Promotional Strategy Within The Construction Industry

A Case Study on AECOM’s extended marketing mix

The Construction Promotional Strategy is a methodology for developing construction projects that align with the expectations of customers. The process entails delineating construction projects, identifying the intended audience and execution strategy, and ultimately delivering the final product to the designated clientele. The promotional strategy for construction provides comprehensive guidance to ensure that the product is aligned with the requirements of the customers. A well-crafted construction product strategy can provide a competitive edge to a business by enhancing productivity and profitability.

AECOM is a multinational engineering company that offers professional services in diverse industries, such as Architecture, Engineering, Construction, and Project Management. The marketing mix, commonly referred to as the 7Ps of marketing, comprises of Product, Price, Place, Physical Evidence, Promotion, People, and Process. Organizations utilize these components to develop a comprehensive marketing plan. Regarding AECOM, the promotional strategy would concentrate on enhancing the company’s service recognition and cultivating a favorable brand reputation among their intended audience.

Promotional Strategy for AECOM’s Product

AECOM’s product offerings encompass a wide range of engineering and consulting services in various sectors. Their promotional strategy would involve highlighting the unique features, capabilities, and expertise of their services to differentiate themselves from competitors as discussed below.
The product is a crucial element of the AECOM marketing mix. AECOM’s product exhibits unique features that set it apart from others.

1. Quality AECOM ensures that its products maintain a high level of quality.
   • The maintenance of high product quality is achieved through the addition of value at various stages of the value chain.
   • AECOM sources raw materials exclusively from dependable and trustworthy suppliers.
   • The raw materials undergo processing within meticulously maintained environments to ensure the products maintain a consistently high level of quality.
   • AECOM’s commitment to delivering high-quality services is a key factor in maintaining a competitive edge.
2. User-Friendliness
   • The products produced and marketed by AECOM are user-friendly.
   • Each product is accompanied by a user manual that offers clear and concise instructions for proper usage.
   • Customers may contact the 24/7 helpline for information regarding product usage.
   • Additionally, retail representatives offer comprehensive guidance and clarification pertaining to the utilisation of the product during the point of purchase.
3. The Breadth of the Portfolio
   • AECOM possesses a diverse range of products and services.
   • AECOM benefits from a diverse portfolio, which enables the company to effectively engage with various target demographics within the market.
   • Furthermore, AECOM’s diverse portfolio contributes to its financial stability.
   • The expanded product portfolio provides additional value for AECOM.
4. Advantages of Product Consumption
   • The utilization of AECOM’s product provides functional benefits to its consumers.
   • The functional benefits are both promised and delivered by the product. However, it should be noted that similar products also offer these benefits.
   • AECOM’s unique selling proposition lies in its ability to provide emotional benefits to its customers. The products offered by AECOM are designed to enhance the consumer’s self-esteem, confidence, and sense of security.
   • AECOM also pledges to address consumers’ psychological needs through their product offerings.
   • Some of the psychological needs that individuals may have include the need for empathy, the need for a sense of belonging, and the need to feel loved.
5. In accordance with AECOM’s product line, various SKUs are available in different sizes.
   • AECOM has utilized various stock keeping units (SKUs) to enhance its market penetration.
   • Consumers can purchase and utilise various SKUs based on their consumption requirements and target markets.
   • AECOM has increased its trial rate through the production of various SKUs.
   • The utilization of various Stock Keeping Units (SKUs) has aided AECOM in enhancing its product accessibility.

