Global Promotion Chapter 15 Global Marketing Keegan and

Global Promotion Chapter 15 Global Marketing Keegan and Green, Chapter 15

Sales Promotion • Sales promotion refers to any paid consumer or trade communication program of limited duration that adds tangible value to a product or brand – Price vs. non-price promotions – Consumer vs. trade promotions Keegan and Green, Chapter 15 2

Sales Promotions • Provide a tangible incentive to buyers • Reduce the perceived risk associated with purchasing a product • Provide accountability for communications activity • Provide method of collecting additional data for database Keegan and Green, Chapter 15 3

Factors Affecting Headquarters’ Involvement in Sales Promotion Efforts • • Cost Complexity Global Branding Transnational Trade Keegan and Green, Chapter 15 4

Examples of Local Sales Promotions by Global Marketers • Seagram Spirits and Wine Group/global promotion – Online charity auction in Fall 2001 to celebrate 200 th anniversary of Chivas Regal scotch • Toyota Motor Manufacturing – USA-focused promotion • Sweepstakes offering all-expense paid trip for two to Kentucky Derby – Japan-based promotion • Half-price lottery will give 100 winners a cash incentive on purchase of a car Keegan and Green, Chapter 15 5

Common Forms of Sales Promotions • Sampling – Provides consumer with opportunity to try product at no cost – May be distributed in stores, in the mail, through print media, at events, or door-to-door • Couponing – Printed certificates entitle the bearer to a price reduction or some other special consideration for purchasing a particular product Keegan and Green, Chapter 15 6

Personal Selling • Person-to-person communication between a company representative and potential buyers • Focus is to inform and persuade prospect • Short-term goal: make a sale • Long-term goal: build relationship Keegan and Green, Chapter 15 7

Global Considerations Affecting Sales Force Use • Political risks • Regulatory hurdles • Currency fluctuations • Market unknowns Keegan and Green, Chapter 15 8

Different Sales Types • Expatriates • Host country • Third country Keegan and Green, Chapter 15 9

Special Forms of Marketing Communications • Direct Marketing – Direct mail – Catalogs – Infomercials, Teleshopping • Event Sponsorship – Concerts, sporting events – Product placement in movies • Internet Communications Keegan and Green, Chapter 15 10

Categories of Web Sites Web Site Content Information/ service Domestic Transactions Apple Computer Saturn Music Boulevard PC Flowers Fedex British Airways Amazon. com Dell Audience Focus Global Keegan and Green, Chapter 15 11