Abbottabad

Subject name: Marketing Theory and Practices

Assignment title: Promotional Mix

• Advertising
• Sale Promotion
• Personal Sale
• Sponsorship
• Direct Marketing
• Publicity
• Packaging

Submitted to: Dr.Waseem Ikram

Submitted by: Haji Jan

Registration No: sp10-MBA-043

Submission date: May 19, 2010

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 Table of content

S.No Topic Page No

1. Promotional Mix 01
2. Elements of Promotional Mix 02
3. Advertising 03
4. Sale Promotion 04
5. Personal Selling 05
6. Sponsorship 06
7. Direct Marketing 07
8. Publicity 08
9. Packaging 09
10. References 10
11. Summary 11

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PROMOTIONAL MIX

Definition

“……The specific blend of advertising, sales promotion, public relation, personal

selling and direct marketing tools that the company uses to persuasively
communicate customer value and build customer relationship……”

Marketing management
(P.kotler Gray Armstrong)
(12th edition)

“…...Promotional mix is the combination of communication strategies that a

company uses to convey brand benefits to customers and to influence them to
buy……”

Marketin
g
(Crosier)
(1994)

“……Definition: Using several different types of communication to support

marketing goals which include Advertising, Personal selling, Publicity, and Sales
promotions……”

www.learnmarketing.net/promotionexpanded.htm

3
Elements of Promotional Mix

Advertising

Sale
Promotion Packaging

Promotion
Mix
Personal
Publicity
Selling

Direct
Sponsorship Marketing

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1. Advertising

Any paid form of non-personal presentation and promotion of ideas goods or

services by an identified sponsor the most familiar modes of ads are print media
(newspaper and magazine) and electronic media (television, radio and internet.)

Marketing management
(P.kotler and Armstrong)
(12th edition)

Advertising is promotion via a recognizable advertisement placed in a

definable advertising medium, guaranteeing exposure to a target audience in return
for a publish rate for the space or time used.

Marketing
(Crosier)
(1994)

Advertising is one way communication via a recognizable advertisement

placed in a definable advertising medium to promoting ideas, concepts, goods or
services by an identified sponsor to the target audience.
Television, billboards, Radio, Internet, Newspapers and Mobile Messages are
commonly used for advertising purposes.

Advantages
Good for building awareness
Effective at reaching a wide audience
Repetition of main brand and product positioning helps build customer trust
Disadvantages
Impersonal - cannot answer all a customer's questions

marketinglearners.com

5
2. Sale Promotion

Short-term incentives to encourage the purchase or sale of a product or

service. Sale promotion include a wide variety of promotion tools design to stimulate
earlier or strong market response such as coupon, free shipping, rebate, discount.

Marketing management
(P.kotler and Armstrong)
(12th edition)

Sales promotion is via a considerable array of related but distinct promotion

not encompassed by any of the definition above ,all intended to achieve exposure
for the promoted product and some further more offering the target audience an
incentive to response actively.

(Marketing)
(Crosier)
(1994)

Providing incentives to customers or to the distribution channel to stimulate demand

for a product. Sales promotion is any initiative undertaken by an organization to promote an
increase in sales, usage or trial of a product or service. Sales promotions are varied and
changes overtime. Some examples of sales promotions activities are gas follows.

1. By-One-Get-One (Giving an extra good or service to the customer on the purchase of

one without loss.
New Media (
2. Merchandising (additions such as dump bins, point-of-sale materials and product
demonstrations, free gifts)
3. Cause-related and fair-trade (products that raise money for charities, like World Call
Pakistan is donating Rs.100 on each sale of USB Net Device, to Shaukat Khanum
Memorial Hospital)
4. Finance deals (Example, 0% finance over 3 years on selected vehicles.)
5. Trade Sales Promotions. (Joint promotions between a manufacturer and a distributor,
sales promotion leaflets and other materials (such as T-shirts), and incentives for distributor
sales people and their retail clients)
6. Sale Offers (by reducing price to some extent i.e. 50% off, 20% off etc.)
7. Discounted prices (Inform to the customers with the latest low-price deals once new
flights are released, or additional destinations are announced)
8. Joint promotions (Between brands owned by a company, or with another company's
brands.)
9. Vouchers and coupons (often seen in newspapers and magazines, on packs)
10. Promotion via Stars (Stars of different fields are now a days used for promotion, like
Shahzad Roy say I am the member of Wateen family are you?)
Marketinglearners.com

6
3. Personal Selling

Personal Presentation by the firms’ sales force for the purpose of making sale
and building customer relationship. Personal selling consists of interpersonal
interactions with customers and prospects to make sales and maintain customer
relationships.

(Marketing management)
P kotler and Armstrong
(12th edition)

Personal selling is a promotion via sales pitch by a sales representation to a

prospect or by a retail assistant to a customer, guaranteeing exposure to self-
selected member of a target market.

Marketing
(Crosier)
(1994)

Personal selling is oral communication with potential buyers of a product with

the intention of making a sale. The personal selling may focus initially on developing
a relationship with the potential buyer, but will always ultimately end with an attempt
to "close the sale".

Personal selling is one of the oldest forms of promotion. It involves the use of a
sales force to support a push strategy (encouraging intermediaries to buy the
product) or a pull strategy (where the role of the sales force may be limited to
supporting retailers and providing after-sales service).

Generally Insurance Companies and Direct Sale Markers use personal selling to
promote their products and services.

