MODULE V

RECENT TRENDS IN MARKETING

Marketing is the key determinant of organisational success. Drastic changes in the global
economic and business scenario and Information Technology revolution made it necessary for firms to
constantly revaluate the way they interact with their business environment. In marketing, these changes
forced firms to develop and introduce innovative marketing concepts and practices. The use of internet,
social networking sites and mobile phones help consumers to interact with each other in order to learn
about a product or service. Consumers possess clear idea about the quality, price and other features of
different brands available in the market. Companies cannot fool consumers through fake
advertisements and promises. Quality, Service and Relationship are the three pillars of modern
marketing. Companies compete each other for serving the customers with maximum benefits and
building strong relationships with them.

MODERN MARKETING

The whole marketing scenario has changed in the modern marketing. In the past, marketing
relied only on selling efforts. But modern marketing is consumer oriented marketing. It starts and ends
with consumers. The marketing has shifted its focus to consumers needs as compared to the past,
where a product was made for selling to maximum number of people without learning their needs.
Marketing in the modern times is customer satisfaction and customer relation. Customers are
considered as the backbone of marketing. The concept of modern marketing requires marketers to
analyse customers' needs and requirements. The goods and services are customised (tailored) as per the
needs of the customers.

ELEMENTS OF MODERN MARKETING

The key elements of modern marketing are as follows;

1.Customer Orientation- All marketing activities are designed and carried out to meet theneeds of the
customers. The needs of the customers are placed at thetop of marketing objectives. Products are
tailored as per the needs ofthe customers.

2. Quality- Firms take continuous efforts in improving the quality of goodsand services offered as per
the changing needs of the customers.

3. Service- Delivery of products to the consumers is not the end of modernmarketing. It begins before
production and continues afterdistribution. It aims at providing better after sales services to
thecustomers.
4. Relationship-Building long lasting relationships with the customers is anotherimportant aspect of
modern marketing. The aim of building customerrelationship is to find, attract, and win new customers
and retain theexisting customers.

5. Competitor Orientation- Firms focus on the marketing strategies of the competitors tounderstand
their strengths and weaknesses in meeting the needs ofthe customers.

6.Profit Orientation-In modern marketing, firms are of the view that profit can begenerated only by way
of effectively meeting the needs of thecustomers, improving the quality of the products, better services
andbetter customer relations.

SCOPE OF MODERN MARKETING

Modern marketing has an extensive scope which deals with the marketing of many entities.
Some of the important entities covered by modern marketing are as follows;

1.Goods-Goods cover tangible or physical products offered to customers.

2. Services-Services cover intangible products or goods of non-physicalnatured offered to the

customers. For example, insurance services,banking products, services offered by Doctors, lawyers etc.

3. Experiences- Modern marketing by arranging several services and goods, afirm can create, stage, and
market experiences. In this type ofmarketing, customers do not purchase products or services. But
theyexperience them. For example, a water theme park, trekking in a forestetc.

4.Events-Companies offer time-based events, such as stage shows,sports events etc. for entertainment
and mental happiness of the customers.

5. Persons-Marketing of persons is an important area of modernmarketing. It mainly deals with the

marketing of the celebrities.For example, marketing of artists, musicians, lawyers, film actorsetc.

6. Places-Tourism is the best example for place marketing. KeralaTourism Development Corporation
promotes Kerala as "God's owncountry".

7. Properties-In this type of marketing, intangible rights of ownership likereal estate or financial
properties (stocks and bonds) are marketed.

8.Organisations-In this type of marketing, images of organisations are promotedto create a better
impression among the minds of the potentialcustomers. For example marketing of 'NIFE', 'Brilliance
college' etc.

