Promotion Strategies

1
Promotion Strategies

• Chapter 17

2
Topics Chapter 17

• Promotion expenditure strategy
• Promotion mix strategy
• Media selection strategy
• Advertising copy strategy
• Personal selling strategy

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Promotion Expenditure Strategy Methods

• Break-down
• Build-up

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Break-down Method Approaches

• Percentage of sales
• All you can afford
• Return on investment
• Competitive parity

5
Promotion Mix Strategy

• Criteria to determine mix
• Product
• Market
• Customer
• Budget
• Marketing mix

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Product Factors

• Nature of product
• Perceived risk
• Durable vs. nondurable
• Purchase amount

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Market Factors

• Position in life cycle
• Market share
• Industry concentration
• Intensity of competition
• Demand perspectives

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Customer Factors

• Household vs. business
• Number of customers
• Concentration of customers

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Budget Factors

• Financial resources
• Traditional promotional perspectives

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Marketing Mix Factors

• Relative price/quality
• Distribution
• Brand life cycle
• Geographic scope of market

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Media Selection Strategy

• Product or service itself
• Target market
• Extent and type of distribution

12
Media Selection Strategy

• Type of message
• Budget
• Competitors promotion strategies

13
Advertising Copy StrategyElements of Copy
Copy Content of an ad

• Words
• Symbols
• Colors

• Layout
• Other ingredients

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Advertising Copy Strategy

• Marketing strategist provides
• What to say
• How to say it
• Who to say it to

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Advertising Copy Strategy

• Marketing strategist provides
• Objectives
• Product
• Target customers
• Competitive activity
• Ethical and legal issues

16
Personal Selling Strategy

• Consultative selling
• Relationship management