The Advent of Promotional Marketing ...

Promotional Mktg. was told as a tactical planning program and execution exercises for a brand, using the full mix of business & consumer communication methods. It is basically designed to re-inforce sales & build image. The field includes, gifts, value added offers, consumer contests, P-O-P displays, coupons, loyalty programs etc.
The article differentiates advertising from the above, by highlighting that, the former creates awareness about the product and gives a “ Reason to Buy “ but, the latter goes a step further by giving the consumer a “ Reason to Buy Now “.
A caveat which is to be considered in exploiting this strategy was, while a freebie offer, one should keep in mind that it should be a logical extension of the product / service being sold. An instance quoted was, Whirlpool’s association with Ariel for its washing machines is a good brand-fit unlike, offering a facial cream with a pack of tea.
Finally, some of the things which Promotional Mktg. can & can’t do were highlighted.
Can’t Do’s :
@ Overcome some of the core brand problems like,
Pricing – Product Quality – Packaging – Product Performance
@ Reverse a long term declining sales trend
@ Fix weak brand positioning
@ Compensate 4 inferior advertising executions
Can Do’s :
$ Generate awareness & trail 4 new brand
$ Encourage repeat purchases
$ Temporarily adjust pricing
$ Defend against competitive activity
$ Excite the sales force
The Indian Promotional Mktg. industry is excpected to grow from current Rs.1000 Cr. to Rs.8000 Cr. by 2010.
# Article Source : A White Paper by Kidstuff Promos & Events
Smile Always,
Raja Gopal.