Integrated Marketing Communications: The Promotional Mix

Kurt Komaromi

Sales +

Sales

Promotion

Graphics courtesy Thomson South-Western

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Learning Objectives

• Review elements of the promotional mix

• Understand promotional goals

• Review the key factors influencing the

promotional mix

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PIntegrated Marketing

Communications

IntegratedMarketing

Communications

The careful coordination of all

promotional messages to assure

the consistency of messages at

every contact point where a

company meets the consumer.

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PIntegrated Marketing Communications

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The Role of Promotion

Communication by

marketers that informs,

persuades, and reminds

potential buyers of a product

in order to influence an

opinion or elicit a response.

Promotion

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The Role of Promotion

A plan for the optimal

use of the elements of

promotion:

! Advertising

! Public Relations

! Sales Promotion

! Personal Selling

Promotional

Strategy

Competitive

Advantage

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The Role of Promotion in the Marketing Mix

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Competitive Advantage

Unique features

Excellent service

Low prices

Rapid delivery

High product quality

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PPromotional Mix

Advertising

Public Relations

Sales Promotion

Personal Selling

Advertising

Mass communication sponsored by organizations to promote products and services

Advertising

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Advertising Media

Traditional Advertising Media

! Television

! Radio

! Newspapers

! Magazines

! Books

! Direct mail

! Billboards

! Transit cards

NewAdvertising

Media

! Internet

! Banner ads

! Viral marketing

! E- mail

! Interactive video

Public Relations

The management of communication to influence opinion and build relationships between an organization and its publics.

Public

Relations

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Public Relations Goals

! Maintain a positive image! Educate the public about the company’s

objectives! Introduce new products! Support the sales effort

! Generate favorable publicity

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Sales

Promotion

Sales Promotion

Short-term incentives

that stimulate sales and

consumer demand.

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PSales Promotion

EndConsumers

Trade Customers

CompanyEmployees

Free samples

Contests

Premiums

Trade Shows

Vacation Giveaways

Coupons

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Personal Selling

Personal

SellingSelling that involves direct communication and interaction between a salesperson and a customer

Personal Selling

Traditional Selling

Strategic Selling

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PGoals of Promotion

Informing Reminding

Persuading

TargetAudience

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AttentionGain attention of target market

InterestCreate interest in the product

DesireConsumer desires to purchase the product

ActionConsumer purchases the product

AIDA ConceptS

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AIDA & Promotional MixAttention Interest Desire Action

Advertising

PublicRelations

SalesPromotion

PersonalSelling

Veryeffective

Somewhateffective

Noteffective

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PFactors Affecting the

Choice of Promotional Mix

Nature of the product

Stage in PLC

Target market factors

Type of buying decision

Promotion funds

Push or pull strategy

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Type of Product

AdvertisingPublic

RelationsSales

PromotionPersonal Selling

Business

Consumer

Primary strategy

Secondary strategy

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PProduct Life Cycle

Heavy use of Advertising;

PR forawareness;

sales promotion

for trial

AD/PRdecrease;

limited sales

promotion; personal

selling fordistribution

Advertising, PR, brand

loyalty;personal

selling fordistribution

Introduction Growth

Maturity

Decline

Sa

les

($

)

Time

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Target Market Characteristics

For…

! Widely scattered market

! Informed buyers

! Brand-loyal repeat purchasers

Advertising

Sales Promotion

Less Personal Selling

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Type of Buying Decision

Advertising

Sales PromotionType of

Buying DecisionAffects

Promotional Mix Choice

Complex

Routine

Personal Selling

Not Routineor Complex

Advertising

Public Relations

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Available Funds

• Budget drives options

• Quality is key consideration

• Size of target market

• Best bang for buck