Product promotion channels. The essence and types of promotion channels Which promotion channels for business to choose

Sometimes, when drawing up a plan for an event, we unexpectedly find parallels and associations with some well-known and even ordinary process, completely extraneous and seemingly unrelated to the topic being developed. Thus, the process of promoting a sales object to the market could be compared to hunting. In this case, we will consider two processes in parallel: a marketing plan, if we are talking about promoting a product on the market, and a metaphorical plan, if we are talking about hunting (see table). Hunting activities
Metaphorical planPromotion of a sales item
Marketing plan

If the morning turns out to be foggy, wait until the fog clears.	We determine for ourselves the starting positions of promotion: the scope of promotion (B2B or B2C), the geographical scope of the marketing space we are interested in, the price category of the sales object (low, medium, premium) and the time frame of the promotion program.
Finding the goal	We determine the quantitative (mass, large group, small group, units) and qualitative (subculture, social status, marital status, status, age, gender, profession, economic status, education) aspects of the target audience that interests us.
Let's aim	We determine information promotion channels that bring us most accurately to a specific audience.
Let's shoot	We launch information on the selected channels.

In terms of the stated topic, we are interested in the targeting process - the definition and selection of information channels.

So, channels can be mass, personal, local and individual. Let's consider each of them separately.

Mass channels

Mass channels serve inexpensive sales objects of mass demand and, as a consequence, the quantitative category of the “mass” audience, covering with an information “cap” the entire marketing space of interest to us, where the masses are dispersed.

Outdoor advertising - billboards and free-standing structures, advertising canvases on the walls of houses, information panels (including illuminated ones), advertising on transport, etc. - are visible to the widest audience and are therefore classified as mass channels. Separately, I will add that signs, display cases and pillars near retail outlets belong to local channels - more about them below.

General interest media are generally read printed periodicals, generally watched television programs and generally listened to radio stations. They are interesting to a mass audience. For example, the newspaper "Moskovsky Komsomolets". "Komsomolskaya Pravda", a news program on any channel, music programs on the radio.

In contrast to them, let’s bring out highly specialized media: a certain magazine “Teeth” will be studied by dentists, the magazine “Hairstyles” will be of interest to hairdressers, and I myself read the magazine “Advertising”. But dentists and hairdressers are not a mass, they are a small group.

The packaging of goods in the low price category also serves as a mass channel, since it “goes to the people” en masse. I open the box with “May Tea” and find a newspaper called “Tea Herald”. Or, for example, everyone remembers how information about the “last heroes” of the first convocation was printed on packages of J7 juice.

There are also products in the low price category that do not require packaging. For example, on clothes you can find not only the manufacturer’s logo, but also the store itself where these clothes are sold.

I display packages in a separate position, since this is something between outdoor advertising (albeit in a mini format) and packaging. We put things in bags and walk down the street with them. Many stores and shopping centers have packages in their advertising lists.

The Internet is already in direct competition with mass communications. Its general interest resources (weather forecasts, news...) are widely visited. And highly specialized sites, following the above logic, are a local channel.

Personal channels

Personal channels serve products that are inexpensive and accessible to most, but are specific - not everyone needs them (I can buy dog food, but I don’t have a dog and don’t need it) and, as a result, work for the group. This is the transfer of information “from mouth to mouth” - in such a presentation, information acquires an emotional overtones due to the personal assessment of the transmitter.

When planning personal channels, I answer two questions: “Which “floor” should I work on?” and “What will be the triggering mechanism?” You can work on two “floors” - directly for the group itself and for the opinion leader. Let me give you a story to illustrate.

One of V. Taranov’s books gives such an example. In one of the colonies, an attempt was made to accustom monkeys to sweets. We started with young individuals at the lowest level of the “monkey hierarchy.” The addiction to candy spread extremely slowly: only after a year and a half, 51% of the inhabitants of the colony consumed candy, and there was not a single leader among them - so to speak, a “revolution from below.” In another colony they tried to accustom monkeys to wheat, but this time they started with the leader. Eating wheat, until then unknown to the monkeys, spread throughout the entire colony within four hours! - an example of a “revolution from above.”

Well, in the monkey environment, the authority of the leader, as is known, is determined by a clear criterion of strength. For people, the criteria of authority may not be so clear; one of the most significant is the “external sign” of authority - title, rank, etc., denoting the value of an individual through his social role.

Indeed, it is enough to inform us that this is a “professor”, “director”, “marshal”, “minister” or “people’s deputy”, and certain attitudes of perception, previously formed assessments and expectations come into force. The opinion of the title holder acquires a completely different power of influence than in the case when he speaks incognito.

Thus, by opinion leaders we mean those whom the group trusts in matters related to a specific product: in matters of purchasing furniture, finishing materials, carpeting and interior creation - an interior designer, in matters of choosing cosmetics - a makeup artist, in matters of using nutritional supplements - doctor, etc.

Examples from marketing practice

The decorative cosmetics market has become especially active in the last two years, and we can confidently say that this trend will continue. Gradually, companies involved in decorative cosmetics are beginning to focus not only on the release of new products, but, first of all, on promoting their brands. At the same time, the best way to attract the attention of consumers is to involve makeup artists or consultants (News in the world of cosmetics No. 1-2, 2003).
As soon as Kate Moss publicly announced that she drinks ten cups of tea a day, the number of tea ceremonies in England and abroad increased sharply (Elle, No. 1 2003).
The Konzept plumbing salon held a specialized seminar on October 15. Employees of the German companies Hanza and Keramag spoke to an audience of architects and designers. The latest advances in plumbing design and technology, as well as emerging trends, were discussed. Much has been said about luxury collections - the main direction of these two companies (Salon).
Ben Coleman from the Restland funeral agency began inviting local church priests to breakfasts. The idea was such a success in terms of establishing friendly relations and further recommending the agency’s services that one of the Restland employees was charged with exclusively establishing and maintaining contacts with the clergy of all denominations represented in the district (R. Crandell 1001 ways of marketing M., 2000).
Popular and expensive marketing consultant J. Abraham advises sending clients a letter with the following content:
“I really appreciate working with you. For me, the fruits of our joint work are obvious. I have long been convinced that I get the best new clients almost exclusively thanks to those with whom I have worked for a long time.
I am writing to let you know that my work schedule is almost full and I will only be able to accept a few new patients in the near future.
But before I decide who I should choose as clients from those who are unknown to me, I want to say that I will be happy to give the right to preferential treatment to those whom you may want to refer to me: your friends, partners or family members . I only ask that you inform me of your intention as soon as possible.
Please call me or drop me a few lines with the names of your protégés so that I know how much time I need to leave in my schedule to work with them later."

One doctor sent such letters to all his patients, and then followed up on their receipt by calling several of his most active promoters of his services. As a result - 22 new patients in 30 days (R. Crandell 1001 ways of marketing M., 2001).

In the first four cases we are talking about working for opinion leaders. In the latter, work for the group.

The second question we must answer when planning personal channels is what are the mechanisms for launching them. So, working for a group, you can:

provide a benefit to someone who is recommended to come to you (in the above example, the benefit is priority service);
provide the person who will distribute information about you with an advertising medium for “re-gifting,” as the hero of the example taken from the book “1001 Ways to Successful Marketing” by R. Crandell does:

Gifts are more effective than persuasion

One professional gives clients special discount cards worth up to $100 to give to friends. As a result, by giving a recommendation, people seem to be part of the gift offered by the specialist. According to the professional, this tactic allowed him to increase the number of recommendations he received by 10%. In any case, the effectiveness of your requests for recommendations will only increase if you accompany them with something quite tangible.

