Chapter 17. promotional concepts and strategies. Section 17.1 The Promotional Mix. Section 17.2 Types of Promotion
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1 Chapter 17 promotional concepts and strategies Section 17.1 Section 17.2 Types of Promotion
2 Section 17.1 IMAGINE What might happen if business did not promote their products?
3 Section 17.1 Explain the role of promotion in business and marketing. Identify types of promotion. Distinguish between public relations and publicity. Explain elements of a news release. Describe the concept of the promotional mix.
4 Section 17.1 The combination of personal selling, advertising, direct marketing, sales promotion, and public relations makes up the promotional mix.
5 Section 17.1 promotion product promotion institutional promotion promotional mix advertising direct marketing sales promotion public relations news release publicity push policy pull policy social media
6 Section 17.1 Examples of Each Different Type of Promotion
7 Section 17.1 Examples of Each Different Type of Promotion
8 Section 17.1 Promotion in Marketing Companies and nonprofit organizations rely on promotion. promotion Decisions about advertising, personal selling, sales promotion, and public relations used to attract customers.
9 Section 17.1 Promotion in Marketing Promotion Methods Product Promotion Institutional Promotion product promotion A promotional method used by businesses to convince prospects to select their goods or services instead of a competitor s brands. institutional promotion A promotional method used to create a favorable image for a business, help it advocate for change, or take a stand on trade or community issues.
10 Section 17.1 Types of Promotion in the Promotional Mix Personal Selling Direct contact Expensive promotional mix A cost-effective combination of advertising, selling, sales promotion, direct marketing, and public relations strategies used to reach company goals.
11 Section 17.1 Types of Promotion in the Promotional Mix Personal Selling Direct contact Expensive Advertising Advertising is everywhere advertising A form of nonpersonal promotion in which companies pay to promote ideas, goods, or services in a variety of media outlets.
12 Section 17.1 Types of Promotion in the Promotional Mix Personal Selling Direct contact Expensive Advertising Advertising is everywhere Direct Marketing Mail E-marketing Telemarketing Social media direct marketing A type of advertising that sends a promotional message to a targeted group of prospects and customers rather than to a mass audience. social media Electronic media that allows people with similar interests to participate in a social network.
13 Section 17.1 Types of Promotion in the Promotional Mix Personal Selling Advertising Direct Marketing Sales Promotion Direct contact Expensive Advertising is everywhere Mail E-marketing Telemarketing Coupons Money-off promotions Product samples Social media Displays sales promotion All marketing activities, other than personal selling, advertising, and public relations, that are directed at business or retail customers to boost sales.
14 Section 17.1 Types of Promotion in the Promotional Mix Personal Selling Advertising Direct Marketing Sales Promotion Public Relations (PR) Direct contact Expensive Advertising is everywhere Mail E-marketing Telemarketing Coupons Money-off promotions Product samples News releases Social media Publicity Social media Displays public relations Activities that help an organization to influence a target audience. news release An announcement sent to the appropriate media outlets. publicity Bringing news or newsworthy information about an organization to the public s attention.
15 Section 17.1 Types of Promotion in the Promotional Mix Types of Ads
16 Section 17.1 Types of Promotion in the Promotional Mix Types of Ads
17 Section 17.1 Types of Promotion in the Promotional Mix Put the number of users and nonusers in the appropriate spaces on the graphic organizer. Why or why not do you use these sites?
18 Section 17.1 The Concept of Promotional Mix Discuss the Six Steps of the Promotional Mix Develop a Promotional Mix
19 Section 17.1 The Concept of Promotional Mix Discuss the Six Steps of the Promotional Mix Develop a Promotional Mix
20 Section 17.1 The Concept of Promotional Mix Indicate the location of the ads and compare and rate the ads according to the criteria in the chart. Predict whether the ads created sales and were measured for results.
21 Section 17.1 Section Explain why promotion is an important marketing function. Promotion is an important marketing function because it is used to inform, persuade, or remind people about a company s products and its image.
22 Section 17.1 Section Identify when to use product and institutional promotion. Product promotion is used to convince people to buy or use a certain product. For example, if a company has come out with a new product, they would use product promotion to make people aware of the product. Institutional promotion does not directly sell a product, but is used to create a favorable image, which can result in sales. For example, a company develops a Web site for customers to learn more about the company s environmental and social responsibility initiatives.
