1 CHAPTER 16 BMGT services PROMOTION AND THE PROMOTION MIX Promotion consists of all the techniques sellers use to motivate people to buy their products or Marketers use many different tool to promote their product such as advertising personal selling public relations sale promotion email promotions mobile promotion social networking blogging or podcasting Promotion mix combination of promotional tools listed above Integrated marketing communication IMC combines all of the promotional tools into one comprehensive unified promotional strategy Steps to a promotional campaign Identify a target market 1 2 Define the objectives for each element of the promotional mix 3 Determine the promotional budget 4 Develop a unified message 5 Implement the plan 6 Evaluate effectiveness ADVERTISING INFORMING PERSUADING AND REMINDING Advertising paid non personal communication through various media by organizations and individuals who are in some way identified in the message Total ad volume exceeds 294 billion yearly Direct mail is the number one medium We consumers benefit from advertising b c ads are informative and the money advertisers spend for commercial time pays the production costs of TV and radio programs Major categories of advertising Institutional advertising 1 Retail advertising 2 Trade advertising 3 B2B advertising 4 5 Product advertising 6 Advocacy advertising 7 Comparison advertising Interactive advertising 8 9 Online advertising 10 Mobile advertising Different mediums of advertising 1 Direct mail 2 Broadcast TV 3 Newspaper 4 Cable TV networks 5 Radio 6 Yellow Pages 7 Consumer magazine 8 Internet 2 TELEVISION ADVERTISING Expensive TV advertising is still a dominant medium May make TV less attractive PRODUCT PLACEMENT Product placement advertisers pay to put their products into TV shows and movies where the audience will see them Ex Coca Cola Cups on the judge s table on American Idol INFOMERCIALS Infomercials a full length TV program devoted exclusively to promoting a particular good or service Ex Proactiv Total Gym Some products such as personal development seminars real estate programs and workout tapes are hard to sell without showing people a sample of their contests and using testimonials ONLINE ADVERTISING One goal of online advertising is to get potential customers to a website where they can learn more about the company and its products Online advertising brings customers and companies together It enables advertisers to see how many people have clicked on a commercial and how much of it each potential customer has read or watched Interactive promotion allows marketers to go beyond a monologue where sellers try to persuade buyers to buy things to a dialogue in which buyers and sellers work together to create mutually beneficial exchange relationship Many companies provide online videos chat rooms and other services in a virtual store where customers are able to talk to each other ask questions of salespeople examine goods and buy products GLOBAL ADVERTISING can implement worldwide Global advertising requires the marketer to develop a single product and promotional strategy it Getting the words right in international advertising is tricky and critical it is understanding the culture which calls for researching each country designing appropriate ads and testing them Many marketers today are moving from globalism to regionalism PERSONAL SELLING PROVIDING PERSONAL ATTENTION Personal selling the face to face presentation and promotion of goods and services including the salesperson s search for new prospects and follow up service after the sale o Helping others satisfy their wants and needs The benefits of personal selling is having a person help you complete a transaction The sales person should listen to your needs help you reach a solution and do everything possible to make accomplishing it smoother and easier STEPS IN THE SELLING PROCESS One product important to establishing long term relationships with customers is customer relationship management CRM software 7 steps of the CRM software 1 Prospect and qualify 3 a Prospecting first step in the selling process researching potential buyers and choosing those most likely to buy b Qualifying selection process to qualify people means to make sure they have a need for the product the authority to buy the product and the willingness to listen to a sales message i Lead generation prospecting and qualifying c Prospect a person who meets the qualifying criteria a You must do some further research learn as much as possible about customers and b You ll want to know which people in the company are most likely to buy or use it 2 Preapproach 3 Approach their wants and needs a You don t have a second chance to make a first impression b Approach is very important c An impression of friendly professionalism is a start to a business relationship 4 Make a Presentation a In your actual presentation of the software you ll match the benefits of your value package to the client s needs b Use testimonials showing potential buyers that they re joining leaders in other firms who are using the product 5 Answer Objections 6 Close the Sale purchase 7 Follow Up a Trial close a question or statement that moves the selling process toward the actual a The selling process isn t over until the order is approved and the customer is happy b Includes handling customer complaints making sure the customer s questions are answered and quickly supplying what the customer wants c Often customer service is as important as the sale to the product itself THE B2C SALES PROCESS Most sales to consumers takes place in retail stores Knowledge of the product comes first o Approach o Ask questions o Make presentation o Close sale o Follow up PUBLIC RELATIONS BUILDING RELATIONSHIPS Public relations the management function that evaluates the public attitudes changes policies and procedures in response to the public s requests and executes a program of action and information to earn public understanding and acceptance PUBLICITY Publicity any info about an individual product or organization that s distributed to the public through the media and tis not paid for by the seller Publicity has several further advantages over other promotional tools like advertising Publicity has several disadvantages as well marketers have no control over whether how and 4 Once a story has sun its not likely to be repeated advertising in contrast can be repeated as often when the media will use the
View Full Document
Unlocking...