Adv, Sales Pr. & Personal Selling

8/8/2019 Adv, Sales Pr. & Personal Selling

1/22

PROMOTION


2/22

Concept and Process of Integ ra ted Mark eting Concept and Process of Integ ra ted Mark eting Communic ations /promotion Communic ations /promotion

The wo rd promotion have o riginated f rom Latin.In Latin Pro me ans forward and movere me ansto pus h. Thus promotion me ans to pus h forward.

Promotion ensu res integ ra tion of all mark etingtoo ls, approaches, and resou rces wit hin a comp any

which maximizes impact on consume r mind andwhich resu lts into m aximum p rofit at minimumcost.

.


3/22

Promotion al MixPromotion al Mixy Firms se lect a mix of promotion al too ls

to effecti vely communic ate wit h theirtarget group. The different e lements of the mix ar e :

y Adver tisingy Person al sellingy Sales promotiony Public relations


4/22

Promotion al MixPromotion al Mix

Not e ach element is helpful in all productmark et situ ations

y Adver tising is k nown to de liver r esu lts insoft d rink s indust ry

y Person al selling is effective in person alcompute rs and softw are

y Adver tising has bigger r ole t o p lay inconsume r durables, se rvice mark eting etc.

y Sales promotion and pub licity have an

equ al significance in all type of p roducts


5/22

Promotion al Too ls Promotion al Too ls Adver tising Adver tising Adver tising is a paid form of non pe rson al

present ation of goods and se rvices by an identifiedsponso r. It can be done by using a medi a lik ete levision, radio, p rint medi a etc.

y Adver tising is also conside red as cost efficient as itcan reach a vast numbe r of audiences simu ltaneous ly.

y The mess age can be repe ated se veral timesy Adds value to t he product to ce r tain extenty He lps in boosting t he sales of t he comp anyy It provides reassurance to t he custome r afte r they

have t ak en t he co rr ect pu rchase decision


6/22

Promotion al Too ls Promotion al Too ls Adver tising Adver tising y He lps in changing custome rs pe rception of a product

y Creates awareness amongst the potenti al custome rs

y He lps in offsetting competito rs adver tisement

y Is expressive and hence it dramatizes the whole concept

y He lps in building a st rong image of the comp any


7/22

Benefits of Adver tisements Benefits of Adver tisements

Adver tisements c reate awareness, inte rest and

desi re in the custome rs to buy t hem AIDA

Cost Efficient as reaches vast numbe r of audiences simu ltaneous ly

The mess age can be repe ated se veral timesthereby creating an impact on t he mind of t hecustome r


8/22

7 Main stages 7 Main stages

Identifying the target

audience

Specifying adver tisement

objecti ves

Set the adver tising

budget

Develop adver tisement

mess age

Select medi a

Schedu le the adver tising campaign

Measure adver tising

effecti veness


9/22

Sales Promotion Sales Promotion

AMA defines : Sales promotion inc ludeactivities t hat supp lement bot h person alselling and adver tising and co-o rdinate t hemand mak e them effecti ve such as displays,shows, demonst ra tions and ot her non-recu rr ent se lling effor ts not in t he o rdinar y

routine


10/22

Sales promotionSales promotiony In simple wo rds Sales promotion as an activity

is tak en up to boost t he sales of t he product.It can include a host of activities lik e running

adver tising campaigns, handling public relationactivities, dist r ibution of f ree s amples, offe r ingf ree gifts, conducting t rade f airs, exhibitions andcompetitions, offe r ing tempo rar y pricediscounts, launc hing doo r to doo r se lling andte lem ark eting etc.

y Comp ared to any ot her element S ales

promotion is mo re action o riented


11/22


12/22

Consume r Sales Promotion Met hods Consume r Sales Promotion Met hods y Mark ete rs use sales promotion to int roduce new p roduct

or brand, o r promote t he existing brandy Price Promotions : Price discountsy C oupons : cer tificate t hat offers price discount fo r some

specified items to t he holde r (pasted on p ackage, placed inthe package, newsp ape r, offered wit h a purchase, cut out inadver tisement, p rinted on b ack of receipts)

y F ree gifts / samples (subsc ription b ased p roducts-magazines, consume r luxur ies pe rfumes, vehicles etc)

Bank s and ot her businesses offe r f ree gifts lik e calend ars,diar ies, pen holde rs etc.


