Chapter 16 Revised

Promotional Planning
Part 4 Focusing on the Customer: Marketing Growth Strategies

PowerPoint Presentation by Charlie Cook The University of West Alabama
Copyright 2006 Thomson Business & Professional Publishing. All rights reserved.
Similarity of Personal and Small Business Communication Processes
(a) A Personal Communication Channel
(b) A Small Business Communication Channel
Source Parents XYZ Company "Buy my product"
Message
"We love you" E-mail message Personal visit to campus Flowers and a "care package" sent Receiver Daughter at college
Exhibit 16-1
Copyright 2006 Thomson Business & Professional Publishing. All rights reserved. 164
Channel Options
Newspaper advertisement Personal sales call Business gift
Customers
Promotional Communications
Promotional Mix
A blend of nonpersonal, personal, and special forms for communication techniques aimed at a target market Makeup of the mix is determined by:
Geographical nature of target market
Size of promotional budget Products characteristics
165
Determining the Promotional Budget

How much should a small business spend on promotion?
Allocating a percentage of sales
Deciding how much can be spared Spending as much as the competition
Determining what it takes to do the job
166
Personal Selling in the Small Firm

Personal Selling
A sales presentation (promotion) delivered in a oneon-one manner Requires:
Product knowledge
Well-prepared sales presentation

Ability to build good will
169
The Sales Presentation: Prospecting

Prospecting
A systematic process of continually looking for new customers
Prospecting Techniques
Personal referrals
Salesperson initiates customer contact through referral by another party known to the customer
Impersonal referrals
Information on potential new customers developed from public records and published sources
1611
The Sales Presentation: Prospecting

Prospecting Techniques (contd.)
Marketer-initiated contacts
Market surveys are used to identify prospects.
Customer-initiated contacts
Potential customers are identified through their contacts with the firm.
1612
Customer Goodwill and Relationship Selling

Relationship Selling
Building customer goodwill for future sales to satisfied customers through:
Maintaining a good personal appearance Having a pleasant personality Using professional etiquette in all customer contacts Understanding the customers point of view Maintaining high ethical standards in the customer relationship
1616
Advertising Practices for Small Firms

Advertising
The impersonal presentation of a business idea through mass media
Advertising Objectives
To sell by informing, persuading, and reminding To serve as a complement to product quality and efficient service To properly reflect changes in customer needs and preferences
1619
Types of Advertising
Product Advertising
The presentation of a business idea designed to make potential customers aware of a specific product or service and create a desire for it
Institutional Advertising
The presentation of information about a particular firm, designed to enhance the firms image
1620
Advantages and Disadvantages of Traditional Advertising Media
Medium
Newspapers
Advantages
Geographic selectivity and flexibility; short-term commitments; short lead time; immediacy; year-round readership Good reproduction; demographic and regional selectivity; relatively long life; high pass-along rate Low cost; immediacy; highly port able; short-term commitments; entertainment carryover Wide, diverse audience; creative opportunities for demonstration; immediacy; entertainment carry-over Repetition; moderate cost; flexibility; geographic selectivity
Disadvantages
Little demographic selectivity; limited color capabilities; low passalong rate; may be expensive
Magazines
Long-term commitments; slow audience buildup; long lead time
Radio
No visual treatment; short message life; commercial clutter
Television
Short message life; high campaign cost; long-term commitments; long lead times; commercial clutter Short message; lack of demographic selectivity; distracting noise levels
Exhibit 16.3
1623
Outdoor media
Source: Charles W. Lamb, Jr., Joseph F. Hair, Jr., and Carl McDaniel, Marketing (Cincinnati: South-Western, 2004), p. 505.
Web Advertising
Basic Web Promotions
Banner ads
Advertisements that appear across a Web page, often as moving rectangular strips
Pop-up ads
Advertisements that burst open on computer screens
E-mail promotion
Advertising delivered by means of electronic mail Spam: unsolicited e-mail
1624
Sales Promotional Tools

Sales Promotion
An inclusive term for any promotional techniques that are neither personal selling or advertising
Used in combination with personal selling and advertising
Specialties
Tangible and enduring functional items of worth distributed personally to recipients that serve as reminders of the firm
Pens, key chains, magnets, and clothing imprinted with the name, logo, or slogan of the firm
1628
Sales Promotion Tools (contd.)

Trade Show Exhibits
Provide hands-on experience with products Are less costly than personal selling
Making Trade Show Exhibits Effective

Check out the trade shows history. Prepare a professional-looking display. Have a sufficient quantity of literature on hand. Make sure you have a good product. Do pre-show promotion. Have a giveaway or gimmick. Train booth personnel. Follow up!

Publicity
Information about a firm and its products or services that appears as a news item, usually free of charge
Provides visibility for the firm Requires regular contacts with the news media
1630

When to Use Sales Promotion
For manufacturers
To stimulate channel membersretailers and wholesalersto market a firms products
For wholesalers
To induce retailers to buy inventories earlier than they normally would
For retailers
To persuade customers to make a purchase
Strategic Alliances and Sales Promotion

Joining with another firm to promote products by sharing marketing resources and customers

Chapter 16 Revised

Uploaded by

Document Information

Original Description:

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Chapter 16 Revised

Uploaded by

Copyright:

Available Formats

Promotional Planning

Part 4 Focusing on the Customer: Marketing Growth Strategies

Similarity of Personal and Small Business Communication Processes

(a) A Personal Communication Channel

(b) A Small Business Communication Channel

Source Parents XYZ Company "Buy my product"

Newspaper advertisement Personal sales call Business gift

Determining the Promotional Budget

Determining what it takes to do the job

Personal Selling in the Small Firm

Well-prepared sales presentation

The Sales Presentation: Prospecting

The Sales Presentation: Prospecting

Customer Goodwill and Relationship Selling

Advertising Practices for Small Firms

Advantages and Disadvantages of Traditional Advertising Media

Long-term commitments; slow audience buildup; long lead time

No visual treatment; short message life; commercial clutter

Sales Promotional Tools

Sales Promotion Tools (contd.)

Making Trade Show Exhibits Effective

Sales Promotion Tools (contd.)

Sales Promotion Tools (contd.)

Strategic Alliances and Sales Promotion

You might also like