Use of Integrated Promotional
Strategies to Achieve Sales
Targets
Integrated Marketing Communication-
Defined
• Synergistic approach to achieving the objectives of
a marketing campaign, th...
Tools of Integrated Marketing
Communication
• Public Relations
• Advertising
• Personnel Selling
• Direct Marketing
• Sale...
Sales Promotion
Direct inducement to buy
Offers extra value to the customer
Acceleration tool. Speeds up the selling proce...
Why Promote??
• Trial & Purchase :(Sampling, Coupons, Price off
techniques)
• Consume More: (Bonus packs, Premium offers, ...
Why Promote??
ObjectivesObjectives
Intended to
Change Consumer
Behavior
Building BrandsBuilding Brands
Can be Used to Buil...
Consumer Promotions- Types
Product Placement
Coupons
Price- off deals
Premiums
Contests/ Sweepstakes
Samples & Trial Offer...
Goals of Trade Promotion
Stimulate in-store merchandising or other trade support.
Manipulate levels of inventory .
Expand ...
Sweepstakes
Point-of-
Purchase Retailer
Kits
Contests
Trade Shows
Trade Promotions- Types
Exhibits
Trade
Incentives
Trade
...
Retail Promotion- Types
• Retailer Kits
• Retail discounts
• Displays
• Features
• Coupons
• Other reward programs
Promotion at different stages of the
PLC
• Introduction – Heavy promotion to induce trials and promote brand
franchise
• G...
Considerations while designing a Sales
Promotion Program
• Don’t promote if the product is not good.
• Promotions rarely s...
Considerations while designing a Sales
Promotion Program
• It should be novel and attractive.
• Ensure supply lines are go...
Case Study
PUSH & PULL STRATEGIES
USED AT HUL
Push- Trade Promotions
• Visibility - Extra Payouts for Additional
Shelf Space.
• Slab wise Offers
• Incentives for retail...
Trade Slabs
In Value
Product Zone Sku Percentage From To
Sunscreen
Lotion
(All SKU's)
ALL
INDIA
60 ml 4% 9000 18000
120ml ...
Pull – Consumer Promotions
Activities
• Lakme Fashion Week
• Makeovers
• Sun Confidence
Activation
Offers
• Free Gifts
• M...
Lakme Makeover
Beauty Advisor Channel
Effect on total business
Lakme Sale Treand Offtake MRP (Fig in Lac)
0
50
100
150
200
250
300
350
1
07
2
07
3
07
4
07
5
07
...
458 days sale in 148 days !!!!!!
Area
No of
store
Sum of SQ
RR (in
lacs)
Sum of
SQ per
day Sale
Days
Makeov
er done
Total ...
Makeover Activity - Cost analysis
Area
No of
store
Days
Makeover
done
Total Sale
in
Makeover
Total
Cost
Cost %
of Sales
GS...
Makeover Plan MOC 4
• Make makeover calendar
• Prepare customer list – to call and remind Makeover
activity dates
• Distri...
• While Sunscreen still remains Lakmé skin’s citadel, it has been losing its glory
over the last few years
• Penetration l...
The Vicious Circle
Low Awareness
of SPF levels
Higher SPF
leading to
oilier and
greasier
products
Dissatisfaction
and
drop...
Lakme Sun Expert – All India
Buyer in P3
11
Buyer in P2 4%
47
19% Non Buyer in P3
36
Buyer in P1 14%
253
Buyer in P3
81% 2...
Product Experience
• Keeps skin tight
• Spreads fast, Good smell- can be
better
• Makes skin smooth
• Skin becomes soft
• ...
Summarising
Makes face oily
Attracts dirt
Heavy feeling on face
Look darker
Sweating
No change in
skin colour
Stickiness o...
What consumers are looking at
Comfortable to use Sunscreen
(Light, non-greasy, non-oily etc.)
Not only preventive but also...
