Promotion policy

“ Làm kinh doanh mà không làm quảng cáo, truyền thông thì khác nào nháy
mắtvới một chàng trai trong bóng tối, chỉ mình bạn biết bạn đang làm gì, ngoài
rachẳng ai biết” “Người ta không còn mua giày để cho chân ấm và khô nữa. Họ
mua giày bởi vìgiày làm cho họ cảm thấy mình ra dáng đàn ông, phụ nữ, khỏe
mạnh, khác lạ,sành điệu, trẻ trung, xinh đẹp hơn. Việc mua giày trở thành vấn đề
xúc cảm. Bâygiờ doanh nghiệp của ta bán niềm vui chứ không bán giày” -
Francis Rooney
1. Overview of marketing communication
1.1. The concept of marketing communication
- Marketing communication is the activity of encouraging and
exchanging information about products or businesses with target
audiences in order to establish and maintain a good cooperative
relationship with them.
1.2. Elements in the marketing communication process
- Senders: Người gửi(sender) là bên gửi thông điệp cho bên còn
lại (còn được gọi là nguồn truyền thông)
 Need to know what audiences they wish to reach and
what responses they want.
 Must be good at encoding messages that take into account
how the target audience decodes them. ( take st into
account : to consider or remember st when judging a
situation- để ý đến, suy xét đến, chú ý đến…)
 Must send messages through media that reach target
audiences, and they must develop feedback channels so
that they can assess an audience’s response to the
message.
 In today’s interactive media environment, companies
must be prepared to “flip” the communications process -
to become good receivers of and responders to messages
sent by consumers
- Encoding: Mã hóa, là tiến trình chuyển ý tưởng thành các biểu
tượng
- Message: Thông điệp, tập hợp các biểu tượng mà bên gửi truyền
đi
- Media: Phương tiện truyền thông- gồm các kênh truyền thông
qua đó thông điệp truyền đi từ người gửi đến người nhận
- Decoding: Giải mã -là tiến trình người nhận quy ý nghĩa cho các
biểu tượng do người gửi truyền đến
 - Receiver: Người nhận- là bên nhận thông điệp do bên kia gửi
đến
- Response: Phản ứng - là tập hợp những phản ứng mà người
nhận có được sau khi tiếp nhận thông điệp
- Feedback: Phản hồi - là một phần sự đáp ứng của người nhận
được thông tin trở lại cho người gửi
- Noise: Nhiễu tạp - là những yếu tố làm sai lệch thông tin trong
quá trình truyền thông, dẫn đến kết quả là người nhận nhận được
một thông điệp không giống thông điệp được gửi đi

2. Marketing communication policy

2.1. Concept and objectives of marketing communication policy
- Concept: The marketing communication policy includes the
principles and guidelines for making decisions in marketing
communication to achieve the goals of the business.
- Objectives:
 Improve the effectiveness of tools and reduce the total cost of
marketing communications.
 Create consistency and synchronization in the process of
implementing marketing communications.
 Develop customer relationships and improve the
competitiveness of businesses
2.2. Contents of marketing communication policy
- Identifying the target audience
 A marketing communicator starts with a clear target
audience in mind.
 The audience may be current users or potential buyers,
those who make the buying decision or those who
influence it.
 The audience may be individuals, groups, special publics,
or the general public.
 The target audience will heavily affect the
communicator’s decisions on what, how, when, where,
and who.
- Determining the communication objectives
 6 Stages of Buyer Readiness:
1. Awareness
Before you can sell, you must find and reach out to your
potential buyers and those who may want to purchase
your products. You must make contact with those who
want to purchase. Some of your potential customers may
have a vague idea of what your business does, but many
 may not eve have heard about your business (especially
for a small business with limited advertising dollars).

As such, the first step is to create marketing programs that

will spread the word about your business and increase
awareness. You need to create advertising and
promotional programs that’ll make your name
conspicuous, increase awareness among your target
market in order to attract serious buyers.
2. Knowledge
Once prospective clients become aware of your business,
they begin the next process of learning more of your
products and services acquiring knowledge about what
you offer. It is important at this stage to provide these
potential buyers with reasons to do business with you by
giving them information about why they should buy your
products. Therefore, your advertising efforts should
establish you as an expert or the go-to place for the
products or services you sell.
3. Liking
This is the stage where the consumer starts relating to the
product and develops connections to it.

