Razzle Dazzle Promotion LAP 2 The Nature of Promotion.

Razzle Razzle DazzleDazzle

Promotion LAP 2

The Nature of Promotion

ObjectivesObjectives

Explain the role of promotion in marketing.

Describe types of promotional objectives.

Razzle DazzleRazzle Dazzle

ObjectiveObjective

Explain the role of promotion in marketing.

You’ve created an exciting You’ve created an exciting new iPhone application.new iPhone application.

You’ve created an exciting You’ve created an exciting new iPhone application.new iPhone application.

You need potential customers to know:You need potential customers to know:You need potential customers to know:You need potential customers to know:

Your product existsYour product exists

What it will do for themWhat it will do for them

Where they can purchase itWhere they can purchase it

How much it costsHow much it costs

Your product existsYour product exists

What it will do for themWhat it will do for them

Where they can purchase itWhere they can purchase it

How much it costsHow much it costs

You need You need promotion!promotion!You need You need promotion!promotion!

Promotion Basics

PromotionPromotion——marketing function needed to marketing function needed to

communicate information about goods, communicate information about goods, services, images, and/or ideas services, images, and/or ideas to achieve a desired outcometo achieve a desired outcome

The element of the marketing mix The element of the marketing mix that encourages customers to buy that encourages customers to buy or to have certain views or opinionsor to have certain views or opinions

Can also be described as Can also be described as marketing communication because marketing communication because

it involves sending a marketing it involves sending a marketing message to a target audiencemessage to a target audience

Any organization with something to sell Any organization with something to sell

Who Uses Promotion?Who Uses Promotion?

Large and small businesses

Large and small businessesExamples



Government agencies

Government agencies

Special interest groups

Special interest groups

Producers Producers



Intermediaries (middlemen)

Intermediaries (middlemen)

Individuals, such as political candidates

Individuals, such as political candidates

Characteristics of Effective PromotionCharacteristics of Effective Promotion

Persuasive—must convince customers that the product or company can satisfy specific needs

Persuasive—must convince customers that the product or company can satisfy specific needs

Relevant—must be of interest to the target audience

Relevant—must be of interest to the target audience

Appropriate—must “fit” the product Appropriate—must “fit” the product

Characteristics of Effective PromotionCharacteristics of Effective Promotion

Factual—must not be misleading Factual—must not be misleading

Repetitive—must create sustained interest Repetitive—must create sustained interest

Coordinated—must be in sync with other promotional messages

Coordinated—must be in sync with other promotional messages

Benefits of PromotionBenefits of Promotion

Increased salesIncreased sales Increased salesIncreased salesStrong positionStrong positionStrong positionStrong position Increased Increased customer customer loyaltyloyalty

Increased Increased customer customer loyaltyloyalty

Improved Healthcare!

Lower Taxes!

Increased Increased product/company product/company awarenessawareness

Increased Increased product/company product/company awarenessawareness


• Jobs in promotionJobs in promotion

• Jobs in productionJobs in production

• Jobs in promotionJobs in promotion

• Jobs in productionJobs in production

Better informed, more Better informed, more satisfied customerssatisfied customers

Better informed, more Better informed, more satisfied customerssatisfied customers

Increased Increased employment employment opportunitiesopportunities

Increased Increased employment employment opportunitiesopportunities


• TelevisionTelevision

• RadioRadio

• NewspapersNewspapers

• MagazinesMagazines

• InternetInternet

• TelevisionTelevision

• RadioRadio

• NewspapersNewspapers

• MagazinesMagazines

• InternetInternet

Increased media supportIncreased media support——promotional promotional dollars for:dollars for:

Increased media supportIncreased media support——promotional promotional dollars for:dollars for:

Promotion CostsPromotion Costs

Promotion costs can add up.

Marketers plan ahead and create reasonable, appropriate budgets.

ObjectiveObjective

Describe types of promotional objectives.

Promotion ObjectivesPromotion Objectives

Used most often for new products

Also used for older products with new uses

NewNew

To inform

Used to educate customers on how to use productsHow to be digital-ready:


Used most often with highly competitive products

Often includes incentives

To persuade

Used to stimulate action

Sometimes used to boost company image


Used to reinforce positive opinions that already exist

To remindTo remind

Used most often to promote a company rather than an individual product

A promotion may aim to achieve one, two,

or all three of these objectives.

Was it for a company or for a specific product?

Did you find it relevant and appropriate?

Was the promotion meant to inform, to persuade, or to remind?

Was it for a company or for a specific product?

Did you find it relevant and appropriate?

Was the promotion meant to inform, to persuade, or to remind?

Choose one promotion you’ve seen

in the past week.

How did it affect you as a consumer?

How did it affect you as a consumer?

Individuals such as political candidates use promotion to convince the public to agree with them or to vote for them.

Sometimes, along with positive promotions about themselves, political candidates or parties include negative advertisements about their opponents in their promotional campaigns.

These promotions aren’t illegal, but are they ethical?

What do you think?

Acknowledgments:

Lelia Ventling and Sarah Bartlett Borich, MBAResearch

Version 1.0

Copyright 2010

MBA Research and Curriculum Center

Original Developers:

Digital-based photography sources:Digital-based photography sources:

Microsoft Clip Gallery LiveVarious clipart used in conjunction with PowerPoint 2003® Clip Art, Microsoft® All rights reserved. One Microsoft Way, Redmond, WA, USA http://dgl.microsoft.com

Liquid LibraryVarious images used in this presentation are ©2007 Liquid Library All rights reserved http://www.liquidlibrary.com

Copyright:All photographic digital images on this CD are owned by the aforementioned photographic resources or their licensors and are protected by the United States copyright laws, international treaty provisions, and applicable laws. No title to or intellectual property rights to the images on this CD are transferred to you. These sources retain all rights and are not to be used, digitally copied, transferred, or manipulated in any way. To do so is a violation of federal copyright laws.

Razzle Dazzle Promotion LAP 2 The Nature of Promotion.

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