Marketing Communication Analysis: Dacia's Strategies and Effectiveness

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This report delves into the marketing communication strategies employed by Dacia, a subsidiary of Renault. It begins with an introduction to marketing communication concepts and then focuses on Dacia's use of various marketing communication tools, including public relations, personal selling, and direct marketing. The report examines both internal and external factors influencing Dacia's business, utilizing SWOT and PESTLE analyses to assess strengths, weaknesses, opportunities, and threats, as well as political, economic, social, technological, legal, and environmental factors. Furthermore, the report explores the consumer buying process and how Dacia influences consumer behavior through its marketing efforts. The analysis includes a discussion of Dacia Sandero's target market and the marketing strategies implemented to reach this audience. The report also briefly touches upon the marketing communication tactics used by NIKE during the Pyeong Chang 2018 Olympic Winter Games, offering a comparative perspective on marketing strategies.
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Marketing Communication
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Table of Contents
Marketing Communication.........................................................................................................1
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Different methods of marketing communications and contemporary internal / external factors
.....................................................................................................................................................1
TASK2.............................................................................................................................................5
Marketing communication strategy and elements of communication process...........................5
TASK 3..........................................................................................................................................10
Effectiveness of NIKE marketing communications strategy....................................................10
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................14
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INTRODUCTION
Marketing communication concept defines that each and every organisation require to
spread information among public about different items and services. It is essential that
management formulate appropriate marketing mix which specifies information about product,
price, place, promotion, people, process and physical evidence. This help firms to grab attention
of large number of customers and enhance sales and profitability (Almeida, (2012). Present
report is based on Dacia, popular auto mobile firm established in Romania. It is a subsidiary of
Renault which manufacture cars for them and conduct operations adequately. This assignment
specifies information about various marketing communication tools that are used by
management. Along this, marketing team main duty is to acknowledge internal and external
factors; thereby provide assistance to administration to make appropriate decisions and
judgements (Thorson and Moore, (2013). Marketing department require to make adequate
strategies and conduct communication activities effectively. Besides this, management require to
make plan for international marketing campaign so that company is able to enhance market
position and image. This report also defines information about marketing communication tactics
that are used by NIKE while Pyeong Chang 2018 Olympic Winter Games to enhance
organisation's performance and execute activities effectively.
TASK 1
Different methods of marketing communications and contemporary internal / external factors
Corporations adopts marketing communication tools to spread awareness among public
about products and transform name into brand. This helps firm to attract people and influence
them as customers prefer to purchase quality items than local goods (Sozinova and Fokina,
(2015).
Company Profile: Dacia is a multinational organisation and Romanian care production
company founded in 1966 which consists topmost position in Romania; and it is a subsidiary of
French car, Renault. Miovenu, Agres County is enlisted as one of top five largest care production
facilities through producing and delivering approximate 581, 219 car unit overall in 2016.
Company have manufacturing plants set up in Mioveni and Arges nations. This firm is ale to
produce nearly 3,80,000 vehicles in a year and have capacity to utilise resources adequately and
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deliver appropriate cars in market (Belch, (2014).Company now has employed more than 13, 800
worker and own approximate 101million euro net income annually.
Dacia branches have separate divisions that is painting, chassis, bodywork, assembly and
so on. This help management to design vehicles and implement latest tools and techniques in
system; so that unique and creative cars are launched in market. Along this, modern
technologies are embedded in vehicles which help Renault to create brand image.
This report will conduct a report over Dacia Sandero which is deservedly performing
well along with astonishing cost and reasonable car. This is one of the cheapest new car with
more significant margin. The car cost is £5,995 to £1,000 s which is more costly to Suzuki
Clelerio. This include numerous features such as metal body, steering wheel, stereo features etc.
This assignment is focusing over long discussion over the target market and undertaken
marketing strategies for the following car. Marketing team of Renault uses various promotion
tools to increase customer base by informing public about variants and its features. The company
has set the target market of Dacia Sandero on the grounds of different demographic as company
has concentrated over middle and upper-middle class of people, students and business person for
selling their products. Hence, the organisation, in order to attain large market launched the open
economies such as India for delivering products and creating large sales amount.
