AR02_Buiness2Business_Completed_ANOOP

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Effective communication is the essence of marketing strategy. Todays dynamic

business environment demands the decision makers of a firm to sustain an ever green

relationship with the customers. To achieve this goal an organisation should give prior

importance for the communication purpose. Marketing communication is the campaign done

by the business to inform, persuade or to update the information regarding its product or

services with consumers. It can be direct or indirect. The main intention of the

communication is that to reach the commodities or services to customers whenever they

demand for it.

Marketing communication is done through the following various modes.

y Advertising- Any paid form of non personal presentation and promotion of ideas,goods, or services by a sponsor. Advertising aims at reaching out to a large group of

target audience. The flow of communication is uni-directional.

y Sales promotion- Variety of short-term incentives to encourage the purchase or saleof a product or service. It refers to the incentives that are given to consumers and

trade intermediaries for purchase stimulation

y Events and experiences-Company sponsored activities and programs made to createbrand related interactions

y Public relations and publicity- Programs designed to promote or protect a companysimage or products. This is achieved by communication with various groups such as

stake holders, the media, the public etc. Good public relations create good marketing

opportunities.

y Direct marketing- Method by which advertisers approach customers directly. It canbe through mail, telephone, e-mail etc.

y Personal selling- It is a face to face interaction with prospective customers in order tocomplete selling process.


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CCS is widely considered as the effective single source of media, marketing and

consumer-targeting agency in the world. It is being exists successfully all over the world. It

deals with the how customers are involved with the media marketing and how they react to it.

In B2B business communication plays very crucial role. Without communication the business

wont exist. In this type of situation one type of business has to please other business in order

to get the later as its customer. There are various types of communication modes through

which the business firms can communicate with each other. It depends up on the business as

well as the economic situation of the market. As it is a recession time the CCS has to go for

the effective as well as economic modes. The various modes of communication are

y Web designingy Direct marketingy Events and experiencesy Sales promotionsy Public relations and publicity

The tools which are to be adopted in this context by a business are internet

advertisement and direct marketing. Both are considered to be economical and effective. By

creating an internet website the firm would get a global exposure and it is easy for the firm to

attract its customers (other firms). It should be in such an attractive manner that the customer

should feel sticky in all its business cycle. Second one is e-mail marketing, which requires

less time and cost effective. The communication modes which are mentioned above are

effective but the combination of internet and direct marketing would help the CCS to getnotify easily. Application of personal selling in B2B business would result in huge expense

and eventually in loss for the firm. Application of the internet in the business is very crucial

and very vital. It provides 24/7 service and which is very cost effective. Targeted consumers

would get attracted easily with a single click and within a fraction of time the transactions can

be done easily between the business firms. Hence with attractive web design and direct


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marketing the firm can sustain during recession time. In developed countries B2B internet

coverage is virtually 100%.

The influencers in B2B market are increasing day by day (B2Binternational, 2008).

Identifying the importance of communication between the businesses firms have to keep in

mind of decision makers in the respective firms. So in order to meet the rising need as well as

to face competition, a firm should have an effective integrated communication system. This is

done by understanding the needs, creating brand awareness, changing brand attitudes and

thus by introducing brand purchase intention in the minds of the corresponding clients. The

main objective of the B2B marketing is to combine all webs marketing strategy and proven

tactics thus by attracting the clients/customers.

2) Recession is the time of pressure and layoffs; it may even lead to close the entire

firm. This is the time for CCS to ensure that they have dedicated pool of employees.

Normally an inexperienced marketer may go for unscientific layoffs and price cutting

strategy. This is not a good way since the recession is the time in which more concentrated

marketing strategy should be adopted. In order to achieve this goal an effective sales force

should be there in the company. Company can go for fresh blood as well as training the

existing ones. Under performing sales persons can be replaced with new ones. CSS should

not go for to devaluate its product or services. For example during 1973 recession time IBM

had make an unexpected move by increasing its prices was successful, which shows the

importance of marketing strategy (Bnet, 2007). People should believe that they are getting the

benefits for what they pay. By price cut strategy it would result not only in devaluing the

brand but also firm may face difficulty in rising to its standard price during the boom period.

