Ch.15

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Ch.15

  1. 1. Integrated Marketing Communications<br />Intro to Marketing Chapter 15<br />
  2. 2. Objectives of Promotion<br />Informing, persuading, and influencing the consumer’s purchase decision<br />Integrated Marketing Communications<br />Coordinating all promotional activities<br />Media advertising, direct mail, personal selling, sales promotion & public relations<br />To produce a unified, customer-focused promotional message<br />
  3. 3. The Communications Process<br />An effective message should:<br />Attract the receiver’s attention<br />Achieve an understanding by both the receiver and the sender<br />Suggest a method to satisfy the receiver’s needs<br />AIDA Concept – steps that a person goes through when making a purchase<br />A – ttention<br />I – nterest<br />D – esire<br />A - ction<br />
  4. 4. Objectives of Promotion<br />Provide Information to consumers<br />Increase demand<br />Differentiate a product<br />Accentuate a products value<br />Show how a product will make life better<br />Stabilize sales<br />Sales are not uniform throughout the year<br />
  5. 5. Promotional Mix<br />Personal Selling<br />Non-Personal Selling<br />Advertising<br />Paid, non-personal communication through various media<br />Product Placement<br />Sales Promotion<br />Displays, shows, demonstrations, non-recurrent selling efforts<br />Direct Marketing<br />Includes direct mail, phone, infomercials<br />Publicity & PR<br />News, not paid for, press releases<br /> Guerilla Marketing<br />Innovative low cost way to reach the market using a unique approach<br />
  6. 6.
  7. 7. Promotional Mix<br />
  8. 8. Sponsorships<br />Occurs when an organization provides cash or in-kind resources to an event or activity<br />Purchases two things:<br />Exposure<br />Image<br />
  9. 9. Direct Marketing<br />Growing rapidly<br />Interactive electronic media, direct mail, telemarketing, infomercials, & direct response advertising<br />International direct marketing has grown – internet<br />Databases are important<br />
  10. 10. Direct Mail<br />Sales letters, postcards, leaflets, folders, booklets, catalogs<br />Advantages<br />Can select a narrow target market, intensive coverage, personalized response rates are measurable<br />Disadvantages<br />High cost, dependence on quality of mailing list, junk mail<br />
  11. 11. Catalogs<br />Speigel, LL Bean, Lands End, & Eddie Bauer depended on catalog sales for years, then moved into retail stores & web pages.<br />CD ROM catalogs<br />Display 3 dimensional views<br />
  12. 12. Telemarketing<br />Phone<br />Most frequently used form of direct marketing<br />Inexpensive, get immediate response, personalized<br />Predictive dialers skip busy signals & answering machines, waits for human voice<br />
  13. 13. Direct Marketing via Broadcast Channels<br />Brief direct response ads on TV or radio encourage viewers to respond immediately<br />Home Shopping Channels<br />QVC & HSN<br />Work best for $20-$50 range<br />Infomercials<br />30 minute or longer product commercials<br />Usually air on non-prime-time slots or less expensive cable channels<br />
  14. 14. Electronic<br />Web Advertising<br />E-mail<br />Auction sites<br />Kiosks<br />Provide instant <br /> delivery<br />
  15. 15.
  16. 16. Pulling & Pushing Strategies<br />Pulling Strategy<br />Effort by the seller to stimulate final user demand<br />Pushing Strategy<br />Effort by the seller to channel members to motivate them to carry the product.<br />
  17. 17. Budgeting<br />Most effective is to increase promotional expenditures until each dollar of promotion expense is matched by a dollar of profit.<br />Percentage of sales is the most common<br />
  18. 18. Measuring the Effectiveness<br />Direct sales results<br />Indirect<br />Recall<br />Electronic media<br />Hits on the web<br />

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