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MidAtlantic Women in Agriculture Conference
Dr. Kim Morgan, Extension Economist
Allyssa Mark, Ag. & Applied Econ. M.S.
11 February 2016
PRICE
MARKETING
MIX
PRODUCT
PROMOTION
PLACE
Economic Systems
What to produce?
When?
Where?
For whom?
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The Role of Product Promotion
Marketing communications
The means by which firms attempt to inform,
persuade, and remind consumers about the
products and brands they sell
Promotion Tools Include…
1. Advertising
2. Sales promotion
3. Events and
experiences
4. Public relations and
publicity
5. Online and social
media marketing
6. Mobile marketing
7. Direct and
database marketing
8. Personal selling
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Effective Promotional Strategies
1. Identify the target audience
Effective Promotional Strategies
• Marketing communications can be used to
move the target through a series of
responses.
Effective Promotional Strategies
• The order that the consumer moves
through these responses depends on
whether the good or service is:
– low involvement
– high involvement
– experiential
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Effective Promotional Strategies
2. Set the promotion objectives
–Establish need for product or service
–Build brand awareness
–Build brand attitude
–Influence brand purchase intention
Promotion Objective Samples
Objective
Sample
Influence
Beliefs
“Achieve 25% awareness of Product A
among the target audience within 4
months.”
Influence
Feelings
“Achieve 18% preference for Product E
among the target audience within 3
months.”
Influence
Behavior
“Achieve 9% trial of Product C among the
target audience within 6 months.”
Effective Promotional Strategies
3. Design the Promotion
 What to Say: search for appeals, themes
or idea that tie into brand positioning
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Effective Promotional Strategies
3. Design the Promotion
 How to Say It: way marketers translate
messages into specific communication
Effective Promotional Strategies
3. Design the Promotion
 Who Should Say It: credible source
crucial to message acceptance –
expertise, trustworthiness, and likability
Effective Promotional Strategies
4. Select the promotion channels
–Personal communications
–Non-personal channels
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Effective Promotional Strategies
5. Establish budget
–Affordable method
–Percentage-of-sales method
Effective Promotional Strategies
6. Decide on promotion tools mix
– Advertising
– Sales promotion
– Events and experiences
– Public relations and publicity
– Online and social media marketing
– Mobile marketing
– Direct and database marketing
– Sales force
Non-Personal Promotion Tool
Characteristics
• Advertising
– Repeat message many times
– Dramatize company, product, service
– Focused communication across
geographic boundaries
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Non-Personal Promotion Tool
Characteristics
• Sales Promotion
– Ability to be attention-getting
– Incentive
– Invitation
Non-Personal Promotion Tool
Characteristics
• Events and experiences
– Relevant, personally invested in outcome
– Engaging, real-time
– Indirect soft sell
Non-Personal Promotion Tool
Characteristics
• Public relations and publicity
– Authentic & credible
– Ability to reach hard-to-find buyers
– Dramatization – farm story
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Non-Personal Promotion Tools
Tool
Use
Advertising
Efficiently get messages to large
audience.
Sales
Stimulate immediate purchase,
Promotion reward repeat purchases,
motivate sales personnel.
Public
Build positive image, strengthen
Relations ties with stakeholders.
Events &
Live connection with target
Experiences market
Personal Promotion Tools
Characteristics
• Direct and database marketing
– Personal
– Proactive
– Complementary
Personal Promotion Tools
Characteristics
• Personal selling
– Customized
– Relationship-oriented
– Response-oriented
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Personal Promotion Tools
Characteristics
• Online and social media marketing
– Rich information/entertainment
– Interactive, responsive
– Up to date, quick diffusion
Personal Promotion Tools
Characteristics
• Mobile marketing
– Timely and reflect locale
– Influential at point of purchase
– Pervasive
Personal Promotion Tools
Tool
Direct
Marketing
Personal
Selling
Use
Reach targeted audiences,
encourage direct response.
Reach customers one-to-one to
make sales, strengthen
relationships.
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Select Promotion Tools Mix
Market
Scale
Local
Regional
National
Global
Target
Audience
Media
Choices
Characteristics
TV
Radio
Outdoor
Newspaper
Internet
Magazine
Direct mail
Other
Demographic
Geographic
Psychographic
Behavioral
Media habits
Message
Content
Select Promotion Tools Mix
Notes on Social Media..
• Content is largely or exclusively created by
users - interaction can lead to positive or
negative word-of-mouth.
• Lacks the high degree of control afforded by
traditional advertising.
• Social media are rarely the sole source of
marketing communications for a brand
– Only some consumers want to engage with
some brands, and, even then, only some of the
time
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Notes on Word-of-Mouth…
 Identify and devote effort to influentials
 Supply key people with product samples
 Work through community influentials
 Develop WOM referral channels
 Provide compelling info to pass along
THANK YOU!!!
Dr. Kim Morgan
KLMorgan@vt.edu
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