04 - Advertising and PR Flashcards
Elements of the Promotional Mix (10)
1) Sales Promotion
2) Advertising
3) Product Placement
4) Direct Marketing
5) PR
6) Event Sponsorships
7) Publicity
8) Personal Selling
9) Point of Purchase
10) Digital
Definition: Sales Promotion
Commonly referred to as promotion, sales promotion focuses on the selling of coupons or buy one get one free concepts in order to make the customer buy ASAP However this has short-lived effects and long-term relationships are hardly achieved.
Definition: Advertising
Catering to a wider demographic, advertising involves big banners or posters that cater to a certain demographic as opposed to just one person. However, this does make it harder to measure the sucess in conjunction with sales, can be very expensive and lacks the direct persuasiveness of salespeople, making it very impersonal.
Definition: Product Placement
As the name suggests, product placement consists of a company placing a certain product in a movie, series or publication where the actors are seen using the product in one way or another.
Definition: Direct Marketing
This direct to customer (DTC) approach inlcudes TV ads, informercials, telemarketing and consists of the company reaching out directly to the customer, without having to be personalised.
Definition: PR (Public Relations)
Highly connected with the image of the company PR involves word-of-mouth promotion and is often free or extremely low cost, where the customers are made to feel good about buying the product because the business supports a good cause, leading to the customers telling their friends and family about it.
Definition: Event Sponsorships
This can often be a win-win situation as a local team or event could profit off a big company whilst the company gets its name out there at the same time.
Definition: Publicity
Publicity can be both good or bad, but usually consists of creating a media hype about the product/service, leading to other peopple talking about the company once again being free promotion.
Definition: Personal Selling
Involves 1-on-1 sales with a salesman to customer approach. For example this could be a car salesman in a car dealership. This approach allows all kinds of customer relationships to spring up, whilst the buyer feels a greater need to listen and respond even though it has to be said that this is the most expensive promotion tool.
Definition: Point of Purchase
Point of Purchase takes advantage of the consumer being at the store or at the place where they planned to purchase something else, but are lured in by other advertisements (at the counter for example).
Definition: Digital
This approach is becoming ever more important in the emerging digital world and consists of social media marketing, banners on websites or in-app advertisements.
Definition: Integrated marketing communications
This concept focuses on being consistent with one’s marketing, so that the same thing is said on every medium. Although this can be incredibly hard to achieve, it should be seen as a goal for most businesses.
Stages of the basic communication model (6)
1) Sender sends message
2) Encode
3) Choose message channel
4) Decode
5) Arrives at reciever
6) Reciever gives feedback
Stages of marketing communication to consumers (8)
1) Unawareness
2) Awareness
3) Knowledge
4) Liking or disliking
5) Develop a preference
6) Conviction
7) Purchase
8) Repeat purchase
3 models for communication between marketers and consumers
1) One-to-many (Advertising, sales promotion, PR)
2) One-to-one (Database marketing, direct marketing, personal selling)
3) Many-to-many (Publicity, digital)
Definition: Push Strategy
This strategy is used for pushing products and communication from the manufacturer to the consumer whilst convincing the wholesaler to stock the product.
Definition: Pull Strategy
This approach is in the direction from customer to manufacturer and the demand is created by customers, proving to be more expensive for established brands.
