PROMOTION AND PROMOTIONAL MIX

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http://www.youtube.com/watch?v=kWBhP0EQ1lA

DEFINITION OF PROMOTION

• Communication used to inform, persuade and educate prospective customers about a product, service or company.

PROMOTION

• • • • • Persuasive communication Inform prospective customers about products and services Enhance public image and reputation Enhance image of product or service as valuable Educate public about an issue or trend (mostly used by non profits)

Types of Promotion

• PRODUCT • INSTITUTIONAL

PRODUCT PROMOTION

• • • • • Convince customers to buy a product or service instead of the competitor brand Promotional activities explain the major features and benefits of the product or service Identify where it is sold, advertise sales, answer customer questions Introduce new offerings Helps companies foster good relationships with existing customers and increase loyalty

• • •

INSTITUTIONAL PROMOTION

Activities and advertising that creates a positive image of a company or product Product features and benefits are NOT used in this form of promotion Examples: • Holiday Budweiser commercial • Sponsorship of charity events- Komen for the Cure

PROMOTIONAL MIX

• Strategy used by companies to inform and persuade a target market • “Any combination of Advertising, Selling, Publicity, and Sales Promotion and Direct Marketing”

PROMOTIONAL MIX

• ADVERTISING • SELLING • PUBLICITY • SALES PROMOTION • Direct Marketing

ADVERTISING

• • • • • • • Paid communication One-way communication Broadcast (TV, Internet, Radio) Print (Newspaper, Magazines, Direct Mail) Outdoor (Billboards, Marquis) Transit (Busses) Social Media

SELLING

• • • Face-to-face interaction with customer Persuasive approach – educate and inform about the product/service The goal is to lead the customer to a correct buying decision for their needs • • Business-to-business selling Business-to-consumer selling

• • • •

PUBLICITY and PUBLIC RELATIONS

Activities that influence a target audience Creates a favorable image for the company, it’s products, or policies Cultivate media relations IMAGE!

http://www.youtube.com/watch?v=SKL254Y_jtc

SALES PROMOTION

• Stimulation of sales through contests, demonstrations, discounts, trade shows, games, giveaways, point of sale special offers and similar activities that drive product sales • Aimed at consumer OR distribution channel

Direct Marketing

• Making direct contact with existing and potential customers about a product or business • Enables to target specific customer with personalized message • Types of direct marketing include: e-mail, direct mail, mobile marketing, and telemarketing.

Assignment: Identify Promotional Mix of An Existing Product/Service • • • • Students work independently or with a partner to complete this assignment Select a company and a product or service that is marketed by that company Research the promotional activities for that specific product/service using the Internet Prepare a PPT presentation to deliver to class that identifies the promotional mix of that product/service