2. WHAT IS PROMOTION?WHAT IS PROMOTION?
Definition:
An umbrella category for any one of numerous
activities designed to stimulate consumer interest in,
awareness of, and purchase of the product.
Main Goal:
To inform and influence the consumer about the
product.
Four Main Components:
1) ADVERTISING
2) PERSONAL SELLING
3) PUBLICITY
4) SALES PROMOTION
3. ADVERTISINGADVERTISING
Definition:Definition:
Any paid form of non personal presentation and promotion
of ideas, goods, or services by an identified sponsor.
An advertising message can:An advertising message can:
Create awareness
Communicate information about attributes and benefits
Develop or change and image
Associate a brand with feelings and emotions
Precipitate behavior
When deciding what forms of advertising to use,
marketers must consider the cost per person
reached.
Ex. Super Bowl Commercial versus local newspaper ad
4. ADVERTISING MEDIUMSADVERTISING MEDIUMS (Forms)
SignageSignage
Any sign that provides information about a company/service.
EndorsementsEndorsements
Wheaties Box, Campbell’s Soup and NFL
Print mediaPrint media
Newspapers, magazines, posters, programs, point of
purchase displays, and direct mail
Broadcast/Electronic MediaBroadcast/Electronic Media
Radio, TV, scoreboards, PA systems
InternetInternet
Banners, Pop-ups.
Billboards, Blimps, BusesBillboards, Blimps, Buses
5. PUBLICITYPUBLICITYPUBLICITYPUBLICITY
Definition:Definition:
Any form of unpaid advertising.
Usually some sort of free advertising from a neutral third
party.
Purpose:Purpose:
To draw attention to an event or program.
Examples:Examples:
Press conference, press release, articles in the local
newspaper, coverage on TV or radio.
Consumer Credibility is very high if they trust the
source.
Usually generated through a company’s Public
Relations (PR) department.
6. PERSONAL SELLINGPERSONAL SELLINGPERSONAL SELLINGPERSONAL SELLING
Definition:Definition:
Oral presentation with potential customers for the purpose of
making a sale.
Personal Selling needs to:Personal Selling needs to:
Locate potential customers
Businesses, schools, clubs, civic organizations.
Show benefits to consumers.
Be clear about details.
Be trustworthy and develop relationships.
80% of your sales come from 20% of your customers
Example: Season Ticket Holders
Usually very effective form of promotion because it is
harder to turn someone down face to face.
7. SALES PROMOTIONSSALES PROMOTIONS
There are two General Types of Promotions:There are two General Types of Promotions:
Price-Oriented
Non Price-Oriented
Non Price-Oriented:Non Price-Oriented:
Includes special events, giveaway items, and other tangible incentives
Price-orientedPrice-oriented
Involves discounting, or making other price-related manipulations. (2 for 1)
Important not to conduct too many price-oriented promos because it shows
the consumer that your product is not worth its actual value.
Promotions are often very inexpensive due to sponsorship.
Be careful not to attract fans to a poor product or you could lose them
forever. (NY Islanders)
Promotional activities usually only boost attendance for that event.
8. ULTIMATE PROMOTIONAL GOAL:ULTIMATE PROMOTIONAL GOAL:
MOVING CONSUMERS UP THE ESCALATORMOVING CONSUMERS UP THE ESCALATOR
1.1. HEAVYHEAVY USERUSER: includes season ticket holders or luxury box attendees.
• Goal is to keep them happy.
2.2. MEDIUMMEDIUM USERUSER: attend 10-30% of a team’s home games. May have a
partial plan.
• Goal is to get them to realize they can take the next step.
3.3. LIGHT USER:LIGHT USER: no established attendance pattern. Attend based on
opponent or availability or give away.
• Goal is to inform them of partial plans or group plans.
4.4. NON CONSUMER:NON CONSUMER: (non aware, aware, media types)
• Goal is to inform