Promotional Strategy for AECOM’s Price

AECOM’s pricing strategy would depend on factors such as project scope, complexity, and market demand. Their promotional efforts may involve showcasing competitive pricing or value-added services to attract clients.
AECOM marketing mix focuses on a hybrid strategy for pricing to obtain maximum value for its products. The marketing mix AECOM uses a combination of a number of techniques for pricing its products, which are detailed below:

1. Premium pricing;By using premium pricing for some of its product ranges, AECOM encourages favorable brand and product perceptions in target consumer groups.
   • Premium pricing for products also encourages a favorable quality perception of AECOM products amongst consumers.
   • With premium prices, AECOM has successfully also made some of its product ranges exclusive by restricting sales and production.
   • This, in turn, leads to a perception of luxury in consumption products.
   • Premium prices add a touch of privilege and high value in AECOM products.
   • Using elements of premium prices in other product ranges has also allowed AECOM to maintain significantly high profits and a consistent business growth.
2. Psychological pricing;Since AECOM has a number of different product ranges and product groups, the use of psychological pricing has been beneficialWith the use of psychological pricing.
   • AECOM also successfully adds more value to its products from the point of view of customers.
   • AECOM also gains higher sales with psychological pricing.
   • Consumer purchase a higher amount of AECOM products because of its use of psychological pricing.
   • AECOM is able to increase its target audience and broaden its target purchaser groups.
3. Geographical pricing;
   • AECOM is able to penetrate different regional markets optimally with the use of geographical pricing.
   • For offshore locations, geographical pricing also allows AECOM to cover shipping and customs expenses.
   • Geographical pricing also allows AECOM to maintain consistent revenue growth by altering pricing in different markets based on local currency value.
4. Bundle pricing; For some product ranges, AECOM is also known to use bundle pricing strategy popularly.
   • AECOM also uses bundle pricing during sales.
   • AECOM experiences higher return on the cost of gaining a new customer.
   • Bundle pricing increases the trial rate for consumers.
   • With bundle pricing, AECOM is also able to control costs and prices by lowering marketing and distribution expenses.
   • The use of bundle pricing also adds value to the umbrella brand name of AECOM.

Promotional strategy for AECOM’s Promotion

AECOM’s promotional strategy may encompass a range of tactics, including:
1. Advertising refers to the practice of using various forms of media such as print, online, or broadcast to promote brand recognition and convey important information about the services offered by a company.
2. Public Relations (PR) involves the strategic engagement with media outlets, industry publications, and influencers to generate favorable coverage and improve the reputation of an organization.
3. Direct marketing is a method of reaching potential clients through targeted email campaigns, direct mail, or personalized marketing materials. This approach involves directly contacting potential clients rather than relying on intermediaries.
4. Content marketing is a strategy that involves the creation and distribution of valuable content, such as case studies, whitepapers, and thought leadership articles. The purpose of this strategy is to position AECOM as an industry leader and attract potential clients.
5. One of the ways businesses promote their expertise, network with potential clients, and generate leads is by participating in industry events, conferences, and trade shows.
6. Digital marketing involves utilizing various online platforms such as social media, search engine optimization (SEO), and pay-per-click (PPC) advertising to expand the reach of a business and attract more visitors to their website.
7. Partnerships and sponsorships are a strategic approach that involves collaborating with other companies or sponsoring relevant events to increase their market share and improve brand recognition.
8. AECOM can encourage satisfied clients to refer its services to others through referral programs or incentives. This is known as client referrals.
9. AECOM prioritizes the establishment of enduring relationships with clients due to the nature of their business. The organisation is expected to prioritize account management, client engagement, and exceptional customer service in order to promote client loyalty and incentivize recurring business.
10. AECOM, being a professional services firm, utilizes diverse promotional strategies to efficiently advertise its services. AECOM’s promotion is characterized by several distinct features.
11. AECOM establishes itself as a thought leader in the industry by utilizing content marketing to share valuable insights and expertise. The company engages in the creation and dissemination of top-notch content, including whitepapers, research reports, case studies, and articles. This content is designed to tackle industry trends, challenges, and cutting-edge solutions. The aforementioned approach aids in positioning AECOM as a reliable consultant and highlights their expertise and competencies.
12. AECOM acknowledges the significance of digital channels in effectively reaching its intended audience for digital marketing and online presence purposes. The organization maintains a robust online presence via its website, social media channels, and digital advertising campaigns. AECOM utilizes these communication channels to increase visibility, interact with customers, disseminate project progress reports, and advertise their offerings on a worldwide scale. The individuals or organizations employ digital marketing techniques such as search engine optimization (SEO), pay-per-click advertising (PPC), and others to enhance their online platforms’ visibility and generate traffic.
13. AECOM engages in strategic partnerships and alliances with external organizations to expand its promotional reach. Collaborations frequently entail joint marketing campaigns, co-branded content creation, and cross-promotional efforts. AECOM can increase its promotional reach to new markets or client segments by collaborating with complementary companies or industry associations, thereby leveraging shared audiences.
14. AECOM creates specialized marketing campaigns aimed at particular market segments or industries. The organization customizes their messaging and promotional strategies to effectively target the distinct requirements and obstacles of these specific segments. AECOM can enhance its relevance and appeal to potential clients by positioning itself as a specialized provider within distinct industries, based on a thorough understanding of their unique requirements.
15. AECOM engages in industry awards and strives to obtain recognition for its projects, innovations, and contributions to the built environment. The attainment of prestigious awards, either through winning or nomination, serves to bolster AECOM’s reputation and establish its credibility. In addition, it offers prospects for supplementary promotion via press releases, media attention, and incorporation in industry periodicals.
16. The present document concerns the topics of event participation and thought leadership. AECOM engages in industry conferences, seminars, and events to exhibit its proficiency and innovative ideas. The company frequently arranges speaking opportunities for their proficient personnel to deliver presentations on pertinent subjects, impart knowledge, and interact with colleagues and prospective customers within the industry. AECOM engages in events and conferences to establish connections, cultivate partnerships, and showcase their competencies to a specific audience.
Promotional Activities;
The marketing strategy of AECOM places significant emphasis on the implementation of effective promotional tactics and strategies. The promotional strategies employed by AECOM facilitate direct interaction with consumers and enable direct influence on their decision-making. AECOM employs a comprehensive approach to its promotional endeavours, utilising various methods of promotion, including:

