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Marketing
Communications
2
Promotion
Communication by marketers
that informs, persuades, and
reminds potential buyers of a
product in order to influence an
opinion or elicit a response.
3
Differential Advantage
Unique Features
Excellent Service
Low Prices
Rapid Delivery
High Product Quality
Features
that Provide
Differential
Advantage

4
Promotional Mix
Combination of promotion tools
used to reach the target market
and fulfill
the organizations
overall goals.
Advertising
Public Relations
Sales Promotion
Personal Selling
Public Relations
Word-of-Mouth
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Advertising
Impersonal, one-way
mass communication
about a product or organization
that is
paid for by a marketer.
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Advertising Media
Traditional
Advertising Media
Electronic
Advertising Media

Television
Radio
Newspapers
Magazines
Books
Direct mail
Billboards
Transit cards


Internet
Electronic mail
Interactive video


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Advertising
Advantages

Reach large number
of people

Low cost per
contact

Can be micro-
targeted
Disadvantages

Total cost is high
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Public Relations
The marketing function that
evaluates 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.
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Publicity
Public information about a
company, good, or service
appearing in the mass media as a
news item, which is free to the
company.
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Sales Promotion
Free samples
Contests
Premiums
Trade Shows
Vacation Giveaways
Coupons


Popular Tools
for
Consumer Sales
Promotion

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Personal Selling
Planned presentation to
one or more prospective buyers
for the purpose
of making a sale.
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Personal Selling
Traditional
Selling
Relationship
Selling
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Characteristics of Advertising
Communication Mode
Communication Control
Feedback Amount
Feedback Speed
Message Flow Direction
Message Content Control
Sponsor Identification
Reaching Large Audience
Message Flexibility
Advertising
Indirect and non-personal
Low
Little
Delayed
One-way
Yes
Yes
Fast
Same message to all audiences
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Characteristics of Public Relations
Communication Mode
Communication Control
Feedback Amount
Feedback Speed
Message Flow Direction
Message Content Control
Sponsor Identification
Reaching Large Audience
Message Flexibility
Public Relations
Usually indirect, non-personal
Moderate to low
Little
Delayed
One-way
No
No
Usually fast
Usually no direct control
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Characteristics of Sales promotion
Communication Mode
Communication Control
Feedback Amount
Feedback Speed
Message Flow Direction
Message Content Control
Sponsor Identification
Reaching Large Audience
Message Flexibility
Sales Promotion
Usually indirect and non-personal
Moderate to low
Little to moderate
Varies
Mostly one-way
Yes
Yes
Fast
Same message to varied target
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Characteristics of Personal Selling
Communication Mode
Communication Control
Feedback Amount
Feedback Speed
Message Flow Direction
Message Content Control
Sponsor Identification
Reaching Large Audience
Message Flexibility
Personal Selling
Direct and face-to-face
High
Much
Immediate
Two-way
Yes
Yes
Slow
Tailored to prospect
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Goals and Tasks of Promotion
Informing






Reminding










Persuading
Target
Audience
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Product Life Cycle
Time
D
o
l
l
a
r
s






Product
Category
Sales
Intro
Stage
Growth
Stage
Maturity
Stage
Decline
Stage
0
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Goals and Tasks of Promotion
Informing






Reminding










Persuading
Target
Audience
PLC Stages:
Introduction
Early Growth
PLC Stages:
Growth
Maturity
PLC Stages:
Maturity
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Goals and Tasks of Promotion
Informative Objectives

Increase awareness

Explain how product works

Suggest new uses

Build company image

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Goals and Tasks of Promotion
Persuasion Objectives

Encourage brand switching

Change customers perception of
product attributes

Influence buying decision

Persuade customers to call
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Goals and Tasks of Promotion
Reminder Objectives

Remind customers that product
may be needed

Remind customers where to buy product

Maintain customer awareness
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Factors Affecting the
Choice of Promotional Mix
Nature of the Product
Stage in PLC
Target Market Factors
Type of Buying Decision
Promotion Funds
Push or Pull Strategy
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Product Life Cycle and the
Promotional Mix
-Light
Advertising

-Pre-
Introduction
Publicity
-Heavy Ads

-PR for
Awareness

-Sales
Promotion
for Trial
-Ads & PR
Decrease
-Limited
Sales
Promotion
-Personal
Selling for
Distribution
-Reminder
Ads

-Sales
Promotion

-Personal
Selling

-Advertising
and PR for
brand
Loyalty

-Personal
Selling for
Distribution

Introduction
Growth
Maturity
Decline
S
a
l
e
s

(
$
)

Time
25
Target Market Characteristics
FOR:
Widely scattered
market
Informed buyers
Repeat buyers



Advertising
Sales Promotion
Less Personal Selling
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Type of Buying Decision
Advertising
Sales Promotion
Type of
Buying Decision
Affects
Promotional
Mix Choice
Complex
Routine
Personal Selling
Not Routine
or Complex
Advertising
Public Relations
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Push and Pull Strategies
Manufacturer
promotes to
wholesaler
Wholesaler
promotes to
retailer
Retailer
promotes to
consumer
Consumer
buys from
retailer
PUSH STRATEGY (Office Depot and Office Max)
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 (Coke and Pepsi)