Analysis of Marketing Communication Strategies: Dacia & Nike

This report provides a detailed analysis of marketing communication strategies employed by Dacia and Nike. It begins with an overview of Dacia, examining its marketing communication methods, including advertising, personal selling, and direct marketing. The report explores internal and external factors influencing decision-making, such as political, economic, socio-cultural, and technological dimensions, considering the consumer buying process. It then delves into the elements of the communication process and marketing communication strategies. The report concludes with an evaluation of the effectiveness of Nike's marketing communication strategies during the Pyeong Chang 2018 Olympic Winter Games, providing a comprehensive understanding of marketing communication principles and their practical application in real-world scenarios. Relevant marketing theories and models are used throughout the report to justify the analysis.

MARKETING
COMMUNICATION

Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Overview of the company along with marketing communication strategies..............................1
TASK 2............................................................................................................................................5
Marketing Communication strategy and elements of communication process...........................5
TASK 3............................................................................................................................................8
Effectiveness of NIKE marketing communications strategy.......................................................8
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Marketing communication is an effective tool that is used by various companies along
with a combination of different marketing channels and tools respectively. These channels
mainly focuses on having a better interaction so that they message is conveyed to its end
customers and desired markets (Almeida and et. al., 2012). Therefore, marketing communication
tool incorporates various methods like advertising, personal, direct marketing etc., companies
that are included in this report will be different according to the given scenario for example: task
1 and 2 will be based on Dacia organisation which is an auto-mobile company is based in
Romania. Whereas Task 3 will be based on Nike. The report will throw light on the range of
products along with its analysis so that targeted market can be determined. Other than this,
different marketing methods of communication used by the organisation are mentioned in this
assignment. Internal and external factors that can influence board of directors in decision making
by considering consumer buying process. Apart from this, elements of communication process
that company can include before planning their global marketing campaign. Relevant marketing
theory and models are used for justifying the report. Lastly, evaluation of effectiveness of Nike
marketing communication strategies that was implemented during the Pyeong Chang 2018
Olympic Winter Games.
TASK 1
Overview of the company along with marketing communication strategies
Marketing communication is considered as a fundamental and complex tool that is used
by most of the companies so that they can reach to its customers effectively (Belch and et. al.,
2014). It includes various functions like advertising, direct marketing, branding, sales
presentation and many more. Dacia is a leading company of Romania and it was established in
the year 1966 but in 1999, the French car manufacturer company of Renault has subsidised this
corporation. According to Romania it is Dacia is considered as the top most organisations and is
the largest exporter in the country. According to the report published in 2014, it constitutes
around 7.3% of the export. In context with Europe Dacia manufacturing plant in Mioveni, Arges
Country is fifth highest car manufacturing facility. Company is producing auto mobiles and
commercial vehicles according to the comfort level of the customers. Since the time of
establishment i.e. from 1968 till 2017 they have manufactured around 10 models in which Dacia
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Duster was much popular and they sold around 1,699,801 models. Parent firm which is Renault
of Dacia. These two organisations have collaborated with each other and do business in order to
grab competitive advantages under this same sector in whole United Kingdom. Company is
manufacturing the products according to the choices and the preferences of customers
(Castronovo and Huang, 2012). Mostly the commodities that are produced are for middle and
upper class people but not for upper class as they are not up to the mark. Dacia is working so as
to provide comfort while driving. Other than this, space, quality, designs are taken into
consideration. But while manufacturing their product their main focus in on economy and safety.
Dacia Duster has incorporated many safety features so as to give some protections to its
customers. They are doing this very well. The prices that the company is offering are around
10,500 euro and it is very reasonable and affordable.
Different methods of marketing communication
There are various methods of marketing communication that are present in the market
area some of them are mentioned below in order to understand it in a better manner:
Advertising: It is considered as a basic form of marketing communication as through this
method they can reach to maximum number of people. Dacia is using this method for
communicating with their clients in an effective manner. This includes a paid message that is
incorporated or created by the particular organisation for a specific media. They continuously run
their commercial ads on television and radio stations. Articles are published in magazines and
newspapers in which information related to the product is given so that customers can have an
overview about the commodity if they want to buy (Kotabe and Helsen, 2014). For example:
Dacia is optimising this methods and they are giving knowledge about their new products i.e.
