Promotions

Prof. Jayashree Vispute

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Session Objectives

• Definition of all the elements of the Promotion Mix

• Understanding in brief the elements of the Promotion Mix

• Innovative use of Media for Promotion – Example of BMW Films

• Evaluation • If time permits a “toofani” ad : )

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What is promotion?

• Any form of communication a business or organization uses to inform, persuade, or remind people about its products.

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Promotional Mix

Promotional Mix

Key elements:• Advertising• Sales Promotion• Public Relations• Personal Selling

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The Promotional Mix is a combination of the different types of promotion.

Two types of promotion

• Product Promotion– Type of promotion that a business uses to

convince potential customers to buy products from them and not their competitors.

• Institutional Promotion– Type of promotion that a business uses to create a

favorable image for itself.

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• Promotion: function of informing, persuading, and influencing the consumer’s purchase decision

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Basic types of promotion….

• Personal selling• Advertising• Sales promotion• Public relations• Direct Marketing• Events & Experiences

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Objectives of Promotion• Provide Information– Inform the market about the availability of a

particular good or service• Increase Demand– Some promotions are aimed at increasing

primary demand, the desire for a general product category

– More promotions are aimed at increasing selective demand, the desire for a specific brand

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Advertising….

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

Advertise

here!

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• All marketing activities, other than personal selling, advertising, and public relations is called….

Sales Promotion

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• Sales Promotion– Marketing activities that stimulates

consumer purchasing (includes: displays, trade shows, coupons, premiums, contests, product demonstrations, and various nonrecurrent selling efforts)

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Public Relations

• Any activity designed to create a favorable image toward a business, its products or its policies.

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• A specific kind of public relations that involves placing positive and newsworthy information about a business, its products, or its policies in the media is called…..

Publicity

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Publicity

Stimulation of demand for good, service, place, idea, person, or organization by unpaid placement of commercially significant news or favorable media presentations

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Publicity

• Advantage…– It is free!

• Disadvantage…..– Its contents

cannot be controlled by the business

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Events and Experiences

• Company-sponsored activities and programs designed to create daily or special brand-related interactions.

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• NEXT BOM LECTURE IS GOING TO BE VERY EXCITING……..

DON’T MISS!!!

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Push Policy

• Promotion policy used only with the next partner in the distribution channel.

Manufacturers PUSH

a product to the retailers for sale….

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Pull Policy

• Promotion policy designed to create consumer interest

When a product is consumer driven

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Push or Pull Strategy

• a push strategy directs communication efforts at channel members; a pull strategy directs promotion at the end consumer

• many products, such as business products, are promoted with a push strategy, involving personal selling and use of trade promotions

• most consumer products would rely more heavily on a pull strategy where promotion is directed at the consumer to stimulate demand

Evaluation

• ______________ is a paid form of non-personal presentation of goods or services by an identified sponsor.

a. Sales Promotionb. Publicityc. Public Relationsd. Advertising

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Evaluation

• Which of the following is not a type of non-personal communication?

a. Newspaperb. Magazinesc. Journalsd. E-Mail

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Evaluation

• The promotion mix comprises of four elements. Which of the following is not one of them.

a. Marketing Researchb. Publicityc. Public Relationsd. Advertising

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Evaluation

• Which of the following involves giving short-term incentives/offers to encourage customer to purchase a product or service?

a. Sales Promotionb. Personal Sellingc. Public Relationsd. Advertising

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Evaluation

• Sales promotion can be directed either at end consumers (consumer sales promotion) or at distribution channels (trade sales promotion). Trade sales promotion are a type of:

a. Selling into the tradeb. Push-pull strategyc. Push strategyd. Pull strategy

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• 3 definitions• Types• Advantages• Disadvantages

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• AD ..\..\..\..\..\JUNE 2012 - DECEMBER 2012\BOM Sem I 12_13\Tutorial\Pepsi ICC World T20 Film - Ranbir, Dhoni, Virat & Raina.flv

• AD1..\..\..\..\..\JUNE 2012 - DECEMBER 2012\BOM Sem I 12_13\Tutorial\Ranbeer Kapoor's new Pepsi ad for T20 World Cup 2012.flv04/10/2023 Prof Jayashree Vispute 31