2. PROMOTIONAL MIX
• It refers to the use of communication with the twin objectives of informing
potentialcustomers about a product and persuading them to buy it.
• Promotion involves disseminating information about the product, product line,
brand, or company. It is one of the four keys aspects of the marketing mix. (the
other three elements are product marketing, pricing and distribution.)
• To generate sales and profits, the benefits of product have to be communicated to
customers. In marketing this is commonly known as “promotions”.
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4. • Specific combination of promotional methods such as print or broadcast
advertising, direct marketing, personal selling, point of sale display, merchandising,
etc, used for one product or a family of products.
• ADVERTISING
• SALES PROMOTION
• PERSONAL SELLING
• PUBLICITY
• DIRECT MARKETING
• PUBLIC RELATIONS
TOOLS/TECHNIQUESFOR PROMOTION MIX /PROMOTION
MIX
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5. • Promotiontechniques
• Promoting your business can take many different forms. We can promote it online
and offline. Promotion is a very important part of every business imaginable. If we
don’t promote it, how are the customers supposed to know about it? Here are
some very effective ways to promote your product or service.
• BUSINESS CARD
• PRESS RELEASE
• ORGANIZATIONS
• NEWS LETTERS
• FREE STUFF
• WEBSITE
TOOLS/TECHNIQUESFOR PROMOTION MIX /PROMOTION
MIX
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7. • A promotional budget is a specified amount of money set aside to promote the
products or beliefs of a business or organization.
• Promotional budgets are created to anticipate the essential costs associated with
growing a business or maintaininga brandname.
• The budget is often set according to a percentage of sales or profits for an
established business, a percentage of startup costs or use of funds in the case of a
startup, a percentage of raised funds in the case of non-profit or a foundation, in
order to maintain an expected growth rate.
PROMOTIONAL BUDGET
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8. • The advertising and marketing of a business represent costs that most businesses
have a tough time predicting, which is why a percentage method might be used.
• A promotional budget could be increased in anticipation of new product lines are
set to release in the near future.
• High promotional budgets can reduce profits during the period such assets are
expended. Companies may allow for such higher costs based on an assumption
that sales or awareness will increase among customers.
• Promotional budgets usually include money put toward advertising across
mediums such as radio, television,Internet, and print.
HOW PROMOTIONAL BUDGETS WORK
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9. • A company’s promotional budget can include expenses for email campaigns, social
media outreach, and outdoor signage.
• The promotional budget might also go towards hiring outside experts and
consultants who develop the campaigns and place ads in the appropriate media
and locations.
• This can include contracting marketing intelligence firms to interpret data that
shows how dollars spent on marketing translate into new or recurring business for
the company.
HOW PROMOTIONAL BUDGETS WORK
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10. • Generate customerinterest
ex- discount sale, free samples
• Generalenquiry from target group of customers
ex- gift, mail in coupons, catalogue, brochures
• Motivate customersto repeatpurchase
ex- coupons
• Build customertraffic
ex- Big Bazaar Wednesday Sale, festival sale
• Increasingrate of purchase
ex -Multipacks
• Online/mobilecouponing
OBJECTIVES OF SALES PROMOTION
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11. • Increased price sensitivity
• Quality Image affected
• Dealers end up with undue advantages
• Merchandising support
• Short term sales orientation
DISADVANTAGES OF SALES PROMOTION
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12. ADVERTISING
• Advertising simply means A way of communication that reaches all types of sector
• It provides information and creates awareness among people relating to a product
etc
• Definition
• Any paid form of non-personal presentation and promotion of ideas, goods or
services by an identified sponsor
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13. OBJECTIVES OF ADVERTISING
• Delivering the proper message to customers
• To convince customers that a company’s services or products are best
• Enhance the Image of company
• Demonstrate new uses for established products to hold existing customers
• INFORMATIVE ADVERTISING - New Product, New Service, New Features, Re-
Launch
• PERSUASIVE ADVERTISING - ComparativeAds
• REMINDER ADVERTISING - ContinuousAds
• Ex: Coca Cola
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14. TYPE OF ADVERTISING MEDIA
• Outdoor Advertising (Billboard,Transport)
• Media Advertising (Television, Radio) Print Advertising (Newspaper, Magazine)
• Internet Advertising
• Celebrity Advertising
• Cinema Advertising
• Retailer/Local Advertising
• Brand Advertising
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15. ADVERTISEMENTFUNCTIONS
• To create awareness
• To inform
• To remind customers
• To offset advertising by competitors
• To support the sales force
• To increase market share
• To differentiatefrom rivals
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16. ROLE OF ADVERTISING
• Marketing Role
• Communication Role
• Economic Role
• Social Role
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17. CLASSIFICATIONOF ADVERTISING
1. On Geographical basis
• Global
• National
• Regional
• Local
2. On basis of Demand
• Product demand
• Brand demand
3. On Basis of TargetGroups
• Consumers
• Professional
4. Advertisingof service
Hotel services, Education services ,Transportationservices, Hospitalityservices and
Financial service
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18. EXAMPLES OF TOP ADVERTISING AGENCIES
• Ogilvy & Mather- Hutch (Vodafone), Cadbury, Asian Paints and Fevicol.
