Principles of Marketing

Session -39, 40

Promotion Mix

Promotion Mix

Promotion Mix consists of the following elements

1. Advertising

2. Sales promotion

3. Personal selling

4. Public relations

5. Direct Marketing

Promotion Mix

•Advertising is "any paid form of non-personal presentation and promotion of ideas, goods, or services by an identified sponsor." 

•Specific media tools include print (magazines, newspapers, direct mail), broadcast (television, radio), and display (billboards, signs, posters).

Promotional objectives

To support sales increases To encourage trial To create awareness To inform about a feature or benefit To remind To reassure To create an image To modify attitudes

The Promotional Message

Grab ATTENTION

Excite INTEREST

Create DESIRE

Prompt ACTION

AIDA

Media

TV

Radio

Print

Cinema

Outdoors

Internet

Characteristics of Press media

Offers a high degree of market coverage with large circulation

Targeting specific segments is possible

Cost-effective compared to television

Lead time is short

Characteristics of Television media

Creates high impact with colour sound and movement

Easy to target specific segment

It covers large audience

Characteristics of Radio media

Cost-effective compared to TV and press

Can target specific segments easily

Relatively mobile

Characteristics of cinema media

High impact with visual, sound and movements

Targeting youth population is easier

Regional reach is possible

Characteristics of posters/outdoor media

Ads can be repeatedly seen

24/7 coverage

May encourage impulse buying if close to shops

Maximum local reach is possible

Message

Message: Message is the thought, idea, attitude, image or other information that the advertisers wishes to convey to the targeted audience

Types of appeal for message:Rational

Emotional

Fear Appeal

Humour appeal

Music appeal

Sex Appeal

Advertising

Marketing mix

product Price Place Promotion

Advertising

Role of Advertising in Marketing mix

Important component Advertising helps to increase the volume of sales Advertising helps communicating sales promotion Advertising department help in formation of product

image Advertising helps in the price reduction of the product

Role of Advertising in Promotion Mix

Helps in effective personal selling

Enhanced publicity

Helps in the success of sales promotion

Better reach of sponsorship to the target publice

Advertising

Functions of Advertising

Primary FunctionSecondaryFunctions

Increasingsales Persuading

Dealers To stock

AssistInLiquidatingstock

ResponseForNew products

Creation of Demand

EliminateSeasonalFluctuations

IncreaseStd of living

Advertising

Secondary Functions

EncouragementTo salesmen

Helps in makingCorrect claims

ImpressProduct quality

Creating aSenseOf security

EmploymentOfEfficientemployees

Models of function of advertisement

Unawareness

Awareness

knowledge

LikingPreference

conviction

Purchase

Hierarchy of Effects model developed by Lavidge and Steiner

Promotion Mix

Sales Promotion:

Sales promotion is the use of "short-term incentives to encourage the purchase or sale of a product or service." 

The key term is "short-term," as most sales promotions have a finite time frame when the terms of the offer are in force. 

Sales promotions aimed at the consumer are often communicated at the point-of-sale (e.g. via in-store displays or on-package mentions),

convey a "Buy me NOW!" message. 

Promotion Mix

Sales promotion tools include premiums, discounts, coupons, cash rebates and demonstrations.

Although this is also a non-personal form of communication, many sales promotion themes are intended to spark personal interest in the product or service being promoted.

Promotion Mix

Personal Selling:• "Two-way communication for the purpose of making sales and

building customer relationships." 

• This form of communication is "personal."  It provides a forum for immediate exchange of needs, goals, ideas, and feedback.

• A good salesperson listens to the customer and reacts to the information being conveyed. 

Promotion Mix

Personal selling tools include sales presentations, trade shows, and incentive programs.

Product-related information can be tailored to the individual (or group), and presented in a way that is meaningful and pertinent to the situation

Promotion Mix

Public Relations:• Public relations is intended to build good relations with the

company's various publics by obtaining favorable publicity, building up a good "corporate image," and handling or heading off unfavorable rumors, stories, and events

• Public relations offers several unique qualities.  It is very believable -- news stories, features, and events seem more real to readers than ads do.

Promotion Mix

• Public relations can also reach many prospects who avoid salespeople and advertisements; the message gets to the buyer as "news" rather than as a sales-directed communication

• Like advertising, public relations can dramatize a company or product