Marketing

A Quick Refresher

What is Marketing
The process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others. Simply put: Marketing is the delivery of customer satisfaction at a prot. Marketing is the process of creating an environment to sell

Marketing Mix- 4Ps - Strategy

Product (Customer Solution) Goods-and-service combination that a company offers a target market Price (Customer Cost) Amount of money that consumers have to pay to obtain the product

Target Customers Intended Positioning

Activities that persuade target customers to buy the product Promotion (Communication)

Advertising Personal Selling Sales Promotion Public Relations

Company activities that make the product available Place (Convenience)

Needs, Wants, Demands

Needs - state of felt deprivation for basic items such as food and clothing, and complex needs such as for belonging. (i.e. I am hungry.) Wants - form that a human need takes as shaped by culture and individual personality. (i.e. I want a hamburger, French fries, and a soft drink.) Demands - human wants backed by buying power. (i.e. I have money to buy this meal.)

Customer Value and Satisfaction

Customer Value Value gained from owning a product less the costs. Improve benets or reduce costs for improving Value. Customer Satisfaction Perceived performance in providing value, relative to expectations. Satisfaction has no bearing on the costs, unless reduced costs reduce expectations.

Marketing Management
Marketing Management
Implementing programs to create exchanges with target buyers to achieve organizational goals

Demand Management
Finding and increasing demand, also changing or reducing demand such as in Demarketing

Profitable Customer Relationships

Attracting new customers and retaining and building relationships with current customers

PPT Summary

01 -Marketing in the Changing world. Creating Customer Value and Satisfaction.ppt Dene what marketing is and discuss its core concepts. Explain the relationships between customer value, satisfaction, and quality. Dene marketing management and examine how marketers manage demand and build protable customer relationships. Compare the ve marketing management philosophies.

Analyzing Strategic Business Units (SBUsPortfolio)- The BCG Matrix

Calculate the Relative Market Share (Market Share of the given Product / Market share of 2nd highest market share product in the given products category) and Growth rate in the market.

High

Relative Market Share

Low

Market Growth Rate

High

Stars
!High mkt. growth & share ! Profit potential ! Heavy investment needed ! to finance rapid growth h ! old

? !High mkt. growth, low share

Dogs
!Low mkt. growth & share ! Low profit potential

Question Marks

! Build into Stars or phase out ! Very heavy investment ! needed if to build share b ! uild (or harvest or divest)

Cash Cows
!Low growth, high share ! Established, successful ! Produce cash hold (or harvest)

Low

hold (or harvest or divest)

Growth Strategies
Existing Products 1. Market Penetration Existing Markets New Markets
More usage Competitors customers Nonusers

New Products 3. Product Development

Product extensions New products

2. Market Development
New demographic New geographic

4. Diversification

Highest risk lose focus

Growth Strategies- Cont

Market Penetration: Selling more to current customer markets without changing products. How? Add new stores in current market areas, improve advertising, prices, service, packaging, store design, etc Market Development: Developing new markets for current products. How? Identify new demographic or geographic markets. Product Development: Offering modied or new products to current markets. How? New styles, avors, versions, etc. New complementary products. Diversication: New products for new markets. How? Start up or buy new businesses.

PPT Summary

02 -Strategic Planning and the Marketing Process.ppt Explain companywide strategic planning and its four steps. Discuss how to design mission statements, business portfolios, and growth strategies. Explain marketings role in strategic planning. Describe the marketing process and the forces that inuence it.

Marketing Environment
Analysis Identifying opportunities & threats (SWOT) Environmental scanning, trends Marketing research, marketing intelligence Marketing Environment - Actors and forces outside marketing that affect marketing managements ability to develop and maintain successful relationships with target customers. Includes: Microenvironment - forces close to the company that affect its ability to serve its customers. Macro-environment - larger societal forces that affect the microenvironment.

Microenvironment
Marketing Intermediaries Suppliers Company
Others in the company (the internal environment)

Customers
Competitors

Publics
Media, local public, citizen action groups, etc.

Macro-environment

PPT Summary
03 -The Marketing Environment.ppt Describe the environmental forces that affect the companys ability to serve its customers. Explain how changes in the demographic and economic environments affect marketing decisions. Identify the major trends in the rms natural and technological environments. Explain the key changes in the political and cultural environments. Discuss how companies can react to the marketing environment.