Sandero which is car of the year in 2018. They are opting the concept of simple is smart. Other
than this, they are using outdoor media for advertising their product like billboards, placing
banners websites and many more. As a result it is creating awareness and due to this they are
generating more and more money from this.
Personal Selling: As the name suggest, in this face to face interaction is done in order to
sell their product. Thus, it is consider as the hectic process as an individual has to travel different
places so as to increase the quality of sales so as to gain maximum profits. This also includes
phone calls, in store sales, visit etc., some of the people utilise emails, sending letters, brochures
or media kit in order to influence more and more people (Mihart, 2012).
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Sales Promotion: Promotions is a temporary activity that is optimised by most of the
company for enhancing their sales and activities. For pull the attraction of number of people
company give discounts, offers, rebate programmes, buy one get one free deals and many more.
This is majorly used by the organisation so as to gain back the interest of customers so that they
can fix a good impression of their commodity in customer's mind.
Direct Marketing: It happens when consumers want to give their views and reviews of
the product, this can be provided through calls or heading towards the stores. For example:
company is using different strategies through different mediums like a radio ad in which they are
telling to listeners that if an individual will call within 30 minutes, than they can receive discount
coupons. Apart from this, Dacia is giving information through catalogues and websites from
which they are selling their products directly (Mihart, 2012).
Public Relations: This includes phenomena in which all the persons are included without
being paid. It is considered as one of the traditional form of marketing communication as it
involves press release, media outlets which is common and it will provides benefits to readers.
For promoting their products along with this Dacia is considering social media campaigns
because it is the biggest medium for and most of the people recommend this for sharing the
information amongst peer group.
External and Internal Factors that can influence board of directors
There are many problems that a company can face while operating their business in an
effective manner. Other than this, it assists superiors in making proper decision according to the
customer's buying process. Therefore, these factors influence every action of management and it
is affected by the environment. Under external environment it can be further classified into 2
layers i.e. general and task environment. Furthermore it is discussed in detail so as to understand
it in a better manner:
Political dimensions: This is referred to the laws that are formulated by regulatory bodies
so that all the operations are conducted in an effective manner. They basically set the rules under
which all the dos and don’ts are considered (Nielsen and Thomsen, 2012). This factor is very
important to be determined and before implementing their product in the market area Company
must determine this. Dacia is manufacturing their products by following all the norms that are
formulated by the government. For example: While developing their product they have included
all the measures which are related to safety.
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Economical dimensions: It is an essential factor which company should keep in mind
and make policies accordingly because sudden change in economic terms and condition can
hamper the business. Inflation, interest rates and unemployment is considered in this so that
proper strategies can be made. Dacia is selling their cars at minimum rates that everyone can
afford because if the interest rates are high that involvement of customers may decline due to
which their earning can be hampered (Pauwels, Erguncu and Yildirim, 2013).
Socio-cultural dimensions: Under this, customs, values and demographic characteristics
are included so that company can manufacture their products according to the choices and
preferences of customers. Therefore, Dacia is going through the entire socio-cultural dimensions
sop that commodities' value and appreciation can be increased. As company is focussing in
designs and comfortability so that they can manufacture their commodities up to the mark.
Technological dimensions: For manufacturing products in superior quality it is necessary
that company utilises latest tools and technologies that are according to the current market
situations. Thus, it is important that managers of Dacia are carefully considering all the
dimensions of technology for getting better outcomes. For assembling their product they are
optimising latest machineries and this is providing them appropriate results.
Henceforth, Dacia is manufacturing their products according to the customer buying
process and the steps are given below:
Problem recognition: This is the first step in which companies tries to identify the needs
and wants of customers so that all the requirements can be fulfilled as per the demands.
Information search: Under this, customers first take related information about the
product from friends, families or close relatives. Other than this, consumers search the
information through personal sources or commercial ads (Perkowski, 2010).