When working for opinion leaders, make them financially interested in the results. Give them a percentage for each person who comes through a recommendation. And recommendations can be tracked using the same letters of recommendation.

Local channels

Local channels also serve the group, if only by virtue of their name (“locus” - place). Information is received by those who are in the right place at the right time.

We will need local channels if we are not interested in mass sales (because EVERYONE can’t buy it), but sales narrowed by the considerable cost or special purpose of the product (for example, strollers are needed only by families with small children - a large group, but expensive strollers can buy only wealthy families with small children - a small group). In this case, using mass channels is unreasonably expensive.

First, I’ll tell you a funny story that gives a metaphorical but very accurate idea of the essence of local channels.

Two zoologists were given the task of counting rhinoceroses in the reserve. One conscientiously spent a month on this. The second one came on the last day and also counted. And - amazing! - their results coincided. The first, perplexed, asked how the second managed to do it. The second one answered: “I know that ALL rhinoceroses drink water HERE EVERY DAY, and at the same time pointed to the place of the watering hole. This is where I began to count them.”

The moral of this story is this: why search around the city for potential clients if you can calculate their “paths” and stand across these paths with your information?

“Today, most young mothers, upon leaving the maternity hospital, receive as a gift a set of advertising booklets and free samples of diapers, baby food and cosmetics for the little ones. Most often, this is how acquaintance with brands of children's cosmetics begins. These are the methods of promotion that are mainly used by companies that produce these products. Of course, they cannot do without direct advertising, but the greatest effect is not achieved by large-scale television advertising (mass channel - I.I.), but by promotion through pediatricians (personal channel through opinion leaders - I.I.), through maternity hospitals and specialized publications for mothers" (A. Debabova "Competition begins from the cradle" // News in the world of cosmetics, No. 4, 2002).

Let's make two clarifications:

“Waterholes” can be permanent (always independent of us) and specially organized (thematic exhibitions, holidays and shows, presentations, thematic lectures...).
You can walk with your feet. And you can “walk” with your ears (listen) and your eyes (look).

Consequently, local channels (“watering holes”) can be physical - where they go, or they can be informational - where they watch and listen. Let's look at them separately.

Local physical constants

These are the places where people who are concerned about what you are selling appear.

A seller of dog food should “catch” potential buyers in good quality veterinary hospitals, dog walking areas, and places where collars and leashes are sold. People who think about dogs go there.

More examples

In Rome, not far from the Spanish Steps, a perfume bar L’Olfattorio has opened, where visitors can taste new and classic aromas of leading perfume houses and about 200 basic aromatic essences for free. On the way out, guests are given a list of Roman perfume shops, as people who come there think about perfume.
On the side of the reader's requirement sheet of the Russian State Library (1997) it is written: "Gelos". Antique books and manuscripts. Buying and selling. Address and phone number. Book lovers get caught in the library.

Local physical organized

Here we are talking about organized events whose visitors are suitable for us: thematic exhibitions, holidays, shows, presentations, open lectures, seminars... For a dog food seller, these would be dog shows or, for example, lectures at a kennel club.

Examples of an organized "watering hole"

At the beginning of December, the opening of an unusual photo exhibition “La Femme - Russian Women of the 20th Century” took place at the Catherine Palace. In the photographs are Anna Akhmatova, Anna Pavlova, Valentina Tereshkova, Maya Plisetskaya, Galina Ulanova, Lyudmila Gurchenko, Alla Pugacheva... And in total, the list compiled by the author and host of the “Silver Ball” program Vitaly Wulf contains 100 names of outstanding women of the 20th centuries. For the exhibition, some photographs were provided by the Bolshoi Theater Museum, the Bakhrushin Museum, ITAR-TASS, while others were purchased from personal family archives. “They are quite expensive,” admitted the official curator of the exhibition, Andrei Fomin.
Simultaneously with this peculiar attempt to remind us of the names and images of historical Russian women, a presentation of a new brand of ultra-light women's cigarettes, Ligett-Ducat, took place (NRG, No. 2, 2001).
Telephone service provider Nynex actively includes among its users the most exotic representatives of the youth subculture, distributing very original postcards among visitors to discos and other youth hangouts.
The specialized exhibition "Wedding Fashion. Wedding Services" will attract not only a large number of stylists, fashion designers, etc., but also restaurant business owners and managers of expensive glossy magazines during the days of its holding in the Central House of Artists.

Local information constants

We are talking about sources of information that exist separately and objectively - thematic magazines and newspapers (those “teeth” and “hairstyles”) and thematic literature.

For example, the French magazine "Marie Clair" began promoting in Russia through one of the two women's magazines that existed at that time - "Rabotnitsa", and the cosmetic company "Avon" through the other - "Peasant Woman". Through the magazine "Home and Interior" you can promote everything related to home improvement - plumbing, furniture, paintings and frames, carpets, etc.

Local information organized

Organized local information channels can be thematic directories, newsletters or newspaper supplements. For example, an application called "Time to Rest!" can be useful for promoting products such as: sunglasses, travel agencies, rental of tourist equipment, etc. And most importantly, a person who is not interested in the topic will not pick up such a catalog. In this way we provide highly precise communication targeting.

The magazine "Kommersant Money" in No. 32, 1999 lists all the thematic supplements it has planned for the near future: "Clothing of the season", "Rating of banks", "Rating of consulting and auditing companies", "Medicine. Medicines", "Computers", “Insurance”, “Household Appliances”, “Tobacco”, “Drinks”, “Jewelry and Watches”, “Audio and Video Equipment” and accompanies this information with a schedule of their releases.

Another example is a letter from a reader of Elle magazine in No. 9, 2002:
“My friend, preparing for her wedding, leafed through magazines from the 90s, complaining that in the provinces it was, alas, almost impossible to learn about the latest trends in wedding fashion. But I brought her the life-saving July special issue of Elle in time. We have already read these 40 pages "many times. Now the future bride knows exactly what the action plan is for the next two months. And the wedding theme was useful to me, because after graduation I want to start organizing weddings." Marina Grigorieva. Yaroslavl.

In this same section we will include the “article + advertising” technique, when an advertising module is attached to an article on a corresponding topic. For example, an article about insurance is accompanied by an advertising module for the insurance company Ingosstrakh, and an article about osteochondrosis is accompanied by an advertising module from Balsam Karavaev. So, if I think through information “watering holes,” then, first of all, I imagine what thematic materials are viewed by the person to whom I want to sell something.

How can this be done in practice?

Let's say my business is running a children's cafe. And I am interested in people who are concerned about the upcoming birthday of their children. I assume that with their feet they go to toy stores and candy departments.

Having identified the physical “watering holes”, let’s think about the information ones. Maybe this is a section in the local newspaper “organizing children's leisure”? Or just advertising for companies specializing in children's parties? Or the local children's newspaper? Or thematic literature “children’s holidays?” (By the way, in a Moscow bookstore I pick up O. Pushkina’s book “A Woman’s Gaze” and two business cards fall out. One says “Bewitch” and the other says “Lose weight.”) In any case We must use those places where people “go with their eyes and ears.”

