Principles of marketing: Lecture 39

MGT301
Principles of Marketing
Lecture­39


Summary
of  
Lecture­38




Integrated Direct Marketing
Public Relations
Publicity


Public information about a company, good, or service 
appearing in the mass media as a news item.


Today’s Topics
Review 4th P (Promotion)


Marketing Communications


Simple Marketing System
Communication
Product/Service

Producer/Seller

Money

Feedback

Consumer



Promotion and Its Goals


Promotion


Marketing activities used to communicate 
positive, persuasive information about an 
organization, its products and its activities to a 
target audience



Purpose: to directly or indirectly create sales, 
influence consumers.


To whom does promotion 
communicate?



Consumers/potential consumers



Interest groups/regulatory agencies



Current/potential investors



Society in general



Company employees


Promotion Mix


Advertising



Personal Selling



Sales Promotion



Public Relations


The Marketing Communications
Mix
Advertising
Advertising

Any
AnyPaid
PaidForm
Formof
ofNon-personal
Non-personal
Presentation
Presentationby
byan
anIdentified
Identified
Sponsor.
Sponsor.

Personal
PersonalSelling

Selling

Personal Presentations by a
Firm’s Sales Force.

Sales Promotion

Short-term Incentives to
Encourage Sales.

Public Relations

Direct Marketing

Building Good Relations with
Various Publics by Obtaining
Favorable Unpaid Publicity.
Direct Communications With
Individuals to Obtain an
Immediate Response.


Setting the Total Promotion Budget
Affordable
Method

CompetitiveParity
Method

Percentageof-Sales

Method

Objectiveand-Task
Method


AIDA Model


Attention



Interest



Desire 



Action


Setting the Promotion Mix


Advertising
A paid form of non­personal communication about an 
organization and/or its products to a target audience 

through a mass medium.


Personal selling
The direct presentation of a product to a 
prospective customer by a representative of 
the selling organization.


Sales promotion
Demand­stimulating activity designed to 
supplement advertising and facilitate 
personal selling.


Public relations
A planned communication effort by an 
organization to contribute to generally 
favorable attitudes and opinions toward 
an organization and its products.


Direct Marketing
Direct connections with carefully targeted individual 
consumers to obtain an immediate response and 
cultivate lasting customer relationship


Advertising

Any paid form of non­personal presentation by an 
identified sponsor.