9.Information-It refers to the production, packaging and distribution ofinformation to the customers.
Publishing companies, Schools,Colleges and Universities usually market books, study materialsand other
informative works.
10. Ideas-It is about delivering some relevant ideas to the customers.For example, in the electricity
awareness campaign of KSEBperformed by 'Mohanlal' and 'Jayasurya', a clear idea of savingelectricity is
communicated to the viewers. Idea marketing usuallytries to influence social behaviours and attitudes
for the welfare ofthe targeted customers and the society as a whole.

RELATIONSHIP MARKETING (RM)

Relationship marketing is a shift from transaction based marketing which focuses on increasing
the number of transactions/ sales. There is no ongoing relationship in transaction marketing.
Relationship marketing is a strategy designed to cultivate customer loyalty, interaction and long-term
association with the company. It is primarily concerned about attracting, developing and retaining
customer relationships. It intends to develop strong contacts with the customers by providing them with
best services and by promoting open communication. This results in increased mouth publicity and
repeated dealings. Relationship marketing recognizes the long term value of customer relationships and
extends communication beyond advertisements and sales promotion.

DEFINITIONS

Evans and Laskin define relationship marketing as "a customer centered approach whereby a
firm seeks long term business relations with prospective and existing customers".

According to Morgan and Hunt, "RM refers to all marketingactivities directed towards
establishing, developing andmaintaining successful relational exchanges".

David L. Kurtz, H.F. Mac Kenzie and Kim Snow definerelationship marketing as the
"development, growth andmaintenance of cost effective, high value relationships withindividual
customers, suppliers, distributors, retailers andother partners for mutual benefit over time".

ELEMENTS

According to Francis Buttle (Relationship marketing theoryand practice), RM is about healthy

relationships which arecharecterised by the following elements;

1. Concern-Relationship marketers are concerned about the welfare ofthe customers. They try to give
over and above the expectations ofthe customers.

2. Trust and Commitment-Trust includes two important aspects. One is the trust in thehonesty and trust
in benevolence. Honesty means the adherenceto promises, obligations and sincerity. Benevolence
(kindness) isthe interest in the welfare of others. Commitment is the continuousdesire to maintain good
relations.

3. Service-This is the outcome of concern, trust and commitment. Bestservice is the product of the
above mentioned elements. RM wantsan organisation wide commitment to provide high quality
servicesto the customers.
LEVELS OF RM

1. Price Focus-This level focuses on price. In this level, firms give pricereductions, discounts and other
financial incentives to motivatecustomers to enter into buying relationships with them.

2. Social Interactions-In this level, the relationship between the customers developsinto social
interactions. It shifts to a natural relationship from anartificial business relationship. Improved
communication andcustomer services are the important aspects of this level.

3.Interdependence-There occur structural changes in the relationship betweenthe firm and a customer.
The customer grows to the level of amember/partner of the firm. A dependent relationship is
evolvedbetween the customer and the firm which continues to grow overtime.

ADVANTAGES

The important advantages of relationship marketing are asfollows;

1.It helps companies to effectively retain the customers.

2.It increases the loyalty of customers to the firm.

3.Better mouth publicity by the customers reduces the promotion expenses. Loyal customers
recommend the products/services to others.

4.The customers will give creative suggestions and feedback to the company.

5.Repeated dealings by the customers

6.Overall increase in sales and profits of the firm.

7.Better customer relations make easy the introduction of new products and services.

SOCIAL MARKETING

The term social marketing describes the use of marketingprinciples and techniques to promote a
social cause, idea, orbehaviour. Change from a wrong idea or behaviour or adoption ofright ideas and
behaviours is the goal of social marketing. Socialmarketing attempts to generate social benefits and
welfare whereas commercial marketing attempts to generate financial benefits.Social marketing tries to
influence social behaviours not to benefit

According to Philip Kotler, "social marketing is the use ofprinciples and techniques to influence a
target audience tovoluntarily accept reject, modify or abandon behaviour for thebenefit of individuals,
groups or society as a whole". Socialmarketing is used to influence the customers to change
theirbehaviour for the sake of improving health, preventing injuries,protecting the environment or
contributing to the community. Forexample, "Cigarette smoking is injurious to health", "Tobacco
kills","Do not mix drink with drive" etc. Lifebuoy's "SwasthyaChetna"(LSC) a five-year health and hygiene
education programme initiatedby the Hindustan Lever Limited (HLL) is an example of socialmarketing in
India.

