What are the keys to effectiveInternal marketing?

Internal Marketing requires that everyone in the organization accept the concepts and goals of marketing and delivering customer value..

Inspire the Employees to create, serve, satisfy customers !

But how do firms foster a creative marketing culture across the organization?

By Organizing the Marketing Department in 4 General ways..

Functionally Geographically

By product

or BrandBy market

By Matrix

#1 Functional OrganizationThe Organization is divided according to their respective functions like marketing administration, advertising and sales, marketing research, new products etc..The respective functional specialists report to the marketing vice president

The main advantage of a Functional organization is it’s administrative Simplicity

#2 Geographic Organization

This method is used by firms with many Business locations. It organizes its sales force along geographic lines.

Regional Marketing Managers are added to support sales efforts in high volume Markets !

#3 Product or Brand-Management organization

Companies producing a variety of products and brands often establish this type of organization, with the Brand/Product manager at the center. He/she develops a cost effective marketing program and react more quickly to new products in the marketplace..

Or, The firm has Three more alternatives..

Formation of Product teams.

Eliminate Product manager positions for minor products . Assign two or more products which appeal to a similar set of needs to each remaining manager.

Third Alternative is Category Management. The company focuses on Product categories to manage its brands. Ex. Procter & Gamble, Walmart.

Public Utility industries

Rail Roads

Construction

When customers fall into different user groups with distinct buying preferences , #4 Market Management organization is

desirable.

Companies like Xerox, IBM, Hewlett-Packard have converted from geographic selling to selling by industry..

#5 Matrix Management Organization

Both Product and Market managers are employed .

This is generally for companies that produce many products for many markets.

But, Too many cooks spoil the Broth !It is expensive and often creates conflicts !

The main Motto is …

All Departments need to “ THINK CUSTOMER “

Sales or Product Driven

Market and Customer Driven !

Employees Ought to be…

Created by Aishwarya Kandukuri, IIITD&MK during an internship by Prof. Sameer Mathur, IIM Lucknow.

www.IIMInternship.com