Marketing Chapter 12: The Promotion Mix

Public Relations

Building good relations by getting good publicity and building up a good public image.

Sales Promotion Characteristics

Includes coupons, discounts, and contests. Gets customers attention

Public Relations Characteristics

Involve news stories, sponsorships, and events. Very effective.

Brand Integrations

Making a brand inseparable from some other form of entertainment. Ex: TV actors using bing.

4 Steps of Effective Advertising

Message Strategy Creative Concept Execution Format

Personal Selling Characteristics

Most effective! Most expensive and requires commitment

Advertising Affordable Method

Set the promotion at the level they think they can afford. Used a lot for small businesses.

Advertising Percentage of Sales Method

Setting promotion budget at a certain percentage of current or forecasted sales OR percentage of unit price.

Advertising Competitive-Parity Method

Setting promotion budgets to match competitors- get industry estimates. Competitors budget can represent collective wisdom.

Sales Promotion

Short-term incentives to encourage the purchase or sale of a product or service

Marketing Managers

create, inspire, and share brand messages among customers across shared communication channels

Total Promotion Mix

specific blend of advertising, public relations, personal selling, sales promotion, and direct marketing tools the company uses to engage customers and build customer relationships.

Madison and Vine

the idea of commercials being like little movies.

Native Advertising

Advertising or other brand content native to the site. Ex: posts integrated to Instagram so it all looks like one stream.

Advertising Budget Methods

Affordable method, percentage of sales, competitive-parity method, objective task method.

Advertising

Any paid form of non-personal presentation and promotion of ideas, goods, or services by a sponsor.

Integrated Communications

Company carefully integrates and coordinates its many communication channels to deliver clear, consistent, and compelling message about the organization.

Advertising Objective-Task Method

Company sets budget based on what it wants to accomplish. Must define promotion objectives, determine tasks, and estimate costs. Also forces management to say their assumptions.

Personal Selling

Personal customer interactions by the firms sales force for the purpose of engaging customers, making sales, and building relationships.

Pull Strategy

Producer directs its marketing activities toward final consumers to get them to buy the product

What are the two promotion mix strategies?

Push strategy and pull strategy

Push Strategy

Pushing the product through marketing channels to final consumers. Directs marketing towards channel members

Reach, Frequency, and Impact

Reach is the percentage of people in the target market who are exposed to the ad campaign. Frequency is how often the average person in target market is exposed to this message. Impact is the value

Advertising Characteristics

Reach masses at low costs, a lot of exposure. Impersonal and lacks direct persuasiveness.

Direct and Digital

Through technology and mail. Best for highly targeted marketing efforts