5. Promotion - Complete lecture notes week 5 PDF

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Marketing Principles MAN Lecture 509/03/5. Promotion Promotional mix consists of tools that the company uses to engag e customers, persuasively communicate customer value and build customer relationships Promotion mix is a specific blend of promotion tools: Advertising Paid-for, non-personal form of...

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Marketing Principles MAN1075 Lecture 5 09/03/2020

5. Promotion -

Promotional mix consists of tools that the company uses to engage customers, persuasively communicate customer value and build customer relationships Promotion mix is a specific blend of promotion tools: - Advertising - Paid-for, non-personal form of mass communication from an identified source, used to communicate information and influence consumer behaviour - Appeals - Logical appeals - advertising that appeals to our sense of logic and reason - Emotional appeals - advertising that develops atmosphere and appeals to an individual’s ego, status. Uses humour and shock tactics - Sales promotion - An ‘acceleration tool’ to speed up normal buying process and drive up rate of sale - It is the offering of an incentive to encourage people to act - Seen to add value for consumers but may bring forward future sales - Generally regarded as having low credibility, although cause-related promotions may have a very positive effect - Examples: - Money-off - Price pack - Combined offers - Sampling - Loyalty schemes - Competitions - Sale promotions objectives: - Increase sales - Encourage brand switching - Reward loyal customers - Generate publicity - Sales promotions objectives B2B markets: - Help introduce new products - Stimulate the sales force - Overcome stock imbalances - Ratchet effect - Idea that sales promotion and advertising work well together and helps to build credibility - Has positive effect on brand loyalty over time - Personal selling - Inform, persuade, or remind an individual/group to act in a way desired by initiator of the contact - Frequently face-to-face with exceptions being where part or all of negotiation uses technology as a medium between the salesperson and customer - Online retailing is not a form of personal selling - Most effective when: - New products are introduced - New features are developed - Product or service is complex and requires explanation/demonstration - Relationship building is part of marketing strategy

Marketing Principles MAN1075 Lecture 5 09/03/2020

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Negative aspects: - Cost - Reach - Frequency - Control Public relations - About reputation and publicity - building the image of the brand and creating positive associations between the brand and the public - Functions: - Publicity - positive messages about the organisation - Media management - sustaining and utilising long-term relationships with the media - Corporate image - publicising the positive aspects of the organisation - Research and counselling - monitoring public and other opinion - Internal marketing - managing the organisation’s relationships with its employees - Shareholder and financial media - informing and maintaining good relationships Direct and digital marketing - Interactive system of marketing which uses one or more advertising media to affect a measurable response and/or transaction in any location - Management and execution of marketing using electronic media in conjunction with digital data about customers’ characteristics and behaviour - Traditional marketing communications: - Mass audiences through mass media - Impersonal communication - Promotions highly visible - Analysis at segmentation level - Direct and digital marketing - Direct communication with customer - Personalised - Promotions largely invisible - Analysis at individual level - Factors changing the face of today’s marketing communications - Changing consumers - more informed and empowered - Changing marketing strategies - focusing on building customer relationships - Advancements in digital technology - changing how we communicate...