A Comparative study of promotional marketing methods before 2000 onwards

Abstract

A descriptive study on the methods of marketing promotional tools adopted from the inception
of marketing process to present, methods and tools adopted by the markets, for getting better prospective in
terms of enhanced customer motivation and customer satisfaction. In this study we have seen the technologies have
changed. The object of this comparative study is that to determine change in stages of market and also market
condition and their new versions. Aim of this study to find the promotional strategies those are using in market
currently and with the help of that strategies the perceptions and demands of the customers are changing. The
conclusion of this study is promotional strategies are useful for marketer and as well as customer also.

Dr. D.D. Bedia,

Reader,
JNIBM ( Vikram university,Ujjain)

Mrs. Satnam Kour Ubeja

Asst. Professor

(Priyatam Institute of technology & management, Indore )

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 Introduction:[4] Earlier, “A market was a physical place where buyers and sellers gathered to buy and
sell goods.” As an economist point of view A market is a collection of buyers and sellers who transact
over a particular product or product class.
Now a days market has changed. Marketer often uses the term market to cover various grouping
of customers, they view sellers as constituting the market. They define market in five basic markets:
1) Resources market
2) Consumers market
3) Manufacturers market
4) Govt. market
5) Goods and services market.
[7] As a marketer- How do I define my market? My market is when I want to reach my customer,
who is an average customer? What is my estimate of total market size? When the marketer has more specific
definition of their custometr, he will more clearly define their market. Now we also defined the market on the basis of
strategies the marketers are using. Market can also be define in terms of captive market- which is
a group of customers who have limited choices in terms of the products they can select / purchase. This type of market
was common during the production era when there was a limited supply of goods. It occurs when the market is
monopolistic.
[13] It is hard for many to believe but when compared to economics, production, operations,
accounting and other business areas, marketing is relatively young discipline having emerged in the before 2000s on
that time the most issues was not advertising,demand,supply,
these are not associated or explored.
The study of marketing led sellers to recognize that adopting certain strategies and tactics could
significantly benefit the seller/buyer relationship. In old an days of marketing (before 2000) this often
meant identifying strategies & tactics for simply selling more products &services with little regards for what
customers really wanted.
But in the beginning of 1950companies began to see that olden ways of selling were wearing
thin with customers. As competition grew stiffer across most industries, organization looked to the buyer side and
found an emerging philosophy suggesting that the key factor in successful marketing is understanding the needs of
customers.
New concepts of marketing is that Who are your customer & what they want or we can say that in the
changing scenario marketing is a societal process by which individual and groups obtain what they need & want
through creating, offering & freely exchanging products & services of value with others & thus produce a profit or we
can say that marketing consists of the strategies & tactics used to identify, create & maintain satisfying relationships
with customers that results in value.

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 New marketing concepts based of marketers confidence, new behavior, new challenges, new opportunities,
that are network information technology, globalization, deregulation, privatization, heightened competition, industry

convergence, consumer resistance, retail transformation.

[2] In the ninety’s the meaning of strategy in terms of management was only “A long term action plan to
achieve a goal.” In the 1980 it was:

• Strategy is that, which top management does that is of great importance to the organization.

• Strategy refers to basic directional decisions, that is, to purposes and missions.
• Strategy consists of the important actions necessary to realize these directions.

• Strategy , in 1994 points out that people use "strategy" in several different ways, the most common being
these four:
• Strategy is a plan, a "how," a means of getting from here to there.

• Strategy is a pattern in actions over time;

• Strategy is position; that is, it reflects decisions to offer particular products or services in particular markets.
• Strategy is perspective, that is, vision and direction.

• Seek and how should we achieve them?

[9]Now, in current stage Strategy is a written plan (over all corporate plan) which combines product

development, promotion, distribution &pricing approach, identifies the firm’s marketing goals & explain how they
will achieve with there in a stated time frame. Marketing strategies determine the choice of target market segment,
positioning, marketing mix, allocation of resources and also strategic plan. It is also the process that can allow an
organization to consume its limited resources on the greatest opportunity to increase sales & achieve a sustainable

competitive advantage.

