MARKETING
COMMUNICATION
1
(1) Definition of
Promotional
(7) Factors Affecting
Promotional Mix
(5) Promotional
Goal
(3) The Promotional
Mix
(6) AIDA Concept
(2) Roles of
Promotion
(4) Marketing
Communication
Process
MARKETING
COMMUNICATION
Learning Outcome 1
Definition of
Promotional
Promotional
• Promotion : Communication by marketers that
informs, persuades, and reminds potential buyers of a
product in order to influence an opinion or elicit a
response.
• Promotional Strategy : A plan for the optimal use of
the elements of promotion (Advertising, Sales
Promotion, PR & Personal Selling).
4
Learning Outcome 2
Roles of
Promotion
5
The Role of Promotion
Overall Marketing
Objectives
Marketing Mix
Product
Distribution
Promotion
Price
Target Market
Promotional Mix
Advertising
Public Relations
Sales Promotion
Personal Selling
Promotion Plan
Competitive Advantage
Unique features
Excellent service
Low prices
Rapid delivery
High product quality
Learning Outcome 3
The Promotional
Mix
8
Definition : Combination of promotion tools used to
reach the target market and fulfill the organization’s
overall goals.
Personal Selling
Definition: Impersonal, one way
mass communication about a
product or organization that is
paid for by a marketer.
Advertising Media
Traditional
Advertising
Media
Television
Radio
Newspapers
Magazines
Books
Direct mail
Billboards
Transit cards
Electronic
Advertising
Media
Internet
Electronic
mail
Interactive
video
Advertising
Advertising
PROMOTIONAL MIX
Advantages
Reach large
number
of people.
Low cost per
contact .
Can be
micro-
targeted.
Disadvantage
Total cost
is high.
Involves the process of making
evaluation public attitudes, identifies
areas within the organization that the
public may be interested in, and executes
a program of action to earn public
understanding and acceptance.
Purpose : To enable customers,
government officials, suppliers,
stockholders, employees & public have
accurate information about the
organization’s mission, vision, goals &
objectives, new product development.
Many organizations spend large amounts
of money to build a positive public image.
3 Functions of Public Relations
1.Evaluates public attitudes.
2.Identifies areas of public interest.
3.Executes programs to ‘WIN’
public.
Marketers can use a good program &
gave the company a favorable publicity.
Publicity : Public information about a
company, good, or service appearing in
the mass media as a news item.
Preparing news releases, staging events,
persuading media personnel to print or
broadcast them costs money.
Public Relation
Involves oral presentation in a
conservation with one / more
prospective purchasers fro the
purpose of making sales.
Traditional Selling
• A planned presentation to
one or more prospective
buyers.
Relationship Selling
• Goal is a long-term,
committed relationship
based on trust and
customer loyalty.
Personal Selling
It is short-term incentives to
encourage purchase / sales
of products / services.
Sales Promotion
Sales promotion is being
used to marketing firms to
enhance & improve the
effectiveness of the other
elements of the promotional
mix.
Target market : End
consumers, trade
customers & publics.
Tools :-
 Free sample
 Contest
 Premium
 Trade show
 Vacation gateway
 Coupon
9
Learning Outcome 4
Marketing
Communication
Process
10
• Communication is the process by which we exchange or share
meanings through a common set of symbols.
• 2 categories of communication:
a) Interpersonal communication: Direct, face-to-face communication between
two or more people.
b) Mass communication : To communicating a concept or message to larger
audiences, usually through a mass medium such as television or
newspapers.
• Communication process:
As sender As receiver
 Inform
 Persuade
 Remind
Marketing Communication
 Develop messages
 Adapt messages
 Spot new communication
opportunities
11
Marketing Communication
Noise
Sender
Encoding
Message
Feedback
Channel
Message
Channel
Decoding
Message
Receiver
• Marketing manager
• Advertising manager
• Advertising Agency
• Advertisement
• Sales presentation
• Store display
• Coupon
• Press release
• Media
• Salesperson
• Retail store
• Local news show
• Market research
• Sales result
• Change in market
share
• Receiver
interpretation of
message
• Customers
• Viewers / listeners
• News media
• Clients
• Other advertisements
• New articles
• Other store displays
12
Learning Outcome 5
Promotional
Goals / Tasks
13
Goals and Tasks of Promotion
Informing Reminding
Persuading
Target
Audience
15
 Increase awareness
 Explain how product works
 Suggest new uses
 Build company image
Informative Objective
Goals and Tasks of Promotion
16
 Encourage brand switching
 Change customers’ perception of product attributes
 Influence buying decision
 Persuade customers to call
Persuasive Objective
Goals and Tasks of Promotion
17
Goals and Tasks of Promotion
 Remind customers that product
may be needed
 Remind customers where
to buy product
 Maintain customer awareness
Reminder Objective
Learning Outcome 6
AIDA
Concept
18
Attention
Interest
Desire
Action
The AIDA Concept
Promotional Goals & AIDA Concept
• Promotional Goal: To get people to buy the goods / services.
