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 Learning Objectives

 Define the five promotion mix.

 Integrated marketing communications (IMC).
 Describe and discuss the major decisions
involved in developing an advertising program.

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 Let’s discuss

What are communication activities that HSU has

performed in enrollment?

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 Promotion Mix

A promotion mix, or marketing

communications mix, is a specific
blend of promotion tools:
• Advertising
• Sales promotion
• Personal selling
• Public relations (PR)
• Direct and digital marketing

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 Promotion Mix

 Advertising - Any paid form of nonpersonal

presentation and promotion of ideas, goods, or services
by an identified sponsor.
 Sales promotion - Short-term incentives to encourage
the purchase or sale of a product or service.
 Personal selling - Personal customer interactions by
the firm’s sales force for the purpose of engaging
customers, making sales, and building customer
relationships.

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 Promotion Mix

 Public relations (PR) - Building good relations with the

company’s various publics by obtaining favorable
publicity, building up a good corporate image, and
handling or heading off unfavorable rumors, stories, and
events.
 Direct and digital marketing - Engaging directly with
carefully targeted individual consumers and customer
communities to both obtain an immediate response and
build lasting customer relationships.

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 New Marketing
Communications Model

Factors changing the face of today’s marketing

communications:
 Changing consumers
o They are better informed and more communications
empowered.
 Changing marketing strategies
o marketers are shifting away from mass marketing to
fragment
 Advancements in digital technology
 Sales literature on new media

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Integrated Marketing Communications (IMC)

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Integrated Marketing Communications (IMC)

(IMC) refers to carefully integrating and coordinating the

company’s many communications channels to deliver a
clear, consistent, and compelling message about the
organization and its brands.
 The communication messages often come from different
sources and customers don’t distinguish between message
sources.
 Conflicting messages from these different sources can result
in confused company images and brand positions.

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 Nature of the Promotion Tools
Promotion tool Description
• Reaches masses of buyers at a low cost per exposure
• Builds a long-term image for a product
• Can trigger quick sales
• Has a public nature and is viewed as legitimate
Advertising • Very expressive
• Impersonal and lacks the direct persuasiveness of
salespeople

• Personal interaction between two or more people

• Allows all kinds of customer relationships to spring
Personal up
selling • Buyer feels a greater need to listen and respond
• Most expensive promotion tool

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 Nature of the Promotion Tools
• Wide assortment of tools with unique qualities
• Attracts attention and offers incentives to purchase
Sales • Used to dramatize product offers and boost sales
promotion • Invites and rewards quick response but has short-lived
effects

• Very believable to readers

Public • Can dramatize a company or product
Relations (PR) • Reaches many prospects
• Effective and economical when well thought out

Direct & digital • More targeted and interactive

marketing • Immediate and personalized

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 Push versus Pull Promotion Strategy

Marketers can choose from two basic promotion mix

strategies.

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Major Advertising Decisions

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Possible Advertising Objectives

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Methods of Setting the
Advertising Budget

Percentage-
Affordable
of-Sales
Method
Method

Competitive Objective-
-Parity and-Task
Method Method

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 Setting the Advertising Budget

Coca-Cola spends hundreds of

millions of dollars annually, but
is that “half enough or twice too
much”?

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 Advertising Strategy

Creating advertising Selecting advertising

messages media

• Breaking through the • Steps in selection:

clutter  Determining reach,
• Gain attention frequency, impact and
• Communicate well engagement
 Choosing among major
media types
 Selecting specific media
vehicles
 Choosing media timing

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 Major Media Types

Medium Advantages Limitations

Television • Good mass-marketing coverage • High absolute costs

• Low cost per exposure • High clutter
• Combines sight, sound, and • Fleeting exposure
motion • Less audience selectivity
• Appealing to the senses

Digital, • High selectivity • Potentially low impact

mobile, and • Low cost • High audience control of
social media • Immediacy content and exposure
• Engagement capabilities

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Major Media Types

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 Effectiveness &
Return on Advertising Investment
 Return on advertising investment: Net return on
advertising investment divided by the costs of the
advertising investment
 Advertisers should regularly evaluate
• Communication effects
• Sales and profit effects

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Functions of Public Relations (PR)

Press relations or press agency

Product publicity

Public affairs

Lobbying

Investor relations

Development
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 Public Relations

 Promotes products, people, ideas,

organizations, and nations

 Builds good relations with consumers,

investors, the media, and communities

 Rebuilds interest in commodities for trade

associations

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 Public Relations

MilkPEP’s “Built With

Chocolate Milk” public
relations
campaign is repositioning
chocolate milk.
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 Role and Impact of PR

 Strong impact on public awareness at a lower cost than

advertising

 Power to engage consumers and make them part of the

brand’s story

 Limited and scattered use

 Powerful brand-building tool

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 Major Public Relations Tools

Written
News Special events
materials

Corporate
Audiovisual Public service
identity
materials activities
materials

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