2) Key concepts of marketing:

[1] In the starting of ninety’s there was no marketing only concepts were getting the profits and
selling the products, customer’s interaction was not common.

In the early 1960s, experts identified a number of company performance actions that can influence
the consumer decision to purchase goods or services. Borden suggested that all those actions of the company
represented a “Marketing Mix ”.They have suggested that the Marketing Mix contained 4 elements: product, price,
place and promotion.

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 Product: The product aspects of marketing deal with the specifications of the actual goods or services, and how
it relates to the consumer’s needs and wants. The scope of a product generally includes supporting elements such
as warranties, guarantees, and support.

Pricing: This refers to the process of setting a price for a product, including discounts. The price need not be
monetary; it can simply be what is exchanged for the product or services, e.g. time, energy, or attention.

Placement (or distribution): refers to how the product gets to the customer; for example, point-of-sale placement
or retailing. This third P has also sometimes been called Place, referring to the channel by which a product or
service is sold (e.g. online vs. retail), which geographic region or industry, to which segment (young adults,
families, business people), etc. also referring to how the environment in which the product is sold in can affect
sales.

Promotion: This includes advertising, sales promotion, publicity, and personal selling, branding and
refers to the various methods of promoting the product, brand, or company.

These four elements are often referred to as the marketing mix which a marketer can use to craft a
marketing plan. The four Ps model is most useful when marketing low value consumer products. Industrial products,
services, high value consumer products require adjustments to this model. Services marketing must account for the
unique nature of services. Industrial or B2B marketing must account for the long term contractual agreements that are
typical in supply chain transactions. Relationship Marketing attempts to do this by looking at marketing from a long
term relationship perspective rather than individual transactions.

Because of waves of Change in 1988 suggest that greatest limitations of the 4 Ps approach "is that it
unconsciously emphasizes the inside–out view (looking from the company outwards), whereas the essence of
marketing should be the outside–in approach".

Seven Ps: [5]After 1960 As well as the standard four P's (Product, Pricing, Promotion and Placement), services
marketing calls upon an extra three, totaling seven and known together as the extended marketing mix. These are:

• People: Any person coming into contact with customers can have an impact on overall satisfaction.
Whether as part of a supporting service to a product or involved in a total service, people are

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 particularly important because, in the customer's eyes, they are generally inseparable from the total
service. As a result of this, they must be appropriately trained, well motivated and the right type of

person. Fellow customers are also sometimes referred to under 'people', as they too can affect the
customer's service experience, (e.g., at a sporting event).

• Process: This is the process involved in providing a service and the behavior of people, which can be crucial
to customer satisfaction.
• Physical evidence: Unlike a product, a service cannot be experienced before it is delivered, which makes it
intangible. This, therefore, means that potential customers could perceive greater risk when deciding whether
to use a service or not. To reduce the feeling of risk, thus improving the chance for success, it is often

vital to offer potential customers the chance to see what a service would be like. This is done by
providing physical evidence, such as case studies, testimonials or demonstrations. In the millennium 2000
marketers have developed the new 4p’s for internet marketing which has been dubbed ‘Web 2.0”

• Personalization: Customization of products and services through the use of the Internet. Early examples
include Dell on-line and Amazon.com, but this concept is further extended with emerging social media and
advanced algorithms. Emerging technologies will continue to push this idea forward.
• Participation: Allows the customer to participate in what the brand should stand for; the product directions
and even which ads to run. This concept is laying the foundation for disruptive change through

democratization of information.

• Peer-to-Peer: This refers to customer networks and communities where advocacy happens. The historical
problem with marketing is that it is “interruptive” in nature, trying to impose a brand on the customer. This is
most apparent in TV advertising. These “passive customer bases” will ultimately be replaced by the “active
customer communities”. Brand engagement happens within those conversations. P2P is now being referred to
as social computing.

• Predictive modeling: This refers to algorithms that are being successfully applied in marketing problems
(both a regression as well as a classification problem).