• AIDA Concept : Model that outlines the process for achieving promotional goals in terms
of stages of consumer involvement with the message.
1. Attention
 To gain attention of the target market by informing them of availability of the product / service.
 To create awareness & gain attention – advertising on tv, newspapers, magazines, internet, etc.
 Eg; KFC introduce new product “Chicken Wing” - advertise on tv & newspaper.
2. Interest
 High effort in promoting the product through advertisement.
 New product does not attract purchase among customers due to no or lack of experience.
 Eg; Get free sample of Rejoice 2 in 1 shampoo from newspaper, magazine, etc.
3. Desire
 Marketers need to arouse the want to try & use the product.
 Require marketers to attract customers to see & realize that the new product is good & beneficial.
 Eg; Pantene – advertisement emphasize on ‘HAIR SMOOTH & SILKY’ and hair have ‘FULL & VOLUME’.
4. Action
 Get people to buy the product.
 Strategies : free trial product, size packages, coupons & premium offers, etc.
20
Learning Outcome 7
Factors Affecting
Promotional Mix
21
Factors Affecting Promotional Mix
Nature of the product
Stage in PLC
Target market
characteristics
Business Product
Consumer Product
Sales Promotion
Non-durable goods
Shopping goods
Convenience goods
Product that involve
high cost & risk
Products of social
importance to people
Light
Advertising;
pre-
introduction
publicity
Heavy use of
Advertising;
PR for
awareness;
sales
promotion
for trial
AD/PR
decrease;
limited
sales
promotion;
personal
selling for
distribution
Ads decrease;
sales
promotion;
personal
selling;
reminder &
persuasive
Advertising’
PR, brand
loyalty;
personal
selling for
distribution
Introduction Growth
Maturity
Decline
Sales($)
Time
For…
 Widely scattered market
 Informed buyers
 Repeat buyers
22
Factors Affecting Promotional Mix
Type of buying decision
Available funds
Push or pull strategy
Advertising
Sales Promotion
Type of
Buying Decision
Affects
Promotional
Mix Choice
Complex
Routine
Personal Selling
Not Routine
or Complex
Advertising
Public Relations
Trade-offs with funds available
Number of people in target market
Quality of communication needed
Relative costs of promotional elements
Manufacturer
promotes to
wholesaler
Wholesaler
promotes to
retailer
Retailer
promotes to
consumer
Consumer
buys from
retailer
PUSH STRATEGY
Orders to manufacturer
Manufacturer
promotes to
consumer
Consumer
demands
product
from retailer
Retailer
demands
product
from wholesaler
Wholesaler
demands
product from
manufacturer
Orders to manufacturer
PULL STRATEGY
23

Chapter 9 marketing communication

  • 1.
  • 2.
    (1) Definition of Promotional (7)Factors Affecting Promotional Mix (5) Promotional Goal (3) The Promotional Mix (6) AIDA Concept (2) Roles of Promotion (4) Marketing Communication Process MARKETING COMMUNICATION
  • 3.
  • 4.
    Promotional • Promotion :Communication by marketers that informs, persuades, and reminds potential buyers of a product in order to influence an opinion or elicit a response. • Promotional Strategy : A plan for the optimal use of the elements of promotion (Advertising, Sales Promotion, PR & Personal Selling). 4
  • 5.
  • 6.
    The Role ofPromotion Overall Marketing Objectives Marketing Mix Product Distribution Promotion Price Target Market Promotional Mix Advertising Public Relations Sales Promotion Personal Selling Promotion Plan
  • 7.
    Competitive Advantage Unique features Excellentservice Low prices Rapid delivery High product quality
  • 8.
    Learning Outcome 3 ThePromotional Mix 8
  • 9.
    Definition : Combinationof promotion tools used to reach the target market and fulfill the organization’s overall goals. Personal Selling Definition: Impersonal, one way mass communication about a product or organization that is paid for by a marketer. Advertising Media Traditional Advertising Media Television Radio Newspapers Magazines Books Direct mail Billboards Transit cards Electronic Advertising Media Internet Electronic mail Interactive video Advertising Advertising PROMOTIONAL MIX Advantages Reach large number of people. Low cost per contact . Can be micro- targeted. Disadvantage Total cost is high. Involves the process of making evaluation public attitudes, identifies areas within the organization that the public may be interested in, and executes a program of action to earn public understanding and acceptance. Purpose : To enable customers, government officials, suppliers, stockholders, employees & public have accurate information about the organization’s mission, vision, goals & objectives, new product development. Many organizations spend large amounts of money to build a positive public image. 3 Functions of Public Relations 1.Evaluates public attitudes. 2.Identifies areas of public interest. 3.Executes programs to ‘WIN’ public. Marketers can use a good program & gave the company a favorable publicity. Publicity : Public information about a company, good, or service appearing in the mass media as a news item. Preparing news releases, staging events, persuading media personnel to print or broadcast them costs money. Public Relation Involves oral presentation in a conservation with one / more prospective purchasers fro the purpose of making sales. Traditional Selling • A planned presentation to one or more prospective buyers. Relationship Selling • Goal is a long-term, committed relationship based on trust and customer loyalty. Personal Selling It is short-term incentives to encourage purchase / sales of products / services. Sales Promotion Sales promotion is being used to marketing firms to enhance & improve the effectiveness of the other elements of the promotional mix. Target market : End consumers, trade customers & publics. Tools :-  Free sample  Contest  Premium  Trade show  Vacation gateway  Coupon 9
  • 10.
