chapter 16 McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights...
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Transcript of chapter 16 McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights...
chapter16
McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights reserved.
IMC: Direct Marketing, Personal Selling and
Sales Promotion
16-3
Chapter 16 Objectives
Discuss the importance of relationship marketing & IMC
Define direct marketingand its role in IMC
Explain the importance of databases to direct marketers
Discuss the IMC role of personal selling
Describe the advantages & drawbacks of personal selling
Define sales promotion& its importance as a communications tool
Explain push and pull strategies & giveexamples of each
Identify benefits & drawbacks of sales promotion
16-4
By Using Linkage Media
Understanding Direct Marketing & Its Role in IMCDirect marketing is communication that . . .
GeneratesStore or Business
Traffic
GeneratesDirectOrders
PromptsInformation Requests (Leads)
Builds & Maintains a Customer Database
Loyalty Programs
CustomerLifetime
Value (CLV)
16-5
Understanding Direct Marketing & Its Role in IMC
Negative, sales-oriented reputation of direct marketing
Enjoyment of visiting retail stores
Hesitation to buy goods not seen, touched or tried
Privacy concerns
Glut of direct marketing messages
Lack of prestige of direct marketing media
Drawbacks to Direct Marketing
16-6
DirectMail
Types of Direct Marketing
Catalog
DirectResponse
Ads
16-7
Types of Direct Marketing
L.L. Bean’s catalog makes it convenient for customers to order the company’s products from home
16-8
Types of Direct Marketing
DirectMail
Interactive Broadcast
Catalog
DirectResponse
Ads
16-9
Advantages:
Mostpersuasive
Best way toestablish arelationship
Interactive
Drawbacks:
Laborintensive
Cost Reputation Easy to ruin
relationship
Advantages:
Cost Customer acceptance Interactive
Types of Direct Marketing
Personal TelemarketingDirectSelling
16-10
Role of Personal Selling in IMC
Communication functions of sales representatives
Building Client
Relationships
GatheringInformation
for Company
FulfillingCustomer
Orders
Providing Information to
Customers
16-11
Trade Shows
Trade Show Booths and Exhibits
Planning
Promotion
Budgeting
People
Productivity
16-12
Trade ShowsHow customers learn about trade shows
16-13
Negative Effect on
Brand Value
Positive Effect on
Brand Volume
Role of Sales Promotion in IMC
Value-added tool to accelerate product’smovement from producer to consumer
rebate sweepstakesor contestcoupon “freebie”
sponsorshipspecialpricing
16-14
Snapple used sales promotion and product positioning to advertise its Mango Madness flavor
Insert photo 10.15, p. 323
Snapple ad
Position = 2.9” horiz., 1.5” vertical
Size = 5.7” WIDE
Resolution: 300 dpi
Role of Sales Promotion in IMC
16-15
Types of Trade Promotions
Sales PromotionStrategies and Tactics
Slotting Allowances Trade Deals
Display Allowances Buyback Allowances
Allowances Meetings/Conventions
Premiums & Contests
Push Money & Spiffs
Co-op Advertising
Push
ProducerEnd
usersResellersMarketing
CommunicationsMarketing
Communications
16-16
Sales PromotionStrategies and Tactics
Rapala uses trade promotion to increase distribution
16-17
Sales PromotionStrategies and Tactics
Manufacturers like DeWalt often pay a fee for in-store exhibits
16-18
Sales PromotionStrategies and Tactics
Pull
ProducerEnd
usersResellersMarketing
Communications
Marketing Communications
Marketing Communications
Types of Sales Promotions
P-O-P Materials VIP Cards
Refunds & Rebates Sampling
Combination Offers
Coupons
Contest/Sweepstakes
Premiums
16-19
Sales PromotionStrategies and Tactics
Effectiveness of various promotions