1. Sales Promotion MIX

2. What is Promotional Mix?
The Promotional mix is a combination of the
different types of promotion.
Promotion keeps the product in the minds of the
customer and helps stimulate demand for the
product.
The ongoing activities of advertising, sales
promotion, Public Relations ,personal selling and
direct marketing are often considered aspects of
promotion.
 Incentives in addition to the product’s basic
benefits. Ex. Gift Coupon
 Sales Promotion is more action oriented

3. Advertising
Ingredients
of the
Promotion
Mix
Sales Promotion
Personal Selling
Direct Marketing
Public Relations

4. Advertising
Any paid form of non-personal presentation and
promotion of ideas, goods, or services.
Reaches large, geographically dispersed
audiences, often with high frequency.
Impersonal; one-way communication
The major tools are:
Print Media
Broadcast Media
Outdoor Media
Internet & Website

6. Functions/Objectives of Advertising
Informative Advertising
Inform Consumers or
Build Primary Demand
i.e CD Players
Comparison Advertising
Compares One Brand to
Another
i.e. Avis vs. Hertz
Persuasive Advertising
Build Selective Demand
i.e Sony CD Players
Reminder Advertising
Keeps Consumers Thinking
About a Product
i.e. Coca-Cola
Advertising Objective
Specific Communication Task
Accomplished with a Specific
Target Audience
During a Specific Period of Time

7. Plan a Message Strategy
General Message to Be Communicated to Customers
(The “Creative Brief” is an important document)
Develop a Message
Focus on
Customer Benefits Creative Concept
“Big Idea”
Visualization or Phrase
Combination of Both
Advertising Appeals
Meaningful
Believable
Distinctive
Developing Advertising Strategy: Creating
Ad Messages

8. Communication Effects
Is the Ad Communicating Well?
Advertising Program Evaluation
Sales Effects
Is the Ad Increasing Sales?
Evaluating Advertising

9. Sales Promotion
Short-term incentives to encourage the
purchase or sale of a product or services.
Makes use of a variety of formats:
Discounts, premiums, coupons, contests, etc.
Attracts attention, offers strong purchase
incentives
Not effective at building long-term brand
preferences
Stimulates quick response.

10. Purpose of Sales Promotion
Encourage Trials: Free newspaper copies
Counter Competitor's Promotional activities
Increase short-term sales or help build long-term market
share.
Attract new Customers
Ex:- khadi announces rebates on purchases during the
festivals.
Get retailers to:
carry new items and more inventory,
advertise products,
give products more shelf space, and
buy product ahead.

11. Sample
Coupons
Money Refunds
Price Packs
Premiums
Advertising
Specialties
Trial amount of a product
Savings when purchasing specified
products
Refund of part of the purchase price
Reduced prices marked on the label or
package
Goods offered free or low cost as an
incentive to buy a product
Articles imprinted with an advertiser’s
name given as gifts
Major Consumer Sales
Promotion Tools
Sample
Price Promotion
Or Price Discounting. Discount on normal
Price

12. Patronage Rewards
Point-of-Purchase
SweepStakes
Consumer Contest
Game
Cash or other rewards for the use of a
certain product
Displays and demonstrations that take
place at the point of sale
Consumers submit their names for a
drawing. Chances of law suits are
minimal.
Consumers submit an entry to be
judged
To increase the retail sales. Ex. Tambola
of TOI, Name Games
Presents consumers with something every
time they buy
Major Consumer Sales Promotion Tools- II

14. Public Relations
Building good relationships with the
company’s various publics (stakeholders,)
building up a good corporate image.
The major tools are Press Releases,
Sponsorships , Special Events, Web
Pages.
To enhance the positive aspects and
minimize negative factors related to
products and organization.

16. News
Speeches
Special
Events
Brochures,
Written
MaterialsAudiovisual
Materials
Corporate
Identity
Materials
Public
Service
Activities
Web Site
Major Public Relations Tools

17. Press Relations
Product Publicity
Public Affairs
Lobbying
Investor Relations
Development
Public Relations
Departments May
Perform Any of All
of the Following
Functions:
Major Public Relations Functions

18. Personal selling
The personal presentation by the
firm’s sales force for the purpose of
making sales and building strong
customer relationships.
Most effective tool for building buyers
preferences, convictions, and actions.
Personal interaction allows for
feedback and adjustments.
Relationship-oriented.

20. The Personal Selling Process
Pre-Sale Preparation
Prospecting:
The salesperson identifies qualified potential customers (called
prospects).
Pre-approach:
The salesperson learns as much as possible about a prospect
before making a sales call.
Approach:
The salesperson meets the customer for the first time.
Presentation:
The salesperson tells the “product story” to the buyer,
highlighting customer benefits.

21. The Personal Selling Process
Handling Objections:
The salesperson seeks out, clarifies, and overcomes customer
objections to buying.
Closing:
The salesperson asks the customer for an order.
Follow-up:
The salesperson follows up after the sale to ensure customer
satisfaction and repeat business.
The selling process is transaction oriented; most
firms go beyond this and attempt to build mutually
profitable relationships.

22. Direct Marketing
Involves making direct connections
with carefully targeted individual
consumers to both obtain an
immediate response and cultivate
lasting customer relationships.
Many forms: Telephone
marketing, direct mail, online
marketing, etc.

24. Slide 24 in Chapter 16
Direct Marketing
Direct marketing uses consumer-direct
channels to reach and deliver offerings to
consumers without intermediaries.
Direct marketing is growing and offers
consumers key benefits.
Firms are recognizing the importance of
integrated direct marketing efforts.

25. Slide 25 in Chapter 16
Direct Marketing
Face-to-face selling
Direct mail
Catalog marketing
Telemarketing
Direct-response
TV marketing
Kiosk marketing
E-marketing
Major Direct Marketing Tools

26. Direct Marketing
Steps in Developing a Direct-Mail Campaign:
Step 1: Set objectives
Step 2: Identify target markets
Step 3: Define the offer
Step 4: Test the elements
Step 5: Measure results