OBJECTIVES

1.To improve the welfare of the consumers and the society as awhole.

2.To protect the environment.

3.To educate consumers about the evil effects of a wrong behaviour or action.

4.To help the consumers to select the right products and avoid unhealthy and unsafe products

5.To increase the image of the company and the brand.

ONLINE MARKETING

Online Marketing refers to the application of marketingprinciples and techniques by means of

electronic media and morespecifically the Internet. It is also known as internet marketingand E-
marketing. The Internet has been described as the world'sleast expensive and most effective marketing
tool. The internet haschanged the whole world into a small village whereas electronicmarketing has
transformed the world into a small market. E-marketing uses a wide range of technologies to connect
customerswith the business. E-marketing is defined as the application of theinternet and related digital
technologies to achieve marketingobjectives".

The starting point of an online marketing process is thecreation of a website. But it is more than
the creation andmaintenance of a website. It covers the whole processes involvedin the creation,
promotion and distribution of a product. E-marketing is a broader concept which uses digital media such
asweb, e-mail and other electronic media for carrying out themarketing activities. It also includes
management of digitalcustomer data and electronic customer relationship managementsystems

APPLICATION OF INTERNET IN MARKETING

1.It is a high intensity medium. People all over the world useinternet for different purposes and
companies can get accessto the users of the internet world wide.

2.It Acts as an advertising medium.

3. It provides a direct - response medium. Certain companiesuse sponsored links to lead a user to the
website of thecompany when he searches a product.

4.It offers a platform for sales transactions. Companies can usethe internet to sell their products online.

5.It functions as a customer service mechanism. A companywebsite gives the user/visitor all information
regarding itsproducts and also gives answers to his different queries.
6.It acts as a relationship building medium. Through internet acompany can interact with its customers
personally and learnthe individual needs of the customers. This helps companiesto customise their
products and services

7.It helps companies to gather and store responses of theindividual customers.

ADVANTAGES

The specific benefits of e-marketing include the following;

1. Global Reach- Through internet, a company can find markets globally foronly a small investment.

2. Lower Cost-A properly planned and effectively targeted e-marketing canreach the right customers at
a much lower cost than traditionalmarketing methods.

3. Measurable Results-A company can easily obtain detailed information about howcustomers use its
website or respond to the advertising

4.Personalisation-By linking a customer database to the website, the companycan offer special offers to
selected customers. The more a customerbuys from the company, the more it can refine the customer
profileand market effectively to them.

5.Fast and Easy-The customers can easily complete the purchase by making afew clicks on their
computers. It is fast and easy both for thecustomers and the company compared to traditional
marketingwhich require large number of middlemen carry out a transaction.

6. Interactivity-E-marketing makes possible a two way communicationbetween the company and the
consumers. The company can directlygive answers to the queries made by the consumers and store
theirfeedback.

7. Maximum Efficiency-In E-marketing companies can analyse the customer feedbackin real-time and
quickly make corrections and modifications in theirmarketing programmes. This helps companies to
carry out theirmarketing activities with maximum efficiency.

TYPES OF ONLINE MARKETING

1. Banner Advertisements (Web Banner or Banner Ad)

Banner ad is a form of online advertising which presents aproduct communication on a web

page. It is a hypertext linkedgraphical file leading the visitors of a web page directly to the websiteof a
company. Banner advertising is mostly used for givinginformation about a company's product or offer.
Bannersadvertisements are popular form of online advertising come indifferent shapes and sizes on
different websites. For example,banner ads on yahoo, msn etc.
2. E-mail Marketing

E-mail marketing is sending an advertisement or productcommunication to a person's e-mail.