There are different ways to organise the sales force in an organisation

(Small business, 2008)

. They are-

y Customer oriented- In this type of approach sales force has to give prior importance tobuilding successful customer relations. The sales force has to be dedicated and well

known about the tastes of customers.

y Product oriented- Here the sales force are organised according to the product. Thisapproach is adopted when the product is highly technical. Specialized knowledge

about the product is required or the sales person should be an expert.


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y Geographic oriented- Here sales forces are specialized in each important geographicalarea. This is so because sales strategy may get differ from urban to rural area.

Geographical or market territory is clearly defined for each sales force.

Sales force has to perform many tasks such as prospecting, allocation of time and

customer, communication, selling, gathering information through market research and

intelligence work and allocation of scarce resources or products to loyal customers during the

time of shortages. They should have certain qualities in order to meet their goals. So while

recruiting sales force by, CCS they have to find following qualities in a sales person and the

qualities are self confidence, self reliance, perseverance, goal oriented etc. Normally anordinary person cannot do what a professional sales person do. He should posses some

unique characteristics like negotiating ability, convincing power, technical knowledge about

the product line as well as anticipating the customer needs. He is the person who is in direct

contact with customers who plays major role in converting prospective buyer in to a loyal

customer. Even though the sales force posses the above qualities, it is very difficult to survive

in B2B market. The complexity of the product and also rationality of the buyer creates tough

time for the sales force to survive. The less number of buyers in the market would create

extreme competitions and the sales team has to sacrifice huge amount as expenditure to

become as a successful supplier (B2B international, 2008).

CCS should be very careful in adopting marketing strategy. Since they are in business to

business market the sales force has to concentrate mainly on personal relationship with

customers (Vital learning, 2007) . Sales team should visit the buyer regularly in order to

maintain the relationship. The company offers clients a full range of services including

design, online marketing, media planning, advertising, internet marketing, direct marketing,

and public relations. For that the Peter and Sarah should maintain a sales team who should

have a constant relationship with the buyers. Such relationships make the customers to

contact the suppliers whenever they want to place an order. Customers should remain loyal

and committed for long period of time. Sales force should posses a well defined sales force

structure concentrating on inside sales force concentrating on telemarketing and taking orders

via phone and fax. Sales-force size should in between 6-8 members which are very optimal

and cost beneficial. Proper sales compensation should be placed to motivate and encourage

the sales person to do their respective job. They should make sales team from internally, so

that sales person knows organisation very well and no further budget is needed for training

the sales team. Cost for employing the sales team is less and they should be experts from the


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firm to make long term relationship with customers. Since it is recession time CCS would

take time to retain the customers but constant effort and employing the strategy stated above

helps the company to achieve targets.

3.

Relationship variable in the context of business to business marketing and business network

can be defined as the entities that affect the general climate of business or those forces which

are capable of making changes in and around the business organization. In the modern world

of business all the business organisation have reorganized the benefit of these variables and

their ongoing relationship. Those variables which can make the change over include

commitment, trust, co-operation, mutual goals, adaption, social bonds, performance, and

satisfaction including sharing of technology. The business relationship variable trust and

reliance should be maintained for a better climate in business organisation. During the initial

stage of relationship building trust is the most significant thing that a business organisation

should maintain. According to the theory of Mouzez and Naudes (2007) trust and reliance

relationship in business are two most important variables, where trust is something which is

based on sentiments and trust and relationship makes itself in agreement and institutionalized

forms of business interactions (SDH ba ttu, 2008). Trust always in an organisation is associatedwith acceptance of dependency and risk of the organisation and reliance is to minimize risk.

The relationship variable trust is very important in case of the economic downturn where trust

is the building block of business relationship. Trust has many sides so as in various stages of

relationship development and these trust dimensions are highlighted for the development in

various stages and these dimensions includes dependability, honesty, buyer seller orientation

and friendliness. Trust from the perspective of consumer communication service can build a

good personal relationship between the provider and the consumer. Moving on to the

variables of commitment and loyalty it is the expansion and maturity of relationship.

