Challenge 1
In this challenge, the mobile consumer market and the enterprise market for the smart phones shall be used. In the consumer market, a mobile manufacturer sells the products to the consumers directly without involving any other party. But in the enterprise market, the manufacturer sells the products to other businesses who in turn sell the same product to the consumers. The best marketing mix for the smart phones in a consumer market is the four ‘Cs’ model. But the marketing mix for the sales of smart phones in a business to business market is the 4 p model.
The four Cs marketing mix is consumer oriented. It can be used for both niche market and mass market but the bottom line is that it focuses on the consumer. The model has four variables each beginning with the letter C. They are consumer, cost, convenience, and communication. The mix when use in the sales of smart phones directly to consumers, the manufacturer makes the products with the consumers in mind. The needs of the smart phone consumers have to be met. Smart phones manufacturers can make customizable products and at the same time, they make necessary changes to the products based on the feedback and suggestions of the consumers.
The cost of a smart phone is something that customers give considerations when they are making decision to buy the products. With regards to communication, the concept is applicable for both business-to-business and consumer markets. But with the consumer market, there is the need to segment the market and send the appropriate message for each of the segments. The smart phones also have to be placed in a location that is convenient for the customers. For a niche customer base, a smart phone manufacturer has to really focus on convenience. For instance, when a customer has a complaint about a phone, say for example an iPhone, convenience really matters since the customer will want to directly deal with company representative.
B2B market for smart phones, the product will be the focus. The main factors focused on in the B2B market is the benefit of a smart phone to generate revenue and save cost. The target markets are mainly businesses that distribute the product and dealers in the smart phones.
The difference between consumer and business markets may seem obvious. There is a substantial difference that leads to the use of the different marketing mix for each. The distribution channel in the business to business market is relatively shorter and direct compared to that of consumer market. The other difference that results in the use of different marketing mix for each of the markets is the marketing process. For business to business market, the buyer and the seller only need to build a personal relationship to enhance the process of negotiation, while for the consumer market, it target mass market via the use of mass media.
Marketing strategies for both the two markets will be affected because of the differences that exist in them. For instance, B2B customers are mainly focused on creation of shareholder value. Both B2B markets and consumer market would rely on direct shipment of goods and online purchase to reduce distribution channel. However, it remains for a fact that consumers have to be able to reach the producers conveniently when any issue arises with the product.
Challenge 2
The modern product trend of marketing that involves the use of social media and the internet is the perfect situation identified for this second challenge. Participatory marketing involves building networks to market a product. Companies would market their product with the consumers and not at the consumers. The various entities that have interest in the situation include social media sites, online chat rooms, discussion forums, marketers, event coordinators, companies, industry leaders and consumers. The marketing efforts can be accomplished both offline and online. Establishing a collaborative network helps creates benefit for the producer, marketer and the consumer.
The consumers have to participate in the marketing process since they are the main focus of production. The marketers have to participate in the marketing process because they intend to promote products that seek to satisfy customer need(s). Coordinators of online discussion forums and offline event coordinators offer the platform that helps the other entities to participate.
In order for the collaboration to work out, there are certain things that the network has to engage in. The first one is attending. Both the consumers and the producers of a product simply have to attend in order to participate in the marketing process. For instance, the social media and the internet offer a good platform that helps entities in this participatory marketing to attend. One can hold discussions in online discussion forums and an online chat room where every entity is attends the event. Away from the internet, there are also conferences and seminars that both the two entities can attend and talk about a product. Attending is an easier thing to do for marketers since they only have to show up. The event coordinator will be satisfied just by the mere fact that he or she has seen people in a conference or any other event for that matter.
The marketers would benefit from a participation of either an online or an offline event through the knowledge of what the customers want. Within the event, customers will have to speak out their minds, make constructive criticism, and give feedback about a product. This would be the perfect opportunity for the marketers to benefit through listening to what the customers have to say. Also, by participating, the marketer gets the opportunity to create and build strong relationships with the entities that matter especially the customers. One important thing to notice as marketers is that in such events, both online and offline, there are also industry leaders. For instance if the event regarded a field in the academic and education sector, it is possible that well known scholars and leaders of academic institutions, be in the event. Some of the entities may benefit a lot from just listening to the leaders.
Participatory marketing in this case, helps the marketers to only listen to the customers, but also engage them. This involves allowing the customers to make their contribution through asking of helpful thoughts and giving comments that help the organization improve. In order to increase the benefits for marketers, there is need to increase and grow our presence in social media. There many social networking sites where marketers can use to improve participation by all the interested parties. Well researched blog entries can also be used to increase the chances of benefiting from participatory marketing.