Sunscreen – Single Biggest Task in 2009
BACKGROUND
Launched Ultra Matte last year as a non sticky platform for Lakme
Sunsc...
Plan for 2009
• Introduce a trial/penetration pack with ultra matte products
• Non greasy, protection from skin darkening
...
The Idea
.
I live life on the fastlane. My
active lifestyle exposes me to
long hours under the sun. I cover
my skin up to ...
Sun Expert Ultra Matte ‘Mini’- Concept
What I want…
I want Sunscreen ONLY if:
It is pleasant to use and not oily
In a smal...
Consumer Feedback
• Quality check in 3 centres – Mumbai, Kolkata, Delhi – 16 groups
• Very positive feedback across both t...
Ultra Matte Mini
Sunscreen Innovation Plan
LAUNCH PLAN
• Media Support
TV : 1000GRP Plan for a SINGLE QTR
Print: For 2 Months
• PR : PR to ...
Front view Side view
POS Support – BULK DISPENSER UNITS
Sunscreen Trade Objectives and Plans
“Visibility and display
“Lotus is being very strong in market with its wide range is ...
Lakme sun expert “Cheek to Cheek “ Sun confidence
activation
Lakme Sun Expert Ultra Matte gives you
Non Greasy Kissable skin this summer!
Do YOU have the “Cheek 2
Cheek” Sun Confidenc...
Cheek 2 Cheek Sun confidence print Ad
Advertisements would be featured in Femina, Sananda( kolkatta),
Telegraph, Abp, Decc...
To participate send us
- 1 cheek to cheek snap with any one of your friends (who maybe a
man or a woman)
-You can drop in ...
Competitor Offer Tracker MOC 2 09
Competitor Brand On Purchase of Get Free
REVLON
Two Lipstick One lipstick
Rs 500/- Manic...
Consumer Offer
• Offer Period – March & April 09
• Channel –Lakme BA outlets Product
Offer Slabs :
• Rs. 550 –Lakme 120ml ...
Push – Incentivising Beauty
Advisors
Quality Of Contribution parameters
•Target Achievement 40%
•Focus Packs 20%
•Bills vs...
Lakme BA Focus Pack Target
• Skin-
– Sun Expert Ultra Matte 20SPF
50Gms – 5 pieces per day
• Lakme Colours
• 9 to 5 Lipsti...
Special Incentive Lakme SunScreen Lotion
• Objective: To fuel sales in JQ led by active BA participation
• BA Sup incentiv...
• At the end of JQ, the top 2 prestige & top 2 non-prestige BAs will be
awarded Rs 10,000 each
• Top 3 supervisors from ea...
HAPPY SELLING
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Use of Integrated Promotional Strategies to Achieve Sales Targets

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  • Whereas advertising gives a reason to buy, SP gives an incentive to buy
  • Price based
    Place based- slotting allowances
    Advertising & Promotion based- Co
    Bulk Discounts
    Lucky draw
    “ Mystery Customer”
    Re distribution incentives
    Shop salesmen incentives
    Price based
    Place based- slotting allowances
    Advertising & Promotion based- Co
    Bulk Discounts
    Lucky draw
    “ Mystery Customer”
    Re distribution incentives
    Shop salesmen incentives
    Types of Trade Promotion
    Free Goods
    Price based
    Place based- slotting allowances
    Advertising & Promotion based- Co
    Bulk Discounts
    Lucky draw
    “ Mystery Customer”
    Re distribution incentives
    Shop salesmen incentives
    Opertative advt
    Sales based- bonuses & incentives
    POP Displays
    Incentives & Contests
    Trade Allowances
    Trade shows
    Sales Training Programs,
    Co –operative advertsing
    Types of Trade Promotion
    Free Goods
    Price based
    Place based- slotting allowances
    Advertising & Promotion based- Co
    Bulk Discounts
    Lucky draw
    “ Mystery Customer”
    Re distribution incentives
    Shop salesmen incentives
    Opertative advt
    Sales based- bonuses & incentives
    POP Displays
    Incentives & Contests
    Trade Allowances
    Trade shows
    Sales Training Programs,
    Co –operative advertsing
  • BAs who collect stars will be given certificates & will pin the stars to their uniforms.
