Presentation Promotion The Supreme Marketing Activities
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Presentation Promotion The Supreme Marketing Activities
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Presentation Promotion The Supreme Marketing Activities
- 9. Promotion Marketing activities used to communicate to consumers about the organization, its products, its activities, and to directly or indirectly expedite exchanges.
- 10. Basic Promotion Methods and Strategy Planning Target Market Product Place Promotion Price Personal Selling Mass Selling Sales Promotion Advertising Publicity
- 11. Basic Promotional Objectives Informing Persuading Reminding BASIC PROMOTION OBJECTIVES
- 12. Promotion Seeks to Shift the Demand Curve Quantity Price D 2 D 1 0 TO BE MORE INELASTIC
- 13. Promotion Seeks to Shift the Demand Curve Quantity Price D 2 D 1 0 TO THE RIGHT
- 14. Promotion Seeks to Shift the Demand Curve Quantity Price D 2 D 1 0 BOTH TO THE RIGHT AND MORE INELASTIC
- 16. The Promotional Mix Personal Selling Advertising Sales Promotion Public Relations
- 17. Advertising A paid form of non-personal communication through the mass media
- 19. Personal Selling Face-to-face contact with consumers designed to inform and persuade consumers to buy
- 21. Sales Promotion An activity or material that offers a direct inducement to purchase
- 22. Example of Sales Promotion Activities Coupons Aisle displays Sports sponsorship Trading stamps Samples Contests Point-of-purchase materials Trade shows SALES PROMOTION ACTIVITIES Aimed at final consumers or users
- 23. Example of Sales Promotion Activities Coupons Aisle displays Sports sponsorship Trading stamps Samples Contests Point-of-purchase materials Trade shows SALES PROMOTION ACTIVITIES Price deals Allowances Sales contests Trade shows Catalogs Merchandising aids Aimed at final consumers or users Aimed at middlemen
- 24. Example of Sales Promotion Activities Coupons Aisle displays Sports sponsorship Trading stamps Samples Contests Point-of-purchase materials Trade shows SALES PROMOTION ACTIVITIES Price deals Allowances Sales contests Trade shows Catalogs Merchandising aids Contests Bonuses Meetings Sales aids Travel incentives Training materials Aimed at final consumers or users Aimed at middlemen Aimed at sales force
- 26. Publicity Non-paid form of non-personal communication through the mass media
- 49. Factors Affecting Promotional Methods
- 51. Comparison of Push and Pull Promotional Policies PUSH POLICY Producer Wholesaler Retailer Consumer Producer Wholesaler Retailer Consumer Promotes to Promotes to Promotes to Promotes to Demands products from Demands products from Demands products from PULL POLICY = Flow of communication = Flow of product
- 52. Use of Elements of the Promotional Mix
- 59. Advertising
- 63. Advertising A paid form of non-personal communication through the mass media
- 64. The Communication Process Source Encoding Coded Message Medium of trans- mission Coded Message Decoding Receiver or audience TECHNICAL NOISE Feedback SEMANITC NOISE
- 65. Multistep Flow Model of Communications Message Opinion leaders Other sources Receiver Receiver Receiver Receiver Receiver Word of mouth Word of mouth Word of mouth Mass Media Mass Media Mass Media Direct and indirect changes in attitude and behavior
- 67. Different Types of Advertising Institutional
- 69. Different Types of Advertising Advocacy
- 71. Different Types of Advertising Product
- 73. Different Types of Advertising Pioneer
- 75. Approaches to Advertising
- 77. Developing an Advertising Campaign
- 78. Developing an Advertising Campaign Identify & Analyze Target Audience Define the Advertising Objective Create the Advertising Objective Determine the Advertising Budget Evaluate Advertising Effective- ness Execute Campaign Create the Advertising Messages Develop the Media Plan
- 79. Step 1: Identifying and Analyzing Target Audiences
- 81. Steps 2 & 3: Define and Create Advertising Objective
- 82. Awareness Interest Evaluation Trial Adoption Hierarchy of Effects Model
- 84. Step 4: Determining the Advertising Budget
- 89. Step 5: Developing the Media Plan
- 90. Broadcast Media Selection Characteristics TELEVISION Intrusiveness Very High Product Demonstration Excellent Package Identification Good Short-Term Action Good Cost per Audience Exposure Good Production Cost, Economy Poor Coupon Vehicle ----- Major Market Penetration Excellent Flexibility i. Regional Buys Good ii. Major Markets Excellent iii. Use of Test Cities Excellent
