PRINCIPLES

OF
MARKETING
Quarter 4 - Module 4
Promotional Tools
 PROMOTION
Keeps the product in the minds of the customer and helps stimulate demand for the
product.

OBJECTIVE OF PROMOTION
1. Build awareness
2. Create interest
3. Provide information
4. Stimulate demand
5. Reinforce the brand
IMPORTANCE OF ADVERTISING

1. Advertising does not mean that you are selling the product, but you are increasing
the sales of the product.
2. People will become aware of the product.
3. It will also create brand awareness.
4. It creates regular demands.
STEP IN ADVERTISING
PROCEDURE
1. Identify your purpose 4. Create the Ad
2.Target your audience 5. Place and Time of the Ad
3. Select a Medium 6. Fulfill Expectations
 SALES PROMOTION
It is the set of marketing activities to boost the sales of the products or services. It is the
process of persuading a potential customer to buy the
product.

Tools of Sales Promotion

A. Consumer Oriented Promotion Tools B. Trade-oriented Sales Promotion
• Free samples • Cash Bonuses
• Coupons • Stock Return
• Exchange Scheme • Credit Terms
• Discounts • Dealer Conferences
• Premium offers • Dealer Trophies
• Personality Promotions • Push Incentives
• Installment Sales
 Advantages Disadvantages
• Price Discrimination • Increase price sensitivity
• Effect on consumer behavior • Short Term Orientation
• Luring new customers with price

PUSH STRATEGY
It involves taking the product directly to the customer via whatever means,
ensuring the customer is aware of the brand at the point of purchase.

Example:
• Trade show promotions to encourage retailer demand.
• Direct selling to customers in showrooms or face to face.
• Negotiation with retailers to stock your product.
• Efficient supply chain allowing retailers an efficient supply
PULL STRATEGY
Selling by yourself. It uses advertising to build up customer demand for a product
• Advertising strategies that include mass media promotion of a product.

Example:
• Word of mouth referrals
• Sales promotion and discount
• Customer Relationship Management

3.PERSONAL SELLING
Is an oral communication with the potential buyers of
a product with the intention of making a sale. It is the oldest form of
promotion. It is a two-way flow of communication between the buyer
and the seller. It is a face-to-face or real time encounter.
 Step of Personal Selling
1. Prospecting, Identifying and Qualifying
2. Pre-Approach and Call Planning
3. Presentation Approach and Demonstration
4. The Close

5. The Follow-Up
PUBLIC RELATION
Is the practice of managing the flow of information between
individual or an organization and the public. The aim of public relation is to persuade
the public, investors, partners, employees, and other stakeholders to maintain a certain
point of view about it, its leadership, products, or of political decisions.

There are four PR process according to Marston and that is RACE which stands for:

R - Research
A - Action
C - Communication
E - Evaluation
 Funtion of PR Advantage
Press Relations
• Credibility
• Product Publicity
• Cost
• Corporate Communications
• Avoidance of Clutter
• Lobbying
• Advisors
Disadvantage
Uses of PR
• Difficult to quantify PR benefits
Customer complaints and redressal
• It is an opportunity to cement
• Lack of control
relations with the customer • ‘Deft’ management required
• Very important in the service and
hospitality industry
Combating rumors/falsehoods
 5.DIRECT MARKETING
Is the use of consumer direct channels to reach and deliver and services to
consumers without using marketinmiddlemen. It helps the companies to opening
dialogue directly between themselves and the consumers of their products.

Advantage
To Businesses: To Consumers:
• It can help sales to grow when used along • Home shopping can be fun, convenient and
with sales promotions and hassle free.
advertising campaigns. • Buyers get goods services from the company
• It helps to measure response to campaigns to like toll free numbers for purchasing or ordering
decide which media is most profitable. goods.
FORMS OF DIRECT MARKETING

1.Direct Mail Marketing

• It involves sending an offer, announcement, reminder, or other item to a
person through mail.

2.Catalog Marketing
• The seller prepares catalogues of merchandise or products and sells directly to
customers.
 3. Telemarketing
• Telemarketing is the use of telephone and call centers to attract prospects,
sell to existing customers and provide service by taking orders and
answering questions.
Effective telemarketing depends on choosing the right telemarketer, proper
training and providing performance incentives.
• The advantages are to replace more expensive field-sales call, reduces
amount of personal
selling effort and reduce field-force travelling calls.
 4.Direct Response Marketing
Television:
Direct marketing via television (commonly referred to as DRTV) has two basic forms:
1. Long form (usually half-hour or hour-long segments that explain a product in detail
and are commonly referred to as infomercials)

2. Short form which refers to typical 30-second or 60-second commercials that ask viewers for an
immediate response (typically to call a phone number on screen or go to
a website).

Informercials promote products that are complicated or technologically advance or require a great
deal of explanation.
A toll-free number is flashed on the television screen when informercials are screened.
The consumer can call the number for the demonstration and delivery of the product.
5.Kiosk Marketing

Kiosk is small, mostly rectangular, stand alone booth used in high-

foot-traffic areas, convenience stores or even malls for marketing
purposes.

A kiosk will usually be manned by one or two individual who help

attract attention to the both to get new customer.
Borja, Regina Eunice D.
Demegillo, Lenzy Dianne
Toledo, Jamaica A.

THANKYOU!!!