The 4 Ps – Promotion (2/2)

The 4 Ps – Promotion (2/2)

In this lesson, you’re expected to:
– learn about the different methods used in a promotional mix
– understand how to promote through a product’s life cycle
– discover what the AIDA Model is

(1) Advertising

Advertising typically covers communication methods that are paid for like television advertisements, radio commercials, print media, and internet ads. In contemporary times, there seems to be a shift in focus from offline to online. 

Types of Advertising

1) Television  If you want your advertisement to reach customers in regional or national levels, television is the way to go, although it can be more costly than the other options.

2) Print – Can be distributed via direct mail or printed materials which include newspapers, flyers, and consumer magazines. You can also send letters, contests, brochures, and coupons to current or potential customers across the whole country. Print advertisements let people know what, where, when, and why they should buy your product.

3) Electronic – You can also advertise electronically through your company website and provide important and pertinent information to clients and customers. You can also send advertisements via direct email as part of your promotional strategy.

4) Radio – Relatively inexpensive yet very effective, radio advertisement is a great way to reach local customers and inform them about your business and products.

[Optional] 12 of the Best Marketing and Advertising Campaigns of All Time
https://blog.hubspot.com/blog/tabid/6307/bid/32763/The-10-Greatest-Marketing-Campaigns-of-All-Time.aspx#sm.0001ab1l5dykpfquypt1s6viy8q4f

If you’d like to refer to this later, you can find the link in the Additional Material section. 

(2) Public Relations

Public Relations, on the other hand, are communications that are typically not paid for. This includes press releases, exhibitions, sponsorship deals, seminars, conferences, and events.

It is usually focused on building a favorable image of your business. You can do this by doing something good for the the community or you can engage the local media and hold press conferences as part of your promotional strategy.

(3) Personal Selling

You can employ salespersons to promote and sell your products as part of the business communication plans. These salespersons play an important part in building customer relationships through tailored communication. Personal selling can be a bit costly, though, because you will need to hire professional sales people to do the promotion for you. But done right, the profit gained could outweigh the cost.

(4) Sales Promotion

This promotional strategy is done through special offers with a plan to attract people to buy the product. Sales promotions can include coupons, free samples, incentives, contests, prizes and loyalty programs.

You might also want to educate potential and current customers by holding trainings and seminars, or reach them via trade shows. Some of the target audience may be more receptive to a certain promotional method than another. You can also do sales promotions by setting up product displays during a public event or through networking at business and civic gatherings.

(5) Word of Mouth

This is also a type of product promotion. It is an informal communication about the benefits of the product by satisfied customers and ordinary individuals. Harnessed effectively, it has the potential to be one of the most valuable assets you have in boosting your profits both offline and online.

They say the best advertisers are satisfied customers and the reverse can also be said. When customers like or dislike your products, they tell other people about it.

[Optional] The Increased Importance of Word-Of-Mouth
The product life cycle has four clearly defined stages, each with its own characteristics that mean different things for businesses that are trying to manage the life cycle of their particular products.
Enlarged version: http://bit.ly/2o5jYts

Promotion through the Product Life Cycle

As products move through the four stages of the product life cycle, different promotional strategies should be employed at each stage to ensure the healthy success and life of the product. 

Below is an example of the promotional activities employed by a new dog food brand.

To see a larger version of this graph: http://bit.ly/2gADKck

 

Promotion through the Product Life Cycle

Promotion strategies that can be employed at each stage of the Product Life Cycle are as follows:

1) Introduction: When a product is new, the organization’s objective will be to inform the target audience of its entry. Television, radio, magazine, coupons etc. may be used to push the product through this stage of the life cycle. Push and Pull Strategies will be used at this crucial stage.

2) Growth: As the product becomes accepted by the target market, the organization will employ a strategy to increase brand awareness and customer loyalty.

3) Maturity: At this stage, the product will be experiencing increased competition and will need persuasive tactics to encourage consumers to choose their product over their rivals. Any differential advantage/benefit will need to be clearly communicated to the target audience.

4) Decline: As the product reaches the decline stage of its life cycle, all the organization can do is try to remind consumers about the product in a bid to slow the inevitable.

“Free gift inside!”, “Buy one, get one free”

Every day we’re bombarded with headlines like these that are designed to grab our attention. In a world full of advertising and information – delivered in all sorts of media, every message has to work extremely hard to get noticed.The AIDA model is a handy tool for ensuring that your advertising copy grabs attention. Promotional campaigns often take into account this model. The acronym stands for:
– Attention (or Attract) 
– Interest 
– Desire
– Action

These are the four steps you need to take your audience through if you want them to buy your product or visit your website, or indeed to take notice of the messaging in your advertising.

A slightly more sophisticated version of this is AIDCA/AIDEA, which includes an additional step of Conviction/Evidence between Desire and Action. People are so cynical about advertising messages that coherent evidence may be needed if anyone is going to act!

The AIDA Process

Attention: Attention is usually grabbed by the use of images, color, layout, typography, size, a celebrity, model etc.

Interest: Once attention is grabbed, it’s necessary to create interest in the viewer’s mind so that they will read more about the brand being advertised. By the use of an attractive sub-heading, interest can be invoked.

Desire: The element of desire is usually created by the use of body copy where you write in detail about the necessity of buying the brand, thereby explaining the features of the brand, facts and figures.

Action: Towards the end, the contact information of the brand will be given where they expect the viewers to take action immediately. It can be in the form of a shop address, toll free number or website address.

[Optional] Marketing Mix: Promotion Strategy
Watch this 6-minute video to learn more.

Link to the video: https://www.youtube.com/watch?v=3PapTssr1Sc
Jim Rohn