Senin, 25 Maret 2013

PROMOTION

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 PROMOTION
Promotion is one of the market mix elements, and a term used frequently in marketing. The specification of five promotional mix or promotional plan. These elements are personal selling, advertising, sales promotion, direct marketing, and publicity. A promotional mix specifies how much attention to pay to each of the five subcategories, and how much money to budget for each. A promotional plan can have a wide range of objectives, including: sales increases, new product acceptance, creation of brand equity, positioning, competitive retaliations, or creation of a corporate image.
Fundamentally, however there are three basic objectives of promotion. These are:
·         To present information to consumers as well as others.
·         To increase demand.
·         To differentiate a product.
The objectives of product promotion are to increase sales, attract customers, improve product recognition and enhance brand identity. Product promotion benefits businesses by generating consumer demand, and benefits consumers by providing needed information about product availability and uses. Because of intense competition, it is critical to plan an effective strategy before initiating a promotion campaign. It is particularly important for small businesses to utilize their limited resources effectively
There are different ways to promote a product in different areas of media. Promoters use internet advertisement, special events, endorsements, and newspapers to advertise their product. Many times with the purchase of a product there is an incentive like discounts, free items, or a contest. This is to increase the sales of a given product.
The term "promotion" is usually an "in" expression used internally by the marketing company, but not normally to the public or the market - phrases like "special offer" are more common. An example of a fully integrated, long-term, large-scale promotion are My Coke Rewards and Pepsi Stuff. The UK version of My Coke Rewards is Coke Zone.
Sales Promotion
 Sales promotion  is one of the seven aspects of the promotional mix. (The other six parts of the promotional mix are advertising, personal selling, direct marketing, publicity/public relations, corporate image and exhibitions.) Media and non-media marketing communication are employed for a pre-determined, limited time to increase consumer demand, stimulate market demand or improve product availability. Examples include contests, coupons, freebies, loss leaders, point of purchase displays, premiums, prizes, product samples, and rebates
Sales promotion can be directed at either the customer, sales staff, or distribution channel members (such as retailers). Sales promotions targeted at the consumer are called consumer sales promotions. Sales promotions targeted at retailers and wholesale are called trade sales promotions. Some sale promotions, particularly ones with unusual methods, are considered gimmicks by many. Sales promotion includes several communications activities that attempt to provide added value or incentives to consumers, wholesalers, retailers, or other organizational customers to stimulate immediate sales. These efforts can attempt to stimulate product interest, trial, or purchase. Examples of devices used in sales promotion include coupons, samples, premiums, point-of-purchase (POP) displays, contests, rebates, and sweepstakes.
When your mechanic sends you a coupon for a discount on an oil change, or your local coffee shop rewards you with a free cup of coffee every tenth time you buy, you're seeing a promotional program at work.
A promotion is a planned strategy for increasing sales over a short period. A promotion adds value to the product or service offered. It stimulates sales for reasons other than the product's inherent benefits. We call those reasons incentives. Sometimes the incentive is designed to specifically make a sale, as in "$2.00 off medium pizza with this coupon." Other times the incentive is planned simply to expose the customer to the product--to break down preliminary barriers that are roadblocks to a future sale. With a promotional program, you can persuade people to try your product, to experiment with new beliefs about your service; you can shift buying habits so that light users find reasons to buy more.
Who uses promotions? There are business-to-business promotional programs, and there are consumer programs. We'll talk mainly about consumer programs. The concepts we'll discuss are really about the same for both. Remember, people do business with people. It's just a matter of what market you're trying to influence--end users or intermediaries.
Different businesses are drawn to different styles of promotion. The most frequent users of promotional programs are the retail services, like car care, hair care, and restaurants. Coupons are the most common promotion for these types of businesses; dry cleaners use coupons extensively, and so do groceries. It's the ability to track results, as well as their proven effectiveness, that makes coupon offers so popular.