Market Research Process

Design, collection, analysis, and reporting of data relevant to a specific marketing situation
1. Defining the problem and research objectives
Hardest step: - Communications - Symptoms

2. Developing the research plan for collecting information

3. Implementing the research plan (collecting & analyzing data)

Most expensive Most subject to error

4. Interpreting and reporting the findings

MR Process
Exploratory Research

Small scale studies, focus groups

Gathers preliminary information that will help define the problem and suggest hypotheses. Describes things such as market potential for a product, consumers attitudes, actual behavior.

Larger scale surveys & observation

Descriptive Research

Experiments

Causal Research

Tests hypotheses about causea ! nd-effect relationships.

MR Process
Research plan development follows these steps: Determining Specic Information Needs Gathering Secondary information Already exists somewhere, having been collected for another purpose Commercial sources, online sources, internet sources, etc Good starting point quick, less expensive (often includes info. that company could not collect on own) Use caution:Relevant? Accurate? Current? Impartial? Planning Primary Data Collection (see next slides)

Research Approaches
Observational Research Gathering data by observing people, actions and situations (Exploratory & Descriptive)
+ Honest - Tells what, not why - Not practical for private, infrequent, long-term bhvr.

Research Approaches
Survey Research Asking individuals about attitudes, preferences, or buying behaviors (Descriptive)
+ Flexible, most used -! May be unwilling, or unable to answer

Experimental Research Giving matched groups different treatments, controlling other variables, and measuring differences (Causal)

Survey- Sampling
Who is to be surveyed? (what sampling unit?) How should the sample be chosen?
Probability sample? Non-probability sample?

How many should be surveyed? (sample size)

Sample = representative segment of the population

Non probability samples are Convenience Sample, Judgment Sample, and Quota Sample (see next slide)

Sampling
Probability samples each population member has a known !Simple random sample !!every member of population has a known & equal chance
of selection chance of being selected

!Stratified random sample !!population divided into mutually exclusive groups,

random samples drawn from each

!Cluster (area) sample

!!population divided into mutually exclusive groups,

researcher draws a sample of the groups

Nonprobability samples !Convenience sample select easiest population members !Judgment sample researcher uses judgment to select members
who are good prospects to provide accurate information

!Quota sample find a prescribed number of people in specified

categories

PPT Summary

04 -Market Research and Information Systems .ppt Explain the importance of information to the company. Dene the marketing information system and discuss its parts. Outline the steps in the marketing research process. Compare the advantages and disadvantages of various methods of collecting information.

Factors inuencing Consumer Behavior

Culture Subculture Social class

Most basic Broadest

Most specific Most individual

Psychological Factors - Maslows need hierarchy

Least Pressing

(self-development, fulfillment,self-realization)

Self Actualization

Esteem Needs Progress (self-esteem, recognition, admiration, status, prestige) up the hierarchy Social Needs
(belonging, love, relationships, family, friendship)

Safety Needs

Most Pressing

(security, protection, emotional safety, order, familiarity)

Physiological Needs
(hunger, thirst, shelter, air, sex)

Buying Decision Behavior

Significant perceived differences between brands Few perceived differences between brands High Consumer Involvement *

Complex Buying Behavior

Low Consumer Involvement

VarietySeeking Behavior

DissonanceReducing Buying Behavior

Habitual Buying Behavior

Cognitive dissonance (buyers remorse) * expensive, infrequently purchased, important, risky, and/or self-expressive

Buyer Decision Process

Sequence influenced by decision type:
! omplex C ! issonance-reducing D ! ariety-seeking V ! abitual H

Purchase Decision
5

Evaluation of Alternatives
3

Postpurchase Behavior

Information Search

Need Recognition
1

Personal sources most effective Commercial sources most used Public sources Experiential sources

Actual state vs. desired state Triggered by internal or external stimuli

PPT Summary
05 -Consumer Markets and Consumer Buying Behaviour.ppt Describe the four major categories of factors that inuence consumer buyer behavior, and the major inuences within each factor. Understand the major theories discussed under each inuence. Describe the four major types of buying decisions and the suggested marketing strategies for each. Understand the stages in the buyer decision process and how the type of buying decision inuences the process.

Segmentation Targeting and Positioning

Market Segmentation
1. Identify bases for segmenting the market 2. Develop segment profiles Divide total market into smaller groups of buyers with distinct needs, characteristics, or behaviors who might require separate products or marketing mixes.

