Promotion ppt

Sales promotion

• Types of consumer and trade promotion.

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

• Sample-a small amt of product offered to customers for trail

• Coupons-certificate that gives buyers a saving when they purchase a specified product,

Promotion tools

• Cash refund offer-offer to refund part of the purchase price of a product to consumer who send proof of purchase.

• Premium-good offered either free or at low cost as an incentive to buy a product.

• Advertising specialty- useful article imprinted with advertisers name given as a gift.

• Patronage reward –cash or other award for the regular use of a certain company's product or services.

• Contest sweepstakes- promotional events that give consumers a chance to win cash trips or goods

Trade promotion tools

• Discount-a straight reduction in price on purchases during a stated period of time.

• Allowance-promotional money paid by manufacturer to retailers in return for an agreement to feature the manufacturers products in some way.

Direct marketing

• Direct communications with carefully targeted individual consumers

• Forms of direct marketing-• Personnel selling .• Telephone marketing –using the phone to sell directly

to customers. • Direct mail mktg- sending an offer ,

announcement,reminder to a person at an address (fax,e-mail,voicemail)

• Direct response television mktg- direct mktg via t..v, including telev ads or infomercials and home shopping channels

..

• kiosk mktg-place info and ordering machines (stores airports other locations)

• Catalog mktg -direct mktg thru print video or electronic catalogs that are mailed to select customers made available in stores or presented online

INTEGRATED MARKETING COMMUNICATION

• The concept under which a company carefully integrates and coordinates its many communications channels to deliver a clear consistent and compelling message about the orgn and its products.

• Carefully blended mix of promotion tools

• For consistent ,clear, and compelling company and product messages

..

• To communicate effectively marketers need to understand how communication works

.

• .MediaMedia

Sender Encoding

Feedback Response

Decoding ReceiverMessage

Noise

Sender Encoding

Feedback Response

Decoding ReceiverMessage

Noise

Elements in Communication ProcessElements in Communication Process

Sender’s fieldof experience

Receiver’s fieldof experience

Communication involves Communication involves ninenine elementselements

..

• ..

THE MARKETING COMMUNICATIONS MIX THE MARKETING COMMUNICATIONS MIX

AdvertisingAdvertising

Personal sellingPersonal selling

Sales promotionSales promotion

Public relations Public relations

Direct-MktingDirect-Mkting

Definition:Definition:

““Any paid from of nonpersonal presentation andAny paid from of nonpersonal presentation andpromotion of ideas, goods, or services by an promotion of ideas, goods, or services by an identified sponsor.”identified sponsor.”

The specific tools involvedThe specific tools involved : :

Printing, Broad cast, Outdoor, etc.,.Printing, Broad cast, Outdoor, etc.,.

.

• .







Advantages:Advantages:

•Reach MassesReach Masses•Low cost per exposureLow cost per exposure•Beyond this it says seller’s size, Popularity, Success.Beyond this it says seller’s size, Popularity, Success.•Allows to Dramatize ProductsAllows to Dramatize Products•To build long term Image for a product.To build long term Image for a product.•Can trigger Quick SalesCan trigger Quick Sales

Short comings:Short comings:•Cannot be directly Persuasive as company sales people Cannot be directly Persuasive as company sales people •One way communicationOne way communication•can be very costlycan be very costly

.

• .








““Personal presentation by the firm’s sales force forPersonal presentation by the firm’s sales force for the purpose of making sales and building customer the purpose of making sales and building customer relationships.”relationships.”

The specific tools involvedThe specific tools involved : :

Sales Presentations, Trade shows, Sales Presentations, Trade shows, Incentive programs, etc.,.Incentive programs, etc.,.

.

• .







Advantages:Advantages:•Most effective in building buyer’s preferences, Most effective in building buyer’s preferences, •convictions and actions.convictions and actions.•Observe needs and make Quick adjustments.Observe needs and make Quick adjustments.•Allows all kinds of relationshipsAllows all kinds of relationships•Gains more attentionGains more attention

Disadvantages:Disadvantages:

•Harder to changeHarder to change•CostlyCostly

.

• .







Advantages:Advantages:

•Attract consumer attentionAttract consumer attention•Boost Sagging salesBoost Sagging sales•Invites Quick responseInvites Quick response

Disadvantages:Disadvantages:

•Effects are often short livedEffects are often short lived•Not effecvtive as Advertising or personal selling in Not effecvtive as Advertising or personal selling in building Long term Brand preference.building Long term Brand preference.

.

• .





Public relationsPublic relations



““Building good relations with the company’s various Building good relations with the company’s various publics by obtaning favourable publicity, building up publics by obtaning favourable publicity, building up a good corporate image, and handling or heading off a good corporate image, and handling or heading off unfavourable rumors, stories and events.”unfavourable rumors, stories and events.”

.

• .








““Direct connections with carefully targeted individualDirect connections with carefully targeted individualconsumers to both obtain an immediate response consumers to both obtain an immediate response and cultivate lasting customer relationships.”and cultivate lasting customer relationships.”

The specific tools involvedThe specific tools involved : : Telephone, mail, fax, e-mail, the internet, kiosks,Telephone, mail, fax, e-mail, the internet, kiosks, etc.,.etc.,.

.

• .







