abhishreshthaa
Abhijeet S
The Promotion Plan
A PROMOTION PLAN IS:
Direct Extension of Firm’s Marketing Plan
A Specification of the Analysis, Strategy, and Tasks of the Promotional Effort
Needed to Conceive and Implement an Effective Promotional Effort
SIX MAJOR ELEMENTS OF A PROMOTIONAL PLAN ARE:
Executive Summary and Overview
Situation Analysis
Objectives
Budgeting
Strategy
Evaluation
EXECUTIVE SUMMARY & OVERVIEW
Executive Summary-States Most Important Aspects of the Plan
Overview-What is to be Covered in the Plan in General Terms
SITUATION ANAYLSIS
Marketers and Agencies Lay Out Most Important Factors Defining the Situations Facing the Firm, and Include:
Demographic Trends
Historical Context
Industry Analysis
Market Characteristics
Type of Consumer
Geographic Considerations
Competition
Product Characteristics
Category
Convenience Goods
Shopping Goods
Specialty Goods
Stages in Product Life Cycle
Characteristics of the Firm
Push vs. Pull Strategy
Funds Available
Size of Sales Staff
Extent of Firm’s Product Line
Characteristics of the Distribution
Intensity of Distribution
Intensive Distribution
Selective Distribution
Exclusive
Length of Trade Channel
Types of Trade Partners
COMMUNICATIONS vs. SALES OBJECTIVES
Increase Awareness of Brand Name to 40% of All Consumers in
Western US
Create Trial Use by 15% of all Teenagers 13-15
Communicate Superior Brand Performance Features to Target Audience with Series of Advertisements over Next Six Months
CHARACTERISITICS OF WORKABLE PROMOTIONAL
OBJECTIVES
Establish Quantitative Benchmark
Specify Measurement Methods & Criteria or Success
Specify a Time Frame
BUDGETING - METHODS
Percentage-of-Sales Approach
Unit-of-Sales Approach
Share of Market/Share of Voice
Funds Available
Objective & Task
BUDGETING FOR DIRECT MARKETING
Uses a Simple Cost-Based Method
Exact Bids Obtained - Printing, Sorting, Bundling & Mailing for Print Campaigns
Bids Obtained for Telemarketing, Infomercial or Catalog Selling from External Facilitators
BUDGETING FOR WEBSITES & BANNER ADS
Costs for Web Sites - $30K to $100K
Costs for Banner Ads - $10 CPM to $30 CPM
BUDGETING FOR PUBLIC RELATIONS
Most Difficult of All Budgets to Set - Most Expensive Public Relation Occurs During Crises
Most PR Firms Work on Retainers - Set on an Annual Basis
BUDGETING FOR PERSONAL SELLING
Recruiting Costs
Training Costs
Travel Expenses
Promotional Material - Samples, Catalogs, Product Brochures
Salaries & Benefits
Incentive Programs - Bonuses & Rewards
STRATEGY
Mechanism by which Something is Done
Account Planner Assists in Strategy
Works in Advertising Agency & Synthesizes all Relevant Audience Research to Formulate Promotional Strategy
EVALUATION
Marketer Determines How Promotional Program has Performed - Factor by Factor
Main Basis for Evaluation - Communications and Sales Objectives Set for the Program
Measuring the Effectiveness of Promotion & IMC
A PROMOTION PLAN IS:
Direct Extension of Firm’s Marketing Plan
A Specification of the Analysis, Strategy, and Tasks of the Promotional Effort
Needed to Conceive and Implement an Effective Promotional Effort
SIX MAJOR ELEMENTS OF A PROMOTIONAL PLAN ARE:
Executive Summary and Overview
Situation Analysis
Objectives
Budgeting
Strategy
Evaluation
EXECUTIVE SUMMARY & OVERVIEW
Executive Summary-States Most Important Aspects of the Plan
Overview-What is to be Covered in the Plan in General Terms
SITUATION ANAYLSIS
Marketers and Agencies Lay Out Most Important Factors Defining the Situations Facing the Firm, and Include:
Demographic Trends
Historical Context
Industry Analysis
Market Characteristics
Type of Consumer
Geographic Considerations
Competition
Product Characteristics
Category
Convenience Goods
Shopping Goods
Specialty Goods
Stages in Product Life Cycle
Characteristics of the Firm
Push vs. Pull Strategy
Funds Available
Size of Sales Staff
Extent of Firm’s Product Line
Characteristics of the Distribution
Intensity of Distribution
Intensive Distribution
Selective Distribution
Exclusive
Length of Trade Channel
Types of Trade Partners
COMMUNICATIONS vs. SALES OBJECTIVES
Increase Awareness of Brand Name to 40% of All Consumers in
Western US
Create Trial Use by 15% of all Teenagers 13-15
Communicate Superior Brand Performance Features to Target Audience with Series of Advertisements over Next Six Months
CHARACTERISITICS OF WORKABLE PROMOTIONAL
OBJECTIVES
Establish Quantitative Benchmark
Specify Measurement Methods & Criteria or Success
Specify a Time Frame
BUDGETING - METHODS
Percentage-of-Sales Approach
Unit-of-Sales Approach
Share of Market/Share of Voice
Funds Available
Objective & Task
BUDGETING FOR DIRECT MARKETING
Uses a Simple Cost-Based Method
Exact Bids Obtained - Printing, Sorting, Bundling & Mailing for Print Campaigns
Bids Obtained for Telemarketing, Infomercial or Catalog Selling from External Facilitators
BUDGETING FOR WEBSITES & BANNER ADS
Costs for Web Sites - $30K to $100K
Costs for Banner Ads - $10 CPM to $30 CPM
BUDGETING FOR PUBLIC RELATIONS
Most Difficult of All Budgets to Set - Most Expensive Public Relation Occurs During Crises
Most PR Firms Work on Retainers - Set on an Annual Basis
BUDGETING FOR PERSONAL SELLING
Recruiting Costs
Training Costs
Travel Expenses
Promotional Material - Samples, Catalogs, Product Brochures
Salaries & Benefits
Incentive Programs - Bonuses & Rewards
STRATEGY
Mechanism by which Something is Done
Account Planner Assists in Strategy
Works in Advertising Agency & Synthesizes all Relevant Audience Research to Formulate Promotional Strategy
EVALUATION
Marketer Determines How Promotional Program has Performed - Factor by Factor
Main Basis for Evaluation - Communications and Sales Objectives Set for the Program
Measuring the Effectiveness of Promotion & IMC