Promotion –
Introduction to
Integrated Marketing
Communications
Several Promotion Methods Are Available
Personal
Personal Selling
Selling
Mass Selling
PROMOTION
METHODS
Advertising Publicity
Sales Promotion
Sales Promotion Tries to Spark Immediate Interest
Plan, Integrate & Manage the Promotion Blend
Advertising
Sales Managers
Managers
Integrated
Marketing
Communications
Marketing Sales Promotion
Mangers Managers
Promotion Objectives
Informing
Persuading
Reminding
Adoption Process & AIDA Mode
Promotion Adoption AIDA Model
Objectives Process
Awareness Attention
Informing { Interest Interest
Evaluation
Persuading Trial } Desire
Decision
Reminding Confirmation } Action
Promotion Requires Effective Communication
Frame of Reference
The Message Channel & Noise
Integrated Direct-Response Promotion
More Than
Direct Mail
Target Directly
With a Database
Ethical Concerns
Communication Process
How Typical Promotion Plans Are Blended & Integrated
Pulling –
Demand Pulls the Product through the Channel
Adoption Processes Can Guide
Promotion Planning
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”
Setting the Promotion Budget
Percentage of Sales
Matching the Competition
Budgeting by Sales Unit
Budgeting from
Uncommitted Resources
Task Method
CHAPTER FIFTEEN
Personal Selling and
Customer Service
For use only with
Perreault/Cannon/McCarthy
or Perreault/McCarthy texts.
© 2008 McGraw-Hill
Companies, Inc.
McGraw-Hill/Irwin
The Importance and Role of Personal Selling
Requires
Requires strategy
strategy Helping to buy
decisions
decisions is good selling
Personal
Selling
Salespeople Is Salespeople
can be strategy Important represent
planners whole company
Sales
Sales force
force
provides
provides market
market
information
information
What Kinds of Personal Selling Are Needed?
Order- Order-
Getting Taking
Basic
Sales Tasks
Supporting
Order Getters Develop New Business Relationships
Order Getters and
Order-Getting
Producers’ Order Getters
Find New Opportunities
Wholesalers’ Order Getters
Work Closely with Retailers
Retail Order Getters
Influence Buyer Behavior
Order Takers Nurture Relationships to Keep the
Business Coming
Order Takers and
Order-Taking
Producers’ Order Takers
Train, Explain & Collaborate
Wholesalers’ Order Takers
Don’t Get Orders
But Keep Them
Retail Order Takers Are
Often Poor Sales Clerks
Supporting Sales Force Informs and Promotes in
the Channel
Missionary Technical
Salespeople Specialists
Supporting
Sales
Tasks
Customer
Service Reps
Customer Service Promotes the Next Purchase
Solves problems Technical
Part of promotion
after a purchase Specialists
What
is
Customer
Service?
Reps are
customer
advocates
The Right Structure Helps Assign Responsibility
Different
Markets,
Different
Tasks
Major
Team Selling Accounts
Sales Force
Sales Force
Size and Telemarketing
Workload
Sales Territories
Sometimes Technology Can Substitute for Personal
Selling (Exhibit 15-2)
Information Technology Provides Tools to Do the
Job
New
Software
Great Changes New
in Handling
Tasks Hardware
Good Selection Technology
and Training Can Be a
Needed Competitive
Advantage
What is Done vs.
How It’s Done
Training to Meet a Job Description
Specific, Written Job
Description
Trained, Not Born
All Salespeople Need
Training
Compensating and Motivating Salespeople
Level of Method of
Compensation Payment
Straight Combination
Straight Salary
Commission Plan
Flexibility vs. Simplicity (Exhibit 15-3)
Three Types of Sales Presentation Approaches May
Be Useful
Three
Presentation
Approaches
Prepared Consultative Selling Formula
Approach Approach Approach
Personal Selling Techniques – Closing and
Follow-Up (Exhibit 15-4)
Advertising and
Sales Promotion
Setting Ad Objectives Is a Strategy Decision
Position Brands
Introduce New Products
Obtain Outlets
Ongoing Contact
Advertising
Support Sales Force
Objectives
Should be Get Immediate Action
Specific
Maintain Relationships
Objectives Guide Implementation
Objectives Determine the Kinds of Advertising
Types of
Advertising
Institutional Product
Advertising Advertising
Pioneering Competitive Reminder
Advertising Advertising Advertising
Direct Indirect Comparative
Institutional Advertising – Remember Our Name
Connects Divisions of
a Company
Sheds Favorable
Light
Advocates Causes
and Ideas
Coordinating Advertising Efforts with Cooperative
Relationships
Vertical Advertising
Cooperation Allowances
Key
Issues
Cooperative
Ethical Concerns
Advertising
Integrated
Communications
Choosing the “Best” Medium – How To Deliver the
Message
Promotion Objectives
Target Market
Characteristics
Funds Available
Nature of the Media
An Emphasis on Targeting
Traditional
Direct Mail Has
Media Are More
Grown
Focused
Key
Issues
“Must Buys” Specialized
May Use Up Media Are
Funds Gaining
Advertising on the Internet
Direct
Taking Hold Response Some Sites
with Desired Offer Better
Advertisers Targeting
Need to Search Ads
Maintain
Key Match
Interest Issues Consumer
Keywords
Pay for
Pay for Behavioral
Performance
Performance Targeting
AIDA – Attention, Interest, Desire and Action
Get Attention
Hold Interest
Arouse Desire
Obtain Action
Can Global Messages Work?
Measuring Advertising Effectiveness is Not Easy
Consider the
Total Mix
Research and Testing
May Improve Odds
Hindsight May Lead
to Foresight
How to Avoid Unfair Advertising
Government
FTC Controls
May Say
Unfair Practices
What’s Fair
Support for Standards
Claims Is Fuzzy Are Changing
Sales Promotion: Do Something Different to
Stimulate Change (Exhibit 16-8b)
Problems in Managing Sales Promotion
Erodes Need
Brand For
Loyalty Alternatives
Key
Problems
Not
For Hard to
Amateurs Manage
Different Types of Sales Promotion for Different
Targets