SOC204: PRINCIPLES OF MARKETING

PRESENTATION BY: MA’AM ROQUESA G. DELA TORRE, LPT

OBJECTIVES:
• Define and identify relevant promotional tools;
• Promote a product using different promotional
tools;
• Discuss an understanding of the importance of
identifying relevant promotional tools.
PROMOTIONAL TOOLS
Oftentimes, advertising is equated with
marketing. But as you know, advertising and
promotions in general are part of the marketing
mix. Promotion keeps the product in the minds
of the customer and helps stimulate demand for
the product.
OBJECTIVES OF PROMOTION:
1. Build awareness
• People will know that your product exists.
2. Create interest
• Since people or the consumers are already aware of the product,
they can now build curiosity regarding to the benefits of your
product and how these products can satisfy their needs and
wants.
3. Provide information
• Because of their curiosity, as the marketer, you need to provide
important information regarding your product.
OBJECTIVES OF PROMOTION
4. Stimulate demand
• Those people who are convinced to buy your product, they are
now creating demand towards your product.
5. Reinforce the brand
• Make a name to your product or branding.
ADVERTISING
Comes from the Latin Words “Ad” for towards and “Verto” for I
turn which literally means to turn the people’s attention to a
specific thing.
• Any form of paid non-personal presentation and promotion of
ideas, goods, or services through mass media such as newspapers,
magazines, television, or radio by an identified sponsor for the
purpose of inducing people to buy.
• The process of delivering a message about ideas, goods, and
services, through the media, paid by an individual sponsor.
 ADVERTISING
• Constitutes the most visible communication tool in a marketer’s
arsenal.
• It is expensive therefore only larger companies can afford it.
TYPES OF ADVERTISING
1. Print Advertising

• It is the oldest media.

• It is printed on some type of paper.
• It can be seen in magazines and newspapers.
• It is effective if people can read it, but it reaches large number of
people
TYPES OF ADVERTISING
2. Outdoor Advertising

• Publicized product or service outdoors.

• It is suitable for small business.
• It must be attention seeker.
Examples are billboards, bus benches and on buses and many
others.
TYPES OF ADVERTISING
3. Broadcast Advertising

• It reaches wider audience.

• Great impact on listener or viewers.
• It can be seen or heard on radios, television, and internet
commercials.
TYPES OF ADVERTISING
4. Surrogate Advertising

• It is to advertise indirectly
• It is banned by law.
Advertise for: cigarettes or alcohol.
IMPORTANCE OF ADVERTISING
1. Advertising does not mean that you are selling the product, but
you are increasing the sales of the product.
2. People will become aware of the product.
3. It will also create brand awareness.
4. It creates regular demands.
5. It provides information about the market and the things that
happens around you. 6. It also helps in educating the people.
STEPS IN ADVERTISING PROCEDURE
1. Identify your purpose.
You are informing the customers about the product/services and
how they are going to avail it. You are also persuading them that
your products/services are better than your competitors.
Moreover, you are reminding the consumers to use the products
or services.
2. Target your audience.
You are going to determine or identify the people that will use or
buy the products or services. Market research will tell you who
and where your target customers are.
STEPS IN ADVERTISING PROCEDURE
3. Select a Medium.
You are going to determine what medium you are going to use to
reach your potential customers with the most effective, efficient,
and affordable you can select for the advertising.
4. Create the Ad.
You will be creating your ad. Beyond the widespread interest in
great, creative advertising, your product or service, purpose, and
budget are the realistic parameters. Always make sure that your ad
is always appropriate for your audience, product, service, and
budget.
STEPS IN ADVERTISING PROCEDURE
5. Place and Time of the Ad
When you are selecting where to place your ad, always remember
to place it where it can reach the right user, in the right place and
at the right time.
6. Fulfill Expectations
Always make sure that you fulfill the promises mentioned in your
advertisements. Optimize your advertising strategy by tracking
and new innovative technologies.
SALES PROMOTION
It is the set of marketing activities to boost the sales of the
products or services. It is the process of persuading a potential
customer to buy the product. Sales promotion tools are used by
organizations, including the manufacturers, distributors, retailers,
and not-for-profit institutions. It targeted the final buyers.
TOOLS OF SALES PROMOTION
A. Consumer Oriented Promotion Tools

• Free samples
• Coupons
• Exchange Scheme
• Discounts
• Premium offers
• Personality Promotions
• Installment Sales
TOOLS OF SALES PROMOTION
B. Trade-oriented Sales Promotion

• Cash Bonuses
• Stock Return
• Credit Terms
• Dealer Conferences
• Dealer Trophies
• Push Incentives
TOOLS OF SALES PROMOTION
Advantages of Sales Promotion
• Price Discrimination
• Effect on consumer behavior
• Luring new customers with price

Disadvantages of Sales Promotion

• Increase price sensitivity
• Short Term Orientation
PUSH STRATEGY
It involves taking the product directly to the customer via
whatever means, ensuring the customer is aware of the brand at
the point of purchase.
Examples of Push Tactics
• Trade show promotions to encourage retailer demand.
• Direct selling to customers in showrooms or face to face.
• Negotiation with retailers to stock your product.
• Efficient supply chain allowing retailers an efficient supply.
• Packaging design to encourage purchase.
• Point of sale displays
PERSONAL SELLING
Personal Selling is an oral communication with the potential
buyers of a product with the intention of making a sale. It is the
oldest form of promotion. It is a two-way flow of communication
between the buyer and the seller. It is a face-to-face or real time
encounter. According to Philip Kotler: “As face-to-face interaction
with one or more prospective purchasers for the purpose of
making the sales.”
PERSONAL SELLING
Personal Selling is an oral communication with the potential
buyers of a product with the intention of making a sale. It is the
oldest form of promotion. It is a two-way flow of communication
between the buyer and the seller. It is a face-to-face or real time
encounter. According to Philip Kotler: “As face-to-face interaction
with one or more prospective purchasers for the purpose of
making the sales.”
WHEN IT IS USEFUL?
1. When company is small or does not have sufficient funds to
carry an advertising program.
2. When the market is concentrated.
3. When the personality of the salesman is needed to establish
rapport or create confidence.
4. When the product has higher unit value.
5. When it requires demonstration.
6. When it must be fitted to the individual customer’s needs.
7. When it is purchased frequently.
STEPS OF PERSONAL SELLING
1. Prospecting, Identifying and Qualifying
• You will pick the best prospect out of the crowd.