13/22

Consume r Sales Promotion Met hods Consume r Sales Promotion Met hods y M oney refunds and rebates : on mu ltiple pu rchasesy F requent user incentives : rewarding loyal custome rs

(E.g.Frequent f lier schemes offe red by airlines)

y POP-point of purchase displays : (window disp lays,wall displays, display rack s, danglers, balloons, outsidesigns, counte r pieces, and inno vations suc h as sniff te asers that spread a products arom a in the sto re etc.

y Installment offers : paying rem aining amount on aninstallment b asis


14/22

Consume r Sales Promotion Met hods Consume r Sales Promotion Met hods

y C onsumer C ontest : Competition to att ract custome rs attention

y C onsumer Sweepstakes : submit the names in a draw for prizes

y T rade Shows : Exhibitions and trade shows


15/22

Tra de Sales Promotion Met hods Tra de Sales Promotion Met hods

y Manuf actu rers use speci al trade promotion met hods to encou rage rese ller l ik e ret ailers to promote theirproducts

y B uying Allow ance : Tempo rar y pr ize reduction offered to the ret ailer for purchasing specific quantity of product

y B uyback Allow ance : O ffered to the channe l membe rfor each addition al unit purchased after initial de al


16/22

Tra de sale promotion met hods Tra de sale promotion met hods y Merchandise Allow ance : Manuf actu rer

agrees to p ay cer tain amount of money fo rpromoting comp anies product t hroughadver tising or displays

y Free Merchandise : Addition al amount of

product is offe red wit hout any addition alcost as an incenti ve to pu rchase a minimumquantity


17/22

Tra de Sales Promotion Met hods Tra de Sales Promotion Met hods y Dealer Loade r : Reward or gift given to ret ailer

to encou rage display of merchandise

y Dealer Listing : Technique in w hichadver tisement of comp any identifies &ack now ledges its ret ailer

y Scan back Allow ance : Ret ailers are rewardedon t he basis of numbe r of units t hat mo vedthrough their scanne rs


18/22

Promotion al Too ls Promotion al Too ls P erson al Selling Person al Selling y Person al selling tak es place when t he

sellers or the salespe rson in a f ace to f aceinte raction wit h a potenti al buye r tr ies to

pe rsuade him to pu rchase t he product o rservice he i s promoting on be half o f thecomp any.

y Person al selling tak es place at a person allevel and involves a person alizedtransaction.


19/22

Promotion al Too ls Promotion al Too ls P erson al Selling Person al Selling

y The sales pe rson communic ates t heproduct benefits to t he custome r in anattempt to info rm him and con vince himto m ak e a purchase.

y Person al selling provides salespe rson wit h

immedi ate feedb ack and helps him toadjust o r modify his sales preposition tosuit t he requi rements of t he buye r


20/22


The sales pe rson has to meet ce r tain goals.These inc lude

y Finding new p rospectsy Con vincing the prospects to pu rchase t he

comp anys product andy

Keeping t he custome rs satisfied andindirect ly inf luencing t hem to p rovide apositi ve wo rd of mout h pub licity of thecomp any


21/22


Person al selling can be desc ribed as a handy too l inthe hands of t he mark ete r for the followingreasons

y

Person al Selling gives mark ete r the f reedom tomak e adjustments in t he promotion al mess age tosatisfy the information needs of t he custome rs

y Tar get t he promotion al mess age with utmostprecision at t he most p romising leads

y Provides mark ete r with mo re information aboutcustome r preferences and also se rves as a me ansof obt aining feedback about t he comp any and itsproducts


22/22

Person al se lling processPerson al se lling process

Prospecting and evaluation

Preapproach

Approach present ation

Handling objections

Closing Follow up

Documents

Adv, Sales Pr. & Personal Selling