Ch6. Promotion Strategy — Advertising, PR, and Digital Marketing

The Promotion Mix

Advertising:
  Paid, non-personal, mass media
  Builds awareness and brand image
  TV, print, online advertising

Personal Selling:
  Direct, face-to-face interaction
  Effective for B2B and high-involvement products
  Immediate feedback possible

Sales Promotion:
  Short-term purchase incentives
  Coupons, discounts, samples, contests
  Targeted at trade and consumers

Public Relations (PR):
  Manages corporate and brand image
  News coverage, events, CSR
  High credibility relative to cost

Direct Marketing:
  Stimulate a direct response
  Email, direct mail, catalogs

Advertising Strategy

Advertising Objectives:
  Informative:   create awareness for a new product
  Persuasive:    change purchase attitudes
  Reminder:      retain existing customers

Creative Strategy:
  USP (Unique Selling Proposition): emphasize a distinctive advantage
  Emotional appeal:  fear, humor, love
  Testimonial/proof: test results, user reviews

Media Mix:
  Reach:   number of people exposed
  Frequency: average number of exposures
  GRP = Reach × Frequency

Digital Marketing

Search Marketing (SEM):
  SEO: organic search engine visibility
  PPC: paid search advertising (Google Ads)

Social Media:
  Instagram, YouTube, TikTok
  Influencer marketing
  UGC (User-Generated Content)

Content Marketing:
  Blogs, videos, infographics
  Attract customers with valuable content
  Linked with SEO

Email Marketing:
  CRM-based personalization
  Automated sequences
  High ROI

PUSH vs. PULL Strategy

PUSH Strategy:
  Manufacturer pushes promotions to intermediaries
  Incentives, rebates, sales force support
  Effective for B2B and business products

PULL Strategy:
  Manufacturer promotes directly to consumers
  Consumers then request the product from retailers
  Driven by advertising, social media, branding
  Effective for consumer goods and FMCG

Blended Strategy:
  Modern approach: use both simultaneously

Promotion Mix: Advertising · Personal Selling · Sales Promotion · PR · Direct Marketing ★★★★★ : The five elements of the promotion mix. Memory tip: think of all the ways a brand can reach you — from TV ads to a salesperson to a coupon

PR = High Credibility, Low Control ★★★★★ : PR has higher credibility than advertising but lower controllability. Memory tip: you can’t control what a journalist writes

PUSH = Trade-Directed; PULL = Consumer-Directed ★★★★☆ : Promotion direction determines the strategy type. Memory tip: PUSH pushes product through the channel; PULL pulls consumers toward it

Practice Quiz

Q. Why can influencer marketing be more effective than traditional advertising?

Reference group effect: followers trust the influencer. Precise targeting: followers are already interested in the category. Natural content: lower resistance even though it is promotional. Engagement: likes, comments, and two-way interaction. Caveat: be aware of regulations on undisclosed sponsorships and concerns about fake followers.

Q. What long-term risks do sales promotions (coupons, discounts) pose to a brand?

Damages the brand’s price image. Consumers refuse to pay full price and wait for discounts. Reduces brand loyalty (replaced by price loyalty). Triggers competitive responses, leading to price wars. Effective for short-term sales but damages long-term brand equity. Especially risky for premium brands.