrand with his products brand and sell after this. e) Takeover the brand Google takeover the YouTube, so, its brand is also taken over by google. 4. Brand Development a) Main name of brand + one more line which shows the quality of product b) Use the same famous brand in other products. c) Multi brand - Two or more name brand of same product. 5. Brand Management a) Brand Equity For brand management, management calculates the estimated value of brand. It shows as brand equity. It is an asset of company. Suppose, Lux, company creates lux brand equity fund with Rs. 9000000 and utilizes it for advertising, now its brand has becomes famous. Company can calculate its estimated value and try to protect it by opening brand asset management team. What is Product Mix? Product mix is the set or group of products which a particular company offers to public. Product mix is very helpful for taking advantage one product brand benefit for selling other product. For example: Godrej Agrovet division has following product mix: a) animal feeds b) agricultural inputs c) horticulture d) tissue culture e) retailing

Product Life Cycle

Product life cycle shows the different stages in which it lives his life just as human being. A human being enjoys childhood, youth age and old age and after this, it is sure he will die. Same thing happens with all products. Product life cycle has four parts. In first stage introduction, second stage is stage of growth, third is the stage of maturity and in the end stage is decline. After this, value of product is totally dropped from market due to invention of new product. We can portray its sketch on the graph paper. Its shape will be bell shape. Its strategies are divided in Four stages according to life of product. Ist Stage Introduction stage of Product life cycle First stage of plc is called introduction stage. In this stage, product is newly developed and launched in the market. Because, consumer does not know about this product earlier, so its marketing is very difficult. Marketer has to teach the consumers about its benefits and its advance facilities . For new product's introductory stage, marketer can take the market with marketing skimming strategy or marketing penetration strategy. One more feature of this stage that company sale will be low. 2nd Stage Growth stage of Product life cycle In this stage, consumer knows the product because he has taken past experience after purchasing it at introductory stage. So, sale will increase. In this stage, company can increase the price for getting old promotion and advertising cost. Company can pay more on advertising for developing product brand image in the minds of consumers. In this stage company's profit will also rise. 3rd Stage Maturity At this stage product life cycle, our sale reaches at highest level. Product is become well known in the market. In this stage, we have to decrease our price for taking maximum part of product and defeating market competitors. Company can offer special discount to dealer for selling fast before reaching it declining stage. 4th Stage Decline Stage

At this stage, sales fall very sharply. No more new customer wants to buy it . At this stage, company can offer public to switch to his new advance product. Company can take milk from brand name without any new advertising cost.

Stages in Developing New Product

Before describing the stages in developing the new product in marketing mix, we will define the product with following way Definition of Product Product is the tangible and intangible things which satisfy the needs of consumers. It means not only physical things which we purchase are the products but all the services of other persons are also product. For example TV, computer, watch, food, house and Taxi driver's services are also products which we can purchase and satisfy our needs. Following are the seven stages or steps in development of a new product Ist stage Idea generation Idea generation is the first stage of product development. For developing a product, company takes the idea from his internal and external sources. internal sources of idea generation a) basic research on google b) idea from production department c) sales men's idea d) top management's idea external sources of idea generation a) business magazine b) competitors c) necessity of consumers c) inventor's idea * Idea should be helpful for satisfying consumer's need, other wise drop the idea. For taking second step ask from yourself, is it worth considering - if yes, then take second step 2nd Stage Idea Screening

It is the second stage or step of development of new product. After collecting large number of idea for making new product, company will analyze them with his technical screening system or team and drop bad idea. Idea screening is helpful a) to reduce the chance of development of product on the basis of poor idea. b) to reduce the chance of not developing the product on the basis of very good idea. * Technical base of idea screening Company can enumerate his employees to make check list for idea screening. value of idea basis of screening good idea - should be selected bad idea - should not be selected 3rd Stage Laboratory Test This is the third stage of development of new product. In this step, we test the product's development with in company before actual launch in the market for following purpose. a) To know whether our buyer will buy it or not? b) To know whether it will be suitable for consumer according to their need of product? * Company can also use computer for lab testing. 4th Stage Marketing strategy development

In this stage, company makes following planning for good product development a) first year market budget - cost b) estimate first year profit c) value of sales and profit after one year. 5th Stage Business Analysis This is the fifth stage of development of new product. In this stage, company calculate his overall return on investment, if company will launch the product. If it is profitable, company will produce it otherwise, drop his plan because company's money is not money of one man or employee but this money is invested by large number of investors. So, board of directors can not waste it by unprofitable production of new product. For calculating this, they will analyze a) demand b) cost c) profitability 6th Stage Actual Product development After this, company's R and D department produces one or two sample of products and check it. 7th Stage Market Test In this step or stage, company launches product in very small part of market as market test and for knowing the interest of consumers, dealers and retailers. If consumers' reaction are good, company will take the next action. 8th Stage Commercialization In this step, company manages large scale production, marketing and commercialization of new product with following marketing strategy. a) when to produce - fix the time

