Nama : FERA LUFHIDARANI PRANITA
Kelas : 3 EB 23
NPM : 22210722
Promotion is a form of
corporate communication that uses various methods to reach a targeted audience
with a certain message in order to achieve specific organizational objectives.
Nearly all organizations, whether for-profit or not-for-profit, in all types of
industries, must engage in some form of promotion. Such efforts may range from
multinational firms spending large sums on securing high-profile celebrities to
serve as corporate spokespersons to the owner of a one-person enterprise
passing out business cards at a local businessperson’s meeting.
Like most marketing
decisions, an effective promotional strategy requires the marketer understand
how promotion fits with other pieces of the marketing puzzle (e.g., product,
distribution, pricing, target markets). Consequently, promotion decisions
should be made with an appreciation for how it affects other areas of the
company. For instance, running a major advertising campaign for a new product
without first assuring there will be enough inventory to meet potential demand
generated by the advertising would certainly not go over well with the
company’s production department (not to mention other key company executives).
Thus, marketers should not work in a vacuum when making promotion decisions.
Rather, the overall success of a promotional strategy requires input from
others in impacted functional areas.
In addition to coordinating
general promotion decisions with other business areas, individual promotions
must also work together. Under the concept of Integrated Marketing
Communication marketers attempt to develop a unified promotional strategy
involving the coordination of many different types of promotional techniques.
The key idea for the marketer who employs several promotional options (we’ll
discuss potential options later in this tutorial) to reach objectives for the
product is to employ a consistent message across all options. For instance,
salespeople will discuss the same benefits of a product as mentioned in
television advertisements. In this way no matter how customers are exposed to a
marketer’s promotional efforts they all receive the same information.
Sales promotion is one of the seven
aspects of the promotional mix. (The other six parts of the promotional mix are advertising, personal
selling, direct marketing, publicity/public relations, corporate image and exhibitions.) Media
and non-media marketing communication are employed for a pre-determined,
limited time to increase consumer demand, stimulate market demand or improve
product availability. Examples include contests, coupons, freebies, loss leaders, point of purchase
displays, premiums, prizes, product samples, and rebates
Sales promotions
can be directed at either the customer, sales staff,
or distribution channel members (such as retailers). Sales
promotions targeted at the consumer are called consumer sales promotions. Sales
promotions targeted at retailers and wholesale are called trade sales promotions. Some sale
promotions, particularly ones with unusual methods, are considered gimmicks by many.
Sales promotion
includes several communications activities that attempt to provide added value
or incentives to consumers, wholesalers, retailers, or other organizational
customers to stimulate immediate sales. These efforts can attempt to stimulate
product interest, trial, or purchase. Examples of devices used in sales
promotion include coupons, samples, premiums, point-of-purchase (POP) displays,
contests, rebates, and sweepstakes
Promotion includes
all activities designed to inform, persuade and influence people when they are
making the decision to buy. Promotion is made up of:
Advertising
a.
non-personal communication transmitted through
mass media
Publicity
b.
free promotion
through news stories in newsletters, newspapers, magazines and television
Sales Promotion
all
forms of communication not found in advertising and personal selling, including
direct mail, coupons, volume discounts, sampling, rebates, demonstrations,
exhibits, sweepstakes, trade allowances, samples and point-ofpurchase displays
In designing a promotional plan, clearly spell out:
Which objectives to use. It is possible to
have more than one objective, but it is recommended that a company target its
audience or run the risk of losing focus.
What to say
Who to say it to
Criteria used to measure success
Suggestions for Inexpensive Promotion
Some
inexpensive, appropriate and effective methods of promotion for the new food
processor include advertising through:
1.
Personal selling
2.
Product
demonstrations
3.
Direct mail
4.
Business cards
5.
Yellow Page
listing
6.
Seminars
7.
Newsletters
8.
Contests
9.
Flyers
10. Statement stuffers
11. Window banners
12. Greeting cards
13. Sports team sponsor
14. Home parties
15. Ethnic services—languages spoken
Of
course, one of the best free methods of promotion is good “word of mouth."
Promotion Objectives
The
promotion objectives need to be
clearly stated and measurable. They must be compatible with the objectives of
the company, as well as the competitive and marketing strategies. Objectives
vary for different products and different situations. For example, producers
must promote differently to brokers than to wholesalers. When promoting to a
broker, the producer must promote what he/she wishes the broker to present to
the wholesaler. When promoting to a wholesaler, the producer simply wants the
wholesaler
Promotional Strategy
Once
the producer has reviewed all the possible promotional tools, he/she must
devise a promotional strategy. A
promotional
strategy should address the following issues:
a.