We all tend to buy from people or companies we feel

positive about. Entertaining ads, for example, will convey
warmth and the “humanity” of your business. Direct your
creative efforts toward making your business seem joyful,
inviting, and approachable.
4. Preference
Your business does not exist in a vacuum and you need to
expect your potential buyers to have their own
preferences. This is the stage where you need to check
whether the consumer prefers your product over the
competitor’s offerings.

Benefits statements are the key to making prospective

clients prefer your business over your competitor. Focus
on a feature of your product — one that’s different or
unique, and one that delivers an important benefit to the
user.
5. Conviction
 Make your customers realize they need your products by
convincing them to make purchases.

The best way to convince customers to buy is by

educating them through personal selling and advertising.
Your advertising should build the customers’ certainty
that you’re the go-to business to get the type of products
and services that you offer. Client testimonials, product
demonstrations, influencer marketing, product trials are
some of the creative strategies you can use.
6. Purchase
After building confidence in your product and services,
the last stage is to lead the consumer to purchase it. Once
prospective clients have decided to seek you out, expert
sales skills are critical to helping them make the right
purchase.

Build a solid relationship by helping customers make the

right purchase.

Remember that the relationship between a seller and a

buyer seldom ends when a sale is made.
 Specific objectives
Information
Impact on cognition
Sales adjustment
Addressing volatility ( giải quyết sự biến động)
- Setting the total marketing communication budget
 The 5 common methods used to set the total budget for
marketing communication:
1. The affordable method
Setting the promotion budget at the level the company can
afford.
Small businesses often use this method, reasoning that the
company cannot spend more on promotion than it has.
Starting with total revenues, deduct operating expenses
and capital outlays, and then devote some portion of the
remaining funds to promotion.
This method ignores the effects of promotion on sales,
tends to place promotion last among spending priorities,
even in situations in which promotion is critical to the
firm’s success leads to an uncertain annual promotion
 budget, which makes long-range market planning
difficult.
Although the affordable method can result in
overspending on promotion, it more often results in
underspending.
2. The percentage-of-sales method
Other companies use the percentage-of-sales method,
setting promotion budget at a certain percentage of
current or forecasted sales (doanh thu hiện tại hoặc doanh
thu dự đoán trước). Or they budget (dự thảo ngân sách) a
percentage of the unit sales price (đơn giá bán?).
The method is simple to use and helps management think
about the relationships between promotion spending,
selling price, and profit per unit (lợi nhuận trên mỗi đơn
vị).
The method is based on the availability of funds rather
than on opportunities.
The method does not provide any basis for choosing a
specific percentage, except what has been done in the past
or what competitors are doing.
3. The competitive-parity method
Setting promotion budgets to match competitors’ outlays.
Monitoring competitors’ promotion activity or get
industry promotion spending estimates from publications
or trade associations and then set their budgets based on
the industry average.
Competitors’ budgets represent the collective wisdom of
the industry.
Spending what competitors spend helps prevent
promotion wars.
Companies differ greatly, and each has its own special
promotion needs.
There is no evidence that budgets based on competitive
parity.
The objective and-task method
The fixed budget method
- Choosing message and communication channels
- Identifying marketing communication tools
- Evaluating of marketing communication
 Group 5
Topic: Choosing a product of a business operating in Vietnam. Analysing the
current status of promotion policy that the business is currently implementing
for that product. Evaluating the suitability of this promotion policy with target
customers and current market trends, thereby proposing some solutions to help
the business improve its competitiveness.
Product: Equo straw

Outline
Chapter 1: The current status of promotion policy of Equo straws
I. Introduction of Equo straws
1. History of formation and development of Equo straws
2. Competitors, customers and business activities
II. Promotion policy of Equo
1. Advertising
2. Direct marketing
3. Sales promotion
4. Public relation and publicity
5. Personal selling
III. Evaluating the suitability of Equo’s promotion policy
1. In terms of target customers
2. In terms of current market trends
Chapter 2: Some marketing solutions for businesses
I. Orientation of business and marketing strategies in the coming time
II. Some solutions for marketing promotion activities
1. Solution for product price
2. Promotion solutions
3. Product solutions
4. Solutions for distribution