1. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-1 NickelsMcHughMcHugh Nickels Cover

2. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-2 Chapter 1616 Today’s Promotional Techniques 1-2

3. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-3 Total Direct Advertising Expenditures In billions Source: Source: The Direct Marketing Association & Advertising Age, FACTPAK, 2002.

4. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-4 Advertising Today Persuasive CommunicationPersuasive Communication InfomercialsInfomercials InternetInternet Global AdvertisingGlobal Advertising

5. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-5 Top Brand Advertisers  McDonald’s$629 Mil  Verizon Wireless 508 Mil  AT&T Wireless 384 Mil  Cingular Wireless 347 Mil  Home Depot 346 Mil

6. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-6 Century’s Top Ad Jingles  “You deserve a break today”  “Be all you can be”  “Pepsi-Cola hits the spot”  “Mm Mm good!”  “See the USA in your Chevrolet”  “I wish I were an Oscar Mayer wiener”  “Double your pleasure, double your fun”  “Winston tastes good like a cigarette should”  “It’s the real thing”  “A little dab’ll do ya” Source: Source: Advertising Age

7. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-7 Favorite Budweiser Advertising Slogans 1899 King of Bottled Beers America’sSocialCompanion 19371943 Food’s Favorite Companion 1947 It lives with good taste everywhere 1953 When you know your beer… it’s bound to be Bud 1971 When you say Budweiser, you’ve said it all 1993 Proud to be your Bud

8. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-8 Do Blatantly Sexy Ads Turn You Off? Source: Source: USA Today

9. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-9 Total Direct Mail Expenditures In Billions Source: Source: The Direct Marketing Association & AdAge.com

10. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-10 2002 Amount U.S. Spent On... Internet Advertising $5.74 Billion Outdoor Advertising $2.40 Billion Source: Source: AdAge.com

11. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-11 Top Online Advertising Industries Source: Nielsen/NetRating, 2002

12. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-12 Steps in Personal Selling Prospect/QualifyProspect/Qualify PreapproachPreapproach ApproachApproach PresentationPresentation ObjectionsObjections CloseClose Follow-upFollow-up

13. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-13 Public Relations Steps ListenListen ChangeChange InformInformPublicity  Free  More Effective Than Advertising  Believable  No Control  No Repetition

14. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-14 Sales Promotion Internal & ExternalInternal & External SamplingSampling Word-Of-MouthWord-Of-Mouth Viral Marketing/SwagViral Marketing/Swag TechnologyTechnology

15. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-15 Tips on Issuing Coupons  Coupons can be used as a “Thank you for buying” or a “Stop and try us.”  The value must be enough to attract customers.  Use coupon promotions sparingly.  Get professional help to get maximum exposure.  Color-code your coupons for different groups that use them.

16. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-16 Factors That Affect The Promotion Mix  Type of Product  Stage in the Product Life Cycle  Target Market Characteristics  Actions of Competitors  Available Funds

17. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-17 Components of Integrated Marketing  Advertising  Corporate Communication  Crisis Communication  E-Commerce  Event Marketing  Internal Communication  Issues Management  Multimedia  Public Relations  Sales Promotion  Strategic Planning  Web Design

18. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-18 Objectives of Integrated Marketing  Build Brand Equity  Provide Information  Manage Demand & Build Sales  Differentiate Products  Influence Perceptions, Attitudes, & Buyer Behavior

19. McGraw-Hill/Irwin Understanding Business, 7/e © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved. 16-19 Building IMC IMC  Gather Data & Maintain Database  Respond Quickly To Adjust Policies & Procedures  Provide Accessible Information