Transcript Promotion in Marketing - Mr. Miller / EAST Business

Promotional Concepts & Strategies
Answer the following three questions:
1.
What unique promotional activities have you
observed recently?
 Identify
2.
3.
at least three!
How do promotional activities influence your
purchases?
In your opinion, what is the most effective form of
promotion? Why?
Promotion in Marketing
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Promotion is any activity that helps in the exposure or
sale of a product
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Examples?
The goals of promotional activities are AIDA
Attention – first attract attention
Interest – then build interest
Desire – then build desire
Action – ask for action!
Promotion in Marketing
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Product promotion is a promotional method used by
businesses to convince prospects to select their
goods/services instead of a competitor’s brands
Promotional activities attempt to:
 Explain
major features and benefits of the product
 Identify where it is sold
 Advertise sales
 Answer customer questions
 Introduce new offerings
 Foster good relations with existing customers
Promotion in Marketing
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Institutional promotion is a promotional method used
to create a favorable image for a business, help it
advocate for change, or take a stand on trade or
community issues
Institutional promotion includes:
 Company
websites
 Activities to build goodwill or enhance reputation
 Foster a favorable image for the company
Promotional Mix
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Promotional mix is the
combination of
personal selling,
advertising, direct
marketing, sales
promotion, and public
relations strategies to
reach company goals
Promotional Mix
1.
Personal Selling
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Requires sales representatives to generate and
maintain direct contact with prospects and customers
Direct contact can include:
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Personal meetings
In-home demonstrations
E-mail
Telephone conversations
Is one of the most expensive forms of promotion
Promotional Mix
2.
Advertising
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A form of non personal
promotion in which
companies pay to promote
ideas, goods, and services
Where is advertising
found?
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Everywhere!
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Billboards
Business cards
Brochures
Internet
Magazines
Newspapers
Phone directories
Grocery store receipts
Radio
Television
Sports arenas
Cars and buses
Restaurant menus
Websites
Promotional Mix
3.
Direct Marketing
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A type of promotion that companies use to address
individuals directly and not through a third party
medium (TV, radio, internet)
Examples or direct marketing include:
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Direct mail
Telemarketing
E-marketing
The goals of direct marketing are to generate sales
or leads for sales representatives to pursue
Promotional Mix
4.
Sales Promotion
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Represents all marketing activities—other than personal
selling, advertising and public relations—that are directed
at business or retail customers to boost sales
Sales promotions include:
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Coupons
Money-off promotions
Competitions
Product samples
Point-of-purchase displays
The objectives of sales promotions are to increase sales,
inform potential customers about new products, and create
a positive business or corporate image
Promotional Mix
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Public Relations
 PR
activities help an organization to influence a target
audience
 PR campaigns try to influence general opinion and
create a favorable public image
 Examples?
 Publicity involves bringing positive news or newsworthy
information about an organization to the public’s
attention
 Advantages/Disadvantages?
OEHS Image Activity
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In a small group (no more than 3 per group):
 Step
1: Brainstorm and discuss ideas for creating a
better institutional image for OEHS
 Step 2: Create a public relations campaign centered
around one (or more) of the items generated
 You
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 All
may want to consider or include
A news release (see page 398 for an example)
The use of social media
Types of publicity or placement
materials created, including brainstorm list, should
be submitted for assessment
Developing a Promotional Mix
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Figure 17.2
 Page
400
Develop a
Promotional Mix
Types of Promotion Activity
Team Activity (5 members per team)
 Create a business that sells products to high school
students
 Assign each member to one of the types of
promotion
 Each
member should develop ideas for a promotional
mix
 Report your “plan” using a post-it note
Note: Be sure to identify your business and product!
The Push-Pull Concept
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Push Policy is a type of promotion in which
manufacturers use a mix of advertising, personal
selling, and trade discounts with partners in the
distribution channel to “push” the product through to
the retailer
Pull Policy a type of promotion by manufacturers
that directs promotional activities toward consumers
 Examples
are advertising, in-store displays,
demonstrations, etc.
Sales Promotion
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Sales promotions are incentives that encourage
customers to buy products or services
 Build
brand awareness
 Encourage customers to try a new product
 Increase purchases by current customers
 Reward customer loyalty
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Include trade and consumer promotions
Trade Promotions
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Trade promotions are sales promotions designed to
get support for a product from manufactures,
wholesalers, and retailers
Major trade promotions include:
 Promotional
allowance
 Cooperative advertising
 Slotting allowances
 Sales force promotions
 Trade shows and conventions
Consumer Promotions
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Consumer Promotions are sales strategies that
encourage customers and prospects to buy a
product or service
Examples?
• Coupons
• Promotional Tie-Ins
• Premiums
• Product Placement
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• Loyalty Marketing Programs
• Online Loyalty Marketing
Programs
Deals
Incentives
Product Samples
Sponsorships
Point-of-Purchase Displays