Evaluation of alternatives: In this current market many alternatives are present so it
gives a wide perspective to its customers. This helps them in evaluating the information that are
available to them so that they can choose appropriate products can be purchased.
Decision of purchase: After analysing the steps mentioned above this step comes into
existence. In this if the product is satisfying their needs and wants that customers will make a
point of buying that commodity.
Post purchasing decision: This is considered as the last step under which if the product
not properly satisfying customer's need than they can postpone the idea of buying.
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TASK 2
Marketing Communication strategy and elements of communication process
Marketing communication is an effective process while enhancing and creating brand
awareness and image in front of customers so that they can get the information of the product as
well as its position at market area (Petersen, Kushwaha and Kumar, 2015). Therefore, marketing
communication is used by most of the companies for conveying their message regarding their
products in an effective manner so that customer can have an overview about the respective
products. Thus, it helps an organisation in making an effective communication between
customers and company. It is the prime role of managers of an organisation that they make
proper strategies that are according the demands that are to be fulfilled. Some of the marketing
communication strategies are given below in order to understand it in an effective manner:
Knowing the customer: Company can gain maximum benefits if they manufacture
products according to the needs and wants of the customers. This will assist them in providing
excellent services in an effective manner, therefore, Dacia for manufacturing their products they
conducts surveys on a regular basis so that they can have an idea about what kind of facilities
they want in their product. For example: after knowing the preferences of their consumers
company have incorporated airbags system so as to provide security to its clients. Other than
this, it is helping them in knowing the taste and choices of customers.
Uncover Unique selling proposition: It is utilised by the companies so that they can
make effective advertisements in order to attract more and more customers towards their
company (Rehman, Ibrahim, 2011). It helps an organisation in using various patterns through
which firm can make the campaign more appropriate. By considering this, Dacia has worked on
its interiors and exterior designing. More space is provided as compared to their older models.
By using USP company can easily communicate with their customers and provide the unique
information of their products and services. This will aid them in creating customers base within
the organization which may leads to increasing profitability level of the company. Thus, it is
important for selected company to make their USP strong by delivering unique and quality
products and services.
Choosing marketing mix: Marketing mix is considered as one of the important tools as
per the current market situation as it influences the mind of customers in orders to buy products
and enjoy their services as well. This helps them in setting up their goals which they can achieve
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in specific time frame (Schüller, Rasticová, 2011). In this changing scenario there are various
methods through which a company can communicate with its consumers because of which no
fixed marketing techniques on that an organisation can adopt because it depends on the
circumstances. Dacia is using every possible medium that are available to them in the market
area but they are mainly focussing on social media as in recent times it is the trending sources for
sharing information. It is an effective tool because of which company is able to deliver the
information which they want to do.
Client data and manage leads: To sustain in the market for a longer period of time it is
important that company uses a better way of communicating with others. Customer Relationship
Management is an essential factor that every company must consider it helps them in collecting
data and information that can assist them in managing and saving data for customers and the
company as well. Keeping records of call details, email can assist them in knowing the behaviour
and nature of consumers regarding their product and commodities (Sozinova and Fokina, 2015).
Communication is a basic tools and it is essential that it must be a two way process. It is
done through verbal or non-verbal. This is a best medium of transferring information with one
another. Therefore, Dacia is using effective medium for conveying their information for
example: for advertising their products and attracting more and more people they making
creative advertisements and for this they are using famous faces of celebrities or mascots, as a
result it is providing them maximum benefits.
VALS segmentation strategy
VALS is an effective method which relate with lifestyle and values of the customers. As
every customers having their different culture and lifestyle so its carried out from person to
person which may leads in understanding customers’ needs and wants towards the company
products and services. Along with this, business organization easily influences their customers
towards the company products in order to enhance their profitability level a market place. This
strategy was developed by Amold Mitchell in 1978. Furthermore, it also embraced by
advertisement agencies in which they offer SRI consulting services to its customers as per their
needs (Castronovo and Huang, 2012).
