BU121 Lecture Notes - Lecture 9: Social Currency, Sales Promotion, Profit Margin
Document Summary
Bu121 lecture #9: reaching the customer (continued) Promotion advertising: any form of non-personal sales presentation of a relatively long-term nature that is paid for by an identified sponsor personal selling sales promotion publicity, the four of these together creates integrated marketing communication (imc) Sales promotion short-term incentives to induce purchase: free samples, trial period, cents-off coupons, cash rebates, extra volume for sale price, bonuses, giveaways, contests, premiums, point-of-purchase displays support personal selling and advertising support value proposition. Public relations and publicity greater impact due to perceived objectivity. Must be newsworthy: i. e. gatorade replay series (high school football rivalry 15 years later) Manufacturer agent wholesaler retailer consumer implications: lose control over price to consumer, demand backward pricing (work backwards and think about markups) . 99 1. 50 1. 00 = . 49 to wholesaler. . 49 + 1. 00 + 1. 50 = . 99 to consumer. Manufacturer (. 49) wholesaler (. 00) retailer (. 50) consumer.