1. The field of digital marketing.
   • AECOM maintains corporate profiles on various social media platforms and portals.
   • AECOM leverages its social media presence to engage directly with consumers.
   • AECOM’s direct engagement and interaction with customers enables the organisation to gain a comprehensive understanding of their requirements and expectations.
   • AECOM utilizes the feedback received and integrates it into its overarching marketing and organisational strategy.
   • AECOM maintains a corporate website that showcases company information, product details, and ongoing campaigns and sales.
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2. Loyalty Programs
   • AECOM offers a loyalty card program to its clientele.
   • The loyalty program provides customers with the opportunity to exchange accumulated points for various products or gifts, as determined by the company.
   • AECOM records each purchase in the loyalty card system and assigns point values based on the monetary value of the products.
   • The loyalty card can be acquired through purchase or complimentary issuance by AECOM for high-value transactions.
   • AECOM’s frequent usage and purchase of products also entitles them to rewards through the loyalty card program.
3. Influencers within the Community
   • AECOM leverages community influencers to execute its on-site promotional initiatives.
   • AECOM selects individuals who possess strong and self-assured qualities to serve as brand ambassadors within their respective communities. These brand ambassadors and community influencers are provided with AECOM’s product range and are encouraged to personally experience the benefits of using these products.
4. Traditional Marketing; The organization engages in advertising through consumer-oriented publications.
   • This primarily encompasses magazines related to home decor and home management.
   • Magazine advertisements are not particularly frequent, but are published twice per quarter of the fiscal year.
   • AECOM utilizes external hoardings in densely populated areas.
   • The utilization of hoardings enhances the visibility of AECOM and contributes to the development of a more robust brand recall.
   • AECOM also creates television commercials.
   • Most television advertisements utilize emotional appeals to engage their audience.
   • AECOM’s television advertisements now incorporate elements and characteristics of everyday life.
   • AECOM’s television advertisements also emphasise the practical advantages of their product.