In order to generate proper communication, the organisation use different communication
and marketing methods which is implemented as per the audience and target consumer along
with their requirement. Marketing communication methods refer to the different techniques
which are valuable m tools that company optimise for develop their business as well as
emphasise their sales to create better recognition of certain brand or product. Dacia Sandero are
utilising some effective methods of marketing and communication in order to promote their
services. These are various marketing communication tactics used by management on basis of
market are stated below:
Public Relation: This is traditional method of promotion which was used by companies
to interact with public and provide them information about items, its features and benefits. This
help salespeople to influence buyers by interacting them and acknowledging their thoughts and
ideas. Thereby, persuade people by giving them offers and discounts. This is effective technique
that helps management to build relations with clients and compete with rival firms (Castronovo,
Huang, (2012). But this, component have various drawbacks as members will not able to cover
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large market area. Dacia has develop strategies in order to build strong healthy relationship with
public, for this they are offer economic product Dacia Sandero at market place with higher brand
value so that thus customer's satisfaction should be increase.
Personal selling: This marketing communication defines that organisation uses this tool
which help them to communicate with buyers. Face-to-face meeting is conducted by salesperson
to influence people and inform them about items and services. This is appropriate tool which
helps sales team to promote products with help of their appearance, ingredients and other
components. Seller directly provide things to consumers so they are able to take feedback and
anticipate their ideas. Various firms uses this technique which define that management prove
responsibility to sales members to conduct field visit and attract people. Targets are given to
employees so that they uses skills and knowledge to complete objectives. Discounts, offers and
after sales service is given by them to influence people and make them purchase items in
according to their taste and preferences (Kotabe, Helsen, (2014). Dacia has organising training
program to enhance employees selling skills that help to deliver better services as compare to
their competitors at market place. So that employees meet clients and build healthy relationship
with them thus help to achieve target effectively.
Direct marketing: This promotion mix defines that marketing team sends information to
public about items and services. E-mail, mobile phones and fax are various communication tools
used by companies to attract people by giving them data about vouchers, discounts and offers.
This help management to retain clients and keep them connected by firm. Time-to time
information is easily communicated by firm about changes in items, prices, features and so on
made by superiors (Rehman, Ibrahim, (2011). Dacia Sandero can use direct marketing methods
such as email marketing and campaigns along with other information sources in order to achieve
their business objectives as this is efficient and more credible method to influence consumer.
Thus, these are various promotional mix which are available for organisation to spread
awareness to people about items and services. This help firm to grab attention of large number of
customers and enhance sales and profitability. Dacia is using direct marketing technique which
helps marketing department to retain clients for longer period by timely providing them
information about vehicles, its features and prices. E-mail, text message and fax are various tools
that are used by company to inform public about different variety of cars that are available.
Internal and external analysis of Dacia business firm
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Management require to have accurate and complete information about market conditions
and system capabilities. SWOT and PESTEL analysis are various tactics that are executed by
Dacia to acknowledge internal and external factors; thereby anticipate their impact on business
operations. Top personnels require to take appropriate decisions and judgements; thereby select
alternatives which are beneficial for company (Mihart, (2012). This help administration to utilise
strengths and market opportunities; and protect system from threats by overcoming it from
weaknesses.
SWOT Analysis Strengths: Transformation in standards of environment as technology updates with time.
Implement latest machines in system and fix existing plants. Renault is popular brand, so
company consists large customer base. Vehicles are provided at adequate rates in respect
to other auto mobile firms. Decia which is subsidiary of Renault which manufacture cars
for them, so company provide quality vehicles to people. Renault provide different
variants that is different ranges of cars in respect to kinds of people such as rich to
working class. Company have strong market image and goodwill in international
marketplace. Weaknesses: Renault don't have penetration to Asian market. Large amount is invested
by management to train staff and enhance their abilities. Supplier switching cost is
higher. Variants of vehicles in less as compare to other brands. Opportunities: Renault have option to set up new outlets and increase customer base.
Dacia require to implement advance technologies so that modern vehicles are provided
by Renault. Threats: Renault is operating business international market, so they require to compete
with other auto mobile brands. Exchange rate, interest rate and inflation varies from
country to another. This impact on sales and profitability of company.
PESTLE analysis of Dacia organisation
Management conduct this tactic to acknowledge information about macro-environment
conditions and their direct or indirect impact on business operations.
Political factor: This component defines that administration of Dacia require to make
policies and strategies in according to government laws and legislations. As, company is set up
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in different nations, so it is essential that management make system function legally and take
care that operations are executed appropriately (Mihart, (2012).
Economical factor: This element consists exchange rate, interest rate and inflation which
impacts on performance of organisation. Dacia which is car manufacturing company require to
have adequate funds and resources to conduct operations adequately. It is necessary that vehicles
are priced according to public.
Social factor: This component defines that Dacia which is subsidiary of Renault require
to design vehicles according to people. It is necessary that different variety of cars in respect to
target market is provided by firm. Social class, lifestyle, purchasing trends and so on are various
tactics require to be taken care while providing vehicles. Middle class and rich people have
different funds availability, so it is essential that different ranges of cars are present in market
(Nielsen, Thomsen, (2012).
