Test 3 chapter 14 Flashcards
Other promotion mix
Sponsorships Sales promotion Direct marketing Personal selling Internet Infomercials
sales promotion- definition
Sales promotion refers to any paid consumer or trade communication program of limited duration that adds tangible value to a product or brand
Price vs. non-price promotions
Consumer vs. trade promotions
sales promotion- benefits
Provide a tangible incentive to buyers
Reduce the perceived risk associated with purchasing a product
Provide accountability for communications activity
Provide method of collecting additional data for database
Sales Promotion: Global or Local
In countries with low levels of economic development, low incomes limit the range of promotional tools available
Market maturity can also be different from country to country
Local perceptions of a particular promotional tool or program can vary
Local regulations may rule out use of a particular promotion in certain countries
Trade structure in the retailing industry can affect
the use of sales promotions
couponing
Couponing
Printed certificates entitle the bearer to a price reduction or some other special consideration for purchasing a particular product
Couponing accounts for 70% of consumer promotion spending in the U.S.
Free-standing inserts, in-pack, on-pack, cross coupons
sales promotion issues
Fraud
Pepsi promotion with Apple
Regulations vary by country
Cultural dispositions to coupons and other sales promotions
the strategic/consultative selling model- Personal Selling Philosophy
commitment to the marketing concept and a willingness to adopt the role of problem solver/partner
the strategic/consultative selling model- Relationship Strategy
game plan for establishing and maintaining high-quality relationships with prospects/customers
the strategic/consultative selling model- Product Strategy
plan that can assist the sales representative in selecting and positioning products to satisfy customer needs
the strategic/consultative selling model- Customer Strategy
plan that ensures that the sales professional will be maximally responsive to customer needs
the strategic/consultative selling model- Presentation Strategy
consists of setting objectives for each sales call and establishing a presentation plan to meet those objectives
Sales Force Nationality
Expatriates
Host-country nationals
Third-country nationals
Other options
Expatriates- Advantages
Superior product knowledge
Demonstrated commitment to service standards
Train for promotion
Greater HQ control
Expatriates- Disadvantages
Higher cost
Higher turnover
Cost for language and cross-cultural training
Host Country Nationals- advantages
Economical Superior market knowledge Language skills Superior cultural knowledge Fast implementation
Host Country Nationals- disadvantages
Needs product training
Difficult to manage
Difficult to ensure loyalty
Third Country Nationals- advantages
Cultural sensitivity
Language skills
Economical
Allows regional sales coverage
Third Country Nationals- disadvantages
May face identification problems May be blocked for promotions Income gaps Needs product and/or company training Loyalty not assured
special forms of marketing communications
Direct Marketing Direct mail Catalogs Infomercials, teleshopping Event Sponsorship Concerts, sporting events Product placement in movies Internet Communications
Direct Marketing
Any communication with a consumer or business recipient that is designed to generate a response in the form of: An order Request for further information A visit to a store or other place of business
Interactive Television
ITV allows viewers to interact with the programming content they are viewing
In the U.K., more than half of pay-TV subscribers use ITV
Remote controls have buttons to push to order products shown on screen
