A successful product or service means nothing unless the benefit of such a service can be communicated clearly to the target market. An organisation's promotional mix strategy can consist of:
Types of Promotion
Any non personal paid form of communication using any form of mass media.
Involves developing positive relationships with the organisation media public. The art of good public relations is not only to obtain favorable publicity within the media, but it is also involves being able to handle successfully negative attention.
Commonly used to obtain an increase in sales short term. Could involve using money off coupons or special offers.
Selling a product service one to one
Is the sending of publicity material to a named person within an organisation
Direct mail allows an organisation to use their resources more effectively by allowing them to send publicity material to a named person within their target segment. By personalising advertising, response rates increase thus increasing the chance of improving sales. Listed below are links to organisation who's business involves direct mail.
Promoting and selling your services online using various forms of online marketing techniques such as banner advertisments, videos or social media.
Where you pay an organisation to use your brand or logo. This organisation usually has a high profile so that you know that your brand will be seen by a large audience. Most common use of sponsorship is with sporting events. The 2012 Olympics being held in London is being sponsored by a number of organisations such as Mcdonalds and Coca-Cola as the event will attract a world wide audience that will run into hundreds of millions.
An effective communication campaign should comprise of a well thought out message strategy. What message are you trying to put across to your target audience? How will you deliver that message? Will it be through effective branding? logos or slogan design? straplines? . The message should reinforce the benefit of the product and should also help the company in developing a positioning strategy for the product. Companies with effective message strategies include:
Nike: Just do it.
Coca-Cola: The real thing
Media strategy refers to how the organisation is going to deliver its message. What aspects of the promotional mix will the company use to deliver their message strategy. Where will they promote it? Clearly the company must take into account the readership and general behaviour of their target audience before they select their media strategy. What newspapers do their target market read? What TV programmes do they watch? Targeting through effective media campaigns could save the company valuable financial resources.
As products move through the four stages of the product lifecycle different promotional strategies should be employed at these stages to ensure the healthy success and life of the product. Stages and promotion strategies employed are as follows:
When a product is new the organisation'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 the introduction stage of the lifecycle. Push and Pull Strategies will be used at this crucial stage.
As the product becomes accepted by the target market (at this stage of the lifecycle) the organisation will employ strategy to increase brand awareness and customer loyalty.
At this stage of the lifecycle 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 be need to be clearly communicated to the target audience.
As the product reaches the decline stage of its life cycle, all the organisation can do is use strategy to remind consumers about the product in a bid to slow the inevitable.
The development of the world wide web has changed the business environment forever. Dot com fever has taken the industry and stock markets by storm. The e-commerce revolution promises to deliver a more efficient way of conducting business. Shoppers can now purchase from the comfort of their home 24 hours a day 7 days a week.
Owning a website is a now a crucial ingredient to the marketing mix strategy of an organisation. Consumers can obtain instant information on products or services to aid them in their crucial purchase decision. Sony Japan took pre-orders of their popular Playstaion 2 console over the net, which topped 1 million after a few days, European football stars are issue press releases through the internet and have websites registered under their names. Hit rates are phenomenal.
Advertisers have now moved their money over to the internet as customers are on average spending more time online then watching TV. Popular ways to advertise seem to be with banner adverts and pop ups. To learn more about internet marketing please click on here.