Technological factor: This element specifies that management of Dacia require to
implement appropriate tools and techniques in system so that quality vehicles are manufactured.
This help company to utilise funds, material and manpower efficiently and deliver adequate
things in market according to needs and wants of people (Parente, Strausbaugh-Hutchinson,
(2014).
Legal factors: This component defines that management of Dacia makes system function
effectively and takes care that employment, discrimination and equality legislation are
considered by them while formulation of policies.
Environmental factors: This element specifies that administration of Dacia require to use
appropriate tools and techniques so that resources are utilised adequately. It is necessary that
vehicles are designed environment friendly and don't emit harmful gases.
Internal as well as external business environment has effect organisation decision of
Dacia by two ways positively and negatively. So that, management of the firm has identify their
strength and develop strategies to overcome weaknesses to run whole enterprises activities
effectively in long period of time. They find out all negative environmental factor and reduce its
impact on their performance by developing core competencies accordingly management take
decision.
Consumer buying process
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Management require to take appropriate decisions and select alternatives which are
beneficial for organisation performance and market positions. These are various steps that are
executed by top personnels to influence people buying behaviour are stated beneath:
Problem recognition: This defines that marketing team conduct market survey to
acknowledge information about people needs and wants.
Information search: This step define that sales people take feedback from customers
about their taste and preferences (Pauwels, Erguncu, Yildirim, (2013).
Evaluation of alternatives: Market survey helps marketing team to anticipate about
competitors products and provide options to people on basis of their funds availability.
Decision of purchase: Promotional mix are used by management to communicate to
public about vehicles and influence them to purchase cars.
Post- purchase decisions: This is last step which specify that Dacia require to provide
after sales services to clients to retain them for longer period.
Competitors Analysis: This is important because this section provides knowledge about
business rivals regarding how well they are surviving in market and what are their market
strategies that make able in standing them in industry with strong position.
Arguments: All these factors are necessary for analysing market conditions along with
studying business environment. There are some aspects and factors that could have positive and
negative aspects that have their impact upon marketing communication. PESTLE and SWOT
analysis is having some advantages and disadvantages that have their own relevance but these
have more relevance in business operations because these aspects provides clear picture of
market and business environment.
It is clear that association is using PESTLE and SWOT analysis in order to analyse all
factors that are related to atmosphere and sometimes these tools are helpful but many other time
it reflects some drawbacks like PESTLE analysis could not accurately conduct in-depth study of
all market situations and this type of actions reduces effectiveness of PESTLE analysis. On the
other hand sometimes SWOT analysis is not able in finding out actual strengths that could
address market opportunities and weaknesses that are becoming threat in business environment.
So in order to solve this type of situation, it is required from management that they conduct this
study by taking help of professionals.
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As per the above discussion, this can affirm that it is essential for manufacturing
companies to acquire various promotional or marketing strategies which are able to justify their
products and services. The new product of the company is Dacia Sandero, thus by using direct
marketing management will be able to deliver all details about this new product to customers. In
this relation, firm will message, phone and e-mail to target audiences by giving them some
attractive discount offers. It results people will easily influence to purchase new offerings of the
organisation. Apart from this, by having strong public relations it supports to practice of
managing the spread of information between an individual or an organization and the public
TASK2
Marketing communication strategy and elements of communication process
Management of the company has develop strategies in order to select best communication
mode with clients. Mostly four kind of communication advertisement, public relation, direct
sales, promotion in order to create awareness between buyers. In order to develop marketing
connection strategies, manager want to know their audience and accordingly crafting massage
content to gain attention of large number of clients toward firm offer and services. Here, explain
development of marketing communication strategies as below:
Better know their clients: Marketing manager of the company has conducting
research to know needs, preferences, demand, attitude, learning style, motivation
factor and many more to promote product by using several mode of communication.
It is a management responsibility to develop marketing plan according to their target
audience as well as segmentation (Ab Hamid, Akhir & Cheng, (2013). Dacia is a auto
mobile company and produce commercial vehicles and cars to full fill needs of the
clients. They are also analyse their segmentation requirement and according produce
goods in order to meet customer's demand. To know consumers, administration of
firm has developing plan like observation clients buyers purchasing behaviour,
feedback form, observation through close watch, market information, social media
data, internet search and many more. These are the main method of analysing market
scenario and management of Dacia has select most appropriate one method according
to their own needs and wants. Through this, firm are able to know what can be
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produce, how much and what is the main feature of that goods to sell them at market
place (Almeida, (2012). So that, for manufacturing unit point of view this step is
very important as well as completing before start production.
