CaseStudy : The Failure of Sales Promotion in IMC Domon - An apparel company, perceived as premium brand - Came up with the campaign You can get every Domon product in the stores for as little as 99Baht - Everybody then bought Domon during discount period - Too often sales promotion - The company can never charge high prices again. Definitions Sales Promotion, a key ingredient in marketing campaigns, consists of a diverse collection of incentive tools, mostly short term, designed to stimulate quicker or greater purchase of particular products or services by consumers or the trade Philip Kotler The S.
Definitions "Marketing activities, other than personal selling, advertising, and publicity, that stimulate consumer purchasing and dealer effectiveness, such as displays, shows, exhibitions, demonstrations, and various non-recurrent selling efforts not in the ordinary routine.
Types of Sales Promotion 1. Price Sensitivity 2. Top Managements acceptance 3. Advertising efficiency 4. More demanding trades. Major Decisions in Sales Promotion 1. Establishing objectives 2. Selecting Consumer-Promotion tools 3. Selecting Trade-Promotion tools 4. Selecting Business- and sales-force-promotion tools 5.
Developing the program 6. Pretesting, implementing, controlling and evaluating the program. Evaluating Sales Promotion 1. Sales Data 2. Consumer surveys 3. Sales Promotions as Brand Builders 1. Make sure the promotion is justified 2. Tie the promotion to a brands image 3. Look at every promotion both for the sales job it can do and as a communications tool. What can consumer sales promotion do?
Product Trial 2. Create more uses 3. Build more frequent or multiple purchases 4. Neutralize Competitive Advertising or Sales Promotion 7. Boost sales in low-season 8. Trade up Large size, other products in the line.
What can trade sales promotion do? Obtain Feature Pricing, Display Support 2. Improve Product Distribution 4. Consumer Sales Promotion Pitfalls What cant consumer sales promotion do?
Cannot build brand loyalty 2. Cannot reverse a decline sales trend 3. Cannot change product acceptance 3. Cannot Compensate for Inadequate level of Advertising 4.Sales promotion is one of the elements of the promotional mix. Sales promotion uses both media and non-media marketing communications for a pre-determined, limited time to increase consumer demand, stimulate market demand or improve product availability.
Examples include contestscouponsfreebiesloss leaderspoint of purchase displays, premiumsprizesproduct samplesand rebates.
Sales promotions can be directed at either the customersales staff, or distribution channel members such as retailers. Sales promotions targeted at the consumer are called consumer sales promotions. Sales promotions targeted at retailers and wholesale are called trade sales promotions. Sales promotion includes several communications activities that attempt to provide added value or incentives to consumers, wholesalers, retailers, or other organizational customers to stimulate immediate sales.
These efforts can attempt to stimulate product interest, trial, or purchase. Examples of devices used in sales promotion include coupons, samples, premiums, point-of-purchase POP displays, contests, rebates, and sweepstakes.
Sales promotion is implemented to attract new customers, to hold present customers, to counteract competition, and to take advantage of opportunities that are revealed by market research. It is made up of activities, both outside and inside activities, to enhance company sales. Outside sales promotion activities include advertising, publicity, public relations activities, and special sales events.
Inside sales promotion activities include window displays, product and promotional material display and promotional programs such as premium awards and contests. Sale promotions often come in the form of discounts. Discounts impact the way consumers think and behave when shopping.
The type of savings and its location can affect the way consumers view a product and affect their purchase decision. Sales promotion represents a variety of techniques used to stimulate the purchase of a product or brand. Sales promotion has a tactical, rather than strategic role in marketing communications and brand strategy, it is also a form of advertisement used within a short period of time.
Researchers Farhangmehr and Brito, reviewed the definitions of sales promotions in marketing texts and journals and identified a set of common characteristics of sales promotion, including: . Both manufacturers and retailers make extensive use of sales promotions. Retailer-sponsored sales promotions are directed at consumers. Manufacturers use two types of sales promotion, namely: .
Consumer sales promotions are short term techniques designed to achieve short term objectives, such as to stimulate a purchase, encourage store traffic or simply to build excitement for a product or brand. Traditional sales promotions techniques include:. New technologies have provided a range of new opportunities for sales promotions. Loyalty cards, personal shopping assistants, electronic shelf labels, and electronic advertising displays allow for more personalised communications and more targeted information at the point of purchase.
