Week 8

Question 1

What is promotion?

Answer 1

• The creation and maintenance of communication with target markets

Question 2

What is Integrated Marketing Communication?

Answer 2

• The coordination of promotional efforts to maximise the communication effect

Question 3

What are the stages of the communication process?

Answer 3

1. Sender (Source) → A person, group or organisation with a meaning it tries to share
2. Encoding Process → Converting meaning into a series of signs or symbols that are meaningful to the intended receiver
3. Decoding Process → Converting signs or symbols into concepts and ideas
4. Receiver (target audience) → The individual, group or organisation that decodes a coded message
5. Receiver (target audience)
6. Encoding Process
7. Decoding Process
8. Sender (Source)

Question 4

What is noise, in relation to the Communication Process?

Answer 4

• Anything that interferes with the effectiveness of the communication process

Question 5

What are the objectives of promotion?

Answer 5

• Create awareness
• Encourage product trial → free trials, free samples
• Encourage repeat purchases and retain existing customers → loyalty programs, reminders
• Stimulate demand → discounts, coupons, text messages & emails
• Build positive associations with an organisation and its products → charitable activities, environmental, sponsorships
• Facilitate reseller support

Question 6

What are the traditional and additional elements of a promotion mix?

Answer 6

• Traditional Elements
  
  • Advertising
  • Public Relations
  • Sales Promotion
  • Personal Selling
• Additional Forms
  
  • Product Placement
  • Sponsorship
  • Viral Marketing
  • Permission Marketing
  • Ambush Marketing
  • Guerilla Marketing

Question 7

What are the components of an effective promotion mix?

Answer 7

• Resources, objectives , policies
• Characteristics of the target market
• Characteristics of the product
• Cost and availability of promotional methods
• Push and pull channel policies

Question 8

Distinguish between push and pull policies?

Answer 8

• Push policy → promoting a product only to the next organisation down the marketing distribution channel
  
  • eg. producer to wholesaler relations
• Pull policy → promoting a product directly to consumers to create demand upward through the marketing distribution channel
  
  • eg. producer to consumer relations

Question 9

What is advertising?

Answer 9

• the transmission of paid messages about an organisation, brand or product to a mass audience

Question 10

What is Public Relations?

Answer 10

• Communications aimed at creating and maintaining relationships between the marketing organisation and its stakeholders

Question 11

What is sales promotion?

Answer 11

• Short-term activities that are designed to encourage consumers to purchase a product or encourage resellers to stock and sell a product

Question 12

What is personal selling?

Answer 12

• Personal communication efforts that seek to persuade consumers to buy products.