Promotion is Communication
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Transcript of Promotion is Communication
Promotion is CommunicationPrinciples of MarketingChapter 36
Introduction• Promotion is the process of telling
people about a product and the company that offers it.• Let’s brainstorm the ways that
companies promote their products.
Did you think of all of these?• Sales associate helping customers• TV commercials• Billboards• Direct mail• Advertisements in newspapers and
magazines• Public service announcements• Corporate sponsorship of sporting events
Marketing Communication• Another term commonly used for
promotion• Promotion is part of the marketing
mix• Communication from an organization
to its customers, potential customers, and the public
Goals of Promotion• Brainstorm a list of the goals of promotion
Goals of Promotion• Basic marketing goals•Sell products•Make profit
• Informs• Expresses• Persuades
Inform customers about:• Existing products• New products• New features on existing products• Use or assembly of products• Safety issues that may affect the use of a product• Charities and cultural organizations the business
supports• Events the business sponsors in the community• Remind customers of their product
Express• Words• Color• Motion• MusicDescribe a promotional message that was memorable. What made this message memorable? What feelings did the message evoke in you? What product did it promote? Did the message make you want to buy the product? Did you buy the product?
Persuade• Persuasion is the use of logic, argument, or
pleading to get another person to agree with you or to act in a certain way.
• Promotional messages persuade people to buy through the use of • Information• Reminders• Expressions• Entertainment
Group Activity• Use one of the promotional goals to
write your own promotion for your office product. • Present your promotion to the class•Print ads•Speaking radio ads•Acting TV commercials
Types of Promotion• Target market might be business (B2B) or
consumer (B2C) • What is being promoted: product or
institution• Product promotion is marketing communication that focuses on the product and selling the product• Institutional promotion focuses on the image of the organization
Four Elements of Promotional Mix• Promotion mix is the combination of promotional
elements used in a promotion• Personal selling• Advertising• Sales promotion• Public relations
• These fall into two categories• Personal promotion• Nonpersonal promotion
Personal Promotion• The marketer and the customer communicate in
person• Personal selling is the only promotion in this
category• The seller can customize the message, based on
the immediate response from the customer
Nonpersonal Promotion• Promotion that communicates the same
message to all potential customers• No interaction between the marketer and
the target market• Elements of nonpersonal promotion• Advertising• Sales promotion• Public relations
Advertising• Nonpersonal promotion paid for by an identified
sponsor• Print advertisements in newspapers and magazines• Commercials broadcast over radio and TV• Internet ads• Billboards• Transit advertising on buses and subway cars• Direct marketing channels—the same message is sent to
all receivers• U.S. Postal service--catalogs• Telemarketing• Internet
Sales Promotion• Marketing activities designed to entice customers
to buy a company’s products• Coupons • Contests• Free samples• Gift-inside
• Short-term activities• Used with other forms of promotion to support
overall goals• B2C and B2B sales promotions
Public Relations• Promotional activities designed to create goodwill
between a company and the public• Used mostly for institutional promotion• Proactive public relations consists of communications
initiated within the company for the purpose of image building• Reactive public relations consists of communications in
response to negative events or damaging information that appears in the media
Publicity• Information about a company and its products
that appears in the media• The company does not pay the media to carry the
message• Public relations specialists send information to
the media, hoping that the media will print or broadcast the story
• Tools of publicity• Press release• Press kit—includes press release, brochures, and
photographs• Press conference
Publicity Activity• Find a recent article that contains newsworthy
information about a well-known company.• Summarize the article in your own words and site
your source.• Answer the following questions about your
article:• Is the information in the article positive, negative, or
neutral? Why do you think so?• What impact will this article have on the reputation of
the company? Why do you think so?• What impact will this article have on sales and profits?
Why do you think so?
Promotional Strategies• Pull strategy is promotional effort focused on
the consumer• Primarily advertising• B2C• Customer demand often causes the retailer to
contact the wholesaler or manufacturer to increase the product order
• The consumer demand pulls the product through the distribution channel
Push Strategy• Promotional efforts are focused on the
wholesalers, distributors, and retailers• Manufacturers promote their products to
wholesalers and distributors and encourage them to add the products to their inventory
• Wholesalers and distributors, in turn, promote these products to retailers and encourage them to stock their stores with the products
• This is a B2B strategy, and personal selling is used
Positioning• Actions marketers take to create a certain image
of a product in the minds of customers• The actual position of a product is in the mind of
the consumer• Marketers decide what position they would like
their product to have, then build a promotional strategy to achieve that position
Two more Promotional Strategies
Buzz Marketing• Buzz marketing is
promotion designed to look as though it is coming from an unbiased stranger or a friend, instead of from a corporation
Sponsorship• The sponsor pays for
an activity such as a sporting event, a cultural performance, or a charity event
• Many corporations want to sponsor the Olympics so that they can use the Olympic logo in their advertising
Promotional Campaigns• A series of coordinated promotional activities
desgined to achieve a specific goal• Image building• The mental picture of what a customer believes about
a product• Emphasizes a particular aspect of a product by
focusing on creating an impression of the product• Product differentiation• Convenience, customization, and greater customer
satisfaction• Direct response• The seller communicates directly with the buyer and
asks for an immediate response