  • 11.
    • Communication isthe process by which we exchange or share meanings through a common set of symbols. • 2 categories of communication: a) Interpersonal communication: Direct, face-to-face communication between two or more people. b) Mass communication : To communicating a concept or message to larger audiences, usually through a mass medium such as television or newspapers. • Communication process: As sender As receiver  Inform  Persuade  Remind Marketing Communication  Develop messages  Adapt messages  Spot new communication opportunities 11
  • 12.
    Marketing Communication Noise Sender Encoding Message Feedback Channel Message Channel Decoding Message Receiver • Marketingmanager • Advertising manager • Advertising Agency • Advertisement • Sales presentation • Store display • Coupon • Press release • Media • Salesperson • Retail store • Local news show • Market research • Sales result • Change in market share • Receiver interpretation of message • Customers • Viewers / listeners • News media • Clients • Other advertisements • New articles • Other store displays 12
  • 13.
  • 14.
    Goals and Tasksof Promotion Informing Reminding Persuading Target Audience
  • 15.
    15  Increase awareness Explain how product works  Suggest new uses  Build company image Informative Objective Goals and Tasks of Promotion
  • 16.
    16  Encourage brandswitching  Change customers’ perception of product attributes  Influence buying decision  Persuade customers to call Persuasive Objective Goals and Tasks of Promotion
  • 17.
    17 Goals and Tasksof Promotion  Remind customers that product may be needed  Remind customers where to buy product  Maintain customer awareness Reminder Objective
  • 18.
  • 19.
  • 20.
    Promotional Goals &AIDA Concept • Promotional Goal: To get people to buy the goods / services. • AIDA Concept : Model that outlines the process for achieving promotional goals in terms of stages of consumer involvement with the message. 1. Attention  To gain attention of the target market by informing them of availability of the product / service.  To create awareness & gain attention – advertising on tv, newspapers, magazines, internet, etc.  Eg; KFC introduce new product “Chicken Wing” - advertise on tv & newspaper. 2. Interest  High effort in promoting the product through advertisement.  New product does not attract purchase among customers due to no or lack of experience.  Eg; Get free sample of Rejoice 2 in 1 shampoo from newspaper, magazine, etc. 3. Desire  Marketers need to arouse the want to try & use the product.  Require marketers to attract customers to see & realize that the new product is good & beneficial.  Eg; Pantene – advertisement emphasize on ‘HAIR SMOOTH & SILKY’ and hair have ‘FULL & VOLUME’. 4. Action  Get people to buy the product.  Strategies : free trial product, size packages, coupons & premium offers, etc. 20
  • 21.
    Learning Outcome 7 FactorsAffecting Promotional Mix 21
  • 22.
    Factors Affecting PromotionalMix Nature of the product Stage in PLC Target market characteristics Business Product Consumer Product Sales Promotion Non-durable goods Shopping goods Convenience goods Product that involve high cost & risk Products of social importance to people Light Advertising; pre- introduction publicity Heavy use of Advertising; PR for awareness; sales promotion for trial AD/PR decrease; limited sales promotion; personal selling for distribution Ads decrease; sales promotion; personal selling; reminder & persuasive Advertising’ PR, brand loyalty; personal selling for distribution Introduction Growth Maturity Decline Sales($) Time For…  Widely scattered market  Informed buyers  Repeat buyers 22
  • 23.
    Factors Affecting PromotionalMix Type of buying decision Available funds Push or pull strategy Advertising Sales Promotion Type of Buying Decision Affects Promotional Mix Choice Complex Routine Personal Selling Not Routine or Complex Advertising Public Relations Trade-offs with funds available Number of people in target market Quality of communication needed Relative costs of promotional elements Manufacturer promotes to wholesaler Wholesaler promotes to retailer Retailer promotes to consumer Consumer buys from retailer PUSH STRATEGY Orders to manufacturer Manufacturer promotes to consumer Consumer demands product from retailer Retailer demands product from wholesaler Wholesaler demands product from manufacturer Orders to manufacturer PULL STRATEGY 23

Editor's Notes