What is the goal
of the promotion?
b.
What types of promotion should be used?
c.
What effect
should the promotion have on the customer?
d.
Which promotion
is working?
e.
Which promotion is not working?
f.
What are the
costs of the promotion compared to the benefits?
Promotions
are for people who give the extra amount of work. They consider the company’s
needs almost above their own to the extent possible. A person who shows
maturity and loyalty to the company is always noticed. So is an employee who
provides a constant seamless quality of work.
Kinds
Of Promotion
Marketers
have at their disposal four major
methods of promotion. Taken together these comprise the promotion mix. In this section a basic definition of
each method is offered while in the next
section a comparison of each method based on the characteristics of promotion is presented.
a.
Advertising
Involves
non-personal; mostly paid promotions
often using mass media outlets to deliver the marketer’s message.
While historically Sales promotion is
designed to be used as a short-term tactic to boost sales, the advent of computer technology and, in
particular, the Internet has increased
the options that allow customers to provide quick feedback.
b.
Public Relations and Sponsorship
Also
referred to as publicity, this type of
promotion uses third-party sources, and particularly the news media, to offer a favorable mention of the marketer’s
company or product without direct
payment to the publisher of the information.
c.
Personal Selling
As
the name implies, this form of promotion
involves personal contact between company representatives and those who have a role in purchase decisions (e.g.,
make the decision, such as consumers, or
have an influence on a decision, such as members of a company buying center). Often this occurs
face-to-face or via telephone, though newer
technologies allow this to occur online via video conferencing or text
chat.
d. Sales Promotion
Involves
the use of special short-term
techniques, often in the form of incentives, to encourage customers to
respond or undertake some activity. For
instance, the use of retail coupons with
expiration dates requires customers to act while the incentive is still
valid.
e.
Direct marketing
A
channel-agnostic form of advertising
that allows businesses and nonprofits organizations to communicate straight to
the customer, with advertising techniques that can include Cell Phone Text messaging,
email, interactive consumer websites, online display ads, fliers, catalog
distribution, promotional letters, and outdoor advertising.
Direct
marketing messages emphasize a focus on the customer, data, and accountability.
Characteristics that distinguish direct marketing are:
A.
Marketing
messages are addressed directly to the customer and/or customers. Direct
marketing relies on being able to address the members of a target market. Addressability
comes in a variety of forms including email addresses, mobile phone numbers,
Web browser cookies, fax numbers and postal addresses.
B.
Direct marketing
seeks to drive a specific "call to action." For example, an
advertisement may ask the prospect to call a free phone number or click on a link to a website.
C.
Direct marketing
emphasizes trackable, measurable responses from customers — regardless of
medium.
Why
Do We Need Promotion ?
Promotion
is benefit for customer, activities have a variety of aims:
1.
To inform current
and potential customers about the existence of products
- To explain the potential benefits of using the product
- To persuade customers to buy the product
- To help differentiate a product from the competition
- To develop and sustain a brand
- To reassure customers that they have made the right choice
Present
Tense
1.
Promotion is a
form of corporate communication that uses various methods
3.
Promotions are
for people who give the extra amount of work
4.
Addressability
comes in a variety of forms including email addresses
5.
Direct marketing
seeks to drive a specific "call to action."
6.
This type of promotion uses third-party sources
7.
Promotions are
for people who give the extra amount of work
8.
Promotion is
benefit for customer
9.
Promotion is good
“word of mouth."
10.
So is an employee
who provides a constant seamless quality of work.
Past
Tense
2.
Media and
non-media marketing communication employed for a pre-determined
3.
Examples of
devices used in sales promotion include coupons
4.
Sales promotions
targeted at retailers and wholesale are called trade
sales promotionsnon-personal communication transmitted through mass
media
5.
Marketing messages
addressed directly to the customer and/or customers.
6.
Sales promotion
designed to be used as a short-term tactic to boost sales,
7.
Once the producer
reviewed all the possible promotional tools
8.
Promotion includes all activities
designed to inform
9.
In this way no
matter how customers exposed to a marketer’s
10.
In this section a
basic definition of each method offered while in the next section
