PROMOTION

NAMA      : HANIS TRIJUNSA PUTRI

NPM          : 23210125

KELAS     : 3EB23

1.      What is promotion ?

Promotion is one of the  market mix elements, and a term used frequently in marketing.   The specification of five promitional mix or promotional plan. These elements are personal selling, advertising, sales promotion, direct msrketing, and publicity. A promotional mix specifies how much attention to pay to each of the five subcategories, and how much money to budget for each. A promotional plan can have a wide range of objectives, including: sales increases, new product acceptance, creation of brand equity, positioning, competitive retaliations, or creation of a corporate image. Fundamentally, however there are three basic objectives of promotion. These are

1.                  To present information to consumers as well as others.

2.                  To increase demand.

3.                  To differentiate a product.

There are different ways to promote a product in different areas of media. Promoters use internet advertisement, special events, endorsements, and newspapers to advertise their product. Many times with the purchase of a product there is an incentive like discounts, free items, or a contest. This is to increase the sales of a given product.

The term "promotion" is usually an "in" expression used internally by the marketing company, but not normally to the public or the market - phrases like "special offer" are more common. An example of a fully integrated, long-term, large-scale promotion are My Coke Reward and Pepsi Stuff. The UK version of My Coke Rewards is Coke Zone.

2.      What is sales promotion ?

Sales promotion is one of the seven aspects of the promotional mix. (The other six parts of the promotional mix are advertising, personal selling, direct marketing, publicity/public relation, corporate image  and exhibitions.) Media and non-media marketing communication are employed for a pre-determined, limited time to increase consumer demand, stimulate market demand or improve product availability. Examples include contests, coupons, freebies, loss leaders, point of purchase displays, premiums, prizes, product samples, and rebates.

Sales promotions can be directed at either the customer, sales staff, or distribution channel members (such as retailer). Sales promotions targeted at the consumer  are called consumer sales promotions. Sales promotions targeted at retailers and wholesale are called trade sales promotions. Some sale promotions, particularly ones with unusual methods, are considered gimmicks by many.

Sales promotion includes several communications activities that attempt to provide added value or incentives to consumers, wholesalers, retailers, or other organizational customers to stimulate immediate sales. These efforts can attempt to stimulate product interest, trial, or purchase. Examples of devices used in sales promotion include coupons, samples, premiums, point-of-purchase (POP) displays, contests, rebates, and sweepstakes.

 Consumer sales promotion techniques

·         Price deal: A temporary reduction in the price, such as 50% off.

• Loyal Reward Program: Consumers collect points, miles, or credits for purchases and redeem them for rewards.
• Cents-off deal: Offers a brand at a lower price. Price reduction may be a percentage marked on the package.
• Price-pack deal: The packaging offers a consumer a certain percentage more of the product for the same price (for example, 25 percent extra).
• Coupons: coupons have become a standard mechanism for sales promotions.
• Loss leader  the price of a popular product is temporarily reduced in order to stimulate other profitable sales
• Free-standing insert (FSI): A coupon booklet is inserted into the local newspaper for delivery.
• On-shelf couponing: Coupons are present at the shelf where the product is available.
• Checkout dispensers: On checkout the customer is given a coupon based on products purchased.
• On-line couponing: Coupons are available online. Consumers print them out and take them to the store.
• Mobile couponing: Coupons are available on a mobile phone. Consumers show the offer on a mobile phone to a salesperson for redemption.
• Online interactive promotion game: Consumers play an interactive game associated with the promoted product.
• Rebates : Consumers are offered money back if the receipt and barcode are mailed to the producer.
• Contests/sweepstakes/games: The consumer is automatically entered into the event by purchasing the product.
• Point-of-sale displays:-
• Aisle interrupter: A sign that juts into the aisle from the shelf.
• Dangler: A sign that sways when a consumer walks by it.
• Dump bin: A bin full of products dumped inside.
• Glorifier: A small stage that elevates a product above other products.
• Wobbler: A sign that jiggles.
• Lipstick Board: A board on which messages are written in crayon.
• Necker: A coupon placed on the 'neck' of a bottle.
• YES unit: "your extra salesperson" is a pull-out fact sheet. 
• Electroluminescent: Solar-powered, animated light in motion.
• Kids eat free specials: Offers a discount on the total dining bill by offering 1 free kids meal with each regular meal purchased.
• Sampling: Consumers get one sample for free, after their trial and then could decide whether to buy or not.

