Subject :- International Marketing

Course :- MBA(III)rd sem

Faculty :- Ms. Parul Gupta

INTERNATIONAL PROMOTIOM STRATEGIES

The Importance of Promotion
• Aspect of the marketing mix concerned with the most effective techniques for selling a product
• build or destroy a brand
• influence the view

Promotion
Promotion is how marketers communicate with their target markets that include existing customers and
prospective customers.
.
Promotional Objectives
1. Communicate Information
2. Position Products
3. Add Value
4. Control Sales Volume

Communications Model

Field of Experience Field of Experience

Not
Source Message
encoding
Medium
decoding
Receiver

Noise

Feedback

Factors to consider that affect Promotional Mix

1. Nature of the product
2. Stage in the Product Life Cycle

 Limited advertising in pre-Introduction

 Heavy advertising and p.r. in Introduction (inform)
 Sales promotion to encourage trial use

1
  Personal selling (distributors)
 Still heavy ad. In growth for brand loyalty
 More persuasive in maturity, reminding
 All decrease or maintain low levels in decline

Product Life Cycle
Decline
Introduction Growth Maturity
Stage
Stage Stage Stage
$
Sales
and
Profits

Time
To
Promotional To To Not much money
Persu
objective Inform Remindis spent on promotions
ade
in this stage

More factors to consider with Promotional Mix

 Target market characteristics
 Where are they? How much do they know?
 Type of buying decision
 Routine or very complex? Which element to use?
 Available funds (from company perspective)

Push and Pull Strategies

Pull Strategy
Promotional strategy designed to appeal directly to consumers who will demand a product from retailers
Push Strategy
Promotional strategy designed to encourage wholesalers or retailers to market products to consumers

2
 Push and Pull Strategies
PUSH
STRATEGY
Manufacturer Wholesaler Retailer Consumer
Manufacturer
promotes to Wholesaler
promotes to Retailerto
promotes Consumer
buys from
promotes to
wholesaler promotes
retailer to promotes to
consumer buys from
retailer
wholesaler retailer consumer retailer

Orders to
manufacturer PULL
STRATEGY
Wholesaler
Consumer Retailer Wholesaler
Manufacturer Consumer Retailer demands
Manufacturer demands demands demands
promotes to demands demands product from
promotes to product product product from
consumer manufacturer
consumer fromproduct
retailer product
from wholesaler manufacturer
from retailer from wholesaler
Orders to
manufacturer

Overall Promotion Mix

Promotion Mix
The Consumer Buying Process/Promotional Mix

Sales Personal Public

Advertising
Promotions Selling Relations

High Control Continuum Low

International Promotional Strategies

Advertising
Promotional tool consisting of paid, non personal communication used by an identified sponsor to inform an
audience about a product
Personal Selling
Promotional tool in which a salesperson communicates one-on-one with potential customers
Personal Selling Situations
Sales Promotions
Short-term promotional activity designed to stimulate consumer buying or cooperation from distributors and
sales agents
Publicity &Public Relations
Publicity Promotional tool in which information about a company or product is transmitted by general
mass media
Public Relations Company-influenced publicity directed at building good will between an organization and
potential customers

3
v
The Consumer Buying
Process/Promotional Mix
Stages of the Consumer Buying Process
Problem Information Evaluation Purchase Postpurcha
(Need) Seeking of Decision se
Recognition Alternatives Evaluation

ADVERTISI ADVERTISI SALES ADVERTISIN

NG PERSONAL PROMOTION
NG SELLING G
Personal Personnel
Publicity Personal Selling
Selling Selling

Most Effective Promotional Tool

13 - 4

Global Perspective
Company’s approach to directing its marketing toward worldwide rather than local or regional markets
1. Movement Toward Global Advertising
2. Product Variations
3. Language Differences
4. Cultural Receptiveness
5. Image Differences
6. Universal Messages & Regional Advertising Skills

AIDA and the Promotional Mix

Awarenes
Interest Desire Action
s
Very Very Somewhat Not
Advertising effective effective effective effective

Public Very Very Very Not

Relations effective effective effective effective

Sales Somewhat Somewhat Very Somewhat

Promotion effective effective effective effective

Personal Somewhat Very Very Very

Selling effective effective effective effective
Promotional Mix Elements Comparison

4
 International Product and Promotional Strategies

Same Product Product Adaptation New Product

Same Straight Extension Product Adaptation Product

Promotion Wrigley’s gum Campbell’s soup Invention
Coca-Cola Exxon gasoline Nonelectric
Eastman Kodak sewing machines
Cameras and Film

Different Promotion Dual Adaptation Manually

Promotion Adaptation Coffee operated washing
Bicycles/motorcycles Some clothing machines
Outboard motors

 Integrating the promotion mix

 Analyse trends, internal and external, that can affect your company’s ability to do business.
 Audit the pockets of communications spending throughout the organisation.
 Identify all contact points for the company and its products.
 Integrated communications planning.
 Create compatible themes and quality across all communications elements.
 Create performance measures that are shared by all communications elements.