Another way of e-mailmarketing is adding advertisements to email messages sent by othercompanies or
persons to the e-mail address of a person.

3. Partnership or Affiliate Marketing

Affiliate Marketing is a profit sharing venture between awebsite owner and an e-marketing firm.
The website owner willplace advertisements on his websites to help the e-marketing firmto sell its
products or to send potential customers to the firm'swebsite in exchange for a share of the profits. For
example,www.amazon.com.

4.Search Engine Marketing (SEM)

Many people search the Internet by using search engines suchas 'Google', Yahoo', 'MSN',
'Ask.com. and Bing than any otherapplications. Search engines help people to easily find things onthe
internet. So companies list (register) their names in importantsearch engines to increase their visibility in
the search engine resultpages. SEM is also known as 'search marketing'.

GREEN MARKETING

Green marketing is a way of marketing products on the basisof their environmental benefits.
The products are manufactured,packed and marketed in an eco friendly manner. Green marketingis
otherwise known as environmental marketing or eco-marketing.The American Marketing Association
(AMA) defines as "themarketing of products that are presumed to be environmentallysafe". Green
marketing is usually adopted by firms that arededicated to sustainable development and corporate
socialresponsibility. It is the process of manufacturing and marketingproducts of superior quality
without any harmful impact on thenature and end users.

FEATURES OF GREEN MARKETING

1.Sustainable ways of production such as reduced wastes of production and low energy costs or use of
renewable energy sources.

2.Absence of any toxic materials in the production and packing of the product and does not harm the
environment in any manner.

3.It is possible to recycle and convert the scrap of the production to new product.

4.Renewable materials are used in production of the product.

5.Eco friendly packing.

6.The product is repairable and can be used for long.

7.The production process does not use animals to test the product.
MARKETING MIX OF GREEN MARKETING

The 4 P's of green marketing such as the product, price andpromotion and place have to be
structured properly to meet thestandards of green marketing. The typical marketing mix of
greenmarketing is described below;

1. Product-The products have to be made from recycled and renewablematerials. The product has to
use eco friendly raw materials. Itdoes not waste the natural resources in any manner. The
productionprocess should be free from emission of toxic gases and all kindsof environment pollutions.

2. Price-The price of the product should match the perceived value ofthe consumers. Excessive and
unfair pricing are against theprinciples of green marketing. The consumers should derivemaximum
benefits (value) from the products at a reasonable orfair price.

3. Place-The firm should adopt eco friendly ways of logistics andphysical distribution of the product. It
should avoid or minimizeenvironment pollution by way of emissions by different modes
oftransportations.

4. Promotion-Eco friendly promotion strategies have to be adopted byorganisations to adhere to the

principles of green marketing. Thishelps to reduce sound and environment pollutions to a great
extent.Misleading and unethical advertisements are to be strictly avoidedto incorporate a product
under green marketing.

BENEFITS OF GREEN MARKETING

The major benefits of green marketing are as follows;

Consumers will get superior quality products and services.

1.Green market envisages pollution free environment.Companies adopt eco friendly production process
which limits or completely avoids different kinds of environment pollutions. This improves the quality of
life of the people.

2.Consumers will get superior quality products and services.

3.People will be more attracted to green products and this increases the sales volume and profits of
companies.

4.It helps companies to sustain in the market for long without harming the nature.

5.It increases the reputation and image of the companies which helps them a lot for their growth and
expansion of business.

6.It reminds companies about their commitment towards the society and environment.
CHALLENGES/LIMITATIONS OF GREEN MARKETING

1.Green marketing is a costly affair. The production process of green marketing requires renewable and
recyclable materials which are expensive.

2.Sometimes companies label their inferior products as green products and make false claims to cheat
consumers.

3.Green marketing requires heavy investments on research and development.

