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Factors That Affect The Promotion Mix

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Title: Factors That Affect The Promotion Mix


1
Promoting Products Using Interactive and
Integrated Marketing Communications
2
Change Promotion Mix
  • Definition- Promotion inform people
  • Promotion Mix
  • Integrated Marketing Communication (IMC)
  • Change
  • Technology
  • Build Relationships
  • Interactivity

3
Factors That Affect The Promotion Mix
  • Type of Product
  • Stage in the Product Life Cycle
  • Target Market Characteristics
  • Actions of Competitors
  • Available Funds

4
Objectives of Integrated Marketing
  • Build Brand Equity
  • Provide Information
  • Manage Demand Build Sales
  • Differentiate Products
  • Influence Perceptions, Attitudes, Buyer Behavior

5
Figure 16.3 Advertising Expenditure by Media
215 million total (1999)
6
Total Direct Advertising Expenditures
In billions
Source The Direct Marketing Association
7
Advertising Expenditures
1924 1 billion
1974 35 billion
1990 129 billion
1993 150 billion
1999 215 billion
2002 248 billion
448 billion worldwide
8
Newspapers
Advertising Media
1. _______________
Television
2. _______________
Ways and places to advertise
Radio
3. _______________
Magazines
4. _______________
Outdoor
5. _______________
Direct Mail
6. _______________
Yellow Pages
7. _______________
Internet
8. _______________
9
What might be the best advertising media for
(and where have you seen them?) -A rock concert
at an outdoor theater -Sales at the Mall
-Products aimed specifically at women -Product
aimed specifically at men -A local news
show -Long distance telephone service -Credit
cards -Computer software -A storage case for CDs
and tapes for the car -Classes at CVCC
10
Advertising Today
  • Persuasive Communication
  • Infomercials
  • Internet
  • Global Advertising

11
Centurys Top Ad Jingles
  • You deserve a break today
  • Be all you can be
  • Pepsi-Cola hits the spot
  • Mm Mm good!
  • See the USA in your Chevrolet
  • I wish I were an Oscar Mayer wiener
  • Double your pleasure, double your fun
  • Winston tastes good like a cigarette should
  • Its the real thing
  • A little dabll do ya

Source Advertising Age
12
Favorite Budweiser Advertising Slogans
When you know your beer its bound to be Bud
Foods Favorite Companion
Proud to be your Bud
Americas Social Companion
When you say Budweiser, youve said it all
It lives with good taste everywhere
King of Bottled Beers
1937
1943
1947
1953
1971
1993
1899
13
Do Blatantly Sexy Ads Turn You Off?
Source USA Today
14
Amount Spent On...
Internet Advertising 1.92 Billion
Outdoor Advertising 1.58 Billion
Source CIO Web Business, 1/1/1999
15
2002 Amount U.S. Spent On...
Internet Advertising 5.74 Billion
Outdoor Advertising 2.40 Billion
Source AdAge.com
16
Top Online Advertising Industries
Source Nielsen/NetRating, 2002
17
Future Internet Advertising
  • Will reach 22 billion in the U.S.
  • The rest of world will spend 10.8 billion.
  • 27 billion (10 of all U.S. ad spending) will be
    siphoned from traditional media
  • Hardest hit newspapers and direct mail

Source CIO Web Business, 10/1/1999
18
Steps in Personal Selling
Presentation
Prospect/Qualify
Objections
Preapproach
Close
Approach
Follow-up
19
Public Relations
  • Steps
  • Listen to the public
  • Change policies and procedures
  • Inform people you are being responsive
  • Publicity
  • Free (if interesting)
  • More Effective Than Ads
  • Believable (as news)
  • - No Control over use
  • - No Repetition likely

20
Sales Promotion
Stimulating consumers and dealers
  • Internal - salespeople
  • External outside the company
  • Sampling free trials
  • Word-Of-Mouth
  • Viral Marketing/Swag
  • Testimonials
  • Technology consumer data collection

21
Tips on Issuing Coupons
  • Coupons can be used as a Thank you for buying
    or a Stop and try us.
  • The value must be enough to attract customers.
  • Use coupon promotions sparingly.
  • Get professional help to get maximum exposure.
  • Color-code your coupons for different groups that
    use them.

22
Top Celebrity Endorsers
  • Celebrity
  • Candice Bergen
  • Bill Cosby
  • Kathi Lee Gifford
  • Cindy Crawford
  • Jerry Seinfield
  • Cybil Shepherd
  • Product(s)
  • Sprint
  • Jell-O
  • Carnival Cruise Lines
  • Revlon, Pepsi
  • American Express
  • LOreal

23
Top Sports Endorsers
  • Athlete
  • Michael Jordan
  • Tiger Woods
  • Arnold Palmer
  • Andre Agassi
  • Endorsements
  • 47.0 Million
  • 24.0 Million
  • 16.0 Million
  • 14.0 Million

Source Fortune Magazine
24
Promotional Strategies
Push Strategy
Promotion
Customer
Distribution
Promotion
Retail Store
Pull Strategy
consumers see and buy
consumers request
25
Building IMC
Integrated Marketing Communication
  • Gather Data Maintain Database
  • Respond Quickly To Adjust Policies Procedures

IMC
  • Provide Accessible Information
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