ZENITH

International Journal of Multidisciplinary Research Vol.2 Issue 2, February 2012, ISSN 2231 5780

WHETHER MOBILE MARKETING INCREASES THE BRAND VALUE OF A CAR
MS.R.SUGANYA*; MRS.S.SHANKARI**
*Faculty Member , R L Institute of Management Studies, Madurai,Tamilnadu. **Faculty Member, R L Institute of Management Studies, Madurai,Tamilnadu.

ABSTRACT Direct and sales representative communication in Marketing are beyond Company’s brand communication budget, perhaps One should invest in Mobile marketing because it’s quick, direct, and affordable a fast response .Furthermore, to target a small group ,companies should go for less cost of communication mode . Read on ….. ______________________________________________________________________________ 1.INTRODUCTION Technological innovations have changed for the better lives because of the introduction of various technologies. The first revolution was brought in by the computers and now, the mobile phones and the mobile based applications are all set to make a major impact on our lives. Although the economic slowdown is doing its best to retard auto sales, tech savvy auto dealers are turning to mobile marketing and mobile advertising to liven things up a bit. As the consumers always have their cell phones handy, they are always within the auto dealers' reach to receive their text promotion. 1.1 BRAND A brand is the symbol, logo, design, or the name that is the unique identity of a particular product or service and differentiates it from the competitor’s offerings. Intense promotional and marketing effort over time is required to build and establish a brand. Strong brands require strong positioning platform. The paper examines the management of brands.

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1TYPES & KEY TOOLS Some of the methods that are used in Mobile marketing are: SMS (SHORT MESSAGE SERVICE ) : This is generally referred to as a text message that can be sent from person to person (P2P) . BRAND IDENTITY .in . and ideas to create exchanges that satisfy individual and organizational goals . or application to person. promotion and distribution of goods . PERCEIVED QUALITY..MOBILE MARKETING As per the chambers English dictionary . February 2012.2 Issue 2.zenithresearch. 423 www. the word “ Mobile”means“able to move about. has to pay an incremental fee. BRAND LOYALTY.2BRAND VALUE The brand Value also known as Brand Equity. from person to Application (P2A) . as in a voting application in a television realty show etc. 2. Access of internet on your mobile device is possible via a WAP session. purchase of a ring tone . WAP is the Wireless connection to the Web.Brand identity is the associations that the consumers have with the brand. BRAND AWARENESS .” 2. This is effective in participating in a programme . WAP: Is an abbreviation of wireless application protocol . usually tagged with an acknowledgement or information (A2P) PSMS (PREMIUM SMS): Here the service user is not charged for individual message. ISSN 2231 5780 1.” “Marketing Management is the process of Planning and executing the conception.services .ZENITH International Journal of Multidisciplinary Research Vol.” (American Marketing Association ) With this definition is defined in the following ways: Mobile Marketing Association (2009) defines mobile marketing as “Mobile Marketing is a set of practices that enables organizations to communicate and engage with their audience in an interactive and relevant manner through any mobile device or network. caller tune or wallpaper and others that the service offers.Brand loyalty is the degree of repeat value that the brand has.Perceived quality is the degree of quality as seen by the consumers in the brand. pricing .Brand awareness is the degree of familiarity that the consumers have with the brand.org. Philip Kotler defines “Marketing ” as “ a Social and managerial process by which individuals and groups obtain what they need and want though creating and exchanging products and value with others .

4.BROWSER –BASED : In this case the marketing is done with the help of internet on mobile for advertisements. MOBILE VIDEO: Wherein the gadgets are fitted with a cameras for Video and Photography.(a Research and Marketing firm ) . It is possible to Watch TV. MESSAGING –BASED: Mobile marketing is based on SMS and MMS (Multimedia Messaging ).in . audio can be taken using mobile phone and can be sent to friends or email. music videos and commercials on the Mobile device..ZENITH International Journal of Multidisciplinary Research Vol.LOCATION – BASED : Some of the companies are using this as a convenient way of reaching the customer on a one-to-one basis . February 2012.this is a facility to intimate .2 Issue 2. 2.2CHARACTERISTICS OF MOBILE MARKETING Mobile marketing is no less than an exotic marketing solution . It has become a core channel for the marketers . Video. 3.According to this report.VOICE –BASED : Here the voice mail is used being supplemented with the messaging .SMS.mobile marketing has the following four types of broad formats: 1.org.call to action or very simple present a brand banner using any of the above mentioned mobile applications-WAP. 2. the term “Mobile marketing ” refers to a broad range of formats in which target audience interacts with the campaign launched by a company with the help of their mobile phones . ISSN 2231 5780 MMS (MULTIMEDIA MESSAGING SERVICE): Picture. MOBILE ADVERTISING: Is much akin to the initiatives of internet or TV advertising .MMS.According to a report published by first Partner Ltd. This is enabled by MMS or Multimedia messaging Service. 424 www.zenithresearch.