4.Green products may be expensive than the ordinary products and price sensitive consumers may
refuse to buy green products.

5. Lack of awareness, trust and confusion among consumersmay limit the scope of green marketing.

TELEMARKETING

Telemarketing is a method of direct marketing in which asalesperson requests a prospective

customer over the telephone topurchase the products of a company. It is also known as 'insidesales'.
Prospective customers are found out by various means suchas past purchase history, previous requests
for product informationand another company's consumer database. Telemarketing callsare popularly
known as "cold calls" because they are not made asper the request of the recipients. Telemarketing
companiesunilaterally contacts potential customers over phones and requeststhem to purchase the
products and services offered.

PROCESS OF TELEMARKETING

Telemarketing can be executed from the office of a companyor from the home of a salesperson.
Usually companies appoint alive operator or a recorded message for calling the customers. Inthe case of
recorded message, it is known as 'automatedtelemarketing'. Certain companies establish call centers
forcontacting the prospective customers. A call centre is referred toas a 'hub' or central point of a
telemarketing company. It comprisesof a set of cabins with telephones, call lists and
scripts.Telemarketing staff occupy the cabins and make the calls. A typicaltelemarketing involves two or
more calls. The first call identifiesthe needs of the customers and the final call motivates the customerto
make a purchase.

ADVANTAGES

1.People can skip advertisements in television channels, newspapers and internet. But one cannot
knowingly miss/avoid aringing telephone.

2.Direct personal communication in telemarketing motivatespeople to purchase compared to

impersonal advertisementsin TV channels and other media.

3.It establishes a platform for interaction with the company.Consumers can easily clarify their doubts
regarding theproducts offered.
4.There is no time limit in telemarketing. The customers cancall the company at any time. Usually
companies give a tollfree number which is active for 24 hours a day.

5.In order to maintain good customer relations, telemarketingcompanies usually establish a help desk
for providing aftersales services and the settlement of customer complaints.

DISADVANTAGES

1.Most telemarketing calls are cold calls which not requested by the customers & they consider it as
meaningless calls.

2.People always try to avoid advertisement calls. Many peoplesay 'no' to a purchase request during the
first call itself.

3.More people are seeking ways to avoid unwanted callers,particularly telemarketers because people
consider marketingcalls as nuisance.

4.Frauds are very common in the field of telemarketing. Certaincompanies cheat consumers by fake
offers, defective productsetc.

TYPES OF TELEMARKETING

1. Inbound Telemarketing-It refers to responses of a company to calls received (incomingcalls) from the
customers as a result of advertising, publicity, orthe efforts of the salespeople. The incoming calls may
be for productenquiry or placing orders. In the case of inbound telemarketing,companies first advertise
their products in TVs, radios and othermedia along with their contact number, usually a toll free
number.The customers after getting information about the products fromthe advertisements call the
toll free number for purchasing theproduct. For example, the Telebrand shows in television channels.

2. Outbound Telemarketing-This is the opposite of inbound telemarketing. In this casethe telemarket-

ing company directly calls the prospective customersand requests them to purchase its products.

3. Automated Telemarketing-This type telemarketing uses pre-recorded messages or callsfor contacting

a prospective customer. At present, companies useInteractive Voice Response (IVR) technology in
telemarketing. IVRautomates interactions with telephone callers.

VIRAL MARKETING (WORD-OF-MOUTH MARKETING)

The concept of viral marketing is that people pass or tell whatthey know about a product to
others. The messages communicatedinclude both the likes and dislikes of a person with regard to
aproduct. The main objective of viral marketing is to create productawareness among potential
customers and among the targetmarket. Viral marketing is also known as 'viral advertising' or'marketing
buzz'. Buzz may be in the form of a soft talk (smallconversation), telephone call, SMS or E-mail message
related witha product or service. It is called viral because product informationistransmitted from
consumer to consumer. The message spreadsin a viral form in a manner similar to the spreading of a
commoncold virus from person to person. A person transmits and infectsother person. It is a mouth
publicity of a product or service.