Promotional Strategy for AECOM’s Physical evidence

Physical evidence holds significant importance in AECOM’s marketing strategy as it aims to sway consumers in favour of the brand and its offerings. AECOM’s physical evidence comprises:

1. Retail Environment The retail environment design and management for AECOM is innovative and stimulating.
   • The ambiance of the store creates a relaxed and comfortable environment for customers to engage with and appreciate AECOM’s product offerings with ease.
   • The design of the store holds significant importance for AECOM as it governs the degree and quality of the customers’ experience and engagement with the product and the brand.
   • AECOM finds it more convenient to regulate and supervise the store ambiance in company-operated stores, which enables them to create a favourable impact on customers and emotionally attract them.
2. Packaging: AECOM’s packaging stands out from other industry players due to its distinctiveness. Additionally, AECOM’s packaging features a dynamic touch that is frequently updated with varying colours and patterns.
   • The company’s logo is designed with simplicity in mind, making it easily recognisable to consumers.
   • The AECOM brand logo has come to represent confidence, ambition, and aspiration for consumers who utilise AECOM products.
   • The product packaging is executed with sophistication and is consistent with the brand image established and upheld by AECOM.
   • 3. Evaluation of Website Design The website design is characterised by simplicity and user-friendliness.
   • AECOM’s user interface is designed to be user-friendly, enabling effortless navigation and comprehension of its diverse range of product offerings.
   • The official website of AECOM features the brand logo and is presented in a manner consistent with the company’s product offerings.
   • The website’s design patterns and colour scheme are subject to change in accordance with product packaging modifications to align with diverse campaign requirements and promotional offerings.

Promotional strategy for AECOM’s Place

AECOM operates globally, with offices in multiple countries. Their promotional strategy would involve identifying key geographic markets and targeting clients in those regions. They may also focus on specific industries or sectors where they have a strong presence or expertise.
AECOM places a premium on strategic product placement due to its direct impact on customers’ ease of use.
1. Stores run by the company; AECOM’s management runs storefronts everywhere the firm operates.
• Having its own retail outlets allows AECOM more say in how the stores are run and designed.
• Through its own retail outlets, AECOM is able to have direct contact with customers and collect valuable information about their shopping habits and opinions.
• AECOM has more say in what products are stocked and how much of each are stocked in the company-run outlets.

2. Licensed Retail Outlets; Shoppers can find AECOM’s wares in a variety of formats at Licensed Retail Outlets.
   • Licensed retailers additionally lessen AECOM’s exposure to physical and financial risk in volatile markets.
   • Licensed retail outlets have also contributed significantly to AECOM’s rapid company expansion and market penetration.
   • AECOM has gained insight into local consumers and customs through its licensed retail outlets.
   • Licensed retailers boost AECOM product sales by catering to regional preferences.
   • Licensed retailers additionally aid AECOM in boosting brand equity and band image by localizing product offers.
3. Online Shopping; AECOM’s online ordering and tracking system is up and running smoothly.
   • AECOM also promotes transactions via social media platforms, with the company accepting orders via private messages and a simplified storefront setup.
   • Amazon and eBay aren’t the only online shops the company works with; smaller regional internet retailers do as well.
   • Access to AECOM’s products has been improved thanks to the proliferation of online shopping and the rise of e-commerce.
4. Market and department store equivalents
   • AECOM also distributes to national grocery and department stores.
   • Many of AECOM’s target customers shop at grocery stores and big-box retailers.
   • Having their products displayed in grocery stores and shopping malls has helped AECOM save money.
5. Cooperative intermediaries
   • When distributing its products internationally, AECOM also works with local partners.
   • In order to maintain quality control and favourable negotiating conditions, AECOM signs contracts with partner agencies in various nations and marketplaces to position its products.

Promotional Strategy for AECOM’s Process:

AECOM has established organised and systematic processes to ensure consistent business growth.