    These BAs will officially be considered/called “Lakme Skin Experts” by the company
    Platinum BAs will be given their stars & certificate from head of Lakme business (Raja)
  • Use of Integrated Promotional Strategies to Achieve Sales Targets

    1. 1. Use of Integrated Promotional Strategies to Achieve Sales Targets
    2. 2. Integrated Marketing Communication- Defined • Synergistic approach to achieving the objectives of a marketing campaign, through a well coordinated use of different promotional methods. - American Association of Advertising Agencies • Designed to make all aspects of marketing communication work together as a unified force.
    3. 3. Tools of Integrated Marketing Communication • Public Relations • Advertising • Personnel Selling • Direct Marketing • Sales Promotion
    4. 4. Sales Promotion Direct inducement to buy Offers extra value to the customer Acceleration tool. Speeds up the selling process
    5. 5. Why Promote?? • Trial & Purchase :(Sampling, Coupons, Price off techniques) • Consume More: (Bonus packs, Premium offers, Continuity programs, Redemption premiums) • Introduce a new brand, Defend against competition, Contribute to IMC- Build brand equity: (Contests & Sweepstakes, Frequency & loyalty programs, Event marketing) The more the product’s quality and its advertising persuasiveness fail to meet competition, the greater is the need for promotion to improve the price – value relationship
    6. 6. Why Promote?? ObjectivesObjectives Intended to Change Consumer Behavior Building BrandsBuilding Brands Can be Used to Build Brand Images, But May be Long-Term IntroducingIntroducing New ProductsNew Products Advertising and Promotion Work Well Together Here Using Push & Pull Strategies
    7. 7. Consumer Promotions- Types Product Placement Coupons Price- off deals Premiums Contests/ Sweepstakes Samples & Trial Offers Refunds/ rebates Frequency programs
    8. 8. Goals of Trade Promotion Stimulate in-store merchandising or other trade support. Manipulate levels of inventory . Expand product distribution to new areas of the country or new classes of trade. Create a high level of excitement about the product among those responsible for its sale.
    9. 9. Sweepstakes Point-of- Purchase Retailer Kits Contests Trade Shows Trade Promotions- Types Exhibits Trade Incentives Trade Deals
    10. 10. Retail Promotion- Types • Retailer Kits • Retail discounts • Displays • Features • Coupons • Other reward programs
    11. 11. Promotion at different stages of the PLC • Introduction – Heavy promotion to induce trials and promote brand franchise • Growth – Promotion should be limited ,if any • Maturity – Higher promotions required – Competitors, Product
    12. 12. Considerations while designing a Sales Promotion Program • Don’t promote if the product is not good. • Promotions rarely stop a declining sales curve. • The objective of the promotion is to wean away users from competition and create new users. • Excessive promotions lead to diminishing returns and may devalue the brand. • Promotions may be used in conjunction with advertising and other marketing communication tools.
    13. 13. Considerations while designing a Sales Promotion Program • It should be novel and attractive. • Ensure supply lines are good and adequate stock is available right through the promotion. • Cater for contingencies. • Trade has to be handled tactfully. • Reimburse incentives/ rewards/ gifts promptly. • Must be within the legal boundaries.
