Advertising VI

MAR 3271, Advertising 1

Course Learning Outcomes for Unit VI Upon completion of this unit, students should be able to:

8. Evaluate promotional tools. 8.1 Analyze a case that involves proposing a sales promotion based on what you know about the

product and the target market.

Course/Unit Learning Outcomes

Learning Activity

8.1

Unit Lesson Chapter 12 Chapter 13 Unit VI Case Study

Required Unit Resources Chapter 12: Sales Promotions Chapter 13: Public Relations and Sponsorship Programs

Unit Lesson Sales promotions, public relations, and sponsorships provide yet another method of communicating messages to consumers. Sales promotions attempt to persuade either potential customers or potential suppliers into purchasing a product/service. Consumer promotions attempt to entice the consumer to make the final purchase. Think about how many of the following consumer promotions you are involved with on a daily basis:

 Coupons: Consumers receive price reductions offered through print or electronic means.

 Premiums: Consumers receive gifts or other special offers when purchasing products.

 Contests: Consumers perform a certain activity and win a prize.

 Sweepstakes: Consumers are selected to win without any purchase or activity required.

 Refunds & rebates: Consumers receive money back after purchasing a product.

 Sampling: Consumers receive a small portion of the product with the idea of trying it.

 Bonus packs: Consumers receive additional products when purchasing another product.

 Price-off: Consumers receive the product at a reduction in price (sale). Take a look at the video below, which overviews Nestle’s use of consumer promotions. With respect to consumer demand and category development, what did Nestle do absolutely right? Think about what they did with respect to the reorganization of their sales force and the alignment of their sales promotion programs. Access the video about Nestle’s consumer promotions. Turning our attention to business-to-business (B2B), think about the impact of trade promotions. These are used by members of the supply chain (retailers, distributors, wholesalers, brokers, or agents) in order to incentivize purchases. Several methods are identified below:

UNIT VI STUDY GUIDE

Sales Promotions, Public Relations, and Sponsorship

MAR 3271, Advertising 2

UNIT x STUDY GUIDE

Title

 Trade allowances: Price reductions are offered to channel members.

 Trade contests: Incentives are provided to channel members who achieve sales targets.

 Trade shows: Companies participate at trade shows, which allows for the discovery of suppliers, customers, and other members of the supply chain.

Public relations focuses on maintaining a positive image of an organization by ensuring that negative connotations are subdued before they are spread or, in today’s language, go viral. Clow and Baack (2016) define public relations as a department that “manages publicity and other communications with every group in contact with the company” (p. 366). One of the most popular alternative marketing programs is that of sponsorship, whereby the company pays a designated amount of money to sponsor a person, group, or activity. In return, the company is touted as the sponsor, which leads to consumers feeling positive about the company. Theoretically, this will eventually influence the customer to buy the company’s products/services. Sponsorships have the goal of enhancing the company’s image and visibility, which differentiates the company from its competitors and develops relationships with current and potential customers.

Flash Cards

Access the Unit VI Flash Cards PowerPoint. PDF of Unit VI Flash Cards Note: In order to experience the full functionality of the presentation, it is recommended that you view the PowerPoint version. When viewed as a PDF, the buttons within the presentation may not work.

Reference Clow, K. E., & Baack, D. (2018). Integrated advertising, promotion, and marketing communications (8th ed.).

Pearson. https://online.vitalsource.com/#/books/9780134485027

Suggested Unit Resources In order to access the following resource, click the link below. The article below suggests that having consumers participate in the quality and improvement of a product is effective. Kostiw, T. (2015, June). Participation is king. Strategy, A31. https://search-proquest-

com.libraryresources.columbiasouthern.edu/docview/1690032764?accountid=33337