CHAPTER 15

Marketing Communications

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 The Role of Promotion
in the Marketing Mix
Overall
Overall Promotional
Promotional Mix
Mix
Marketing
Marketing
Objectives
Objectives •• Advertising
Advertising
•• Public
PublicRelations
Relations
Marketing •• Sales
SalesPromotion
MarketingMix
Mix ••
Promotion
Personal
•• Product PersonalSelling
Selling
Product
•• Place
Place
•• Promotion
Promotion
•• Price
Price

Target
TargetMarket
Market Promotion
Promotion Plan
Plan
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 Communication
The process by which meanings
are exchanged or shared through
a common set of symbols.

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Marketing Communication

Categories
Categories of
of
Communication
Communication

Interpersonal
Interpersonal Mass
Mass
Communication
Communication Communication
Communication

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 The Communication Process
Noise
Noise

Encoding
Encoding Message
Message Decoding
Decoding
Sender
Sender Receiver
Receiver
Message
Message Channel
Channel Message
Message

Feedback
Feedback
Channel
Channel
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 Communication and the
Internet

Traditional model: Internet & social

•Impersonal media advertising:
•Numbers driven •Personal
•Unquantifiable consumer •Direct communication
behavior •Feedback driven
•Highly visible
communication

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 Goals and Tasks of Promotion

Informing
Informing Reminding
Reminding
PLC Stages:
PLC Stages:
Stages Maturity
Introduction
Early Growth
Target
Target
Audience
Audience
PLC Stages:
PLC Stages:
Stages Growth
All Maturity

Connecting
Connecting Persuading
Persuading

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Goals and Tasks of Promotion

Informative Promotion
 Increase awareness

 Explain how product works

 Suggest new uses

 Build company image

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Goals and Tasks of Promotion
Persuasive Promotion
 Encourage brand switching

 Change customers’
perceptions of product
attributes

 Influence immediate buying

decision

 Persuade customers to call

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Goals and Tasks of Promotion
Reminder Promotion

 Remind customers that

product
may be needed

 Remind customers where

to buy product

 Maintain customer
awareness
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 Goals and Tasks of Promotion
Connect Promotion
 Form relationships through social media

 Encourage transparent information exchange

 Customers become brand advocates

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 The Promotional Mix

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 Advertising
Most commonly distributed by
traditional media, though increasingly
through non-traditional media, such as
Web sites, e-mail, blogs, and
interactive video kiosks in malls and
supermarkets.

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 Advertising Media
Traditional New Advertising
Advertising Media Media
 Television
 Radio  Web sites
 Newspapers  E-mail
 Magazines  Blogs
 Pay-per-click  Interactive
advertising
 Banner
video kiosks
advertising
 Direct mail
 Billboards
 Transit
advertising
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 Advertising
Advantages Disadvantages

 Reach large number

of people
 Total cost is high

 Low cost per  National reach is

contact expensive for
small companies
 Can be micro-
targeted

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 Major Types of Advertising

Corporate
Corporateidentity
identity
Institutional
Institutional
Advertising
Advertising Advocacy
Advocacy
advertising
advertising

Pioneering
Pioneering
Product
Product
Advertising
Advertising Competitive
Competitive

Comparative
Comparative
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 Common Advertising Appeals

3
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 Public Relations
Evaluates public attitudes, identifies areas within
the organization that public may be interested in,
and executes a program to earn public
understanding.

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 Functions of Public Relations
Press
Press relations
relations

Product
Product publicity
publicity

Corporate
Corporate communication
communication

Public
Public affairs
affairs

Lobbying
Lobbying

Employee
Employee and
and investor
investor relations
relations

Crisis
Crisis management
management
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 The Function of Public
Relations
 Maintain a positive image

 Educate the public about the

company’s objectives

 Introduce new products

 Support the sales effort

 Generate favorable publicity

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 Sales Promotion

Marketing activities—
other than personal
selling, advertising,
and public relations—
that stimulate
consumer buying and
dealer effectiveness.

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 Sales Promotion

Free
Free samples
samples

Contests
Contests End
End
Consumers
Consumers
Premiums
Premiums
Trade
Trade
Trade
Trade Shows
Shows
Customers
Customers

Vacation Company
Company
Vacation Giveaways
Giveaways Employees
Employees
Coupons
Coupons
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 Personal Selling
Planned presentation to one or
more prospective buyers for the
purpose of making a sale.

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 Personal Selling

Attempts to persuade the

Traditional
Traditional buyer into a specific point
Selling
Selling of view; creates a win-
lose outcome.

Relationship Long-term relationships;

Relationship
Selling creates a win-win
Selling outcome.

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 Social Media

Promotion tools used to

facilitate conversations
among people online.

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 Communication Process and the
Promotional Mix
Shift from one-way communication to
customer-controlled, customized,
many-to-many communication.
•Consumer generated media
•Paid media
•Earned media
•Owned Media

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Characteristics of the Elements in the
Promotional Mix

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 The AIDA Concept

Conative (doing) Action

Desire
Affective (feeling)
Interest Model that outlines the
process for achieving
Attention promotional goals in
Cognitive (thinking) terms of stages of
consumer involvement
with the message.
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 The Promotional Mix and AIDA

Attention Interest Desire Action

Advertising
Public
Relations
Sales
Promotion
Personal
Selling
Social Media

5 Very Effective Somewhat Effective Not Effective

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 Integrated Marketing
Communications

The careful coordination of all promotional

messages to assure the consistency of
messages at every contact point where a
company meets the consumer.

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 IMC Popularity Growth
• Proliferation of thousands of media
choices.

• Fragmentation of the mass market.

• Slash of advertising spending in favor of

promotional techniques that generate
immediate response.

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 Factors Affecting the
Choice of Promotional Mix
Nature
Nature of
of the
the product
product

Stage
Stage in
in PLC
PLC

Target
Target market
market characteristics
characteristics

Type
Type of
of buying
buying decision
decision

Promotion
Promotion funds
funds

Push
Push or
or pull
pull strategy
strategy
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Product Life Cycle and the Promotional Mix

Ads AD/PR
Light Heavy Advertising, decrease;
decrease;
Advertising; Advertising; PR, brand limited sales
Pre- sales
PR for loyalty; promotion; promotion;
introduction awareness; personal personal
personal
publicity sales selling for selling for
selling;
promotion distribution reminder & distribution
for trial persuasive
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 Push Strategy vs. Pull Strategy

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 Chapter 15 Video
Pepe’s Pizzeria
Pepe’s Pizzeria is a popular restaurant located in
Connecticut. The CEO discusses the thought
process behind their marketing strategy, how
promotions work for Pepe’s and the general
location strategy that comes into play when
opening new locations.

CLICK TO PLAY

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