Business battle fiercely, making an enormous variety of products tomeet different customers 'needs. In many businesses, promotion is the keyto a new product success. Promotion is any technique designed to sell aproduct to a customer. To sell a product, promotional techniques mustcommunicate the uses, features, & benefits of the product. Here we willlook at different reasons for & approaches to promotion, When & whycompanies use particular tools & strategies, & the special promotionalproblems & solutions of small business.
Promotional Objectives, Strategies, & Tolls
In developing a promotional plan, marketers must consider thecompany's basic promotional objectives. They must develop promotionalstrategies to reach those objectives. Then, as a part of their strategies,they must choose among various promotional tools that may be used alone orin combination
Promotional Objectives
You may think that the ultimate objective of any type of promotion isto increase sales. You're right. After all, the goal of any business is tomake money, & companies make money by making sales. However, marketers alsouse promotion to communicate information, position products, & controlsales volume.
Communication of Information.
A very basic objective of promotion is to communicate informationfrom one person or organization to another. Consumers cannot buy a productunless they have been informed about it.
Information may advise customers about the availability of a product.
It may educate them on the latest technological advances. Or it mayannounce the candidacy of someone running for a government office.
Information may be communicated in writing (newspapers & magazines)
It may be communicated verbally (in person or over the telephone) Or it maybe communicated visually (television, a match book cover, or a billboard).
Today, the communication of information regarding a company's products orservices is so important that markets try to place it wherever consumersmay be.
Product Positioning.
Another objective of promotion, Product Positioning, is to establishan easilyidentifiable image of a product in the minds of consumers. For example, byselling only in
department stores, Lauder products have positioned themselves as moreupscale than cosmetics sold in drugstores. Given all the brands &trademarks in the marketplace, it is impossible for an individual toremember each one. Therefore, marketers seek a unique position in buyer'sminds.
Positioning a product is difficult because the company is trying toappeal to a specific segment of the market rather than to the market as awhole. First, the company must identify which segments of a market couldwould be likely purchasers of its product & who is competitors are. Onlythen can it focus its promotional strategy on differentiating its productfrom the competition's, while appealing to its target audience.
Controlling Sales Volume.
Another objective of promotions is sales volume control. Manycompanies such as Hallmark Cards, experience seasonal sales patterns. Byincreasing its promotional activities in slow periods, the firm can achievea more stable sales volume throughout the year. As a result, it can keepits production & distribution systems running evenly. Promotions can eventurn slow seasons into peak sales periods. For example, greeting cardcompanies & florists together have done much to create Grandparents 'day.The result has been increased consumer desire to send cards & flowersto older relatives in the middle of what was a dry for these industries.
Promotional Strategies
Once a firm's promotional objectives are clear, it must develop apromotional strategy to achieve these objectives. Promotional strategiesmay be of the push or pull variety. A company with a Push strategy willaggressively push its product through wholesalers & retailers, who persuadecustomers to buy it. In contrast, a company with Pull strategy appealsdirectly to customers who demand the product from retailers, who in turndemand the product from wholesalers.
Makers from industrial products most often use a Push strategy Andmakers of consumer products most often use a Pull strategy. Many largefirms use a combination of the two strategies. For example, General Foodsuses advertising to create consumer demand (pull) for its cereals. It alsopushes wholesalers & retailers to stoke these products. Once thepromotional strategy has been determined, it guides the company's choice ofpromotional objectives & the types of promotional communicational toolsthat will be used.
Picking the Right Tools for the Promotional Mix
Based on these strategies, the firm must select the right promotionaltools. There are four basis types of promotional tools: Advertising,
Personal selling, Sales promotions, & Publicity & Public relations.
The best combination of these tools-the best promotional mix --depends on manyfactors. The company's product, the costs of different tools versus thepromotional budget, & characteristics in the target audience all play arole.