Market Targeting
3. Develop measures of segment attractiveness 4. Select target segments

Positioning
5. Develop positioning for target segments 6. Develop a marketing mix for each segment
Marketing Mix= 4Ps

Market Segmentation - Levels

Dividing large, heterogeneous markets into smaller segments that can be reached more efciently and effectively with products & marketing mixes that match their unique needs/wants. Trend = less mass marketing, more specic segmenting - rie approach versus

Mass Marketing
(no segmentation, e.g., early Coca-Cola, Ford Model T)

Same product & marketing mix to all consumers

Segment Marketing
Different products and/or marketing mixes to one or more segments
(some segmentation, e.g., Mecca Cola)

Segmentation- Levels
Niche Marketing
Different products and/or marketing mixes to one or more subgroups within a segment
(more segmentation & smaller segments, e.g., luxury SUVs)

Micromarketing
Customizing for individuals and locations
(complete segmentation)

Local Marketing
Tailoring brands / promotions to local customer groups (e.g, many retailers)

Individual Marketing
Tailoring products and programs to needs of individual customers (e.g., Dell, Gateway)
4

Segmentation - Bases

Multiple Bases

Segmentation Bases

Multiple Bases

Requirements of Effective Segmentation

Measurable Accessible Substantial Differentiable Actionable
!Can size, purchasing power,

and segment profiles be measured?

!Can segments can be

effectively reached and served?

!Are segments large or profitable

enough to serve?

!Do segments respond

differently to different marketing mix elements and programs?

!Can effective programs can be

designed to attract and serve the segments?

Segment Attractiveness
Segment Size and Growth Right size & growth characteristics ? Segment Structural Attractiveness Competitors, availability of substitute products, power of buyers, power of suppliers ? Company Objectives and Resources Skills & resources needed to succeed in the segment(s) ? Competitive advantages

Targeting
Undifferentiated Marketing
Marketing Mix Market

Differentiated Marketing
Marketing Mix 1 Marketing Mix 2 Marketing Mix 3 Segment 1 Segment 2 Segment 3
Segment 1

Concentrated Marketing
Marketing Mix

Segment 2
Segment 3

Consider:

company resources product variability market variability

competitors strategies product life-cycle stage

Positioning for Competitive Advantage

!"

Products Position
!" !"

the way the product is defined by consumers the place the product occupies in customers minds, relative to competing products ( based on perceptions )

IMPORTANT: Consumers live in an over-communicated world want to simplify positioning occurs with or without the help of marketers
!"

Marketers must:
Plan positions to give their products the greatest competitive advantage in selected target markets !" Design marketing mixes to create these planned positions (not empty promises) Implant the brands unique benefits and differentiation in customers minds
!"

Positioning for Competitive Advantage

1. Identifying Possible Competitive Advantages

Positioning Strategy

2. Selecting the Right Competitive Advantage Points of differentiation: Product characteristics Service Unique selling proposition Channel Own a word or phrase People The marketing mix Image Avoid: Under-positioning Over-positioning ( Years to build, Confused positioning Can be quickly lost ) * Value proposition *
11

3. Delivering and Communicating the Chosen Position

Value Proposition
Examples of possible value propositions upon which to position: ! Based on benefits and price combination
More More for more Same More for the same Less More for less The same for less Less for much less ( Empty boxes represent losing combinations )

More Same Less

!Product attributes !Usage occasion !Against a competitor !Away from a competitor !Benefits offered !Users !Against an indirect competitor

PPT Summary
07 -Market Segmentation Positioning and Targeting.ppt Dene the three steps of target marketing: market segmentation, market targeting, and positioning. List and discuss the major levels of market segmentation, and the major bases for segmenting consumer markets. Explain how companies choose which market segments to target, and how they choose a market-coverage strategy. Discuss how companies can position their products for maximum competitive advantage in the marketplace.

What is a Product
A Product is anything that can be offered to a market for attention, acquisition, use, or consumption and that might satisfy a want or need Includes: Physical Goods Services (activities, benets, etc. that are intangible -- do not result in ownership of a physical good) Events Persons Places Organizations Ideas

Levels of a Product
3. Augmented Product Product is a complex bundle Additional services & Installation of benefits benefits (unexpected)
Packaging Delivery & credit Brand name Quality level Features Core benefit or service Aftersale service

Design

2. Actual Product
The physical product or service

Warranty

What the consumer is really buying (addresses underlying need or problem )

1. Core product

Product Classication

Brand Strategies
Existing Line Extension New
(Bic pens !