it is apparent that auto dealers. When you consider that 23% of all auto shoppers use the mobile phone during the car buying process.zenithresearch.e. what should be the product directions and even which ads to run .Generating Hype. and OEMs need to embrace mobile marketing.2 Issue 2. e. Whether targeting a potential buyer or an existing client. Once a prospect participates in an interactive text message promotion. The www. Club Texting will enhance customer relationships to a more personal level via text messaging.e. dealer groups. Building Brand Awareness . In fact.g.3 THE 4 P’S OF THE MOBILE MARKETING MIX FOR BRAND VALUE PERSONALIZATION: It is here referred customization of Products and services .g.org. 3. an auto dealer’s entire inventory is search-enabled and available on the convenience of the mobile phone. By using Club Texting.: Reaching the Right People.in 425 . And. he or she has supplied a viable opt-in and can be contacted in the future when you have sales or special events. 3. Advanced Mobile Solutions Cars2Go product is one such example. PREDICTIVE MODELING: This refers to algorithms that are being successfully applied in marketing problems.trying to impose a brand on the customer .With Club Texting. Generating more sales . some of the best success stories in mobile have come in the auto industry. IMPACT OF MOBILE MARKETING ON CAR SALES When it comes to the auto industry.P2P is now being referred as social computing and is likely to be the most disruptive force in the future of Marketing .g. Car Dealerships can reach out to clients directly to keep them involved in your brand.ZENITH International Journal of Multidisciplinary Research Vol. and helps it come alive with interactivity. Customer Research . mobile marketing is playing a tremendous role in its resurgence. Mobile helps overcome the din of advertising in the crowded auto advertising space to make auto dealer stand out from the rest. adding an interactive text message promotion to that advertising is a great way to build a database of prospects for the auto dealership.: Branding/positioning . they can generate leads according to specific car models and reach out to potential buyers about great deals and availabilities using SMS messages. ISSN 2231 5780 2. PARTICIPATION : This is to allow the customer to participate in what the brand should stand for . With Cars2Go. Auto dealers do a lot of advertising.: Creating a Viral Element .1MOBILE MARKETING & SMS TEXT MESSAGING SOFTWARE FOR CAR DEALERSHIPS Text message marketing for auto dealers enhances its staid advertising. especially newspaper advertising.The historical problem with marketing is that it is “interruptive” in nature . PEER–TO-PEER : This refers to customer networks and communities where advocacy happens . February 2012. Launching a product .eg: Enhance customer loyalty .

Mobile codes like “text WMX to 274447” to track spending and monitor leads from traditional advertising. text message voting. and service return. ISSN 2231 5780 dealerships can also send messages to existing clients about discounts on products and services. Research shows that over 90% of consumers that get text messages read them. 426 . Strong lead management tools.3BENEFITS OF MOBILE MARKETING TO AUTO DEALERS Mobile advertising such as text message sweepstakes. on-demand access to inventory 24/7/365. routine maintenance.in Promoting new dealership campaigns Real-time response to gauge the effectiveness of promotions Targeting the younger generation Building a database for future campaigns Advertising additional services Increasing the overall sales of cars. premium SMS. A simple SMS or bulk SMS help auto dealers get into a one-to-one relationship with the consumer. Mobile advertising can be tracked very easily and therefore. etc. The ability to create custom landing pages to reach every target. February 2012. but also gives you: A fully branded site on 100% of phones. 3.org. No other form of advertising receives a response as high as mobile marketing. allows auto dealers to evaluate results and check return on investment for every advertising promotion. Mobile advertising is a perfect solution for: Recording the phone numbers of consumers for future promotions www. and the newest released models 3. A recent study has indicated that the response to mobile advertising is as high as 50%. puts a dealer's brand in the hands of their potential consumers. including instant alerts and customer relationship management (CRM) integration. More sales and service opportunities through new outbound campaign opportunities.2 Issue 2. bulk SMS.2BUILD BRAND LOYALTY Mobile Marketing solution not only provides your customers convenient.ZENITH International Journal of Multidisciplinary Research Vol.zenithresearch.

