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Lamb, Hair, McDaniel
Chapter 15Chapter 15
Marketing Marketing CommunicationsCommunications
2014-2015
1 © Cengage Learning 2015. All Rights Reserved.
• Discuss the role of promotion in the marketing mix
• Describe the communication process • Explain the goal and tasks of promotion • Discuss the elements of the promotional mix• Discuss the AIDA concept and its relationship to
the promotional mix• Discuss the concept of integrated marketing
communications• Describe the factors that affect the promotional
mix
© 2015 by Cengage Learning Inc. All Rights Reserved. 2
© 2015 by Cengage Learning Inc. All Rights Reserved. 3
The Role of PromotionThe Role of Promotion
Promotional StrategyPromotional Strategy
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Exhibit 15.1Exhibit 15.1Role of Promotion in the Marketing MixRole of Promotion in the Marketing Mix
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Goals and Tasks of PromotionGoals and Tasks of Promotion
ConnectingConnecting
InformingInforming RemindingReminding
PersuadingPersuading
TargetAudienceTarget
Audience
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Goals of PromotionGoals of Promotion
The ultimate goal of promotion is to create competitive advantage. The tasks are as follows.•Informing: Increase awareness, Explain how product works, Suggest new uses, Build company image•Reminding: Remind customers about its need, Remind customers where to buy product, Maintain customer awareness•Persuading: Encourage brand switching, Change customers’ perceptions of product attributes, Influence immediate buying decision, Persuade customers to call•Connecting: Form relationships through social media, Encourage transparent information exchange, Customers become brand advocates
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Competitive AdvantageCompetitive Advantage
Unique featuresUnique features
Excellent serviceExcellent service
Low pricesLow prices
Rapid deliveryRapid delivery
High product qualityHigh product quality
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Exhibit 15.2Exhibit 15.2Communication ProcessCommunication Process
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Exhibit 15.1Exhibit 15.1Role of Promotion in the Marketing MixRole of Promotion in the Marketing Mix
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1
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AdvertisingAdvertising
Most commonly distributed by traditional media, though increasingly through non-traditional media, such as
Web sites, e-mail, blogs, and interactive video kiosks in malls and
supermarkets.
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Public RelationsPublic Relations
Evaluates public attitudes, identifies areas within the organization that public may be interested in, and executes a program to
earn public understanding.
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Sales PromotionSales Promotion
Marketing activities—other than personal selling, advertising, and public relations—that
stimulate consumer buying and dealer effectiveness.
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Personal SellingPersonal Selling
Planned presentation to one or more prospective buyers for the
purpose of making a sale.
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Social MediaSocial Media
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Promotion tools used to facilitate conversations among people online.
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Exhibit 15.3Digital Media Types
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Social Media is concentrated here, between owned and earned media, with some (but not much) paid media depending on the strategy.
Exhibit 15.4Exhibit 15.4Characteristics of the Elements in the Characteristics of the Elements in the Promotional MixPromotional Mix
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© 2015 by Cengage Learning Inc. All Rights Reserved. 17
The The AIDAAIDA Concept Concept
AttentionInterestDesireAction
AttentionInterestDesireAction
Model that outlines the process for
achieving promotional goals in
terms of stages of consumer
involvement with the message.5
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The AIDA ConceptThe AIDA Concept
Action
Desire
Interest
Attention Cognitive (thinking)
Affective (feeling)
Conative (doing)
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Exhibit 15.5Exhibit 15.5The Promotional Mix and AIDAThe Promotional Mix and AIDA
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Attention Interest Desire Action
Advertising
Public Relations
Sales Promotion
Personal Selling
Social Media
Very Effective Somewhat Effective Not Effective5
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Integrated Marketing Integrated Marketing CommunicationsCommunications
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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IMC Popularity GrowthIMC Popularity Growth
• Proliferation of thousands of media choices.
• Fragmentation of the mass market.
• Slash of advertising spending in favor of promotional techniques that generate immediate response.
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Factors Affecting the Choice of Promotional Mix
Nature of the productNature of the product
Stage in PLCStage in PLC
Target market characteristicsTarget market characteristics
Type of buying decisionType of buying decision
Promotion fundsPromotion funds
Push or pull strategyPush or pull strategy
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Exhibit 15.6Exhibit 15.6Product Life Cycle and the Promotional MixProduct Life Cycle and the Promotional Mix
Light Advertising; Pre-introductionpublicity
Advertising, PR, brandloyalty;personal selling fordistribution
Heavy Advertising;PR forawareness;sales promotionfor trial
Ads decrease;sales promotion;personal selling;reminder & persuasive
AD/PR decrease; limited sales promotion; personal selling for distribution
© 2015 by Cengage Learning Inc. All Rights Reserved. 23
© 2015 by Cengage Learning Inc. All Rights Reserved. 24
Goals and Tasks of Promotion
3ConnectingConnecting
InformingInforming RemindingReminding
PersuadingPersuading
TargetAudienceTarget
Audience
PLC StagesPLC Stages:Introduction Early Growth
PLC Stages:PLC Stages:Growth Maturity
PLC Stages:PLC Stages:Maturity
PLC StagesPLC Stages:All
Exhibit 15.7Exhibit 15.7Push Strategy versus Pull StrategyPush Strategy versus Pull Strategy
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Ch 15 Discussion Questions
1. What is Promotional Mix? Discuss the Elements of the Promotional Mix.
2. What is Promotional Mix? Explain goals and tasks of promotional mix in marketing.
3. Describe the Communication Process. Why a marketer should study the communication process?
4. Explain the AIDA concept/model and its relationship to the promotional mix.
5. Discuss the Factors Affecting the Choice of Promotional Mix.
6. Explain how the promotion changes at various stages of the Product Life Cycle.