Page 203 - DMGT547_INTERNATIONAL_MARKETING

International Marketing

Notes marketing communication policy which accounts for more promotional expenditures than
advertising, personal selling and publicity in some countries.

Consumer sales promotions are intended to make consumers aware of a new product, to
encourage nonusers to sample an existing product, or to boost overall consumer demand.

Example: Coupons, rebates, Loyalty programs, free sampling, etc.
Trade sales promotions are designed to raise product availability in distribution channels.
For example, point of purchase displays, trade shows, etc.

Business to business Sales promotion is targeted at the B2B market. For example, Price
reductions, trade ins, trade shows, etc.
Objectives of Sales Promotion:

Building product awareness-Sales promotion is highly effective in exposing customers to
products for the first time. The serve as key promotional components in the early stage of
product introduction.
Creating interest-Sales promotion is integral and effective in creating interest among
customers.
Provide information- some sales promotion techniques provide information to customers.
Stimulating demand- Sales promotion builds demand by convincing customers to make a
purchase.
Reinforcing a Brand-After purchase, Sales promotion can be used to encourage additional
purchase and also as a reward for purchase loyalty in the form of special promotions.

Benefits of Sales Promotion are as follows:
Provides a real incentive to buyers
Reduces the perceived risk associated with purchasing a product
Provides accountability for communications activity

Provides methods of collecting additional data for database
Self Assessment

Fill in the blanks:
8. Any paid form of non-personal presentation and promotion of ideas, goods or services by
an identified sponsor is called .................

9. ............................. Advertising is the use of the advertising appeals, messages, art, copy,
photographs, stories, and video segments in multiple country markets.

10. The available alternative media for advertising can be broadly categorized as print media,
...................................... media and other media.

11. ................................. is communicating your organization’s messages at the right time and
in the right place to the right audience.

12. One of the tasks of the PR practitioner is to generate favorable .................
13. One major limitation of Personal selling is its ................., especially in advanced countries.

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