b) where to produce - fix the geography c) to whom to sell - target marketing strategy d) How - Brand Strategy. Positioning for Competitive Advantage Simplified Simple definition of Positioning for competitive advantage Positioning for competitive advantage is strategy for defeating our competitors. In this, we study weak points of our competitors and make the list. After this, company makes the product which can be easily sold, if our competitors are failed to provide same facilities with this product. Market Segmentation Market segmentation is a technique in which companies divide their large market into small parts. This small division is very helpful to reach the specific consumer and providing his best product according to his need. There are large number of buyers in the market and market has been made big. So, it is very necessary to segment or divide into small parts according to the needs, wants, location of consumers. Major basis or Ways or Approaches for segmenting consumer and business market [ A] Segmenting Consumer Market 1. Geographic Segmentation If a company divides his business market according to the geographical location, then it will be geographic segmentation. Segmentation is done on the basis of nations, regions, states countries, cities and villages. 2. Demographic Segmentation In this segmentation, company divide the market into small parts on the basis of age, gender, family size and income. For example, we can divide market according to age of consumers We can develop products for young - Segment A We can also develop products for old - Segment B

3.Gender Segmentation In this division company divides market according to male and female need. This division can be seen in clothing business. 4. Income Segmentation This segmentation can be used for selling financial products and automobile industry. Suppose a company makes cars. Then its price will be divided according to the income of consumers a) Car for high income class b) Car for middle income class 5. Psychological Segmentation This division is done according to life style and personality of consumer. You can see different makeup and fashion products in the market which are affected with the psychology of consumers. 6. Behavioral Segmentation This division is done according to a) knowledge of consumers b) attitude of consumers c) response of consumers For example i) products for first time users ii) products for regular users [B] Segmenting the Business Market Business market can not divide only above basis but we can divide it on the basis of Zip codes, level of population and IP address of computer also. [C] Segmenting of International Market For segmenting our international market, we have to study international economy and political environment of each country. After this, we can make and fix the target to sell specific product for specific country according to the need of consumer of that country. It is not necessary that same product will be sold in two or more country. Company should watch cultural factors of different country also.

Strategy of Segmenting the Market For creating target market or segmenting the market, we can use following strategy :

1st Strategy Undifferential Marketing or Mass Strategy In this strategy, company does not make small segment of market and target the whole market in one offer. All marketing mix policy will be same for all parts of market.

2nd Strategy Differentiated Segmented Marketing In this strategy, company divides his products, services according to need of different consumers. Company's all market policy will be different for all market segmentation.

For example: Company of refrigerator enters in differentiative marketing technique and divide his product on basis of income of consumers. Ist Product - 165 liters. with two door advance refrigerator for rich consumers. 2nd Product - 165 liters. with one door simple for middle consumer. 3rd Strategy

Concentrated Marketing This strategy is used when company has limited resources and wants high profit from specific segment of market, at that time company makes market policies for specific segment. Analyzing Consumer Market and Buyer Behavior Q: What is consumer behavior? What are main factors affecting consumer behavior and what are the stages or steps of buying decision process? Definition of Consumer Behavior Consumer behavior is the study of all factors which affect consumer's buying decision. It is the technique to analyze the psychology of consumer. It is very helpful for selling the products to all consumers and satisfy them. In simple words, with the study of consumer behavior, you can know: a) When will our consumer buy the goods? - To know the correct time b) Why will he buy the goods? - Know the need of consumer c) How will he buy the goods? - Process of buying d) Where will he buy the goods? - Place Factor affecting consumer's behavior 1. Cultural factors Culture affects consumer behavior very deeply. Following are the main components of cultural factors. i) Nationality Consumer buying decision is affected by nationality of consumer. Need of Indian consumer is different from need of USA consumers ii) Religion There are many religion In India. We can not do marketing of drinks for Hindu religious persons, because their behavior is affected by their religion. There religion teach them not to drink alcohols. 2. Social Factors

Consumer's behavior is also affected with many social factor whose list, we can make in following way a) Reference group friends, relatives, neighbours, co-workers and classmates b) Family father, mother, sister and brother c) Role and status peon, clerk and manager 3. Personal Factors Age of person, his stage in life cycle and his personal occupation also effect his behavior. Children age is age of fun and they can demand education and fun products. After marriage, young couple can demand house for living but at the old age, you can demand health products. 4. Psychological factors Following are the psychological factors which affects consumer's behavior. a) motivation b) love c) morality d) security of body e) security of employment Steps Of Buying Decision Process 1st Step To Identify the need of Product This is the first step of buying decision process in which marketer estimates consumer's need of products. Consumer can buy the product for satisfying his basic and other needs. 2nd Step Collection of Information After this, consumer will search for buying best product, he can search on Internet or can take help of friends, neighbours and newspapers for find quality product.

