Trade Marketing Module 1-3 PDF

Module 1: The Fundamentals of Trade Marketing and Its Applications MARKTRA SCHOOL LOGO 1st Semester | AY: 2024-2025 | PROF: Gerald Lanip B2B Marketing...

Module 1: The Fundamentals of Trade Marketing and Its Applications MARKTRA SCHOOL LOGO 1st Semester | AY: 2024-2025 | PROF: Gerald Lanip B2B Marketing Module 1: The Fundamentals of Trade Marketing and Its Applications Trade marketing is not about B2B only. It is also not about consumers; it is about buyers and facilitating the shopping Topic 1: Role of Trade Marketing process according to the specifics of the channel. Trade marketing encompasses all forms of marketing aimed at businesses. Distribution Channel Example: ○ Free chillers for Coca-Cola distributors ○ Free freezers for Selecta distributors Ecosystem of Trade Marketing Direct Channel ○ the producer or manufacturer sells products directly to the customers without involving intermediaries. ○ the producer controlling the entire process, from production to sale. 1. Manufacturer: Indirect Channel The source of the product. ○ Involves intermediaries like retailers, wholesalers, agents, The manufacturer produces goods and then passes them or distributors between the producer and customer. down through various intermediaries to reach consumers. ○ Helps producers reach a wider audience but gives them less control over the sales process. 2. Sub-Dealers: Part of the middlemen category. Trade Marketing Sub-dealers help in distributing products to wholesalers and retailers, acting as an intermediary layer between manufacturers and consumers. is a discipline of marketing that relates to increasing the demand at wholesaler, retailer, or distributor level rather than 3. Distributors: at the consumer level. is one of the most initial and critical aspect of marketing Also referred to as 1st league middlemen. because here you are selling not to the consumer but to the Distributors buy large quantities of products from trader himself. manufacturers and pass them on to retailers. They ensure is a form of B2B marketing where the products are marketed products are available for retail distribution. to marketeers/companies who when convinced, go ahead and sell those products to the consumers. 4. Retailers: Retailers are consumer outreach endpoints. They sell products directly to the final consumers. They are responsible for making the product accessible in stores, both physical and online. MARKTRA Module 1: The Fundamentals of Trade Marketing and Its Applications 1  Module 1: The Fundamentals of Trade Marketing and Its Applications MARKTRA SCHOOL LOGO 1st Semester | AY: 2024-2025 | PROF: Gerald Lanip 5. Influencers: POS ( Point of Sale) Play a role in promoting products to create demand Definition: The point of sale (POS) is where a retail transaction is among consumers. completed, either at a cash register in physical stores or via online Though not directly involved in the distribution chain, checkout systems. influencers impact consumer decisions and drive demand toward retailers. Functionality: 6. Consumers: In physical stores, it is the area where customers check out. The final destination for the product. Online, customers complete transactions by pressing a Consumers purchase products from retailers, completing checkout button. the distribution chain. Purpose: Displays at POS are strategically placed to encourage Examples: impulse buying, featuring smaller, lower-priced items that entice customers to spend more during checkout. Cosmetics (Maybelline): Components of a POS System: 1. Manufacturer (Maybelline) produces makeup products. 2. Sub-dealers help distribute products to regional beauty Hardware: Includes barcode scanners, card readers, stores. receipt printers, etc. 3. Distributors supply big retailers like Sephora and Ulta. Software: Involves payment processing, inventory 4. Influencers (beauty bloggers) review and recommend management, and sales statistics. products. Payment Methods: POS systems can accept various forms 5. Consumers buy the makeup from retailers after seeing of payment, including credit, debit, mobile payments, and influencer promotions. gift cards. E-commerce Integration: Some POS systems provide mobile app POP (Point of Purchase) capabilities and extend their functionality for online sales, allowing Definition: the location where customers decide whether to buy customers to purchase items from various platforms. products in a store. Purpose: POP displays are designed to attract customers and POP vs POS Display Strengths promote products, influencing