Companies largely use social networking sites in the internetfor viral marketing. They encourage
consumers to write, tell andsend messages to others about the merits of the products. Thegoal of viral
marketing campaigns is to generate media coveragevia interesting stories about the company and its
products indifferent media. Publicity via Internet, E-mail, Social networkingsites, Blogs and Mobile SMS
can generate greater impact than allthe traditional ways of promotion.

ADVANTAGES

The major advantages of viral marketing are as follows;

1.Free advertising.

2.Attracts more customers.

3.Increases sales volume

4.Large consumers can be reached at free of cost.

5. Improves brand image and company reputation.

6.Increases the number of visits to the website of the company.

DEMARKETING

Demarketing is an attempt to reduce or limit the demand forconsumption of a specific product

or service on a permanent ortemporary basis. Demarketing usually involves the alterations ofmarketing
mix components to effect lesser demand when it isdifficult for the firm to meet the excess demand for
the product.Demarketing methods involve raising prices, reducing advertisingand promotion
expenditures, or withdrawing product benefits.Demarketing is considered as the reverse process of
marketing.

According to Phillips and Sidney, demarketing is basicallydefined as "attempts to discourage

customers in general or a certainclass of customers in particular on either a temporary or
permanentbasis".

TYPES OF DEMARKETING

1. General Demarketing-This occurs when a seller attempts to reduce the total demandof the product.
The suppliers of water, fuel, electricity and otherscarce natural resources use advertisements and
publicitycampaigns to reduce wastages, excessive use and demand. Forexample electricity saving
campaign by the Kerala State ElectricityBoard.
2. Selective Demarketing-In this case, a firm discourages demand for the product fromcertain classes of
customers. For example, discouraging the demandof tobacco and tobacco products from persons under
the age of 18.

3.OstensibleDemarketing-This occurs when a firm creates artificial scarcity of its productin the market
to increase demand. This helps companies to increasethe price of their products.

REMARKETING

Remarketing is aimed at encouraging renewed use of a productin which market interest has
declined. It involves re-introductionof a product or service as a result of steep fall in its sales. Thesuccess
of a remarketing strategy depends on the understandingof the market factors that have caused a fall in
the product demand.In remarketing a product is re-launched with additional benefitsand features so as
to impress the customers. Not only the product,but also the other components of the marketing mix
such as price,place and promotion are also modified to attract the targetedaudience. It attempts to
convince the customers that the productis entirely new and is free from all its previous deficiencies.

SYNCHRO MARKETING

The literary meaning of the term 'Synchro' is 'going together'. Synchro marketing is a process of
adjusting the pattern of demand of a product with an ideal pattern of supply. It attempts to balance out
seasonal or cyclical fluctuations in demand. The condition of full demand for a product is a pleasant
situation for a company. But this condition is not constant. Irregularities may occur in demand as a result
of the changes in the conditions of the market and changes in the needs and wants of the consumers. It
is highly essential for a company to synchronise the demand for its products with the supply. The
process of adjusting or balancing demand and supply is known as synchro marketing.

Demand of certain products varies seasonally. For example, demand of air conditioners, fans
comes down during the winter season. In such situations companies offer off-season discounts and
other benefits to the customers to restore the demand. Synchro marketing is the common term to refer
the measures taken by the companies to reinstate the demand for their products. Companies usually
adopt a 'demarketing' strategy to reduce demand in the case of excess demand, 'remarketing' to
increase demand in the case of low (falling) demand and synchro marketing to balance demand with
supply in a situation of irregular demand.