Trade sales promotion techniques

• Trade allowances: short term incentive offered to induce a retailer to stock up on a product.
• Dealer loader: An incentive given to induce a retailer to purchase and display a product.
• Trade contest: A contest to reward retailers that sell the most product.
• Point-of-purchase displays: Used to create the urge of "impulse" buying and selling your product on the spot.
• Training programs: dealer employees are trained in selling the product.
• Push money also known as "spiffs". An extra commission paid to retail employees to push products.

Trade discounts (also called functional discounts): These are payments to distribution channel members for performing some function .

Retail Mechanics

Retailers have a stock number of retail 'mechanics' that they regularly roll out or rotate for new marketing initiatives.

• Buy x get y free a.k.a. BOGOF for Buy One Get One Free
  
• Three for two
• Buy a quantity for a lower price
• Get x% of discount on weekdays.
• Free gift with purchase

Political issues

Sales promotions have traditionally been heavily regulated in many advanced industrial nations, with the notable exception of the United State For example, the United Kingdom formerly operated under a resale price maintenance  regime in which manufacturers could legally dictate the minimum resale price for virtually all goods; this practice was abolished in 1964.

Most European countries also have controls on the scheduling and permissible types of sales promotions, as they are regarded in those countries as bordering upon unfair business practices. Germany is notorious for having the most strict regulations. Famous examples include the car wash that was barred from giving free car washes to regular customers and a baker who could not give a free cloth bag to customers who bought more than 10 rolls.

3.      Kinds of promotion ?

Types of Promotion

Promotion includes all activities designed to inform, persuade and influence people hen they are making the decision to buy. Promotion is made up of:

Advertising

• non-personal communication transmitted through mass media\

Publicity

• free promotion through news stories in newsletters, newspapers, magazines and television

Sales Promotion

• all forms of communication not found in advertising and personal selling, including direct mail, coupons, volume discounts, sampling, rebates, demonstrations, exhibits, sweepstakes, trade allowances, samples and point-ofpurchase displays In designing a promotional plan, clearly spell out:

• Which objectives to use. It is possible to have more than one objective, but it is recommended that a company target its audience or run the risk of losing focus.

• What to say

• Who to say it to

• Criteria used to measure success

Suggestions for Inexpensive Promotion

Some inexpensive, appropriate and effective methods of promotion for the new food processor include advertising through:

• Personal selling

• Product demonstrations

• Direct mail

• Business cards

• Yellow Page listing

• Seminars

• Newsletters

• Contests

• Flyers

• Statement stuffers

• Window banners

• Greeting cards

• Sports team sponsor

• Home parties

• Ethnic services—languages spoken

Of course, one of the best free methods of promotion is good “word of mouth."

Promotion Objectives

The promotion objectives need to be clearly stated and measurable. They must be compatible with the objectives of the company, as well as the competitive and marketing strategies. Objectives vary for different products and different situations. For example, producers must promote differently to brokers than to wholesalers. When promoting to a broker, the producer must promote what he/she wishes the broker to present to the wholesaler. When promoting to a wholesaler, the producer simply wants the wholesaler

to purchase the product. There are five general promotional objectives to choose from. The five types of objectives for promotional activities are1:

• to provide information

• to increase demand

• to differentiate the product

• to accentuate the value of the product

• to stabilize sales

Promotional Strategy

Once the producer has reviewed all the possible promotional tools, he/she must devise a promotional strategy. A

promotional strategy should address the following issues:

• What is the goal of the promotion?

• What types of promotion should be used?

• What effect should the promotion have on the customer?

• Which promotion is working?

• Which promotion is not working?

• What are the costs of the promotion compared to the benefits?

4.      Why do we need promotion ?

Very few people hire on with any company or organization with the intention of remaining indefinitely at the position for which they were hired. Just because you started as the grunt who had to fix the copy machines doesn’t mean you don’t someday want to be CIO. At most companies, this could entail half a lifetime of climbing the corporate ladder. Each step up that ladder is generally going to involve asking for and receiving a promotion. The thought of asking for advancement is usually pretty frightening, but these tips will help you be more prepared.

1.        Show them the numbers

When you make your pitch about what a great job you’ve been doing and your value to the company, it will help your case if you can show your employer or supervisor specific results. Prepare documentation showing how and how much your brilliant ideas have helped them. This can be especially useful in the common scenario in which the person you’re dealing with doesn’t have the power to grant you a promotion. If that person has to fight on your behalf with his or her boss, you had better provide the best ammunition you

2.        Ask for more responsibilities

When asking for a promotion, it’s best to avoid that “P” word. If instead, you tell your boss you’re ready to take on more responsibilities, it will show that you’re prepared to tackle a larger or more complicated workload and aren’t just looking for a bigger office and fatter paycheck. It also gives your boss the option of gradually giving you the more important duties rather than just dumping you in a new position. Just make sure that if, after a few months, your tasks no longer resemble your job description, you bring that up and (with luck) get the new job title and paycheck.

