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Explore the essential components of sales promotion, publicity, and public relations in driving business success. Learn about the purposes of sales promotions and the various tools used for retail and wholesale efforts, as well as consumer-directed promotions. Understand public relations and its role in maintaining stakeholder relationships, alongside the significance of publicity in shaping public perception. Finally, delve into crisis management strategies and the importance of evaluating and monitoring public relations efforts to bolster brand image in a competitive market.
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Chapter Eighteen Sales Promotion, Publicity, & Public Relations
Objectives • Explain purposes of sales promotion • Identify retail & wholesale sales promotion tools • Identify consumer sales promotion tools • Introduce public relations • Overview publicity • Introduce crises management
Growth in United States Exceeds $250 billion dollars a year Increasing percentage of promotional dollars Consumer goods companies spend more on sales promotions than advertising Sales Promotion
Sales Promotion Objective: Bolster/complement other promotional mix elements during a specific time period Targeted toward: • Sales force • Wholesalers and retailers • Consumers
Trade Promotions Objective: • Motivate for special efforts • Increase number of distributors
Major Forms of Trade Promotion • Trade shows • Contests • Display equipment and P-O-P materials • Cooperative advertising & promotions • Vertical - channel members • Horizontal - group of retailers • Allowances
Product sampling Coupons Rebates Contest & sweepstakes Consumer Promotion
Premiums Multiple purchase offers P-O-P material Product placements/tie-ins Consumer Promotion
Public Relations & Publicity Public Relations: • Identify, establish, and maintain beneficial relationships between a company and its stakeholders Publicity: • Means of accomplishing public relations • Involves third party • Free • Limited control over content
The Uses of Publicity • Attract public’s attention • Maintain public visibility • Provide information • Change attitudes • Combat negative publicity from another source
Publicity: News Release Brief statement sent to the press or others describing: • A new product • Product improvement • A price change • Other interesting news
Publicity: Press Conference Meeting called by an organization to announce a newsworthy event to the press.
Appearances in public to promote, including: TV talk shows Book signings Radio talk shows Other events Publicity: Appearances
Product information Organization history Investor relations Customer service Publicity: Web Site
Purpose Means Target audience News releases Consumers Corporate visibility & image Press conferences General public Lobbying Employees Annual reports Product information Govt officials Event sponsorship Stockholders Web site Scope of Public Relations
Event Sponsorship Title sponsor creates event and activity • Sports sponsorships • Charity sponsorships
Crisis Management Emergency information dissemination • Rumor center • Fact-based • Press conferences • Outside experts • Localize
Evaluating & Monitoring Public Relations • Systematic • Compare with competitors • Monitor media & “chatrooms”
Review • Explain purposes of sales promotion • Identify retail & wholesale sales promotion tools • Identify consumer sales promotion tools • Introduce public relations • Overview publicity • Introduce crises management