Current Integrated Marketing Communications Practice - Essay Example

Critical Evaluation of Current Integrated Marketing Communications Practice Table of Contents Introduction 3 Critical Evaluation of the IMC PracticesEmployed by the Car Manufacturers to reach the target market of US and UK 4 Identification of the Target Markets 5 Evaluation of the Marketing Communication Tools and Media Used by Ford Motors 6 Marketing Communication Mix 6 Identification of the Key Messages 10 Evaluation of the Appropriateness of the Messages to the Target Market 10 Key Similarities and Differences of the Marketing Communications in UK and US 11 Communication Activities Helping Ford Motors in Undertaking Strategy and Achieve Objectives 12 Key Challenges of Practicing IMC 13 Recommendations on Further Use of Tools/Media 14 Conclusion 14 References 16 Introduction Ford motor company is considered as one of the largest automobile manufactures of the world. The company is engaged with manufacturing both luxury vehicles as well as commercial vehicles for the people depending. The company majorly plans its products based upon the demand by the customers (Ford Motor Company, 2014). Henry Ford is the founder of Ford Motors and the company reached a significant position in the automobile market under his efficient leadership. It is an US based company having it’s headquarter in Michigan. However, the company has its manufacturing units almost in every countries of the world and there is a positive response from the customers about the vehicles of ford in those countries. The company has been able to establish successfully in the automobile markets of USA and UK because of the good response of their vehicles in those markets. The company manufactures vehicles that can be afforded by both middle class people as well as the higher sections of the society. At present Ford motors is the second largest manufacturer of vehicles in the United States (Energy UK, 2014). The company adopts the strategy of mass production in order to attain a greater portion of the market share in the automobile sector. Conversely, the effective strategies that are being implemented by Ford motors are the key to success for the company. Among the strategies, the integrated marketing communication strategy is incorporated by the company, which serves as the most beneficial to communicate with the target customers and thereby compete among other large automobile manufacturers of the world. Integrated Marketing Communication (IMC) serves as most effective for Ford motor company as it is an integrated approach taking into consideration various aspects of the marketing communication including sales promotion, advertisement, maintaining public relations and direct marketing. The Unique Selling Proposition (USP) for the company is that it integrates all the above stated approaches without considering them as being isolated from each other (Percy, 2008). However, the IMC practices have become one of the major tools for the company that has further helped in strengthening the overall strategy for the company and thereby supported in establishing a significant position in UK and US markets. Critical Evaluation of the IMC Practices Employed by the Car Manufacturers to reach the target market of US and UK The integrated marketing practices are being implemented by majority of the large automobile manufacturers because of the positive response attained from the implementation of the strategy. Large number of renowned and well-established automobile companies all over the world is facing high competition with each other. This is because each of them tries to provide better products and services than the other (Cioppi & Buratti, 2007). Thus, it has become very essential for the companies to improve their brand positioning, identity, networking, goodwill and reputation and thus the IMC practices being implemented by these companies serve to be the most effective. IMC helps the company to establish an effective communication between the car manufacturers and the targeted customers. The approach takes into consideration the concept of marketing communication and brand management (Roberts, 2010). However, in order to establish successfully in the markets of US and UK it is very essential for the company to identify its target customers, who would be the key to earning profit for the company. This will help the company to understand whether the target customers demand mass production of the cars along with their choices and preferences of the particular segment of vehicles (Zhou, 2014). Thus, an effective marketing mix is very essential for the company to implement that would support the planning of expanding its target markets to these countries. In addition to the target markets, the companies are also required to formulate an effective message that is to be communicated to the targeted customers. The message should help in communicating the brand effectiveness, positioning, goodwill and reputation of the companies to the targeted customers that would increase the customer loyalty for their automobiles and thus would serve beneficial for the companies to operate successfully in those countries (Chitty & et. al., 2011). Selecting the proper promotional medium is also very essential for the car manufacturers that would help them promote their products and services along with the specific features of each car. Therefore, it is very essential for the companies to select proper advertising techniques and medium that would help in effective promotion of their cars. Similarly, in context to the Ford motor company to expand their target market in UK and US, the company has been adopting an effective integrated marketing communication