The product. The nature of the product being promoted affect the mixgreatly. For example, advertising can reach a large number of widelydispersed consumers. Thus it is used by makers of products that might bepurchased by anyone, like sunglasses, radios & snack foods. Companiesintroducing new products also favor advertising because it reaches a largenumber of people very quickly & can repeat a message many times. Personalselling, on the other hand, is important when the product appeals to a veryspecific audience, such as piping or pressure gauges for industrialaccounts.
Cost of the Tolls. The cost of communication tools is also important.
Because personal selling is an expensive communicational tool, it is mostappropriate in marketing high-priced goods like computers for industrialcustomers & homes for consumers. In contrast, advertising reaches morecustomers per dollar spent.
A promotional mix that is good for one company is not really good foranother. For example, Frito-Lay can afford to spend millions of dollars onadvertising & consumer promotions to promote Ruffles Cajun Spice potatochips nationally. But Zapps Potato Chips of Gramercy, Louisiana, theinnovator in Cajun flavor potato chips, must rely on personal selling &publicity to promote its Cajun Craw-taters locally.
Promotion & the Buyer Decision Process. Another consideration inestablishing the promotional mix is the stage of the buyer decision processthat customers are in. Customers must first recognize the need to make apurchase. At these stage marketers need to make sure the buyer is awarethat their products exist. Thus, advertising & publicity, which can reach alarge number of people very quickly, are very important.
At the next stage, customers want to learn more about possibleproducts. Advertising & personal selling are important because they bothcan be used to educate the customer about the product.
During the third stage, customers will evaluate & compare competingproducts. Personal selling is vital at this point because salesrepresentatives can demonstrate their product's quality & performance indirect relation to the competition's product.
Next, customers decide ton a specific product & purchase it. Salespromotion is effective at these stage because it can give consumers anincentive to buy. Personal selling can also help by bringing the product toconvenient location for the consumer.
Finally, consumers evaluate the product after buying it. Advertising,or even personal selling, is sometimes used after the sale to remindconsumers that they made wise & prudent purchases.
Advertising Promotions
Advertising Strategies
Advertising strategies most often depend on which stage of theproduct life cycle their product is in. During the introduction stage,
Informative Advertising can help develop an awareness of the company & itsproduct among buyers & can establish a primary demand for the product. Forexample, when a new textbook is being published, instructors receive direct -mail advertisements notifying them of the book's contents & availability.
As products become established, advertising stages must change.
During the growth stage, Persuasive Advertising can influence customers tobuy the company's products, not those of its rivals. For example, duringits growth stage, Advil used this approach to attract buyers of Tylenol &other pain relievers. Persuasive advertising is also important during thematurity stage to maintain the product's level of sales. In addition,
Comparative Advertising may help to steal sales away from the competition.
After proclaiming that «most people in Ford country drive Chevy pickups»,the ad then discusses specific features of the two brands, in a classicexample of the comparison approach.
Finally, during the latter part of the maturity stage and all of thedecline stage, Reminder Advertising keeps the product's name on the tip ofthe consumer's lips. And so Atari continues to advertise its home videogames, even though attention has shifted over to a newer competitor,
Nintendo.
Whatever the product's life cycle stage, advertising strategies mustconsider timing. Should the organization advertise throughout the year on acontinual basis, or seasonally? Companies such as commercial banks spaceads evenly throughout a year.
Advertising Media
In developing advertising strategies, marketers must also considerthe best
Advertising Medium for their message. IBM, for example, usestelevision ads to keep its name fresh in consumers 'minds. But it usesnewspaper & magazine ads to educate consumers on the product's abilities &trade publication to introduce new software. Each advertising medium hasits own advantages & disadvantages.
Newspapers. Newspapers are the most widely used advertising medium,accounting for about 27% of all advertising expenditures. Newspapers offerexcellent coverage, since each local market has at least the dailynewspaper & many people read the paper ever day (Like you are). This mediumoffers flexible, rapid coverage, since ads can change from day to day. Italso offers believable coverage, since ads are presented side-by-side withnews. However, newspapers are generally thrown out after one day, oftencannot print in color, & have poor reproduction quality. Moreovernewspapers don't usually allow advertisers to target their audience verywell.
