Promotion and the Promotional Mix • Promotion any form of communication a business uses to inform, persuade, or remind people about its products or to enhance its image.
Promotional Mix and Fashion • The promotional mix is any combination of the four components of promotion: • Sales Promotion • Public Relations and Publicity • Advertising • Personal Selling
Sales Promotion • Sales Promotion a short-term incentive used to interest customers in buying products. • Two main types of sales promotion • Trade Promotion • Consumer Promotion
Trade Promotion • Trade Promotion occurs within the industry. • A business directs this promotion to the next segment of the distribution chain. • Fiber and fabric companies promote their textiles to apparel designers and manufacturers. • Apparel manufacturers promote their styles and lines to retailers.
Consumer Promotion • Consumer Promotion is used by manufacturers and retailers and is directly targeted to the consumer.
Examples of Consumer Promotion • Fashion Shows • Special Appearances by designers • Truck Shows • Contests • Sales • Premiums • Free Samples • Free Services • Coupons • Email Offers
Public Relations and Publicity • Public Relations is a promotional technique that uses any form of communication to create a positive image for the business. • PR Activities may include hosting various events or raising funds for charities
Public Relations and Publicity • Publicity Any non-paid message that communicates information about a company’s merchandise, services, and activities. • Includes: designers promoting their latest lines to retailers announcing store openings. One method involves press releases, which are written as news stories sent out to newspapers and magazines.
Advertising • Advertising a paid message that a business sends about its fashion products or ideas. • The purpose of advertising is to inform, remind, and persuade. • AIDA = Attention, Interest, Desire, and Action
Promotional and Institutional Advertising • Two main categories of advertising • Promotional • Institutional • Promotional Advertising in the fashion industry is designed to increase sales, introduce new products, explain product features and benefits, and support selling efforts. • Institutional Advertising is designed to create a favorable impression and goodwill for a fashion business.
Types of Advertising Media • Media can be grouped into four categories: • Print Media • Broadcast Media • Online Media • Specialty Media
Print Media • Magazines • Long shelf life. High pass-along readership. • Involve extensive preparation and have long lead times. • Newspapers • Ad cost is lower and the lead time is shorter. • Not as well targeted as magazines. • Directory Advertising • Advertisements in the Yellow Pages or White Pages or fashion directories. • Direct Mail • Catalogs, newsletters, mailers, and bill enclosures. • Effective way to reach a specific segment of the population. • Outdoor Advertising • Billboards, transit ads, free-standing signs, and posters.
Broadcast Media • Television • Use a powerful combination of sound, color, and live-action effects to present a message. • Radio • Reach about 96% of people who are 12 years old and over. • Difficult to present a fashion message without visuals.
Online Media • Pop-up ads • Banner ads • Email • Facebook / Twitter Ads
Specialty Media • Magnets • Calendars • Pens
Planning Fashion Promotion • A fashion business must plan carefully to effectively promote its product and image to customers. • A fashion promotion plan is the detailed, written guide a business develops that states which promotional components will be used to reach specific goals in a designated period of time.
Promotional Plan • Outlines the: • Organization • Budget • Preparation • Details of promotional event
Planning Schedules • Retail fashion marketers usually develop their promotional plans in six-month increments. • Time periods are February – July and August – January.
Promotional Budgets • The promotional budget can be a percentage of the business’s net sales. • The percentage is usually between 5 and 10%.
Fashion Branding and Licensing • A consistent promotional message must be used to develop a brand image. • A brand is a name, design, or symbol that identifies a business or organization and its products.