Marketing mix: Promotion

Question 1

Steps in Developing Effective
Marketing Communication

Answer 1

1. Identify the target audience
2. Determine the communication objectives
3. Design the message
4. Choose the media to send the message
5. Select message source and collect feedback

Question 2

1. Identifying the Target Audience

Answer 2

 The audience may be current users or potential buyers, those who make the buying decision or those who influence it.
 The audience may be individuals, groups, special publics, or the general public.

Question 3

3. Designing a Message

Answer 3

 Rational appeal relates to the audience’s self-interest.
 Emotional appeal is an attempt to stir up positive or negative emotions to motivate a purchase.
 Moral appeal is directed to an audience’s sense of what is right and proper.

Question 4

4. Choosing Communication Channels and Media

Answer 4

Personal communication involves two or more
people communicating directly with each other.
* Face to face
* Phone
* Mail or e-mail
* Texting or Internet chat
* Word-of- mouth (WOM)

Question 5

Nonpersonal communication

Answer 5

Nonpersonal communication channels are media that carry messages without personal contact or feedback, including major media, atmospheres, and events.

Question 6

Selecting the Message Source

Answer 6

The message’s impact depends on how the
target audience views the communicator.

Question 7

Collecting feedback

Answer 7

Involves the communicator understanding the effect on the target audience by measuring behavior resulting from the content

Question 8

Setting the Promotional Budget

Answer 8

• The affordable method sets the promotion budget at the level management thinks the company can afford.
• The percentage-of-sales method sets the promotion budget at a certain percentage of current or forecasted sales or as a percentage of the unit sales price.

Question 9

ADVERTISING

Answer 9

Any paid form of nonpersonal presentation and promotion of ideas, goods, or services by an identified sponsor.

Characteristics:
 can reach masses of
geographically dispersed buyers
 at a low cost per exposure
 enables the seller to repeat a message many times

Answer 10

• Informative advertising is used when introducing
  a new product category to build primary demand.
• Persuasive advertising is important with increased competition to build selective demand.
• Comparative advertising is when a company compares its brand with other brands.
• Reminder advertising is important with mature products to help maintain customer relationships and keep customers thinking about the product.

Question 11

Sales promotion

Answer 11

a short-term incentive to encourage the purchase or sale of a product or
service.
CHARACTERISTICS:
* can be used to dramatize product offers and boost sagging sales.
* effects can be short lived, however, and often are not as effective as
advertising or personal selling in building long-run brand preference and
customer relationships.

Question 12

Push and pull strategy

Answer 12

A push strategy involves “pushing” the product through marketing channels
to final consumers. The producer directs its marketing activities (primarily personal selling and trade promotion) toward channel members to induce them to carry the product and promote it to final consumers.

Using a pull strategy, the producer directs its marketing activities (primarily
advertising and consumer promotion) toward final consumers to induce
them to buy the product. If the pull strategy is effective, consumers will then demand the brand from retailers, who will in turn demand it from the producer. Thus, under a pull strategy, consumer demand “pulls” the product through the channels.

Question 13

Direct and digital marketing

Answer 13

Direct and digital marketing involves engaging directly with carefully targeted
individual consumers and customer communities to both obtain an immediate
response and build lasting customer relationships.

Direct and digital marketing are more targeted as an immediate, customized, and interactive promotional tool that includes direct mail, catalogs, telephone marketing, online, mobile, and social media.

Question 14

Integrated marketing communications

Answer 14

Integrated marketing communications (IMC) involves carefully integrating and coordinating the company’s many communications channels to deliver a clear, consistent, and compelling message about the organization and its products.