3rd Step Evaluation of Alternatives After this, buyer will evaluate all alternatives from where he can buy the product. He will choose the best alternative for buying the product. 4th Step Purchase decision In this step, buyer buys the product by physically going to market or by giving the order online. 5th Step Post Purchase Behavior After purchasing, buyer uses the product and shows his behavior by following ways a) He is satisfied from the product c) He is not satisfied from product What is Marketing Research and Strategic Planning in Marketing Management? What are the Steps in Marketing Planning? What are its importance? Definition of Marketing Research and Strategic Planning Marketing research and strategic planning is the process of estimation and directions for creating new customers. We all know that today business are facing competition. If we have to win competition, we have to take many decisions about future marketing. All decision are called marketing research and strategic planning. Steps of marketing planning Ist Step To Identify company's Strength and Weakness It is the first step of marketing planning in which company estimates his strength, opportunities and powers in marketing. It also estimates its weak points. This step can be done with marketing environment scanning. In this marketing scanning data and compare with our competitors. After this our strength and weakness can be estimated.

2nd Step To Identify Marketing Objectives: There are many objectives of marketing. It is the second step of marketing that we should identify these objectives. There are main objective of marketing planning a) Financial objectives It is the objective of marketing planning that we have to increase our return on investment. b) To increase the share in market. 3rd Step Making Marketing Policies This is the third step of marketing planning in which company makes his marketing policies according to the marketing objectives. 4th Step Development of Good Marketing Mix After making the marketing policies, we have to make good marketing mix. 1. Product 2. Price 3. Promotion 4. Place 5th Step Sub Plans We also have to make sub plans which is helpful for obtaining main plan of the marketing. 6th Step Monitoring We have to check our main plan under monitoring Importance of marketing planning and strategy

1. It is helpful for determination of future marketing decisions. 2. To know the opportunities and weakness of the company. 3. Management by Objectives 4. Effective use of financial resources. 5. Good co-ordination Sales Force Management >> May 3, 2010 What is Sales Force Management? What is its Importance? What are the steps of Process of Sales Force Management in modern Marketing? Tell the Winning Tips of Sales Team? Definition of Sales Force Management Sales force management is one work of personnel department. Personnel manager recruits, selects and trains salesmen and sales personnel. Sales force is nothing but the team who are involved in sales related activities. Sales force management means decisions relating to sales team. Right person should be appointed at right place, at right time and he should do right working in sales field of company. In marketing, if sales force will be perfect, relation can be created with others. Importance of Sales Force Management 1. 2. 3. 4. It is helpful to make good sales personnel policies. Job analysis of salesmen. Good relation with sales force. Reduction the personal selling cost.

Steps of sales force management process 1st Step Determination the sales force objectives Before creating sales force management, it is very important that fix one or all of following objectives a) Sales Volume : How much will the sale team has to sell in specific time? - Sales target

b) Market Share: % of total share of market for a product. c) Profit: To increase ROI 2nd Step Determination of Sales force size It is affected with need of organisation and cost of per sales man. Over loading and under loading of sales team will be misuse of money. 3rd Step Recruitment and Selection a) Recruitment is the list of qualified applicants of sales men. b) Selection : Choose the best sales team. 4th Step Training of Sales Team a) What to teach? - About the company and its product. b) Whom to teach? - New Salesmen c) Where to teach? - On job or off job. d) How to teach ? By expert. 5th Step Compensating the Sales persons: {*} Basic salary + Incentive + other Commission and allowance and TA 6th Step Motivating salesmen By job security + opportunity of promotion + award + reward 7th Step

Determination the area of salesmen a) on geographical basis b) on basis of distance travelled 8th Step Controlling and evaluation the sale force performance: Salesman's performance can be evaluated on the following basis a) average no. of calls per day b) average sales per customer c) no. of new customer order d) average gross profit per customer Winning Tips for managing sales team 1. Selecting best salesmen According to object of company, company has to make some minimum standard for clearing the interview by a new fresher who wants to become salesman. Following are best questions for talking or taking interview from new candidate: a) How do you feel about talking strangers? b) What is your opinion of salesman in general? 2. Motivation If you want to get performance from salesmen, it is your duty to motivate them daily. 3 Stories of successful salesman of the world. It is good to make Strong salesmen. With telling the story of great and successful salesmen, new salesmen can easily learn that for becoming successful salesman, he or she has to face failure , but he or she will not loose courage. After this, he or she can easily become successful businessman like me.