Existing New

Most new products (new flavors, forms, colors, ingredients, package sizes) (P & G, Estee Lauder, Seiko)

Brand Extension

Bic razors)

Multibrands

New Brands

Services Marketing
Intangibility
Cant be seen, tasted, felt, heard, or smelled before purchase (provide signals, tangibilize) Cant be separated from service providers

Inseparability

(internal marketing company to employees) (interactive marketing employees to customers) Quality depends on who provides service, and when Cant be stored for later sale or use (match supply & demand)
16

Variability Perishability

PPT Summary
08 -Product and Services Strategy.ppt Dene product, product levels (core, actual, augmented), & the consumer products classication Discuss the importance of product branding & brand equity Discuss issues of brand name selection & protection Describe brand sponsor alternatives & major trends Describe brand strategy alternatives -- new brands, multibranding, line extensions & brand extensions -- and their advantages and risks. Relate to product line decisions Discuss the challenges of services marketing

Product Life Cycle

Sales and profits ($) (or losses/ investment)
Rapid growth, competition Slow growth Growth slows, Longest stage, Most marketing management Not inevitable: activity revive? reposition?

+$ -$
Product Development

Time Introduction Growth Maturity Decline

PPT Summary

09 -New Product Development and Product Life-Cycle Strategies.ppt Explain how companies nd and develop new-product ideas List and dene the steps in the new-product development process Describe test markets, and the 3 types Describe the stages of the product life-cycle Describe how marketing strategies change during a products life-cycle

Factors affecting price

Internal Factors
Costs (variable + fixed) (the floor) (pp. 376-378) (experience curve or learning curve) Marketing objectives (pp. 374-375) Marketing mix strategy (pp. 375-376)

External Factors Pricing Decisions

Nature of the market & demand (pp. 379-383) (the ceiling) Competition (p. 383) Other environmental factors (economy, resellers, government & societal concerns) (pp. 383-384)

Internal Factors
Product Quality Leadership
High prices to cover higher performance quality and R & D Low as possible prices to become the market share leader

Market share leadership

Marketing Objectives

Current Profit Maximization

Choose the price that produces the maximum current profit (short-term)

Low prices to cover variable costs and some fixed costs to stay in business (s-t)

Survival

External Factors
Many sellers, few entry barriers, individual sellers have little effect on price (undifferentiated product Going rate pricing & price wars no control over pricing)

Pure Competition

Pure Monopoly
Single seller

Monopolistic Competition
Many sellers who trade over a range of prices (consumers perceive product as differentiated sellers have control)

Few sellers, very sensitive to each others pricing (relatively undifferentiated product no control)

Oligopolistic Competition

Factors- Price, Value

Demand Curve represents the number of units a market will buy in a given time period under different (changing) prices Normal Demand price & quantity are inversely related (demand curve slopes downward) Price Elasticity refers to how responsive demand will be to a change in price. Price Elasticity of Demand = % Change in Quantity Demanded / % Change in Price

Price Elasticity of Demand

Price Inelastic Demand demand hardly changes with
a small change in price (market is not price sensitive)

P2 P1

| %!Q | < 1 | %!P |

|-10%| = 1 | 20%| 2

P1 Q2 Q1

Price

price " revenue " # necessity! # price $ revenue $ unique, superior inexpensive Q2 Q1 Quantity Demanded few substitutes hard to compare

P2

Quantity Demanded

Prestige Goods
Price

P2 P1

Price ! Quantity Demanded !" (over a relevant range)

Q1

Q2

Quantity Demanded

Demand curve may slope upward:

Happens most often when: ! Product quality difficult for consumers to judge ! Consumers perceive that price indicates quality (you get what you pay for)

Pricing Approaches

Pricing Approaches

Product Cost Price Value Customers

Product-driven Starts with product & must convince customers its worth the price

Customers Value Price Cost Product

Customer-driven Starts with customers & designs the product to price target costing (p. 376) 10

Break Even Analysis

!"

Used to determine the sales volume needed just to break even if the product is sold at a certain price Break-even volume = fixed costs price variable costs

!"