whether they make a purchase or leave empty-handed. Key Elements for Effective POP Displays: POP Display Strengths POS Display Strengths Stand Out: Products should be visually appealing and More quantity of products Single packaged items highlight key information to help customers decide to buy. Strategic Placement: Displays should be placed in POP displays can showcase a POS displays typically focus on high-traffic areas to catch attention. larger variety of products, single packaged items, which Creativity & Planning: Successful POP displays require making them more appealing to simplifies the purchasing preparation, creative ideas, and strategic thinking. customers as they have multiple process for customers. Special Products: Limited edition or seasonal items can options to choose from. help create urgency and capture customer interest. MARKTRA Module 1: The Fundamentals of Trade Marketing and Its Applications 2  Module 1: The Fundamentals of Trade Marketing and Its Applications MARKTRA SCHOOL LOGO 1st Semester | AY: 2024-2025 | PROF: Gerald Lanip Increase brand awareness Impulse purchases Trade Marketing vs. Brand Marketing They effectively enhance brand POS displays encourage Brand marketing builds consumer awareness and visibility, attracting customers’ last-minute impulse buying, demand. attention and reinforcing brand capitalizing on customers' Trade marketing ensures products are available at the identity. spontaneous purchasing point of sale for consumers. behavior at checkout. The two strategies complement each other; brand marketing Placed in high traffic areas Products are placed at the attracts consumers, while trade marketing ensures the product is register available to meet demand. These displays are strategically POS displays are located at located in areas with high the cash register, where Importance of Trade Marketing customer foot traffic, customers finalize their maximizing visibility and purchases, ensuring they see Launches promotional activities at the store level. interaction. these items just before Ensures that products are always available to consumers. buying. Uses incentives such as prominent displays, shelf space, Great for sales and promotions Semi-permanent displays publicity, and sales promotions to encourage retailers to carry products. POP displays are particularly POS displays are often effective during sales events semi-permanent, maintaining and promotions, driving a consistent presence in retail Topic 2: Challenges & Future of Trade Marketing increased sales. environments to build recognition. Challenges Displays are much larger and Smaller displays and lower in product sizes vary price 1. Understanding Retailer Needs: It's essential to grasp the unique requirements of each retailer, which can be POP displays can accommodate POS displays tend to be challenging. a wide variety of larger smaller and focus on 2. Traditional Marketing Limitations: Many companies stick products, offering customers lower-priced items, appealing to traditional marketing methods, which may limit the more options and variety. to customers seeking quick potential of trade marketing. and affordable purchases. 3. Same Strategy for Retailers and Shoppers: Manufacturers often use the same marketing approach for both retailers and end consumers, which can be ineffective. Why is it EXTREMELY CRITICAL for companies to perfect Trade 4. Shopper Marketing as a Subset: Shopper marketing is just Marketing to the core? one part of trade marketing, and it focuses on influencing Firstly, if you’re not impressing your supply chain partner to buy the purchasing decisions in-store. your product for reselling then certainly, your competition is filling up that gap Secondly, the fight for the optimum shelf-space or consumer-redressal is more real than what you’d be anticipating. MARKTRA Module 1: The Fundamentals of Trade Marketing and Its Applications 3  Module 1: The Fundamentals of Trade Marketing and Its Applications MARKTRA SCHOOL LOGO 1st Semester | AY: 2024-2025 | PROF: Gerald Lanip Future of Trade Marketing Trade Marketing Methods and Tools (Tactics): Implementing specific actions or tools such as promotions, 1. Eliminating Delayed Rewards: product displays, and other marketing efforts to attract ○ Consumers expect immediate rewards, pushing retailers and consumers. retailers to create agile processes for order fulfillment. Trade Marketing Roles and Responsibilities (TM Roles): 2. Hyper-Personalization: ○ With the digitalization of experiences, Defining the tasks and duties of individuals or teams personalization is no longer optional but involved in executing the trade marketing strategies. expected, blending online and offline experiences. Data Analytics: 3. AI and Machine Learning: ○ Leveraging data and AI to identify consumer Using statistical and data analysis tools to measure the needs and provide personalized experiences is performance of marketing activities, helping in optimizing key to future success. strategies. 