Launch! Advertising and Promotion in Real Time, 2009a
Launch! Advertising and Promotion in Real Time, 2009a Launch! Advertising and Promotion in Real Time, 2009a
Figure 2.8 A sales promotion is a time-based strategy to stimulate consumer demand for a product or service. SS+K’s client CREDO Mobile sponsored a promotion to entice customers to give up their current phone service and switch to CREDO. This is a pull strategy. “To P or Not to P”: How One P Affects Another Marketers look not only at each of the four Ps individually, but also at the interaction of product, price, promotion, and place. They fine-tune and adjust each to meet the needs of the market and create the best outcome for the company. For example, a seller may lower the price of a product during a promotional event. Likewise, holding a special promotional event may affect place because the seller must supply stores with enough products to meet the demand that the promotion will stimulate. Finally, the promotion might affect the product’s packaging, such as bundling a shampoo with a free sample of conditioner. Dig Deeper A new experiment Microsoft Corporation is running illustrates how different elements of the marketing mix can work together. The company is testing a grocery cart–mounted console that helps shoppers find products in the store, then scan and pay for their items without waiting in the checkout line. As they shop, Saylor URL: http://www.saylor.org/books Saylor.org 41
consumers will see video ads playing on these cart screens. But it gets better: Before they leave home, customers with a ShopRite loyalty card log into a Web site and type in their grocery lists. They go to the store and swipe their card on the cart, and the list appears. As they scan their purchases and put them in their cart, they get a running price tally, and their shopping list automatically checks off these items. The system also can sense where the cart is in the store so it can send ads to shoppers just when they wheel by certain key areas—for example, the cart might offer a discount on Lay’s potato chips at the exact moment they walk by the potato chip section. [2] Price, product, promotion, and place—all in play. KEY TAKEAWAY The marketing process attempts to create value for all parties involved to satisfy everyone’s needs. Marketers use the marketing mix of product, price, place, and promotion to do this. EXERCISES a. Demonstrate the differences between a “need” and a “benefit.” How are these concepts used to build the marketing concept? b. Discuss and characterize the four elements of the marketing mix. [1] MarketingPower.com, “Marketing Definitions,”http://www.marketingpower.com/content4620.php (accessed April 17, 2008). [2] Jessica Mintz, “Cart Console Finds Grocery Items for You,” USA Today,http://www.usatoday.com/tech/news/techinnovations/2008-01-14-microsoft-shoppingcarts_N.htm (accessed February 13, 2009). Saylor URL: http://www.saylor.org/books Saylor.org 42
- Page 2 and 3: This text was adapted by The Saylor
- Page 4 and 5: 1.1 Why Launch!? LEARNING OBJECTIVE
- Page 6 and 7: 1.2 Meet Our Agency Partner: SS+K L
- Page 8 and 9: This perspective is a consumer-cent
- Page 10 and 11: Follow the e-mail trail. Dr. Duke C
- Page 12 and 13: As you can see, it takes a village
- Page 14 and 15: 1.3 The Pitch: Win the Account LEAR
- Page 16 and 17: Initial strategic thinking. Before
- Page 18 and 19: Figure 1.9 The Pitch Process How do
- Page 20 and 21: 1.4 Let’s Meet the Potential Clie
- Page 22 and 23: 1.5 Exercises TIE IT ALL TOGETHER N
- Page 24 and 25: message to them. What do you percei
- Page 26 and 27: LEARNING OBJECTIVES After studying
- Page 28 and 29: eally are trying to fake you out. F
- Page 30 and 31: MySpace. We weren’t early enough
- Page 32 and 33: Specialty print media include bookl
- Page 34 and 35: Ad-Supported Content Ad agencies ar
- Page 36 and 37: [5] “Traditional Radio’s Digita
- Page 38 and 39: the promotional activities that int
- Page 40 and 41: increasingly thin layer of audience
- Page 44 and 45: 2.3 Advertising Industry Structure
- Page 46 and 47: Figure 2.10 Matrix Organization in
- Page 48 and 49: P&G reacted to this problem when it
- Page 50 and 51: Media buyers and media planners eva
- Page 52 and 53: Within a company, the jobs of the a
- Page 54 and 55: [1] Suzanne Vranica, “Ad Houses W
- Page 56 and 57: drumsticks and simulated drumhead p
- Page 58 and 59: Figure 3.1 Build a Foundation Chapt
- Page 60 and 61: 3.1 Economic Effects of Advertising
- Page 62 and 63: Broadcast radio and TV rely exclusi
- Page 64 and 65: 3.2 The Good: Advertising Enhances
- Page 66 and 67: washing with soap, that remain kill
- Page 68 and 69: share, so they tend to be more stri
- Page 70 and 71: now one of the primary attributes s
- Page 72 and 73: [8] Mister Snitch!, “Top Ten Reje
- Page 74 and 75: here is subjective—your image of
- Page 76 and 77: “If you let me play sports, I wil
- Page 78 and 79: Categories can be made quite specif
- Page 80 and 81: Luxury products are not a bad or wa
- Page 82 and 83: [9] Jean Grow and Joyce M. Wolburg,
- Page 84 and 85: 3.4 Advertising Regulation: Who Loo
- Page 86 and 87: Agencies), the ANA (Association of
- Page 88 and 89: [3] American Association of Adverti
- Page 90 and 91: about one-half the size of existing
Figure 2.8<br />
A sales promotion is a time-based strategy to stimulate consumer dem<strong>and</strong> for a product or service.<br />
SS+K’s client CREDO Mobile sponsored a promotion to entice customers to give up their current<br />
phone service <strong>and</strong> switch to CREDO. This is a pull strategy.<br />
“To P or Not to P”: How One P Affects Another<br />
Marketers look not only at each of the four Ps <strong>in</strong>dividually, but also at the <strong>in</strong>teraction of product, price,<br />
promotion, <strong>and</strong> place. They f<strong>in</strong>e-tune <strong>and</strong> adjust each to meet the needs of the market <strong>and</strong> create the best<br />
outcome for the company. For example, a seller may lower the price of a product dur<strong>in</strong>g a<br />
promotional event. Likewise, hold<strong>in</strong>g a special promotional event may affect place because the seller must<br />
supply stores with enough products to meet the dem<strong>and</strong> that the promotion will stimulate. F<strong>in</strong>ally, the<br />
promotion might affect the product’s packag<strong>in</strong>g, such as bundl<strong>in</strong>g a shampoo with a free sample of<br />
conditioner.<br />
Dig Deeper<br />
A new experiment Microsoft Corporation is runn<strong>in</strong>g illustrates how different elements of the market<strong>in</strong>g<br />
mix can work together. The company is test<strong>in</strong>g a grocery cart–mounted console that helps shoppers f<strong>in</strong>d<br />
products <strong>in</strong> the store, then scan <strong>and</strong> pay for their items without wait<strong>in</strong>g <strong>in</strong> the checkout l<strong>in</strong>e. As they shop,<br />
Saylor URL: http://www.saylor.org/books<br />
Saylor.org<br />
41
Change language