Public Relation Simple Definition of Public Relation Public relation is a technique to promote the public to buy the product and protect company's reputation from bad voice of public via media. Creation of Public Relation Department Its duty is to reduce negative publicity. Main Fields of Public Relation a) Press Relation b) Product Publicity c) Corporate Communication

Sales Promotion Definition of Sales Promotion Sales promotion is the technique in which salesman gives incentives to consumers for increasing the selling of his products. Major Steps in Sales Promotion: 1st Step : Setting of Objective a) Target market - get consumers b) switch away the market from competitors c) Free trial for new users. 2nd Step: Setting of Sales Promotion Tools : a) Free Sample b) Gift Coupons c) Rebate or discount on sale d) special facility : Free delivery e) Contest, games and prizes f) some quantity free with purchasing large scale. g) Buy back guarantee 3rd Step Setting Time Period for promotion {*} Fix month, week or days of promotion 4th Step Setting test before large scale sales promotion {*} Test promotion incentive in small segment of market.

5th Step Evaluation Check the effect of promotion on sale + point : increase the sales - point : decrease the sale

Advertising and its Strategy Advertising and Strategy which is Used in Advertising Simple Definition of Advertising Advertising is a technique in which company promote his sale without existence of any person. Advertisement is contract between advertiser and advertising companies. Advertiser pays money to advertising company. Advertising company uses his resource for showing the ads to public places. It is impersonal presentation of message of advertisers. Following is the example of Ads Come at Shop No. 4201 and Buy garments at 50% discount Above ads can be shown in banner for or can be distributed in pamphlet form. Big company has its own department and its name is advertising department. This department manages ads of company. Strategy which is used in Advertising 1. Setting the advertising objectives First of all, fix the objectives of advertising. Following are the three objectives of advertising a) Information : Provide information of new product b) Position of the Brand : Position the brand in the minds of buyers c) Reminding : Just remind to buy again 2. Setting the Advertisement Budget

You also set the advertisement budget . It should not be very high or very low. But it should be optimum. After seeing stage of life of product cycle and competitors policy, we should decide minimum amount for advertisement. 3. Setting of advertisement message Advertisement message should be creative, attractive. It must not make false claims. 4. Setting the media a) Newspaper + point : Flexible, good for local market advertisement - point : Short life b) TV +point: High attention, long life - point : High cost c) Radio + point : flexibility, large coverage, less cost - point : lower attention d) Magazines +point : Quality reproduction - point : some waste circulation e) Brochures + Point : flexibility, full control - point : over production f) Telephone + point : Personal touch - high cost

5. Evaluation the effect of advertising a) Check the effect on sale Try to check its effect on sale if sale has been increased due to this, it means advertising is successful otherwise change the budget, media or message . b) Check the effect of communication We also have to check the effect of advertising on communication.

Marketing >> April 27, 2010 Definition of Marketing Marketing includes all activities for transferring goods from producer to consumers. Its main aim is to sell and satisfy the consumers. Today, markets king is consumer. So, marketing provides you good technique to handle customers. Marketings best technique is marketing mix. Marketing mix has four P 1. Product which is made by producer must be made quality basis. 2. Price is fixed by market but marketer should take low price than market for increasing of sale. 3. Promotion is done by advertising; it must be used at proper time for target audience. 4. Placement is relating to distribution activities, marketer should reach by proper channel of distribution. Features/ Nature of Marketing Orientation:1. Consumers Consumers are the king of market and all salesmen who want to sell goods to consumers, should create good relationship with consumer and also solve their problems for enhancing the product branding in market. 2. Organizational Capability Before marketing, it is very necessary that company should see his organizational capability which is available to fulfill the order of sale. If not, then create the limit of marketing.

3. Competitors It is also nature of marketing that you will see competitors in the your market. Never ignore them and create advance strategy to fight and defeat your competitors. Some time, new competitors may be your friends for increasing sale because every new competitor helpful to make a physical market for you where consumer can come and buy. 4. Co-ordination It is also nature of marketing that it is connected with other activities. It is the duty of marketing manager to do co-ordination with other department. 5. Performance Marketing should be based on performance. We have to pay for all cost on the basis of past selling. If any branchs sale value is high. We should promote that branch by increasing the salary that branchs salesmen and advertising cost. Main Marketing Concept 1. Production Concept This concept guides us that we should produce the products at minimum production cost. 2. Product Concept This concept guides us that we should sell the best quality product to consumers. 3. Selling Concept Selling concept guides us that we should take minimum selling price from consumer. For this we have to decrease our selling cost. 4. Marketing Concept Marketing concept guides us that in this era, consumer is king of market and all marketing activities main target should be to satisfy the consumers. Scope of Marketing 1. Marketing in New Company

2. Marketing in Old Company It is also the part of scope of marketing. In old company , we see that there are already large number of consumer are buying goods. There is no need to invest high amount on advertising but company can find his scope for improving the quality of product which will be sold to existing consumers. Old company should concentrate his mind for maintaining the stable his level in market by providing quality products, continuing researching and decreasing the cost. 3. Marketing in NGO