Another example. I make maternity clothes. If we build a map of “watering places” for this type of business, then among the physical ones I will name antenatal clinics, stroller stores, children’s trousseau stores and pharmacies. Special literature, the TV show “Health” and magazines like “Happy Parents” will be information watering holes.

Here, a completely timely question arises: how and in what form will I convey information to the audience through “watering holes” (considering that the mass channel already has a long tradition of informing - everything seems to be clear with it)? We will answer this question a little later. First, let's look at the possibilities of using key places.

Key places

In any visual space, room, object, information carrier - in any object - there is a place that the human eye cannot avoid - it will “stutter”. This place will still become the focus of the viewer’s attention and guarantees that our information will be “noticed” if we place it there. That's why it's called key. When I tried to define it, it turned out: “A key place is a place in relation to which or with which we perform some actions or manipulations - we rest against it, step over it, take it or follow it with our eyes...”

For example, the key part of a newspaper is its header. After all, we still look at what it’s called. Every box or bottle has a place where it opens. And when we open it, we can’t help but look there. Here is a list of possible key places. (see table 2)

An objectKey place

Bag	Pen
TV	Screen, control panel
Book	1 page cover, bookmark and place where the price is indicated
Seller's clothes	Badge
Letter	Appeal and signature
Festive table	Bottle
Bottle	Cork and label
School, university	Schedule
Any public place	Entrance doors, watch
Iron	Knob, temperature switch
Cash register in the store	Window with amount and plate for money
Any station	Schedule and voice of the announcer
Building outside	Sign with name or address
Cloth	Label with dimensions and manufacturer's logo, zipper pulley
Road	Road signs
Toilet	Opposite wall, toilet handle
Smoking room	What serves as an ashtray
Crossroads	Traffic light
Multi-storey building	Elevator and entrance doors
Printer	The place where the sheet of paper comes from
Human face	Eyes and mouth
Computer	Monitor and mouse pad, disk drive and keyboard
Workplace	Urn, Framed Photo, Desk Organizer
Ruler	Marked edge
Subway car interior	Subway map, doors
Washing machine	Display
Car outside	Manufacturer's number and label
Vehicle interior	Dashboard, moving wipers
Dishes	Bottom from the inside
Showcase	Price tags on goods
Window	Curtain, window handle
Public transport salon	Entrance doors, handrails, front seat back
Mirror, clock and calendar	Anywhere (universal key places - they work wherever you put them)
Contents of a handbag	Cosmetic bag, wallet
Organizer	Alphabet letters on edge, clasp
A pack of cigarettes	A ribbon that we pull to open the pack (Marlboro has their image drawn on this ribbon - scenes from the life of cowboys)
Class	Board
Cinema	Row and seat number, front seat back
Elevator	Doors and panel with floor numbers

Every room has an entrance door. This is what we look at when entering a room, and more specifically, we look at the door handle that we are grasping, and then at the threshold, so as not to stumble. This means that if the rug is branded, or next to the handle it says “Peter 1”, then the advertising message of these cigarettes will reach ALL visitors. Or, if you’ve been paying attention, the change plates at store checkout counters are almost entirely branded.

I will give two examples from R. Crandell’s book “1001 Ways to Successful Marketing”, illustrating the key points:

Marketing a blowgun (the non-pygmy way)
Ray Wilcox is marketing a construction project in an expensive suburban area. Houses there are usually set back from the road and surrounded by a fence. Most contractors and site planners are content to tape their business cards to the mailbox. The servants and gatekeepers happily pick them off and throw them in the trash. Ray folds up his card and attaches it to a homemade paper arrow. He then takes a two-foot, half-inch diameter PVC tube and sends the projectile a hundred yards beyond the fence, right to the doorstep of the estate. People often call Ray just to be curious about how he manages to get behind the fence. The resourceful agent admits: “This method helps me expand my client base. Not very tactful on my part, but effective!”
Announcements in the elevator
One dentist noted that people in elevators avoid looking at their neighbors out of politeness, and having some kind of advertising poster in the cabin would help them get rid of the awkwardness of too close contact. For $100 a month, he purchased the right to display an information poster in the elevator of the office building in which his office was located. The material reminded that in order to treat their teeth, people would not even need to go outside, and also indicated that the dentist’s work schedule allows you to visit him before and after work, during lunch break, etc. About once a month the advertisement changed, and each new one was dedicated to one of the types of dental services. A free preliminary inspection was always offered. Thanks to this simple method alone, the specialist acquires an average of 12 new patients per month.

I think that if desired, the same could be done in the elevators of buildings located nearby.

Another example, already pre-revolutionary.

In 1874, all doctors living in Vienna received the following message: “Your Highness! Attaching herewith the price list of my new store for mourning toilet accessories, I take the liberty of adding a request, if Your Highness expects the death of any of your patients, to convey it with Your recommendation to the ladies of this family before they order their mourning elsewhere, or kindly notify me with a note, for which I undertake to pay Your Highness 10% of each order.
With special respect, I remain the humble servant of Your Highness (signature)."

Of course, where else can you look for people concerned about mourning toilets!

Thus, finding and using a key location as a channel for conveying information speeds up the communication process.

Individual channels

Individual channels serve industrial or consumer goods of the premium group, and, as a consequence, the quantitative category of “unit”.

With an individual channel, we launch address name information - when we know the addressee’s name, who he is and where to find him. All sales offers, telephone calls and personal visits are classified as individual channels.

Another limitation when choosing a channel is the advertising campaign budget. And if the channel suits you in other respects, then the final choice is made taking into account this last, decisive criterion.

This article will be included in Iya Imshinetskaya’s book “Customer Relationship Management”, publishing house RIP-Holding

Promotion of goods on the market refers to the use of various methods by which the seller can convince the buyer to buy this product. Product promotion methods are:

informing consumers about the product (where you can buy the product, what its price is and other information about the characteristics of the product);
conviction in the merits of the product, motivation to purchase this product;
a reminder about the product necessary to stimulate additional demand.

The following means of promoting products to the market are distinguished:

Personal (personal) selling. It represents regular contacts between the seller and the consumer. The seller, when servicing the client, must provide him with all the necessary information about the product and how to use it correctly.
Advertising. It represents paid messages about products that are distributed through the media. Advertisements are aimed at calling for the purchase of a particular product. An advertisement consists of two main parts: the text part, and the artistic, graphic part of the advertisement. Advertising must convey the necessary information, be transmitted a sufficient number of times, promote the sale of products, and generate income that covers the costs of its creation.
Public relations. Most businesses benefit from good public relations. That is, it is necessary to maintain good relations with the local population, sponsors, government agencies, and the media. Most consumers prefer companies with a good reputation that have managed to create a favorable image of a reputable company.
Sales promotion. This tool increases the effectiveness of advertising and personal (personal) selling. Sales promotion includes the following activities:
- rewarding sellers for good work;
- application of special discounts to prices for poor sales of goods;
- distribution of free samples of new products;
- free attachment of a small souvenir to the product;
- organization of exhibitions;
- issuing coupons that provide an opportunity to purchase goods at a discount;
- holding competitions and lotteries.
Service. Customer satisfaction and quality customer service can guarantee new orders in the future. Service creates trust in the company. An example would be establishing a warranty period for a product, the possibility of returning or exchanging a product, or eliminating a malfunction.
Creating a positive public opinion. This method is free communication about a company or its products through the media. For example, a speech by a company representative on television or radio, a press conference.