23 Section 17.1 Section Contrast the push and pull policies in promotional mixes. The push concept depends on the manufacturer to get distribution channel members to purchase products. It relies on a mix of personal selling, advertising, and buying discounts. The pull concept directs promotion to potential consumers or relies on advertising geared to consumers and consumer sales promotions such as coupons, premiums, samples, and demonstrations.
24 Section 17.2 Types of Promotion CONNECT What promotional tie-ins or loyalty programs have you participated in?
25 Section 17.2 Types of Promotion Define sales promotion. Explain the use of promotional tie-ins, trade sales promotions, and loyalty marketing programs.
26 Section 17.2 Types of Promotion Sales promotion includes different techniques to increase sales and inform customers about a company s products.
27 Section 17.2 Types of Promotion sales promotions trade promotions consumer promotions coupons incentives promotional tie-ins loyalty marketing programs kiosks premiums
28 Section 17.2 Types of Promotion Examples of Different Types of Sales Promotions
29 Section 17.2 Types of Promotion Examples of Different Types of Sales Promotions -
30 Section 17.2 Types of Promotion Sales Promotions Sales promotions are usually supported by advertising activities that include trade promotions and consumer promotions. sales promotion All marketing activities, other than personal selling, advertising, and public relations, that are directed at business or retail customers to boost sales.
31 Section 17.2 Sales Promotions Types of Promotion Trade Promotions Promotional Allowances Cooperative Advertising Slotting Allowances Sales Force Promotions Trade Shows and Conventions trade promotions Sales promotions designed to get support for a product from manufacturers, wholesalers, and retailers.
32 Section 17.2 Sales Promotions Types of Promotion Consumer Promotions consumer promotions Sales strategies that encourage customers and prospects to buy a product or service.
33 Section 17.2 Sales Promotions Types of Promotion Consumer Promotions Coupons Premiums Deals or Price Packs coupon A certificate that entitles a customer to a cash discount on goods or services. premium low-cost item given to consumers at a discount or for free.
34 Section 17.2 Sales Promotions Types of Promotion Consumer Promotions Incentives Product Samples Sponsorship incentive A higher-priced product, award, or gift card that is earned and given away through contests, sweepstakes, special offers, and rebates.
35 Section 17.2 Sales Promotions Types of Promotion Consumer Promotions Promotional Tie-Ins Product Placement Loyalty Marketing Programs promotional tie-in Activity that involves sales promotions between one or more retailers or manufacturers; also called cross-promotion or cross-selling.. loyalty marketing program A marketing program that rewards customers by offering incentives for repeat purchases, such as a frequent flyer.
36 Section 17.2 Types of Promotion Sales Promotions Consumer Promotions Online Loyalty Marketing Programs Point-of- Purchase Displays (Kiosks) kiosk A point-of-purchase display that is a stand-alone structure.
37 Section 17.2 Sales Promotions Types of Promotion Three Different Types of Premiums and Descriptions
38 Section 17.2 Sales Promotions Types of Promotion Three Different Types of Premiums and Descriptions
39 Section 17.2 Sales Promotions Types of Promotion Examples of Each Type of Consumer Promotion
40 Section 17.2 Sales Promotions Types of Promotion Examples of Each Type of Consumer Promotion
41 Section 17.2 Types of Promotion Section Contrast trade promotions and consumer sales promotions. Trade promotions are sales promotion activities designed to gain manufacturers, wholesalers, and retailers support for a product. Examples include promotional allowances, cooperative advertising, slotting allowances, sales force promotions, buying allowances, trade shows, and conventions. Consumer sales promotion activities are designed to encourage individual customers to buy a product. Examples include cross-selling, coupons, premiums, incentives, samples, sponsorship, product placement, loyalty marketing programs, and point-of-purchase displays.
42 Section 17.2 Types of Promotion Section Contrast contests, sweepstakes, special offers, and rebates. Contests and sweepstakes are different types of games. Contests require participants to demonstrate a skill; sweepstakes are games of chance. Special offers and rebates are discounts offered by manufacturers to customers who purchase a product or service during a given time period.
43 Section 17.2 Types of Promotion Section Explain why a business would want product placement in entertainment media. Product placement allows viewers to see the product used or hear it discussed in an actual situation in an entertainment medium potentially viewed by millions. Because technology allows viewers to skip over paid TV advertisements or leave the area when ads are playing, product placement ensures that the product will at least be seen.
44 End of Chapter 17 promotional concepts and strategies Section 17.1 Section 17.2 Types of Promotion
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