Principles and Practices of Marketing

This document provides an in-depth understanding of the principles and practices of marketing. It covers the 4 Ps of marketing, promotional activities of BMW, the AIDA model, and the communication process. The document is a valuable resource for students studying marketing.

Principles and
practices of marketing

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
Introduction of organisation- ......................................................................................................3
Promotional activities of BMW .................................................................................................3
TASK2 ............................................................................................................................................6
AIDA model................................................................................................................................6
Communication process-.............................................................................................................8
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
The concept of marketing is referred as a process that is undertaken by the companies to
promote their products and services buying and selling. It is basically a set of various functions
that includes creating, communicating and delivering various offers to customers, clients and
society. There are various tools are available of marketing that are advertising, promotions, direct
selling, and distribution. It is the process of getting potential customers. Attracting them and
persuade them to purchase products. Marketing plays vital role in promotion of goods and
services of an organisation. There are various marketing principles are available that are 4 ps of
marketing that includes product, price, place, promotion. These principles help the organisation
to make strategies for promotion of there products. In this report, the chosen organisation is
BMW which is a auto mobile company founded in 7 March, 1916. In this report various
promotional activities are being discussed that are helpful for BMW to promote their products.
AIDA modal is also being mentioned in this project report. AIDA model is very important for
organisation to attract customers, drag their attention, create interest and persuade them to take
purchase decision.
TASK 1
Introduction of organisation-
BMW is a German multinational organisation which deals in the luxuries vehicles and
motorcycles. Respective organisation is founded in the 7 March, 1916 by the Franz Josef Popp,
Karl Rapp. headquarter of BMW is situated in the Munich, Germany. It serves its products and
services across the world. In the organisation 1,16,324 employees are working up-to the year of
2014. It is basically a auto motive industry that produces various innovative and luxurious cars
and motorcycles. The respective organisation provides their products and services across the
world. All auto mobiles are marked under the brand of BMW. Mini and Rolls – Royce.
Promotional activities of BMW
Promotional activities facilitates the organisation to spread the their brand awareness
among the respective market and society(BOUVIER,and LESAULE, 2017). It increases of

organisation and build the strong customer base. BMW conducts various online promotional
programmes and provide various services regarding the products. The organisation use personal
selling, advertisement, publicity and public relation(Chang, McAleer, and Wong, 2018). These
tool help to maintain better public relations and attract customers to buy product that enhance the
sales of respective organisation. A number of promotional activities are used by the BMW are
discussed below:
Facing customer touchpoints: Customers touchpoint id related to the customers feelings
about the product of organisation. There are various sources are available that facilitates
customers to know about the products and attract them to purchase these products. Customers
concentrate some famous brands so the organisation should keep update their information before
and after buying process. In respect of BMW motors, the organization also face various
customers sentiments and their touchpoints(Ferrell, Ferrell, and Huggins, 2017). The respective
organisation analyse and determine all their market positioning according to customers point of
view. The organisation focus upon the innovation in their products, that attracts the more
customers and persuade them to buy cares. Before taking buying decision of care, customers visit
official website of BMW Motors and check rating of product according to other customers and
evaluate all reviews and feedbacks. If customers are satisfy with online survey then they prefer
to visit BMW store in their locality for taking live experiences of their service. At the store, sales
manager provide all information about the innovation and explain all current features of
respective product. In this way, mouth publicity facilitates the organisation to attract more
potential customers towards them. BMW understands various customers touch point areas and
give them proper attention. The respective organisation use both traditional as well as digital
marketing methods to build more effective customer experience by providing mobile app
services to their customers, provide friendly services(Fuzi, and et. al., 2017). The organisation
send various marketing emails to their perspective customers, so they can visit the official
website of organisation. Maintain better public relation to give them good experience and
provide better services. It helps the organisation to promote their brand by remain socially active
at various online platforms to make healthy relation wit customers.
Activities at external space: Basically the activities of external space are done through
various advertisements in televisions, newspapers and by the billboards. Organisation use these
promotional tools to communicate all relative information to customers and persuade them to

