PROMOTION
Promotion is one
of the market mix elements, and a term used frequently in marketing. The
specification of five promotional mix or promotional plan. These elements are
personal selling, advertising, sales promotion, direct marketing, and
publicity. A promotional mix specifies how much attention to pay to each of the
five subcategories, and how much money to budget for each. A promotional plan
can have a wide range of objectives, including: sales increases, new product
acceptance, creation of brand equity, positioning, competitive retaliations, or
creation of a corporate image. Fundamentally, however there are three basic
objectives of promotion. These are:
1. To present information to consumers as
well as others.
2. To increase demand.
3. To differentiate a product.
There are
different ways to promote a product in different areas of media. Promoters use
internet advertisement, special events, endorsements, and newspapers to
advertise their product. Many times with the purchase of a product there is an
incentive like discounts, free items, or a contest. This is to increase the
sales of a given product.
The term
"promotion" is usually an "in" expression used internally
by the marketing company, but not normally to the public or the market -
phrases like "special offer" are more common. An example of a fully
integrated, long-term, large-scale promotion are My Coke Rewards and Pepsi
Stuff. The UK version of My Coke Rewards is Coke Zone.
SALES PROMOTION
Sales promotion
is one of the seven aspects of the promotional mix. (The other six parts of the
promotional mix are advertising, personal selling, direct marketing,
publicity/public relations, corporate image and exhibitions.) Media and
non-media marketing communication are employed for a pre-determined, limited
time to increase consumer demand, stimulate market demand or improve product
availability.
Sales promotion
is the process of persuading a potential customer to buy the product. Sales
promotion is designed to be used as a short-term tactic to boost sales – it is
not really designed to build long-term customer loyalty. Some sales promotions
are aimed at consumers. Others are targeted at intermediaries (such as agents
and wholesalers) or at the firm’s sales force.
When undertaking
a sales promotion, there are several factors that a business must take into
account:
-
What
does the promotion cost – will the resulting sales boost justify the investment?
-
Is
the sales promotion consistent with the brand image? A promotion that heavily discounts a product
with a premium price might do some long-term damage to a brand
-
Will
the sales promotion attract customers who will continue to buy the product once
the promotion ends, or will it simply attract those customers who are always on
the look-out for a bargain?
There are many
methods of sales promotion, including:
-
Money
off coupons – customers receive coupons, or cut coupons out of newspapers or a
products packaging that enables them to buy the product next time at a
reduced price
-
Competitions
– buying the product will allow the customer to take part in a chance to win a prize
-
Discount
vouchers – a voucher (like a money off coupon)
-
Free
gifts – a free product when buy another product
-
Point
of sale materials – e.g. posters, display stands – ways of presenting the
product in its best way or show the customer that the product is there.
-
Loyalty
cards – e.g. Nectar and Air Miles; where customers earn points for buying
certain goods or shopping at certain retailers – that can later be exchanged
for money, goods or other offers
KINDS OF PROMOTION
Promotion
includes all activities designed to inform, persuade and influence people when
they are making the decision to buy. Promotion is made up of:
Advertising
· non-personal communication transmitted
through mass media
Publicity
· free promotion through news stories in
newsletters, newspapers, magazines and television
Sales Promotion
· all forms of communication not found in
advertising and personal selling, including direct mail, coupons, volume
discounts, sampling, rebates, demonstrations, exhibits, sweepstakes, trade
allowances, samples and point-of purchase displays In designing a promotional
plan, clearly spell out:
· Which objectives to use. It is
possible to have more than one objective, but it is recommended that a company
target its audience or run the risk of losing focus.
· What to say
· Who to say it to
· Criteria used to measure success
Suggestions for
Inexpensive Promotion
Some
inexpensive, appropriate and effective methods of promotion for the new food
processor include advertising through:
· Personal selling
· Product demonstrations
· Direct mail
· Business cards
· Yellow Page listing
· Seminars
· Newsletters
· Contests
· Flyers
· Statement stuffers
· Window banners
· Greeting cards
· Sports team sponsor
· Home parties
· Ethnic services—languages spoken
Of course, one
of the best free methods of promotion is good “word of mouth."
Promotion
Objectives
The promotion
objectives need to be clearly stated and measurable. They must be compatible
with the objectives of the company, as well as the competitive and marketing
strategies. Objectives vary for different products and different situations.
For example, producers must promote differently to brokers than to wholesalers.
When promoting to a broker, the producer must promote what he/she wishes the
broker to present to the wholesaler. When promoting to a wholesaler, the
producer simply wants the wholesaler to purchase the product. There are five
general promotional objectives to choose from. The five types of objectives for
promotional activities are1:
· to provide information
· to increase demand
· to differentiate the product
· to accentuate the value of the product
· to stabilize sales
· Promotional Strategy
Once the
producer has reviewed all the possible promotional tools, he/she must devise a
promotional strategy. A promotional strategy should address the following
issues:
· What is the goal of the promotion?
· What types of promotion should be
used?
· What effect should the promotion have
on the customer?
· Which promotion is working?
· Which promotion is not working?
· What are the costs of the promotion
compared to the benefits?
WHY
WE NEED PROMOTION
In my opinion,
We need promotion because if we want sell the product , we must do the
promotion of the marketing our product. It will make our buyer can know what
the all kinds of product what we sold. They can order it because they believe
that our product is the good for they consumed. And promotion can make our
company so famous in buyer community.
Pick at Least 10
Sentences indicating present tense
example :
1.
A
promotional mix specifies how much attention to pay to each of the five
subcategories
2.
Promoters
use internet advertisement
3.
Sales
promotion is one of the seven aspects of the promotional mix.
4.
Sales
promotion is the process of persuading a potential customer to buy the product
5.
Business
must take into account
6.
Will the sales promotion attract customers who
will continue to buy the product once the promotion ends
7.
Money
off coupons – customers receive coupons, or cut coupons out of newspapers
8.
A
products packaging that enables them buy the product next time at a reduced
price
9.
Its
audience or run the risk of losing focus
10.
In
my opinion we need promotion because if we want sell the product
Pick at least 10
Sentences indicating past tense
example :
1.
promotion
is one the market mix elements, and a term used frequently in marketing
2.
The
term "promotion" is usually an "in" expression used
internally by the marketing company
3.
really
designed to build long-term customer loyalty
4.
Others
are targeted at intermediaries (such as agents and wholesalers) or at the
firm’s sales force
5.
Free
gifts – a free product when buy another product
6.
non-personal
communication transmitted through mass media
7.
free
promotion through news stories in newsletters, newspapers, magazines and
television
8.
Criteria
used to measure success
9.
What
are the costs of the promotion compared to the benefits?
10.
Next
time at a reduced price