what are the elements of the promotional mix? and identify the level of control and mass
Sales promotion (addresses the mass- mid- and mid level of control)
advertising (addresses the mass and mid- low level of control)
public relations(addresses the mass and no level of control)
personal selling; relies on salespeople; mainly b2b (customized to consumer and high level of control)
direct marketing; relies on data (customized to consumer and high level of control)
what are the steps of the product lifecycle? and what are their purposes
what are the steps of the promotion decision process
Objective and task budgeting
the most effective approach; allocating fund to promotion after a company (1) determines its promotion objectives (2) outlines the tasks to accomplish the objectives and (3) determines the promotion cost of performing those objectives
any paid form of nonpersonal communication about an organization, product or service by an identified sponsor
advertising
what elements of product characteristics should you consider?
you should consider the complexity (the amount of understanding required to use the product); the more complex- the more personal selling required, risk (financial, social and physical) and ancillary services (the degree of service or support required after the sale)
what is direct marketing
direct communication with the customer to generate a measurable response (buying data to target the right people) examples include telemarketing, catalogues, emails, DMs
direct order
two way flow of communication between a buyer and seller, often face to face, designed to influence the purchase decision
personal selling
what are the stages of the consumer journey?
Prepurchase (sales promotion like sampling and advertising to gain awareness), Purchase (personal selling most important and advertising not; sales promotion for displays to encourage purchase, direct marketing using data, social media) and Post purchase stage (reminder advertising)
Percentage of sales budgeting
funds are allocated to promotion as a percentage of past or anticipated sales “our promotion budget for this year is 3% of last years total sales”
lead generation
builds credibility; a form of communication management that seeks to influence the opinions held by customers; non paid
public relations
explain push strategy
directing the promotion mix to channel members to gain their cooperation in ordering and stocking the product
Competitive Parity Budgeting
Traffic generation
aspect of direct marketing; offer designed to motivate people to visit a business... opt-in email alerts, direct mail
short term inducement of value offered to arouse interest in buying a product or service
sales promotion
explain pull strategy
directing the promotion mix at the ultimate consumer to encourage them to ask the retailer for a product
All you can afford budgeting