Uncover their USP Unique selling proposition: Each and every organisation has
their own USP which help them to achieve competitive advantage as compare to their
competitor at market place. Companies have different kind of UPS some are
economic cost, highest technology, copyright material, monopoly, unique feature,
size and colour or many more. Dacia has produce commodities at low price that
become unique selling proposition of the company. Through this core competencies,
firm has achieve target in limited period of time in an effective manner.
Shape their brand feel and look: Current business environment has rapidly change to
that management of the company has modify their promotional content on time to
time according to market scenario. Through this, freshness of product and services are
exist which retain capacities of attraction in industry. It help to achieve introduction
phase on PLC chart of firm in order to gain growth in long period of time in an
appropriate manner (Castronovo, Huang, (2012). In this, company has shape their
brand image as well as feel between clients.
Ensure all messaging is consist: Marketing manager of the company has also focus
on firm logo, massage content; billboard size, location, colour, image, information;
hoardings with positive as well as negative motivation content and many more has
brand voice so that they are provide equal importance to them. Through this, firm are
able to achieve objectives, target in given time frame effectively. Through this
activities, company has position their statement in customer's mind positively.
Select their marketing mix: Administration of enterprises has choose best marketing
mix element according to their needs and wants. Decia are used all seven marketing
mix factors product, price, place, promotion, process, people, physical evidence. All
these element has very important for organisation in order to gain competitive
benefits as compare to their competitors at market place. Dacia has used price as core
competencies in order to gain higher selling advantage.
Established marcom success measurements: It is a management responsibility to
established success measurement to analyse market situation and customer's
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preference (Kotabe, Helsen, (2014). Through this, organisation know what is the key
success factor that company want to adopt to achieve goals and objectives in given
time frame. It is there responsibility to manage these all effectively to build positive
brand image in client's mind for long period of time.
Manage all leads and customers data: After selling product and services, most of the
organisation want to touch with their buyer to retain them with company as well as
for reselling motives. So that, manager of enterprises has gather all data related to
buyers of future to be client in order to manage all sales or profitability in an effective
manner. Dacia has used after sales strategies to know whether customers are satisfy
with their product or not, if not, then they are find of issues are resolve this if possible
to gain satisfaction.
Pull, push and profile strategies: This strategies has stand for three P's of communication
strategies. In this, they are build strong distribution channel to increase sell and profitability.
Accordingly to customer's profits firm offer goods and services which are help them to push
clients toward good.
VALS segmentation strategy: Segmentation is a very important for an organisation to address
potential clients effectively. In marketing communication, manager are differently segment their
market as compare to selling strategies. So that, VALS is stand for lifestyle and values attitude
that help to increase knowledge related to psycho-graphic behaviour of clients. Management of
an organisation used this strategies to sell product and services in an effective manner in limited
period of time (Mihart, (2012).
Communication process
It is an changing process which begins with conceptualising of idea by sender to receiver.
The various components of the process of communication are discussed below in detail:
Sender: It is a people who begin the conversation as well as also ideas are
conceptualised for covering information to others persons. They take initiative of
sending a information by using a proper channel of communication.
Encoding: In this, sender begins with a procedure of encoding when they adopt non
verbal communication as well as some works such as symbols, gestures, signs and
many more approaches for converting a information into a useful message. Perception,
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knowledge, background, skills etc. gave more effect while delivering a message
successful (Perkowski, (2010).
Message: After completion of encoding, they get a message which they have to
convey. It is important that message can be in a form of written, oral and non-verbal.
For instance, silence, body gesture, sounds and many more which triggers give
response of their message (Schüller and Rasticová, (2011).
(Source: Process of Communication, 2017)
Channel: In this, sender choose an proper techniques by which it have to send a
message to receiver. It is necessary that sender have to choose a better way of
communicating for eliminating barriers of communication.
Receiver: It is that people from which sender will send a particular information. It tries
to comprehended in an effective way so that major communication of objective can be
achieved.
Decoding: This interprets receiver message of sender as well as its tried to understand
in an efficient and effective way. If receiver understand message in a same way sender
want to convey then it is intended by sender in a proper manner (Mihart, (2012).
Feedback: In is a last step of the process of communication as well as it make sure that
receiver get a message and understand it in a same way. It increase communication
effectiveness as sender permits for knowing message efficacy. Message response can
be verbal as well as non-verbal.
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Illustration 1: Process of Communication, 2017
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