• Promotion The function of informing, persuading, and influencing a purchase decision.

2. • PromotionThe function of informing, persuading, and influencing a purchase decision. • INTEGRATED MARKETING COMMUNICATIONS • • Coordination of promotional activities to produce a unified customer-focused message. • • Must take a broad view and plan for all form of customer contact. • • Elements include personal selling, advertising, sales promotion, publicity, and public relations.

3. THE PROMOTIONAL MIX • • Combination of personal and nonpersonal selling techniques designed to achieve promotional objectives. • • Personal selling • • Nonpersonal selling

4. Objectives of Promotional Strategy • • Differentiate product • • Provide information • • Stabilize sales • • Increase sales • • Accentuate product value • Promotional Planning • • Product placement • • Guerilla marketing

5. ADVERTISING • • Paid nonpersonal communication delivered through various media and designed to inform, persuade, or remind members of a particular audience. • Types of Advertising • • Product advertising, institutional advertising, cause advertising • Advertising and the Product Life Cycle • • Informative advertising, persuasive advertising, and reminder-oriented advertising. • Advertising Media • • All media offer advantages and disadvantages

6. SALES PROMOTION • Consumer-Oriented Promotions • • Premiums, coupons, rebates, samples • • Games, contest, and sweepstakes • • Specialty advertising • Trade-Oriented Promotions • • Sales promotion geared to marketing intermediaries rather than to consumers. • • Point-of-purchase (POP) advertising. • • Promote goods and services at trade shows.

7. PERSONAL SELLING • • A person-to-person promotional presentation to a potential buyer. • Sales Tasks • • Order processing, creative selling, missionary selling, telemarketing • The Sales Process • Public Relations • • Public organization’s communications and relationships with its various audience. • Publicity • • Stimulation of demand by disseminating news or obtaining favorable unpaid media presentations.

8. PROMOTIONAL STRATEGY • Pushing and Pulling Strategies • • Pushingrelies on personal selling to market an item within a company’s distribution channels. • • Pullingpromotes a product by generating demand. • • Most marketing situations require combinations of pushing and pulling strategies.

9. ETHICS IN PROMOTION • Puffery and Deception • • Exaggeration about the benefits or superiority of a product. • • Deliberately making promises that are untrue. • Promotion to Children and Teens • • Children and teens have enormous purchasing power but cannot analyze advertising messages. • Promotion in Public Schools and on College Campuses • • Schools earn income from in-school advertising, but it is generating backlash.

10. PRICING OBJECTIVES IN THE MARKETING MIX • • Price Exchange value of a good or service. • Pricing Objectives: • Profitability • Volume • Meeting Competition • Prestige

11. PRICING STRATEGIES • Price Determination in Practice • • Cost-based pricing • Breakeven Analysis • • Pricing technique used to determine the minimum sales volume a product must generate at a certain price level to cover all costs. • Alternative Pricing Strategies • • Skimming pricing • • Penetration pricing • • Everyday low pricing • • Discount pricing • • Competitive pricing

12. CONSUMER PERCEPTIONS OF PRICE • Price-Quality Relationships • • Consumers’ perceptions of quality closely tied to price. • Odd Pricing • • Setting prices in uneven amounts or amounts that sound less than they really are. • • Also used as a signal a product is on sale.