make purchase decision. These promotional activities spread the awareness regarding the product
in the market. As BMW is the largest automotive manufacturing as well as selling company, it
believe to spend less amount on advertisement activities(Genú, G.H.G., 2019). The organisation
utilise this amount to create various innovations and adding new features in the spots and electric
vehicles according to requirements of customers. BMW conduct various referral programmes to
directly connect with their customers. The organisation create a statement that elaborates wide
range of missions and visions that facilitate the company to market their products at digital
platform . The company also provides after sale services to their customers to enhance their
overall experience with it.
Billboards is the a effective medium of promoting products of an organisation. It
generally includes the big hoardings that contains all necessary information and picture of that
particular product in it. These hoardings are placed usually at bus stands and pedestrians from
where large number of public can see it. BMW Motors promote their brand through billboard to
ensure their reach at numbers of customers. The organisation mainly focus on the online
mediums to make their presence among the market(Gilligan, and Lowe, 2018). Customers can
gather information from various sites and social pages and make decisions to buy product
accordingly.
Promotion via digital platforms: Digital marketing is referred as the process to promote
product through social media channels, various officials websites to reach large number of
people and attract and persuade them to purchase the products. No these days various digital
platforms are used by the organization to promote their products digitally to reach more people
in less time period and it facilitates the organisation to sell their products at global level. BMW
promotes their products through digitally mediums such as social media channels and websites.
The organisation have its own official site that facilitates the customers to being in connection
with sales team of organisation to get relatable information(Hossain, T.M.T., 2020). There are
various platforms such Instagram, Facebook and websites on which organisation promote their
new featured cares an other vehicles to social media users. CEO of organisation also tweets
various informations on their official tweeter handles about new products that they are going to
launch in the market. These social media channels are not use only for the promotion of products
but by the help of these mediums organisation can know about the problems of customers that
they are facing regarding the products and solve them in efficient manner. BMW managers

properly maintain their official social media handles and engage with their customers to know
about their perception regarding the organisation and positive as well negative aspect both
aspects. This enhance the brand value of BMW among the respective market and customers.
Promotion through third party: There are various mediums are available such as
newspapers, articles and analyst report by which organisation can promote their products and
keep customers interest in organisational products and services. In the respect of BWM conducts
various promotional activities through newspaper(Kanwal, 2018). It mentioned all informations
about the products, its price, new features and images of car are also printed in the paper which
attracts attentions of customers and persuade them to purchase that. Newspaper carries various
articles that contains all information about the relative product. Analyst report is also the medium
of promoting brand by mentioning its mane in the annual report, if it gains more revenue that
year. As BMW is the top company that deal in auto motives that ultimately attracts the attention
of customers. The respective organisation use these third party promotional activities to enhance
their customers base and market share. All these mediums attract potential customers to know
more about the product and they have desire to take purchase decision.
TASK2
AIDA model
AIDA model is stands for attention, interest, desire and action. The model is widely use
in the marketing that elaborates all aspects, steps and process by which customers purchase a
product. The respective model is used science 19th century. There are various modifications are
took place by the both perspective marketing as well public relation(Kissi, and et. Al.,2017). It is
generally used in the concept of digital marketing, preparing sales strategies and conducting
public relation campaigns. The model is developed by the American business man Elisa St. Elmo
Lewis in the year of 1898. this approach plays very important for the advertisers and marketers.
The respective model is facilitates the organisation to prepare a framework for effective
communication in the world of marketing.
AIDA model is based upon the various stages that are attracting attentions of customers,
maintain their interest in products, create desire and persuade them to take effective decisions.
Simply the model attract potential customers and other interested parties to take effective

