UNIT – 6
Promotion Decisions
By : Jacqueline
Promotion Decision
Promotion decision is used to find the appropriate and effective method to
promote a particular product to increase the sales.
Promotion decisions play a crucial role in marketing management as they help
create awareness and generate demand for products or services
INDEX:
Effective Communication
Integrated Marketing Communication
Marketing Communication Process
Effective Communication
INTRODUCTION : The term communication is derived from the Latin word –
“ Communis” which means to share.
Effective Communication takes place when the message conveyed by the sender is
understood by the receiver in exactly the same way as it was intended. It refers to
communication which achieves the goals in an efficient manner.
It involves following factors :
Attitude of managers towards lower staff & towards each other.
Level of understanding among people.
Facilities for communication.
Subject-matter of communication.
The wording and language employed to communicate.
Principles of Communication / Seven C’s of Effective
Communication
Concreteness or Coherence
Obstacles to Effective Communication
Poor Encoding
• Fail to meet the objective of the message
Poor Decoding
• Meaning of words are different - Jargons
• Due to personal or psychological factors such as not paying attention, wandering mind.
Medium Failure
• Communication channel break down & end up sending weak signals
• Wrong Medium
Communication Noise
• Outside force in someway affects delivery of the message.
• Any distraction to sender or receiver
Keys to Effective Communication
Message is crafted in a way that will be interpreted by
Carefully Encode receiver as intended
• Having a good understanding of how their audience interprets words.
Allow Feedback Can be improved by providing easy options for responding such
as email, internet chats, phone No.
• Helps improve communication
• Helps to determine if message was decoded & interpreted properly.
Reduce Noise
• Control over interference with message.
• Example – Conference facility
Choose Right
Audience
Messages are much more likely to be received & appropriately decoded
by those who have an interest in the content of the message.
Importance of Effective communication
A. It builds and maintains relationships :
Brings together all the teammates – leading to accomplishment of desired goals.
Communicating in an effective manner not only builds relationship but also maintains it.
B. It builds Trust :
It opens door to build trust with others.
Ability to listen and embrace the different viewpoints is developed through the way of
effective communication.
C. Effective Communication Encourages Innovation :
A chance to share their ideas and opinions, they flourish with more innovative than those
who don’t do so.
Employees feel empowered to express themselves.
D. Increase accountability and brings clarity in work flow :
Effective communication helps in providing clear & particular work instructions to
employees which enables them to do what is actually expected from them.
The accountability and productivity increase together.
E. Effective Communication Improves Customer satisfaction :
Helps in understanding his needs, builds trust factor, encourages engagement and
provides effective solutions results into better customer satisfaction.
F. It Reduces Conflict :
Employees with differences like cultural, social, viewpoints work together in an
organization. These difference may result into conflict at one or other time.
Communication plays key role in resolving conflicts and smooth functioning.
Outcomes of
Effective
Communi-
cation
Integrated Marketing Communication ( IMC )
Integrated Marketing is a strategy for delivering a unified message across all the
marketing channels.
According to American Association of Advertising Agencies :
“ IMC recognizes the value of a comprehensive plan that evaluates the strategic role of a
variety of communication disciplines advertising, public relation, personal selling and
sales promotion and combines them to provide clarity , consistency and maximum
communication impact. “
Features of IMC :
1. Co-ordinate all of its promotional activities.
2. Establish & maintain a consistent image for the company and its goods and services.
3. Communicate the features of goods and services.
4. Create awareness for new goods and services.
5. Keep existing goods and services popular.
6. Generate enthusiasm from channel members.
7. Alert consumers for sale.
8. Answer consumer’s questions.
9. Close transactions with customer.
10. Provide services to consumers after transactions are completed.
11. Reinforce consumer loyalty.
12. Justify the prices of goods & services.
Tools of IMC :
Advertising – Any form of non personal presentation and promotion of ideas , goods or
services by an identified sponsor.
Example : Posters, Motion & in film advertising, wall painting.
Sales Promotion – Short term incentives to encourage purchase or sale of a product or
service.
Example : Games, Coupons, Trade promotion schemes
Public Relations – To create & foster relationship with public. It also builds a credible
reputation and favorable image. Media Relation is a common PR strategy.
Example : Seminars, Sponsorship, Charitable donation.
Personal Selling – Oral presentation in a conversation with one or more prospective
purchasers for the purpose of making sales and building customer relationship.
Example : Samples, Fairs & trade show
Direct marketing – It is used to create and sustain a personal & intermediary free
communication with customers, potential customers and other significant stakeholders.
Examples : Internet marketing, E-marketing , Tele marketing.
Marketing communication process
Communication in marketing is a complex process due to environmental difference in
different markets. A product which may be sold in a specific market with using specific
promotional tools may be difficult to sale in another market along with the same
promotional tools.
Elements of Marketing communication process
Steps of marketing communication process are :
Identify the target Audience
Determine the communication Objective
Awareness Knowledge Liking Preference Conviction Purchase
Design the communication Message
Select the Media Channel = Personal and Non-personal
Decide the total Communication Budget
Affordable method , Percentage – of- sales method , Competitive Parity Method
Decide the media Mix
Measure the marketing Communication Result
Manage and co-ordinate the Integrated Marketing Communication
Marketing Communication flow
The Marketing Communication must support the marketing plan, help the target audience
to understand and believe in the advantage of marketer’s offer over competitor.
This effective communication support is only possible through designing and
implementing persuasive communication.
Communication involves both external and internal flow.
External factors : The ones who may influence the company’s operations such as
government agencies, private agencies and experts in this field.
The effective communication helps in developing and maintaining healthy relationship
with different audiences outside the company.
Internal factors : It involves various departments in the company.
An effective and convincing marketing communication can help in influencing employee
perception and shaping their morale and performance.
Conclusion
Effective Communication :
It is an integral part of any successful marketing plan.
Integrated Marketing Communication :
This targeted approach ensures that the brand's message is being received by the right
people, helping to change their attitudes towards the brand
IMC is a powerful tool that brands can use to change customer attitudes
Marketing Communication process :
Marketing Communication process plays a major role in increasing sales and profit of the
firm.
