Promotion Mix

Promotion is the only P in marketing mix which deliberately communicates benefits of the product and all the offerings of the firm to the target markets

Components of Promotion Mix are:

Advertising Sales Promotion Personal selling Public Relations Direct Marketing All the above components when used in combination constitute a Promotional Mix of a firm or organisation

Advertising
Definition: Advertising is any paid form of non-personal presentation and promotion of ideas, goods, and services by an identified sponsor

Steps in Designing Effective Advertisement Programs

1

Identify the target audience Set the advertising objectives Determine the advertising budget Design the message

Evaluate and Select media

Create an advertisement Measure the impact

Identifying the Target Audience

Part of target audience might not be actual user or buyer but might be influential in buying decisions process

Setting Advertising Objectives

Informative Advertising: Introduction Phase Persuasive Advertising: Growth and Maturity phase Reminder Advertising: Later stage of maturity and decline phase

Determining the Advertising Budget

Competitive parity method Percentage of turnover Objective Oriented Budgeting Regression Analysis Blend of all

Designing the Message

Rational appeal: Use logic and reason to convince the audience Emotional appeal: emotions live love, envy, fun, humour

Evaluation and Selection of Media

Media Vehicle Media Reach (R): Number of household or persons exposed to a particular media scheduled at least once during a specified time period Media Frequency (F): Number of times within the specified time period that an average person or household is exposed to the message Impact (I): Qualitative value of an exposure through a given medium Total Number of Exposure (E) or Gross Rating Point(GRP): Reach in %*Average exposure frequency

Creation of Advertisement
Advertisements should be able to convey the message irrespective of medium used

Measuring Impact (Advertising Effectiveness)

Pretesting: Refers to assessing the advertisement before a campaign is implemented Tracking: Included monitoring key indicators such as daily or weekly sales volume while campaign is running Post testing: Valuation of campaigns impact after it has been implemented Methods of measuring Ad effectiveness: a. Sales Measurement b. Direct Measure: Coupons redeemed and c. Indirect measures: Recall test: Recognition, Aided Recall, Unaided recall

Sales Promotion
Sales promotion includes those activities that supplement both personal selling and advertising and coordinate them and make them effective, such as displays, shows, demonstrations and other non-recurrent selling efforts not in the ordinary routine

Tools and techniques used for Sales promotion are:

Sponsorship Demonstrations Trade fairs and Exhibitions Coupons Premiums Exchange offers Free samples Loyalty programmes POP Merchadising display Contests Joint Promotion

Direct Marketing
Direct Marketing is an interactive marketing system that uses one or more advertising media to affect a measurable response and or transaction at any location

Forms of Direct Marketing are:

Direct mail Telemarketing Email Marketing Couponing Direct response television marketing Direct selling