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MARKETER INITIATED TECHNIQUES USED TO SET
UP CHANNELS OF INFORMATION AND
PERSUASION WITH TARGETED AUDIENCES TO
INFLUENCE ATTITUDES AND BEHAVIOR
  “Promotion”
  Message and Media

MARKETING COMMUNICATIONS MIX
  “Tool Box” of Media and Techniques
  Integration and Coordination
  Based on Communications Model
Informing   Persuading



      Reminding
•   Increase Market Penetration
•   Develop Repeat Purchase Behavior
•   Establish Customer Relationships
•   Increase Rate of Consumption
•   Encourage Product Trial
•   Stimulate Impulse Buying
•   Stimulate Demand
•   Differentiate the Product
•   Establish a Product Image
•   Influence Sales Volume
•   Establish, Modify, or Reinforce Attitudes
•   Develop Sales Leads
•   Stimulate Interest
•   Establish Understanding
•   Build Support & Acceptance
1. Advertising


5. Direct Marketing
                                         2. Public Relations




                                         3. SALES
    4. Personal Selling
                                       PROMOTION

          Integrated Marketing Communications (IMC)
is the strategic integration of multiple means of communicating
                        with target markets
Variety/Boredom

Availability

Packaging/Novelty/Features

Impulse

SALES PROMOTION

Advertising

Price
Stimulate
                 Trial              Encourage
                                    Repurchase



                                            Increase
Complementary                             Consumption
  Products                Support
                      Flexible Pricing


 Neutralize
Competitors
                                           Impulse
                                          Purchasing
   Sales promotion is a marketing
  discipline that utilizes a variety of incentive
techniques to structure sales related programs
 targeted to consumers, trade and sales levels
 that generate a specific measureable action or
       response for a product or service.
 Increase immediate customer
  sales
 Increase support among the
  marketers sales force
 Gain the support of the trade in
  marketing the product
Consumer Factors


   Accountability


Impact of Technology


  Short-Term Focus


Increased Retail Power
Sales managers are under     Assessment of sales
great pressure to produce   promotion is relatively
      results quickly               easy

                      Why are
                     companies
                   spending more
                 and mores on sales
                     promotion
    Sales promotion
                             Cost for results in this
    strategies target
                             industry are relatively
consumer , trade and the
                                       low
       sales force
Price Deals

  Advertising
  Specialties                      Coupons



Sampling                               Rebates



 Premiums                            Cross-
                                   Promotions

                Contests, Games,
                 Sweepstakes
Cannot Reverse Declining Sales Trend


  Cannot Overcome Inferior Product


May Encourage Competitive Retaliation


           May Hurt Profit
   Consumer sales promotions are
    directed at the ultimate user of
    the good or the service
   Intended to “PRESELL” consumers so when
    people go to a store they look for a particular
    brand
   Variety and flexibility being primary strength
   COUPONS
  SAMPLING

   REFUNDS

   REBATES

 INCENTIVES

  CONTESTS

 LUCKY DIPS
    Trade promotion is directed at
     wholesalers and retailers level and
     represents 50% of the total promotional
     spending
    Four goals of trade promotions:
1.   Stimulate in store merchandising
2.   Expand product distribution to new classes of trade
3.   Manipulate levels of inventory held by wholesalers
4.   Create a high level of excitement amongst those who
     are responsible for its sale.
   Trade deals
   Trade incentives
   Exhibits
   Trade shows
   Lucky dip
   Contests
   Retailer kits
   Point of purchase
    CAN:                      CANNOT:
     - Offer an immediate        - Create an image
      inducement                for a brand
     - Cause customers to        - Compensate for a
      try a product             lack of advertising
     - Persuade customers        - Do much to
      to buy again              compensate for a
    - Introduce a new           negative image
      product                   - Reverse a sales
                                decline
Thereby, to Conclude:

SALES PROMOTION
LEAD TO AN INCREASE
IN GAINS AND
RETURNS OF AN
ORGANISATION
role of sales promotion in marketing a brand

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role of sales promotion in marketing a brand

  • 1. MARKETER INITIATED TECHNIQUES USED TO SET UP CHANNELS OF INFORMATION AND PERSUASION WITH TARGETED AUDIENCES TO INFLUENCE ATTITUDES AND BEHAVIOR  “Promotion”  Message and Media MARKETING COMMUNICATIONS MIX  “Tool Box” of Media and Techniques  Integration and Coordination  Based on Communications Model
  • 2. Informing Persuading Reminding
  • 3. Increase Market Penetration • Develop Repeat Purchase Behavior • Establish Customer Relationships • Increase Rate of Consumption • Encourage Product Trial • Stimulate Impulse Buying • Stimulate Demand • Differentiate the Product • Establish a Product Image • Influence Sales Volume • Establish, Modify, or Reinforce Attitudes • Develop Sales Leads • Stimulate Interest • Establish Understanding • Build Support & Acceptance
  • 4. 1. Advertising 5. Direct Marketing 2. Public Relations 3. SALES 4. Personal Selling PROMOTION Integrated Marketing Communications (IMC) is the strategic integration of multiple means of communicating with target markets
  • 6.
  • 7. Stimulate Trial Encourage Repurchase Increase Complementary Consumption Products Support Flexible Pricing Neutralize Competitors Impulse Purchasing
  • 8. Sales promotion is a marketing discipline that utilizes a variety of incentive techniques to structure sales related programs targeted to consumers, trade and sales levels that generate a specific measureable action or response for a product or service.
  • 9.  Increase immediate customer sales  Increase support among the marketers sales force  Gain the support of the trade in marketing the product
  • 10. Consumer Factors Accountability Impact of Technology Short-Term Focus Increased Retail Power
  • 11. Sales managers are under Assessment of sales great pressure to produce promotion is relatively results quickly easy Why are companies spending more and mores on sales promotion Sales promotion Cost for results in this strategies target industry are relatively consumer , trade and the low sales force
  • 12. Price Deals Advertising Specialties Coupons Sampling Rebates Premiums Cross- Promotions Contests, Games, Sweepstakes
  • 13. Cannot Reverse Declining Sales Trend Cannot Overcome Inferior Product May Encourage Competitive Retaliation May Hurt Profit
  • 14. Consumer sales promotions are directed at the ultimate user of the good or the service  Intended to “PRESELL” consumers so when people go to a store they look for a particular brand  Variety and flexibility being primary strength
  • 15. COUPONS  SAMPLING  REFUNDS  REBATES  INCENTIVES  CONTESTS  LUCKY DIPS
  • 16. Trade promotion is directed at wholesalers and retailers level and represents 50% of the total promotional spending  Four goals of trade promotions: 1. Stimulate in store merchandising 2. Expand product distribution to new classes of trade 3. Manipulate levels of inventory held by wholesalers 4. Create a high level of excitement amongst those who are responsible for its sale.
  • 17. Trade deals  Trade incentives  Exhibits  Trade shows  Lucky dip  Contests  Retailer kits  Point of purchase
  • 18. CAN:  CANNOT: - Offer an immediate - Create an image inducement for a brand - Cause customers to - Compensate for a try a product lack of advertising - Persuade customers - Do much to to buy again compensate for a - Introduce a new negative image product - Reverse a sales decline
  • 19. Thereby, to Conclude: SALES PROMOTION LEAD TO AN INCREASE IN GAINS AND RETURNS OF AN ORGANISATION