- 91. Broadcast Media Selection Characteristics RADIO Intrusiveness High Product Demonstration Poor Package Identification Poor Short-Term Action Excellent Cost per Audience Exposure Excellent Production Cost, Economy Excellent Coupon Vehicle ----- Major Market Penetration Excellent Flexibility i. Regional Buys Good ii. Major Markets Excellent iii. Use of Test Cities Excellent
- 92. Print Media Selection Characteristics MAGAZINE Intrusiveness Low Product Demonstration Fair Package Identification Excellent Short-Term Action Fair Cost per Audience Exposure Fair Production Cost, Economy Fair Coupon Vehicle Good to Excellent Major Market Penetration Fair Flexibility i. Regional Buys Fair ii. Major Markets Poor iii. Use of Test Cities Poor
- 93. Print Media Selection Characteristics NEWSPAPER Intrusiveness Low Product Demonstration Fair Package Identification Good Short-Term Action Excellent Cost per Audience Exposure Good Production Cost, Economy Fair Coupon Vehicle Good Major Market Penetration Excellent Flexibility i. Regional Buys Excellent ii. Major Markets Excellent iii. Use of Test Cities Excellent
- 94. Outdoor Media Selection Characteristics OUTDOOR Intrusiveness Very Low Product Demonstration Poor Package Identification Good Short-Term Action Fair Cost per Audience Exposure Fair Production Cost, Economy Poor Coupon Vehicle ----- Major Market Penetration Good Flexibility i. Regional Buys Good ii. Major Markets Good iii. Use of Test Cities Good
- 95. The Language of the Media Buyer
- 96. “ Reach” The number of different people or households exposed to an advertisement
- 97. “ Rating” The percentage of households in a market that are tuned to a particular TV show or radio station
- 98. “ Frequency” The average number of times an individual is exposed to an advertisement
- 99. “ Gross Rating Points” (The number of different people or households exposed to an advertisement) X ( The average number of times an individual is exposed to an advertisement) = Reach X Frequency
- 100. “ Cost Per Thousand” (CPM) (The cost of advertising) / (The number of thousands of individuals who were exposed)
- 102. Unit sales Time Period of promotion Sales temporarily increase, then decrease, then return to regular level Media Scheduling
- 103. Unit sales Time Period of promotion Sales temporarily increase and then return to regular level (or no effect) Media Scheduling
- 104. Unit sales Time Period of promotion Sales increase and then remain at higher level Media Scheduling
- 105. Step 6: Creating the Advertising Message
- 106. Creating the Advertising Platform The central or core issue(s) to be communicated Waterman
- 107. Creating the Advertising Platform The central or core issue(s) to be communicated
- 108. Creating the Advertising Platform The central or core issue(s) to be communicated
- 109. Creating the Advertising Platform The central or core issue(s) to be communicated
- 112. Step 7: Executing the Campaign
- 114. Step 8: Evaluating the Campaign
- 117. The problem with advertising
- 119. Ad timing
- 121. New Venues
- 125. New Opportunities
- 127. Sales Promotions
- 130. “ Get Tooned” Campaign
- 131. Co-Promoters Blockbuster Nestle Quick Libby’s Juicy Juice
- 132. Types of Sales Promotions
- 133. Example of Sales Promotion Activities Coupons Aisle displays Sports sponsorship Trading stamps Samples Contests Point-of-purchase materials Trade shows SALES PROMOTION ACTIVITIES Price deals Allowances Sales contests Trade shows Catalogs Merchandising aids Contests Bonuses Meetings Sales aids Travel incentives Training materials Aimed at final consumers or users Aimed at middlemen Aimed at sales force
- 137. Publicity
- 138. Publicity Public relation activities designed to create and maintain a favorable image of the organization in the mind of the consumer
- 139. Public Relations Customers Suppliers Employees Stockholders Media Educators Investors Government Society Firm
- 145. The Advertising Council, Inc.
- 148. The AdCouncil planning, creating, and implementing nation public service campaigns
- 152. Advertising campaigns in action
Notas do Editor
- 14 14 I. As the arrows show, the elements of the promotion mix are typically highly interrelated. II. Marketers vary the compositions of promotion mixes for many reasons. An organization's promotion mix (or mixes) is a changing part of the marketing mix. The specific promotion-mix ingredients employed and the intensity with which an organization uses them depend on a variety of factors. Integrated marketing communications is the coordination of promotional elements and other marketing efforts to maximize total information and promotional impact.
