Question 1: What is the company’s strategy with respect to each of the four elements of the marketing mix (product, distribution, price, and promotion)?
TransSprech is a new cellular phone provider company which is located in Germany. The company has made a strategy to successfully sell its products to the customers and it follows the four essential elements of the marketing mix. The marketing strategy of the underlying company helps to combine all of its 4 Ps. The main target of a company is to fulfill the marketing objectives by taking assistance from its marketing mix. The combination of 4 Ps will help TransSprech Company to achieve all of its targets. The strategy of a company with respect to its marketing mix is as follows:
It includes phone and phone services provided by the company to its customers. The company focus to provide the best quality phones to increase its sales because the demand for mobile phones has increased with the passage of time. TransSprech Company tries to attract more customers by providing the best features, design phones (Marsdd.com, 2014).
The company also focuses on its distribution channels to provide its phones in the hands of customers so that they will easily purchase them. The company focuses on all of its strategies which help to easily deliver the products to its customers. TransSprech Company also used different communication channels to effectively deliver the products to its customers because when customers will easily approach the products, they will purchase them and get the phone services from the underlying company. The company also has a satellite system which helps it to provide its services in the United States and Europe.
It is the main factor for a company which has a direct impact on the sale of its phones because if the company will charge the lower prices for its product and services, customers will attract towards it. TransSprech Company focuses on the lower prices strategy which helps it to increase the number of its loyal customers. The underlying company also provides its focus on the list price of phones and offer different discounts on its services which increase the loyalty of customers.
It includes all the communication channels which help the company to increase the awareness of its phones and services. The main purpose for the promotion of cell phones is to provide more knowledge to the customers related to the phones of a company and define all of its features to attract a larger number of customers. TransSprech Company also used different social media channels for the promotion of its phones and services (Tutor2u.net, n.d.).
There are some sales issues arise in the case. The main issue is that the individuals in TransSprech Company have fewer sales skills which create barriers to the sale of their phones and they cannot provide the best services to their customers. Another major issue is the wastage of time to the prospects who are not interested in the phones of the underlying company. The salespeople spend more hours to describe the features to their phones to those individuals who refuse to purchase the products. The last issue is ineffective follow up of salespeople. Their follow up is very weak and they need training.
Question 2: Based on the current marketing strategy, should the company’s promotion mix focus be on personal selling or on advertising?
The company must focus on the promotion of its phones and services if it wants to increase a large portion of a market because more customers will aware about the product and service of the underlying company when it will involve in the process of promotion. The company has two different options to increase the sales of its products and services such as personal selling and advertising. With the help of personal selling, the underlying company can increase the sale of its mobile phones by creating a strong and positive relationship with the other companies. The management of the underlying company can increase its services but it needs to establish a connection. In the process of personal selling, the company can provide sales presentations to the companies and maintain strong relationships with them. It is crucial for the TransSprech Company to identify the needs and demands of its customers to provide the best personal selling activities (lumenlearning.com, n.d.).
Advertising is the best option for the company to increase the sale of its phones because it can easily attract the larger number of customers by providing advertisements. It will also save the time of a company because, in personal selling, it needs to establish a relationship with the other company but the advertisement of phones will attract the customers and if they will satisfy with the products, they can become the loyal customers (JOHNSTON, 5th Edition). Advertising is the best option for the TransSprech Company because, with the help of advertisements, it can promote its products to a larger number of customers and also attract the international customers by placing ads on social media channels. Customers also share the best products with their friends and family members which will also increase the demand for phones and telecommunication services of the underlying company. According to the marketing strategy of a company, advertising is the best option for it and it should provide training to its salespeople to promote the products of a company which will also increase the number of customers (opentextbooks.org.hk, 2016).
Question 3: What further questions might you ask Mr. Wursching to help his company move toward a more relationship-based business? What recommendations would you like to offer to Mr. Wursching to make relationship-based selling a focal point of TransSprech’s organizational policy and culture?
As a consultant of the international management strategy consulting firm, I can ask different other questions from Mr. Wursching related to their phones and services such as which benefit will they provide to our company if our company will take services from TransSprech. Also, are their services reliable and fulfill the needs of our consulting firm. When the company will provide the best services to our firm, the relationship between the company and our firm will become strong. Will the company provide best quality services promote the strong relationship with our firm?
The policy of a company and its culture has a direct impact on the sale of its products. I will recommend Mr. Wursching to provide the services to our consulting firm related to our culture because if it will not follow the culture of our company, it cannot provide best services and will be unable to satisfy the demands of our firm. It is necessary for TransSprech Company to follow the policies of our consulting firm before providing services because our firm has strict policies and procedures. The underlying company must make a strong relationship with our company by offering high-quality services because if the company will provide bad services, the management will reject the offer and will not take further services. Our firm will not tolerate the unethical culture; therefore, the company must eliminate its illegal behavior and resolve all of its unethical issues. The management focuses on the situation of salesperson when it will focus on its policies. It is necessary for the management of the underlying company to provide sales trainings to their team members so that they can easily attract more customers which will also increase their efficiency. Proper training will help sales team to better define the qualities of phones to the individuals. The company can also provide more incentives to their sales team which will increase their motivation and they will perform best in the company and help in its success.
JOHNSTON, M. W. (5th Edition). Contemporary Selling. Taylor and Francis Group.
Lumenlearning.com. (n.d.). Personal Selling. Retrieved from https://courses.lumenlearning.com/suny-marketing-spring2016/chapter/reading-personal-selling/
Marsdd.com. (2014, April 05). The marketing mix in marketing strategy: Product, price, place and promotion. Retrieved from https://www.marsdd.com/mars-library/the-marketing-mix-in-marketing-strategy-product-price-place-and-promotion/
Opentextbooks.org.hk. (2016, May 13). Personal Selling and Marketing Communication Mix. Retrieved from http://www.opentextbooks.org.hk/ditatopic/40272
Tutor2u.net. (n.d.). Marketing Mix (Basic 4P’s). Retrieved from https://www.tutor2u.net/business/reference/marketing-mix-basic-4ps