Advertising

A manufacturer in a market economy tries to achieve an advantage over competitors with the help of advertising and other sales promotion techniques. The success of a business is determined not only by the size of the initial capital, but also by the quality of business communications. Types of business communications are very different. This includes: conferences, exhibitions, seminars, presentations, press conferences, interviews, round tables, business lunches, negotiations. But the most basic type of communication is advertising.

Purpose of advertising- increase the market share of the product manufacturer and strengthen consumer loyalty to the product. This means that the firm hopes to shift the demand curve to the right and at the same time reduce its price elasticity.

Advertising is any appeal from the manufacturer, seller or their representatives to a potential consumer-buyer. In the mid-1990s, the advertising market in the United States was estimated at $250 billion a year (it has tripled over the past 10 years); in France at 30; billions of dollars (tripling in 7 years); in Russia at $1 billion, but the tripling occurred in two years. The turnover of the Russian advertising market in 1996 increased by 10% compared to 1995 and amounted to 1.1 - 1.5 billion dollars. At the same time, the turnover on television reached 344 million dollars, the press accounted for about 700 million dollars, and outdoor advertising accounted for about 80 million dollars (“Advertising Business” by E.A. Utkin). In the 2000s and 2010s, these values increased many times over.

There are different types of advertising messages: informational, reminder, image. You can also highlight social advertising that addresses universal human values (preservation of the environment, health, etc.). Information advertising brings to the attention of the consumer information about the manufacturer, the product and its qualities, ways to purchase the product or obtain additional information. The ultimate goal of information advertising is to create or increase sales of products.

daily newspapers, which, in turn, can be divided into business, entertainment, central and local; weekly publications are also divided into business, socio-political and thematic;
illustrated monthly publications primarily of a popular science or entertainment nature;
technical and professional publications;
advertising and information publications can be free, have a symbolic or very real price.

The main factors influencing the choice of publication are circulation and sales volume, audience, image of the publication and its life cycle (for daily newspapers - two days, for weekly publications - 10 days, for monthly - about 50 days), circulation ratio (average number readers of one copy).

Advertising on television occupies an important place. The disadvantages of advertising on television are that information is poorly remembered, and the abundance of advertising blocks irritates consumers, and this reduces the effectiveness of television advertising. Radio is significantly behind television.

In the last 10-15 years, advertising on the Internet has been rapidly developing. Even traditional businesses like funeral agencies began to actively promote themselves in service aggregators. For example, many funeral agencies use a directory of funeral agencies, and some order other types of online advertising. Nowadays you can find almost any commercial offer on the Internet, and in terms of audience coverage, the largest Internet sites are comparable to targeted channels.

Outdoor advertising plays an important role: posters, stands, billboards, displays, as well as direct-mail (direct mailing of advertising materials).

An intermediate position between advertising in the media and sales promotion is occupied by point-of-sale advertising (PSA), which accounts for an average of 5% of a company's marketing budget. It covers: information activities of the store itself (posters, posters, panels, video cassettes, radio announcements), techniques used by the manufacturer (racks, stands, video systems, carts, smells), joint events of manufacturers and sellers (staff uniforms, exposition, containers, bags and other packaging materials).

When forming an advertising budget, it includes the costs of creating advertising materials and their placement in the media, as well as associated administrative costs (salaries of advertising department employees or consultants' fees). In accordance with another approach, a single marketing budget is formed, which includes expenses for research (on average about 15% of total expenses), sales promotion (on average about 50%), advertising (about 30%) and public relations ( around 5%).

1 - research costs;
2 - sales promotion expenses;
3 - advertising costs;
4 - public relations expenses.

Distribution channel (sales) - a set of methods for promoting a product from the manufacturer to the consumer. Types of distribution channels for goods:

Producer -> consumer. This channel is a direct, direct sale of a product by the manufacturer to the final consumer. For example, a private bakery sells its bread in its own store.
Manufacturer -> retailer -> consumer. In this case, manufacturers first sell their product to retailers, who then resell the product to the final consumer. Most often, this channel is used to sell clothing.
Manufacturer -> wholesaler -> retailer -> consumer. This distribution channel is suitable for selling household appliances.
Manufacturer -> sales agent (broker) -> wholesaler -> retailer -> consumer. This distribution channel is used in those industries in which the sale of goods is carried out by specialists.

The choice of distribution channel depends on the following factors: the number of places where goods are sold, distribution costs, the degree of control over the movement of goods through channels. Product distribution channels:

Transport

Distribution of goods includes the following costs: transportation costs, storage costs, administrative costs, and other distribution costs.

Product transportation costs account for a significant portion of total distribution costs. When choosing a mode of transport, the company is guided by the following task - to achieve the most effective method of distribution as a whole at minimal costs. Transportation can have a significant impact on product sales. The faster a company delivers its goods, the greater the advantage it will have over its competitors.

The following types of transport are distinguished:

Truck, automobile. This type is used most often. The advantage of this type of transportation is the ability to transport cargo along highways at any time, and the ability to deliver cargo “door to door.” The disadvantage is the inefficiency of transporting heavy and bulky commodities such as metal or coal.
Railway transport. This type of transport is characterized by the ability to transport heavier and more varied cargo. But the disadvantage is that it is impossible to deliver goods precisely to the consumer via railway tracks.
Water transport. This is the cheapest form of transport. This type mainly transports goods such as oil, coal, ore, cotton and timber. The downside is that the ships are slow and the sailings are not frequent. This may also be accompanied by unnecessary costs associated with the delivery of goods to the port and damage to goods.
Air Transport. This is the fastest mode of transport. The disadvantage is the restrictions on the size and weight of the cargo. Also, airports are located in certain places, flights depend on weather conditions.
Pipelines. This type of transportation is used to deliver gasoline, natural gas, coal or wood chips in a liquid medium. But this transportation is very slow.

Transport can have a huge negative impact on the environment: noise from planes and cars, emissions of gases, destruction of forests for road construction, pollution of oceans and seas as a result of damage to tankers carrying oil, etc.

Entrepreneurs often complain about the lack of clients, however, when you start to find out what channels they use to attract clients, you realize that these channels are practically non-existent.

I think you have heard about such a company in the USA as Wallmart. According to the reports of marketers of this company, they use more than 500 channels to attract customers. Therefore, it is not surprising that the turnover of this company is more than 5% of US GDP.

God willing, 3-5! And basically, managers always try to use free methods. Naturally, this won’t work! To paraphrase Matroskin the cat: “To earn something, you have to spend something.”

In this article, I tried to figure out what effective modern channels of advertising and attracting customers can be used by business owners.

Three roads to Rome

I will focus on the most basic and best channels for most businesses.

It only makes sense to talk about what you yourself have tried in practice. Therefore, I will talk about the methods that we usually use in consulting:

Internet;
Offline;
Non-standard advertising.

Why do I start my article with online advertising, and not with the usual advertising on television or?

