the promotion mix

The Promotion Mix

Presented By: Abel Rodriguez, Adriana Pacheco, Andy Hurtado,

ChyvonnePolines , and Sergio Silva

http://www.youtube.com/watch?v=ZUG9qYTJMsI

Understand what the promotion mix is Know what each promotion tool entails Relate to how companies utilize

promotion mix to communicate with market

Objectives

Also called marketing communications mix

Consists of specific blend of promotion tools

Companies use to communicate customer value and build customer relationships

The Promotion Mix

Advertising Sales Promotion Personal Selling Public Relations Direct Marketing

5 Major Promotional Tools

Advertising- Any paid form of non-personal presentation and promotion of ideas, goods, or services by an identified sponsor

Can include:

–Broadcasting

–Print

–The Internet

Advertising

Why is advertising important?

–Communicates a vivid and convincing message of value to customers

Advertising objective:

– Specific communication task, delivered to a specific audience at a specific time

Advertising

Informative Advertising:–Used when a company is attempting to introduce a new product to the market to make consumers aware of its existence

Persuasive Advertising–Used to convince customers to purchase a company’s product as opposed to the

competition’s

Reminder Advertising–Used as a reminder and to maintain

customer relationships

Types of Advertising

Advertising and the Consumer Decision Making Process

Informative Advertising

Persuasive Advertising

Reminder Advertising

Dollar Shave Club practices persuasive advertising

An advertising strategy is formed when a company creates an advertising message and picks advertising media.

–Message needs to ‘break through the clutter’

–Strategy behind the message is to use an image, phrase, or a combination of both

–Message execution is the tone, style, words, etc. the that company uses to attract interest and

attention from customers. There are many execution styles. “Our Blades Are Fu**ing Great”

Developing an Advertising Strategy

Selecting advertising media consists of:

–Reach, frequency, and impact

–Choose the major media types

–Pick specific media vehicles

–Media timing

Dollar Shave Club did not advertise at first

–Now advertise on television and the radio

–Chose specific channels to run at specific times

Developing an Advertising Strategy

It is difficult to evaluate how effective advertising is

Ways to determine:

–Evaluate sales and profits

–Evaluate communication effects

Dollar Shave Club saw that advertising on television helped raise $9.8 million

Evaluating

Trade Promotions are tools used to persuade resellers to carry a brand, provide it with shelf space, promote in advertising, and push it to customers.

Sales Promotions

Sales promotion tools used to generate business leads, create purchases, reward customers and motivate sales people.

Business Promotions

Short term drop in price or an incentive to motivate the purchase of a product or service.

Consumer Promotions Include- Coupons, Rebates, Samples, Price packs, Event Sponsorships, Point-of-purchase promotions, Contests, and Advertising specialties.

Not as effective at building relationships and brand preference.

Consumer Promotions

Involves personal interaction Includes sales presentations, trade shows, and

incentive programs

Most effective promotion tool at certain stages of buying process but most expensive for company

Requires longer-term commitment than advertising Size of sales force is harder to change

Personal Selling

Direct Marketing

Direct-response television (DRTV) marketing

Online marketing Viral marketing They are a click-only company They are B-to-C

Ways DSC Markets Directly

Definition Various Types of Public Relations:

Press Relations Product Publicity Public Affairs Lobbying Investor Relations Development

Public Relations

DSC’s Public Relations

Public Affairs

Abel: As a person who doesn’t like commercials, I learned to appreciate the advertising process.

Adriana: I learned about all of the tedious components that it takes for a marketer to simply say, “Buy my product!”

Andy: A company does not need to spend so much money on television advertisement to be successful.

Chyvonne: How distinct each element of the promotion mix is and how important each one can be in a different way.

Sergio: With creativity and pizzazz, a company can go ahead and compete with a big company like Gillette.

What We Learned

QUESTIONS?

Pyra, C. (March 10, 2014). COLON CANCER ALLIANCE TEAMS UP WITH DOLLARSHAVECLUB.COM TO WIPE OUT         COLON CANCER. Globenewswire. Retrieved from http://globenewswire.com/news-release/2014/03/10/617150/10071985/en/COLON-CANCER-ALLIANCE-TEAMS-UP-WITH-DOLLARSHAVECLUB-COM-TO-WIPE-OUT-COLON-CANCER.html

Del Rey, J. (October 8, 2013) Dollar Shave Club Lands 12 million Investment to Dramatically Expand Product Portfolio. All Things D. Retrieved from http://allthingsd.com/20131008/dollar-shave-club-nabs-12-million-to-dramatically-expand-product-portfolio-and-create-lifestyle-content/

Forte, D. (April 3, 2014) Dollar Shave Club Improves Mobile Conversions by 126%. MultiChannel Merchant. Retrieved from http://multichannelmerchant.com/marketing/dollar-shave-club-improves-mobile-conversions-126-03042014/

Kotler, P. (2014) Principles of Marketing. Pearson Education, Inc. Kaye, K. (2013).Why YouTube Darling Dollar Shave Club is Buying TV Ads. Retrieved

from http://adage.com/article/datadriven-marketing/youtube-darling-dollar-shave-club-buying-tv-ads/242783/

Puri, R. (2013). YouTube Legend Dollar Shave Club Says TV Isn’t Dead. Retrieved from http://contently.com/strategist/2013/06/27/youtube-legend-dollar-shave-club-says-tv-isnt-dead/

References