Television. Television accounts for about 22% of all advertisingexpenditures. In addition to the major networks, cable television isbecoming a major advertising medium. Cable ad revenues have increased from
$ 58million in1980 to $ 1.4billion in1988, & are projected to be over
$ 2billion by1990.
Television allows advertisers to combine sight, sound, & motion, thusappealing to almost all the viewer's senses. National advertising is doneon television because it reaches more people than any other medium.
One disadvantage of television is that there are too manycommercials, causing viewers to confuse products. Most people for example,can't recall whether a tire commercial was for Firestone, or Goodrich.
Viewers of VCR tapes of shows often fast-forward past the ads. Anotherdisadvantage, is that the normal «Commercial spot» lasts only a shorttime (usually 30sec), & then its gone. If the viewer is not payingattention, the impact of the commercial is lost. Brevity also makestelevision a poor medium in which to educate viewers about complexproducts. Finally television is the most expensive medium. A 30seccommercial during the Super Bowl costs about $ 750.000!
Direct Mail. Direct Mail advertisements account for 17% of alladvertising expenditures. As the name implies, direct mail often involvesfliers mailed directly to consumers 'homes or places of business. Direct
Mail allows the company to select its audience & personalize the message.
Consumers are also exposed to far less direct mail than to otheradvertising media. Moreover, although direct mail incurs the largestadvance costs of any advertising technique, it also appears to have thehighest cost effectiveness. These features have helped to make direct maila fast-growing advertising medium.
Radio. About 7% of all advertising expenditures are for radio time. Atremendous number of people listen to the radio each day, and radio ads arevery inexpensive. In addition, since most radio is programmed locally, thismedium gives advertisers a high degree of customer selectivity. Forexample, radio stations are already segmented into listening categoriessuch as rock & roll, country & western, jazz, talk shows, news & religiousprogramming.
Like television however, radio ads are over quickly. And radiopermits only an audio presentation. Also people tend to use the radio as abackground while they'redoing their things, paying little attention to the advertisements.
Magazines. Magazine advertising accounts for roughly 5% of alladvertising. The many different magazines on the market provide a highlevel on consumer selectivity. Magazine advertising also allows forexcellent reproduction of photographs & artwork that not only grabs buyer'sattention, but may also convince them on the product's value. And magazinesallow advertisers plenty of space for detailed product information Anotheradvantage of magazines is that they have a long life & tend to be passedfrom person to person, thus doubling & tripling the number of exposures.
The problem with magazine advertising is that ads must be submittedwell in advance to be included in a certain issue. Often there is noguarantee of where within a magazine in ad will appear. Naturally, acompany would prefer to have its advertisement appear near the front of themagazine or within a feature article.
Outdoor. Outdoor advertising - billboards, signs, & advertisingbuses, taxis, & subways - makes up a little more than 1% of alladvertising. These advertisements are relatively inexpensive, they facelittle competition for customers 'attention, & they are subject to highrepeat exposure. Unfortunately, companies have little control over who willsee their advertisement.
Types of Advertising
Regardless of the media used, advertisements fall into one of severalcategories. Brand Advertising promotes a specific brand, such as Kodak126film, Head & shoulders shampoo, & Nike Air Jordan basketball shoes.
Advocacy Advertising promotes a particular candidate or viewpoint, as inads for political candidates at electon time and antidrug commercials.
Institutional Advertising promotes a fir's long-term image, as when AT & Tassures customers that it is `` the right choice.
Advertising to Specific Markets '
Advertisements also differ in to whom they are directed. That is,advertisement depend on the company's target market. In consumer markets,local stores usually sponsor retail advertising to encourage consumers tovisit the store & buy its products & services. Larger retailers use retailadvertising on both a local & national level. Often retail advertising isactually cooperative advertising, with the cost of the advertising sharedby the retailer & the manufacturer.
