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PROMOTION

Written by: Krystin Glover

Georgia CTAE Resource Network 2010

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Promotion

Communication by marketers

that informs, persuades, and

reminds potential buyers of a

product in order to influence an

opinion or elicit a response.

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Promotional Mix

Combination of promotion tools

used to reach the target market

and fulfill

the organization’s

overall goals.

Advertising

Public Relations

Sales Promotion

Personal Selling

Word-of-Mouth

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Advertising

Impersonal, one-way

mass communication

about a product or organization

that is

paid for by a marketer.

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Advertising Media

Traditional Advertising Media

Traditional Advertising Media

ElectronicAdvertising Media

ElectronicAdvertising Media

Television Radio Newspapers Magazines Books Direct mail Billboards

Internet Electronic mail Interactive video

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Advertising

Advantages

Reach large number of people

Low cost per contact

Disadvantages

Total cost is high

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Public Relations

Public information about a

company, good, or service

appearing in the mass media as a

news item, which is free to the

company.

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Public Relations

Advantages Publicity is free;

advertising is not Can be used to create

a positive image within the community

Viewed as being more credible or believable than advertising

Disadvantages

Give up much of your control of your message

Not all publicity is positive

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Sales Promotion Free samplesFree samples

ContestsContests

Trade ShowsTrade Shows

Vacation GiveawaysVacation Giveaways

CouponsCoupons

Popular Toolsfor

Consumer SalesPromotion

Popular Toolsfor

Consumer SalesPromotion

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Sales Promotion

Advantages Unique and has special

appeal to a potential customer

Helps build customer loyalty

Disadvantages Difficult to end without

the customers becoming dissatisfied

Store image and sales can suffer if the promotion is not properly planned and managed

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Personal Selling

Planned presentation to

one or more prospective buyers

for the purpose

of making a sale.

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Personal Selling

Advantages

Person contact with customer

Can track success

Disadvantages

On a per contact basis, personal selling is the most expensive form of promotion

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Characteristics of Advertising

Communication Mode Communication Mode

Communication ControlCommunication Control

Feedback AmountFeedback Amount

Feedback SpeedFeedback Speed

Message Flow DirectionMessage Flow Direction

Message Content ControlMessage Content Control

Sponsor IdentificationSponsor Identification

Reaching Large Audience Reaching Large Audience

Message FlexibilityMessage Flexibility

AdvertisingAdvertising

Indirect and non-personal Indirect and non-personal

LowLow

LittleLittle

DelayedDelayed

One-wayOne-way

YesYes

YesYes

Fast Fast

Same message to all audiencesSame message to all audiences

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Characteristics of Public Relations

Communication Mode Communication Mode

Communication ControlCommunication Control

Feedback AmountFeedback Amount

Feedback SpeedFeedback Speed

Message Flow DirectionMessage Flow Direction

Message Content ControlMessage Content Control

Sponsor IdentificationSponsor Identification

Reaching Large Audience Reaching Large Audience

Message FlexibilityMessage Flexibility

Public RelationsPublic Relations

Usually indirect, non-personal Usually indirect, non-personal

Moderate to lowModerate to low

LittleLittle

DelayedDelayed

One-wayOne-way

NoNo

NoNo

Usually fast Usually fast

Usually no direct controlUsually no direct control

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Characteristics of Sales promotion

Communication Mode Communication Mode

Communication ControlCommunication Control

Feedback AmountFeedback Amount

Feedback SpeedFeedback Speed

Message Flow DirectionMessage Flow Direction

Message Content ControlMessage Content Control

Sponsor IdentificationSponsor Identification

Reaching Large Audience Reaching Large Audience

Message FlexibilityMessage Flexibility

Sales PromotionSales Promotion

Usually indirect and non-personal Usually indirect and non-personal

Moderate to lowModerate to low

Little to moderateLittle to moderate

VariesVaries

Mostly one-wayMostly one-way

YesYes

YesYes

Fast Fast

Same message to varied targetSame message to varied target

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Characteristics of Personal Selling

Communication Mode Communication Mode

Communication ControlCommunication Control

Feedback AmountFeedback Amount

Feedback SpeedFeedback Speed

Message Flow DirectionMessage Flow Direction

Message Content ControlMessage Content Control

Sponsor IdentificationSponsor Identification

Reaching Large Audience Reaching Large Audience

Message FlexibilityMessage Flexibility

Personal SellingPersonal Selling

Direct and face-to-face Direct and face-to-face

HighHigh

MuchMuch

ImmediateImmediate

Two-wayTwo-way

YesYes

YesYes

Slow Slow

Tailored to prospectTailored to prospect

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Goals and Tasks of Promotion

InformingInforming RemindingReminding

PersuadingPersuading

TargetAudience

TargetAudience

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Promotion (con’t)

Examples include: • web sites • autograph sessions• fan festivals • t-shirts give-aways

Promotion (con’t)

Stadiums event promotions are designed to:• facilitate fan participation.• create a cheerful atmosphere.

The most common types of events promotions include:

1. In-stadium promotions which occur inside stadiums or arenas.

For example: • lucky seats giveaways• mascot races• football tosses• backstage access at concerts

The most common types of events promotions include:

2. Walk-in promotions which are received as fans walk inside stadiums and arenas.

For example: • T-shirts, hats, visors.• foam hands, pennants, can holders.

Differentiate between institutional and product promotion.Institutional promotion, also referredto as organizational advertising, isdesigned to: • create a positive image.• establish and maintain goodwill.• may result in an increase in sales of

the good or service.

Institutional Promotion

Examples include:• NBA Read to Achieve Program • Nike and Reebok basketball camps• Camp Mariah (Mariah Carey)• Daddy’s House (P. Diddy)

Differentiate between institutional and product promotionProduct promotion, also referred toas product advertising, is designedto:• simulate sales of a business,

organization, or celebrity’s good or service.

• launch new products.

Product Promotion

Examples include:• pre-album release listening parties. • a musician promoting release of new

single.• Coca-Cola setting up pre-concert

promotion booths providing samples of Vanilla Coke.