consumers can get complete information about the dealership contact details and directions to the showroom. To redeem the offer.ZENITH International Journal of Multidisciplinary Research Vol. www.org. With this background. Hence we are attempting to explore consumers’ responsiveness to mobile marketing. 4. etc. Consumers can get access to used as well as new vehicle listings.3 BENEFITS OF MOBILE ADVERTISING TO CONSUMERS With mobile advertising. complaint redressal and customer education.in 427 . It's very convenient for the consumers as they do not have to cut out coupons from the newspaper. February 2012. The present economic slowdown is the perfect opportunity for mobile marketing to shine. By entering a keyword and a short code.This is because. gender. rates. 4. From the marketer’s perspective it is crucial to know the utility of mobile advertising.2 OBJECTIVE OF THE STUDY The primary objective of this research study is to gain an insight into the perception of mobile users. and vehicle condition report. car dealers have taken initiatives by adopting technology to improve their services to the customers in achieving lower turnaround time for customers servicing. a study is going to be carried out to analyse the scope of Mobile phone in increasing the brand value of the car. towards mobile advertising and their utility value in terms of impact on the purchase decision of car and maintain brand value. they just need to show the message to the dealer or provide the short code that the dealership included in his promotion.zenithresearch. as far as having an impact on purchase decision of a customer is concerned. consumers can reply to the advertisement the moment they see it. taking into cognizance the impact of demographic factors like age. Due to competition.1 STATEMENT OF THE PROBLEM: The penetration of Mobile phone and increase in the number of mobile phone subscribes had made it possible for the marketers to apply mobile technologies in marketing . occupation. and indeed mobile marketing is driving the car sales for auto dealers. complete with the vehicle pictures. Consumers sign up for a particular auto dealer's program because they want to receive their promotion They can get information on the vehicles even after the working hours of the dealership and also on weekends and Sundays when the dealership is not open. the mobile phone is a personalized medium for communication where they are reluctant towards receiving message related to marketing. RESEARCH METHODOLOGY 4.Consumer acceptance of mobile marketing is one of the major challenges in mobile marketing . ISSN 2231 5780 3.2 Issue 2.

Almost 85% of the respondents rated their usage of mobile in the range of medium to high income. The time frame of the study was October 2010 to December 2010. The area of our sampling is the city of Madurai. gender. K-S test. 75% of the respondents used their mobiles primarily for personal communication.zenithresearch. tables etc. An attempt has been made to keep the sample fairly representative across the demographic variables by constructing convenience sampling according to these factors e.. bar chart.in 428 .3% were females. Sumathi Shivkumar (2008) discusses how negative reactions like irritation arise through intrusion advertising. rank correlation.3 LITERATURE REVIEW A study done by Sanjit Kumar Roy (2009) showed that mobile channels are perceived to be more personal than traditional and e mail channels. A consumer expects messages to be personal and of high interest and this makes the disappointment greater when they get undesired messages. Percentage.7% were males and 12. 27% were in business. and level and purpose of mobile usage. Mobile advertising may even step over the line of discretion and invade consumers’ privacy because of the personal nature of the mobile device. occupation. This creates high expectations for the relevance of marketing communication messages. Almost 54% of the respondents belonged to the age group of 25 to 35 years and 30% of the respondents were professional. 4.org. 14% were government employee and 29% were in Private Employee. www. February 2012.g.ZENITH International Journal of Multidisciplinary Research Vol. age. 88. ISSN 2231 5780 4.2 Issue 2.4 METHODOLOGY Research Design Sample size Sampling type Tools used Descriptive type 50 Purposive or convenience sampling.stage sampling units were the mobile user’s opinion for car sales. Primary. while the secondary stage sampling units were Car dealers view on mobile phone effect on sales. pie chart. Chi-square test.

ZENITH International Journal of Multidisciplinary Research Vol. February 2012.5 DATA ANALYSIS & INTERPREATION 1. Age group Source: primary data FIGURE3: IT SHOWS THAT EDUCATION GREAT IMPACT ON MOBILE MARKETING It shows that education great impact on Mobile Marketing. 429 www.2 Issue 2. PERCENTAGE ANALYSIS FIGURE 1&2 : The chart shows Mobile marketing choice heavily influenced on the basis of respondent’s employment and age .org.in . ISSN 2231 5780 4.zenithresearch.

in 28 9 2 50 430 .zenithresearch.org.2 Issue 2.2.ZENITH International Journal of Multidisciplinary Research Vol. TABLE NO: A) RELATIONSHIP BETWEEN EDUCATIONAL LEVEL AND USAGE OF MOBILE MARKETING OF THE RESPONDENTS Category PG UG Schooling/Diploma Uneducated Total Source-primary data Usage 9 18 5 0 32 No Usage 2 10 4 2 18 Total 11 www. ISSN 2231 5780 Source: primary data FIGURE4: THE CHART SHOWS THAT 66% OF THE RESPONDENTS SAID THAT THEY WERE SATISFIED WITH SMS MARKETING. February 2012. CHI-SQUARE TEST Null Hypothesis: There is significant impact of educational level in Usage level of Mobile Marketing among the respondents. BECAUSE OF CONVENIENCE AND RECORD FOR FUTURE USE 4.