4. Visual Search: ○ Visual search is becoming more popular, Action Plans and Programs: allowing consumers to search for products using images rather than text. Developing detailed plans for implementing marketing 5. eCommerce on Social Media: tactics, including timelines, resources, and specific steps to ○ Social media platforms play a significant role in achieve marketing goals. online shopping, influencing consumer discovery and purchase decisions. Investments and Budgeting: 6. Smart Home Speakers & Chatbots: ○ Voice shopping is on the rise due to its Allocating financial resources effectively to different convenience, helping convert leads to sales marketing activities, ensuring the budget is utilized to more efficiently. maximize impact. 7. Channel-less Approach: ○ Companies need to reach consumers across Market Audit and Reviews: multiple touchpoints in their buying journey, moving towards a seamless, channel-less Regularly assessing market conditions, consumer experience. responses, and the effectiveness of trade marketing efforts to make necessary adjustments. Topic 3: Components of Trade Marketing Training & Development and Trade Marketing Relations (including CSR): Trade Marketing Basic Elements Providing continuous training to staff, enhancing skills, and maintaining strong relationships with partners Strategy: (distributors, retailers), and considering corporate social responsibility initiatives. Creating a clear plan to achieve trade marketing objectives. This includes identifying target markets and setting goals for brand or product growth. Research Data: Collecting and analyzing data to understand market trends, consumer behavior, and the effectiveness of marketing campaigns. This is essential for making informed decisions. MARKTRA Module 1: The Fundamentals of Trade Marketing and Its Applications 4  Module 1: The Fundamentals of Trade Marketing and Its Applications MARKTRA SCHOOL LOGO 1st Semester | AY: 2024-2025 | PROF: Gerald Lanip Effective Components for Trade Marketing Prioritizes cost-effectiveness and result-oriented marketing to ensure sustained brand development. 1. Strategic Trade Marketing a. Trade Strategy b. Customer Census and Classification Topic 4: Stakeholders in Trade Marketing c. Trade Analytics 2. Operational Trade Marketing 3 Stakeholders in Trade Marketing a. Trade Program Development b. Sales & Operational Planning The Brand c. Category Management d. Trade Management The company should know the brand, Macasaet (2015) cited 4 basic e. Trade Coverage Planning questions: f. Trade Investment Modeling 3. Executional Trade Marketing 1. Who is the primary target market of your brand? a. Account Management 2. What is unique or superior about your brand versus b. Territory Management competitors? c. Trade Approach Contacts 3. What does your brand want the target consumers to feel d. Customer Call Processes and want when they use your brand? e. Trade Events & Relations 4. What are the concrete pieces of evidence supporting your brand claim? Traditional vs. Advanced Trade Marketing Key issues in brand at the trade level: Traditional Trade Marketing: 1. Consistency of messages at the path-to-purchase and Divided into two main activities: point-of-purchase (POP). 2. Types of promotions that either reinforce or harm the ○ Dealer-focused activities: Aimed at middlemen or retailers brand’s positioning. to encourage them to stock and promote products. 3. Display space in the right category and beside the ○ Consumer-focused activities: Focused on retail marketing appropriate competitor. aimed directly at consumers. 4. Pricing that reflects well at the trade level (neither too high nor too low). There was no clear way to prioritize between dealer and consumer 5. Outdated and worn-out POP materials should be marketing activities. replaced, as they damage the brand image. 