strategy that serves beneficial for the company in conducting their business successfully in various parts of the country including UK and US (David & Martina, 2011). Identification of the Target Markets For establishing successfully in the markets of UK and US, it has become inherently necessary for the car manufacturing companies to analyze the target customers that would help them to understand the potential demand along with the preferences in those countries thoroughly. Similarly, ford being the second largest manufacturers of automobiles in US has been able to establish successfully in the home country and UK and further it is planning to expand their market in other countries as well (Ford Motor Company, 2014). Both the countries have well developed economy and the level of income of the individuals are also high that provides an added opportunity for the company to operate successfully along with earning higher amount of profit. Ford motors produces cars of various segments ranging from the high-end luxury cars to the basis utility vehicles. However, considering the target customers of UK and US that provides the opportunity for the company to gain a high demand for luxury cars and commercial vehicles that is highly profitable for the company. In order to suffice the needs of the common people of these two countries, Ford launched their mid-range luxury sedan mainly targeted towards the youths and women. The company mainly focused on the teenagers and young women whose ages are between 19 and 25 years, as the looks of the car would highly attract them. Moreover, the price of Fiesta was also set low in comparison to other luxury cars so that the targeted people can afford to purchase with their average income. It was also targeted towards the people who are mostly having a tendency to buy small cars, as the car was ‘five-seater’ and was not suitable for big families. However, there was a positive response from the people and that proved that the introduction of Fiesta was a huge success for the company (Ford Motor Company, 2014; Cunningham, 1999). Evaluation of the Marketing Communication Tools and Media Used by Ford Motors Marketing Communication Mix It is very essential for the Ford motors company to communicate their message to the targeted customers of UK and US and thus an effective marketing communication mix being implemented by the company helps in communicating their message to the targeted customers of the countries. For the success of any organization, it is very essential to adopt an effective marketing strategy that would help in operating the business smoothly and thereby compete among the competitors (David & Martina, 2011). Marketing communication mix is an essential part of marketing strategy that helps the Ford motors to promote the company along with its products and services to the targeted customers. Generally, five elements of Marketing communicating mix are being used by the companies to achieve both marketing and advertising objectives. The components of the marketing communication mix are advertising, sales promotion, personal selling, direct marketing and personal relations. The Ford motor makes an effective utilization of the components of the marketing communication mix in the business activities that helps the company to communicate the messages to the targeted customers (Chitty, & et. al., 2011). Advertising Advertising serves as the most effective and efficient promotional tool for the Ford motors to communicate its messages to the targeted segment of customers as well as promote products and services. Advertising helps in delivering all the messages that a company tends to deliver to the target audiences in order to attract them towards the products. Advertisement is one of the most important aspects of a business and a company invests a major portion of their profit in advertising their products and services (Doole & Lowe, 2008). Similarly, the Ford motors also invest a significant amount of its profit in advertisement through which they have been successful in attracting customers in purchasing their vehicles. The most essential part of the advertising is to select a proper medium of advertising that would help the company to reach the target customers. However, in order to attract the target customers of UK and US, the company took the help of various social media, television and print publications to communicate with the people. Therefore, advertising helps the company to promote its brand and service, thereby improves sale as well as corporate image (Vieceli & Valos 1998). Personal Selling Personal selling also serves as an important tool through which a company can reach to a larger section of the customers and thus increase the total volume of selling of the cars among the targeted customers of UK and US. However, through personal selling the marketing personnel of the company approaches the targeted customers and interacts with them to understand their requirements and preferences of the customers and basis on that the personnel try to provide them the car as per their requirements (Kleindl, 2006). Personal selling is considered as one of the most effective means to maintain good relation with the customers that ultimately helps in increasing the volume of sales in the long run. However, the personnel who are engaged with the personal selling activity are properly trained by the company about how to present the products before the consumers (Belch & Belch, 2003). Public Relations Maintaining a good relation with the customers is very essential for a company to retain the existing profitable customers as well as attract new customers. Ford maintains a well-established relation with the customers by providing them