3) Objectives of Study:

• To examine the various change stages of market.

• To find the changes of promotional strategies.

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 • Study of promotional strategies also carried the changes in customer demand, need & their preferences.
• To examine the benefits of new promotional strategies

4) Review of literature: A large number of research papers and article are published in the area of promotional
strategies & marketing strategies. [15] The paper by five successful marketing techniques by Bob ledue. In which
they have discussed about promotional techniques of marketing. [16] “How to promote your business” by
Gaetana., in which they have given the new promotional strategies detail. [17] “Use the right words to get a better
response” by Kayemarks. In which they have given the concept of marketing communication.

5) Analysis of promotional strategies:

Earlier the promotional strategy was choosing a target market and formulating the most appropriate
promotion mix to influence it.

[2] Now a days the role of promotional techniques or we can say that marketing communication has
changed, now the promotional techniques play different roles, technologies are changing simultaneously because
the consumer’s communication process are also changing. Now we have different options of promotional
techniques. In which different types of media are available.

1) Advertising: It is powerful marketing tool, multidimensional overall promotional activities. It is vast media
of promotion of products or services, in which we can identify the sponsors.

a) Print media: Earlier, [9] In between 1950 to 1960 print media in News paper was having the option of
black & white ads more than the color because color ads were costly, then we started the only information about
main product in colors because we hadn’t any option of special pages of classification of ads, not the option of
different languages so paper couldn’t read by each and every one. Also we hadn’t the option of copy which
includes all the elements of an ads message, picture, caption, slogan, with graphic designs were not available.

Now the marketers use active languages & powerful words they gain and keep attention. Headlines are
most important, copy related parts of print ads are also effective, the space use as a call to customer or to give a
benefits of product, they always use now ‘I’ ‘we’ words for giving a helping message. Local ads infect are
possible only in newspapers, it provides all geographic segmented market information, now news paper has
become interesting with the help of stories, they give information of ads. We have option of different language
paper also it is inexpensive and attractive, all education information can easily be availed by news paper, also, we
have option

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 like-weekly, monthly, education special, stories special, morning, evening news paper, fully local, national,
regional news paper ,women special, etc. So in the related ads marketer can print in that news paper and easily
can attract the customer, when ever we want to send information with the help of news paper we can send even
attachment of pamphlets of any information these facilities are also available.

Magazines- Earlier we had only one option in magazine, that was monthly or yearly, which had a
drawback that ads came in magazine only once in month and there was no specialization according to customer
preference so may be reaching of messages were late, new technology was missing so print quality was not so
effective, costing of message was also high, only large manufacturer could adopt this facility.

Now, we have different choice of magazines, it is second print option of an ad. Magazine apply to
particular kinds of people in different regions and communities, we have different option of languages, its long
life advertise, we can send the messages in national level with the help of different options. Fashion,
education,women, medical, technical, political,etc magazines in which the ads are printed according to their
product and customer needs, in which we have option of weekly, biweekly, monthly quartiles, in which color print
photo design are now using.

b) Broad cast: [10] Television is primarily an entertainment medium. Earlier, we had only T.V. as a broad cast
media in which we were successful to get attention of customers. In T.V. we had only the option of national or
some limited channels, in which we could give the message but the frequency of ads was not so fast because
channels facilities were not in every were. Earlier, T.V. ads were merely over or short version of cinema ads but
basically T.V. were used for entertainment but because of only national channel the information of the product
could reach in only national or selected markets. Also we had the option of only black n white T.V. so color
version facility, attractiveeness of ads, voice quality was not there so customer was not so much interested to see
the ads and also was not aware of T.V. information.

Today with cable and satellite TV the same audience those who were not interested in earlier
days to see the TV ads because of language problem, but, now same audience is fragmented over 200 or more
channels. The same ads we can see in different language rapidity. Now we have excellent quality of production of
ads, familiar friendly voice, retailers also watch T.V. & can see the demand of product &need of customer. We can
see the demonstration, make up the mind of customer to purchase product. We have various options of showing

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the ads on TV on specific channel according to product specification, need and demand of customer. like-news
channel, kid channels, geographic and religious channels.