6. The personality and look of the in-store brand Advanced Trade Marketing: ambassador (push girl/boy) contribute to brand perception. Helps small and medium-sized businesses expand into new markets. Provides end-users with information about the products they desire. More strategic and long-term oriented, considering both business growth and consumer needs. Modern Trade Marketing Focuses on developing long-term business propositions for brand growth. Goes beyond the fast-moving consumer goods (FMCG) industry to monitor cost and performance measures in other sectors. MARKTRA Module 1: The Fundamentals of Trade Marketing and Its Applications 5  Module 1: The Fundamentals of Trade Marketing and Its Applications MARKTRA SCHOOL LOGO 1st Semester | AY: 2024-2025 | PROF: Gerald Lanip The Retailer: Module 2: Methods & Tools of Trade Marketing Trade marketers should understand the retailer's business, product Topic 1: Methods of Trade Marketing assortments, and strategy for differentiating itself from competitors. They need to leverage their brand to support the retailer’s differentiation strategy. 7 Main Trade Marketing Strategies Key Issues of Retailers: 1. Trade Shows - Excellent opportunities for networking and building 1. Lack of real trade marketing practice. long-lasting business relationships. 2. Lack of shopper understanding – evident in types of - Ideal for manufacturers to showcase products and build promotions, pricing, displays, etc. brand awareness. 3. Does not help grow the category, focusing only on their - Engage retailers, wholesalers, and distributors in face-to-face own brand. interactions. 4. Does not help/align with category and store strategy. 5. Does not share information and insights (e.g., pre- and post-evaluation of promotion programs). 2. Trade Promotions Recommendations for Trade Marketers: - Crucial for maintaining relationships with retailers, wholesalers and distributors. Support retailers' supply and demand initiatives. - Innovative promotions and special offers can motivate Help lower merchandising expenses by negotiating for partners and increase repurchase rates. more sales allowances and discounts. - Personalizing offers makes clients feel valued, increasing Focus on lowering costs of goods, improving shopper loyalty. marketing through assortment optimization, and supporting promotions. The Shopper: 3. Trade Magazines & Websites - Advertisements and articles help increase brand visibility. There are different types of shoppers, and understanding them can - Although ads may be costly, they are essential for growing help optimize marketing resources and strategies. brand recognition. - Public relations efforts in trade media enhance credibility Types of Shoppers: and trust for the company. 1. Brand Loyalists: Shoppers who are loyal to your brand. 2. Brand Switchers: Impulsive shoppers or those who decide based on their feelings while shopping. 4. Branding 3. Brand Rejecters: Shoppers who are loyal to your - Marketing is only effective when backed by a trusted and competitor. well-known brand. - Supply chain partners (wholesalers, retailers, etc.) seek Understanding these distinct shopper types allows for more long-term customer loyalty rather than short-term gains strategic marketing decisions and resource optimization. - Strong branding is key to ensuring consumer purchases and maintaining customer loyalty. MARKTRA Module 1: The Fundamentals of Trade Marketing and Its Applications 6  Module 1: The Fundamentals of Trade Marketing and Its Applications MARKTRA SCHOOL LOGO 1st Semester | AY: 2024-2025 | PROF: Gerald Lanip 5. Strategic Partnerships Topic 2: Trade Marketing Tools - Trade marketing focuses on achieving shared goals among manufacturers, wholesalers, distributors, and retailers. - Collaboration between supply chain partners creates Digital Trade Marketing Tools: win-win scenarios. - Examples of strategic partnerships: 1. Efficient Website- includes features that optimize Aligning shipping and inventory systems for mutual communication, streamline processes, and enhance savings. collaboration between manufacturers, wholesalers, Sharing market research to better understand consumer retailers, and distributors. behavior. Collaborating on advertising campaigns Characteristics: - a. User-Friendly Interface: Clear navigation and well-organized content make it easy for users to access the information they need, whether 6. Ongoing Market Research they’re manufacturers, retailers, or distributors. - Baseline Data: It helps build profitable partnerships with supply chain partners by providing important inputs. - Understanding: Companies that comprehend their product, market and target audience are better positioned b. Real-Time Analytics & Reporting: Provides for success. up-to-date sales data, product performance, and - Benefits: This research enables companies to develop consumer behavior insights. This helps better effective marketing strategies. businesses make informed decisions about their trade marketing strategies. 