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Dr. Inas A.Hamid Public Relations Advertising Packaging Word Of mouth Sponsorship Consumer audiences Exhibitions Channel Audiences Branding All Stakeholders Audiences Internal Marketing Personal Selling Websites Branding Sales Promotion Primary and secondary tools The choice of primary promotion tool can also be influenced by the stage of the product life cycle (PLC). 1. Introduction At this stage, the primary need is to secure trade acceptance and then build public awareness. 2. Growth During growth, promotional activity is used competitively to build market share. Customers are normally willing to buy, having been made aware, but their problem becomes one of brand choice. Marketing communications should therefore be used to differentiate and clearly position product such that it represents significant value for the customer. 3. Maturity The primarily characteristic of this stage is that there is little or no growth. The battle therefore is to retain customers’ loyalty, and to do these sales promotions are often used, to encourage trial by non-users of a brand and as a reward for current users. 4. Decline As sales start to decline it is normal practice to withdraw a great deal of promotion support. Direct marketing and a little well targeted advertising to remind and reassure brand loyal is the most commonly used. The Communication Mix 1- Advertising Appeals and Execution Styles Advertising appeals refers to the approach used to attract the attention of consumers and / or to influence their feelings toward the product, service, or cause. The way a particular appeal is turned into an advertising message presented to the consumer is called creative execution. Appeals Informational / Rational Appeals emphasize features of a product or service and / or the benefits or reasons for owning or using a particular brand. The content of these messages emphasizes facts, learning, and the logic of persuasion. Emotional Appeals Relates to the customers, social and / or psychological needs for purchasing a product or service. Ads using safety, security, fear, love, affection, happiness, joy, excitement and other appeals that can affect the emotions of consumers and put them in a favorable frame of mind. BMW uses a comparative appeal BMW uses a news appeal A Kelogg serial uses a feature appeal Volvo car advertising uses an emotional appeal (love & safety), whereby it is using the “ Who would you give a Volvo to?” theme to enhance consumer’s attachment to the brand, and make the experience of using the product warmer. 2-Sales promotion Sales promotion: a range of tactical marketing techniques, to add extra value or incentive to a product or service, in order to achieve a specific sales and marketing objective, such as price cuts, coupons, loyalty programs, competitions, free samples, etc. Sales promotion involves some type of inducement that provides an “extra incentive” to buy, it may be a coupon or price reduction, or an extra amount of a product or a free sample of the product . Sales promotion can be targeted to different parties in the marketing channel, for example it can be broken into two major categories: consumer-oriented and trade-oriented promotions. shows a premium offer is used to provide extra incentive to purchase a product. Advantages Obtaining trial and purchase: One of the most important uses of sales promotion techniques is to encourage consumers to try a new product or service. Also to encourage people who try the brand to repurchase it. Increasing consumption of an established brand to attract nonusers of the product category or users of a competing brand. Defending current customers to retain its current customer base. Targeting a specific market segment. For example, clothing and school supply companies targeting children and teens run promotions in late summer when most of the back-to-school shopping occurs. Disadvantages. When the extra promotional incentive is not available, they switch to another brand. If the promotion is successful and leads to a differential advantage, competitors may quickly copy it. 3-Personal Selling Personal selling involves selling through a person-to-person communications process through persuasion. messages flow from a sender to a receiver directly. This direct communication lets the sender immediately receive and evaluate feedback from the receiver. This communication process, known as dynamic communication (between two people or groups), allows for more specific tailoring of the message and more personal communications than do many of the other media discussed. The message can be changed to address the receiver’s specific needs and wants. To promote the company’s products or services, the salesperson must understand the client’s specific needs. The use of personal selling varies from firm to firm depending on a variety of factors, including : the nature of the product or service size of the organization. type of industry. Personal selling often plays the dominant role in industrial firms. Determining the role of Personal Selling Management should be guided by the following when using this activity: Determining the information to be exchange and this need knowing the objectives of the PS (increasing awareness or trial,…. Examining promotional mix alternatives. Personal selling offers advantages in some situations but is less appropriate in others. Determining cost-effectiveness. One of the major disadvantages of personal selling is the cost involved. In industrial settings , a single purchase can be worth millions of dollars, the same cost may be unfeasible in a consumer market (FMP). Advantages Allowing for two-way interaction. Tailoring of the message, the sender address the consumer’s specific concerns, problems, and needs. The sales rep can also determine when to move on to the next selling point, ask for the sale, or close the deal. Lack of distraction. the buyer is generally paying close attention to the sales message. Involvement in the decision process. Through consultative selling and relationship marketing, the seller becomes more of a partner in the buying decision process Source of searching information. the sales force can be the ‘eyes and ears’ of the firm. Sales reps can collect information on competitors’ products and services, promotions, pricing, and so on. In addition, they can learn about the buying needs and wants of customers and potential customers. Technical details can be given to the customer, and the product can be demonstrated if necessary. Disadvantages Inconsistent messages. The lack of standardized messages can become a disadvantage. High cost. Poor reach. Potential ethical problems. Sellers may say and do things they know are not entirely ethical or in the best interest of the firm in order to get a sale. Relationship marketing The modern sales person is attempting to establish a long-term, symbiotic relationship with clients, working with them as a solutions provider. Relationship marketing is defined as an organization’s effort to develop a long-term, costeffective link with individual customers for mutual benefit. The sales department works with marketing to use techniques like database marketing, message differentiation to different target markets, and tracking of promotional effects to improve the relationship. Relationship building also requires trust, if the customer does not trust the salesperson, there is no relationship and the sale will focus only on price. 4- Public Relations In traditional perspective, PR is viewed as a non-marketing function whose primary responsibility is to maintain mutually beneficial relationships between the organization and its publics. Now, the new role of PR is considered primarily a marketing communications function. Public relations consist of all the communications a company instigates with its audiences or stakeholders. Activities that the PR practitioner may carry out at some time. Counseling based on an understanding of human behavior Analyzing future trends and predicting their consequences Research into public opinion, attitudes and expectations and advising on action Establishing and maintaining two-way communication Preventing conflict and misunderstandings Promoting mutual respect and social responsibility Harmonizing the private and public interest Promoting goodwill with staff, suppliers and customers Attracting good personnel and reducing labor turnover. Integrating PR into the promotional mix Some researches have referred to PR activities designed to support marketing objectives as marketing public relations (MPR) functions. Advantages: Credibility. Publics do not realize the organization either directly or indirectly paid for them- they tend to have more credibility. For example, an article in newspapers or magazines discussing the virtues of aspirin may be perceived as much more credible than an ad for a particular brand of aspirin. Cost. The cost of PR is low. Avoidance of clutter. Because they are typically perceived as news items, PR messages are not subject to the clutter of ads. Ability to reach specific groups. Because some products appeal to only small market segments, it is not feasible to engage in advertising and / or promotions to reach them. If the firm does not have the financial capabilities to engage in promotional expenditures, the best way to communicate to these groups is through public relations. Image building. Effective PR helps to develop a positive image for the organization. Disadvantages The receiver may not make the connection to the source. Many firms, PR efforts are never associated with their sponsors in the public mind. a lack of coordination with the marketing department. 4- Point-of-purchase Are communications at the point of purchase or point of sales. It includes several communications tools such as displays, advertising within the shop, store layout, etc. 5- Exhibitions and trade fairs Are of great importance for contacting prospects, users and purchasers.