• JWT, J Walter Thompson- Nestle, Ford, Nokia and Unilever.
• Mudra Communication-HBO, Philips, Reliance NetConnect, Big Bazaar.
• FCB Ulka Advertising Ltd-TataIndicom, Whirlpool, Zee Cinema, Santoor, Sunfeast
and Amul.
• Grey Worldwide (I) Pvt. Ltd- Hero Honda, Maruti Suzuki, Nestle, Ambuja Cement,
UTV, P&G and Godrej
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19. MEDICAL EXHIBITION: OBJECTIVES
• Involves a large range of products from a number of different industries for
display to the general public/ customers.
• Generally intended to meet the needs of one particular type of business
• To reveal the ideas clearly and effectively
• To promote understanding
• To influence people to adopt better practices by arousing interest, stimulating
through and getting action.
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20. MEDICAL EXHIBITION: HOW TO PLAN
• Develop a plan/ layoutfor which exhibition is arranged.
• This layout should provide a way of evaluating the finished project as clarity of
message, attractiveness,completeness etc.
• Should communicatemessage very clearly.
• Exhibition must have power to attract
• Exhibition area must be well lighted with proper sound system
• Message should be short and simple to be understood by all visitors
• Make workshop lively and label legibly and briefly.
• Interpreters should be well informed and precise in their explanation.
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21. MEDICAL EXHIBITION: DISADVANTAGES
• Give adequatepublicity both in advance and after exhibitionsare over.
• Evaluate the effectiveness of exhibition by analyzing attendants enquiries and
requests.
• Creates market for newer products
• Develop healthycompetitions
• Requires lots of investments.
• It cannot lend itself to all topics and cannot be frequently or widely used.
• It may create some negative impression on audience if not properly handled
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23. • It’s the art and science of talking to the right audience in the right voice. It
influences and shapes a company’simage, reputation,brand perception and
culture.
• Nature of PR
• PR is essentially defensive
• It is a corporatearmor that a company can wear which would protect a company
during adverse times
• Public Relationscan also be defined simply as the practice of managing
communication between an organization and its public.
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PUBLIC RELATIONS(PR)
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25. • Customer complaintsand redressal
• It is an opportunity to cement relationswith the customer
• Very important in the service and hospitalityindustry
• Combating rumors/ falsehoods
• Confront and disclose facts in media
• Give the positive side of the story
• Capitalizeon rumor to your benefit
• Rumor can be dismissed as ridiculous
USES OF PR
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27. • It's a non-paid communication to promote your company in a positive light
using media vehicles like television, radio, magazines and newspapers.
• It is done by the third party.
• The major tool used in the publicity is press release.
• It provides information about a product or product related activities
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PUBLICITY
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28. USES OF PUBLICITY
• Attract public’sAttention
• Maintain publicVisibility
• Provide Information
• Change Attitudes
• Combat negative publicity from another source
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31. OTC
• OTC drugs are those drugs which are safe and effective for use by the general
public without a doctor’s prescription.
• It is also called prescription de controlled drugs.
• These drugs are the non prescription or over-the-counter drugs.
• These have little significant pharmacological activity and therefore the physician
need not to be very much concerned about their use by the patients themselves.
• It is used primarily for symptomatic relief and not as substitutes for prescription
drugs.