Commitment when carried along with trust is a key element for relationship and valuable

outcomes. In the case of committed consumers they experience a closeness of relationship

which would lead to confidence about relationship (Conferences anzma, 2007) The loyalty

variable is often considered as a degree to which a customer exhibits his purchasing


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behaviour from the provider and is considering as a user only when the need arises. A loyal

customer during the time of economic downturn gives a steady stream of revenue to the

business by remaining with the brand and avoiding the other brands of the competitor. The

b2b clients are always linked to relationship of quality, trust, involvement, satisfaction,

purchase development and organizational changes.

In order to sustain the relationship mutual satisfaction should be incurred through experience.

Satisfaction is a process of evaluating or measuring a purchase experience, where the

expectations are connected with results.co-operation variable includes the involvement of

each and every individual of the organisation in joint problem solving, continuity and the

concern for profitability. As per the relationship variable problems should be solved through

co-operation. The variable of social boundless or social interactions creates interdependence

in the organisation. The variables of risk sharing and emotions have their part in the

development of business relationship. The theory of qualitative marketing research highlights

four important objectives of b2b marketing which are of building better relationship with

customer, through which they can with stand during economic downturn and customer

retention for a longer period of time

(Fesrvsd fe unl, 2007)

. Competition is the main threat faced by the business organisation, and to with stand with itis one of the objectives of b2b marketing. Finding and occupying niche markets through b2b

marketing will help the business organisation to with stand during economic downturn.

B2B business transactions refers to commerce transactions between businesses, this include

business between manufacturers and wholesalers or between a wholesaler or retailer and the

variables for the business relationship between B2B would be different of that of B2C .on

the other hand B2C refer to transactions carried out between business and consumers, but the

volume of B2B is higher than that of B2C.the variables will be different as b2B involves

variables of competition, and market demand, the variable of B2C includes satisfaction,

emotion and loyalty towards products.


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The relationship variables if relayed on will provide the business concern to build a

stronger relationship between customers and employee as well as suppliers and partners,

investors and market analysts since these factors influence the climate of the business

during the recession times. These business relationship variables keep the organisation

good in achieving a strong and extensive tie over the time of economic downturn. This

would help in lowering the cost and increasing the value and there by achieving a mutual

benefit. The relationship variables are dynamic so they make the business organisation to

with stand on recession. Business to business relationship variables are interested to

affiliate and sustain a successful relationship. The success of business to business

relationship heavily depends upon buyer-seller and the suppliers and distributor

relationship.

The relationship variables can bring changes in the buying behaviour of the client, where

the relation between buyer and the seller, the relation between supplier and the distributor

can make changes over the buying behaviour of the client, the variables influences these

factors so that it can make the changes in the same. Organizational buying behaviour has

the connection with the variables where the organisation is connected with the external

environmental factors affecting the business. These external factors of economical, social,

political and technological factors can affect the organizational buying behaviour of the

organisation. When taking into the aspects of trust is the building blocks of the

relationship and loyalty refers to the attitude of customers towards the organisation,commitment is the responsibility of the business its loyal customers. The conflict in

decision making occurs when the relationship variable of co-operation dose not works, so

the relationship variable of co-operation is needed for decision making. The environment

factors which affect the business from where it operates, and the legal factors relating to

tax and rules of the government are part of relationship variables.

Business networks are a socioeconomic activity by which a group of people of similar

mind like creates and acts upon business opportunities. This refers to a coordinated

activity of with wider scope and simple implementation. In the context of CCS to increase

their visibility in the market the business networks would be a effective way where it can

be used build-up new business. Business can generate word of mouth referrals in business

which is a main technique used by CCS. There would be wide business opportunities

developing by using business networks. Business networks makes to know about what is

available in local community of the business. For the development of CCS during the


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economic down turn what needed is sharing of information and is possible through

business networking. The control of business networks is possible through modifying the

networks and maintains the relationship within. The dynamic and variety in business

networks can also bring control in business networking. To implement a successful

business networks mutual understanding and sharing of resources is needed.

