Economic Risk and Pricing

CULTURAL ISSUES TO CONSIDER WHILE DEVELOPING A PROMOTION CAMPAIGN TARGETING THE GHANIAN AND THE KENYAN MARKET

It is critical to understand the customer needs before developing a marketing strategy. The needs are often times informed by the people’s cultural values. Culture dictates people’s beliefs, values, behavior as well as what is acceptable and what is unacceptable (Ennew & Waite, 2010).

The major market for the En-Sync Technologies Inc electronic products will based in Kenya, an African country. African people are warm and welcoming. Using warm and bright colours and symbols of togetherness in marketing may prove worthwhile for the African market as they may buy more from a company that identifies with their cultural values (Ennew & Waite, 2010). African people respond more positively to colours such as yellow, orange, brown which are warm and it is important to acknowledge this aspects of culture when designing marketing campaigns for the electronic products targeting the African markets. Additionally, Africans hold the US in high esteem and take pride in having items made by US companies. It is important to note that this cultural tendency would place affordable US made electrical products at a better position in sales as compared to those from China.

Africans culture is collectivist which means that marketing campaigns that suggest individualism may not be effective. An advertisement that shows how the products the company is selling will promote socioeconomic growth of the small communities within the African countries is almost sure to win sales. For instance, an advertising for mobile phones may be tailored to show case how they promote interconnectedness within a society and promotes business communication essential for business growth. In addition to this, Africans place a high premium on advice from an elderly person. Also, men make buying decisions concerning electrical products. It is therefore important to appeal to the senior segment of the market as well as men because they have a strong influence on buyer decision.

PROMOTION CAMPAIGNS IN REGARD TO AFRICAN CULTURE

Africans respect the views of senior members of society and most Africans seek elder’s opinions before making decisions even when they are uneducated. It is also important to note that the seniors form a large segment of the consumers in the rural settings in Africa as the younger generation migrate to the cities in search for jobs. It is thus important to tailor a marketing campaign that is more education oriented for the rural community executed in a conservative manner to avoid embarrassment.

In the African setting, husbands have control over major decisions especially when it concerns electronics (Koekemoer, 2008). In case a woman is unmarried, she will often consult her father, brother or any other male figure. It is thus essential for the campaign to use more visual content in the promotion campaign as males understand better the things that they can see. The promotion campaign might do better when beautiful females feature as men are attracted to beauty.

Another cultural aspect that will promote sales in African countries is because Africans do not have a hostile culture towards USA’s products. Africans adore the US and it is demonstrated by the high number of young people from Kenya who study for their degrees in the USA. Many Africans view products from international organizations especially those made in America as status symbols and of better quality (Barrett & Kiwiets, 2007).  Promotional activities portraying the product’s superiority in quality and functionality above other brands from say China would be a sure way to win the African market.

COMMUNICATION OBJECTIVES

The general objective will be to disseminate product knowledge to the 10per cent market share composed of  both the high end consumer and the low income consumer in the rural areas with minimal or no electricity supply within  the first six months of market penetration.

TYPES OF COMMUNICATION MEDIA TO USE

It is important to assess the literacy level and quantity of the target market in deciding on which media to use (Koekemoer, 2008). It is most viable to use Radio in Africa as the information would efficiently reach all the target market segments. Majority of homes have access to a Radio and there are stations communicating in almost every dialect. Road shows and personal demonstrations would also be used in the rural settings although they are time consuming and more costly.

SALES PROMOTIONS

The company shall periodically offer coupons to earn customers some discount on the next purchase of a similar value or lower value. This will ensure that customers buy more electronics from this company as well as refer more of their friends and family to buy from En-Sync Technologies Inc.

PERSONAL SELLING AND TRAINING

The company shall hire sales people to establish relationships with potential buyers in the target locations. They shall be trained by the distributor on all the company products for two weeks. They will be then required to conduct door to door sales prospecting and provide product information to the prospective customers. This will be done at a low cost due to the low cost of labor in Africa and it will be remunerated on commission basis.

EXPLAIN MARKET RESEARCH CONDUCTED FOR MODULE 4

Market research informs the marketing and sales promotion techniques to be adopted.

Understanding African culture is essential because this is where a large segment of the market for En-Sync Technologies Inc is located.

References

Barrett, P., & Kiwiets, D. (2007). FCS Marketing L4. Johanesburg: Pearson South Africa.

Ennew, C., & Waite, N. (2010). Financial Services Marketing. New York: Routledge.

Koekemoer, L. (2008). Marketing Communications. Osaka: Juta and Company Ltd.

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