A complex of marketing communications for the promotion of agricultural products

Marketing is a modern tool for the circulation of goods. Today, marketing requires much more than simply creating a good product, setting an attractive price for it, and ensuring its availability to target consumers. To win over their customers, enterprises must implement a marketing communications mix (a product promotion mix).

Marketing communications are the means by which enterprises inform, persuade, and remind consumers, directly or indirectly, about their goods and brands. Marketing communications can be called the "voice" of a brand and a means of establishing dialogue and relationships with consumers.

The marketing communications mix consists of six main tools of influence: ◊ advertising — any paid form of non-personal presentation and promotion of ideas, goods, or services. The main function of advertising is product individualization, however, advertising is an expensive undertaking; ◊ sales promotion — actions that facilitate purchases: consumer promotion, trade promotion, and sales force promotion of an enterprise. For example, consumers are stimulated by the sale of agricultural products without intermediaries (fairs, sales exhibitions, etc.); ◊ sponsorship — funded events and programs implemented with the aim of creating everyday or special contacts between consumers and the brand; ◊ public relations (PR) — programs to promote a product, service, or the enterprise as a whole by disseminating commercially important information about them in print media or through favorable presentations on radio, television, or on stage; ◊ direct marketing — the use of mail, television, telephone, fax, email, or the Internet with the goal of reaching potential consumers or providing them with goods and services without the use of marketing intermediaries; ◊ personal selling — direct interaction with one or more potential buyers during presentations for the purpose of answering questions and receiving orders.

Systematically, the categories of marketing communications are presented in Table 11.1. Each category has its own specific communication techniques, such as trade presentations, point-of-sale displays, advertising via souvenirs, specialized exhibitions and fairs, demonstrations, catalogs, trade advertising literature, press releases, posters, contests, awards, coupons, and vouchers. However, the concept of communication goes beyond these means and techniques. The external design of the product, its price, the shape and color of the packaging, and even the manners and clothing of the salesperson — all of this informs the buyer. To achieve the greatest communicative effect, an enterprise needs to coordinate the entire marketing mix, not just the product promotion mix.

T a b l e 11.1. Main types of marketing sales communications Announcements in media Contests, games, lotteries Festivals Charitable events Performances Seminars Trade presentations Direct mail Catalogs On packaging Trade meetings Outdoor advertising Annual reports Telemarketing

Prizes and gifts Shop signs Excursions Participation in production Facility tours Handing out samples Electronic purchases

Coupons and vouchers Symbols and logos Corporate programs Electronic mail

Dealer compensation Lobbying Specialized distribution

One of the most complex marketing decisions for enterprises is determining the amount of funds required for effective product promotion. The size of the budget depends heavily on the industry and the enterprises themselves. For industrial equipment manufacturers, the product promotion budget accounts for 5 — 10% of revenue, in the food industry — from 10 to 15%. In every industry, there are both enterprises that ignore promotion and those that rely on it as their primary strategy.