Promotion and Marketing

• Promotion is the element in an organization’s marketing mix that

serves to inform, persuade, and remind the market regarding the

organization and/or its products.

– It includes all the means by which a company communicates directly with

potential customers.

– It is an attempt to influence feelings, beliefs, or behavior.

• It is an attempt to shift the demand curve for a firm’s goods or services

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Shifting demand curve for a product

Demand goal Demand goal

with promotion with promotion

Price
Price

Demand Demand
without without
promotion promotion
Quantity
Quantity
b. Changing the shape
a. A shift in the demand
(or elasticity)
curve to the right.
of the demand curve.
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What do you think is meant by Integrated Marketing
Communication?

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Integrated Marketing Communication

• A concept of marketing communications planning that

• recognizes the added value of a comprehensive plan that
➢ evaluates the strategic roles of a variety of communication disciplines
▪ for example, general advertising, direct response, sales promotion and
public relations
➢ and combines these disciplines

• TO PROVIDE CLARITY, CONSISTENCY, and maximum COMMUNICATIONS

IMPACT.

AMERICAN MARKETING ASSOCIATION definition:

• Planning process designed to assure that

➢ all brand contacts received by a customer or prospect for a product, service, or
organization
➢ are relevant to that person and
➢ consistent over time.
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Traditional Approach

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The IMC Approach

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Exploring Balbir Pasha Campaign to understand this better

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Balbir Pasha Teaser Video

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Balbir Pasha Campaign

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Balbir Pasha Campaign

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Balbir Pasha Campaign

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Balbir Pasha Campaign

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Balbir Pasha Campaign

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Balbir Pasha Campaign

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Balbir Pasha Campaign – Buzz creation and recognition

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Balbir Pasha Campaign – Campaign response

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Balbir Pasha Campaign – Indicators of Success

• Increased risk perception among those exposed to the campaign (17%-43%)

• Increased Tendency to discuss HIV/AIDS with others (50% discussed)

• Increase in number of people accessing HIV/AIDS prevention products and

services

• retail sales tripled and so did no of calls of helpline no’s, increase in usage

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Why was Balbir Pasha Campaign Successful?

• Consumer Insight

• Building of intrigue

• Optimal media mix

• Link with the on-ground activities

• Infiltration into popular Culture

• Hard hitting messages

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IMC Communication Tools

IMC Communication Tools

Direct Interactive/
Advertising
Marketing Internet Marketing

Sales Publicity/Public Personal

Promotion Relations Selling

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Communication Platforms (1/3)

Advertising Sales Promotion

• Print and broadcast ads • Contests, games,

• Packaging inserts sweepstakes

• Sampling
• Motion pictures
• Trade shows, exhibits
• Brochures and booklets
• Coupons
• Posters
• Rebates
• Billboards
• Entertainment
• POP displays • Continuity programs
• Logos

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Communication Platforms (2/3)

Events/ Experiences Public Relations

• Sports • Press kits

• Entertainment • Speeches
• Seminars
• Festivals
• Annual reports
• Art
• Charitable donations
• Causes
• Publications
• Factory tours
• Community relations
• Company museums • Lobbying
• Street activities • Identity media
• Company magazine

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Communication Platforms (3/3)

Personal Selling Direct Marketing

• Sales presentations • Catalogs

• Sales meetings • Mailings

• Telemarketing
• Incentive programs
• Electronic shopping
• Samples
• TV shopping
• Fairs and trade shows
• Fax mail
• Voice mail
• Blogs
• Websites

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How Communication Works

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Consumer’s Specific Response to Communication

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Developing Effective Communication
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2 6

3 7

4 8

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Identifying Target Audience

• Will determine what you say, how you say, where you say, when you say and to
whom do you say

• Is he/she the buyer / decider / influencer?

• Is he/she a current user of the brand?

• If yes, is he/she a loyal user?

– Is he/she a heavy user/light user

• Is he/she a loyal user of competition?

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Target Group: Image Analysis

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Determining Objectives

• Establishing Need for Category

• Building Brand Awareness

• Building Brand Attitude

• Influencing Brand Purchase Intention

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Illustration: Establish need for Category

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Can you guess the objective behind this Ad?

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Design Communications

• Message content decisions involve the selection

Content of appeal, theme, idea, or USP (PoP/PoD)
• Rational appeals
• Emotional appeals / Humour / Moral appeal

• One sided-versus Two-sided message

Structure • Order of argument presentation

• Graphics, visuals
Format • Headline, copy or script
• Sound effects, voice qualities
• Shape, scent, texture of package

• Expertise
Source • Trustworthiness
• Likability

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Patanjali – establishing PoD

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Rational versus Emotional Appeal

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Moral Appeal

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Select Communication Channels

• Personal Channels involve two or more person communicating directly

• Advocate Channels face-to-face, person-to-audience, over the
– Company Sales Force telephone, through e- mail/company website/SNS.
• Expert Channels
– Review (independent) websites
• Social Channels
– SNS, WoM

• Non-Personal Channels
• Mass Media
• Sales Promotion
• Public relations
• Events and experiences

• Integration of Channels

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Stimulating Personal Influence Channels

• Identify influential individuals and devote extra attention to them

• Create opinion leaders

• Use community influentials in testimonial advertising

• Develop advertising with high “conversation value”

• Develop WOM referral channels

• Establish an electronic forum

• Use viral marketing

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Establish Budget

• Affordability Method
• Budget is set at a level that a company can afford

• Percentage-of-Sales Method
• Past or forecasted sales may be used

• Competitive-Parity Method
• Budget matches competitors’ outlays

• Objective-and-Task Method
• Specific objectives are defined
• Tasks required to achieve objectives are determined
• Costs of performing tasks are estimated, then summed to create the promotional
budget

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Decide on Media Mix

Control

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Factors affecting Choice of Promotion Mix

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 Push versus Pull Strategy
PUSH STRATEGY

Producer Wholesaler Retailer Consumer

PULL STRATEGY

Producer Wholesaler Retailer Consumer

Product Promotion effort

flow
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Measure Results

• How do firms determine whether their IMC strategy has

worked?

?
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Measure Results

• Understand the outcome they hope to achieve before they begin

• Short-term or long-term

• Should be explicitly defined and measured

– Awareness : Increase in Knowledge
– Behavior: Sales

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Integrating your IMC Programme

• Coverage

• Contribution

• Commonality

• Complementarity

• Comformability

• Cost

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