Radio- Earlier, radio was invented and at that time it was the medium of transmitting information, it also
provides entertainment. Vividh Bharti was only option of radio, it had given some memorable ads, but, because of
transmission & technology problem, coverage of radio was not everywhere. Transmission of radio was not for
whole day it was for only few hrs, so customer missed the broadcast of ads, it was only local coverage and
interactive medium.

Now, radio has a multiple option of stations, offering for commercial broadcasting, coverage of
transmission is nearly all aver the country, FM, radio mirchi, transmissions are regularly for 18 -20 hrs and ads
come rapidly in a day, to option of local ads are different, transmission in villages is now possible so illiterate
people can also listen the information.

c) Brochure: Earlier, we had an option of brochure but that time marketers were using only for education in
some specific areas, in which no graphic design was present that was so boring, that time they included only
specific information about products but could not send to any customer, because cost was very high.

Now, maximum companies having a brochure, in which all the information of company is
available, brochure are using as a good advertising material, they are used for potential customers, marketing
strategies with good copywriting, which attracts attention, develops interest, build desire and call the customer to
do action. High quality print with minimum cost is available in market, people are using in direct marketing ,
quality of print reflect the personality of business, now marketers always use a new technology to print brochure
for better effect/impact.

c) Posters: In the past days we also had choice of posters but it was not attractive because of lack of knowledge
of technology and also it was used for mainly political issues.

Now in present scenario, posters are 24 hrs medium of ads. It is a very attractive way of passing your
message across on any issue to anyone; it has capacity to attract variety of people. A nicely attempted poster can
attract people whom you intent to catch & can get your message across; it should be used in proper place. Now a
day’s poster can be used by web also, now we have availability of wide variety of accessories of posters. With the
help of posters we can give social message , like- Aids, this can be made according to choice , need of people,

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how this is also using discount offer, some extra benefits of sales, launching of new product etc. it is used in all
places like public place, streets corners, malls ,cinema theaters etc.

d) Banners: Few years ago Banners were so popular but only in marriage parties or some culture function , it
was just the symbol of some particular family function, even the size of banner was not so much large so it was
not attractive, people were not interested to see the banner because of party image.

Now a days, the communication banner is best mean for propagating and marketing about anything
that has been newly launched in business market, but product should be manufactured by you. Size of banner is
large than poster, it is perfect medium to express your thoughts & ideas, clarity of message printability is more
than other medium, type of banners are different according to taste &style, it makes good customer relation, its
generally use on taxi stand, malls, bus stands even parks etc.

e)Logo design: [12] Earlier, since the many years companies are using logo design because it gives the identity
of your company, but that time only MNC or large company was using a logo that was only for image and status
purpose, competition also was less , so there was no use of special logo.

Now, 1000 of companies are competing to capture the attention of the target audience, every day our
potential customer comes in contact with 100s of brand identities so for remembering some special events &
brand need logo design, it gives a good visual image of the company, with in few seconds marketers can attract
the attention of customer with the help of logo.

f) Billboards: From the past we are using the concept of billboard, it is mainly theatrical programmed, it was
used mostly out side the theaters.

Now a days, automobile come in the road network, it became a useful medium for advertising, it is used in
the frame, modern printing press, increased the size of it, use in of billboard now in the area of road lights, out
side the shops, for promoting the product. It night traffic in metropolitan area there is need for illuminating the
posters.

g) Directories: Earlier, its option was used for information for about numbers or address.

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 Now a days, Yellow pages can be very effective for advertising, if yours ads are well placed in
directory’s category of services, in which name of business & their services are given in very descriptive. Phone
company will offer free advice about placing ads of different company in yellow pages.

Above all the promotional methods come in advertising section and that has changed in above manner.
Also the packaging, inner and outer styles have also changed.

