Sales promotion

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By: manojm (16 month(s) ago)

Nice slides

By: manojm (16 month(s) ago)

Superb presentation thank full to those made the slides.

By: Davidsyam30msyam (18 month(s) ago)

good one

Presentation Transcript

Sales promotion : 

Sales promotion Submitted By: Parul Soni Asit Sahoo Anosh

Sales promotion : 

7/25/2010 Free template from www.brainybetty.com 2 Sales promotion A diverse collection of incentive tools, mostly short term, designed to stimulate quicker &/or greater purchase of particular products/services by consumers or the trade. While Advertising offers a reason to buy, Sales Promotion offers an INCENTIVE to buy.

Major Decisions : 

Major Decisions Establishing Objective Selecting promotion tools Developing the program Pretesting ,Implementing ,Controlling and evaluating the program 7/25/2010 Free template from www.brainybetty.com 3

Objective : 

7/25/2010 Free template from www.brainybetty.com 4 Objective Different Objectives are there derived from basic marketing objectives developed for product. It varies from customer to retailer to manufacturer To Stimulate Consumer Trials Cementing a long term relationship between retailer and manufacturer Attract new Customers Increase repurchase rate of occasional users Attract Brand Switchers Lead to more Varied retail formats Greater Consumer Awareness Permit manufactures sell more than what they sell at List price Different programs for different Consumer segments

Selecting Consumer Promotion Tools : 

Selecting Consumer Promotion Tools The promotional planner should take into account the type of market , sales promotion objectives, competitive conditions and each tool’s cost effectiveness. Example: Giving coupons , price packs etc 7/25/2010 Free template from www.brainybetty.com 5

Selecting Trade Promotion Tools : 

Selecting Trade Promotion Tools Giving money to retailer to carry their Brand Persuade retailers and wholesalers to buy more units of product Induce retailers to promote brand by featuring displays and price reduction Stimulate retailers and clerks to push product But Trade promotion is felt as a problem by manufactures as Need proof of performance Forward Buying Diverting These factors often lead to lost revenue 6

Selecting Business and Sales force promotion tools : 

Selecting Business and Sales force promotion tools Manufacturers spend billions of dollars on these tools. These are used to gather business leads , impress and reward customers and motivate sales force to greater effort Company prepares a budget for each business promotion tools that remain fairly constant from year to year. 7

Developing the Program : 

Developing the Program In deciding certain incentives marketers should use several factors Size of Incentive Establish conditions for participation Duration of promotion Selection of Distribution Vehicle Establish timing of promotion Determine total sales promotion budget 8

PRETESTING : 

PRETESTING These are used to determine whether Tools are appropriate Incentive size is optimal Presentation method is efficient 9

Implementation & Control Plans : 

Implementation & Control Plans These are made to cover lead time and Sell-in-time of any program Lead Time: Time needed to prepare program before launching it Sell-in-time: Begins with promotional launch and ends when 95% of products in deal are in hands of consumers 7/25/2010 Free template from www.brainybetty.com 10

EVALUATION : 

EVALUATION Done by manufacturer in 3 ways Sales data Consumer surveys Experimenting 11

PUBLIC RELATION : 

PUBLIC RELATION The Institute of Public Relations defines public relations as follows: “The planned and sustained effort to establish and maintain goodwill and mutual understanding between an organization and its public” Public is any group that has an actual or potential interest in or impact on a company’s ability to achieve its objective. 12

Slide 13: 

The PR department performs the following functions Press relations Product Publicity Corporate Communication Lobbying Counseling 13

Marketing Public Relations(MPR) : 

Marketing Public Relations(MPR) New name for Publicity Companies turn to MPR to support corporate or product promotion and image making 14

Slide 15: 

MPR performs the following tasks in addition to publicity Launching new products Repositioning a mature product Building interest in product category Influencing specific target groups Defending products that have encountered public problems Building corporate image which will reflect on its products favorably. 15

Main Tools of MPR : 

Main Tools of MPR Publications - Annual reports ,Company magazines, Audio Visual Materials etc Events – News conference, Trade shows, Contests and Competitions etc Sponsorships –Sports and Cultural events News –Find or create favorable news about the company ,its product . 16

Slide 17: 

Speeches –Fielding questions from media or giving talks at trade associations. Public Service Activities – CSR activities. Identity Media – Create visual identity that public recognizes. 17

Major decisions in MPR : 

Major decisions in MPR 7/25/2010 Free template from www.brainybetty.com 18

Establishing the Marketing Objectives : 

Establishing the Marketing Objectives Build Awareness Build Credibility Helps to boost sales force and dealer enthusiasm. Hold down promotion costs 19

Choosing Messages and Vehicles : 

Choosing Messages and Vehicles The PR manager must identify or develop interesting stories to tell about the product. Here the challenge is to create news rather than find news. Event creation is used by profit & non-profit organizations to develop a multitude of stories directed at different audiences. 7/25/2010 Free template from www.brainybetty.com 20

Implementing the MPR : 

Implementing the MPR A great story is easy to place, but most stories are less than great & might not get past busy editors. Publicity requires extra care when it involves staging special events. 7/25/2010 Free template from www.brainybetty.com 21

Evaluating the MPR results : 

Evaluating the MPR results It is difficult to measure because it is used along with other promotional tools. The 3 most commonly used measures of MPR effectiveness are Number of exposures . awareness/comprehension/attitude change. sales-&-profit. 7/25/2010 Free template from www.brainybetty.com 22

Slide 23: 

Thank You 7/25/2010 Free template from www.brainybetty.com 23

OBJECTIVE : 

OBJECTIVE Sales promotion objectives vary widely from customer to retailer to manufacturer. Consumer promotion Increase short-term sales Help build long-term market share Entice consumers to try a new product Lure consumers away from competitors' products Encourage consumers to load up' on a mature product. Hold and reward loyal customers. 7/25/2010 Free template from www.brainybetty.com 24

Slide 25: 

Trade promotions Motivating retailers to carry new items and more inventory Inducing them to advertise the product and give it more shelf space Persuade them to buy ahead. 7/25/2010 Free template from www.brainybetty.com 25