Market promotions chapter three

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Market promotions chapter three

Market promotions chapter three

Because promotion involves different people with different background. Hence, these people should understand the strategy and marketing mix.

The promotional strategy should be compatible with company objectives, policies, organizations and capabilities. Promotional tasks should match marketing tasks including marketing objectives and target market.

Managers must determine to what extent the promotional objectives and promotional strategy are compatible. The physical product Bundle of attributes tangible and intangible Elements supporting the physical product e.

Its emotional components e.

Market promotions chapter three

The intent of the product is to meet the needs and wants of target markets. The intent of promotion is to communicate the product to those target markets.

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So what is our concern here? The role of promotion and the most effective promotional mix vary. Based on what factors? Types of product Product classification Where it is in its life cycle Strategic components of the product itself a.

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Product classification Products can be classified as: Consumer and industrial products Goods and services PowerPoint Presentation: Consumer and industrial products Basis: Because the same product may be used by ultimate users and industrial users.

Use size of purchase and intent to make and a profit as a base. What is its promotional implications? The decision-makers in both categories vary and promotion decisions should target these decision-makers.

What is the difference between decision-makers? Decision to buy industrial goods is made by professionals-such as purchasing agents or committees.

Factors they consider include cost.

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The decision is more rational and is made based on factual information. Therefore, the promotional effort for industrial products include, in order of emphasis: Personal selling, involves face-to-face communication. It also involves flexibility of communication. Sales promotionespecially trade deals presented through sales people Trade advertisingthat uses print media heavy on information copy PowerPoint Presentation: Therefore, it should emphasize: Mass selling TV and print advertising Sales promotion at the point of purchase Public relations as a reinforcement Personal selling should be used when the product is expensive or technically or conceptually complex.

The primary goal of promotion is to describe the benefits derived from the services. Personal selling and advertising mass ad using testimonials Inseparability: Therefore intermediaries should promote Heterogeneity: Because it is highly labor intensive Therefore use celebrities famous persons Perishability: The goal of promotion is therefore to convince more consumers to use the product and to use it in a more predictable pattern.

Product Life Cycle There are four stages: Decline stage PowerPoint Presentation: Introductory Stage New product or market with high cost and less sales volume profit.

Therefore, promotion should stimulate primary demand.

University Food Market (1957-2003)

Growth Stage The product becomes successful and this in turn attracts new competitors. The goal of promotion is to create brand conviction and purchase.Figure Segmentation in the Market-Driven Strategy Process 9 Market Segmentation, Value Opportunities and New Market Space Market segmentation is the process of placing the buyers in a product-market into subgroups which they can response to a particular positioning strategy.

Having segmented its market, the Martinez Corp. has decided to treat each of two submarkets as a separate target market requiring a different marketing mix.

Apparently, Martinez is following the _______ target market approach. Advertising and Promotion: Chapter 3 the role of ad agencies and other marketing communication organizations.

Participants in the Integrated Marketing Communications Process: Advertisers Objective viewpoint of the market. Broad range of Experience. Account Services: Link between the ad agency and its clients.

When the Salters finally retired about , Ta-Kome got the space, expanded to fill half the block, and renamed itself University Food Market (UFM), since now it was indeed a supermarket as well as a deli. Visit Yahoo Help. Yahoo Japan users - please visit Yahoo Help to learn how to add your email address.

The Channels Mix A channel of distribution is the marketing mechanism used to present, deliver and service the product for consumers. A manufacturer must consider how the channel of distribution itself conveys a promotional message.

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