Your SlideShare is downloading. ×
Promotion Slides
Upcoming SlideShare
Loading in...5
×

Thanks for flagging this SlideShare!

Oops! An error has occurred.

×
Saving this for later? Get the SlideShare app to save on your phone or tablet. Read anywhere, anytime – even offline.
Text the download link to your phone
Standard text messaging rates apply

Promotion Slides

6,352

Published on

Published in: Education, Business
0 Comments
2 Likes
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total Views
6,352
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
250
Comments
0
Likes
2
Embeds 0
No embeds

Report content
Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
No notes for slide

Transcript

  • 1. Higher Business Management The Marketing Mix - Promotion
  • 2. Promotional Strategies
    • A promotion is any form of communication used in an attempt to draw attention to a product or service
    • An organisation may promote its product/service to gain new customers or to retain existing ones
  • 3. Aims of Promotion
    • Persuading customers to buy a product
    • - using a celebrity to endorse the product, comparing the product with another similar product or even using sex appeal
    • Informing customers about the product
    • - providing information about the product or service e.g. smoking kills
    • Reminding customers that the product still exists
    • - saturating advertising spaces in a variety of ways – bill boards, TV, magazines, newspapers etc
  • 4. Types of Promotion
    • Above the line
    • - independent media such as TV and newspapers, enabling businesses to reach large audiences easily
    • - sometimes the promotion can be wasted
    • Print media :
    • Newspapers
    • Magazines
    • OUTDOOR media :
    • POSTERS
    • BILL BOARDS
    • TRANSPORT
    • BROADCAST media :
    • TV
    • RADIO
    • CINEMA
    • INTERNET
  • 5. Types of Promotion
    • Below the line
    • - directly controlled by the business e.g. sales promotions, direct mail, trade fairs and personal selling
    • - allows businesses to target the consumer they hope will be interested in their product more directly
  • 6. Promotion
    • Advertising
    • Sales Promotion
    • Public Relations
    • Exhibitions & Trade Fairs
    • Merchandising
    • Direct Mail
    • Personal Selling
  • 7. Advertising
    • Informative Advertising
    • - used to increase awareness of a product/service and to inform the consumer about the product/service
    • - for example: Yellow Pages
    • Persuasive Advertising
    • - aim to persuade a customer to buy a product by stressing that it’s very desirable to have
    • - for example: Marks & Spencer (Food)
  • 8. Advertising*
    • Corporate Advertising
    • - promoting the whole company rather than individual products
    • - for example: BP – adverts do not try to persuade you to buy their petrol, but convey a ‘green’ image
    • Generic Advertising
    • - where a number of advertisers or the whole industry come together to promote the industry rather than individual products
    • - for example: the Scottish red meat industry – Scottish lamb, beef, pork etc
  • 9. Advertising Mediums
    • Television
    • Daily Newspapers
    • Sunday Newspapers
    • Local Newspapers
    • Direct Mail
    • Independent Radio
    • Cinema
    • Outdoor Media
  • 10. Choice of Advertising Media
    • The choice of advertising method will be affected by:
    • Cost
    • Target Audience
    • Competitors’ Advertising
    • Impact Required
    • The Law (restrictions on tobacco advertising)
  • 11. Controls on Advertising
    • ASA
    • - voluntary body set up to monitor advertising in the UK
    • - adverts must be legal, honest, truthful and not cause offence
    • ITC
    • - body which controls advertising on TV and radio
    • - restrictions include current newsreaders not being allowed to endorse products & actors not being used in commercials during programmes in which they appear
  • 12. Controls on Advertising
    • Pressure Groups
    • - certain pressure groups seek to influence advertising e.g. FOREST who aim to defend the rights of tobacco firms to advertise
    • Trade Descriptions Act 1968
    • - law states that the products must match the claims made about them in the advertising
  • 13. Sales Promotion
    • Sales promotions are short-term inducements used to encourage customers to react quickly and make a purchase
    • Sales promotions can be given to the wholesaler/retailer or to the customer
    • There are 2 main types of sales promotions…
  • 14. Into the Pipeline Promotions
    • Dealer Loaders
    • Point of Sale
    • Dealer Competitions/Bonuses
    • Staff Training
    • Sale or Return
    • Credit Facilities
  • 15. Out of the Pipeline Promotions
    • Free Samples
    • Bonus Packs
    • Price Reductions
    • BOGOFF
    • Demonstrations
    • Merchandising
    • Competitions
    • Coupons/Vouchers
  • 16. Question (2007, Section 2, Q3c)
    • Manufacturers use short term promotional measures to boost sales of products or services to retailers (into the pipeline promotions).
    • Identify and describe 2 of these measures.