For example, shoppers may receive alerts for special offers when they approach a product in a specific aisle. There are different types of discounts available online versus in the stores.Dove is the latest marketer to find itself in hot water after it ran what many saw as a racist ad on Facebook last week.
The beauty brand posted a three-second video on its US Facebook page on Friday showing a black woman removing her top to reveal a smiling white woman underneath. On Saturday, the brand apologized and said in a tweet that it had removed the clip. While Unilever, which owns the Dove brand, is hardly the first to find itself embroiled in a public-relations crisis this year, experts say it's likely to take a bigger hit than others, like Pepsiwhich was hammered earlier this year for an ad starring Kendall Jenner.
That's because the Dove ad isn't just tone-deaf — more problematic is that its message seems to stands staunchly against everything that the company's much-praised, pro-women marketing has stood for over the past decade.
Its uber-successful year-old "Real Beauty" campaign has featured messaging such as " You're more beautiful than you think. With this unforced error, the company has unraveled the entire premise of its "Real Beauty" campaign, said Erich Joachimsthaler, the founder and CEO of the branding-strategy firm Vivaldi Partners.
Those ads have long centered on rejecting insular notions of beauty while vowing to feature "real women of different ages, sizes, ethnicities, hair color, type or style. Not only has Dove built its brand on "Real Beauty," but Unilever too has embraced a role as a champion of diversity in the advertising and marketing industry. Unilever is at the forefront of an industry group called the Unstereotype Alliancetasked with proactively coming up with ways to make ads less stereotypical.
The group, launched to much fanfare at the Cannes Lions festival this summer, was lauded by Unilever's marketing chief, Keith Weedduring his panels at Advertising Week two weeks ago. Maybe they should have 'real people' create the ads rather than just starring in them. This isn't the first time Dove has caused outrage — many people see the ad as just the latest in a string of marketing efforts from Dove that elevate white beauty above that of women of color.
Infor example, Dove apologized for an ad for its VisibleCare body wash that seemed to show a black woman in the "before" photo and a white woman in the "after" photo with "more beautiful skin. Dove's widely derided ad also once again highlights the delicate place that brands occupy in the age of social media, where a consumer mob can quickly jump on any perceived slight and cause it to escalate far beyond the brand's control.
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Like Uber and United Airlines earlier this year, Dove has lost control of its narrative and consumers have called for a boycott, using the hashtag BoycottDove. Dove told Business Insider the short video was intended to convey that Dove body wash was for every woman, as well as celebrate diversity, "but we got it wrong.
Experts said the brand must not only put an efficient crisis-communications plan in place, but walk the walk. Account icon An icon in the shape of a person's head and shoulders. It often indicates a user profile. Login Subscribe. My Account. World globe An icon of the world globe, indicating different international options.
Tanya Dua. Dove is hardly the first marketer to find itself embroiled in a public-relations crisis this yearbut it's likely to take a bigger hit than others, experts say. This is because the digital ad — which many say carries an overtly racist message — flies in the face of everything Dove has been trying to say about women over the past decade with its "Real Beauty" campaign. Dove's screwup also once again highlights the delicate place that marketers occupy in the age of social media, where a consumer mob can quickly jump on a misstep and cause it to escalate far beyond the brand's control.Dove has a special place in the world of beauty and personal care products.
The range of Dove products has expanded over time and so has the attraction and appeal associated with the Dove brand.
However, while Dove has come to be known for its product quality which differentiates it from the large crowd of beauty products, it is also associated with many more things. Dove is a famous brand and its unique marketing strategy has also worked to increase the beauty of Dove brand multiple times. It is a brand from the Unilever family. However, it is also the most iconic brand by Unilever. The world of beauty and skincare has become highly competitive and there are several brands contending for market share.
The market is populated by the competitors of Dove. However, it has still retained its market leading position very well. The marketing strategy of Dove is very different than its competitors. Unilever selected to take a different route than its competitors in terms of marketing its Dove products and brand.