various benefits, inviting them in special occasions and welcoming them in a cordially manner at their every visit in the Ford motors outlets. Moreover, the company also maintains good relationships with other stakeholders of the company that includes partners, shareholders, employees, government as well as the competitors (Fletcher & Crawford, 2013). Various public relation tools being used by the company that includes public events, media releases various charitable events and publication of financial reports among others. This strategic implication serves effectively as a proper medium for the company to maintain good public relations (Egan, 2014). Direct Marketing Direct marketing is considered as an important tool through which a company approaches to individual targeted customer with the aim of selling their products to that particular individual. Ford motors also approaches to individual customers through mails and various online media to sell their cars to the targeted individual of UK and US (Egan, 2014). The company targets some specific customers who are one of the brand loyal consumers of the company. The company has been taking effective support from the consumers for purchasing vehicles and depending upon their requirements the company personnel suggests them the car. However, the direct marketing strategy serves most beneficial in interacting with the customers personally and thereby convince him/her in purchasing their vehicles (Berry, 1998). Sales Promotion The Sales promotion strategies of Ford motors also play a major role in attracting the targeted customers of the UK and US. The dealers of the Ford motors provides special offers, discounts, free gifts and various complementary gifts on the purchase of cars. The customers are usually attracted as they are being provided with extra benefit in addition for what they are paying for. However, for every business establishment, sales promotion serves most essential in attracting customers and the companies are taking initiatives in order to make sales promotion most effective (Kaser, 2012). Identification of the Key Messages The key message that the company is trying to provide is to implement an effective communication strategy that would help in communicating with the target market and attract more customers towards its products that would ultimately lead to the growth of the company. However, the company is adopting IMC practices in its business activities that help the company to promote their brand, goodwill, reputation and positioning to the targeted people of UK and US effectively. Thus, in order to achieve the objectives, the company adopts an effective marketing communication mix strategy (Kitchen & et. al., 2008). Evaluation of the Appropriateness of the Messages to the Target Market The IMC practices that are being implemented by Ford motors serve to be effective in communicating with the targeted customer segments. Rather this effectively provides the consumers with the important key message of the company. Ford motors have been able to establish a significant position in the UK and US market and it has been competing with the other automobile manufacturers of the countries including Volkswagen, BMW and Skoda (Laric & Lynagh, 2010). This has only been possible because of the effective implementation of the marketing strategies among which the marketing communication mix being implemented by the company that serves to be most beneficial. Ford manufactures automobiles of premium luxury segments that are targeted towards the higher sections of the society. However, in order to capture the mass market, the company also manufactures cars for the general people that can be easily affordable by the people of the countries. Thus, in order to sustain in the competing economy it has been inherently necessary for the company to target the mass customers of the countries that helps the company to grow successfully along with high profit maximization (David & Martina, 2011). Key Similarities and Differences of the Marketing Communications in UK and US Ford motor company has been able to capture a major portion of the market share in the automobile sector of US and UK. Ford is an US based automobile company that is engaged in mass manufacturing of the automobiles for the general people and premium segment cars for the higher section of the people. In order to approach the targeted customers the company has been adopting effective marketing and promotional strategies. However, the culture, economy and the standard of living of the people of both the countries are different from one another and thus it has become necessary for the company to adopt separate marketing communication strategies through which the company can reach to the target customers more effectively. The US is the home country of ford motors and thus the approaches being adopted by the company towards the customers of the country is different from that of UK (Fill & Jamieson, 2011). US customers have greater loyalty towards the company and thus the company does not have to work much on attracting the customers of the country in purchasing their cars. However, the company adopts an effective marketing communication strategy in order to attract the targeted markets of the UK. In order to penetrate the markets of UK, the company implemented the strategies of ‘Global Marketing vision’ and ‘One Ford’ marketing technique that helped the company to provide higher quality communication to the customers regarding its products and services (Kitchen & et. al., 2008). The people have become high quality conscious and thus it has become necessary for the company to maintain quality of its products and services. This helps in increasing customer