- 8 8 8 8 8 8 Objectives of promotion Although there are several objectives of promotion, these differ widely from one organization to another and within organizations over time. I. Create awareness A. Considerable amount of promotion is directed at creating awareness of new product, new brands, and brand extensions. B. For existing products, promotional efforts increase brand awareness, product feature awareness, awareness of image-related issues, and awareness of operational characteristics. II. Stimulate demand A. Primary demand is demand for a product category rather than for a specific brand of product.
- 8 8 8 8 8 8 Objectives of promotion Although there are several objectives of promotion, these differ widely from one organization to another and within organizations over time. I. Create awareness A. Considerable amount of promotion is directed at creating awareness of new product, new brands, and brand extensions. B. For existing products, promotional efforts increase brand awareness, product feature awareness, awareness of image-related issues, and awareness of operational characteristics. II. Stimulate demand A. Primary demand is demand for a product category rather than for a specific brand of product.
- 8 8 8 8 8 8 Objectives of promotion Although there are several objectives of promotion, these differ widely from one organization to another and within organizations over time. I. Create awareness A. Considerable amount of promotion is directed at creating awareness of new product, new brands, and brand extensions. B. For existing products, promotional efforts increase brand awareness, product feature awareness, awareness of image-related issues, and awareness of operational characteristics. II. Stimulate demand A. Primary demand is demand for a product category rather than for a specific brand of product.
- 8 8 8 8 8 8 Objectives of promotion Although there are several objectives of promotion, these differ widely from one organization to another and within organizations over time. I. Create awareness A. Considerable amount of promotion is directed at creating awareness of new product, new brands, and brand extensions. B. For existing products, promotional efforts increase brand awareness, product feature awareness, awareness of image-related issues, and awareness of operational characteristics. II. Stimulate demand A. Primary demand is demand for a product category rather than for a specific brand of product.
- 8 8 8 8 8 8 Objectives of promotion Although there are several objectives of promotion, these differ widely from one organization to another and within organizations over time. I. Create awareness A. Considerable amount of promotion is directed at creating awareness of new product, new brands, and brand extensions. B. For existing products, promotional efforts increase brand awareness, product feature awareness, awareness of image-related issues, and awareness of operational characteristics. II. Stimulate demand A. Primary demand is demand for a product category rather than for a specific brand of product.
- 8 8 8 8 8 8 Objectives of promotion Although there are several objectives of promotion, these differ widely from one organization to another and within organizations over time. I. Create awareness A. Considerable amount of promotion is directed at creating awareness of new product, new brands, and brand extensions. B. For existing products, promotional efforts increase brand awareness, product feature awareness, awareness of image-related issues, and awareness of operational characteristics. II. Stimulate demand A. Primary demand is demand for a product category rather than for a specific brand of product.
- 8 8 8 8 8 8 Objectives of promotion Although there are several objectives of promotion, these differ widely from one organization to another and within organizations over time. I. Create awareness A. Considerable amount of promotion is directed at creating awareness of new product, new brands, and brand extensions. B. For existing products, promotional efforts increase brand awareness, product feature awareness, awareness of image-related issues, and awareness of operational characteristics. II. Stimulate demand A. Primary demand is demand for a product category rather than for a specific brand of product.
- 8 8 8 8 8 8 Objectives of promotion Although there are several objectives of promotion, these differ widely from one organization to another and within organizations over time. I. Create awareness A. Considerable amount of promotion is directed at creating awareness of new product, new brands, and brand extensions. B. For existing products, promotional efforts increase brand awareness, product feature awareness, awareness of image-related issues, and awareness of operational characteristics. II. Stimulate demand A. Primary demand is demand for a product category rather than for a specific brand of product.
- 15 15 15 14 14 14 Factors Affecting Promotional Methods I. The organization's promotional resources, objectives, and policies all affect the types of promotion used. A. The quality of an organization's promotional resources affects the number and relative intensity of promotional methods included in the promotion mix. 1. If a company's promotional budget is extremely limited, the firm is likely to rely on personal selling because it is easier to measure a salesperson's contribution to sales than to measure the effect of advertising. 2. A business must have a sizable promotional budget to use regional or national advertising and sales promotion activities. B. An organization's promotional objectives also influence the types of promotion used.
- 14 14 14 14 14 14 14 Developing an Advertising Campaign I. Several steps are required to develop an advertising campaign which is the creation and execution of a series to communicate with a particular target audience. The number of steps and the exact order in which they are carried out can vary according to the organization’s resources, the nature of its products, and the types of audiences to be reached.