1. Operational Procedures ;
   • AECOM has established clear and concise operational procedures that are effectively communicated to all employees.
   • AECOM ensures that its employees receive comprehensive training and possess a thorough understanding of all operational processes.
   • The various stages of operational processes prioritise the maintenance of a superior level of quality and standards for the products.
   • A systematic process is in place for all operations, ranging from procurement to the final sale of products.
   • The organization’s internal portal is utilised to ensure the maintenance, verification, and uploading of all operational processes for the purpose of supervision.
   • AECOM leverages online portals to support operational processes and establish a robust backup system for managerial purposes.
2. People Management;
   • AECOM has established well-defined processes by optimizing its human resource management department.
   • AECOM has established guidelines pertaining to employee recruitment, training, compensation management, and performance appraisal.
   • All processes related to personnel are communicated not only to management and supervisors, but also to employees in order to foster transparency and a culture of trust.
   • AECOM’s implementation of progressive people management systems and processes has resulted in a motivated and content workforce, ultimately leading to satisfied customers.
3. Quality Maintenance;
   • AECOM has established policies and processes to effectively manage and maintain quality.
   • Our products undergo a rigorous triple quality check process to ensure that our customers receive the highest quality product.
   • In addition to quality control measures implemented during production and distribution, our organisation has established dedicated departments for quality maintenance and quality assurance.
   • The department responsible for quality maintenance employs experts who ensure that both the final product and the processes utilised in its production are imbued with quality.
4. Store Management;
   • The management of stores is overseen by AECOM through rigorous policies and processes that are closely monitored.
   • These processes pertain not only to the design of the floor and space, but also to the performance of the store’s employees.
   • The store management processes involve regular monitoring of footfall and development of strategies aimed at increasing foot traffic through various tactics, as well as modifications to store design and management.
   • The company has implemented a structured procedure for customers who engage with the products and desire a tactile experience prior to completing a purchase.
   • The store’s final sale policy is clearly defined for both employees and customers.
   • AECOM places great importance on processes and policies to uphold product quality and minimize avoidable expenses and costs.

Promotional Strategy for AECOM People

AECOM’s marketing mix places significant emphasis on the development and cultivation of its human resources. AECOM recognises the significance of its workforce in establishing robust client connections. AECOM prioritises the development of its employees and personnel by emphasising the following areas:

1. Training; AECOM ensures that all employees receive periodic training sessions to develop and enhance their skills.
   • The training programs offered by AECOM encompass not only field-specific knowledge, but also emphasizes the development of crucial management and organizational competencies.
   • At AECOM, training sessions and activities are designed to align with the professional development and growth needs of our employees.
   • AECOM’s training sessions and activities are thoughtfully designed and executed with consideration for both the organization’s business goals and objectives, as well as the personal goals and aspirations of its employees.
   • AECOM endeavors to cultivate its employees as both organizational members and individuals.
   • Our training sessions are designed to be engaging and hands-on, ensuring that employees not only acquire knowledge but also gain practical experience.
2. Ownership within the organization; AECOM focuses on enhancing employee commitment to the organization.
   • AECOM prioritizes fostering employee loyalty to enable individuals to perform at their best in the workplace. Additionally, AECOM recognises that contented employees are more likely to result in satisfied customers.
   • AECOM frequently provides various employee reward programs, such as stock sharing, to bolster their organizational commitment and sense of ownership.
   • AECOM actively involves its employees in decision-making processes across various managerial levels and regularly solicits their feedback for different projects and products. This approach helps to foster a sense of organizational ownership.
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3. Building Motivation;
   • The employees of AECOM represent the organization’s public image. AECOM fosters motivation through an engaging and innovative organizational culture.
   • AECOM distributes various reward programs and bonuses to motivate its employees.
   • An additional motivator for employees is the implementation of appreciation programs by management, which recognizes and commends their work and achievements. AECOM’s continued success in the industry can also be attributed to its emphasis on succession planning. The company carries out succession planning for all levels of management.
   • AECOM employs a comprehensive succession planning strategy that encompasses both internal promotions and external recruitment to effectively address the requirements and expectations of open job positions.
   • AECOM’s implementation of strategic succession planning has enabled the organisation to proactively anticipate and address various challenges, while also demonstrating adaptability in effectively mitigating them.