Transcript “Promotion”

Unit 6
“Promotion”
Roles of Promotion
Communication Process
Promotional Mix
Promotional Planning
3 Reasons to Use Promotion
1. Inform
– Tell the consumer more about the product.
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– Complex products require more details
2. Persuade
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– Incentives - Coupons, Rebates, Free Samples
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– More appealing label or packaging
– Use more Power Words!!!
3. Remind
– “Great taste”, “More consumers choose us”
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– Give out promotional items with company or
product name, logo, or slogan.
Promotion is a Communication Process
Feedback – receiver’s reaction or response to
the sender’s message directive (buy product,
use coupon, go to website, etc).
Feedback helps the sender know if the message
got through and is understood.
Interference – causes receivers to miss the
message or misunderstand it (changed channel,
left room, TiVo, etc).
Promotional Mix
• Varies from business to business
• Always has same goal - communicate effectively with customers
• Elements:
Advertising
Publicity
Sales Promotion
Personal Selling
What is Advertising?
Any paid form of nonpersonal
communication sent through the media.
• Most common type of promotion
• Examples: TV and Radio commercials
Print ads
Out-of-home advertisements
Catalogs
Direct mail
Product placement
Online ads
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Advantages of Advertising
• Reaches millions at relatively low cost per person
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• Uses color, print, sound, and motion; can affect
consumers’ emotions.
Disadvantages of Advertising
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• Target audience may not receive message
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What is Publicity?
Free communication about a company or its product.
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Advantages & Disadvantages of Publicity
• Advantages
• Disadvantages
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– Creates Goodwill for
company/product
– Can’t cancel or
change information
Sales Promotion
Sales Promotions – activities or materials within a place of
purchase that offer consumers incentive to act now.
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Visual merchandising
Coupons
In-store demonstrations
Discounts and incentives
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Product samples
Contests
Introductory offers
Free accessories
Advantages & Disadvantages of Sales Promotion
• Advantages
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– Supports other parts of
promo campaign
• Disadvantages
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– May not result in
continued sales
What is Personal Selling?
Person-to-person communication with customers.
Advantages:
Disadvantages:
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