- 16 18 18 18 18 18 18 Determining the advertising budget I. The advertising appropriation is the total amount of money a marketer allocates for advertising for a specific time period. II. Many factors affect the amount of the advertising appropriation, including size of geographic market, distribution of buyers within the market, type of product advertised, and the firm’s sales volume relative to competitors’. III. Various techniques are used to determine the advertising appropriation. A. In the objective and task approach , marketers initially determine the objectives that campaign is to achieve and then attempt to list the tasks required to accomplish them. Once the tasks have been determined, their costs are added to ascertain the appropriation required to accomplish the objectives.
- 17 19 19 19 19 19 19 I. In the percentage of sales approach , marketers multiply a firm’s past sales, plus a factor for planned sales growth or decline, by a standard percentage based on what the firm traditionally spends on advertising and what the industry averages.
- 18 20 20 20 20 20 20 In the competition-matching approach , marketers try to match their major competitors’ appropriations in terms of absolute dollars or to allocate the same percentage of sales for advertising that competitors allocate.
- 18 20 20 20 20 20 20 In the competition-matching approach , marketers try to match their major competitors’ appropriations in terms of absolute dollars or to allocate the same percentage of sales for advertising that competitors allocate.
- 15 17 17 17 17 Creating the advertising platform I. An advertising platform consists of the basic issues or selling points that an advertiser wishes to include in the advertising campaign. II. A marketer’s advertising platform should consist of issues that are important to consumers. A. One of the best ways to determine what those issues are is to survey consumers about what they consider most important in the selection and use of the product involved. B. Research is the most effective method for determining the issues of an advertising platform, but it is expensive. As a result, the most common way to develop a platform is to base it on the opinions of personnel within the firm and individuals in the advertising agency if an agency is used.
- 15 17 17 17 17 Creating the advertising platform I. An advertising platform consists of the basic issues or selling points that an advertiser wishes to include in the advertising campaign. II. A marketer’s advertising platform should consist of issues that are important to consumers. A. One of the best ways to determine what those issues are is to survey consumers about what they consider most important in the selection and use of the product involved. B. Research is the most effective method for determining the issues of an advertising platform, but it is expensive. As a result, the most common way to develop a platform is to base it on the opinions of personnel within the firm and individuals in the advertising agency if an agency is used.
- 15 17 17 17 17 Creating the advertising platform I. An advertising platform consists of the basic issues or selling points that an advertiser wishes to include in the advertising campaign. II. A marketer’s advertising platform should consist of issues that are important to consumers. A. One of the best ways to determine what those issues are is to survey consumers about what they consider most important in the selection and use of the product involved. B. Research is the most effective method for determining the issues of an advertising platform, but it is expensive. As a result, the most common way to develop a platform is to base it on the opinions of personnel within the firm and individuals in the advertising agency if an agency is used.
- 15 17 17 17 17 Creating the advertising platform I. An advertising platform consists of the basic issues or selling points that an advertiser wishes to include in the advertising campaign. II. A marketer’s advertising platform should consist of issues that are important to consumers. A. One of the best ways to determine what those issues are is to survey consumers about what they consider most important in the selection and use of the product involved. B. Research is the most effective method for determining the issues of an advertising platform, but it is expensive. As a result, the most common way to develop a platform is to base it on the opinions of personnel within the firm and individuals in the advertising agency if an agency is used.
- 20 22 22 22 22 22 22 Creating the advertising message I. The basic content and form of an advertising message are a function of several factors. A. The product’s features, uses, and benefits affect the content of the message. B. Characteristics of people in the advertising target, including sex, age,education, race, income, occupation, and other attributes, influence both the content and the form. C. Objectives and platform of the advertising campaign 1. If a firm’s advertising objectives involve large sales increases, the message may have to be stated in hard-hitting, high-impact language and symbols; when campaign objectives aim at increasing brand awareness, the message may use repetition of the brand name and words and illustrations associated with it. 2. The platform is the foundation on which campaign messages are built.
- 21 23 23 23 23 23 23 Executing the advertising campaign I. The execution of an advertising campaign requires an extensive amount of planning and coordination . II. Implementation requires detailed schedules to ensure that various phases of the work are completed on time. Advertising management personnel must evaluate the quality of work and take corrective action when necessary. III. As the campaign is being executed, it should be evaluated . IV. Changes should be made during the execution phase , if the evaluations show such changes are needed.
