Why do commodities company care for Internal Marketing? The sales employee of a company is the first brand ambassador of the product, even for commodities. He addresses both the aspects: speaks positively about the quality of the product and company in front of the customers and acts as eyes and ears for the company, feeding important information about recent trends in the market. That is why, internal marketing for commodity companies is a critical input to transition from commodity to brand.
Internal Marketing for Employee Motivation
Internal marketing programs fall in two categories: individual motivation & team motivation.
Individual motivation
Individual motivation programs can have one or many goals. They are towards promoting product sales of an existing or new brand, increasing the network or increasing market share. They can also be aimed to increase repeat purchase volumes, new customer acquisition and other criteria or any other short-term goal of the commodity company.
Trainings on technical specifications and uniqueness of the product are the basic know-how needed. Marketing Department often gives them tools which makes them better sales personnel and enable them to sound more convincing in front of the customer. Sessions on company plans, salesmanship, customer psychology, marketing activities of competitors and communication and negotiation skills are the major trainings provided towards achieving the individual goals. Company also provides them technical support assurance to customers and quick access to customer profile information.
Empowerment is equally important for individual motivation. To empower them in front of the customers, company gives them authority to approve modest price discount authority. At the end, rewards for better than average performance are needed. Rewards in this program include cash awards/ recognition, promotions, company stock, paid time off, salary hike, special bonus, etc. Rewards are majorly dependent on the individual’s performance and is generally in the form of monthly or quarterly sales bonuses. The sales manager has a key role in this and he has to steer each person to achieving his target.
Team motivation
Companies indulge in Group motivation programs to boost the morale of the team, inculcate team playing behaviours and achieve short term goal through the team. For instance, the aim of a company is to increase the sales in a market. A sales target is assigned to the sales team and periodic updates are sent to the sales team about the achievement vis-a-vis target. In case of shortfall from a salesperson, other salespersons either try to absorb the deficit quantity in their influence areas or motivate the laggard salesperson. Such programs lead to sharing of marketing ideas and instill a team spirit. The marketing, logistics and technical teams are also generally part of such programs.
Enablers towards achieving the team goals are the slightly different from individual motivation programs. They include trainings on team spirit, working across cultures, company profile and industry overview among others. Rewards in this program include team recognition, company stock, team outing, special training programs, etc. Regular communications from the management also help in internal marketing of the products, especially if the communication is about new markets entered, industry updates or product enhancements.
A larger motivation program includes activities addressing the entire organization. This involves building a good corporate culture, imbibing the company’s values into the minds of employees, following good HR practices, regular communications from the top management about developments in the company and industry, transparency in dealing with employees for promotions, entry and exit and following industry-standards compensation and benefits policy.
Companies focusing on sales keep reacting to competitive activities or innovating new campaigns but often forget to motivate their salesforce. They must not forget that internal marketing is one of the legs in the tripod on which product marketing rests, the other two being creating customer pull and increasing the channel network presence.
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