In the business-to-business world, suppliers frequently engage in promotions by offering sale prices. You are less likely to see coupons here, because the patterns of purchasing are a little different. The person making the decision to buy may not be the same person who is writing the check, so requiring the physical coupon to be used would be an unnecessary barrier to the desired sale.
Even the most large of organizations offer their item, and for valid purpose. So what exactly is this reason? As easy as it may audio, we need promotion to let individuals know about a item. It need not be just a product; it can be a support, a residence, and anything that can be marketed for cash. The key factor here is the point that promotion is done about factors that are traded for real cash, and anyone who wants to offer something wants to create some benefit on it, and that is why promotion is done.  Apart from the apparent response that the signmakers do it, it is the big organizations and organizations that put up the most symptoms in promotion. The greatest objective of these organizations, of any organization, for that issue, is to benefit.
The quantity that goes into promotion is not a little one, so this should be apparent. They are in it for the a longer period transport. By promotion, each item that they produce goes out into the thoughts of the individuals who see the signboards and thus improves the possibilities of the item's purchase. The way promotion is done is just as essential as the act of promotion itself. If the promotion you see is something crazy, or done in a way that you can keep in thoughts quickly, you will go examine it out in a store for yourself, and if you do like it, you'll buy it. So the promotion has been a achievements.
Advertising is a key device in any item's lifestyle. Right from when an concept for a item is believed of, and the choice is created to produce it extensive, the promotion group starts its perform - considering and developing store symptoms, automobile symptoms, signboards, promotion occasion banner ads relevant to the item, and much more. Advertising is not restricted to items created by organizations alone - you could promote if you're using a meeting in your position, welcoming some superstar, beginning a store, beginning a purchase, almost anything that the globe at large needs to know about can be promoted.
If you go further into why we need promotion, the point that many individuals are actually based on this very promotion to stay their lifestyle becomes another purpose for its lifestyle. If promotion were to be eliminated, so many individuals or individuals would become homeless; the quantity would be incredible to say the least. The most well-known, and thus the most typical type of promotion is using signboards. Threes a signboard basically everywhere you look - in all designs, and in all colors. Technological innovation has created more and more types of signboards available, but the conventional hand-painted indication created by signmakers has not disappeared. Among the more recent types of performs are LED symptoms, that promote using shiny lighting style, and are seen in all locations around the globe, lighting style up the nightime with their lighting.
Vehicle symptoms and signboards still stay among the top types of indication promotion, and the need for these is ever existing. Since the expenses of large hoardings and other such factors is quite great, most small-time companies and separate suppliers choose the signboard way of promotion. Not only is it inexpensive, but it is also more efficient - you can position several little signboards in several locations instead of only one large holding on to, and for perhaps 50 percent the price, accomplish the same outcome.
Promotions work because people like something for nothing. They respond to two-for-one offers, and they love a good deal or free extras with their purchases. Special promotions help lots of businesses achieve their marketing objectives, such as combating seasonal cycles or stealing attention from the competition.
Promotion Types
You can create promotions of any of the following types:
a.       Product promotions
·         Percentage off per item
·         Fixed amount off per item
·         Fixed amount off for all
·         Buy X, get one or more items at a discount
·         Free gift with purchase
b.      Order promotions
·         Percentage off
·         Fixed amount off
·         Free gift with purchase
c.       Shipping promotions
·         Free shipping
·         Discounted shipping for an order using a selected ship mode
·         Discounted shipping for all items using a selected ship mode
·         Discounted shipping per item using a selected ship mode


Present Tense
§  These elements are personal selling
§  These elements are personal direct marketing
§  Promoters use internet advertisement
§  The person making the decision to buy
§  When your mechanic sends you a coupon for a discount on an oil change
§  The quantity that goes into promotion is not a little one
§  You can create promotions
§  Who wants to offer something wants to create some benefit
§  That promote using shiny lighting style
§  There are different ways to promote a product in different areas of media
Past Tense
§  Sales promotion can be directed at either the customer
§  Technological innovation has created more and more types of signboards available
§  Advertising is not restricted to items created by organizations alone
§  Other times the incentive is planned simply to expose the customer to the product
§  Wholesale are called trade sales promotions
§  Sales promotions targeted at retailers and wholesale are called trade sales promotions
§  If promotion were to be eliminated
§  The conventional hand-painted indication created by signmakers has not disappeared.
§  The choice is created to produce it extensive
  • A purchase, almost anything that the globe at large needs to know about can be promoted.

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