Suppose: Fixed Costs = $300,000

Variable Costs = $10 per unit If Price is set at $20 Break even volume is: If Price is set at $30 Break even volume is :

300,000 = 30,000 units $20-$10 300,000 = 15,000 units $30-$10

New Product Pricing Strategies

Market Skimming
!!Setting a high price to skim maximum revenues from the target market. !!Results in fewer, but more profitable, sales. !!May reduce price later to attract more price sensitive markets.
"!

Use Under These Conditions:

"! "! "!

"!

Products quality & image support its higher price. Market not price sensitive. Costs of producing small volumes cant be so high that they cancel the advantage of charging more (i.e., dont need economies of scale). Competitors shouldnt be able to enter market easily & undercut the high price.

Continued...
Market Penetration
!!Setting a low price in order to penetrate the market quickly and deeply. !!Attract a large number of buyers quickly & win a larger market share.
"!

Use Under These Conditions:

"!

"!

"!

Market is large & highly price-sensitive so a low price produces market growth. Production & distribution costs must fall as sales volume increases (i.e., economies of scale). Low price can effectively keep out competition & low price position can be maintained.

Price Adjustment- Discount and Allowance

Adjusting the basic price to reward customers, or to provide incentives for certain responses
(most are for channel members & business buyers)

(pay early, e.g., 2/10 net 30)

Cash discount

(price to channel members)

Functional discount

(buy more from one seller)

Quantity discount

Trade-in allowance Promotional allowance

(to help channel members promote product)

(buy early or out of season)

Seasonal discount

Functional Discounts
Functional discounts represent product prices charged channel intermediaries compensates channel members (wholesalers & retailers) for stocking & selling the product E.g., pricing a book manufacturing cost ~$2.00
!!

publishers suggested retail price $20.00

(price a consumer pays at a bookstore)

!! !! !!

bookstore (40% discount) wholesaler (55% discount) distributor (65% discount)

12.00 9.00 7.00

Segmented Pricing
Selling products at different prices based on differences in demand, not on differences in cost

Customer segment pricing Product form pricing Product - Form

Location pricing

Time pricing

Promotional Pricing
Loss leaders Special-event pricing Cash rebates Low-interest financing Danger addictive; Longer warranties Free merchandise
10

Temporarily
pricing products below the regular price to increase short-term sales

over-reliance can damage brand equity & train consumers to be deal prone

What is a Distribution Channel

Major Trends

Why Intermediaries

Objective- Reduce the number of Channel Transactions

Distribution Channel Functions

These functions must be performed and are costly and benefit from specialization. They should be assigned to the channel member who can perform them most effectively and efficiently. Risk Taking Financing Physical Distribution Negotiation Information Promotion

Contact

Matching

Channel Design and Management

Analyze customer service needs Consider objectives & constraints Types & number of intermediaries Intensive Selective Exclusive Distribution Distribution Distribution
! As many intermediaries as possible (maximum access for customers) ! Convenience products ! Least control ! Least selling support ! 1 < x < all (good market coverage ! Shopping products ! Good control ! Good selling support ! Less costly to manage than intensive distribution ! 1 or very few ! Specialty products ! Prestige image ! Maximum control ! Maximum selling support ! Protects intermediary ! Legal if not anticompetitive (p. 451) More control

Less control

Management "

Number of Channel Levels

Direct Channel
M No intermediary level ! Direct marketing direct mail, catalog, web site, sales force, company-owned stores

Indirect Channels
M M

One level C R ! Large manufacturer & large retailers ! Smaller manufacturer using exclusive or selective distribution W Two levels R C

! Large manufacturer using intensive distribution (many smaller retailers) ! Small manufacturer Three levels R C W1 W2

! Perishable products needing very intensive distribution (e.g., meat, TV Guide) ! Industries/markets with many small mfrs. and/or many small retailers

Channel Behavior and Conict

Conventional Channels vs Vertical Marketing Systems

Conventional marketing channel
Manufacturer
!Lacks strong leadership ! Each independent firm shows little concern for overall channel performance ! Many conflicts ! Often weak performance ! One member exercises strong (& often formal) leadership ! Channel acts as a unified system ! Helps manage conflict ! Improves performance

Vertical marketing system (VMS)

Manufacturer Wholesalers Retailers Consumers

Wholesalers Retailers Consumers

Innovation in Distribution System

Horizontal Marketing System
Two or more companies at one channel level join together to follow a new marketing opportunity. E.g.,: Two retailers:
banks in supermarkets Bookshop in CCD Barista in ABN AMRO