7. Digital Marketing - Adaptation: Trade Marketers must adapt to changing c. Product Catalog and Promotions Management: conditions, especially by using online marketing tactics like Allows for easy updates and visibility into social media, email, and content marketing. product offerings, pricing and promotional - Balance: It is important to balance the convenience of deals. Retailers can access this information digital marketing with the personal touch of phone calls or quickly to manage their inventory and sales. in-person meetings. - Client Connection: Maintaining frequent contact with clients and prospects through a strong online presence and a comprehensive strategy is essential. d. Collaboration Tools: Facilitates communication - Relevance: The internet has become a battleground for between suppliers and retailers, providing a consumers, particularly during times of pandemics, platform to discuss inventory levels, promotions highlighting the importance of an effective online strategy. and product launches. e. Customer Relationship Management (CRM) Integration: Helps track and manage relationships with key accounts, ensuring personalized service and follow up on trade marketing initiatives. MARKTRA Module 1: The Fundamentals of Trade Marketing and Its Applications 7  Module 1: The Fundamentals of Trade Marketing and Its Applications MARKTRA SCHOOL LOGO 1st Semester | AY: 2024-2025 | PROF: Gerald Lanip f. Mobile Compatibility: Ensures the website is 2. Various Social Media Platforms- In the Philippine trade marketing fully functional on mobile devices, allowing setup, social media platforms play a significant role in teaching users to acccess it on the go, which is crucial for retailers, distributors, and B2B Partners. field sales teams. a. Facebook i. Most Popular Platform: dominates social media in the Philippines g. B2B E-Commerce Features: Enables retailers to ii. Trade Marketing Use: place orders, track shipments, and manage 1. Facebook Pages: To promote trade billing through the platforms, simplifying the promotions, product updates and new buying process. store openings. 2. Facebook Groups: allow for direct communication and collaboration with local distributors, wholesalers and h. Market and Consumer Insights: Provides retailers. insights into trends, competitive pricing, and 3. Messenger: Used for B2B inquiries, consumer behavior, helping retailers and order placements and customer manufacturers adjust their strategies. service with retailers. 4. Facebook Ads: Useful for promoting trade products. Examples: b. LinkedIn i. Professional Networking: Used by businesses - Unilever’s Partnerhub: A B2B platform that provides and professionals, particular for B2B marketing. real-time data, trade promotions, and retailer’s support. ii. Trade Marketing Use: - Procter & Gamble’s Customer Portal: Offers seamless 1. Build connections with retail partners, collaboration with distributors and retailers through especially for higher-level customized trade marketing strategies. management. - These platforms make trade marketing more effective by 2. Used to post trade shows, industry providing a centralized, efficient means for managing events, and thought leadership campaigns, orders, and customer relationships. content that fosters collaboration with Philippine retailers. 3. LinkedIn Ads: targets professionals involved in purchasing, distribution, and trade marketing, making it a valuable tool for B2B campaigns. c. Instagram i. Visual Branding Platform: Filipino retailers and brands for showcasing products and store set ups. ii. Trade Marketing Use: 1. Businesses use this to visually highlight their products, in store displays, and trade events. 2. Uses to discover product trends and promotions, which brands leverage by showcasing exclusive offers for their partners. 3. Influencer Marketing: Influencers collaborate with brands to boost visibility among retailers. MARKTRA Module 1: The Fundamentals of Trade Marketing and Its Applications 8  Module 1: The Fundamentals of Trade Marketing and Its Applications MARKTRA SCHOOL LOGO 1st Semester | AY: 2024-2025 | PROF: Gerald Lanip d. Youtube g. TikTok i. Video Content Hub: One of the most popular i. Rising Popularity: quickly gaining traction in the platforms in the Philippines for video Philippines, especially for promoting product consumption. creativity. ii. Trade Marketing Use: ii. Trade Marketing Use: 1. To share tutorials, product demos, and 1. Used to showcase fun, creative videos trade marketing strategies that help about their trade promotions, new retailers understand how to promote product launches, or in-store activities. or sell products effectively. 