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The Communications mix. Variables affecting the mix: Specific objectives Type of product Type of buying situation 'Push' vs 'pull' Position in market (market share), market growth & market concentration Internal strategies. Tools / objectives. Advertising: long-term brand image nurturing
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The Communications mix Variables affecting the mix: • Specific objectives • Type of product • Type of buying situation • 'Push' vs 'pull' • Position in market (market share), market growth & market concentration • Internal strategies
Tools / objectives • Advertising: long-term brand image nurturing • Sales promotion: short-term tactical temporary sales booster • Price discounts dilute brand franchise, quality images of the brand • Objectives sought & required response: • Build awareness: PR & advertising • Brand switching: sales promotion supported by advertising or direct mail • Exceptions: some ad + sales prom designed to create database to allow dynamic dialogue & relationships
Setting the promotion mix • Type of product market • Consumer vs. industrial goods Consumer goods • Advertising • Sales promotion • Personal selling • Public Relations Industrial goods • Personal selling • Sales promotion • Advertising • Public Relations
Relative effectiveness of tools • Type of purchase • High involvement: important, expensive, risky, require careful analysis • Low involvement: low risk, frequent purchase, inexpensive Buyers can move from high to low involvement with experience
Response Models • Learn-feel-do: high involvement with high differentiation (classic response hierarchy models) • Do-feel-learn: high involvement but little or no differentiation • Learn-do-feel: low involvement with low differentiation
Relative effectiveness of tools • Purchaser's decision process model: • awareness [advertising & PR] • interest • conviction • purchase [personal selling & sales promotion] • post-purchase (feelings or behaviour) [advertising]
'Push' vs 'pull' strategies • 'Push':strong salesforce supported by trade promotions to push product into the distribution channels & shelves --> distribution penetration • 'Pull': pulling customers into stores & motivating them to pull product off shelf --> advertising to create customer dd • 'Pull' helps 'push' • Kotler: Lever Bros use 'push' vs Procter & Gamble use 'pull'
Integrating the coms mix • Goal: to create bigger impact & be more cost-effective • Publicity & advertising: • major ad campaigns supported by PR / press launches • sales promotion supported by ad or PR or both • direct promotion = direct marketing + sales promotion • on-pack promotion • sales promotion supported by personal sellings