In industrial markets, to communicate with companies that distributeits products, some firms use trade advertising publications. And to reachthe professional purchasing agent & managers at firm buying raw material orcomponents, companies use industrial advertising.
Regulation of Advertising
Advertising affects nearly every American. Because it can be used todeceive as well as inform buyers, advertising has increasingly come underregulation. The first regulation of advertising activities came in1914.
This act created the Federal Trade Commission to protect competition fromunfair trade practices.
Members of the advertising industry also regulate themselves to somedegree. Advertising media, including television networks & local stationsmagazines, & newspapers, decline ads they believe to be false or in poortest. And the National Advertising Review Board investigates complaintsagainst national advertisers. If it finds in favor of the advertiser,chargers are dropped. If it finds in favor of the complaining party, thenthe advertiser must modify or withdraw its claim.
Personal Selling Promotions
Virtually everyone has engaged in some sort of sales activity.
Perhaps you had a lemonade stand or sold candy for the drama club. Or youmay have gone on a job interview - selling your abilities & service as anemployee to the interviewers company.
Personal selling - the oldest form of selling - is a vital cog inmany companies 'promotional efforts. It provides the personal link betweenseller & buyer. It adds to a firm's creditability because it providesbuyers with someone to interact with & to answer their questions.
Because it involves personal interaction, however, personal sellingrequires a level of trust between the buyer & the seller. When a buyerfells cheated by the seller, that
trust has been broken & negative attitude towards salespeople ingeneral develops. To counteract this reputation, many companies areemphasizing customer satisfaction & generally striving to improve theeffectiveness of whatever personal selling they undertake.
Personal selling is also most expensive form of promotion per contactbecause presentations are generally made to one or two individuals at time.
Personal selling expenses include salespeople's compensation & theiroverhead, usually travel, food & lodging. The average cost of sales callhas been estimated an approximately $ 240 & has been increasing rapidly inrecent years.
The high cost of personal sales have prompted many companies to set up
Telemarketing departments. Telemarketing is the use of the telephone tocarry out many of the activities involved in marketing a company'sproducts. Telemarketing can be used to handle any stage of the personalselling process or to set up appointments for outside sales people.
Types of Personal Selling Situations
Managers of both telemarketing & traditional personal sales peoplemust always consider how personal service are affected by the differencebetween consumer products & industrial products. Retail selling involvesselling a consumer product for the buyer's own personal or household use.
Industrial selling deals with selling products to other businesses, eitherfor manufacturing other products or for resale.
Each of this selling groups situations has its own distinctcharacteristics. In retail selling the buyer usually comes to the seller.
The industrial salesperson almost always goes to the prospect's place ofbusiness. The industrial decision process also may take longer than aretail decision because more money, decision makers, & weighting ofalternatives are involved. And industrial buyers are professionalpurchasing agents who are accustomed to dealing with salespeople. Consumersin retail stores, on the other hand, may be intimidated by salespeople.
Personal Selling Tasks
Improving sales efficiency also requires marketers to considersalespeople's tasks. Three basic tasks are generally associated withselling: Order processing, creative selling, & missionary selling. Salesjobs usually require salespeople to perform all three tasks to some degree,depending on the product & the company. As you will see, this tasks differin the skills required, the methods used, & the reasons for using them.
Order Processing. At the most basic level, Order Processing, asalesperson receives an order & sees to the handling & delivery of thatorder. Route salespeople are often order processors. They call on regularcustomers to check the customer's supply of bread, milk, snack foods, orsoft drinks. Then, with a customer's consent, they determine the size ofthe reorder, fill the order form their trucks, & stack the customer'sshelves.
Creative Selling. When the benefits of the product are not clear,creative selling may persuade buyers. Most industrial products involvescreative selling because the buyer has not used the product before or maynot be familiar with the features & uses ofa specific brand. Personal selling is also crucial for high priced consumerproducts, such as homes, where buyers comparison shop. Any new product canbenefit from creative selling that differentiates it from other products.
