Sales Plan

PROMOTION ANALYSIS 1

Promotion Analysis

Devan Pouncy

Capella University

BUS-FP3030

Professor: Daniela Pavel

February 20, 2021

Promotion Analysis

Promotion is the fourth basic pillar in the 4 Ps in marketing concepts. Once the product, price, and place concepts have been well-optimized, the offer is ready for promotion. This concept is used to answer two main questions. The first question is how the customers found out about the business and the second question is the effectiveness of the strategies used. Other useful considerations are the competitors' promotion plan, communication strategies, and choice of who represents the product. The promotion analysis of Herman Miller's office chairs entails advertising the products, publicity, and sales promotions.

This analysis will entail the in-depth assessment of the Herman Miller office chairs. The company focuses on the branding of its product which maximizes its publicity in comparison to its competitors. Branding of the office chairs entices the target market to select the office chairs over other competitors and gets the prospect to view Herman Miller as the only provider of the solution to their issues. The company has also invested in the strategic placement of its products in the marketplace. The effective branding of the office chairs and the product's strategic positions have enabled an increase in the product's sales.

Herman Miller used a set of repeatable steps to take the prospective buyers from the early stages of awareness to a closed sale. The sales manager and the sales team follow a standardized sales process that enhances the concentration on the company's most important details. The sales process the company followed was: Prospection or lead generation, Approach the customers, Presentation of product to prospective customers, handling objections from the prospective clients, and closing the sale. The process has led to some significant sales and has brought revenue to the company. A possible suggestion of increasing the number of sales of a financial year is carrying out a follow-up of the prospective customers and the clients who purchased the products.

Product representation is a key factor to consider in the advertising and promotion analysis at large. Herman Miller settled on using Hello Design as one of their main advertising company to represent their office chairs. Hello, Design developed a new digital platform that included social media to connect to the world. This helped the company focus more on their designs while Hello Design represented them in the marketing field. The choice of representative was responsible for the upload of new blogs about new products and the Design of the office chairs. The website recorded a high level of traffic, which meant that the product was well advertised. Hello, Design Company was optimal for Herman Miller since it was able to achieve its set goals.

A communication strategy that includes effective communication channels and the media was also mandatory in Herman Miller office chairs' promotion analysis. The communication strategy included the message, the medium, and the target. Herman Miller maximized the use of Email marketing as their communication channel by lead nurturing. Herman Miller continually provided support to leads by anticipating their problems and needs and sending new interesting content relevant and educational to their prospective customers. These contacted people or organizations permitted Herman Miller to Contact them. The company also uses the media to showcase its innovations by the creation of short advertisement videos.

Recently, Herman Miller has invested in social media as their main promotion strategy. This strategy has brought a positive impact on the marketing and sales plans. Social media marketing has become a recent trend during the past few years. Herman Miller has adopted this promotional strategy to reach the mass market in a practical, economical method. Social media also encouraged active interaction with the office chair customers. The interaction developed more personalized relationships. This strategy was used to ease the marketing strategies economically while increasing their sales to meet their sales plan targets.

The company's integrated marketing program used 65% of its profit in paying the representatives who represent Herman Miller. The marketing program, which included television adverts, allowed the company to target the mass market and increase brand awareness worldwide. This was the most expensive promotional strategy in the marketing program. Since the company had adequate resources for promotional efforts, the strategy was suitable for the company. In return, the marketing program was able to attract more customers hence bringing a positive impact on economic business success.

In conclusion, the promotion strategies put in place for the company were successful and brought Herman Miller to the top of the list of office chair manufacturers around the world. The sales process and techniques and choice of product representative were carefully selected, enhancing better economic performance each year.

References

Brooks, W. T. (2004). Sales techniques. New York: McGraw-Hill.

Dolnicar, S., Grün, B., & Leisch, F. (2018). Market segmentation analysis: Understanding it, doing it, and making it useful.

Nadda, V., Dadwal, S., & Rahimi, R. (2017). Promotional strategies and new service opportunities in emerging economies.