2) Sales promotion: [12]A variety of short term incentives to encourage trial or purchase of product or services.
We were in such a backward position in early ninety’s whom we only had option of lotteries, short term
exhibition, small gifts offer & some time contests, the reason of this behavior, not understanding the meaning of
sales promotion ,also missing the competition environment, not giving importance to customer needs, demands &
their satisfaction.

Now, sales promotion in each area is using- retailers, distributors, wholesalers. With to Increase
customer demand and improves market availability. In sales promotion marketers are using the terms
communication, incentives, invitation.

In Current scenario, marketers are using contests,games,lotteries,permium gifts,sampling,fairs,trade

shows exhibitions,demonstration,coupons,rebates,low interest financing, entertainment and continuity
programmes. These all the activities they are using according to conditions environment, event, demands of
customer, launching of product, anniversary of the company or any other festivals. All these activities have main
aim to attract people, create demands, give invitation, gain attention & encourage customers to buy product

3) Event & Experiences: The benefits of events &experience we didn’t use, some time marketer used only in
sports area to give sponsorship & some time festival offers.

Now a days, the time event & experience have so many advantages, marketer are choosing
right/relevant events for the promotion, because of the event customers are personally involved, so they can
engaged in that event & it becomes soft sell for your product. In this programme marketer are using sports
sponsorship festival offers, sale, factory tours, company museums and also the interesting street activities for
instant & direct response.

4) Public relation &Publicity: In this section of promotion, companies were using some terms with respect to
identity of company, like- annual report or press kits, or some company had magazines but all these were not used
for public relation that was only routine activity. it was used for policies , functions and, procedures of company.

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 Now, public relation become the resource of information between organization & its public, each and
every event company is using as per public interest, demand and for getting profit. Public relation be used should
to build relation between employees, customers, investors, voters. It is mainly used for adaptation of product by
public. It is used mainly for publicity of individual products, all kinds of activities of company & work of
entertainment includes publicity &public relation.

In media sector PR maintained by articles that marketer can write for strong impression, editorial for
strong & interesting information, press kit which includes picture, information about product commentary,
customer press release includes the answers of all questions , so that reporter develop an announcement. Annual
reports, speeches, seminars, publication, company magazine, community relation, presentation, spl events, spl

offers, these are also important part of PR & publicity in promotion activities for individual product.

5) Direct & Interactive marketing: This is an activity by which we can reach out to customer 7then
response directly.

Earlier, [9] DM was used first in 1960 but there was no concept of internet & telecommunication in
routine, so it being almost failed, because customer was not much aware of these techniques. The technology was
costly, illiteracy of internet was problem; facility of computer was not in everywhere, so people didn’t have the
curiosity to understand that. In Current stage most common form of DM is direct mail because it is now low
budget medium that can be used to communicate with customer, thousand customers can receive mail in the form
of format card, with the help of the information we can deal with our customer problems.

Telemarketing is again common form in telecommunication we can directly solve the problem of
customer this usually each and every organization is using the customer care centre with the help of
telemarketing.

Catalog- concept is new for marketing area, company sells full live merchant catalog, specially in cloth
business , in small business area catalog is very useful , it defines the characteristics of your products and also the
layout.

Web site-[10] with the help of World Wide Web business can be developed; it requires computer, internet
services, web site name and design. For updating your business and product it needed web site, customers to
directly attach to company, specify the demand, need& queries , it is prime time , low cost & top level awareness.

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In interactive marketing, marketers are also using electronic shopping, TV shopping, Fax, mail, because it is
customized up to date & interactive.

6) Word of mouth marketing: It has a small past, word of mouth was used in earlier years only by
shopkeepers during in the sell.

Now market uses written, oral or electronic communication form & share purchasing &using
experience, it is only based on trust, it is just a personal opinion & experience which can be shared timely, this

type of marketing is done by customer itself, on the basis of after purchasing and using the product & company’s
image.

