When Marketing Communication is not enough
In my last story, “Singapore and The Magic of Service,” I mentioned “Promotion” as one of the 7Ps of Marketing.
Promotion is widely referred to as the marketing communication mix — which includes advertising, PR, sales promotion, direct marketing and personal selling or direct sales.
A lot of brands spend heavily on marketing communication without ensuring that the other 6Ps — product, price, place, people, process and physical evidence — are intact. If all other elements of the marketing mix fail, marketing communication will not achieve the desired objectives.
For example, consider a car distributor that has been sponsoring an entrepreneurship show for a few years, but has a bad reputation because its flagship brand is considered problematic. Despite the organisation’s good intentions and the sponsorship aligning with the ethos of its flagship brand, it is doubtful that the sponsorship would help the brand’s reputation much.
The perception problem
The perception problem is traceable to three main factors.
Firstly, the cars are not Japan-made so, several Nigerian mechanics cannot find their way around them. More so, the vehicle parts are not readily available. Thus, mechanics have labelled this brand of cars hard to maintain.
The second issue is that the cars have protective controls that could grind them to a halt if warning signs are ignored for too long.
And lastly, some of the vehicles have a hybrid transmission system. This is because they are built for speed and so they do not do well in prolonged traffic. The driver has to be mindful of this. However, not many drivers are aware and it could be frustrating.
The process problem
The same organisation has also been labelled as having poor processes.
But what irate customers describe as poor processes are really the result of place — insufficient workshops for service and repairs, and people — inadequate staff at the already limited workshops.
Customers say that getting an estimate for repairs could take up to 48 hours because this organisation always has a backlog. And until the estimate is issued, repairs cannot commence. So, the reality is that any repair, albeit minor, takes between three to five days.
How the negative perception could be impacting sales
The first action by an individual looking to buy a car is information search. During the information search, the prospect is presented with alternatives and relies on information from multiple sources including friends, colleagues, and influencers — in this case, mechanics — to make a purchase decision. If the feedback is all negative it could lead to no purchase.
Post-purchase evaluation is also an important aspect of the decision-making loop. This is where after-sales service comes in. Existing users could either be advocates or detractors.
A good after-sale experience will lead to repeat purchase — not necessarily in the purchase of another car but in the form of continued service and repairs. On the contrary, poor after-sales service leads to negative word-of-word which is fed into the information search. And can influence prospective buyers negatively.
What this organisation needs
It’s simple really. First off, the distribution and people issues need to be fixed.
Then the organisation can initiate a consumer relations campaign to change the perception about its products. The product is what it is. Consumers just need to understand its features and technology better.
The Hierarchy of Effects Theory explains how communication can be used to influence a consumer’s decision-making process or change behaviour. There are six stages namely; awareness, knowledge, liking, preference, conviction and purchase.
The first two stages are referred to as the cognitive phases. The objective at this stage is to make the consumer aware of the product and make information about it readily available. The next three stages are the affective stage — aimed at getting consumers to like the product until they desire it. If they do not like it, it is important to find out why and fix the problem. And the last stage is the conative or behavioural stage where the prospect takes the desired action, such as making a purchase. The three phases are also described as “Learn, Feel, Do.”
Sponsorship is used to build profile, enhance reputation and create goodwill. Ultimately, before brands invest in sponsorship, they must first determine how consumers feel about them because reputation is ‘the result of what you say, what you do and what others say about you.’ And a brand that is not liked cannot have goodwill.