* * Chapter Sixteen Using Effective Promotions Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

* * Promotion and the Promotion Mix Promotion Mix -- The combination of promotional tools an organization uses; the traditional mix includes: PROMOTION in an ORGANIZATION LG1 16-2

* * Promotion and the Promotion Mix 1. Identify a target market 2. Define objectives 3. Determine a promotional budget 4. Develop a unifying message 5. Implement the plan 6. Evaluate the plan STEPS in a PROMOTIONAL CAMPAIGN LG1 16-3

* * Advertising: Informing, Persuading and Reminding Advertising -- Paid, non-personal communication through various media by organizations and individuals who are in some way indentified in the message. Major goals of advertising:  Inform  Persuade  Remind ADVERTISING in the FIRM LG2 16-4

* * Steps in the Selling Process 1. Pre-approach 2. Approach 3. Make a presentation 4. Answer objections 5. Close the sale Trial Close -- A statement or question that moves the process toward the purchase. 6. Follow up STEPS in the B2B SELLING PROCESS LG3 16-5

* * STEPS in the B2C SELLING PROCESS LG3 Steps in the Selling Process 16-6

* * Publicity: The Talking Arm of PR Publicity -- Any information about an individual, product or organization that’s distributed to the public through the media and is not paid for or controlled by the seller. Advantages of Publicity: Free Reaches people who would not look at an advertisement More believable than advertising PUBLICITY LG4 16-7

* * Sales Promotion -- The promotional tool that stimulates consumer purchasing and dealer interest by means of short-term activities. SALES PROMOTIONS LG5 Sales Promotion: Giving Buyers Incentives Categories of Sales Promotions: 1. B2B Sales Promotions 2. Consumer Sales Promotions 16-8

* * Coupons Demonstrations Sampling Sweepstakes In-store Displays Contests SOME KEY CONSUMER PROMOTIONS LG5 Sales Promotion: Giving Buyers Incentives 16-9

* * Word of Mouth and Other Promotional Tools Word-of-Mouth Promotion -- People tell others about products they have purchased. Word-of-Mouth is important for products like:  Restaurants  Daycare and Eldercare  Car Repair Shops  Hair Stylists  Hotels USING WORD-of-MOUTH PROMOTION LG

* * Viral Marketing Viral Marketing -- Paying customers to say positive things on the Internet or setting up multiple selling schemes whereby consumers get commissions. People who promote through viral marketing often receive SWAG which can include free tickets, shirts and other merchandise. EMERGING PROMOTIONAL TOOLS LG

* * Blogging, Podcasting and Promotions Blog -- Short for web log; an online diary that looks like a webpage but is easier to create and update by posting text, photos, videos or links. Podcasting -- A way to distribute audio and video programs via the Internet. promotions increase brand awareness among commercial suppliers. BLOGS, PODCASTS and S LG

* * Managing the Promotion Mix: Putting it All Together Push Strategy -- Producers use advertising, personal selling, sales promotion and other tools to get their products stocked on shelves. Pull Strategy -- Directs heavy advertising and sales promotions efforts towards consumers and get the public to request their products from retailers. Pick Strategy -- Refers to consumers who pick out their products from online outlets. PUSH, PULL AND PICK PROMOTIONAL STRATEGIES LG