2. Useful for engaging with younger 2. Posts videos from trade events, retailers or small business owners who in-store activities, and interviews with are active in Tiktok. trade partners, helping to foster 3. Ads n TikTok can reach local business relationships. businesses, particularly in sectors like 3. Video Ads: Targets Filipino retailers, fashion, beauty and food retail. distributors, and business owners to h. Shopee/Lazada (Social Commerce) drive awareness of new trade i. E-Commerce Integration: They both have promotions or products. integrated social commerce features, making e. WhatsApp Business/Viber them effective for trade marketing in the i. Messaging Apps: Widely used for B2B Philippines. communication in the Philippines ii. Trade Marketing Use: ii. Trade Marketing Use: 1. Uses these platforms to partner with 1. For quick and direct communication local retailers for product listings and with retail partners, such as confirming promotions. orders, sharing trade promotions and 2. Often provide retailers with special answering queries. promotions or trade deals directly on 2. Group Chats: allows brands to these platforms, optimizing the supply maintain close personal contacts in chain for B2B transactions. managing trade relationships. 3. Retailers also utilize these platforms 3. Retailers use these platforms to for stock replenishment and accessing connect with their suppliers, request special pricing deals. product information or follow up on i. Pinterest trade deals. i. Inspiration Platform: Slowly gaining momentum f. Twitter (X) in the Philippines for creative industries. i. Real-Time Updates: used for industry news and ii. Trade Marketing Use: real-time updates. 1. To share visual ideas related to ii. Trade Marketing Use: product merchandising, retail designs, 1. Share updates about new product and in-store displays. launches, trade shows and 2. Where retailers can draw inspiration promotional events. for visual merchandising and 2. Monitor industry trends, customer promotions. feedback and retail developments in j. Reddit the Philippines by following relevant i. Niche Discussions: Not as mainstream in the hashtags or industry influencers. Philippines but is used for niche discussions. 3. Twitter Ads: for quick promotions or ii. Trade Marketing use: trade product awareness campaigns. 1. Brands participate in or monitor subreddits related to trade marketing, retail trends or entrepreneurship in the Philippines 2. Provides opportunities for businesses to answer trade-related questions or share insights about the local retail market. MARKTRA Module 1: The Fundamentals of Trade Marketing and Its Applications 9  Module 1: The Fundamentals of Trade Marketing and Its Applications MARKTRA SCHOOL LOGO 1st Semester | AY: 2024-2025 | PROF: Gerald Lanip Popular Email Marketing Tools: - Mailchimp: Easy to use for small to medium businesses to send product updates and promotions. Key Considerations in the Philippine Market: - Hubspot: Advanced CRM integration, ideal for managing key trade accounts. Localized Content: It’s essential to tailor content and local - ActiveCampaign: Great for businesses that need advanced promotions to local languages (Filipino and English) and automation and segmentation for trade marketing. cultural preferences. - Zoho Campaigns: Affordable, integrates well with Zoho Influencer Collaborations: Many trade marketing CRM, perfect for SMEs. campaigns leverage social media influencers to reach - GetResponse: Offers webinar hosting, ideal for promoting retailers and consumers alike, particularly facebook, trade events instagram, and tiktok. - Sendinblue: Combines email and sms, useful in a Mobile-First Strategy: platforms that work well on mobile-first market. smartphones are critical for engagement. - Constant Contact: Excellent for managing event invitations and trade show follow-ups. Benefits: 3. Email Marketing Software - Cost-effective: Reach thousands of retailers at a low cost. Key Features: - Increased Reach: Email Connects with retailers across remote areas. - Localized Content: Emails often use English and Filipino - Boost Sales: Trade deals and bulk discounts drive more with promotions tailored to regions like Luzon, Visayas, orders. and Mindanao. - Engagement: Personalized