    14. 14. Case Study
    15. 15. PUSH & PULL STRATEGIES USED AT HUL
    16. 16. Push- Trade Promotions • Visibility - Extra Payouts for Additional Shelf Space. • Slab wise Offers • Incentives for retailers
    17. 17. Trade Slabs In Value Product Zone Sku Percentage From To Sunscreen Lotion (All SKU's) ALL INDIA 60 ml 4% 9000 18000 120ml 5% 18001 29999 200ml 6% 30000 9999999 Extra Margin • Over and above the terms of trade • On achieving the sales target of Lakme Sunscreen Lotion Sun Matte retailer to get incentives Rs 1500
    18. 18. Pull – Consumer Promotions Activities • Lakme Fashion Week • Makeovers • Sun Confidence Activation Offers • Free Gifts • M coupons
    19. 19. Lakme Makeover Beauty Advisor Channel
    20. 20. Effect on total business Lakme Sale Treand Offtake MRP (Fig in Lac) 0 50 100 150 200 250 300 350 1 07 2 07 3 07 4 07 5 07 6 07 7 07 8 07 9 07 10 07 11 07 12 07 1 08 2 08 3 08 4 08 5 08 6 08 7 08 8 08 9 08 10 08 GT MT Total 211 Lacs 458 days sale in 148 days !!!!!! 287% Growth
    21. 21. 458 days sale in 148 days !!!!!! Area No of store Sum of SQ RR (in lacs) Sum of SQ per day Sale Days Makeov er done Total Sale in Makeover Makeov er Sale/day Growth No of days Sales coverd GSA 18 12.6 41,929 61 469,696 142,636 340% 208 MPSA 2 0.8 2,500 6 31,000 10,000 400% 24 Metro 4 16.0 53,444 20 618,930 119,022 223% 45 MSA 11 7.8 25,878 51 351,600 75,077 290% 148 VSA 5 4.9 16,367 10 111,000 55,500 339% 34 Total 40 42.0 140,118 148 1,582,226 402,235 287% 458
    22. 22. Makeover Activity - Cost analysis Area No of store Days Makeover done Total Sale in Makeover Total Cost Cost % of Sales GSA 18 61 469,696 65685 14% MPSA 2 6 31,000 0 0% Metro 4 20 618,930 23000 4% MSA 11 51 351,600 16500 5% VSA 5 10 111,000 17750 16% Total 40 148 1,582,226 122935 8%
    23. 23. Makeover Plan MOC 4 • Make makeover calendar • Prepare customer list – to call and remind Makeover activity dates • Distribution of leaflet will start before 10/15 days of the activity • At least 3 Banners and 2 Standee to be placed. • One makeup artist should be supported by a promoter • Note Customer Feedback - build customer data
    24. 24. • While Sunscreen still remains Lakmé skin’s citadel, it has been losing its glory over the last few years • Penetration levels have not increased (last 3 yrs penetration as follows) Penetration 2005 2006 2007 All India 1.4 2.1 2 • However Lakmé has been losing shares year on year to Lotus & other brands Summer 2009 - Background Lakme Sunscreen
    25. 25. The Vicious Circle Low Awareness of SPF levels Higher SPF leading to oilier and greasier products Dissatisfaction and drop out from category Higher perceived better In a consumer research, the following reasons were concluded for lapsers from the category & brand: Sensorials – especially light & non stickiness was one of the key benefits sought from a sunscreen, in addition to sun protection
    26. 26. Lakme Sun Expert – All India Buyer in P3 11 Buyer in P2 4% 47 19% Non Buyer in P3 36 Buyer in P1 14% 253 Buyer in P3 81% 23 Non Buyer in P2 9% 206 Non Buyer in P3 184 73% Category Lapsers Within category to other brands 25 (10%) 181 (71%) Category Lapsers Within category to other brands 28 156 11% 62% P1: Apr-Sep’04P1: Apr-Sep’04 P2: Apr-Sep’05P2: Apr-Sep’05 P3: Apr-Sep’06P3: Apr-Sep’06 Seasonal Track 1 Category – Defined as Skincreams Lakmé losing relevance among consumers among other competitive brands - 71% of Lakmé sunscreen users in P1 prefer other brands over Lakmé in P2 4% buyers of P2 come back in P3 Only 9% of non-buyers of P2 come back in P3
    27. 27. Product Experience • Keeps skin tight • Spreads fast, Good smell- can be better • Makes skin smooth • Skin becomes soft • No side effect • Bit sticky • Sticky, Very oily –High Oil content-> dark color-> feeling of getting tanned •“Lakme is very oily…chikna” • Doesn’t get absorbed • Ineffective - tanning continued while using product •”Even after using Lakme I faced tanning and my skin literally looked black” • Effect on skin - sweating, burning sensation •“It itches, and I had a burning sensation on my skin when I was using Lakme” •“There was a lot of sweating when I used Lakmé” • Very watery- thin consistency Current users Lapsers Product issues of stickiness prominent Surprisingly the skin benefits are not related to `sun’ protection !