3.       Invent a new position

If you feel that your skills are best suited to a position that doesn’t exist at your current organization, and you think you can make a strong argument for a need for that position, by all means, do so. Even if they won’t (or can’t) make the new position happen, you will have earned points for creativity while at the same time making it clear you are looking to advance.

4.       Bring up the topic in an informal setting

If you have the opportunity to meet with your boss outside the workplace, this can be a good way to make use of the occasion. Whether it’s at the bar for a drink after work, a big conference, or the company picnic, people will naturally be in a more receptive mood when they aren’t busy busy busy. But be careful in these settings. If you press too hard and your approach falls flat, you could be left in an awkward place for a couple hours with no easy means of escape. Phrase things lightly and back off if you don’t make any headway.

5.       Schedule a private meeting

Obviously, the alternative approach to having the promotion talk is to ask during regular work hours. Since during this time your boss is generally going to be busy, it’s a bad idea to just ask for a couple of minutes of his or her time. If you try to talk about a promotion like that, you could get shot down without your boss even looking up. Instead, schedule an appointment so that a block of time is set aside specifically for listening to you. Also, if possible, try to avoid revealing the specific topic of the meeting beforehand. Don’t go too far with this; you don’t want to annoy your boss by making the purpose of the meeting too mysterious. It’s just a bit harder to articulate a reason to say no to you when you’re in the room.

6.       Don’t be afraid to toot your own horn

Just make sure to play the right notes. It’s okay to brag a little — as long as it doesn’t sound like bragging. There is nothing wrong with reminding your boss of your accomplishments, since even if they were great, he or she might have forgotten about them. Mentioning that you’ve done this, this, and this, and that there are 15% fewer incidents in your department since you have started the job is great. Saying you’re the best system admin in the company is much less persuasive. Also, don’t forget that this is about you, so concentrate on all of your positive aspects and not on anybody else’s negative ones.

7.       Don’t make threats or demands

Be careful not to make your request for promotion sound like a demand. Don’t threaten to leave if you don’t get what you want (especially if you don’t intend to follow through on it). If you have been offered a new job somewhere else, you shouldn’t throw it in anyone’s face or try to use that offer to leverage a better deal where you are now. Doing so can potentially damage your reputation with both places. Remember to stay calm. Even if you really are fed up with your current position, try not to show it.

8.       Make friends in higher places

Before you actually ask about advancement, it’s a good idea to find somebody in the position you’re aiming for who is willing to take you under his or her wing. This offers four benefits:

·         Prior to making your pitch for promotion, it will give you the opportunity to see what’s in store and make sure that it’s what you want.

·         t will show your boss that you’ve taken the initiative to learn the ropes already.

·         It will give you a buddy on the inside — one who may have some influence in deciding whether you get the position.

·         After you get the promotion, it will give you a friendly ear you can go to for advice if things get hard.

9.       Learn new skills

It should go without saying that any time you have the opportunity to learn something new, you should take it. In particular, when you’re seeking a promotion, you’ll impress your boss if you can show that you’ve learned new skills that go beyond your current position. You might consider earning additional industry certifications or maybe go back to school for a higher degree. Taking on these things while working full time can be quite taxing, but with the ever-increasing availability of night classes and self-study materials, it’s definitely possible.

10.   Excel at your current position

Sometimes, actions speak louder than words. The best way to show that you deserve advancement is to simply shine where you are now. Go above and beyond the call of duty. Get to work early every day and stay a few minutes late. Try to come up with solutions to problems that haven’t been addressed yet. If your deadline is Friday, try to have everything done by Thursday.

Finally, remember to be a team player. Make sure that you aren’t irreplaceable. If you’re at the top among your peers, take the time to ensure that you aren’t the only one who can keep things running. This will show your superiors that you can be a proper leader, and it will help curtail the disastrous response to a request for promotion: “I’m sorry, but you’re doing such a great job, we just can’t afford to lose you where you are now.”

Sumber :

http://en.wikipedia.org/wiki/Promotion_(marketing) http://en.wikipedia.org/wiki/Sales_promotion