Case: Construction Company

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Events and experiences
Events and experiences are activities and programmes sponsored by a company designed to create special brand-related interactions (Kotler et al. 2012, 777). Arens et al. (2011) present definition of a sponsorship given by IEG (1996): A sponsorship is a cash or in-kind fee aid to a property (which maybe a sports, entertainment, or nonprofit event or organization) in return for access to the exploitable commercial potential associated with that property. There are several categories of a sponsorship and according to IEG Sponsorship report
(2013) the largest in North America are sports (69%), entertainment (10%), and causes. The company-sponsored sports event can connect the company to the local community hosting the event or regional, national or international audience. Examples of entertainment sponsorships are concert tours, attractions, and theme parks. Kotler et

13 al. (2012) also mentions experiences as inviting customers and prospects to their factories, headquarters, and corporate museums. Cause marketing is a relationship between a company and a cause that the company wants to talk about in the marketplace
(IEG 2014). Examples is a fundraising promotion when the proceeds of a specific product is donated to a nonprofit. It also includes such activities as sponsoring charity events, organising courses for elderly and sponsoring other nonprofit events.
Arens at al. (2011) tells that the company may buying into an existing event or creating their own. But what is more important according to the authors is to get a good fit between the sponsor and the event. The main benefit of sponsorship is that the public approves it in addition it has the ability to involve stakeholders (Arens at al. 2011,
649). Sponsorships can be cost-effective in term of reaching a particular audience and can achieve many objectives including increased awareness, image enhancement, improved relationships (Smith and Zook 2011, 349). Kotler et al. (2012) add that spon- sorships create or reinforce key brand associations, enhance corporate image, and evoke feelings. Nevertheless, sponsorship can be costly, especially when solely sponsored. In case of cosponsored events it maybe difficult to communicate one marketers message. In order to implement an effective sponsorship the target audience should be researched, clear objectives set, and appropriate types of sponsorship evaluated and selected. (Smith and Zook 2011).
Public relations and publicity
“Public relations is the management function that focuses on the relationships and communications that individuals and organizations have with other groups (called publics) for the purpose of creating mutual goodwill (Arens at al. 2011, 635). The term “publics” refers to stakeholders and as it follows from the definition, the objective of public relations aims at developing and maintaining liking of the publics. Public relations communications reach the audience informs of reviews, news articles, interviews, or feature stories. Since the audience receives such messages from a medium rather than a company, they have greater reliability (Arens at al. 2011). When public relations activities are used for marketing purposes, they are called marketing public relations. Some of marketing public relations tools mentioned by Kotler

14 et al. (2012) and Arens at al. (2011) are publications, news, feature articles, speeches, corporate blogs, and social media. By utilizing these tools a company may increase awareness, educate customers, build and improve understanding, and establish trust. Public relations also allow reaching audience which avoid advertisements (Kotler et al. 2012, 797). According to Smith and Zook (2011) public relations has lower costs than advertising, it is useful for generating awareness and building preference. At the same time, publicity has such a drawback as absence of control over the final message distributed to the audience.
Interactive marketing
Kotler et al. (2012, 777) defines interactive marketing as online activities and pro- grammes designed to engage customers or prospects and directly or indirectly raise awareness, improve image or elicit sales of marketing offering. Some forms of interactive marketing presented by Kotler et al. (2012) are the company’s website, search
(pay-per-click) advertisements, banner advertisements, internet-specific advertisements which can be shared virally, sponsorships of particular content on websites, emails (as apart of direct marketing, and mobile. Interactive marketing offers the possibility to send tailored messages to potential customers by inserting advertisements on sites corresponding to a market offering, placing ads based on search engine keywords, or use behavioural targeting by positioning ads of previously visited sites when a customer is browsing an unrelated page. The effect is easy to measure and it gives the opportunity to analyse the customers behaviour once they click on an ad. Interactive marketing has limitations as well. For instance, internet users can screen out advertisements, block popup windows, and treat ads as distractions. Despite this, spending on the internet as a medium of marketing communications grew by 32,4 percent during the three quarters of 2013 (Nielsen
2013). In some case interactive marketing has features of personal communications, for example when an online consultant is available on the website and communicates with a visitor through a video connection or chat. Nonetheless most of examples of interactive marketing activities are non-personal, thus it is attributed to this group.


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