Finally, creative selling can help to create a need.
Missionary Selling. A company may also use missionary selling topromote itself & its products. The goal of missionary selling is to promotethe company's long-term image than to make a quick sale.
The Personal Selling Process
Although all three sales tasks are important to an organization usingpersonal selling, perhaps the most complicated is creative selling. It isthe creative salesperson who is responsible for most of the steps in thepersonal selling process described here.
Prospecting & Qualifying. In order to sell, a sales person must firsthave a potential customer, or prospect. Prospecting is the process ofidentifying this potential customers. Salespeople find prospects throughpast company records, customers, friends, relatives, company personnel, &business associates. Prospects must then be qualified to determine whetheror not they have the authority to buy & the ability to pay.
Approaching. The first few minutes that a salesperson has contactwith a qualified prospect are called the approach. The success of laterstages depends on the prospect's first impression of the salesperson, sincethis impression affects the salesperson's creditability. Thus, salespeopleneed to present a neat, professional appearance & to greet prospects in astrong, confident manner.
Presenting & Demonstrating. Next, the salesperson must present thepromotional message to the prospect. A presentation is the full explanationof the
product, its features, & its uses. It links the product's benefits tothe prospect's needs. A presentation may or may not include a demonstrationof the product.
Handling Objections. No matter what the products, prospects will havesome objections. At the very least, prospects will object to a product'sprice, hoping to get a discount. Objections show the salesperson that thebuyer is interested in the presentation & which parts of the presentationthe buyer is insure of or has a problem with. They tell the salespersonwhat customers feel is important &, essentially, how to sell them.
Closing. The most critical part of the selling process is the close,in which thesales person asks the prospective customer to buy the product. Successfulsalespeople, recognize the signs that a customer is ready to buy.
Salespeople can ask directly for the sale or they can indirectly imply aclose. Questions such as «Could you take delivery Tuesday?» & «Why don'twe start you off with an initial order of ten cases? »are implied closes.
Such indirect closes place the burden of rejecting the sale on theprospect, who often will find it hard to say no.
Following Up. The sales process doesn't end with the close of thesale. Most companies wants customers to come back again. Sales follow-upactivities include fast processing of the customer's orders & on-timedelivery. Training in the proper care & usage of the product & speedyservice if repairs are needed may also be part of the fallow-up.
Sales Promotions
Sales promotions (motivators) are a very important factor in thepromotional mix because they increase the chances that consumers will try aproduct. They also enhance recognition for the products. And they canincrease the purchase size & amount.
Did you ever here a promotional slogan «buy three & get one free."
To succeed, however, sales promotions must be convenient & accessiblewhen the decision to purchase occurs.
Types of Sales Promotions
Sales promotions can take a variety of forms. The best known arecoupons, point of purchase displays, free samples, trading stamps,premiums, trade shows, trade promotions, & contests & sweepstakes.
Coupons. Any certificate that entitles the bearer to a stated savingsoff a product's regular price is a coupon. Coupons may be used to encouragecustomers to try new products, to attract customers away from competitorsor to include current customers to buy more of a product. They appear innewspapers & magazines & are often sent through direct mail.
Point-of-Purchase Displays. To grab customer's attention as they walkthrough the store, some companies use Point of Purchase Displays. Displayslocated at the end of the aisles or near the checkout in supermarkets are
POP displays. POP displays are always coincide with a sale or the itembeing displayed. They also make it easier for customers to find a product &easier for manufacturers to eliminate competitors fromconsideration. The cost of shelf & display space, however, is becoming more
& More expensive.
Free Samples, Trading Stamps, & Premiums. Purchasing incentives suchas free samples, trading stamps, & Premiums are used by many manufacturers
& Retailers. Premiums are gifts, such as pens, pencils, calendars, & coffeemugs, that are given away to consumers in return for buying a specifiedproduct. Retailers & wholesalers also receive premiums for carrying someproducts.
