The dimension of adding value is central to the increasing emphasis placed on sales promotion activities. The act of adding value is based on considering the customer's needs and viewpoint. Conceptually, adding means taking the time and energy to rearrange your world to match the other person's situation. Adding value parallels the sociological changes gathering momentum throughout the world - the increasing emphasis upon the individual and his uniqueness, individuality, dignity and rights. Is this where the true strength of sales promotion lies? Is this where below the line is so valuable in that it is beyond the superficial? Its application can be classified into four categories.
Persuade customers, or prospective customers to:
1. Accelerate the timing of their initial or replacement purchase.
2. Select a particular product in preference to a competitive offering.
3. Stay loyal to a particular supplier.
4. Trade up to a more expensive model than intended.
5. Buy accessories or related products in addition to the basic item.
Persuade distributors and other retail outlets to:
1. Maintain or increase display space allocated.
2. Stock additional and new lines.
3. Increase their commitment to the supplier.
4. Feature the product in an exciting way.
5. Clear stocks of redundant product before stocks of new items are held.
Attack competitors by:
1. Moving offensively or defensively against one or more competitors on a tactical basis.
2. Temporarily narrowing or extending the price gap.
3. Loading the trade with stock to a competitor's launch of a new product.
Enhance brand development by:
1. Increasing maintaining brand awareness.
2. Communicating particular features of value and their benefits.
3. Reinforcing brand perceptions and values.
4. Obtaining customer information.
5. Encouraging product usage and that of associated products and consumables.
If sales promotion recommendations cannot be positioned within these defined applications, they may well need to be thoroughly appraised. Without clearly defined and explicit objectives, the activity cannot be assessed and should not be endorsed.
The next stage in the project will be to look at the logistics and communication tasks. Before moving into these considerations, what is the background against which below the line works? Every promotion is aimed at changing the status that exists between the supplier and their customers - that is, the nature of the relationship. Here is another conundrum. How do you measure relationships? Traditionally below the line has used terms such as user, switcher , new user. Each of these is an impersonal and mechanical description.
In the warmer, more personal environment noted earlier, this arm' sleight and impersonal approach must be increasingly inappropriate. A new and more incisive method of describing and analyzing relationships is needed. Understanding the nature of relationships, the ways in which they are influenced, and how they can be measured, will enhance the impact and success of each and every campaign.
Underpinning every relationship are a number of key components. The essential requirements are trust, credibility, confidence, power, tolerance, a preparedness to communicate and share information. These core elements need to be addressed if a relationship is to evolve and to grow. They are the core considerations in defining the task to be completed by sales promotion campaigns. All of these elements can be grown as long as the fundamental need or aspiration for ownership is there.
Persuade customers, or prospective customers to:
1. Accelerate the timing of their initial or replacement purchase.
2. Select a particular product in preference to a competitive offering.
3. Stay loyal to a particular supplier.
4. Trade up to a more expensive model than intended.
5. Buy accessories or related products in addition to the basic item.
Persuade distributors and other retail outlets to:
1. Maintain or increase display space allocated.
2. Stock additional and new lines.
3. Increase their commitment to the supplier.
4. Feature the product in an exciting way.
5. Clear stocks of redundant product before stocks of new items are held.
Attack competitors by:
1. Moving offensively or defensively against one or more competitors on a tactical basis.
2. Temporarily narrowing or extending the price gap.
3. Loading the trade with stock to a competitor's launch of a new product.
Enhance brand development by:
1. Increasing maintaining brand awareness.
2. Communicating particular features of value and their benefits.
3. Reinforcing brand perceptions and values.
4. Obtaining customer information.
5. Encouraging product usage and that of associated products and consumables.
If sales promotion recommendations cannot be positioned within these defined applications, they may well need to be thoroughly appraised. Without clearly defined and explicit objectives, the activity cannot be assessed and should not be endorsed.
The next stage in the project will be to look at the logistics and communication tasks. Before moving into these considerations, what is the background against which below the line works? Every promotion is aimed at changing the status that exists between the supplier and their customers - that is, the nature of the relationship. Here is another conundrum. How do you measure relationships? Traditionally below the line has used terms such as user, switcher , new user. Each of these is an impersonal and mechanical description.
In the warmer, more personal environment noted earlier, this arm' sleight and impersonal approach must be increasingly inappropriate. A new and more incisive method of describing and analyzing relationships is needed. Understanding the nature of relationships, the ways in which they are influenced, and how they can be measured, will enhance the impact and success of each and every campaign.
Underpinning every relationship are a number of key components. The essential requirements are trust, credibility, confidence, power, tolerance, a preparedness to communicate and share information. These core elements need to be addressed if a relationship is to evolve and to grow. They are the core considerations in defining the task to be completed by sales promotion campaigns. All of these elements can be grown as long as the fundamental need or aspiration for ownership is there.