loyalty and therefore provides an opportunity for the company to attract more potential customers of UK (Fill, 2009). However, the company adopted common advertising medium including print media, television, journals and promotional campaigns to reach a larger section of the people of both US and UK. Specific television programs with high rate of TRP are being selected through which the advertisements are being provided that has helped the company to attain positive response. In addition, Ford has been successful in creating a leadership position of manufacturing luxury cars and commercial vehicles in US, which has only become possible because of the effective marketing strategies being adopted by the company among which the communication strategy of the company served to be the most significant (Kotler et. al., 2009). Moreover, the company also took the help of social media in order to promote the products and services all over the UK and US. Social media has become the most beneficial tool for the business establishments and organizations to promote their products and service because of its easy accessibility. Through interactive websites and social networking sites, Ford motors approaches to a larger sections of the targeted customers in both the countries. However, the integrated marketing communication mix helps the company to develop effective communication with the customers of UK ad USA and thereby promote their brands along with products and services to the people out there (Kotler & Keller, 2006). Communication Activities Helping Ford Motors in Undertaking Strategy and Achieve Objectives The main objective of Ford Motor Company is to become the leader in the manufacturing of automobiles. Thus, it is very essential for the company to attract the customers of the countries towards its products and services that would increase the volume of sales and improve the customer loyalty. However, the company with the help of effective communication strategies helps in analyzing the needs and preferences of the customers on the basis of which various strategies are being taken by the company (David & Martina, 2011). For the success of every organization, it is very essential to keep the customers satisfied and this can only be possible if the products and service are being provided to the customers as per their demands (Chung & Enderwick, 2001). Similarly, Ford motors also highly concerns for the satisfaction of the customers and thereby tries to provide the automobiles with best features and services that help in improving customer loyalty. However, this has only been possible because of the effective interaction with the customers through efficient communication strategies that ultimately contributes to the success of the company (Kotler, 2003). Moreover, Ford motors also follow the strategy of ‘One Ford’ that was being adopted by the company in the year 2007. The ‘One Ford’ strategy was formulated in order to ensure high quality communication between the company and the customers regarding its products and services. However, the strategy was a huge success for the company and this was only possible because of the effective communication activities undertaken by Ford motors (Ford Motor Company, 2014). Key Challenges of Practicing IMC There are various challenges that are being faced by Ford Motors in the implementation of Integrating Marketing Communication strategies by the company. One of the major challenges was the cross-cultural hindrances and barriers between USA and UK that created difficulty to implement IMC in UK. The market, economy, organizational culture in UK is different from that of the US and thus the IMC practices of both the countries would be different. The employees and staffs had to develop new skills and expertise that would help them to become completely acquainted with the new strategies. Among the employees, majority of them were reluctant to accept the changes (Cunningham, 1999). Moreover, certain changes were also being made in the organizational structure in order to support the IMC practices. In addition, the measurement of the effectiveness of IMC also emerged as a major problem for Ford Motors. However, the company has been successful in overcoming these challenges and implement IMC in an effective manner that helps the company to promote its brand positioning, goodwill and reputation to the targeted customers that ultimately increases its profit earning capacity (NECTAR, 2012). Recommendations on Further Use of Tools/Media However, in order to overcome the key issues and challenges of IMC it is recommended for Ford Motors to implement effective strategies that would help the company to become more integrated towards practicing IMC. It is necessary for the company to analyze the market thoroughly that would help in an effective implementation of the IMC strategy. Moreover, the employees and staffs are also necessary to be properly counseled and trained regarding the importance of IMC practice before implementing the same in operation (Chitty & et. al., 2011). Moreover, an effective media should be used for the promotion of its brand and communicate with the potential customers. Focusing more on the mass marketing that would be most beneficial for the company in order to sustain in this competing environment (Cunningham, 1999). Conclusion Thus, it can be concluded that the present IMC practices being implemented by the Ford motors has helped the company to establish successfully in the home country, i.e. US as well as in the UK. The company has been able to identify the targeted market in both the countries that helps it to attract majority of the customers towards its products. 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