PRODUCT PROMOTION

What Will You Do To Sell Your Product?

Promotion

Integrated Marketing Communications

Personal selling

Public relations

Direct marketing

Sales promotion

Advertising

Promotions - AIDA Approach

• Increase awareness

• Attract interest

• Arouse desire

• Initiate action

Advertising Advertising

Personal Selling

Personal Selling

SalesPromotion

SalesPromotion

PublicRelations

PublicRelations

DirectMarketing

DirectMarketing

Reach Many Buyers, Repeat Message Many Times, Impersonal,

Expensive

Reach Many Buyers, Repeat Message Many Times, Impersonal,

Expensive

Personal Interaction, Relationship Building, Most Expensive Promo

Tool

Personal Interaction, Relationship Building, Most Expensive Promo

Tool

Wide Assortment of Tools, Rewards Quick Response, Efforts

Short-Lived

Wide Assortment of Tools, Rewards Quick Response, Efforts

Short-Lived

Very Believable, Dramatize a Company or Product,

Underutilized

Very Believable, Dramatize a Company or Product,

Underutilized

Nonpublic, Immediate, Customized, InteractiveNonpublic, Immediate, Customized, Interactive

Setting the Promotion Mix

Promotional Objectives

Unawareness

Conviction

Action

Preference

Liking

Knowledge

Awareness

Promotional MixPromotional MixInvolves personal and non-personal

communication techniquesIs determined by three factors

– Geographical nature• wide market requires mass coverage• local market use personal selling

– Business’s target customers• Shotgun promotion or consumer analysis

– Product’s characteristics• High priced item use personal selling• Inexpensive item use advertising

Billboard

Promotion MixAdvertising

Paid for impersonal presentation of an idea that is identified with a business.

• Informs, persuades, reminds customersConveys a consistent, enduring image that reinforces the

position of the product or company

• McDonald’s “I’m Loving It”• Pepsi “The Pepsi Generation”

Print – magazines, newspapers, direct mailBroadcast – television, radioDisplay – billboards, signs, posters

• Daily newspaper, weekly newspaper, telephone directory, direct mail, radio, television, transit, outdoor, local magazine, posters and leaflets, billboards, athletic arenas, park benches.

Product and Institutional advertising

Newspaper Advertisement

Sales PromotionShort-term inducement to encourage trial or

purchase a product or service Aimed at consumers at the point-of-saleIn-store displays or On-package

– Communication, incentive, invitation with customers– Contests, games, gifts, coupons, sampling, rebates,

exhibits, demonstrations, trade-in, point-of-purchase discount, free weekends, video tapes.

Offer promotions to top selling salespersons in company or retail outlets selling the product

Face Book Business Page

Twitter Business Page

Personal Selling“Two-way communication for the purpose of

making sales and building customer relationships.”Face to face interaction with one or more

prospective purchasers, to make presentations, answer questions

Provides a forum for immediate exchange of needs, goals, ideas, and feedback– Personal confrontation, relationship building, response– Sales presentations, meetings, incentive programs,

samples trade shows

Join the Revolution.

Want girls?

He did.

Advertisement that will appear in Foot Magazine

Public RelationsPrograms designed to promote and/or

protect a company’s image or its individual products.– Obtain favorable publicity, improve “corporate

image”, head off unfavorable rumors, stories, events

• High credibility, ability to catch buyers off guard, dramatization

• Press kits, speeches, seminars, charitable donations, sponsorships, publications events, company newsletter

Direct Marketing

Using non personal contact tools to communicate directly or solicit a response for specific customers and prospects

– Nonpublic, customized, up-to-date, interactive

– Catalogs, mailings, telemarketing, electronic shopping, fax mail, e-mail, voice mail

Need a new bike?

Join the Revolution.

Advertisement that will appear in Foot Magazine

1 2 -8

T h e P r o d u c t L ife C y c le

S a le s C u r v e

Dol

lars

T im e

G ro w th M a tu r ity D e c lin e

P r o f it C u r v e

P ro d u c t

D e v e lo p m en t

In tro d u c tio n

Factors in Setting the Promotional Mix

Product Life Cycle– Introduction stage – advertising, public relations,

personal selling promote trial purchase and awareness

– Growth stage – advertising, public relations continue, promotion reduced

– Maturity – sales promotion important again– Decline – advertising continues, PR is dropped, sales

promotion continues

Website

Strategy that Calls for Spending A Lot on Advertising and Consumer Promotion to Build Up (Pull) Consumer Demand.

Strategy Selected Depends

on:

Type of Product-Market &

Product Life-Cycle

Stage

Strategy that Calls for Using the Salesforce and Trade Promotion to Push the Product Through the Channels.

Factors in Setting Promotion Mix

Profiles of Major Media Types

Medium

Internet

Newspapers

Television

Direct Mail

Radio

Magazines

Outdoor

Advantages

Allows messages to be customized, reaches specific market interactive capabilities

Flexibility, timeliness, good local market, coverage

Good mass market coverage, combines sight, sound, & motion

High audience selectivity, flexibility, no ad competition, allows personalization

Good local acceptance, high geographic & demographic selectivity, low cost

High geographic & demographic selectivity, long life & good pass-along readership

Flexibility, high repeat exposure, low cost, low message competition

Limitations

Clutter, audience characteristics, hard to measure effectiveness

Short life, poor reproduction quality, small pass-along audience

High absolute cost, high clutter, fleeting exposure, less audience selectivity

Relatively high cost per exposure, “junk mail” image

Audio only, low attention, (“the half-heard” medium); fragmented audience

Long advertisement purchase lead time, high cost, no guarantee of position

Little audience selectivity, creative limitations

Magazine Advertisement

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Location:Hilton Head, South CarolinaDescription:Spa and Hair SalonAppointment OnlyHours:Mon-Thurs 10 a.m. – 9 p.m.Friday 10 a.m. – 6 p.m.Saturday 9 a.m. – 4:30 p.m.Sunday - Closed

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Networks: SpaOwners: Chelsie McClintock & Madeleine KnoxHometown: Hilton Head, South CarolinaHours: Monday-Thursday 10 a.m.- 9p.m.

Friday 10 a.m. – 6 p.m. Saturday 9 a.m. – 4:30 p.m.

Sunday- Closed

Pure Tranquility is a Spa. We have a full hair and nail salon. We also have a wide choice of massages and facials to choose from. We are located on the beach in Hilton Head. Our building is a newly constructed lighthouse, with a beach only open to our customers. If you are at our spa and tag yourself here you automatically receive $10 off your service.

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Website: www.puretranquility.com

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