    • (4 marks)
  • 17. Solution
    • Point of sale of materials
    • Dealer loaders
    • Sale or return
    • Competitions
    • Staff training
    • Credit facilities
    • Bulk buying discounts
    • (Any 2 correct)
    • Must include a description to gain the second mark
  • 18. Question (2001, Section 1, Q6)
    • Festive Bingo is a Private Limited Company with a 30% share of the UK bingo industry. They would like to increase admissions to 6000 per week if it moves to the new site.
    • Suggest 2 promotional activities which could be aimed at their existing market segment.
    • (2 marks)
    • Describe what could be included in Festive Bingo’s marketing strategy to attract a new segment of the market?
    • (4 marks)
  • 19. Solution
    • Class to discuss possible solutions…
  • 20. Personal Selling
    • Where satisfying the individual needs of the customer is paramount, personal selling is essential
    • In some situations the customer’s needs can only be satisfied by personal contact between buyer and seller:
    • - special advice is required e.g. insurance
    • - where special benefits are required
    • - where negotiation on price is required
  • 21. Personal Selling
    • It involves persuasive communication between buyer and seller
    • It’s designed to convince the consumer to purchase the products or services on offer
    • The objective is therefore to ‘make the sale’
  • 22. Question (2004, Section 2, Q4c)
    • Identify and describe 2 appropriate methods of promotion for summer holidays
    • (4 marks)
  • 23. Solution
    • Advertising – pictures, dates advertised in magazines and newspapers
    • Direct mail – information sent to customers who have used the company before, those who are thought likely to be interested
    • Promotional pricing – price reduced for a short period of time, perhaps to encourage early booking
    • Free child places – children offered free holiday places when accompanied by adults
    • (Any 2 for 2 marks each)
  • 24. Public Relations
    • The activities of an organisation which help it improve its image locally, nationally and internationally
    • Includes making donations to charities, event sponsorship, product endorsement, publicity materials, merchandising, press conferences and press releases
    • Staff must also deal with bad publicity with the aim to create positive publicity
  • 25. PR Manager/Officer
    • Arranges press conferences
    • Deals with any bad publicity
    • Issues press releases
    • Organises charitable events
    • Liaises with celebrities regarding their endorsements
  • 26. Question (2001, Section 2, Q4c)
    • Errors do sometimes occur in manufacturing e.g. a supermarket is unhappy about the quality of one batch of lasagne which has been distributed throughout the UK.
    • Explain the role of the Public Relations Officer in dealing with this situation.
    • (5 marks)
  • 27. Solution
  • 28. Question (2003, Section 2, Q1b)
    • Oil companies such as BP and Shell see creating a good reputation as an important objective.
    • Describe the role of the Public Relations Officer in achieving such an objective
    • (5 marks)
  • 29. Solution
    • Organises PR activities
    • Prepares Press Releases
    • Organises Press Conferences - provision of free products to those attending
    • Responds favourably to criticism
    • Organises donations to charities
    • Sponsorship
    • Organises Office/Platform/works tours
  • 30. Publicity
    • Within the organisation by the company itself through press releases or public announcements
    • Outside the organisation through news reports or through consumer programmes or publications
    • Not usually paid for by the organisation, but can become advertising for the business if it is good publicity
  • 31. PR and Publicity
    • Together PR and Publicity can:
    • Provide the public with information about the organisation
    • Built confidence in the organisation and awareness of its products
    • Develop goodwill in the community and present the organisation in a positive way
    • Support and enhance other areas of the promotional mix such as advertising and selling
  • 32. Question (2008, Section 2, Q1d)
    • Describe the methods available to a Public Relations department to improve the image of an organisation.
    • (5 marks)
  • 33. Solution
  • 34. Packaging*
    • Shape and weight
    • Protection
    • Convenience
    • Design
    • Information
    • Environmental Factors
  • 35. Merchandising*
    • An attempt to encourage the customer to buy at the point of sale in shops and petrol stations
    • Display material like window displays, in-store posters will attract customers’ attention
    • Lighting and smells can also affect consumers’ buying decisions (bright lights to suggest cleanliness and bakery smells to make the customer hungrier)
  • 36. Question (2005, Section 2, Q5c)
    • Explain why organisations choose to spend large sums on money on marketing.
    • (5 marks)
    • Other than altering prices, describe 2 methods of promotion which are used by organisations.
    • (2 marks)
  • 37. Solution

×