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Promotion - Introduction To Integrated Marketing Communications

basic marketing - global managerial approaches

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48 views28 pages

Promotion - Introduction To Integrated Marketing Communications

basic marketing - global managerial approaches

Uploaded by

baongan3005
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPT, PDF, TXT or read online on Scribd
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CHAPTER FOURTEEN

Promotion –
Introduction to
Integrated Marketing
Communications

For use only with


Perreault and McCarthy
texts.
© 2005 McGraw-Hill
Companies, Inc.
McGraw-Hill/Irwin www.mhhe.com/fourps
When we finish this lecture you should

1. Know the advantages and disadvantages of


the promotion methods a marketing manager
can use in strategy planning.
2. Understand the integrated marketing
communications concept and why most firms
use a blend of different promotion methods.
3. Understand the importance of promotion
objectives.
4. Know how the communication process affects
promotion planning.
5. Understand how direct-response promotion is
helping marketers develop more targeted
promotion blends.
© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
When we finish this lecture you should

6. Understand how new customer-initiated


interactive communication is different.
7. Know how typical promotion plans are
blended to get an extra push from middlemen
and help from customers in pulling products
through the channel.
8. Understand how promotion blends typically
vary over the adoption curve and product life
cycle.
9. Understand how to determine how much to
spend on promotion efforts.

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Exhibit 14-1
Several Promotion Methods Are Available

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Exhibit 14-2
Sales Promotion Tries to Spark Immediate Interest

Videos

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


A Free Sample – of Technology

+
© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Someone Must Plan, Integrate, and
Manage the Promotion Blend

Advertising
Advertising
Sales
Sales Managers
Managers Managers
Managers

Integrated
Marketing
Communications

Marketing
Marketing Sales
Sales Promotion
Promotion
Mangers
Mangers Managers
Managers

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Exhibit 14-3
Which Method to Use Depends on Promotion Objectives

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Reminding May Be Enough

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Exhibit 14-4
Promotion Objectives Relate to the Adoption
Process and AIDA Model

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Interactive Exercise: AIDA

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Exhibit 14-5
Promotion Requires Effective Communication

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Exhibit 14-6
Encoding & Decoding Depend on a Common Frame of Reference

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Encoding and Decoding

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Exhibit 14-5
The Message Channel and Noise Are Important Too

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Integrated Direct-Response Promotion
Is Very Targeted

More
More Than
Than
Direct
Direct Mail
Mail

Target
Target Directly
Directly
With
With aa Database
Database

Ethical
Ethical Concerns
Concerns

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Exhibit 14-7
The Customer May Initiate the Communication Process

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Exhibit 14-8
How Typical Promotion Plans Are Blended and Integrated

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Other Promotional Elements of Pushing

+
© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Exhibit 14-8
Pulling – Demand Pulls the Product through the Channel

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


An Example of Pulling

+
© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Exhibit 14-9
Adoption Processes Can Guide Promotion Planning

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Stimulating Adoption of an Image

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Promotion Blends Vary Over the Life Cycle

“This new “Our brand is “Our brand is “Let’s tell


idea is good” best” better, really” those who
still want our
product”
© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Nature of Competition Requires
Different Promotion

+
© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Setting the Promotion Budget

Percentage
Percentage of
of Sales
Sales

Matching
Matching the
the Competition
Competition

Budgeting
Budgeting by
by Sales
Sales Unit
Unit

Budgeting
Budgeting from
from
Uncommitted
Uncommitted Resources
Resources

Task
Task Method
Method

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin


Key Terms

• Promotion • Integrated marketing


communications
• Personal selling
• Mass selling
• AIDA model
• Communication
• Advertising process
• Publicity • Source
• Sales promotion • Receiver
• Sales managers • Noise
• Advertising managers • Encoding
• Public relations • Decoding
• Sales promotion • Message channel
managers
• Pushing
© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
Key Terms

• Pulling
• Adoption curve
• Innovators
• Early adopters
• Early majority
• Late majority
• Laggards
• Nonadopters
• Primary demand
• Selective demand
• Task method

© 2005 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin

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