decisions regarding the organisational product and services(Lieb, 2017). All approaches of
respective model are discussed below:
Attention- Attentions is the first stage of AIDA model that focus upon the creating
awareness and attention of potential customers towards the product. It ensures that product have
all respective qualities to attract the attention of potential customers. Organisation use various
attractive advertisements and promotions to drag customers attention towards products. BMW
place various attractive advertisement and provide offers to attract potential customers. It makes
positive pictures in the mind of potentials customers. BMW use various colours and creates
various entertaining videos to attract customers .
Interest- After getting attention of potential customers, in this phase interest of
perspective customers are build towards the products. To maintain proper interest of customers
there are various informations are presented like description of product on websites, through
brochure , flayers and photos of respective product(LUO, 2019). BMW provides various
information about the products on their websites that help customers. All the people who shows
their interest towards the product of respective organisation are known as suspects. After being
aware about the products they become more interested to learn about the product. The respective
organisation have to provide various interesting informations regarding the product, so the
customers want to know more about that.
Desire- If customers have interest in product then it is the goal of organisation to
persuade and convince them to take buying decisions. BMW enhance the quality of their
products then their competitors. The respective organisation conduct various attractive
advertisement activities to enhance the desire of customers to own the product. In this step
customers want to purchase the product and and search all aspects of this products form the
various online mediums.
Action- Action is the last step of AIDA model. In this customers initiate their actions
towards purchasing respective products. BMW push their customers to purchase their cars and
providing them various special finance offers through BMW financial services. Better
advertisement strategies motivates potential customers to take purchasing decisions(Perdigón
Llane Viltres Sala, and Madrigal Leiva, 2018). Effective advertisement attract customers and
persuade them to take decisions to purchase that product. In this step the organisation also pays

their attention towards the customers satisfaction by providing better quality products and
services (AIDA.2020).
Communication process-
The process of communications is referred as creating and sharing ideas, thoughts,
information and facts among the organisation and group of people in order to create mutual
understanding. It is very important for every organisation to ensure effective communication at
all level an with their customers. BMW ensures that proper direction is to given every
subordinate of organisation, so they can done their work properly. It is the series of actions that
channelise sender and receiver in effective manner. Effective communication resolve various
conflicts at initial level. The respective organisation maintain proper communication with their
customers. There are various components are included in the communication process that effect
it. There are various steps the BMW fallows in communication are following:
Sender: Sender is the person who generates the information and convey that message or
information to receiver in effective way. Communication starts from the sender. BMW
organisation coveys relative information and message to concerned person that can be
customers , dealers, stakeholder and respective shareholders(Rudawska, Frąckiewicz, and
Wiścicka-Fernando, 2018). Organisation use various online channels, websites and their official
page to convey message. In the respective organisation sender will be the manager who transmit
relative informations to those people who have interest in the organisation.
Message: Message are the some information, feeling, facts and ideas which are generated
from the sender and communicated to other parties. Message is according the requirement of
receiver. Such as BMW convey message to their customers regarding the new products, various
modifications and information regarding the different type of cars. Organisation convey
information to its shareholders about meetings and relative information of company. Message
includes various informations about the organisation process if it is delivered to the another
level or organisation and if it will communicate to the customers it contains all data that are
related to the respective products. Message should be clear, so it can be understand in the same
manner what sender want to communicate.

Encoding- Encoding is the process of converting respective message into the form of
symbols such as pictures, words, gestures and emotions that are interpreted by the receiver.
BMW use all these symbols to convey their message in effective and understandable manner to
their shareholders and customers. In the process of encoding the simple and understandable
language and words are to be used. It is very important step of communication process.
Media: Media is the respective medium of transmitting encoded message by the sender.
Message can be communicated orally or written medium. BMW use social media channels, e-
mails, and various internet pages to transmit information. The respective organisation use digital
mediums to communicate their message to respective receivers. Media plays vital role in
communicating data in effective manner. So, organisation have to choose it carefully and
according to the structure of organisation (communication process, 2021).
Decoding- Decoding is the process of interpreting the encoded message by the receiver.
BMW organisation conveys message to various stakeholders such as customers, shareholders,
retailers and dealers, they interpret the message in their own scene. In the decoding step, receiver
have to pay proper attention on the various aspects. Customers as well as shareholders interpret
the message that is send by the respective organisation and understand the meaning of it. In this
step the receiver should think from the sender's point of view to understand the message in better
way.
Receiver: Receiver is last chain of communication process for whom the message is sent
by sender. When the receiver get the message and understand it in correct manner, that ensures
the success of communication process. BMW shares various information and data to customers,
dealers and shareholders respectively(Younis, and Qureshi, 2017). Receivers are the ultimate
persons for them the message is send by the organisation to enhance their knowledge about the
product and organisation.
Feedback: It is the last step of communication process in which receiver confirms to
sender that he received the regarding message and understand it in such manner what he want to
conveyed. In the context of BMW organisation customers and other parties give their feedback
on the message through commenting on various social media pages and websites. Feedback
make the communication process complete. In this all problems of customers are being resolved
by the organisation.

