Promotion strategy
Promotion affects the rate of sales of products. It is also important to form and consolidate a positive image of the company on the market. Through promotional activities the company achieves the following objectives:
- Offer is becoming known to potential customers,
- Customer opinion on the company is increased
- Need of customers are created, to adjust supply to demand.
The promotion strategy preparation involves following phases:
- Identify the customers,
- Identify the purpose of promotion,
- Design of communication message,
- Select appropriate communication media and promotion mix,
- Establish a promotional budget
- Verify the results of the promotion.
The basic promotional techniques are:
- Advertising (promotion mix element),
- Direct selling,
- Promotion directed to consumers and partners
- Economic propaganda (public relations) and "fame" (publicity)
- Promotion mix.
Advertising' is any paid form of impersonal message about ideas, products or services. The company uses advertising to inform customers about the current offer and encourage them to buy.
The characteristics of advertisement:
- Paid
- Indirect contact with the customer.
Direct sale (direct marketing) involves direct personal presentation of the goods or services to the customer. The primary objective of personal selling is a transaction. It is the oldest means of promotion. The costs are relatively high.
Promotion directed to consumers and partners. Sales promotion encourages the purchase of the product at the moment. Consumer promotion is directed to the ultimate purchasers, partner promotion is directed to the commercial agents.
Examples of promotion are:
- Premium purchase offer,
- Free products,
- Bonuses based on sale.
Consumer promotion include:
- Price reductions,
- Free samples,
- Gifts
Economic Propaganda and publicity rely on communicating with the broad environment. Its goal is to attract attention and stimulate positive image of the company.
Promotion mix. Creating a promotional mix involves selecting all described above techniques in order to achieve greatest result.
See also:
| Promotion strategy — recommended articles |
| Push strategy — Special offering — Types of promotion — Unsought good — Canvassing — Concept selling — Goals of marketing — Selling process — Promotion mix |
References
- Peter, J. P., Olson, J. C., & Grunert, K. G. (1999). Consumer behavior and marketing strategy (p. 122-123). London: McGraw-Hill.
- Cravens, D. W., & Piercy, N. (2006). Strategic marketing (Vol. 7). New York: McGraw-Hill.