Online business marketing gives ways to carry out their business through business social

networking sites. Since businesses are expanding this type of marketing is necessary. The

potential for high quality marketing is possible through face to face marketing and they

are promoted through referral networking clubs. General business networking helps in

introducing and meeting one another. The advantages of online marketing include less

cost and maximum coverage; an organisation can build its own website for

advertisements. The disadvantages of online marketing includes miss representation of

information by people and the area will be not be useful for computer illiterates and the

chance of hacking is possible.

CCS would make use of business networks to build, develop, adapt, and understand the

different human relationship together and through this the relationship between clients can be

maintained so that it would have a strong customer base. A business network has a specific

structure with economical social and technological dimensions so that it would be able to

understand the problems of the customer during times and thus it can retain the clients.

Opportunities and limitations for a company are related to resources invested in relationship

and to the companys capabilities of creating relationship with the customers (IMP group,

2008). CCS can try to mobilize the part of its network as they wish so that it could find new

ways of attracting more clients. The structure of the organisation and the relationships in the

network always matters in building up and retaining of customers. The development of new

product and services and using them effectively during the economic downturn would help in

client generation and retention. The challenges that CCS would be facing during the

economic down turns would be on the basis of quality leads, where people would not be able

to understand what you market through online. Lack of money would be another factor

during the time of economic slowdown. The lack of marketing skills when is carried out

through home based business. The identification of correct opportunities and the time of

economic slowdown would be a major challenge. The future of CCS can be made effective

by introducing new techniques like bookmarking where the marketing through social network

is possible, so that the business can reach out to a greater number of consumers, the another


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ways would include keeping the website up-to-date and increasing the visibility of the

advertisements. Whereas the business network groups which are involved in finding new

customers and building up strategies would help during the economic down turn.

Business networking is only possible when the marketers find someone who is interested in

their product and services. In business networking it is extremely difficult to strike up a

person with business conversation and move on with it. The response and receptive of the

product of service always depends when communicated through a business network model. It

is always difficult to find the interested part within the local community. When a business

networking model comes into it always take time to root and generate revenue. Some people

who are not able to move up with this business network model can cause only negative value

to the marketing process. When the entire thing is concentrated over business networking it

may block the other avenues of development. When the business networking is carried out

through social network it may sometimes find hard to some people to adjust with the culture.

Bibliography

B2B international, 2008. B2B marketing. [Online] Available at:

http://www.b2binternational.com/publications/white-papers/b2b-marketing/. [Accessed 2 April

2011].

B2Binternational, 2008.B2B marketing. [Online] Available at:

http://www.b2binternational.com/publications/white-papers/b2b-marketing/ [Accessed 2 April

2011].

Bnet, 2007. Five srategies for selling. [Online] Available at: http://www.bnet.com/article/five-

strategies-for-selling-during-a-recession/315702 [Accessed 1 April 2011].

Conferences anzma, 2007. Relationship variable. [Online] Available at:

http://conferences.anzmac.org/ANZMAC2007/papers/Mark_Glynn_2.pdf. [Accessed 2 April 2011].


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Fesrvsd fe unl, 2007. Qualitative marketing. [Online] Available at:

http://fesrvsd.fe.unl.pt/WPFEUNL/WP2005/wp471.pdf[Accessed 2 April 2011].

IMP group, 2008. Business network. [Online] Available at:

http://www.impgroup.org/uploads/papers/7095.pdf[Accessed 3 April 2011].

SDH ba ttu, 2008. Relationship variable. [Online] Available at: http://sdh.ba.ttu.edu/commitment-

trust-JM94.pdf[Accessed 2 April 2011].

Small business, 2008. Sales force structure. [Online] Available at:

http://smallbusiness.chron.com/sales-force-structure-3118.html [Accessed 2 April 2011].

Vital learning, 2007. Marketing strategy. [Online] Available at: www.vital-

learning.com/group.cfm?g=101 [Accessed 2 April 2011].

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