emails strengthen relationships - Personalization: Customized trade offers based on retailer with trade partners. size, location, and preferences. - Event Promotion: Promotes local trade shows and events - Automation: Automated product launches, seasonal efficiently. deals, and updates help businesses manage high trade activity, especially during peak seasons. - Segmentation: Targeted emails for different types of retailers (ex. Sari-sari stores) based on buying behavior 4. Landing Pages for Lead Generation in the Philippines and location. a. Purpose: Capture potential retail or distributor leads. - Mobile Optimization: Since many retail owners use b. Uses: smartphones, emails are designed for mobile readability. i. Product Promotions: Promoting new products or bulk - Events Invites: Businesses use email to invite trade discounts to retailers. partners to product launches and events. ii. Event Registration: For trade shows, demonstrations, and webinars. iii. Exclusive Trade Deals: Showcase special offers to encourage engagement. iv. Lead Capture for Sales Teams: Information from landing pages helps in follow-ups by sales teams. c. Key Elements: i. Localized content in Filipino and English. ii. Mobile-friendly design. iii. Clear Call-to-Action (CTA). iv. Lead forms for capturing contact information. d. Benefits i. Increased retailer engagement. ii. Cost-effective lead generation. iii. Targeted outreach based on lead segmentation. MARKTRA Module 1: The Fundamentals of Trade Marketing and Its Applications 10  Module 1: The Fundamentals of Trade Marketing and Its Applications MARKTRA SCHOOL LOGO 1st Semester | AY: 2024-2025 | PROF: Gerald Lanip Module 3: Developing the Trade Marketing Strategy Objective: Establish a strong brand presence connected to Filipino culture and values. Actions: Topic 1: 7 Steps in Developing a Trade Marketing Strategy ○ Develop messages that resonate with values like family and resilience. 7 Steps in Developing a Trade Marketing Strategy ○ Use local language, pride, and endorsements in campaigns. Conduct Market Research: Example: Mang Inasal emphasizes “home-cooked” flavors and uses local endorsements, boosting familiarity. Objective: Understand the competitive landscape, consumer preferences, and market trends. Create a Product Proposition: Actions: ○ Use surveys, focus groups, and industry reports. Objective: Craft a value proposition that appeals to ○ Analyze competitors' pricing, product offerings, Filipino consumers and retailers. and distribution. Actions: ○ Investigate market trends (e.g., sustainability, ○ Highlight differentiators such as affordability and digital shopping). health benefits. Example: Jollibee introduced the Amazing Aloha ○ Emphasize how the product meets specific Yumburger after seeing demand for healthier options with needs. a local twist (pineapple). Example: Globe Telecom’s affordable connectivity plans resonate with the needs of Filipinos for reliable internet. Understand Current Shopper Behavior: Define Your Advertising and PR Agenda: Objective: Analyze Filipino consumer behavior, motivations, and purchasing channels. Objective: Develop an advertising and PR plan tailored to Actions: the Philippines. ○ Study consumption patterns, such as shopping Actions: in sari-sari stores and online platforms (Lazada, ○ Invest in local platforms like TikTok, Facebook, Shopee). and YouTube. ○ Factor in cultural habits like "pasa-buy" and bulk ○ Use local influencers and celebrities to create a shopping. relatable image. Example: Nestlé introduced smaller sachet versions of ○ Participate in local events for community Milo and Nescafé to cater to low-income areas. presence. Example: Bench uses celebrity endorsements and fashion Develop Your Product Further: events to maintain cultural relevance. Objective: Adapt the product to meet local consumer Execute: needs. Actions: Objective: Implement the strategy effectively within the ○ Gather feedback from customers to refine retail environment. offerings. Actions: ○ Consider local flavors, ingredients, and ○ Collaborate with retailers to ensure proper relevance. product placement and promotion. Example: San Miguel Brewery developed flavored beers ○ Run promotional activities like free samples, (San Mig Light with Apple) to appeal to younger discounts, or bundling. consumers. ○ Monitor sales and adjust tactics as needed. Example: Unilever works with retailers to run "Buy 1 Take 1" promotions for products like Sunsilk. Work on Your Branding: MARKTRA Module 1: The Fundamentals of Trade Marketing and Its Applications 11