Highly Targeted MktgHighly Targeted Mktg

Non PublicNon Public

Immediate & customisedImmediate & customised

InteractiveInteractive

Builds One-to-one Customer relationshipsBuilds One-to-one Customer relationships

.

• .

COMMUNICATION MEDIA COMMUNICATION MEDIA






People can communicate through both People can communicate through both

Traditional media:Traditional media:

News papers, Radio, Television, Telephone, etc.,.News papers, Radio, Television, Telephone, etc.,.

Newer Media Forms: Newer Media Forms:

Fax machines, pagers, cellular phones, Fax machines, pagers, cellular phones, computers, etc.,.computers, etc.,.

These new technologies lead more companies to These new technologies lead more companies to move from mass communication to more targeted move from mass communication to more targeted communication and one-to-one dialogue.communication and one-to-one dialogue.

THE MKTG. THE MKTG. COMM. MIX COMM. MIX

.

• .

Several past decadesSeveral past decades

Companies preferred the art of Companies preferred the art of mass marketingmass marketing..

selling highly selling highly standardizedstandardized products to products to mass customersmass customers

developed effective developed effective mass media advertisingmass media advertising techniquestechniques

Invested $M in mass media , reaching million of Invested $M in mass media , reaching million of customer with a single ad. customer with a single ad. ((Greatest shareGreatest share of their promotion Budget) of their promotion Budget)

And NowAnd Now

Marketing managers face some Marketing managers face some new marketingnew marketingCommunication realities.Communication realities.

INTEGRATED MARKETING COMMUNICATIONSINTEGRATED MARKETING COMMUNICATIONSINTEGRATED MARKETING COMMUNICATIONSINTEGRATED MARKETING COMMUNICATIONS

.

• .THE CHANGING COMMUNICATIONS ENVIRONMENTTHE CHANGING COMMUNICATIONS ENVIRONMENT

Mass markets are Mass markets are fragmentedfragmented

Marketers are shifting to Marketers are shifting to focused Marketingfocused Marketing ProgramsPrograms to build to build closer relationshipscloser relationships with the with the Customer in more narrowly defined Customer in more narrowly defined Micro marketsMicro markets..


.

• .NEED FOR INTEGRATED MARKETING COMMUNICATIONSNEED FOR INTEGRATED MARKETING COMMUNICATIONS

“ “ The messages delivered via different promotionalThe messages delivered via different promotional approaches become part of a single message about the approaches become part of a single message about the company.company.

IfIf Mass AdvMass Adv. Say one thing. Say one thing Price PromotionPrice Promotion sends Different signal sends Different signal Product Product LabelLabel create still another message create still another message Company Company sales literaturesales literature - altogether different - altogether different Company’s Company’s WebsiteWebsite - out of Sync with every thing - out of Sync with every thing

Conflicting messages from them can resultConflicting messages from them can result in Confused Company Images and Brand Positions. ”in Confused Company Images and Brand Positions. ”







THE MKTG. THE MKTG. COMM. MIX COMM. MIX

Designing MessageDesigning Message

Message ContentMessage Content

The Communicator has to figure out an appeal or The Communicator has to figure out an appeal or theme that will produce the desired response.theme that will produce the desired response.

There are three types of AppealsThere are three types of Appeals

• Rational AppealRational Appeal

• Emotional AppealEmotional Appeal

• Morale AppealMorale Appeal

Select which appeal will produce the desired response.Select which appeal will produce the desired response.

Message Message ContentContent

Message Message StructureStructure

Message Message FormatFormat

The Marketing communicator must The Marketing communicator must

Decide what response he sought.Decide what response he sought.

Know where the TA now stands and to what Know where the TA now stands and to what stage it needs to move.stage it needs to move.

Determining the Communication ObjectiveDetermining the Communication Objective

AwarenessAwarenessAwarenessAwareness

KnowledgeKnowledgeKnowledgeKnowledge

LikingLikingLikingLiking

PreferencePreferencePreferencePreference

ConvictionConvictionConvictionConviction

PurchasePurchasePurchasePurchase

Buyer DecisionBuyer Decision ProcessProcess

Choosing MediaChoosing Media

PersonalPersonal

Non-PersonalNon-Personal

Major MediaMajor MediaAtmosphereEvents

Major MediaMajor Media

PrintMediaPrint

MediaBroadcast

MediaBroadcast

MediaDisplayMedia

DisplayMedia

OnlineMediaOnlineMedia

Designing MessageDesigning Message

Ideally the Message shouldIdeally the Message should

Get Get AAttentionttention

Hold Hold IInterestnterest

Arouse Arouse DDesireesire

Obtain Obtain AActionction

Decide Decide

What to say(Message Content)What to say(Message Content)

How to say (Message Structure and Format)How to say (Message Structure and Format)

AIDA ModelAIDA Model

Message Message ContentContent

Message Message StructureStructure

Message Message FormatFormat

sss

Specialty advtg-virtual advtg

•

Transit Advtg.

Out door Advtg.Out Door Advtg.

Retailing

aaaa

Personal selling

Sales force management includes designing sales force strategy-recruiting, selecting, training, supervising, compensating and evaluating the firms sales people

Selling process

• Prospecting and qualifying- preapproach-approach- presentation and demonstration – handling objections- closing-follow up

Documents

Promotion ppt