Push, pull and profile strategies
These are also important and appropriate strategies which include 3 Ps. In this addition,
push strategy define appropriate aspect in which Dacia automobile company promote their goods
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and services to their distributers. Basically the main of this strategy is to getting goods in
purchaser hand by using better advertisement. Along with this, pull strategy also consider as an
effective process which include direct communication with end users in order to attract them to
but the products and services as per their needs. Basically pull strategy easily accomplished all
the promotional goals of the business organization in appropriate time frame (Vernuccio and
Ceccotti, 2015). One of the main advantages of using this strategy is to motivate customers
towards the company products and services. In this company invest huge amount on
advertisement to understand customers demand and invite them towards the company product.
This method considers as a very expensive for the business. On the other hand, profile strategy is
related with the stakeholder requirements which may leads in improving the brand image of the
company in most effective manner. With the help of this company easily maintain better relation
with their customers by proving them better services. This will enhance as well as develop
positive goodwill of the company.
Process of communication
Proper communication is a dynamic process for exchanging ideas and views of the sender
to receiver. With the help of this both parties easily provide as well as receiver message in
effective manner. In this context, there are some factors of communication are as follows:
Sender: This element considers as an important in which person start conversation with
conceptual ideas in order to convey their message to another people is called sender. This kind of
person takes initiative for covey the message to other people by using effective channel.
Encoding: In this process of communication, sender use non- verbal communication for
conveying the message to other people. It includes various aspects such as signs, symbols,
gesture and many more. By this they covert their information into message that can be conveyed
to other persons (Belch and et. al., 2014).
Message: This process comes after completing the encoding in which sender get message to
covey it receiver. In this it is important that message can be oral, verbal and non-verbal.
Channel: In this sender choose effective channel to convey the accurate message to receiver.
In this it is important for sender to use appropriate way which is based on interrelationship
between sender and receiver as well.
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Receiver: In this the sender sends their message to receiver with more effectiveness. It the
message can be convey in effective manner then communication easily attained in appropriate
way.
Decoding: Under this process, receiver interpret sender message in order to understand it
effective manner. With the help of this, receiver easily understand message in effective way and
enhance its effectiveness (Almeida and et. al., 2012).
Feedback: It is last step of communication process in which receiver receive message and
evaluate as well as interpret in appropriate manner in front of sender. Basically it improves the
effectiveness of the message. In this receiver can be respond in verbal and non-verbal way.
Hence it is important for Dacia automobile company to effective use as well as
understands before establishing their business at internal level. With the help of this company
easily improve their performance level at marketplace.
Importance of communication elements in marketing:
It is important for business organization to effectively understand the concept of
marketing and its entire elements before implementing the marketing plan at global level. Along
with this, communication of company should be more effective for implementing all the
marketing strategies in effective manner for attaining the better results. In context of Dacia
automobile company, they operate their business activities at international level so that it is
important for them to understand the customer’s attitude, values, behaviour in order to attract
them easily. In this the strategy of marketing play important role in gathering customer’s
feedbacks and reviews towards the company products and services which may leads in
improving the overall brand image of the company at market place. Along with this it also
contributes in capturing larger market share from its rivals (Kotabe and Helsen, 2014).
TASK 3
Effectiveness of NIKE marketing communications strategy
It is a multinational organisation occupied in sales, marketing, production and design of
equipments, footwear, accessories, services and apparel in whole world (Thorson and Moore,
2013). This company is one of the largest providers of athletic shoes as well as apparel and also
manufacture sports equipments. In Olympic Winter Games, Nike organisation supports the USA
firm. This company will sponsor daily to Olympic Committee of US. It consider in providing a
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footwear and apparel for American Athletes at 2018 in Winter Games in Olympics and
Pyeongchang.