    28. 28. Summarising Makes face oily Attracts dirt Heavy feeling on face Look darker Sweating No change in skin colour Stickiness of product Post regular usage
    29. 29. What consumers are looking at Comfortable to use Sunscreen (Light, non-greasy, non-oily etc.) Not only preventive but also corrective (one that not only protects but also corrects past damage like reduces dark spots, pigmentation etc.)
    30. 30. Sunscreen – Single Biggest Task in 2009 BACKGROUND Launched Ultra Matte last year as a non sticky platform for Lakme Sunscreens post consumer feedback that our sunscreens were less effective TASK in 2009 – Make consumers Aware that “ Lakme Sunscreen is Non Sticky” HOW - Revive Ultra Matte range & build consumer awareness
    31. 31. Plan for 2009 • Introduce a trial/penetration pack with ultra matte products • Non greasy, protection from skin darkening •This pack should lead to up gradations to Ultra Matte 20 and 30 spf within the summer season PRODUCT • Sun Expert Ultra Matte SPF 20 • Packaging - 20ml tube in a blister card TG • 17 – 35 year with a active outdoor life
    32. 32. The Idea . I live life on the fastlane. My active lifestyle exposes me to long hours under the sun. I cover my skin up to protect it from the harsh sun. Lakmé Sun Expert Ultra Matte ‘Mini’
    33. 33. Sun Expert Ultra Matte ‘Mini’- Concept What I want… I want Sunscreen ONLY if: It is pleasant to use and not oily In a small pack so I can try and be sure, Small enough to carry around in my purse. What do I want from Lakme… I want my sunscreen to give me complete sun protection without the oiliness but it must be in a friendly size to try and to carry around How will that happen… New Lakmé Sun expert ultra matte On the Go! - with UV filters that protect and revolutionary Insta Oil Absorb complex that instantly absorbs excess oil from the surface of the skin --Small size – try it, carry it around in your purse Why is it different… The lightest yet the best sunscreen ‘On the Go!’ Sign Off No excuses not to use a sunscreen! Sun on the Go
    34. 34. Consumer Feedback • Quality check in 3 centres – Mumbai, Kolkata, Delhi – 16 groups • Very positive feedback across both the centres Positives •Idea of a non oily non greasy sunscreen - a hit • High purchase intention on account of easy accessibility •Lakmé being a name of repute would definitely induce trials •The idea of a 20gm tube to try and be sure and convenience on the go fetched a very high positive response •Attiractive Packaging Negatives •Not corrective •No fairness/lightening
    35. 35. Ultra Matte Mini
    36. 36. Sunscreen Innovation Plan LAUNCH PLAN • Media Support TV : 1000GRP Plan for a SINGLE QTR Print: For 2 Months • PR : PR to imprint the USP (Matte, Non Sticky Sensorials) PRODUCT DETAILS MRP – 59 RS. Retail Margin – 10% CLD Config. – 12 unit’s
    37. 37. Front view Side view POS Support – BULK DISPENSER UNITS
    38. 38. Sunscreen Trade Objectives and Plans “Visibility and display “Lotus is being very strong in market with its wide range is a threat” “ Capture Lotus strong outlets, get Lakme Sunscreen to get a share of shelf. Let Lakme look like a Market leader which it is!”