Instead of taking the regular and easier route for churning demand by advertising Dove as the favorite of beautiful actresses and models, it decided to connect it with real people. While this has helped it connect the brand with real customers, it has also helped Dove acquire a distinct and unique image. To achieve a leadership status in the market, brands have to do something unique and create a distinct brand image that sets them apart from the competitors.
Brand image and brand equity have become important to retail sales and market share in a hyper competitive market environment. How, a brand markets its products affects its brand image as well as sales of products.
In case of Dove, Unilever decided to take a modern but responsible approach. Dove was released in US in It has been promoted as a healthier option for the regular beauty bars with chemicals.
It is also recommended by dermatologists in key markets including US, Canada and France. While the main attraction of the product is its composition, its marketing is also key to its success. In a market filled with competing products, chances of succeeding only with a great product is not possible. You also need a great marketing formula to become successful. Today, Dove offers a large range of beauty and personal care products including body washes, hand and body lotions, facial cleansers, deodorants, shampoos, conditioners and hair styling products.
However, even with growing product line, the basic formula is to remain wild on skin. Dove was a success since long. However, Unilever reinvented the brand with its real beauty marketing campaign which also made Dove one of the most iconic beauty bars.
Dove launched its real beauty campaign in The beauty bar has always targeted women which are its largest market segment. However, in to deepen the connection between the product and its customers, it started a campaign which featured real beauties from real world.
While it worked to disconnect the traditional image of beauty from the actresses and models, it also helped Dove deepen its penetration among real customers. Traditionally, the definition of glamor has remained associated with actresses and models having barbie like figures. The definition of beauty and glamor is much broader.Bayeriche Motoren Werk BMW is a German automobile manufacturer company that was established in and later was traded publically from onwards.
Currently the company has established its premium segment with three most famous products i. Segmentation of BMW has been defined on the basis of engine machinery they have used to please different classes of the customers based on their needs. Demographical segmentation has been used considering factors like age, income and gender of the customers.
Thus its key target is men of ages above 35 having income of more than a yearly target of USD. BMW also segments in market based on geographic regions by targeting high income regions i. US and Western Europe to sell its products on good prices.
Marketing Plan of BMW
BMW targets the middle to high income groups in all regions of the world. Especially US and European markets are targeted due to stabilized economies and high income rates.
This has helped company achieve its sales easily as the pricing is kept higher because the quality provided to the customers is never compromised. Thus BMW always plans to target niche and posh areas of the world. Automobiles industry is a very complex yet unique industry when it comes to competition. BMW has a trusted set of customers and usually the competition is very clean due to distinct manufacturing technologies used by each vendor.
BMW focuses on the marketing strategy which is based on the customers that value quality and luxury and that is the reason BMW targets premium market segments worldwide.
Manufacturing of high class vehicles with 5 to 7 series for supreme customers is clearly the marketing tactic of BMW. BMW also focuses on social responsibility while marketing and thus donates its cars to students and faculty members for studies in automobile fields.
Customers of BMW have been ranging from medium to young age enthusiastic and adventurous group that is ready to spend high amounts on luxury and high quality cars.
Dove advertising & marketing profile
The examples have been seen recently where the i BMW cars have been part of an automobile show with major customer attraction for such high priced car. Manufacturing units of BMW are present in UK and it highly depends upon its dealership system globally for its sales. BMW also depends highly on importing and exporting its products based on customer needs. To be specific company has its presence in around different countries with around plus dealers.Profile subscribers click here for full profile.
Dove has grown from a US-only soap bar into one of Unilever 's biggest global brands. It is now the world's 1 personal cleansing product, and the 3 business in the Anglo-Dutch company's portfolio behind Knorr and Lipton. During the s, the group began to extend the brand across the complete personal care spectrum, and Dove now encompasses a wide range of products from bar soap to facial cleansers, and from deodorants to shampoo-conditioners. Dove has attracted widespread media attention since for its marketing.
A new line of Dove for Men products was launched infollowed by Baby Dove in Who handles Dove's advertising? Click here for Agency Account Assignments for Dove. We're already familiar with Dove's well-established goal of promoting self-esteem among women. In an admirable new initiative, this latest campaign targets perhaps the hardest to reach and also most vulnerable demographic of teenage girls, using animated sequences to embody their innermost fears and concerns.