Trade Shows. Periodically, industries sponsor Trade Shows for theirmembers & customers. Trade shows allow companies to rent booths to display
& Demonstrate their products to customers who have a special interest inthe products or who are ready to buy. Trade shows are relativelyinexpensive & are very effective, since the buyer comes to the selleralready interested in a given type of product.
Contests & Sweepstakes. Customers, distributors, & salesrepresentatives may all be persuaded to increase sales of a product throughthe use of contest. For example, distributors & sales agents may win a tripto Hawaii for selling the most pillows in the month of March. Althoughsweepstakes can't require consumers to buy a product to enter, they mayincrease sales by stimulating buyers 'interest in a product.
Publicity & Public Relations Promotions
Much to the delight of marketing managers with tight budgets,
Publicity Is FREE. Moreover, consumers see publicity as objective & highlybelievable. Thus, it is a very important part of the promotional mix.
However marketers often have a little control over publicity.
Public relations is company-influenced publicity. It attempts toestablish a sense of goodwill between the company & its customers throughpublic service announcements that enhance the company's image. From thistopic, so far, you may think that only large companies can afford toseriously promote their goods & services. Although small businesses havefewer resources, cost-effective promotions can improve sales & enable smallfirms to complete with a much larger firms.
Small Business Advertising
The type of advertising chosen by a small business depends on themarket thefirm is trying to reach: Local, National, International.
Local Markets. Advertising is non prime-time slots on localtelevision offers great impact at a cost many small firms can afford. Morecommonly though, small businesses with a local market use newspaper & radioadvertising &, increasingly, direct mail.
National Markets. Many businesses have grown from small to largeoperations by using direct mail & particularly catalogues. By purchasingmailing lists of other companies 'customers, a small firm can target itsmailing, reducing costs. The ability to target an audience also makesspecialized magazines attractive to small businesses.
International Markets. Television, radio, & newspapers are seldomviable promotional options in reaching international markets because ofboth their costs and their limited availability. Most small firms finddirect mail & magazine advertising the most effective promotional tools.
Small Business Personal Selling
Like advertising, personal selling strategies used by smallbusinesses depend on their intended market.
Local Markets. Some small firms maintain a sales force to promote &sell their products locally. Other contract with a sales agency - a companythat handles the products of several companies - to act on their behalf.
Insurance agents who sell insurance for several different companies aresales agencies.
National Markets. Because of a high costs of operating a nationalsales force,
many companies have established telemarketing staffs. By combiningtelemarketing with a catalog or other educational product literature, smallcompanies can sell their products nationally & compete against much largercompanies.
International Markets. Small companies can't afford to establishinternational offices in order to conduct businesses. Even sending salesrepresentatives overseas is expensive. Thus, many small companies havecombined telemarketing with direct mail in order to expand internationally.
Small businesses often depend on an interesting or unusual sign to attractnew customers.
Small Business Sales Promotions
Small companies use the same sales promotion incentives that largercompanies use. The difference is that larger firms tend to use morecoupons, POP displays, & sales contests. Smaller firms rely on premiums &special sales, since coupons & sales contests are more expensive &difficult to manage.
Small Business Publicity
Publicity is very important to small businesses with local markets.
Small firms often have an easier time getting local publicity than donational firms. Readers of local papers like to read about local companies,so local papers like to write about such businesses. But fierce competitionfor coverage in national & international publications limits the accesssmall businesses have to those markets.
Distributing Goods & Services
In selecting a distribution mix for getting its products tocustomers, a firm may use any or all of six distribution channels. Thefirst four are aimed at consumers & the last two at industrial customers.
Channel 1 involves a direct sale to the consumer. Channel 2 includes aretailer. Channel 3 also includes one wholesaler, while Channel 4 includesan agent or broker before the wholesaler. Distribution strategies includeintensive, exclusive, & selective distribution.
Wholesalers act as distribution intermediaries, extending credit &storing, repackaging, & delivering the product to other members of thedistribution channel. Full-service, & limited-service, merchant wholesalersdiffer in the number of distribution functions they offer. Agents & brokersnever take legal possession of the product.
