Mischelle Martis 19 Namrata Somani 20 Nilesh Limaye 21 Nehal Maniar 22 Pooja Parihar 23 Paresh Jadhav 24 Meghna Joshi 18

Pricing is an important component of an enterprise's business processes and financial performance.

Pricing is the process of determining what a company will receive in exchange for its products.

Manufacturing cost, Market place, Competition, Market condition, Quality of product.

Effective price is achieved after accounting for discounts, promotions, and other incentives.

Maximize long-run and short-run profit Increase sales volume (quantity) Increase monetary sales Increase market share Company growth Discourage new entrants into the industry Match competitors prices Survival Be perceived as “fair” by customers and potential

customers

Create interest and excitement about a product Discourage competitors from cutting prices Use price to make the product “visible" Build store traffic Social, ethical, or ideological objectives Get competitive advantage Obtain or maintain the loyalty and enthusiasm of

distributors and other sales personnel Enhance the image of the firm, brand, or product

Competition-based pricing EXAMPLE: Best Buy

Marketing SkimmingEXAMPLE: Luxury Items - digital TV, MP3 players

Market PenetrationEXAMPLE: collectors magazines

Price BundlingEXAMPLE: Croma, Fast Food Restaurants.

Multi-Unit PricingEXAMPLE:

EDLPEXAMPLE: Wal-Mart, Big Bazzar

Odd PricingEXAMPLE: Rs.399,Rs.199

Single PricingEXAMPLE: Dollar Shops

Promotional pricingEXAMPLE: Big Bazzar, ebay.com Multi Pricing

Promotion involves disseminating information about a product, product line, brand, or company. It is one of the four key aspects of the marketing mix.

Promotion is the communication of information about goods, services, images and/or ideas to influence purchase behavior

Promotion is generally sub-divided into two parts: Above the line promotion: Promotion in the media (e.g.

TV, radio, newspapers, Internet and Mobile Phones) in which the advertiser pays an advertising agency to place the ad

Below the line promotion: All other promotion. Much of this is intended to be subtle enough for the consumer to be unaware that promotion is taking place. E.g. sponsorship, product placement, endorsements, sales promotion, merchandising, direct mail, personal selling, public relations, trade shows

Goals are stated in specific and measurable terms. Positive word of mouth (WOM) is an important long-term goal.

An overall promotion budget is set on the basis of one of these techniques: all you can afford incremental, competitive parity, etc.

The promotional mix is outlined, based on the firm’s budget, the type of retailing involved, the coverage of the media, and the hierarchy of effects.

The promotional mix is enacted. Included are decisions involving specific media, promotional timing, message content, sales force composition, particular sales-promotion tools, and the responsibility for coordination.

The retailer systematically reviews and adjusts the promotional plan, consistent with its preset goals

To built awareness.

To create interest.

To provide information.

To stimulate demand.

To reinforce the brand.

Advertising Advertising is a form of communication used to influence individuals to purchase products or services or support political candidates or ideas.

Advertising is bringing a product (or service) to the attention of potential and current customers.

Advertising is focused on one particular product or service. Thus, an advertising plan for one product might be very different than that for another product.

Advertising is typically done with signs, brochures, commercials, direct mailings or e-mail messages, personal contact, etc.

Television

Radio

Cinema

News Papers

Magazines

Outdoor

Yellopages

Carry bags

T-shirts

Internet

Video Games

Modes of Advertising

Importance Of Advertising

Builds awareness of products and brands

Creates a brand image

Provides product and brand information

Persuades people

Provides incentives to take action

Provides brand reminders

Reinforces past purchases and brand

experiences

Public relations includes ongoing activities to ensure the overall company has a strong public image.

Public relations activities include helping the public to understand the company and its products.

Often, public relations are conducted through the media, that is, newspapers, television, magazines, etc.

Public relations is often considered as one of the primary activities included in promotions.

Public Relation

Media Relations

Media Tours

Newsletters

Special Events

Speaking Engagements

Sponsorships

Employee Relations

Community Relations and

Philanthropy

Public relation can be done through:

A sales promotion can be defined as a paid non-personal form of communication,

that incentives customers to visit a store and/or purchase merchandise during a

specific period.

To stimulate trial purchases.

To encourage repeat purchases.

To encourage larger purchases.

Introduce a new brand/product.

Counter competitor’s strategy.

Multiple purchase offers,Frequent-user incentives

P-O-P material

Product placements/tie-ins

TYPES OF SALES PROMOTION

Rebates

Contests, games & sweepstakes

Product sampling, demonstrations

Coupons, refunds

TYPES OF SALES PROMOTION

Attract customers

Short-term sales increase

To liquidate slow moving stock

Increase turnover

Advantages:

Only short-term

Hidden costs

Confusion

Price cutting -Brand image

Lack of effectiveness sometimes

Disadvantages:

Sales Promotion

Jaldi.com – Puzzle Contest

Dangdang.com – Lucky Time Activity

Dangdang.com – Membership Card

ebay.com, indiaplaza.com - Coupons

Get Lucky & Win…..

TATA INDICA XETA

TRIP TO THAILAND AND

GOA

Exchange Offer

Exchange Offers

Buy Scratch Win

Customer Loyalty Program (Membership Card).

Crowning contest.

Kids Painting competition.

CLP involves issuing of membership cards which helps a retailer to retain its customer for a longtime. MAX issues such type of card

on purchase of Rs.999.

This was a contest organized by MAX for kids. Wherein the kids could try

MAX clothes, wear a crown and take photographs with cartoons - MICKEY

and DONALD.

Crowning contest

This was a competition organized by MAX for kids. Kids were provided with free drawing materials and allotted an hour to paint a picture of their choice. The winners were

given Gift Vouchers worth Rs. 399

Presentation of merchandise to the customer in a visual way.

This gives customers a firsthand view of the product

To sell goods

To show new uses for products

To introduce new goods

To build prestige and goodwill

To show proper care of merchandise

To suggest merchandise combinations

Window display

Interior display

The trend away from window

Point of purchase Display

Industrial and Exhibition Visual Merchandising

Too much quantity on display

Inadequate Display

Confusing Display

One product category overshadowing the other

Color distortion in the store leading to consumer grievances

Personal selling is paid form of personal advertising, where salespeople assist customers in satisfying their needs

through person-to-person exchange of information.

Prospecting Approach Sales Presentation Handling objections Close Post sales follow -up

Direct Marketing is the process by which a firm approaches its customers on one-

to-one basis and markets its products directly to them.

Mail Order Marketing/Catalogue Marketing

Direct Mail Marketing

Telemarketing

Teleshopping

Online Marketing

Thank you