2 Issue 2.3. ALTERNATIVE HYPOTHESIS H1: There is difference in the consumer brand awareness of car sales after the implementation of Mobile Marketing. 4. Hence.org.KOLMOGOROV SMIRNOV ONE –SAMPLE TEST NULL HYPOTHESIS Ho: There is no difference in the consumer brand awareness of car sales after the implementation of Mobile Marketing.in . ISSN 2231 5780 Here the calculated value of 6. Source: primary data 431 www. February 2012.815 and the null hypothesis is accepted. there is significant impact of educational level in Usage of Mobile Marketing among the respondents.zenithresearch.ZENITH International Journal of Multidisciplinary Research Vol.05 is less than the tabulated value of 7.

So. And. Once a prospect participates in an interactive text message promotion. Brands like Chevrolet. Mobile marketing is being established as successful interactive marketing channel. Mobile marketing usage greatly influences by education and age of respondents. there is a significant difference in the consumer awareness of car sales after the implementation of Mobile Marketing among the respondent.2 SUGGESTIONS Companies generally desire more information in the areas of acceptance within target groups and avoiding spam in Mobile Marketing. he or she has supplied a viable opt-in and can be contacted in the future when Company have sales or special events.the table value=1.Here the calculated D value exceeds the critical value of 0. DSL or Wlan.Mobile phones are becoming more important as "response channel" for TV or banner campaigns due to this the car manufacture can arrange some promotional program through Mobile .in .80% of the respondents agree that mobile marketing increase CRM & Kolomogorov-smrinov shows mobile marketing increase brand value of car.36/ =0.ZENITH International Journal of Multidisciplinary Research Vol.26. Ford. brand popularity and client attachment are considered most promising.192 . which enables consumers to call a dealer immediately. So far marketers are allocating only 5% of their budgets into mobile marketing . Companies and experts agree on the potential of mobile marketing with certain limitations. February 2012.3% associate them with being "innovative".which is known as the Kolomogorov-smrinov D value .zenithresearch. Consumers are particularly interested in availability and special discounts. adding an interactive text message promotion to that advertising is a great way to build a database of prospects for the auto dealership. SMS campaigns that include click2call.As sample size is 50. Jaguar and Toyota are all investing in mobile-marketing strategies to create awareness.3 CONCLUSION Automotive marketers are also not new to mobile marketing. 5. ISSN 2231 5780 From table 2.org. to increase car sales and CRM.1 one finds that the largest absolute differences are darken . The areas of getting attention.2 Issue 2. Auto dealers do a lot of advertising. 32. because of demand the Company should increase the proportion ( This number is clearly bound to grow in the future).6% of all consumers think of companies as "forward oriented" that are using mobile marketing. 5. 55% of all surveyed consumers was able to remember the name of the company contacting them after the execution of a mobile marketing campaign. "Mobile viral marketing" (word of mouth) has the potential to become a very successful branch of viral marketing: Mobile users don't depend on Internet access via Cable.1 FINDINGS Many companies are still underestimating the attentiveness of consumers for mobile marketing. drive leads to dealers and/or enable “in-your-pocket” exploration and interaction with Company products. which asks consumers to enter their ZIP code to locate the closest 432 www. 5.Hence the null hypothesis reject . They usually carry their devices with them and are "always on".192. Jeep. or click2locate.

www.2006 Jayaram Anoop and Rajawat Yatish K.ZENITH International Journal of Multidisciplinary Research Vol. Butterworth –Heinemann Publication. February 2012.in .com 433 www.2 Issue 2. Brand value and mobile holds promise. particularly for younger audiences.datacommresearch.May23. Dealers are looking for more efficient and streamlined ways to communicate with prospects and improve the sales experience.com www. REFERENCES Mobile Marketing: Achieving Competitive Advantage through Wireless technology by Alex Michael and Ben Salter. are meeting with solid success for lead-gen purposes.zenithresearch. “On the Go”. October 29th 2007. ISSN 2231 5780 dealer. Mobile marketing is not the activity initiated by auto marketers. page3. Airwide Backs Messaging Blog Mobile Marketing Magazine ..articlesbase. Business World.org. 2006. it is the growing use of mobile marketing by auto dealerships.

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