PROMOTION

By: Priya LitMarketing 11

What is a promotion?• A special offer that can help increase the average customer loyalty and

revenue• Promotion is one of the market mix elements

• Term “promotion” is used by a marketing company but not to the public/marketWhat does it do?

• Attracts new customers• Differentiates a product

• Creates an image• Increases sales

• Creates awareness• Persuades customers into thinking their product is better than

others

ADVANTAGESAdvertising

• Control of the message being promoted• It can be used to build brand loyalty

Personal Selling • Opportunity to close the sale• You can create your own message

Sales Promotion • Persuades customers into trying or

switching brands• Quick increase to sales

Merchandising • Permits you to advertise your business on a

large scale • Enhances your business image

Public Relations • Establishes credibility for a product• Achieved at a very low cost

Direct Marketing

• Promotes a new product• Builds an image

Sponsorship

• Personalizes the marketing message

• Cost-effective

What is branding?• A way to build an important company asset like having a good reputation

• Builds up an expectation about the company or products• Commonly referred to by advertisers and marketing people

Why use it?• To target segments

• Making a company a brand can spread more respect to a related new product

• Get more money for the company when you decide to sell it• People tend to choose brand name suppliers over no name ones

• Differentiates the product • Builds loyalty

• To promote the product

Well-Branded Products

Everyone calls it lip balm or chap stick, even if its not chap stick, the brand is just well known.

Some people don’t even know that ‘Band-Aid’ is a brand name because

we are all used to calling it this.

‘Frisbee’ is a name brand which and it is actually called a flying disk but everyone calls them

Frisbees nowadays.

Brand name for many paper-based products. It’s actual tissue

paper but the brand is so well known that most people call it

‘Kleenex’.

Hula Hoops became famous in the 1950’s and started getting called hula hoops because it was a famous brand.

Types of Advertising Persuasive Advertising:

Seeks to influence and encourage consumers to buy a product, which is usually used after a product has been

introduced to customers. E.g. TV advertisements such as Proactive and

Nair

Pioneer Advertising:Used when a new product is introduced to

the market and there is no other product on the market similar to it.

E.g. Apple IPhone was the first phone to have a touch screen when it first joined the market.

Competitive Advertising:Communicates the unique benefits of a product, and differentiates it from the

competition. E.g. Mac vs. PC, Pepsi vs. Coke

Five M’s of Advertising

Mission: The purpose and objective behind advertising. The mission includes sales promotion, information to consumers, and making the products popular and introduces a new product.

Money: The finance provided for advertising purpose. The money provided is used for advertising, media, coverage of advertising, and other funds.

Message: Provided through the text of advertisement. The message can be given through pictures, slogans, written words, etc. The message is for the information and guidance of future buyers.

Media:Advertiser has to decide which media has to be used for the advertising. Media differs as cost, coverage, and effectiveness. The selection of media depends on the budget, and products to be advertised.

Measure:Relates to the effectiveness of advertising, an advertiser makes an evaluation of advertisement in order to judge its effectiveness.

Advertising MediasTelevision:

Advantages• Not expensive• Local• Targets specific segments Disadvantages• Short life• Local rather than national• Listener's attention is limited

Print Media:Advantages• Color printing adds to impact• Targets specific segments • Doesn’t take much time to read• Widely read Disadvantages• Low impact• High costs• Short life• Not everyone reads newspaper/magazinesRadio:

Advantages• Targets specific groups• High impact color, sound, movement• Big audience Disadvantages• High overall cost• Might not be watched• Transports a limited message

Cinema: Advantages

• Visual, sound, movement• Local audience

• Specifically targeted Disadvantages

• Probably only seen once • Short lived message

• Mostly young audience

Outdoors:

(billboards, cars)

Advantages• Seen a lot

• Targets specific area• 24/7 coverageDisadvantages

• Message has to be short/plain• Rarely attracts full attention

• Might be seen as a traffic hazard

Internet:Advantages

• Fastest growing advertising media• Uses moving images

• Can be saved by consumerDisadvantages

• Might be expensive to set up• Problems of connecting• Technical problems

http://www.youtube.com/watch?v=3tI4CbCniBI&feature=relmfuThis Old Spice commercial is the definition of a good

commercial because you can watch it more than once without getting bored. It’s funny and guaranteed every

time you watch it, you will laugh.

Commercials

http://www.youtube.com/watch?v=DqUnsKMsRxMThe Heineken commercial will catch everyone’s attention with it’s catchy music. It’s a good commercial because it’s different from

many other commercials.