Download Marketing policy

Presentation of the project
“Choice of effective measures and methods
for sales stimulation as factors of business
activity growth as an example of
“Machinery factory 342”
The subject of the study:
Revealing more effective methods of
trade stimulation as an example of
“Machinery factory 342”
Tasks of the project
1. Definition of theoretical aspects of the market.
2. Analyzing the sale activity at the “Machinery
factory 342”
3. Revealing and recommendations for the
development of effective methods of
stimulation.
Introduction
In today’s economic situation the problem of
goods and service sale, and correspondingly
gaining profit is crucial and important. Effective
methods of stimulation and application of
different forms of advertising are actual for
domestic enterprises and businesses. Still, many
companies often spend unreasonably much
money on advertising of their product. And of
course such policy may bring to negative results.
From the history of the Machinery
factory 342
“Mechanical factory 342” started its activity in 1946. From small
workshops to modern they have transformed into modern and
developing company. In 1950s it was producing only boilers, and
since 70s it has been producing constructions for anti-rocket
systems of defense. By the opening of the Olympiad 1980 the
factory had produced metal constructions for football and athlete
complex and multi-purpose sport hall. In 80s the factory put into
production small-scale sewerage systems. In 1995 it started the
production of press-vibrating items according to technology and
equipment of German company “HENKE”, which is one of the world
leaders on production lines and construction engineering. The
produce of the factory meets the demands of the world market and
has high level automation system. The clients of the factory are
building offices (52%), private firms, also individuals (48 %).
Ideas, aims and the role of trade
stimulation in market policy
For more or less successful operating of the
business on the market except trading and price
policy, it’s very important to follow available and
trading policy.
To stimulate trading means to inform future
customers (buyers) about your business, goods
and services offered. It also involves transport,
storage, safety, recovering, promotion of the
goods, delivery to retail and wholesale firms, the
selling itself. Thus, selling is a system of all means
carried out after the produce has been exited.
Complex Program for market
stimulation (CPS)
CPS involves the following activities:
The participant of the market decides how intensive should be
stimulation;
Who can take part in the program;
How to advertise the stimulating actions;
How long it will continue since it started;
What means should be chosen for it.
Trade stimulation means:
Price stimulation;
Real offers;
Active offers.
The instruments for stimulation can be:
Rewards added to the salary;
Premium for achieving significant results;
Gaining points some of which are possible to change for valuable gifts;
Tours for traders having gained great success in their activity.
Market policy of the factory
The development and application of new methods to
stimulate selling of goods is carried out by special
department aimed to advertising not only each
commodity but also its brands and the produce. In the
whole for this purpose the Factory 342 has to direct its
market policy to fundamentally vital interests of the
customers.
The tasks of advertisement period depend on the
seasons. Thus , in winter the ads are mainly of
mentioning character, while in other times of the year
they are exhortative.
Marketing policy
Marketing policy of the company involves the
following organizing actions:
-Prices kept stable;
-Spendings on advertisements are unlimited;
-Growth of trade stimulation;
-Wide scope of sellings;
-Searching the new segments on the market.
The important part of advertising policy is its
planning. The expenses an advertisements are
planned on the basis of percentage deductions from
the planned profit. It counts to 10%.
The role of ads in business
Advertisement is any paid form of impersonal
presentation and promotion of ideas, goods and
services which is the most important factor in
goods trading.
The goal of the company are:
-Scoping of the local market ;
-Public selection;
-Low price policy. The company tends to low the
expenses on the advertisement of their produce;
-To create close contacts with customers.
The most effective means of advertising
Television. This mean of ads has always been overloaded by different
kind of information. It has low affect on the customers and zero trade
effectiveness.
Radio. Actually radio satisfies the firms’ demands not badly and serves
as a good reminder about the business and contributes to customer’s
attention.
Fairs and Exhibitions are effective means to advertise goods differently.
Newspapers are the most effective means of ads. The customers are
usually used to apply to the information given in newspapers.
Leaflets. These means have been used for advertising the goods only
recently and are mostly effective.
Bill-boards. A new mean for advertising. The external view of boards is
easy to remember, frequently used in business. They are also
profitable.
Leaflets
6 500
Newspapers
1 900
Bill-boards
10 000
Ads
250 000
Radio
66 280
Exhibitions
115 320
Television
5 000
Chart 3. «Making budget».
The ways to decrease the expenses and increase
the effectiveness of advertising.
Recommendations:
1. Television as a low-effective mean to stimulate business should be
excluded wholly.
2. Radio can be used only in winter time to remind and attract the
customers to the goods produced by the company. Such change will
really bring to decreasing the expenses on ads twicely.
3. Fairs and exhibitions are rather often used in advertising campaign
of the company but expenses on them should be the same.
So, the company should accept that to use leaf-lets for advertising the
produced goods and services must be widely used. The expenses on
this type of ads are possible to be increased to 25-30%. This way of
advertising the goods won’t involve additional expenses if it’s carried
out simultaneously with radio ads.
It is reasonable to use street ads as means of sales stimulation.
Conclusion
Contemporary market demands are rather greater
than just producing good commodities to fix
attractive price and make them available for
customers. In terms of economic and financial crisis
the competition among the producers of the same
goods aimed to attract more and more clients or
customers is becoming crucial.
Henceforth to become profitable the companies
should choce and use the most effective means of
trade stimulation.