Don’t think that I didn’t come up with this, the data is based on a study by the AKAR agency. And as we see, offline advertising indicators are falling, but this does not mean that this kind of advertising is dead. Stop, not all at once. Let's figure it out and start with the Internet.

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Internet

There are a huge variety of advertising channels on the Internet. And it’s impossible to say for sure which one is the most effective, since it all depends on your area of business. But let's understand and look at the strengths and weaknesses of each channel.

1. Website

For most companies, this is the source of the main and, if everything is prepared correctly, low-cost way to attract new customers. Naturally, the site must sell, starting with the contact collection form and ending with something useful.

You can find out in more detail whether you need a website in 5 minutes from the article below.

True, it’s not enough to create such a website; you also need to promote it so that your potential clients know about it. This is why you can use several methods.

3. Thematic sites and forums

There you can maintain a thread (column) on any topic of interest, both on the site itself and on the forum.

Let's call it “Expert opinion”. This way you will look more authoritative in the eyes of your customers, and thereby increase loyalty to your brand, and this is a direct path to new customers.

In this way, for example, one of our friends sells their repair services.

Yes, this may not be the fastest money, but when a client has a question about which store to buy from, an article from the owner of this store with an expert opinion can be a significant plus in your favor.

Pros :

You can become an expert in your niche
Increases loyalty to your company/products
Finding a site/forum where you will write is very easy

Minuses :

Doesn't lead directly to money
It may take a long time before you are perceived as an expert.

4. 2Gis/Yandex Directory/Google/Various city portals

In modern times, most people search for information on the Internet. And the more mentions about your company on sites that inspire trust (2Gis, Yandex, etc.), the more potential clients you can receive.

The best part is that posting information on most of these sites is free!

Pros :

On most sites you can post information about your company completely free of charge.
Placement does not require special knowledge
You can post a website and other contacts

Minuses :

Doesn't pay off right away
Not relevant for all areas of business
Requires a lot of time and knowledge to get results
At this time, getting free clients is very unlikely, because in social networks everything has long been based on paid advertising

Offline advertising

Now let's talk about more traditional advertising methods. Naturally they are familiar to you. In this chapter we will look at the pros and cons of each channel.

1. Advertising on television

Probably, when they talk about offline, they immediately think of advertising on television. But, for example, all I remember about advertising on television is image advertising of large brands (specifically on federal channels).

If we talk more down to earth, about local channels, then here I can name various advertisements of local companies, although for the most part I can’t even remember them.

This is probably the main failure, when the advertiser does not understand the correct approach to such an advertising channel.

Pros :

An excellent channel for increasing company/brand awareness;
Great coverage.

Minuses :

Extremely expensive advertising;
Customer value is almost impossible to measure;
It is extremely difficult to reach your target audience;
You need to think through the message very well.

2. Radio advertising

That's where I'm for it! Although many will say that it doesn't work!
If your budget allows, be sure to test radio advertising.

If you clearly define your target audience, find the radio that they mostly listen to and be sure to post it.

Perhaps she will meet your expectations. A couple of our clients were placed on the radio, the advertising may not have made a big splash, but at least it always paid for itself.

Pros :

An excellent channel, again, to increase company/brand awareness;
Again, a large coverage like television.

Minuses :

You need to develop an interesting creative to get people hooked;
It is extremely difficult to reach your target audience.

3. Billboards

Now many people are saying that billboards, as a form of advertising, are becoming obsolete.

But, if you look at the statistics, the cost of 1 thousand contacts with a potential audience (CPT, cost per thousand) was 35 rubles. (according to a study by the Initiative Agency for 2013). Yes, the information is not the latest, but what can you do?

Billboard example

If the billboard is located near your branch, then in addition to the offer, we simply indicate with arrows how to get to you (as simple and detailed as possible).

Important. After creating the banner, conduct an experiment. Show it to a stranger. If he doesn’t remember it within 2-3 seconds or nothing on your billboard caught his attention, change it urgently!

Pros :

You can stay in both very popular places and less popular ones;
The opportunity to officially advertise yourself on the central streets of the city;
Great coverage.

Minuses :

It takes a fair amount of preparation to make effective advertising;
It is very difficult to get to the target audience.

4. Advertising on public transport

Especially if the route is chosen in accordance with the characteristics of the advertised product or service.

Advertising on transport

In the USA, for example, a survey was conducted among 2,000 people, which revealed that moving advertising was noticed by 90% of respondents, and static advertising by only 19%.

In the UK, as many as 80% of respondents consider beautifully decorated vehicles more attractive.

However, we should not forget that for this type of advertising, despite all its low cost of contact with the client (CPT, cost per thousand), the initial launch budget should be at least 50-70 thousand rubles. The pros and cons are similar to billboard advertising.

5. Advertising in magazines/newspapers

Naturally, if we talk about such printed publications as “Cosmopolitan”, then most likely it is beyond the reach of readers of our blog.

Newspaper Advertising

The only thing I can say for sure is that for services businesses, such a channel almost always pays off.

For example, we have a client who is engaged in the restoration of bathtubs and advertising in newspapers ranks second among the most “client-generating” advertising channels.

A very narrow target audience that prefers reading a newspaper instead of other channels of information;
No positive impact on the image was noticed.

6. Pillars/Signs/Indicators

Have you all probably seen small metal structures standing on the sidewalk? on which various advertisements are located. About promotions, discounts, location. These are the same pillars.

Advertising pillars

A simple example. Thanks to well-placed pillars near our client’s small jewelry store (6 pieces were placed), we increased the number of clients who came in by 20%.

By the way, we recently set a kind of record for producing such an advertising channel on a budget. The stander was provided to our client by a company that supplies water to his coffee shop.

The client simply spent 300 rubles on printing film on this pillar and put it on the street near his coffee shop. Here! For literally 300 rubles, the client received an additional advertising channel that will bring new customers to his coffee shop.

Pros :

Not very expensive;
You can put several of them.

Minuses :

It is very difficult to coordinate official placement on the streets, so sometimes they can be thrown out by “guardians” of order;
It is possible to change the offer, even every day, but it requires a certain investment of time and money.

7. Posting notices on porches and poles

A little higher, I already wrote about our client who is engaged in the restoration of bathtubs. So, in first place he has the channel that brings the most clients to his business for many years - these are advertisements on poles and entrances.

Yes, his competitors don’t like him, because he practically plasters the entire area with advertisements. But I think that this does not bother him at all, especially when he receives a large number of orders.

Pros :

Quite cheap advertising;
Possibility to place an ad wherever you want.

Minuses :

It is very difficult to find good, responsible posters;
No positive impact on the image was noticed;
Specific target audience.

8. Distribution of flyers/business cards

A very good tool for attracting customers, for example, to a store or catering. Yes, it still works. And yes, very good.

For example, yesterday’s conversion from the distribution of leaflets for our client - out of 200 leaflets distributed, 12 people came to the store. The conversion was 6% (which is very cool in such a customer acquisition channel).

The budget for such an event was only 2,000 rubles, and we received 12 new clients.

The most important thing when distributing flyers is responsible promoters. Here I recommend that you do not be greedy and do not hire schoolchildren or students, but hire a specialized company.

Yes, the cost will be higher, but you will have photo reports and you can be sure that your leaflets will not end up in the nearest trash cans.

