Usage of marketing tools and digital technologies in the promotion of steel products
Journal Title: Маркетинг і цифрові технології - Year 2017, Vol 1, Issue 1
Abstract
The aim of the article is in the structuring of modern tools and optimization of promotion processes of domestic steel enterprises, using modern marketing tools and digital technologies. The results of the analysis. The article proves that in conditions of protracted political and economic crisis and prolonged anti-terrorist operation in Eastern Ukraine, domestic enterprises were limited in access to raw materials, and devaluation of the national currency resulted in a decrease in the purchasing power of the main domestic consumers. Reduced production of steel increases its cost and attracts importers to Ukraine, thus increasing price competition. Negative tendencies complicates not only production but also the promotion and sales of steel products for domestic enterprises. All this confirms the objective need to use new methods of promotion by Ukrainian steel producers to maintain their productivity and profitability. Also, the article proved that at the moment there’s virtually no clear classification of tools and technologies of product promotion for industrial use with low processing level for market of industrial consumers. Basing on the analysis of the conceptual and categorical apparatus, the paper proposes an approach to structuring of promotion tools for steel products and proves the feasibility of usage of modern marketing, digital and informational technologies in the process of promotion, concerning industry-specific features of the market and its major players. In the article, under the definition of "promotion of steel products" it is meant the process of building of bilateral communication which includes personal selling, advertising, PR, sales promotion and other means to accelerate the flow of sales channels, conversion leads to real customers, realization of commercial, financial and marketing objectives, taking into account the interests of stakeholders. Results of the analysis suggest that the largest customers of the steel producers are intermediaries (traders, metal service centers and others), other manufacturers as end users (hardware products factories, engineering plants, factories of reinforced concrete structures, etc.) and, to a lesser extent, construction companies, private households and individual consumers, who account for a small proportion of sales. Given the aforementioned the article proposes to include in promotion complex for steel products the following means: direct sales; direct marketing; Internet communications, digital marketing and SMM; sales promotion; PR and advertising. These tools are structured in the manner of efficiency of their usage for steel producers. One of the most effective means of Steel products promotion on the market is direct sales. Their effectiveness depends primarily on the work of trained sales managers who are classified in the article as contact personnel which is focused on individualized offers to achieve maximum satisfaction of customer needs. In this connection appears the issue to find employee, who is highly motivated, competent not only in management and sales, but also in industrial processes, client-oriented and adaptive to changes. Detected issue allowed to justify the relevance of contact personnel (sales managers) competencies model development, as a set of key competencies required for the best performance of tasks and functions necessary to solve business problems, achieve marketing goals and to succeed in the market. This article also discusses the identified issue of failure to use such means of promotion as Internet communications, digital marketing and SMM. These tools allow companies with single-profile production to adapt to new business models activities aimed at the development of differentiation, stability and profitability in the value chain and offering the products to both intermediate and end users. The article proves that for more effective usage of modern promotional tools, Ukrainian Steel companies have to build product promotion activities, based on three basic principles: focus on a wider range of consumers, including small and medium enterprises and some individual households; creation of communicative image; usage of multi-channel communication. Compliance with these principles is possible if the process of steel products promotion will be improved, which involves the use of modern means of promotion targeted at different consumers by offering combined products and services with the ability to co-design products, active implementation of CRM-systems and use of BigData to promote the products, involvement of Company in dialogue on social networks and attraction of the consumers themselves in the process of steel products promotion. Conclusions and direction for further research in this direction will be the issue of development of methodological tools for evaluation of economic efficiency of aforementioned industrial products promotional tools, as well as the development and implementation of digitalization of operational processes in the industry with definition of the human factor role.
Authors and Affiliations
Mykhaylo Sahaidak, Mykyta Lavrenov
Keywords
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- EP ID EP246652
- DOI 10.15276/mdt.1.1.2017.6
- Views 132
- Downloads 0
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