2 Promotion Communication by marketers that informs, persuades, and reminds potential buyers of a product in order to influence an opinion or elicit a response.
3 Promotional Mix Combination of promotion tools used to reach the target market and fulfill the organizations overall goals. Advertising Public Relations Sales Promotion Personal Selling Word-of-Mouth
4 Advertising Impersonal, one-way mass communication about a product or organization that is paid for by a marketer.
5 Advertising Media Traditional Advertising Media Traditional Advertising Media Electronic Advertising Media Television Radio Newspapers Magazines Books Direct mail Billboards Internet Electronic mail Interactive video
6 Advertising Advantages Reach large number of people Low cost per contact Disadvantages Total cost is high
7 Public Relations Public information about a company, good, or service appearing in the mass media as a news item, which is free to the company.
8 Public Relations Advantages Publicity is free; advertising is not Can be used to create a positive image within the community Viewed as being more credible or believable than advertising Disadvantages Give up much of your control of your message Not all publicity is positive
9 Sales Promotion Free samples Contests Trade Shows Vacation Giveaways Coupons Popular Tools for Consumer Sales Promotion Popular Tools for Consumer Sales Promotion
10 Sales Promotion Advantages Unique and has special appeal to a potential customer Helps build customer loyalty Disadvantages Difficult to end without the customers becoming dissatisfied Store image and sales can suffer if the promotion is not properly planned and managed
11 Personal Selling Planned presentation to one or more prospective buyers for the purpose of making a sale.
12 Personal Selling Advantages Person contact with customer Can track success Disadvantages On a per contact basis, personal selling is the most expensive form of promotion
13 Characteristics of Advertising Communication Mode Communication Control Feedback Amount Feedback Speed Message Flow Direction Message Content Control Sponsor Identification Reaching Large Audience Message Flexibility AdvertisingAdvertising Indirect and non-personal Low Little Delayed One-way Yes Fast Same message to all audiences
14 Characteristics of Public Relations Communication Mode Communication Control Feedback Amount Feedback Speed Message Flow Direction Message Content Control Sponsor Identification Reaching Large Audience Message Flexibility Public Relations Usually indirect, non-personal Moderate to low Little Delayed One-way No Usually fast Usually no direct control
15 Characteristics of Sales promotion Communication Mode Communication Control Feedback Amount Feedback Speed Message Flow Direction Message Content Control Sponsor Identification Reaching Large Audience Message Flexibility Sales Promotion Usually indirect and non-personal Moderate to low Little to moderate Varies Mostly one-way Yes Fast Same message to varied target
16 Characteristics of Personal Selling Communication Mode Communication Control Feedback Amount Feedback Speed Message Flow Direction Message Content Control Sponsor Identification Reaching Large Audience Message Flexibility Personal Selling Direct and face-to-face High Much Immediate Two-way Yes Slow Tailored to prospect
17 Goals and Tasks of Promotion Informing Reminding Persuading Target Audience Target Audience
Promotion (cont) Examples include: web sites autograph sessions fan festivals t-shirts give-aways
Promotion (cont) Stadiums event promotions are designed to: facilitate fan participation. create a cheerful atmosphere.
The most common types of events promotions include: 1. In-stadium promotions which occur inside stadiums or arenas. For example: lucky seats giveaways mascot races football tosses backstage access at concerts
The most common types of events promotions include: 2. Walk-in promotions which are received as fans walk inside stadiums and arenas. For example: T-shirts, hats, visors. foam hands, pennants, can holders.
Differentiate between institutional and product promotion. Institutional promotion, also referred to as organizational advertising, is designed to: create a positive image. establish and maintain goodwill. may result in an increase in sales of the good or service.
Institutional Promotion Examples include: NBA Read to Achieve Program Nike and Reebok basketball camps Camp Mariah (Mariah Carey) Daddys House (P. Diddy)
Differentiate between institutional and product promotion Product promotion, also referred to as product advertising, is designed to: simulate sales of a business, organization, or celebritys good or service. launch new products.
Product Promotion Examples include: pre-album release listening parties. a musician promoting release of new single. Coca-Cola setting up pre-concert promotion booths providing samples of Vanilla Coke.