By:Andrea Dellit Jean VannierLuhan LiChris Spaude

PROMOTION

Definition of promotion/theoryObjectives of PromotionSelecting Promotional MixPromotional Mix Integrated Marketing CommunicationsAdvertisingPublic RelationsSales Promotion

AGENDA

A communication happens when there is a transfer from one person to another

PROMOTION…INFORMATION…COMMUNICATION

Create awareness

Stimulate demand

Encourage product choice

Identify customers

Counter competition

Smooth the sales

Persuade

Make attitudes evolve

Educate

Facilitate means of distribution

WHY BOTHER?

PUSH

You PUSH the product towards the customer

PULL

You PULL the customer towards the product

TWO REGULAR STRATEGIES

•Resources•Policies•Objectives of the firm or campaign

Internal

factors

•Size•Location•Demographics

Market Characteristics

•Life Cycle•Good/Service/Ideas•Competition & Intensity of Coverage•Product Usage

Product Characteristics

PROMOTIONAL MIX

Definition:Use of the promotion mix to create and maintain long-term relationships with customers by satisfying customer needs and/or wants.

INTEGRATED MARKETING COMMUNICATIONS (IMC)

INTEGRATED MARKETING COMMUNICATIONS (IMC)

Goals:1.One unified voice2.Begins with customer3.Develop a relationship with customers4.Create two-way communication5.Include all stakeholders, not just customers

6.Generate a continuous stream of communication

7.Measure results from ACTUAL feedback

•Identify the target audiences•Establish objectives

• Budget (Affordability/Arbitrary Allocation /Ratio to Sales /Competitive Comparison/Marginal Analysis/Objective Task )

•Create the campaign•Feedback and Evaluations

INTEGRATED MARKETING COMMUNICATIONS (IMC)

Definition Impersonal, One-way, mass-communication, promote Not intended to drive action

Multiple media channels T.V., Newspaper, Magazines, Radio, etc…

Advertisements take 3 forms Based on product life stage

Pioneering Competitive Reminder

ADVERTISING

Pioneering

ADVERTISEMENT

Competitive

Reminder

Promotional messageReputationNot a particular product

INSTITUTIONAL ADVERTISING

Advantages

Cost/ContactRepetitionVersatilityAtmospherePrestige

Disadvantages

CostFlexibilityClutterCredibilityHigh wasteLack of actionProblem measuring

ADVANTAGES & DISADVANTAGES

1. Target Audience Who are you trying to reach?

2. Advertising Objectives What do you want your audience to take away?

3. Advertising Budget How much can you spend?

4. Designing Ads What should my advertising look like?

5. Selecting media How am I going to reach my audience?

DEVELOP THE ADVERTISING PROGRAM

“Public relation is a strategic communication process that builds mutually beneficial relationships between organizations and their publics” Anticipate, analyze, interpret public opinion

Not directly paid for by sponsorMore eff ective than advertising, higher longevity

More accepted by the general publicAdvantages:

Credibility Impact Cost

Very diffi cult to control Cant always predict reaction Social media

More, faster, responsive PR, but add another control factor

PUBLIC RELATIONS

Limited time Introduce new product Clear out inventories Attract traffi c Temporarily lift sales

Aimed at impulse buyersTypically use sales

Volumes need to offset

SALES PROMOTIONS

QUESTIONS?