2. Pre-Approach and Call Planning

• This step involves the collecting of as much relevant information
as possible prior to the sales presentation. The pre-approach
investigation is carried out on new customers but also on regular
customers
STEPS OF PERSONAL SELLING
3. Presentation Approach and Demonstration
• The salesperson should always focus on the benefits for the
customer.
• This is done by using the product’s features and advantages. This
is known as the FAB technique (Features, Advantages and
Benefits).

4. Handling of Objections
• It is where you handle doubters or pessimistic people and those
who are against the product.
STEPS OF PERSONAL SELLING
5. The Close
• It is where the deal is closed. It is either the they slammed the
door or accepted the product.

6. The Follow-Up
• It is the last stage wherein you are going to follow up especially
those customers who are convinced but not able to buy due to
lack of funds.
PUBLIC RELATIONS
Public relations (PR) is the practice of managing the flow of
information between an individual or an organization and the
public. The aim of public relation is to persuade the public,
investors, partners, employees, and other stakeholders to
maintain a certain point of view about it, its leadership, products,
or of political decisions. It is the company armor that the company
can wear which would protect the company during adverse times.
PUBLIC RELATIONS
1. “Public relations is a planned process to influence public
opinion, through sound character and proper performance, based
on mutually satisfactory two-way communication.”
2. Public relations can also be defined as the practice of managing
communication between an organization and its publics.
3. According to A.B. Ilano of Principles of Marketing,” PR is also
about ensuring that influence groups have positive feelings about
the company so that the firm can survive potentially hostile
political environments.”
There are four PR process according to Marston and that is RACE
which stands for:

R - Research
A - Action
C - Communication
E - Evaluation
FUNCTIONS OF PR
Press Relations
• Giving news and information about the firm in the most
favorable way.

Product Publicity
• Sponsoring occasions to advertise explicit products.

Corporate Communications
• Inducing better understanding of the organization via internal
and external communications
FUNCTIONS OF PR
Lobbying

• Managing administration and government officials to support

or defeat law and regulation

Advisors

• Counseling the management concerning public matters with

respect to the company’s image during the good and bad
period
ADVANTAGES OF PR
• Credibility
• Cost
• Avoidance of Clutter
• Lead Generation
• Ability to reach specific groups
• Image Building
DISADVANTAGES OF PR
• Difficult to quantify PR benefits
• Lack of control
• ‘Deft’ management required
USES OF PR
• Uses of PR Customer complaints and redressal
• It is an opportunity to cement relations with the customer
• Very important in the service and hospitality industry
Combating rumors/falsehoods
• Confront and disclose facts in leading media • Give the positive
side of the story
• Capitalize on rumor to your benefit
• Rumor can be dismissed as ridiculous
DIRECT MARKETING
• is the use of consumer direct channels to reach and deliver
and services to consumers without using marketing
middlemen. It helps the companies to opening dialogue
directly between themselves and the consumers of their
products. It targets individual users rather than through
intermediaries.
 FORMS OF DIRECT MARKETING:
1. Direct Mail Marketing
• It involves sending an offer, announcement, reminder, or other
item to a person through mail.
• Marketers send out millions of mail pieces each year, using
highly selective mailing lists.
• It is a popular medium as it permits target market selectivity,
can be personalized, and it is flexible.
• The cost is very high compared to mass media, but the people
reached are better prospects.
FORMS OF DIRECT MARKETING:
3. Telemarketing

• Telemarketing is the use of telephone and call centers to attract

prospects, sell to existing customers and provide service by taking
orders and answering questions.
• Companies use call centers for inbound telemarketing – receiving
calls from customers and outbound marketing – initiating calls to
prospects and customers.
FORMS OF DIRECT MARKETING:
• Effective telemarketing depends on choosing the right telemarketer,
proper training and providing performance incentives.
• The advantages are to replace more expensive field-sales call,
reduces amount of personal selling effort and reduce field-force
travelling calls.
FORMS OF DIRECT MARKETING:
4. Direct Response Marketing Television:
Direct marketing via television (commonly referred to as DRTV) has
two basic forms: 1. Long form (usually half-hour or hour-long
segments that explain a product in detail and are commonly referred
to as infomercials) 2. Short form which refers to typical 30-second or
60-second commercials that ask viewers for an immediate response
(typically to call a phone number on screen or go to a website).
Informercials promote products that are complicated or
technologically advance or require a great deal of explanation. A toll-
free number is flashed on the television screen when informercials
are screened.
FORMS OF DIRECT MARKETING:
5. Kiosk Marketing:

Kiosk is small, mostly rectangular, stand alone booth used in high-

foot-traffic areas, convenience stores or even malls for marketing
purposes. A kiosk will usually be manned by one or two individuals
who help attract attention to the booth to get new customers. Kiosk
are machines kept in shopping malls and other such places by
organizations to spread the information and generate orders from
customers who visit free standing, semi?permanent display, or retail
outlet, within a large retail establishment or a shopping mall.
THAT’S ALL FOR TODAY!
THANK YOU ☺