Other advertising

1. Newsletter via SMS/e-mail

I am so glad that in November 2014 a law on illegal SMS messaging was introduced. At a minimum, if earlier I tried to explain to clients that sending SMS messages to a database that they “accidentally obtained” is incorrect, ugly and extremely ineffective.

Now I simply scare them with huge fines for such actions and the issue ceases to exist in principle. Although if you send SMS messages to your honestly collected database, then this is good.

Product distribution channel

Channels zero level

Single-level channels two-level(two intermediaries), three-level(three intermediaries) and multi-level

Thus, product distribution

Product.

factors:

3) product characteristics

sales of products,

Direct wholesale sales

with a full service cycle And . Independent wholesalers with a full service cycle

retail chains

In practice, often the same retail enterprise is simultaneously a retail facility in several retail chains. For example, a car dealership of a certain brand can simultaneously be part of the trade network of the owner of the brand (which provides him with the opportunity to use the latest advanced technologies for selling and servicing cars) and be an element of the network of the single owner of the trade network of car dealerships, which sells and services cars of various brands ( which significantly increases its competitiveness in the automotive product market due to the high professionalism of its employees, the ability to take advantage of the benefits of corporate governance, etc.).

The introduction of the concept of retail chains into the list of basic concepts of the Federal Law on State Trading Enterprises is justified primarily by the need for enhanced control and supervision over their activities, since in recent years trade activities have taken the path of forming an association of trade enterprises. The concept of a trading network in the Federal Law on Gross Trading Products is used to approve the methodology for calculating the volume of all food products sold (Clause 3, Part 1, Article 5 of the Federal Law on Gross Trading Products), establishing a special regime for the legal regulation of trade in food products (Article 9 of the Federal Law on Gross Trading Products), formation of mechanisms for antimonopoly regulation of relations between economic entities of commodity markets (Part 1, Article 13 and Part 1, Article 14 of the Federal Law on State Traffic Safety Inspectorate).

According to GOST R 51303-99 “Trade. Terms and definitions" trading networks can be of two types - stationary And non-stationary. Stationary retail chain located in specially equipped buildings and structures intended for trading; it is formed by building systems that have a closed volume, firmly connected by a foundation to the land plot and connected to utilities. Non-stationary trading network operates on the principles of peddling and delivery trade; it is usually presented in the form of tents, mobile shops, tank trucks, etc. Based on their functional purpose and field of activity, wholesale trade networks made up of wholesale trade enterprises are distinguished.

The need to identify business entities engaged in trading activities through the organization of a trading network is due to their powerful influence on regional and municipal goods markets, which makes it necessary to introduce special antimonopoly rules to regulate their activities. This is also due to the importance of imposing special organizational and informational requirements on such entities.

Parts 1, 2 art. 9 of the Federal Law on GRTD imperatively establish requirements for business entities supplying food products, and business entities carrying out trading activities through the organization of a distribution network, when concluding an agreement for the supply of food products. This rule does not apply to contracts for the supply of other types of goods, constituting a legal regime for regulating the circulation of food products. These norms introduce a system of rules related to ensuring access to information about the conditions for concluding contracts for the supply of food products. Order bringing such information to the counterparty of the agreement is the same for any of the parties to such an agreement and must be ensured through:

1) posting relevant information on the website of an economic entity trading on the Internet. This rule does not imply the obligatory presence of their own website on the Internet for business entities of trading activities, since the Federal Law on State Traffic Safety Inspectorate provides for an alternative opportunity to provide such information by making a special request;

2) providing the requested information free of charge within 14 days from the date of receipt of the relevant request. In accordance with the commented norm, responding to a request from a potential counterparty to a contract for the supply of food products is the responsibility of the addressee of the request. Moreover, the law requires that responses to requests be made free of charge. This rule is designed to significantly increase the efficiency and intensity of commercial information in the field of food circulation, which should significantly contribute to the activation of the contractual process in this area and have a positive impact directly on the safety and quality of food products.

Taking into account the widespread introduction of information technologies, in the future one could expect to establish an obligation for all business entities carrying out trading activities both through the organization of a trading network and through the supply of food products, when concluding such contracts, to use only information from sites on the Internet, which will automatically is associated with the requirement for them to organize their own websites on the Internet information and telecommunications network and will increase the transparency of their activities.

Channels for promoting goods (distribution channels) in trade markets

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Product distribution channel- a set of wholesale enterprises or individual entrepreneurs that assume or help transfer to third parties the ownership of a specific product or service as it moves from producer to consumer. In this case, there is not a simple movement of goods from hand to hand, but there is a transfer of ownership rights to the transferred goods. This occurs through the resale of the product, and, with the exception of the final consumer, other participants in this chain buy the product for the purpose of its subsequent sale, and not for the purpose of using it for its intended purpose.

Channels of distribution of goods are classified based on the presence and number of intermediaries located in the chain of promotion of goods from the manufacturer to the final consumer.

Channels zero level involve direct economic ties between the manufacturer of a product and its final (retail) distributor. An example of a zero-level channel would be the creation of a retail sales department within the structure of an agro-industrial enterprise. In this case, the distribution of the goods is carried out by the manufacturer himself. Another example of a zero-level channel is a direct supply from an agricultural producer to a retail chain. This sales method is most beneficial for both the manufacturer, the wholesale buyer, and the retail buyer, since in this case the costs of intermediary services are minimal and prices are optimal.

Single-level channels commodity distribution is characterized by the presence of only one intermediary in the chain of promotion of a product through the market to its final consumer. According to the number of intermediaries, there are two-level(two intermediaries), three-level(three intermediaries) and multi-level goods distribution channels. An increase in the number of intermediaries significantly increases transaction costs, which significantly increases the final price of the product and reduces the possibility of its sale.

The method of distributing goods using resellers is called indirect method of distribution of goods. In this case, the manufacturer loses part of the profit in favor of intermediaries. But the involvement of intermediaries pays off in the effectiveness of their activities in ensuring greater availability of goods and bringing them to target markets. Using their contacts, skills, experience and specialization of activities, intermediaries can offer the manufacturer significantly more than what he could usually do without their participation.

Thus, product distribution is the process of physically moving goods from the manufacturer to places of sale or consumption. Product distribution is carried out through direct (manufacturer - consumer) and indirect (manufacturer - intermediary - consumer) channels. The width of the product distribution channel is determined by the number of participants located in each link of the channel. The set of distribution channels forms the distribution or distribution network of the commodity wholesale market. Modern commodity turnover dictates the need to centralize commodity distribution channels and concentrate them on a territorial or title basis. Therefore, distribution channels today are located within complex marketing systems that ensure faster and more optimal delivery of goods from the manufacturer to the final consumer.

To increase the efficiency of product sales and to save money, organizations often resort to using multi-channel distribution systems goods.

The formation of a product distribution channel is also influenced by a number of factors:

1) characteristics of end consumers- their number, degree of competition, average one-time purchase, income level, pattern of behavior when purchasing goods, volume of services, credit terms, etc.;

2) opportunities for product manufacturers and wholesale intermediaries- their financial position, competitiveness, main directions of market strategy, scale of production. It is preferable for small firms with a narrow product range and limited financial capabilities to work through independent resellers, while large firms are recommended to carry out part of their sales organizations through their own sales network;

3) product characteristics- its type, average price, seasonality of demand, shelf life, etc.;

4) degree of competition and competitors' sales policies- their number, concentration, sales strategy and tactics, relationships in the sales system;

5) characteristics and features of the market- its actual and potential capacity, customs and trade practices, customer distribution density, average per capita income, etc.;

6) comparative costs of various product distribution systems.

