Marketing Communications

1. Marketing Communications

2. Promotion Inform Communication by marketers that informs, persuades, and reminds potential buyers of a product in order to influence an opinion or elicit a response. Persuade Remind

3. High Product Quality Rapid Delivery Features that Provide Differential Advantage Low Prices Excellent Service Unique Features Differential Advantage

4. Promotional Mix Combination of promotion tools used to reach the target market and fulfill the organization’s overall goals. Advertising Public Relations Sales Promotion Personal Selling Public Relations Word-of-Mouth

5. Advertising Impersonal, one-way mass communication about a product or organization that is paid for by a marketer.

6. Traditional Advertising Media ElectronicAdvertising Media • Internet • Electronic mail • Interactive video • Television • Radio • Newspapers • Magazines • Books • Direct mail • Billboards • Transit cards Advertising Media

7. Advantages Reach large number of people Low cost per contact Can be micro-targeted Disadvantages Total cost is high Advertising

8. Public Relations The marketing function thatevaluates public attitudes, identifies areas within the organization that the public may be interested in, and executes a program of action to earn public understanding and acceptance.

9. Publicity Public information about a company, good, or service appearing in the mass media as a news item, which is free to the company.

10. Free samples Popular Tools for Consumer Sales Promotion Contests Premiums Trade Shows Vacation Giveaways Coupons Sales Promotion

11. Personal Selling Planned presentation to one or more prospective buyers for the purpose of making a sale.

12. Traditional Selling Relationship Selling Personal Selling

13. Advertising Communication Mode Indirect and non-personal Communication Control Low Feedback Amount Little Feedback Speed Delayed Message Flow Direction One-way Message Content Control Yes Sponsor Identification Yes Reaching Large Audience Fast Message Flexibility Same message to all audiences Characteristics of Advertising

14. Public Relations Communication Mode Usually indirect, non-personal Communication Control Moderate to low Feedback Amount Little Feedback Speed Delayed Message Flow Direction One-way Message Content Control No Sponsor Identification No Reaching Large Audience Usually fast Message Flexibility Usually no direct control Characteristics of Public Relations

15. Sales Promotion Communication Mode Usually indirect and non-personal Communication Control Moderate to low Feedback Amount Little to moderate Feedback Speed Varies Message Flow Direction Mostly one-way Message Content Control Yes Sponsor Identification Yes Reaching Large Audience Fast Message Flexibility Same message to varied target Characteristics of Sales promotion

16. Personal Selling Communication Mode Direct and face-to-face Communication Control High Feedback Amount Much Feedback Speed Immediate Message Flow Direction Two-way Message Content Control Yes Sponsor Identification Yes Reaching Large Audience Slow Message Flexibility Tailored to prospect Characteristics of Personal Selling

17. Informing Reminding Target Audience Persuading Goals and Tasks of Promotion

18. Intro Stage Growth Stage Maturity Stage Decline Stage Product Category Sales Dollars 0 Time Product Life Cycle

19. Informing Reminding PLC Stages: Introduction Early Growth Target Audience PLC Stages: Maturity Persuading PLC Stages: Growth Maturity Goals and Tasks of Promotion

20. Goals and Tasks of Promotion Informative Objectives • Increase awareness • Explain how product works • Suggest new uses • Build company image

21. Goals and Tasks of Promotion • Persuasion Objectives • Encourage brand switching • Change customers’ perception of product attributes • Influence buying decision • Persuade customers to call

22. Goals and Tasks of Promotion • Reminder Objectives • Remind customers that product may be needed • Remind customers where to buy product • Maintain customer awareness

23. Nature of the Product Stage in PLC Target Market Factors Type of Buying Decision Promotion Funds Push or Pull Strategy Factors Affecting the Choice of Promotional Mix

24. Maturity Decline Growth Introduction Sales ($) Time Product Life Cycle and thePromotional Mix -Light Advertising -Pre- Introduction Publicity -Heavy Ads -PR for Awareness -Sales Promotion for Trial -Advertising and PR for brand Loyalty -Personal Selling for Distribution -Reminder Ads -Sales Promotion -Personal Selling -Ads & PR Decrease -Limited Sales Promotion -Personal Selling for Distribution

25. Target Market Characteristics FOR: • Widely scattered market • Informed buyers • Repeat buyers Advertising Sales Promotion Less Personal Selling

26. Routine Advertising Type of Buying Decision Affects Promotional Mix Choice Sales Promotion Advertising Not Routine or Complex Public Relations Complex Personal Selling Type of Buying Decision

27. PUSH STRATEGY (Office Depot and Office Max) Manufacturer promotes to wholesaler Wholesaler promotes to retailer Retailer promotes to consumer Consumer buys from retailer Orders to manufacturer PULL STRATEGY (Coke and Pepsi) Manufacturer promotes to consumer Consumer demands product from retailer Retailer demands product from wholesaler Wholesaler demands product from manufacturer Orders to manufacturer Push and Pull Strategies