Anyone with a teenage daughter of their own will be familiar with that blank "I'm fine" response, and the ensuing worry that there is more to it than that. Inevitably, social media envy plays a significant role. Here's the first of what will eventually be four films, in English, Spanish, French and Portuguese, for Dove's main global markets. Adbrands Weekly Update 12th October Unilever kicked open a hornet's nest with a three-second digital ad for Dove cleansers, perceived by some viewers as racist.
The ad showed a black girl pulling a t-shirt over her head to transform into a white girl, who then pulls off her own shirt to reveal an Indian or Asian girl. Most objective viewers would probably not see this as any sort of deliberate ethnic slur given the appearance of an Indian girl as the third "reveal". However online critics omitted that part of the sequence from their screen grabs, all the better to support their accusations of "whitewashing". Yet whoever signed off the ad at Unilever is guilty of stupidity at the very least.
Surely somebody must have seen the potential for trouble here. Though few serious commentators actually accused Unilever of racism, they have quite fairly seized upon the ad as being symptomatic of racial insensitivity within the industry, reflecting the comparative shortage of marketing staffers from ethnic minorities.
Whereas previous ads in Dove's long-running campaign have tended to pick over the nature of female self-perception, this latest offers no apologies or doubt or explanation. Here's the excellent new installment in Unilever's still-impressive "Campaign for Real Beauty" for Dove.
This latest actually comes from viral shop Evidently rather than main agency Ogilvy, and follows a clever circular route mapped by a succession of girls suggesting the one thing they would change about themselves Truth is, you're never happy with what you've got.
A definite return to form for the latest instalment of Ogilvy 's Real Beauty campaign for Doveafter a couple of damp squibs. This one was led by Ogilvy's Chicago office.
Women in several cities all over the world were offered the choice between entering a building through the door marked "Beautiful" or one marked "Average". Almost all chose the latter, and were asked to talk about why that was. Very interesting, touching and human.Dove Summer Promotion Case Study Video
More from Adbrands Weekly Update. Dove is Unilever's biggest personal care brand, and certainly one of the group's most high profile brands in recent years as the result of a clever marketing campaign that has consistently generated headlines and accolades since Growth was rapid and dynamic in the s and s but has slowed significantly the recent years.
At the start of the s, the brand existed only as a soap bar in the US. Over the next ten years, Unilever progressively rolled the brand out worldwide, introducing a host of spin-off products. The steepest growth occurred between and with the launch of Dove-branded deodorants and haircare products, and a massive global rollout.
In alone, for example, the Dove haircare range was introduced in 31 new countries around the globe.Consists of media and non-media marketing communications employed for a predetermined, limited time to stimulate trial, increase consumer demand, or improve product availability. Sales promotion is a specific item amongst your marketing instruments In India, there are tremendous changes in the automobile industry.
This has led to good market for automobile products particularly in four wheelers segments For each and every issue, the practical examples of the different renowned companies The aim of production is sales. Sales and promotion are two different words and sales promotion is the combination of these two words.
The other two pillars are personal selling and advertising. Sales promotion is the connecting link between personal selling and advertising Marketing Sales Promotion Sales promotion is one of the five aspects or elements of promotional mix. Promotional elements are advertising, personal selling, public relations, sales promotion and direct marketing. Sales and promotion is the fourth one. Sales promotion is a fast process that makes the people to be aware of some kind of good and services and increases their interests in buying those good or service, sales promotion is for all kind of customers.
Sales promotion is one of the main Promotion strategy Promotion is to attract customers to purchase, and it involves communicating information between distribution channels.
Since there are existing competitors to produce safety cars, Toyota should use persuade objective to show customer Prius is better than other brands cars. Ray, Promotion is an important part of any marketing strategy. You can have the best product or service out there, but unless you promote it successfully, no one will know about it. There are three basic types of promotional strategies a push strategya pull strategy or a combination of the two Pepsi Foods Pvt Ltd. Sign Up. Sign In.
Sign Up Sign In. Sales Promotion Marketing Sales Promotion Sales promotion is one of the five aspects or elements of promotional mix. Promotion Strategy Promotion strategy Promotion is to attract customers to purchase, and it involves communicating information between distribution channels.