1. Chapter 17 Bell Ringer
Form students into groups of 3 or 4. Ask each group to imagine that it has been asked for help by the local pet rescue and adoption center. The nonprofit organization needs to promote its upcoming Saturday festival, Pet Adoption in the Park. How can the organization promote this function without spending a lot of $? Create plan to convince local citizens to attend function.

2. Promotional Concepts & Strategies
Chapter 17

3. Promotion Companies use promotion to: Inform about products/services
Persuasive communication
Companies use promotion to:
Inform about products/services
Enhance public image
Persuade people products are valuable

4. Product Promotion
Convinces prospects to select its products or services instead of a competitor’s
Explains
Major features & benefits
Where it is sold
Sales/new offerings
Answers customer questions

5. Institutional Promotion
Creates favorable image for a business
Helps advocate for change
Takes a stand on trade or community issues
Does not directly sell a product or service – creates an image
Example: maintaining a web site to provide news, product information, and to answer ?’s

6. Promotional Mix There are 5 basic categories that play a vital role in the promotion of a product/service.
Personal Selling
Advertising
Direct Marketing
Public Relations
Sales Promotion

7. Personal Selling
Sales representatives who generate and maintain direct contact with prospects and customers
Most expensive form of promotion
Examples
Personal meetings
Telemarketing

8. Advertising A form of non-personal promotion
Promote ideas, goods, services
Variety of media outlets used
Form of one-way communication

9. Direct Marketing
Directed to a targeted group of prospects and customers rather than to a mass audience
2 Forms
Print mail (USPS)
Goal – to generate sales or leads for representatives to pursue

10. Public Relations
Activities that enable an organization to influence a target audience
Goal – cultivate media relations with reporters who cover a specific industry
Publicity – bringing news or newsworthy information about an organization to the public’s attention

11. Sales Promotion
Incentives that encourage customers to buy products or services
Objectives
Increase sales
Inform potential customers about new products
Create a positive business or corporate image

12. PART 2

13. Types of Sales Promotions
Trade Promotion
Consumer Promotion

14. Trade Promotions
Designed to get support for a product from manufacturers, wholesalers, and retailers
More money is spent on promoting to businesses than consumers.

15. Types of Trade Promotions
Promotional Allowances – cash payments or discounts given by manufacturers to wholesalers/retailers
Cooperative Advertising – manufacturer helps the retailer pay for advertising
Slotting Allowances – manufacturer helps the retailer pay for shelf space
Sales Force Promotions – awards to employees who meet/exceed sales quotas
Trade Shows & Conventions – showcase particular line of products

16. Consumer Promotions
Sales strategies that encourage customers and prospects to buy a product or service

17. Types of Consumer Promotions
Coupons – certificates entitling customers to cash discounts on goods or services
Premiums – low-cost items given to consumers at a discount or for free
Deals – short term price reductions that are marked directly on the label or package

18. Types of Consumer Promotions
Incentives – higher priced products earned and given away through contests, sweepstakes, and rebates
Product Samples – free trial size of a product
Sponsorship – sponsoring company pays a fee for the right to promote itself and its products or services at or on a set location

19. Types of Consumer Promotions
Promotional Tie-Ins/Cross-Promotion – arrangements between 1 or more retailers or manufacturers
Mutually beneficial
Combine resources
Product Placement – using a brand name product in a movie, TV show, sporting event

20. Types of Consumer Promotions
Loyalty Marketing Programs/Frequent Buyer Programs – reward customers for patronizing a company
Point of Purchase Displays – designed primarily by manufacturers to hold and display products
Usually placed in high traffic areas