Chapter 14,15,16,17 - Promotion/Advertising

Class of 4/15 other half will be the 17th

Retail sales representatives

Order takers: Handle customers request and inquires

Door-to-door sales or telemarketing

Order getters: persuade customers by going to their door or through the phone

pharmaceutical representative

Goes to doctors to promote product and get them to prescribe to consumers

Direct Marketing

Direct communication with carefully targeted individual consumers to obtain an immediate response

ex. direct mail or telephone marketing, donating once to a company and then they mail/email you constantly but change it based on if you respond or not, maybe asking for less money if you don’t donate

Publicity (public relations)

Indirectly paid presentation of an organization, good or service ex. news story

Advantage: If they say positive things it is free promo

Disadvantage: If they say negative things there is nothing you can do about it

Sales promotion

coupons, free samples etc

disadvantage: can dilute the image of the brand (coupons), once they use the coupons they don’t want to buy the product at full price and you lose money

Advertising

the activity or profession of producing advertisements for commercial products or services.

Personal selling

a direct, one-on-one sales approach where a salesperson interacts with a potential customer, either in person or virtually, to promote a product or service and persuade them to make a purchase

Wasted coverage

If promotion reaches people who are not buyers or potential users, it is potentially wasted

Personal selling can reduce this

Promotional activity during intro stage

Advertising

publicly in newspaper or magazines

Free samples

salesforce calling on intermediaries

Promotional activity during growth stage

Personal selling to intermediaries

advertising to differentiate brands attributes from those of competing brands

Promotional activity during maturity stage

Reminder advertising

Sales promotion in the form of discounts and coupons

Limited personal selling

Direct-mail reminders

Promotional activity during decline stage

Little money spent on advertising

Integrated Marketing Communication IMC

Strategic process of integrating many communications channels to deliver a clear, consistent, and compelling message about a company and its brands

Why is it important?

Companies can no longer be tied to a specific communication tool (such as media advertising)

Various contact methods should be used to deliver the message to fragmented audiences

Greater value can be generated from integrating various communication tools rather than having them operate autonomously

can take advantage of synergy among promotion tools

Push strategy (communication channel strategy) (IMC)

A promotion strategy that calls for using the sales force and trade promotion to push the product through marketing channels to final consumers. Going though intermediaries for advertising.

Pull strategy (communication channel strategy) (IMC)

A promotion strategy that calls for spending a great amount on advertising and consumer promotion to build up consumer demand that will pull the product through the channels ex. drug ads on tv get consumers to ask doctors to take a certain medicine. Skipping intermediaries and advertising directly to consumers.

Pioneering ads (informative ads)

Telling the market about a new product, explaining how the product works, reducing consumers fears, building a company image

Competitive ads (persuasive ads)

Building brand preference, persuading customers to purchase now, encouraging switching to your brand, changing product/brand perception

Reminder ads

Maintaining the customer relationship, reminding of the needs in the near future, keeping it in the customers minds during off seasons

Affordable method (setting ad budget)

Setting it at the levels companies think they can afford

Percentage of sales method (setting ad budget)

setting it at a certain percentage of current or forecasted sales

Competitive parity method (setting the ad budget)

Setting their promotion budgets to match competitors outlays

Objective and task method (setting the ad budget)

Setting it based on what is wants to accomplish with promotion (set a goal and use ads to achieve that goal)

Informational/rational appeals (designing ads)

features, price, etc

emotional appeals (designing ads)

personal states or feelings (emotions), social based feelings (respect, status)

Reach (selecting the right media)

the number of different people exposed to an advertisement

Frequency (selecting the right media)

The average number of times a person in the target audience is exposed to a message

Continuous schedule (scheduling ads)

Schedule throughout the year

Flighting schedule (scheduling ads)

Intermittent schedule to reflect seasonal demand (ex. skis, fishing rods)

Pulse schedule

Continuous schedule + flighting schedule (ex. toys)

Website (digital communication tools)

Regardless of the type of website one runs, that websites success is measured according to how well It meets the following objectives

1. Generate traffic (visitors to the site)

2. Drive conversations (visitors engage in some type of desired behavior)

3. Generate revenue if the owner wants to earn money from the website

Paid and unpaid referral traffic

Paid: Paying for a referral (ex. paying influencers to promote product)

Unpaid: not paying but still getting one anyway like when another website reviews your product and links it without having to pay them

Conversion

when a visitor to a website or app takes a desired action, such as making a purchase, signing up for an email list etc

Primary conversions

Key actions that are used to advertise for a brand or product (submitting a form, making a purchase, engagement on social media)

Secondary conversions

Possible conversion actions that are not directly used for campaign optimization (ex. making an account on the company's website)

Social media objectives

Build brand equity, increase sales directly, improving customer service, reaching new customers, provide product information and support

Search engine advertisements (online advertisements)

When you search for something, the advertisements for different companies that come up, or the ads within the clickable search on their website

Banner advertisements (online advertisements)

Banners on a website that advertise for another company

Need to have an effective design and make impressions

Impressions: the number of times and advertisement was served

Email segmentation

Email customers can be segmented based on

past purchases

past email response

customer preferences

demographics

location

device

Idealized female images in advertisements

Arguments for and against promoting female images

Do you, as a marketer, agree or disagree that promoting idealized female images is effective and appropriate?