Promotions - Sisler ICT

advertisement

Any activity designed to increase sales
or promote goodwill (reputation of
business).
› Hand out business cards
› Commercials on t.v.
› Sponsor a school basketball tournament
Any activity that gets a product/service
to someone who wants or needs it
(target market).
 5 P’s of Marketing Mix: Product, Price,
Promotion, Place, People

› Marketers typically have control over these.

3 C’s of Marketing Mix: Customer,
Company Capabilities, Competition
› Marketers typically do not have control over
these.



Product – “what do our customers need/want?”
Price – “what are customers willing to pay?”
“What did it cost to produce?”
Promotion- Related to communicating with
customers.
› “What message do we want to send our customers?”
“How can we make our product stand out from the
competition?”

Place – Getting the product to the customer.
› “What retail outlets should sell our product?” “Will the
product be sold locally or internationally?”

People – Customer Service.
› “How can we help our customers before, during and
after a purchase?”

Customer – person who makes the purchase.
› (Consumer is person who uses the item)
› “What motivates the customer to buy?” “Who
makes the purchasing decisions in the family?”

Company Capabilities – considering budget,
people and knowledge.
› “Do we have enough money to run this ad?” “Will
we be able to launch this product by summer?”

Competitors – “What is the competition
doing?” “Why are customers buying from
them and not from us?”

And answer questions.
The five main categories most promotional
activities fall under.
 Advertising
 Direct Marketing
 Personal Selling
 Publicity/Public Relations
 Sales Promotions
It is called a “mix” because marketing
managers will generally use more than one of
these promotional methods to communicate
with their target market.
Advertising

A paid form of non-personal
communication about a business,
product, or service through the means of
mass media (radio, t.v., internet, etc)

Designed to carefully target consumers
through direct promotional efforts (direct
mail (addressed), telephone sales,
catalogues, etc)

A promotional method in which the
salesperson uses skills and techniques to
build personal relationships with the
consumer in an attempt to persuade
them to buy the product/service (in-store
or door-to-door sales).
A form of communication regarding an
organization/product/idea not directly
paid for or run by an identified sponsor
(eg. News coverage, word of mouth,
etc.)
 Note: publicity can be good or bad.

Designed to build good relationships with
the general public and create a good
“corporate image” by strengthening a
business’ credibility or enhancing its
image (e.g. speeches, sponsoring
special events, etc).
 All about communicating who you are,
what you do, and how you benefit your
customers and the community in which
you operate.


A promotional method designed to
increase the sales of products/services
by providing extra value or incentives
(e.g., price incentives, bonus sizes, free
samples, coupons)

Evolution refers to how something has
changed. The world is changing so
promotional strategies also have to
change in order to be relevant to the
customer. Businesses have to change
their promotional strategies because of
changes in consumer buying behavior,
technology, and media choices.
Category
Trends
Consumers
•More women in the workforce than ever before
•Large senior citizen population
•More teens working FT/PT hours
• Healthy living and “Green” focus
• Convenience Focus
•More children have a say in purchases
•More consumers feel safe purchasing online
Technology/ •The internet is replacing TV and radio for promotions
Media
•iPods, cell phones, and texting are commonly used
and are often incorporated into promotional strategies
in order to reach a specific target market.

Ad Clutter – a bombardment of ad
messages.
› it is estimated that the average Canadian
teen is exposed to thousands of advertising
messages each day.

You will choose an hour of your day (not
at school). You should take pictures of
every ad message you see, and make a
record of any ad you can not take a
picture of.
› Example: in the morning I would have to
take a picture of my Colgate Toothpaste,
Beatrice Milk, Kellogg’s Cornflakes, hear an
ad for an oil change on the radio, see ads
on the buses that drive by…

You will now make a collage of the
pictures and descriptions that you have
collected using Photoshop.
› Each picture/item must be on a different
layer – and named
› You must use at least 2 different fonts.
› You must use a clipping mask with the title
“Ad Clutter”.
› You will include a paragraph that explains
what ad clutter is and how it is a problem for
advertisers.
To cut through the “ad clutter”, marketing
managers have to develop new
promotional strategies each year.
Aggressive Promotional Strategies:
 Naming Rights: buying rights to public
spaces such as arenas, theatres, parks,
schools, etc. The corporation then gets
to “name” the public space after the
corporation itself. Ex?
› MTS Centre in Winnipeg

Ambient Advertising: Ads in public
places such as on cars, bicycles, taxis,
buses, elevators, gas pumps, washroom
stalls, park benches – designed to get
noticed in places where there is a
captive audience.
Yoga One in
Charlette, North
Carolina– a card
that customers
carry in their
wallets.
A campaign for the
Plastic Pollution Coalition
in Vancouver.

Space Advertising: Businesses are
placing ads in outer space that are
visible from earth, or placing gigantic
ads on earth that can be viewed from
space.

Digital or “Virtual” Advertising - Adding
products to scenes that were never
there to begin with.
› Sporting event coverage uses ads that are
digitally inserted onto the billboards and
playing surfaces in arenas.

Stealth Endorsers
(covert)
› Have celebrities use
products or wear
merchandise in public
appearances or
promote them in
media interviews.
Why?

Cross Merchandising - A wave of media
mergers over the past decade has
produced a handful of powerful
conglomerates that now own all the major
film studios, TV networks, radio and
television stations, cable channels, Internet
companies, book and magazine publishing
and music companies. These giant
conglomerates use their various media
holdings to promote products and artists
through massive cross-promotional
campaigns.
› http://mediasmarts.ca/marketing-
consumerism/advertising-its-everywhere

Targeted Advertising: Marketing businesses are
able to identify the users who are surfing
specific websites as well as how many hits
each website is getting by collecting
electronic information about the users. This
information is then used to create ads
designed to target these individuals
specifically.

Product Placement: put products on t.v.
in movies or video games.
› 1982 – ET featured Reese’s Pieces – sales
jumped 65%.
› http://www.youtube.com/watch?v=AfAzUA
xWELU

Viral Marketing: A trend that encourages
people to pass along a marketing
message. Like viruses the message
spreads to thousands of people –
YouTube, MySpace, Facebook.
› In 2007, Dove’s first internet film Evolution was
considered one of the most watched viral
videos of its time.

Content Marketing/Entvertising:
branded entertainment. Where our
entertainment is made by advertisers.
Do you think space advertising is
effective? Why or why not?
 Which ad campaign was better?
Support your answer with information
from the article.
 Choose a company you think could use
a form of space advertising today.
Describe their potential ad in space.


Complete the chart using Word.
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