PROMOTIONAL TECHNIQUES

WHAT IS PROMOTION?

Promotion is an element of the marketing mix .

All communication from the marketer to the environment regarding the marketing org: or regarding the product is a promotional activity.

PURPOSE CREATE AWRENESS MAKE A FAVOURABLE ENVIRONMENTMEANS:- customers buy product Employee prefer to work for org: Suppliers be happy to provide raw materials Financiers offer finance for operation

AIMS:-

Inform about product and services Inform changes in the product Generate interest Persuade customers

5 DECISIONS TO MAKE PROMOTION PLANNING OBJECTIVE OF PROMOTION CHOISE OF MIX SELECTION OF MEDIA FORMULATION OF MESSAGE TIMING AND INTENSITY OF CAMPAIGN

Promotion mix4 TOOLS:

ADVERTISING PERSONAL SELLING SALES PROMOTION PUBLICITY

1. ADVERTISINGAdvertisements are paid non personal form of

presenting information regarding a product or service or idea.

Message passed through media. Such as, Newspapers Magazines Journals Radio Television Posters Hoardings Cinema slides etc..

2.PUBLICITY It is an unpaid form of promotion. It refersto the mention of product or service in any

published media like newspapers or trade journals.

Different kinds of publicity

a.) MEDIA Press release Conference Presentations articles

b) ORALIt is the way of mouth publicity and it is very

effective message pass through Intimate family Personal friends Professional colleagues Retailers representatives Producers representatives

c) PUBLIC RELATIONSpublic relations is the deliberate, planned and

sustained efforts to establish and maintain mutually beneficial relationships between organisation and public.

Tools journals?/ news letters Sponsored visits Sponsorship activities Special drivers Interst group meetings

3.PERSONAL SELLINGPersonal selling implies face to face

communication between a seller and a buyer.FEATURES Personal communication Oral messages Flexible Contact with limited number of people

PROCESS

Find prospects Approach Presentation Close sale After sale service

QUALITIES OF A GOOD SALES MAN

Physical qualities Social qualities Mental qualities Other qualities

4. SALES PROMOTIONIt is the process of stimulate sales by offering

several incentives .it is mainly stimulate short term sales.

SALES PROMOTION TECHNIQUES Point of purchase Trade shows Samples Premiums Coupons After sale services

Matching fundsMatching funds are the funds providing by

government tourism agency for tourist promotion.

Government grantsThese grants are mainly using for Tourist information centre Printed advertising Directional signs to tourist attract

Public promotion:Promotion which is geographically broad

such as regional, state, or national promotion can be effectively accomplished by govt: tourism organistion.

Private promotion Private organisations such as public

carriers, hotels and tour companieshas promoting tourism

Geographical promotionAccording to segments Income and price class Cultural interest Age Service desired Length of stay

What is price?Price is the amount that a person have to spend for acquiring some

product or service.

Pricing acquires when the firm acquires a new product, when it introduces its regular product in to a new distribution channel or geographical area or when it enters in a new contract.

Factors have to be considered before pricing

Objectives of setting the price Demand for the product Total expense of the product Price of similar products Selecting a pricing method Selecting the final price

Selecting the price objective Survival Maximum current profit Maximum current revenue Maximum sales growth Maximum market skimming Product quality leadership Other pricing objectives

Determinants demand Current market demand Future demandDemand varied according to: Nature of the product Price of the product Change in trends Season quality of the product Substitutes

Method of estimating demand Demand schedule Price elasticity of demand

= %change in quantity demanded %change in price

Estimating costsThe company wants to charge a price that covers

cost of producing, distributing, selling the product.

Types of costs: Fixed cost Variable cost Total cost

Price of similar products Identify competitors Analyse competitors costs, prices, and

offers Compare costs

Selecting a pricing method Psychological pricing Geographical pricing Promotional pricing Discriminatory pricing Product mix pricing

Responding to price changes Customers reactions to price change Competitors reaction to price change

Reaction of firm Maintain price Raise perceived quality Reduce price Increase price and improve quality Launch low price fighter line