7) Personal selling: It is a new concept; it is face to face interaction with one or more prospective buyer for the
purpose of marketing persuasion & answering the questions. It starts with identifying the qualify sales person then
sales person learn all prospects of the company& characteristics of buyers, after that sales person gives
presentation & demonstration ,at customer may raise objection &ask question, sales person clears all quarries &
maintain the relation. Present stage many companies are spending lot of money on personal selling, it is a method
of interaction, maintain relation, take response from the customer quickly.

6) Advantages/Benefits: With the help of these new promotional techniques marketers and customers have
many advantages, now marketers are using & adopting above strategies & getting benefits as well as customers
also. Some advantages are as follows:

1) Now, marketers always want to keep adding new thing, which every customer wants.

2) Marketers now always want to become valuable resource for customer, which act as a good opportunity for

marketer and is useful for customer.

3) Marketers always separate them selves from generating competition because now they want to determine

unique advantage for customer, so customer automatically promote their product .

4) Marketers are using promotional strategies to promote the end results, which the customer exactly

wants, they not only want the product, but they want benefits too.

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 5) Now marketers have biggest challenge to change their business, they are accepting that customer also

needs a change.

With the help of following techniques the marketers are creating advantages for customer:

1) Media release – give specific information

2) With the help of some small techniques marketer make memorable event for self and customer, by giving a
favorable response, respect and help to choose the product.

3) Networking with in company & between customer & company gives great advantage.

4) Give some sales pitches which is memorable for customer before buying the product and during using,

“Hum hai na”, it is beneficial for marketer also.

5) Always follow up with clients.

6) Always show permissible consultants,”talk to us”.

6) Conclusion: Above all study we can say that technology is changing. The first object of this comparative study
was that to determine change in stages of market, which is clear because earlier market was only a market, but now it
is according to the condition, environment the customer market, goods & services market, manufacturing market,
govt. market & also available according to their customer need, demand & satisfaction.

We have also studied the change promotional strategies, earlier we had only core strategies- advertising, sales
promotion, publicity, interactive marketing & word of mouth marketing, but now conditions have changed & marketer
has to choose the promotional strategies according to needs & demands of customer, like- coupons, packaging style,
contests, festival offers, seminars, telemarketing, fashion shows or trade shows or even street activities. Marketers are
also choosing the strategies in case of launching of a product, by sampling, posters, banners, pamphlets or shows etc.

Finally, we can say that these promotional methods have advantages for customers and as well as marketer,
because when demand of products are increasing, i.e. strategies are working, every customer wants that before or after
using the product, the queries should be solved which is Possible, by any promotional methods.

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7) References:

[1] key concept in marketing: palagrave Macmillian 2004

[2] http/www.learnmarketing.net/marketing

[3] http/www.business dictionary.com

[4] “The marketing definition” by American marketing association 2007

[5] “The concept of marketing mix” from the journal of advertising research jun 1999

[6] “marketing management strategy & programs” by Guiltinan et al, Mc Graw Hill/lrwin 1996

[7] Marketing definition approved in October 2007 by the American Marketing Association

[8] The Concept of the Marketing Mix" from the Journal of Advertising Research, June 1964 pp

[9] "Marketing Management: Strategies and Programs", Guiltinan et al, McGraw Hill/Irwin, 1996

[10]"In the Mix: A Customer-Focused Approach Can Bring the Current Marketing Mix into the 21st
Century". Chekitan S. Dev and Don E. Schultz, Marketing Management v.14 n.1 January/February
2005

[11] "S The Economist. 2006-11-1. p. 90warming the shelves: How shops can exploit people's herd
mentality to increase sales?"

[12] “Foundation of Advertising theory& practice” by S.A. Chunawalla, K.C. Sethia, Himalya
publication House 7th revised edition 2008

[13] “Marketing Management” A south asia prospective, by Philip Kotelr, Kevin Keller,Abraham
Koshy,Mithileshwar Jha, !3th adition 2008-09 .

[14] “Principle of marketing “ by Philips Kotler,Armstrong Gray, 12th edition 2008

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[15] “Five successful marketing techniques” by Bob ledue.

[16] “How to promote your business” by Gaetana.

[17] “Use the right words to get a better response” by Kayemarks.

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