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32. OTC
• SIGNIFACANCE
• Comparativelycheaper
• An increased trend for self-care and increased tendency of patients to maintain
their own health Chemist himself may prescribe OTC
• OTC considered as time saving medications. Some patients do not want to spend
much time at physiciansclinic.
• Lesser number of side effect compared to prescription medications.
• Over-the- counter drug products account for 55 percent of drugs used by Indians.
• Prescription Drugs 45% OTC Drugs 55% Drugs Used by Indians MARKET ANALYSIS
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33. ONLINE OTC
• Why Online?
• Search engines are the most powerful medium to reach customers because you
reach the right customer at the right time.
• 90% of online Web sessions begin with a search.
• 81% of users find web sites they were lookingfor through search engines.
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34. ADVANTAGES OF ONLINE OTC AD
• Benefits of Advertising Online
• Real time ROI metrics: Investment rationalization
• Hard core leads: Tangiblemoney
• Own community on Social Media Portals
• Consumer Opinion Leaders (Who will be your mouth piece amongst consumers.)
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35. CREATE PROFILE IN SOCIAL MEDIA NETWORK
• Face book
• LinkedIn
• Twitter
• Orkut
• Google
• Yahoo
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36. DIRECT MAIL MARKETING
• Direct marketing is a perfect opportunity to get the name of the company in the
hands of customers who want to hear about the latest products, services, and
coupons provided.
• It is a personalized approach in marketing were there is a direct communication
created between the owner of the company and the prospective buyers.
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37. BENEFITS DIRECT MAIL MARKETING
• DMM provided a personalized approach which created awareness of Reader's
Digest Magazine.
• It helps in communicating directly with potential readers and appealing to their
beliefs and lifestyle.
• DMM made Reader's Digest become America's leading monthlymagazine.
• Today the global readership is more than 100 million, a circulation of 27 million,
with 48 editors, published in 19 languages available throughout the world and has
become the world's best-selling magazine.
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38. RETAILING
• According to William J Stantons, “ A Retailer or Retail store is a business enterprise
which sells primarily to the ultimateconsumers for non business use.”
• According to Cundiff and Still, “Retailing consist of those activities involved in the
selling directly to ultimate consumers. ”
• According to Mc. Carthy. “ Retailing is selling to final consumer products to
households.”
• Retailing may be understood as the final step in the distribution of merchandise
for consumption by the end consumers.
• Retailing is responsible for matching final consumer demand with supplies of
different marketers.
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39. • CHARATERESTICS OF RETAILING
• Direct interaction with customers.
• Lower average amount of sale transaction.
• Point of purchase and display and promotion.
• IMPORTANCE OF RETAILING
• Services to Wholesalers and Producers.
a) Advertisement of new products.
b) Arrangement to sell the goods.
RETAILING
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40. RETAILING
c) Information about consumer habits, tastesand needs.
d) Sharing of Risks.
• Services to consumers
a) Selection.
b) Variety of goods.
c) Demand creation.
d) Distribution.
e) Credit Facility.
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41. FUNCTIONS OF RETAILING
• Sorting.
• Breaking Bulk.
• Holding Stock.
• Additional Services.
• Channel of Communication.
• Transport and Advertising Functions
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42. • Detailing
• Sponsoring continuing medical
education
• Advertising Drugs in medical journal
• Funding medical specialty societies
• Hiring medical opinionleaders
• Paying physiciansfor participatingin
post marketing research
SAMPLING AS SALES PROMOTION
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43. • Many doctors deny that
promotional items from
companies influence
professional objectivity.
that
their
• Evidence suggest that physician
are just as susceptible to target
marketing as any other person
SAMPLING AS SALES PROMOTION
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44. • Personal autonomy
individual for taking
allow for
decisions
based on their ethical values.
• Personal autonomy is
compromised when another
party influences another beliefs
about product or service.
SAMPLING AS SALES PROMOTION
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45. • Drug Samples
• Patient receive free of charge.
• Used to test effectiveness of
drugs/help low income patients
• Curb patientscost initially butcost
more in long run
• Accompaniedby skewed and
misleading information's
• Persuade MDs not to look for better
opinion.
SAMPLING AS SALES PROMOTION
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