Thus BMW use clear communication process at all level of organisation and facilitates
and provide all relative information to their customers, employees and shareholders to make
proper understanding through various communication channels. Receivers put their feedbacks on
social media channels.
Push and pull promotional marketing strategies
Pull an push strategies are two aspects of promotional marketing that facilitates the
respective organisation to attract customers to purchase the products of company. Push
promotional strategy is referred as to push respective product towards to potential customers . It
creates demand of customers for the specific product and service by conducting various
promotional activities such as discounting and by organising various trade promotional
programmes. Effective package designings are included in the push strategy(Rudawska,
Frąckiewicz, and Wiścicka-Fernando, 2018). Basically in this respective promotional strategy
the respective organisation make various efforts to push products towards the customers. It
creates awareness about the product within the market and elaborate all relative information and
benefits of products. This strategy convenience customers to purchase the respective product.
On the other hand pull strategy is related to pull customers to purchase the product. It is all about
creating relationship of customers with respective brand. The main objective of this promotional
strategy is to enhance the demand of company's products and pull customers towards the
products. In the pull market strategies the organisation market its products directly to the
potential customers. In today's marketing environment there are various methods are available
to attract customers towards the product are social media networking, various sales promotion
and discounts, advertisement and email marketing programmes. Various organisation use the
collaboration of both promotional strategies and use them in their organization.
CONCLUSION
As per the report, it can be concluded that all marketing strategies, tools and techniques
facilitates the organisation to promote their products and services and enhance the customer base
and respective market share as well. Various promotional activities such as advertisement,
promotion, direct selling and social media help the organisation to promote product to customers
effectively. Market strategies and various marketing models helpful to analyse the current market
trends and set the target audience and customers. Now these days online mediums facilitate the

organisation to enhance their reach to wide range of customers. AIDA model state the how to
attract potential customers, create their interest in product, enhance desire and convince
customers to take actions of buying. Communication is very important at all level of organisation
for the smooth working and also facilitate other parties such as customers, shareholders and
retailers to know about the relative information of respective products.

REFERENCES
Books and Journals
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finance, marketing, management, and psychology: connections. Journal of Risk and
Financial Management. 11(1). p.15.
Ferrell, O. C., Ferrell, L. and Huggins, K., 2017. Seismic shifts in the sharing economy: Shaking
up marketing channels and supply chains. Journal of Marketing Channels. 24(1-2).
pp.3-12.
Fuzi, N. M., and et. al., 2017. CSR practices, ISO 26000 and performance among Malaysian
automotive suppliers. Social Responsibility Journal.
Genú, G.H.G., 2019. A digital marketing plan for Dona Laranja: creating a new juice brand
using social media (Doctoral dissertation).
Gilligan, C. and Lowe, R., 2018. Marketing and healthcare organizations. CRC Press.
Hossain, T.M.T., 2020. Integration quality dynamics in multichannel services marketing.
Kanwal, S., 2018. Role of Marketing Intelligence in Brand Positioning of Select Consumer
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Kissi, E., and et. Al.,2017. Principal component analysis of challenges facing the implementation
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Construction Management. 17(2). pp.142-150.
Lieb, R., 2017. Content-the atomic particle of marketing: The definitive guide to content
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electrónico y marketing digital para pequeñas y medianas empresas. Revista Cubana de
Ciencias Informáticas. 12(3).pp.192-208.
Rudawska, E., Frąckiewicz, E. and Wiścicka-Fernando, M., 2018. The Scope of Application for
Sustainability Marketing Tools in Markets with Different Levels of Socio-economic
Development. In The Sustainable Marketing Concept in European SMEs. Emerald
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