- 22 24 24 24 24 24 24 Evaluating advertising effectiveness I. There are a variety of ways to test the effectiveness of advertising. A. Measuring achievement of advertising objectives B. Assessing the effectiveness of copy C. Evaluating certain media II. Advertising can be evaluated before, during, and after the campaign. A. Evaluations performed before the campaign begins are called pretests . To pretest advertisements, marketers sometimes use a consumer jury , which consists of a number of persons who are actual or potential buyers of the advertised product. During such a test, jurors are asked to judge one or several dimensions of two or more advertisements. Such tests are based on the belief that consumers are more likely than advertising experts to know what will influence them.
- 23 23 23 23 23 I. Sales promotion A. Sales promotion is an activity and/or material that acts as a direct inducement, offering added value or incentive for the product to resellers, salespersons, or consumers. It includes all promotional activities other than personal selling, advertising, and publicity. B. When an organization uses sales promotion activities, it usually intertwines them with other promotional efforts. Because the most effective sales promotion efforts usually are highly interrelated with other promotional efforts, decisions about sales promotion often affect advertising and personal selling decisions, and vice versa. II. Sales promotion opportunities and limitations A. Sales promotion can increase sales by providing an incentive to purchase. B. However, excessive price-reduction sales promotion, such as couponing, can affect a brand’s image.
- 25 25 25 25 25 25 I. Consumer sales promotion methods A. Coupons are a written price reduction used to stimulate trial of a new or established product, to increase sales volume quickly, to attract repeat purchasers, or to introduce new package sizes or features and usually reduce the purchase price of an item. B. Demonstrations are a sales promotion method manufacturers use on a temporary basis to encourage trial use and purchase of the product or to show how the product actually works. C. Frequent user incentives such as frequent flyer programs offered by most airlines reward consumers who engage in frequent (repeat) purchases, to foster customer loyalty to a specific company or group of cooperating companies that provide extra incentives for patronage. D. Point-of-purchase (P-O-P) materials include such items as outside signs, window displays, counter pieces, display racks, and self-service cartons.
- 26 26 26 26 26 26 I. Consumer Sales Promotion Methods (continued) A. Money refunds offer customers some money when they mail in a proof of purchase usually for multiple products. B. Rebate customers submit proof of purchase for a single product and are mailed a specific amount of money. C. Premiums are items offered free or at a minimum cost as a bonus for purchasing a product. They can attract competitors’ customers, introduce different sizes of established products, add variety to promotional efforts, and stimulate loyalty. D. When a cents-off offer is used, buyers receive a certain amount off the regular price. This method is used to provide a strong incentive to try the product, stimulate product sales, yield short-lived sales increases, and promote products in off-seasons.
- 27 27 27 27 27 27 I. Trade sales promotion methods A. A buy-back allowance is a certain sum of money that is given to a purchaser for each unit bought after an initial deal is over. This method is a secondary incentive in which the total amount of money that buyers can receive is proportional to their purchases during the initial trade deal. B. A buying allowance is a temporary price reduction to resellers for purchasing specified quantities of a product. Such offers are used to provide an incentive to handle a new product, achieve a temporary price reduction, or stimulate the purchase of an item in larger than normal quantities. C. A scan-back allowance is a manufacturer’s reward to retailers based on the number of units scanned during a specific period of time.
- 23 25 25 25 25 25 25 Public Relations I. Public relations is a broad set of communication efforts used to create and maintain favorable relationships between an organization and its publics, both internal and external. A. Public Relations Tools 1. Public relations material such as brochures, newsletters, company magazines, and annual reports that reach and influence the various publics. 2. Corporate identity material such as logos, business cards, stationary and signs are created to make a firm immediately recognizable. 3. Speeches can affect the organization’s image. 4. Event sponsorship, in which a company pays for part or all of a special event, is an effective means of increasing brand recognition with relatively minimal investment.
- 25 A feature article is a longer manuscript (up to 3000 words) prepared for a specific publication.
- 27 I. A press conference is a meeting called to announce major news events. II. Publicity-based public relations tools have several advantages including credibility, news value, significant word-of-mouth communications, and a perception of being endorsed by the media, as well as a relatively low cost.
- 29 Dealing with Unfavorable Public Relations I. A single negative event that produces unfavorable public relations can wipe out company's favorable image and destroy positive customer attitudes that took years to build through expensive advertising campaigns and other types of promotional efforts. II. Organizations can directly reduce negative incidents and events through safety programs, inspections, and effective quality control procedures . III. Because negative events can happen to even the most cautious firms, organizations should have pre-determined plans in place to handle them when they occur and reduce the adverse impact. IV. By being forthright with the press and public and taking prompt action, firms may be able to convince the public of their honest attempts to deal with the situation, and news personnel might be more willing to help explain complex issues to the public.