Retailing involves direct interaction with the final consumer. Themajor types of retail stores are department, specialty, bargain,convenience, supermarkets, & hypermarkets. (Like in Moscow.) They differ interms of size, services, & product type they offer, & product pricing. Someretailing also takes place without stores, through the use of catalogs,vending machines, & video marketing. According to the wheel of retailing,conventional retailers are periodically Displaced by low-priced innovativeretailers, who then become more conventional & subject to displacement.
Distribution ultimately depends on physically getting the product tothe buyer. Physical distribution includes customer-service operations suchas order processing. It also includes warehousing & transportation ofproducts. Warehouses may be public or private & may be used for long-termstorage or serve as distribution centers. Costs of warehousing includeinventory control & materials handling.
Truck, plane, railroad, water, & pipeline transportation differ incost, availability, reliability of delivery, & speed. Air is the fastestbut most expensive. Water carriers are the slowest, but least expensive.
Most products are moved by truck at some point. Transportation in any formmay be supplied by common carriers, freight forwarders, contract carriers,or private carriers.
Developing & Pricing Products
Products are a firm's reason for being, their features offer benefitsto buyers, whose purchases are the source of business profits. Indeveloping products, marketers must take into account whether their marketis individual consumers or other firms. Marketers must also recognize thatbuyers will pay less for & worry less about the exact nature of conveniencegoods than about shopping & specialty goods. In industrial markets,expensive items are generally less expensive & more rapidly consumed thanare capital items.
The seven stages of product development are development the ideas,screening, concept testing, business analysis, prototype development, testmarketing, & commercialization. Very few ideas for new products survive tothe commercialization stage.
When new products are launched, they have a life cycle that beginswith their introduction & progresses through stages of growth, maturity, &decline Revenues rise through the early growth period; sales rise throughthe late maturity period. In terms of the growth-share matrix, thisprogression appears as a product moves from questions mark to star to cashcow to dog.
Each product is given a visible identity by its brand & the way it ispackaged & labeled. National, licensed & private brands are developed tocreate brand loyalty. Packaging provides an attractive container &advertises the product. The label informs the consumer of the packagecontents. The pricing of the product will determine its business success,depending on the business objectives that are being sought. Profitmaximization, market share, & other business objectives may be relevant tothe pricing decision. Economic theory, cost-oriented pricing, & break-evenanalysis are tan used as tools in determine prices.
Pricing also involves choices of a basic pricing strategy can be usedfor new products. Existing products may be priced at, above, or belowprevailing prices for similar products, depending on the other elements inthe marketing mix. Within a firm's pricing strategies, managers set pricesusing tactics such as price lining, psychological pricing, & discounting.
PLAN
1. Promotional Objectives, Strategies, & Tools
. Promotional Objectives
. Promotional Strategies
. Picking the Right Tools for the Promotional Mix
5. Advertising Promotions
. Advertising Strategies
. Advertising Media
. Types Advertising
. Advertising to Specific Markets
. Regulation of Advertising
11. Personal Selling Promotions
. Types of Personal Selling Situations
. Personal Selling Tasks
. The Personal Selling Process
15. Sales Promotions
. Types of Sales Promotions
17. Publicity & Public Relations Promotions
. Small-Business Advertising
. Small-Business Personal Selling
. Small-Business Sales Promotions
. Small-Business Publicity
22. Distributing Goods & Services
23. Developing & Pricing Products
MANAGING MARKETING
(Promoting Goods & Services)
To Dr. Zavadovskiy by Goubanova Galina
Marketing
21may1999
BIBLIOGRAPHY
Principles of Marketing Philip Kotler
Gary Armstrong
2.The practice of Marketing Kenneth E. Runyon
Business Ricky W. Griffin
Marketing Patrick E. Murphy
Ben M. Enis
Marketing Management (A Strategic Approach)
Harper W. Boyd, Jr
Orville C. Walker, Jr
