If you know this info, you will pass the Promo portion of the EOPA!

Remember these functions?

Let’s Talk About Promotion!

5 Types of Promotion

How to Determine Your Promotional mix

Terms You Should Already Know from MKT PRIN Direct Marketing - Directed to a targeted group of customers rather than to a mass audience. Either mailed or emailed. Usually gives a special offer or gift for responding. Usually asks a customer to call a toll-free number, return a form, or send an email in return for something “special.” Generates leads for sales people. CAN-SPAM act of 2003 states that you must give an email recipient a way to opt out of future emails and you must not use deceptive subject lines.

Terms You Should Already Know from MKT PRIN Institutional Promotion – Helps create a favorable image for a company or help it take a stand on a community issue. Product Promotion – Convinces prospects to select it’s product or service instead of a competitor’s brand.

Terms You Should Already Know from MKT PRIN Personal Selling - Engaging in 2-way selling process through personal interactions. Meetings Telemarketing Email Correspondence Very Costly! Advertising – Non-personal promotion. Companies pay to promote goods, services, and ideas to the public. TV, magazine, newspaper, radio, online, mobile, transportation marketing, etc.

Terms You Should Already Know from MKT PRIN Public Relations Creating a favorable image for a company or a product. News releases are often sent to the media as a form of PR Answers the 5 W’s Has a compelling headline Has contact info For further info… Most PR professionals create publicity for a company A publicity campaign generates a positive perception or awareness of an organization. PR is usually free! News anchors and publications are seen as more credible Disadvantage – you can’t control negative publicity and what is said about you!

Terms You Should Already Know from MKT PRIN Push Policy Used only with the next partner in the distribution channel A manufacturer uses a mix of personal selling, advertising, and buying discounts. This is known as PUSHING the product to the retailer. It’s purpose is to convince the retailer to stock the items offered by the manufacturer. Relies heavily on trade shows Very good for products that have not created a strong brand identity yet!

Terms You Should Already Know from MKT PRIN Pull Policy Directs promotions towards consumers (not retailers). Designed to create consumer demand through local/national advertising, in-store displays, sales promotions, and public relations. Consumer demand can PULL or encourage retailers to stock certain items being promoted. Relies heavily on advertising, premiums, samples, and demonstrations. BOTH types of policies are usually used.

Create something like this in WORD and fill it out as we review. Trade Promotions Consumer Promotions Promotional Allowances Coupons Cooperative Advertising Premiums Slotting Allowances Deals Sales Force Promotions Incentives Trade Shows/Conventions Product Samples   Sponsorship Promotional tie-ins, cross-selling Product Placement Loyalty Marketing Programs Online Loyalty Marketing POP Displays Allowances: Create something like this in WORD and fill it out as we review.

New Definitions Fill out your chart and write any Notes you need on this Power Point (or in Word – your choice)

Questions to ask when determining a promo mix What are the features and benefits of your product? Who is your primary and secondary target market? What are your resources (what is your budget) and objectives/policies (sales goals, is anything “off limits”?) Do you have enough people to fulfill orders WHEN this promotional plan generates an abundance of orders? Given the budget amount from question 3, determine if there are any promo types that are too costly? Are there any that are unavailable at the time the client wishes to use them? When should you promote more heavily throughout the year? Would you like to give incentives to retailers while also advertising to the general public? What is the main message you wish to get across in your promotional efforts? Can I see past examples of your promotional efforts? Did these past efforts work? Why or why not?

Most companies use a variety of promotion tactics Example Advertising and direct marketing create awareness. PR cultivates a favorable image and brand recognition Sales promotional activities stimulate sales and supports selling activities. Personal selling builds relationships and completes the sale.

Exercises – Level D Provide examples of how businesses have demonstrated the role of promotion in their companies using the following categories: Role of Promotion Example of Company demonstrating that role To explain the features and benefits of a product or service   Advertise sales and inform customers of where products are sold Introduce new products, services or other offerings Answer questions customers may have about the company and its products or services Create a favorable image for the company Make a stand for a social cause or issue Help advocate for change

Exercises – Level E Premiums – DECA would like to increase its sales of clothing in the Devils’ Den. What type of low cost premiums can be offered to achieve this objective? Assuming 100 of the premium items must be purchased, how do you know if it is worth it to offer the premium?

Exercises – Level C Research the latest trends in sales promotions and create a short presentation using the media of your choice. The presentation will include elements from exercise D as well.

Exercises – Level A Create a promotional calendar for Devils’ Den that incorporates all elements of the promotional mix