GUERILLA MARKETING

Guerilla marketing is a product or service related campaign or advertising strategy which uses
unconventional or odd techniques to get the attention of people. It uses great amount of imagination,
creativity, surprise and amazement. Guerilla marketing is defined as an act of applying unusual
marketing strategies for promoting products in an unconditional way by incurring less amount of
money. Most of the guerilla marketing campaigns touches the minds of people on more personal and
memorable grounds. The goal of guerilla marketing is to reach a large number of people on a small
budget. In guerilla marketing, emotions of the target audience are involved and it manages to reach
more people, brings out more responses and generates more word of mouth publicity than
conventional promotions.

The principle behind guerilla marketing is "investing energy instead of money". Guerilla
marketing requires high energy and focused imagination for attaining the attention of customers by
giving them high memorable experiences. The concept of guerilla marketing was developed by Jay
Conrad Levinson in 1984. Guerilla marketing strategies were evolved from guerilla warfare which uses
tactics like hide and capture. It indirectly links people in the product campaign process. The firm first
kicks off an amazing campaign then, people start talking about the campaign and rest of the
communication is done by people. Word of mouth and social media are the most important channels of
communication of guerilla marketing

FEATURES

The salient features of guerilla marketing are as follows;

1. It uses great amount of imagination, creativity and surprise.

2. It creates a feeling of amazement among people.

3. It uses strange and unconventional techniques of product campaigns.

4. The objective of guerilla marketing is to reach the masses with a low budget.

5. It is suitable for small businesses having less amount of money for product campaigns.

6. The message of guerilla marketing has high recall value.

7. Fewer resources and big campaigns are the important specialities of guerilla marketing.

8. The campaigns of guerilla marketing use the scope of communication through word of mouth and
social media.

ADVANTAGES

The important advantages of guerilla marketing are as follows;

1. Low Cost: The cost required to execute guerilla marketing is low compared to the conventional forms
of promotions.

2. Creative Campaigns: Guerilla marketing enables companies to have creative and unique product
promotions than the traditional ways of campaigns.

3. Word of Mouth Publicity: Participation of the target audience is high in guerilla marketing. It creates
amazement and surprise among people which brings out more responses and generates more word of
mouth publicity than conventional promotions.
4. Media Hype: Remarkable guerilla marketing campaigns may result in mass media attention and help
companies to have a widespread communication about their products.

5. Free Publicity: Remarkable guerilla marketing campaigns get a lot of free publicity through word of
mouth and social media via sharing. Public involvement and participation is high in guerilla marketing.

DISADVANTAGES

The following are the major drawbacks of guerilla marketing;

1. Some guerilla marketing campaigns may create irritation and discontent among public and result in
negative feelings about the brand.

2. It can be illegal and contrary to popular belief of the public which makes a brand unpopular.

3. Guerilla Marketing requires a greater level of dedication and energy than traditional advertising which
may raise the cost of campaign.

4. The public may misunderstand the message of guerilla marketing and companies fail to attain the
anticipated output from such campaigns.

5. Sometimes companies have to face backlash (reaction) from public and people boycotting their
products.

AMBUSH MARKETING

Ambush marketing, a term broadly refers to a situation in which a company or product tries to
take benefit from the publicity value of a major event without any sponsorship or any financial support
for that event. It is also known as coat-tail marketing. Ambush marketing is typically targeted at major
sporting events like the Olympics or the world cups in various games. This kind of marketing also
involves unauthorised use of logos or designs associated with a popular event. Sometimes, ambush
marketing creates confusion among the public about who are actually sponsoring an event. The
advertiser of ambush marketing "ambushes" or hijacks an event to compete for exposure against
competing advertisers.

Ambush marketing is a technique of marketing in advertiser try to connect their product with a
particular event in the minds of potential customers, without bearing the sponsorship expenses of the
event. A simple example of ambush marketing is selling music DVDs just outside the grounds of a music
concert without the consent or awareness of the promoters of the event. Bigger companies also engage
in ambush marketing tactics to undermine official event sponsors. For example, Fuji was the official
sponsor of 1984 Olympic Games. But Kodak made an aggressive television ad campaign that created the
perception that they were the official sponsors.