TIENS International (a Direct Selling Company) is also using Personal selling to

promote his Health related products by help of his commissioned based individual
distributors. (Tiens.com.pk. / tianshi.com.cn)

7
 Tutor2u.com business/marketing/promotion

4. Sponsorship

Supporting an event, activity or organization by providing money or other

resources that is of value to the sponsored event. This is usually in return for
advertising space at the event or as part of the publicity for the event. There rare
many kind of sponsorships like Television and radio programmed sponsorship
(different brands sponsor Capital talk of GeoNews), Sports Sponsorship (Idea!
Sponsors IPL), Educational Sponsorship and arts sponsorships.

tutor2u.net/business/marketing/promotion_sponsorship.asp

Payment for an event/person/organization is given in return of some benefit

A specialized form of advertising (payment for an event/person/organization) that
can create significant exposure for companies
It is common in the world of sports as PEPSI Cola is sponsoring Pakistan Cricket
Team and Telenor Pakistan is Sponsoring Shandur Polo Festival. The purpose behind
this sponsorship is to promote their products and services.

bookpros.com

Sponsorship is about providing money to an event, in turn the product or

company is acknowledged for doing so. For example, Panasonic will partly sponsor
the Beijing Olympics in 2008. Sponsorship helps the company improve its image and
public relations within the market and usually the company attempts to sponsor a
person or event that mirrors the image they are trying to aim for. Nike for example
has successfully sponsored the golfer Tiger Woods for many years.

Sponsorship agencies are:

SMI Sports Management

Motogp, F1, SBK, Soccer, Am's Cup Sponsoring and Licensing since 1998
www.smisport.com

Sphe5re Network
International network of leading sponsorship agencies
www.sphere-network.com

Sports Sponsorship
Reports, journal, case studies, analysis and research
www.imrpublications.com

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 marketingteacher.com

5. Direct Marketing.

Direct marketing consists of direct connection with carefully targeted individual

customer to both obtain an immediate response and cultivate lasting customer
relationship such as via a mail shot, telemarketing or a fax message.

Marketing management
(P.kotler and Armstrong)
(12th edition)

Direct marketing is a promotion via a mail shot (delivered in the post) a mail
drop (delivered in the door) telemarketing (unsolicited phone calls) or a fax
message, guaranteeing exposure to individual member of a target audience.

Marketing
(Crosier)
(1994)

Direct Marketing is promotion via a mail shot (delivered in the post), a mail
drop (unsolicited phone calls) or a fax message, guaranteeing exposure to individual
members of a target audience.

• Contacting the customer through offers directly

• Emails, letters, websites etc.
• Communication can be personalized
• Short term effectiveness can be easily measured
• Response rates are often low
• Poorly targeted direct marketing causes customer annoyance

bookpros.com

9
6. Publicity.

It is promotion through a release to definable news media in the hope of

secondary exposure through an additional mention earned by the news worthiness
of subject matter.

Marketing management
(P.kotler and Armstrong)
(12th edition)

Publicity is promotion via release to definable news media in the hope of

secondary exposure via an editorial mention earned by the news worthiness of the
subject matter

Marketing
(Crosier)
(1994)

Publicity is promotion via release to definable news media in the hope of

secondary exposure via an editorial mention earned by the news worthiness of the
subject matter.
Publicity focuses on gaining “earned media.” Earned media is coverage in local and
mass media outlets that is not paid for, but rather is written by independent and
objective reporters. Publicity involves television, radio, print and online interviews,
press releases, press conferences and independent book reviews.

Advantages
Often seen as more "credible" - since the message seems to be coming from
a third party, e.g. magazine, newspaper.
Cheap way of reaching many customers - if the publicity is achieved through
the right media

Disadvantages
Risk of losing control - cannot always control what other people write or say
about your product

Bookpros.com

10
7. Packaging.

It is promotional through display guaranteeing exposure to customers at the

point of sales but not to an under target customer.

Marketing management
(P.kotler and Armstrong)
(12th edition)

All the activities of designing and producing the container for a product."
Packaging can be defined as the wrapping material around a consumer item that
serves to contain, identify, describe, protect, display, promote, and otherwise make
the product marketable and keep it clean. Packaging is the outer wrapping of a
product. It is the intended purpose of the packaging to make a product readily
sellable as well as to protect it against damage and prevent it from deterioration
while storing. Furthermore, the packaging is often the most relevant element of a
trademark and conduces to advertising or communication.

marketingteacher.com

Packaging is defined in the regulations as "all products made of any materials

of any nature to be used for the containment, protection, handling, delivery and
preservation of goods from the producer to the user or consumer."

Packaging applies in the following product

a. 'Primary' or 'Sales' packaging is packaging which forms a sales unit for the user
or final consumer, for example, a box containing soap powder
b. 'Secondary' or 'Grouped' packaging is that which contains a number of sales
units, for example, a cardboard outer containing a number of boxes of soap powder.

c. ‘Tertiary' or 'Transport' packaging is packaging that is used to group secondary

packaging together to aid handling and transportation and prevent damage to the
products, for example, the pallet and shrink wrap used to transport a number of
cardboard outers containing boxes of soap powder. For the purposes of the
Regulations, this does not include road, ship, rail or air containers.

www.ni-environment.definition_of_packaging.htm

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 References

1. Marketing management
(P.kotler Gray Armstrong)
(12th edition)

2. (Marketing)
Crosier 1994

3. www.learnmarketing.net/promotionexpanded.htm

4. marketinglearners.com

5. tutor2u.com business/marketing/promotion

6. bookpros.com

7. marketingteacher.com

8. www.ni-environment.definition_of_packaging.htm

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