The purpose of any distribution channel is sales of products, those. its marketing with the aim of converting goods into money and satisfying consumer demands.

Direct wholesale sales goods are supplied by their manufacturers without the involvement of intermediaries. Direct sales are quite widespread and are used by enterprises in both the mining and manufacturing industries. The direct form of implementation has a number of advantages: 1) the manufacturer can better study the market for its products and maintain close cooperation with main consumers; 2) scientific research is carried out aimed at improving the quality of products; 3) direct wholesale sales of products speeds up the sales cycle and capital turnover, which allows you to increase the total amount of profit.

On the other hand, the direct form of sales of goods increases the manufacturer’s costs, since he is forced to create expensive inventories of goods, ensure their storage and sale to specific consumers. Therefore, only large competitive enterprises are able to independently sell their products. Direct sales of industrial goods can be carried out through the manufacturer's own regional sales branches, as well as through its own sales offices, which are usually located in production premises and do not create inventories.

Became more widespread indirect wholesale sales of goods, which is carried out in two ways - through independent wholesale organizations and through agents and brokers. Wholesale organizations play the role of a link between the manufacturer and numerous consumers, helping manufacturing enterprises penetrate new markets. They can be universal (multi-purpose) and specialized, while some of them specialize in certain product groups, others in specific industries.

There are two types of independent wholesalers: with a full service cycle And with limited service cycle. Independent wholesalers with a full service cycle provide consumers with the following services: storage of inventory, lending, ensuring delivery of goods, providing assistance in managing the process of selling goods. Wholesale organizations with a limited service cycle provide a significantly smaller range of services, which include the following:

1) sale of goods for cash without delivery to customers. This sales method is typical for wholesale organizations selling a limited range of goods that are sold to small retailers with immediate payment for the goods;

2) the sale of goods with delivery to customers is the predominant mode of activity of wholesalers-traveling salesmen, who, as a rule, offer goods of a limited range and short-term nature for cash;

3) sales of goods to wholesalers-organizers who do not have warehouses. Such a wholesaler first finds a buyer, and then looks for a manufacturer of goods for him, who ships the goods directly to the buyer under certain delivery conditions. The organizing wholesaler assumes responsibility and risk from the moment the order is accepted until delivery is completed, for which he receives the agreed remuneration;

4) sale of goods on consignment terms. Exporters sell goods while retaining ownership of them, and retailers are billed only for what customers buy. Export wholesalers can also deliver goods, create conditions for their storage (consignment warehouse), maintain the required level of inventory and finance the promotion of goods on the market;

5) sale of goods by mail (posyltorg). This type of trade in most cases is carried out through catalogs or using other audiovisual products (for example, in the form of video magazines). The clients of parcel merchants are usually small retailers, industrial enterprises, various types of institutions, as well as individuals.

At the present stage of development of trade in domestic markets (especially food markets), retail chains. Under the trading network in paragraph 8 of Art. 2 of the Federal Law on GRTD is understood as a set of two or more retail facilities that are under common management, or a set of two or more retail facilities that are used under a single commercial designation or other means of individualization. A retail network is an association of retail facilities, i.e. buildings or parts of buildings, structures or parts of buildings, structures or parts of structures, specially equipped with equipment designed and used for displaying, demonstrating goods, servicing customers and conducting cash settlements with customers when selling goods (Clause 4, Article 2 of the Federal Law on State Traffic Safety Inspectorate) . Clause 8 of Art. 2 of the Federal Law on GRTD establishes the minimum number of integrated retail facilities. Even two objects interconnected can already be recognized as a trading network.

The merger of retail facilities can be carried out on two grounds. The list of these grounds is exhaustive, therefore there can be no other grounds for recognizing an association of retail facilities as a retail chain. This norm should be interpreted as mandatory. Firstly, the association of retail facilities can be carried out on the basis of their common management (for example, a retail network of car dealerships of cars of various brands, united on the basis of the common owner of these car dealerships, which exercises their centralized management (holding)). Secondly, the unification of retail facilities is possible under a single commercial designation or other means of individualization (for example, a car dealership network united under a single brand (“Mercedes”, “Ford”, etc.), each of whose car dealerships has individual owner and independently manages its activities within the limits of the recommendations and requirements imposed by the owner of the trademark).

Product promotion

Promotion is any form of communication to inform, persuade, remind about goods, services, social activities, ideas, etc. That is, the promotion of goods to the market means the use of various methods by which the seller can convince the buyer to buy these products.

Promotion goals: stimulating demand and improving the company's image.

Specific actions depend on the so-called impact hierarchy (Appendix 1).

The most important promotion functions:

- creating an image of prestige, low prices, innovation,
- information about the product and its parameters,
- maintaining the popularity of goods (services),
- changing the way the product is used,
- creating enthusiasm among sales participants,
- persuading customers to switch to more expensive products,
- answers to consumer questions,
- favorable information about the company.

Product promotion methods are:

· informing consumers about the product (where you can buy the product, what its price is and other information about the characteristics of the product);
· conviction in the merits of the product, motivation to purchase this product;
· a reminder about the product necessary to stimulate additional demand.

When forming a product promotion complex, it is appropriate to use other tools.

Establishing effective marketing communications is carried out in the following sequence:

· the target audience is identified;
· her desired response is determined, which in most cases involves a purchase;
· the goals of the communication campaign are determined;
· a communication message is developed;
· communication channels are selected;
· the person who makes the message (transmits information) is determined;
· feedback is established with the target audience;
· developing a general promotion budget (communications budget);
· promotion methods are selected and the effectiveness of communication activities is assessed.

The choice of certain promotion methods/combinations of methods is determined by the following main factors: financial resources, promotion campaign goals, characteristics of the target market, product characteristics, its price, the possibility of using certain promotion methods, whether the consumer is at a certain stage of readiness to buy the product, chosen promotion strategy.

When promoting a product, the following strategies are used: a “push” strategy and a “pull” strategy.

The “push” strategy involves promotional activities addressed only to representatives of the distribution system immediately following the manufacturer in the distribution channel in order to persuade them to “bring” the product to the final consumer. In turn, each participant in the distribution channel promotes the product to the next participant.

The “pull” strategy is the organization’s activities aimed at promoting a product, addressed to end consumers who, if they want to buy the product, begin to demand it from representatives of the distribution system, who in turn turn to the manufacturer. The pull process is most rapid and efficient when the consumer can purchase the product without intermediaries or when the distribution channel acts as a Navy in which information is shared and a consistent communication policy is followed.

Most organizations use a combination of these two strategies.

Thus, in order to achieve coordinated actions in the field of communication activities, it is necessary to resolve a number of organizational and methodological issues. If in an organization several employees working in different departments are involved in marketing communications, it is better to unite them and subordinate them to a manager who is fully responsible for all activities in the field of product promotion. Next, a concept must be developed for using different proportions of promotional methods for different products aimed at specific target audiences. It is necessary to create and constantly develop a statistical database on promotion, containing information on the costs of promotion in various directions, highlighting the degree of influence of all the factors discussed above, as well as the results of using these methods. After completion of the communication program, its effectiveness is assessed, i.e. the relationship between the degree of its impact on the target audience and costs is determined.

