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Promotion Mix

Promotion Mix

The specific mix of advertising, personal selling, sales promotion, and public relations a company uses to pursue its advertising and marketing objectives.

Developing Effective Communication

Step 1: Identifying the Target Audience

Affects decisions related to what, how, when, and where message will be said, as well as who will say it

Step 2: Determining Communication Objectives

Six buyer readiness stages

15 - 3

Developing Effective Communication

Step 3: Designing a Message


AIDA framework guides message design Message content contains appeals or themes designed to

produce desired results


Rational appeals (Bajaj gives maximum mileage) Emotional appeals

Love, pride, joy, humor, fear, guilt, shame

Moral appeals (Child relief and You - CRY)

15 - 4

Developing Effective Communication

Step 3: Designing a Message

Message Structure: Key decisions are required with respect to three message structure issues:

Whether or not to draw a conclusion - leave question to buyer One-sided vs. two-sided argument - give both sides of the coin , let the buyer decide

Order of argument presentation - problem - answer or answer to

all problems

Message Format: Design, layout, copy, color, shape, movement, words, sounds, voice, body language, dress, etc.
15 - 5

Developing Effective Communication

Step 4: Choosing Media

Personal communication channels

Includes face-to-face, phone, mail, and Internet chat communications

Word-of-mouth influence is often critical Buzz marketing cultivates opinion leaders

Nonpersonal communication channels

Includes media, atmosphere, and events


15 - 6

Developing Effective Communication

Step 5: Selecting the Message Source


Highly credible sources are more persuasive A poor spokesperson can tarnish a brand

Step 6: Collecting Feedback

Recognition, recall, and behavioral measures are assessed

May suggest changes in product/promotion

15 - 7

Advertising

Public relations

Promotion Mix

Sales Promotion

Personal selling

Advertising
any paid form of non personal communication that seek to inform customers and persuade them regarding itself, product offering and services that it offer.

Advantages through Promotion

Large audience is attracted. The cost per viewer/reader is low. A large number of alternate media are available. Standardized format.

Disadvantages

Inflexible Large investments Demographic &cultural factors affected due to large geographic areas.

Sales Promotion

It is an activity or material that acts as direct inducement offering added value or incentive to customers for a limited period of time.

Objectives of Sales Promotion

To introduce new products To attract new customers and retain the existing ones To maintain sales of seasonal products To meet the challenge of competition:

Sales Promotion Techniques


Consumer Oriented Samples Coupons Premium Contests Refund/rebate Bonus Pack Price off deals Trade Oriented Contests dealer incentives Trade allowance POP display Training program Trade show Cooperative advertisement

Event marketing
Frequency Programs

Advantages of Sales Promotion


It can produce short-term results. Competitors are using sales promotions. Sales promotions are attractive to price-conscious consumers. Can enhance/facilitate retail salesmanship which is often of low quality.

20 - 15

Personal Selling

Personal selling is one to one communication for the purpose of explaining, informing, & demonstrating in order to make a successful transaction.

Major Steps in the Selling Process

Public Relations

Public relations entail any communication that fosters a favorable image for the retailer among its public (consumers, investors, government, channel members, employees etc). It may be personal or non personal, paid or non paid & sponsor controlled or non sponsor controlled.

Direct Marketing

Definition

One-on-one communication in which offers are tailored to the needs of narrowly defined segments. Seeks a direct, immediate, and measurable consumer response. Can take many different forms.

Forms of Direct Marketing

Advantages of Direct Marketing

Powerful tool for building customer long-term customer relationships Enables true micromarketing efforts

Can reach prospects at just the right moment


Provides access to buyers unreachable through other channels Minimizes wasted reach Effectiveness is easily measured

Publicity
Publicity is a form of public relations that includes any communication about an organization or its products that is presented by the media but is not paid for by the organization.

20 - 22

Strengths of Publicity

Can announce new products, recognize employees, report good results, breakthroughs. Key Benefits: Lower cost than advertising or personal selling. Increased readership; advertising ignored often. More information. Timeliness.

20 - 23

Weaknesses of Publicity

Some loss of control over message. Limited exposure; only happens once. Not free; preparation costs.

20 - 24

Factors in setting Promotion mix

Type of product Buyer readiness stage

Product life cycle stage