    39. 39. Lakme sun expert “Cheek to Cheek “ Sun confidence activation
    40. 40. Lakme Sun Expert Ultra Matte gives you Non Greasy Kissable skin this summer! Do YOU have the “Cheek 2 Cheek” Sun Confidence? Coz if you do- then YOU and your friend will get the opportunity to appear in a Femina Feature( Sananda in Kolkatta) Clicking you for this feature will be none other than India’s Leading Fashion Photographer – TARUN KHIWAL associated with Vogue, Cosmopolitan and some brilliant shoots for stars like Aishwarya Rai & Bipasa Basu. Activation Idea- 11th April to 5th May ACTIVATION :
    41. 41. Cheek 2 Cheek Sun confidence print Ad Advertisements would be featured in Femina, Sananda( kolkatta), Telegraph, Abp, Deccan herald, HT
    42. 42. To participate send us - 1 cheek to cheek snap with any one of your friends (who maybe a man or a woman) -You can drop in your entries into this contest at - any Lakme BA Counter (drop box) -“Lakme Ultra Matte Cheek 2 Cheek Booth” at your nearest mall, - you can upload your photographs at www.lakmeindia.com or - Simply mail them to Femina/ Sananda P.O Box Activation Idea
    43. 43. Competitor Offer Tracker MOC 2 09 Competitor Brand On Purchase of Get Free REVLON Two Lipstick One lipstick Rs 500/- Manicure Kit Rs1000/- Watch Free Rs.1200/- Wallet / Wrist Watch Rs.1500/- Travel Bag Rs. 2500/- Vanity Case Free Rs. 4000/- Trousseau Box M.BELLINE : Any Product Nail Emanel Free Two Lipstick One lipstick Rs. 349/- One Colorama Free Rs. 750/- Necklace + Breslet Free Rs. 1500/- Make up Box Free L'OREAL Rs. 3500/- Trousseau Box Rs. 5000/- Travelling Bag Free CHAMBOR : Rs. 2000/- Scarf Watch Free Rs. 2500/- Hand Bag / Trousseau Box Free Rs. 3000/- Make up Box Free
    44. 44. Consumer Offer • Offer Period – March & April 09 • Channel –Lakme BA outlets Product Offer Slabs : • Rs. 550 –Lakme 120ml Deep Pore Cleansing Milk • Rs. 750 – Lakme Face Magic Souffle • On the Purchase Of 9 to 5 Range worth Rs. 950 – Clutch Bag • Rs. 1600 – Trousseau Box Tent Card
    45. 45. Push – Incentivising Beauty Advisors Quality Of Contribution parameters •Target Achievement 40% •Focus Packs 20% •Bills vs No of customers attended 20% •Bills Cut < No of SKUs sold 20% •Total Score 100%
    46. 46. Lakme BA Focus Pack Target • Skin- – Sun Expert Ultra Matte 20SPF 50Gms – 5 pieces per day • Lakme Colours • 9 to 5 Lipstick - 2 times JQ 08 RR for 9 to 5 Lipstick
    47. 47. Special Incentive Lakme SunScreen Lotion • Objective: To fuel sales in JQ led by active BA participation • BA Sup incentive: Rs 4000/- on achievement of the teams target Slabs Incentive Star eligibility 1.5 times last year Avg Rs 500 2 times last year Avg Rs 1,500 Silver Star 2.5 times last year Avg Rs 4,000 Gold Star 4 times last year Avg Rs 10,000 Platinum Star
    48. 48. • At the end of JQ, the top 2 prestige & top 2 non-prestige BAs will be awarded Rs 10,000 each • Top 3 supervisors from each branch to get Rs 15,000 • Top BAs and sups will be chosen on the basis of sales uplift over MOC 3’08 Avg JQ Dhamaka!
    49. 49. HAPPY SELLING

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