In this context effectiveness of monitor the communication of marketing techniques, Nike
adopts various tools or techniques. By the help of these techniques, firm can evaluate its
functions within an easy as well as right direction. Each strategy is having own strengths and
weaknesses. By using these marketing techniques, company can get growth and success at a
working environment (Valos and et. al., 2016). There are certain tools which assist in measuring
proper way of marketing communication techniques which are discussed below in detail:
Online surveys- In NIKE enterprise managers of firms organise the surveys of online to
know about customers’ response towards specific products. In these enterprise entities are
communicated with customers on social media channels and web portals on which purchaser
provide their feedbacks and suggestions for any kind of improvement in previous services.
Organisation makes modifications within their potential products as well as tries to provide
something different. The main objective of this survey is to gather important data and
information which firms have to access. It aid in minimising research cost which is spend by
NIKE company. With a help of customers relationship with sellers will improve and aid
organisation in retaining for a long time within a place of market. By Online surveys, customers
tell their viewpoints and opinion as per their services and products. This elements shows
effectiveness as well as efficiency of customers services of organisation.
Judge quality of content- This technique is utilising by NIKE company to control and
monitor its effectiveness of all techniques of marketing. There is a need to manage of making a
proper content so that they can communicate data and information for internal as well as external
environment. In this context, if having a better quality then it will help in completing desired
aims or objectives in a systematic or proper way (Vernuccio and Ceccotti, 2015).
Set benchmarks- In this, there is no specific standard for analysing their effectiveness of
marketing linked with communication techniques. So, it is important for NIKE organisation
manager to set the different benchmarks in terms of determining same. Through this company
can increase its qualities or abilities as well as deal with any type of problems in a proper way.
Additionally, benchmark is a best tool to find out the efficient techniques of marketing
communication so that benchmarking information quality will be best (Almeida and et. al.,
2012).
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Encouraging employee engagement: Workers are considered as a crucial element for an
organisation as they are the one who helps the company in selling their products in an effective
manner. As per the given information employees of Nike are using different marketing strategies
for attracting more and more customers and athletes in Winter Olympics in 2018. They are
implementing innovative ideas for convincing the athletes so that they can endorse their products
this will increase their sales and profitability. So, employees are working effectively for gaining
the loyalty of customers and sportsperson as well. A better communication is helping Nike to in
making products according to the choices and preferences of customers. For example: for
athletes they have manufactured light weight shoes which are very comfortable while running.
Other than this, including their products in Winter Olympics is giving them a chance of
involving more and more customers so that they can know the new products that Nike is
launching (Belch and et. al., 2014). The whole process is assisting the company in using
appropriate tools for grabbing the attention of maximum number of customers. Apart from this,
Nike is using Ansoff Matrix model and it is explained below in a better manner:
Market Penetration: This is optimised for making new strategies so that they can sell
their products can be sold accordingly. In this, companies try to look out for platform on a
regular basis so that they provide best quality commodities to its end customers. For example
Nike has selected Pyeongchang Winter Olympics for giving information about the related
product. This is allowing Nike in attracting new as well as existing customers. This will enhance
the sales and profitability of the company.
Market development: In this, companies try to expand their business in different places
although Nike is an established organisation but as Olympic is very famous throughout the world
so it is using this platform for reaching out to small places and countries as well.
Product development: Change is applicable of it is providing maximum benefits to the
company. So, it is important that firm make alterations according to the market situation on a
regular basis so that they can sustain their position at market area for a longer period of time. As
compared to past times Nike has worked for providing comfort to its clients (Castronovo and
Huang, 2012). Earlier their products use to be very heavy but now by making some
modifications like light weight, super quality raw materials they are manufacturing best
commodities which is helping them in gaining loyalty of the customers.
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Diversification strategy: Company before launching their must go through this strategy
so that they can know the latest trend that is present in the market area. This will guide them
about the diversifications that are present in the environment.
CONCLUSION
From the above report it has been concluded that, marketing communication is an important
element for having a better interaction between customers and other organisation as well. The
report is giving us information about the internal and external factors that influence the superiors
in making decision making as per the customers preferences. Other than this, various methods of
marketing activities are included so that company can optimise the best from the method. Thus,
it is helping maximum number of organisation in manufacturing goods as per the need and wants
according to the customers so that their demands can be fulfilled. This will gradually increase
their sales and productivity.
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65083.html>.
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