Factors affecting promotion

Factors affecting promotion

Product Life Cycle

Affect on PromotionIntroduction – Promotion aimed at innovators and aims to promote product awarenessGrowth – Aimed at a broader target audienceMaturity – Emphasises differences to competitorsDecline - None

Competition• What sort of promotion are your

rivals doing

Marketing Budget• How much have you got to spend?

Marketing Strategy

• The rest of the 7P’s and how you are planning to use them

Target Audience• Different promotional methods will

work for different audiences

Promotion objectives•The five types of objectives for

promotional activities are:– •to provide information

– •to increase demand– •to differentiate the product

– •to accentuate the value of the product

– •to stabilize sales

Promotional Strategyshould address the following issues:

What is the goal of the promotion? What types of promotion should be used? What effect should the promotion have on

the customer? Which promotion is working?

Which promotion is not working? What are the costs of the promotion

compared to the benefits?

Some ideas to start you off• Sales promotions –

– direct incentive to buy products, such as an offer e.g.free cinema ticket

• Merchandising – – display equipment to communicate the benefits of a product and/or present the product

in a favourable way,

• Personal selling – – personal, face-to-face communication

• Exhibitions – Venues like Careers fairs

• Advertising –– through mass media, such as television, radio and newspapers.

• Public relations – – raising awareness through obtaining favourable publicity in the media. – E.g. arrange a launch event to get coverage in local newspapers

• Sponsorship –– e.g. football teams, allowing them to put the business name or logo on the kit and

giving them good publicity.