Hybrid (Multi-Channel) Marketing System

Company sets up two or more distribution channels. To reach different market segments:
! ! E.g., smaller & larger businesses E.g, urban & rural customers

To establish more intensive distribution:

! ! Manufacturer uses independent retailers & VMS (e.g., Nine West) Direct & store (e.g., Avon)

Two manufacturers:
Pepsi & Lipton

To disintermediate

Marketing Communication

Steps in Developing Effective Communication

Identify the Target Audience
- Buyer Readiness Stages
Awareness Knowledge Liking Preference Conviction Purchase
Sales promo. & Personal selling Advertising & Public relations

Determine the Communication Objectives

- AIDA
Awareness Interest Desire Action
Advertising & Public relations Sales promo. & Personal selling

Trends: - less broadcasting, more narrowcasting - more direct marketing! (long form, direct response) - more sales promotion

Promotion Budget
Percentage-of-Sales Method Affordable Method Based on a percentage Based on what the company of current or forecasted sales can afford (reverse logic often leads to
opposite of what is needed)

(leads to under- & over-spending)

Competitive Parity Method Based on competitors budgets

Objective-and-Task Method Based on determining goals & (ignores differing objectives/needs) tasks, then estimating costs Most logical 1. requires thinking through the
relationship between spending and results 2. recognizes promotion is an investment 3. encourages finding (low cost) alternatives for accomplishing objectives

Promotion Mix
Advertising Personal Selling Sales Promotion Public Relations Direct Marketing
high reach at low CPM, repetition, public/ legitimate, l-t preference (builds loyalty), impersonal, one-way, absolute expense personal two-way interaction, relationship building, persuasive, most expensive provides incentive to buy now, often shortlived effectiveness, may dilute brand equity (breaks down loyalty) believable/credible (news, unbiased opinion), economical (do not pay for media), less controllable immediate, customized, often interactive, nonpublic, accountable

Promotion Mix- Push vs Pull

Wholesalers & retailers

Producer

Consumers

Producer
demand

Wholesalers & retailers

Consumers
demand

Promotion Mix Strategies

Advertising Sales Promotion Personal selling P.R.

Trends: - less advertising (except direct) - more personal selling to trade - more sales promotion (both consumer & trade)
Now 60% sales promotion / 40% advertising (traditionally reversed)

Traditional relative importance

Personal Selling Sales Promotion Advertising P.R.

Trends: - less face-to-face selling - more telemarketing & other inside sales to save cost - more b-to-b advertising (build awareness before the costly sales call)

Traditional relative importance

Promotion- Life Cycle

Introduction
Product development

Growth

Maturity

Decline

$0 Introduction

Time

use all consumer tools & all trade tools (must obtain

distribution, build consumer awareness, encourage trial) Growth decrease sales promotion (fewer incentives needed) Maturity reminder advertising, increase sales promotion (to combat heavy competition) Decline decrease all except sales promotion (especially trade)

Advertisement - Media
Medium

Newspaper Television Direct mail Radio Magazine Outdoor Internet

Advantages Disadvantages Flexibility; timeliness; good local market Short life; poor reproduction coverage; broad acceptability; believability quality; small pass along Good mass market coverage; low cost per exposure; combines sight, sound, & motion; appealing to the senses High audience selectivity; flexibility; no ad competition within same medium; allows personalization Good local acceptance; high geographic and demographic selectivity; low cost High geographic & demographic selectivity; credibility & prestige; quality reproduction; long life; good pass-along Flexibility; high repeat exposure; low cost; low message competition; good positional selectivity High selectivity; low cost; immediacy; interactive capabilities High absolute cost; high clutter; fleeting exposure; less audience selectivity Relatively high cost per exposure; junk mail image Audio only; fleeting exposure; low attention (the half heard medium); fragmented audiences Long ad purchase lead time; high cost; no guarantee of position Little audience selectivity; creative limitations Small, demographically skewed 8 audience; low impact; audience controls exposure

Sales Promotions

PPT Summary
15 -Advertising and Sales Promotions.ppt Describe the roles of advertising and sales promotion. Describe the major decisions involved in developing an advertising program (i.e., objectives, budget, message & media) & the major concepts and principles discussed under each. Describe how advertising agencies work. Understand the primary consumer, trade, and business sales promotion objectives & tools?