Marketing Mix: When should we carry out a Promotion?

The Marketing Mix , a term coined by McCarthy in the 1960s, brings together the four global components of marketing, known as the 4 Pes (Product, Price, Place, Promotion), which translated into Spanish would be: Product, Price, Distribution, Promotion. The Promotion, which should not be confused with only offers or advertising, are actions incorporated into the marketing plan, aimed at a specific target, in a specific period of time (with a start and end date) and seeking a specific objective. The techniques that we will use in the Promotion will be directly linked to the specific objective that we want to achieve, which can be: Brand positioning Increase in sales Introducing a new product to the market Build customer loyalty Attract new customers Position our website Guatemala Mobile Database Get more followers on Social Networks, etc? All the actions of the Marketing Mix have the direct or indirect objective of increasing sales, since that is the purpose of any commercial company: to sell.

But when we speak of “sales increase” in “Promotion”, we refer to a specific and significant increase, which we can achieve with actions such as: Gift of samples Punctual reduction of the price of a product Give more product for the same price Specific seasonal campaigns such as Christmas, etc. The rest of the Promotions (actions) carried out in our Marketing Plan, even having a limited period of time, seek a more linear increase in sales. It does not have to be a very significant increase in sales, but it does have to be prolonged over time.

And when should we carry out promotional actions? The reasons that motivate the Promotion can be divided into endogenous and exogenous: Endogenous reasons: The endogenous reasons will be all those aligned with the strategic plan of the company, such as: Achieve sales goals Increase the number of clients Customer loyalty Introducing a new product to the market Get a bigger market share Position our Brand Promotions linked to endogenous reasons, included in the annual marketing plan, must be periodically reviewed to check if we are reaching the desired objective Exogenous reasons: Exogenous reasons are those that are outside our company but within our market, such as: Appearance of new competitors Economic crisis that affects our sales Increase in market share by competitors Social reasons.

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There are social facts that directly affect consumption. An example: After the 9/11 attacks, many people were afraid of flying or found the high security systems imposed at airports very tedious. Manufacturers of video conferencing equipment promoted their systems, to hold business meetings without having to travel Brother Cell Phone List. Promotions linked to exogenous reasons are not always reflected in the initial annual marketing plan, as they arise throughout the year and are not always predictable. Hence the importance of having a flexible marketing plan that allows us to introduce new actions, to face the changes of scenery that arise during the course of the year. And you, when do you think companies should consider making Promotions?