Transcript Sales Promotion - McGraw Hill Higher Education

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Chapter
Sixteen
*
Using
Effective
Promotions
McGraw-Hill/Irwin
Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved.
PROMOTION
in an ORGANIZATION
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Promotion and
the Promotion
Mix
LG1
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• Promotion Mix -- The combination of promotional
tools an organization uses; the traditional mix
includes:
16-2
STEPS in a
PROMOTIONAL CAMPAIGN
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Promotion and
the Promotion
Mix
LG1
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1. Identify a target market
2. Define objectives
3. Determine a promotional budget
4. Develop a unifying message
5. Implement the plan
6. Evaluate the plan
16-3
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ADVERTISING in the FIRM
Advertising:
Informing,
Persuading and
Reminding
LG2
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• Advertising -- Paid, non-personal
communication through various
media by organizations and
individuals who are in some way
indentified in the message.
• Major goals of advertising:
- Inform
- Persuade
- Remind
16-4
STEPS in the B2B SELLING
PROCESS
*Steps in the
Selling
Process
LG3
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1. Pre-approach
2. Approach
3. Make a presentation
4. Answer objections
5. Close the sale
• Trial Close -- A statement or question that
moves the process toward the purchase.
6. Follow up
16-5
STEPS in the B2C
SELLING PROCESS
*Steps in the
Selling
Process
LG3
*
16-6
PUBLICITY
*Publicity: The
Talking Arm of
PR
LG4
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• Publicity -- Any information about an individual,
product or organization that’s distributed to the public
through the media and is not paid for or controlled by
the seller.
• Advantages of Publicity:
• Free
• Reaches people who would not look at an advertisement
• More believable than advertising
16-7
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SALES PROMOTIONS
Sales Promotion:
Giving Buyers
Incentives
LG5
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• Sales Promotion -- The promotional tool that
stimulates consumer purchasing and dealer interest
by means of short-term activities.
• Categories of Sales
Promotions:
1. B2B Sales
Promotions
2. Consumer Sales
Promotions
16-8
SOME KEY
CONSUMER PROMOTIONS
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Sales Promotion:
Giving Buyers
Incentives
LG5
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• Coupons
• Demonstrations
• Sampling
• Sweepstakes
• In-store Displays
• Contests
16-9
USING WORD-of-MOUTH
PROMOTION
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Word of Mouth
and Other
Promotional Tools
LG6
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• Word-of-Mouth Promotion -- People tell others
about products they have purchased.
• Word-of-Mouth is important for products like:
- Restaurants
- Daycare and Eldercare
- Car Repair Shops
- Hair Stylists
- Hotels
16-10
EMERGING
PROMOTIONAL TOOLS
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Viral Marketing
LG6
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• Viral Marketing -- Paying
customers to say positive things on
the Internet or setting up multiple
selling schemes whereby
consumers get commissions.
• People who promote through
viral marketing often receive
SWAG which can include free
tickets, shirts and other
merchandise.
16-11
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BLOGS, PODCASTS and E-MAILS
Blogging,
Podcasting and
E-mail
Promotions
LG6
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• Blog -- Short for web log; an online diary that looks
like a webpage but is easier to create and update by
posting text, photos, videos or links.
• Podcasting -- A way to distribute audio and video
programs via the Internet.
• Email promotions increase brand awareness
among commercial suppliers.
16-12
PUSH, PULL AND PICK
PROMOTIONAL STRATEGIES
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Managing the
Promotion Mix:
Putting it All
Together
LG6
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• Push Strategy -- Producers use advertising,
personal selling, sales promotion and other tools to
get their products stocked on shelves.
• Pull Strategy -- Directs heavy advertising and sales
promotions efforts towards consumers and get the
public to request their products from retailers.
• Pick Strategy -- Refers to consumers who pick out
their products from online outlets.
16-13