Export sales promotion

Honduras 12-16-november 2007Wybren Bouwes

(Export) Marketing Mix

Product Price Place Promotion

Promotion mix

Advertising Personal selling Sales promotion P.R.

(Sales) Promotion mix

Sales force Trade Consumer/ promotion promotion customer promotion

‘Export sales promotion will consume time and money, half

of which productively’

50%

1. Identify target group

• B2B Customers, consumers• Distributive trade, intermediates• Trade partners (importers, agents, brokers)• Suppliers• Facilitators (bankers, shippers)• Opinion leaders, governments, trade associations• Co-exporters, franchisor/-ee, licensing partners• Publics• Personnel

2. Identify target reactions

• Increase customers’ awareness and interest

• Stimulate consumer trial• Stimulate repeat ordering• Create trust (with suppliers,

facilitators)• Impress, frighten competition• Supply information• etc.

3. Select promotional instruments

* Advertizing (TV, radio, cable, Internet, newspapers, periodicals)* Bell-sell* Direct mail, mailorder* Personal selling (to the trade, the customer)* Public relations, public affairs* Fairs & exhibitions (trade, publics)* Trade missions* Sales promotion campaigns* Price-offs, discounts, bonuses* Premia; in-pack/on-pack gifts* Refunds, couponing* Added product (“Now 20% extra”)

* Self-liquidators* Sweepstakes, contests * Item collections* Stamps for money* Free samples* Free spare parts* Free maintenance* Added guarantees* Celebrity promotions* Club promotions* Incentive holidays* Joint promotions

... over 400 known, used!

Media-selection:a cost-benefit balance

Personal selling:

* cost per contact* selectivity* coverage* frequency

Advertizing:

* cost per contact* selectivity* coverage* frequency

Most effective promotional tool:Personal selling

1. Attention2. Interest3. Desire4. Action5. Satisfaction (and repeat)

Most effective promotional tools for exporters:

•Personal (B2B) selling•Trade intermediates’ promotion•E-commerce•Fairs•Missions•Catalogueing, company presentation•Sampling•Discounts

1. B2B, Trade Intermediates

• Powerful impression; expensive• Target: prospects as well as

present trade partners• Canvassing: interviewing = selling• Create trust, personal reliability

image• Well-planned (in time),

systematical• Two-way information, no secrets• Hot-line reporting

2. E-Commerce

• Wide coverage, cheap; passive• Website / domain (name)• Easy, fast references for browsing• Full information on supplier• Main assortment lines + pictures• Interactivity: action possible• Identity browser, special interest• Immediate reaction• Follow-up (repeat, complaints)

3. Fairs & Missions

• Display; expensive• Target group large,

varied, scattered • Novelty launch,

supplier’s identity• Selective invitation• Demonstration• Follow-up

• Selectivity; time consuming

• Target includes opinion leaders, govt

• Concentrated effort, strong impact

• Orientation, selling• Subsidized

FairsFairs MissionsMissions

4. Company presentation, catalogue

• Informative, illustrative, not expensive; mailbox pollution

• Assortment & company presentation• USP, management style, capabilities• Standards, norms; TQM, control• Consistency (house style)• Direct-mailing (two-step), E-mailing• General sales support/’business card’

When promoting (export) sales:

• understand that promotion alone does not make a prospect buy

• use your money wisely• relate promotion to your products,

services• capitalize on your strong points• inspire loyalty (and prove you worth)• use impact power• use frequency over silence!