Main types of product promotion

The following means of promoting products to the market are distinguished:

1. Personal (personal) sales. They represent regular contacts between the seller and the consumer. The seller, when servicing the client, must provide him with all the necessary information about the product and how to use it correctly.
2. Advertising. It represents paid messages about products that are distributed through the media. Advertisements are aimed at calling for the purchase of a particular product. An advertisement consists of two main parts: the text part, and the artistic, graphic part of the advertisement. Advertising must convey the necessary information, be transmitted a sufficient number of times, promote the sale of products, and generate income that covers the costs of its creation.
3. Public relations. Most businesses benefit from good public relations. That is, it is necessary to maintain good relations with the local population, sponsors, government agencies, and the media. Most consumers prefer companies with a good reputation that have managed to create a favorable image of a reputable company.
4. Sales promotion. This tool increases the effectiveness of advertising and personal (personal) selling. Sales promotion includes the following activities:
- · rewarding sellers for good work;
- · application of special discounts to the price for poor sales of goods;
- · distribution of free samples of new products;
- · free attachment of a small souvenir to the product;
- · organization of exhibitions;
- · issuing coupons that provide an opportunity to purchase goods at a discount;
- · Conducting competitions and lotteries.
5. Exhibition activities. Participation in exhibitions represents the promotion of one’s goods and services in sales markets. And participation in recognized international exhibitions testifies to the quality of products, thereby increasing the status of the organization representing these products.

Personal selling

Personal selling refers to the verbal presentation of a product during a conversation for the purpose of making a sale. This form of trade turns out to be most effective at the stages of forming consumer preferences and beliefs and directly completing the act of purchase and sale.

The reason is that the personal selling technique has the following characteristic features:

1. Involves live, direct and mutual communication between two or more persons.
2. Contributes to the establishment of a variety of relationships: from formal “seller-buyer” to strong friendship.

An experienced salesperson strives to establish long-term contact with the client, and makes the buyer feel somewhat obliged to have a conversation with him, he feels a stronger need to listen and respond.

To do this, any seller must have a pleasant appearance, be able to communicate, be interested in completing a transaction and have a desire to help the buyer.

The success of the seller is also influenced by monitoring his work, which will allow him to adjust the seller’s actions; assessing the effectiveness of his work in order to prevent a decrease in the company’s sales volume.

The most important source of information for measuring performance is sales reports. Additional information is collected through personal contacts, personal observations, recording customer reactions or direct communication with them. Stages of the personal selling method - Appendix 2.

The purpose of advertising is to increase the market share of the product manufacturer and strengthen consumer loyalty to the product. This means that the firm hopes to shift the demand curve to the right and at the same time reduce its price elasticity.

Fig.1.

Information advertising brings to the attention of the consumer information about the manufacturer, the product and its qualities, ways to purchase the product or obtain additional information. The ultimate goal of information advertising is to create or increase sales of products.

The press can be divided into:

· daily newspapers, which, in turn, can be divided into business, entertainment, central and local; weekly publications are also divided into business, socio-political and thematic;
· illustrated monthly publications of predominantly popular science or entertainment nature;
· technical and professional publications;
· advertising and information publications can be free, have a symbolic or very real price.

Radio is significantly behind television.

- the product is standardized,
- there are many end consumers,
- small size purchase is typical,
- sales are carried out through intermediary channels, and not directly,
- support services are important,
- the product has a premium price (or premium quantity),
- the manufacturer has a significant benefit per ruble of sales,
- the manufacturer has a relatively small market size and/or excess production capacity,
- the majority of the manufacturer's sales are made up of new products.

· information (a message that the product exists and what its qualities are),
· persuasion (inducing favorable emotions, forming a position of recognition of the product, switching consumer decisions to purchase it),
· maintaining loyalty (consolidating existing consumers as the main source of future sales).

To ensure all this, a unified process for managing advertising activities must be carried out (Fig. 2).

Fig.2.

In accordance with another approach, a single marketing budget is formed, which includes expenses for research (on average about 15% of total expenses), sales promotion (on average about 50%), advertising (about 30%) and public relations ( around 5%). As shown in Fig.3.

Fig.3.

1 - research costs;
2 - sales promotion expenses;
3 - advertising costs;
4 - public relations expenses.

Public relations

Public relations (public relations, PR) is a range of programs whose purpose is to promote and (or) protect the image (image, prestige) of a company or individual products.

Publicity (propaganda) is a type of public relations and is defined as the non-personal and non-sponsored stimulation of demand for a product, service or activity through the publication of commercially important information in the printed media or favorable presentation on radio, television or on stage.

One of the most important tasks of PR is the introduction of information about an object into the value range of a social group, in order to further consolidate it as ideal among the spiritual and material values of the social group.

There are 7 main areas of public relations activity:

1. Relations with the media, or publicity. PR employees establish personal relationships with media outlets covering an industry or company and provide information in the form of story ideas, press releases, and other public-facing materials.
2. Corporate relations. Addresses issues of the company's overall reputation, its image in the eyes of various stakeholders and its response to problems that may affect the company's success. This also includes corporate advertising and image consultations for company executives.
3. Crisis management or crisis management. The process of managing communications in the event of a crisis or disaster - natural disasters, management failures, etc.
4. Relations with staff. These are internal communications of the company with its employees. They are based on programs to motivate employees to do their jobs in the best possible way.
5. Relations in the financial sector. Work with the financial community, including interaction with government financial authorities, as well as relations with investors, stock brokers and the financial press.
6. Relations with authorities and the local population. Building state and government relationships and working closely with federal, state, county and local governments. This area also includes lobbying. Community relations involves maintaining positive connections with the local community. These are various events at the local level, sponsorship, and solving environmental problems.
7. Product propaganda. These are special Public relations programs aimed at achieving positive publicity for the products promoted by the company. Product communicators work closely with the marketing department to develop product design and strategic positioning in the market, and also work closely with the advertising team and other marketing communications specialists, such as direct marketing and sales promotions.

The broader meaning of the word PR is revealed using epithets:

· Black PR - the use of “black technologies” (deception, falsification) to denigrate, destroy a competing party, group, etc., disseminate offensive or economically dangerous statements on its behalf, etc. Sometimes it is enough to limit oneself to the publication of compromising evidence. The phrase is formed by analogy with the expression “black propaganda”.
· Yellow PR - the use, in order to attract attention, of elements offensive to the majority of the population of a given state (taboo words in names, in images - the use of sexual content, making racist, xenophobic statements, etc.)
· Gray PR - advertising (positive or negative) that hides its source. Unlike “black PR”, it does not involve outright lies about its origin. Also, gray PR is sometimes understood as a type of indirect black PR that does not contain direct lies and is aimed at the recipient’s subconscious.
· White PR - the phrase appeared to demonstrate a concept contrasting with black PR, that is, open advertising on one’s own behalf. PR in the narrow sense of the word.
· Self-PR - “promotion” of oneself, often anonymously.
· Brown PR is something akin to neo-fascist and fascist propaganda.
· Green PR is socially responsible PR.
· Viral PR -- The term "viral" means autonomous propagation in this context. Based on the need of people to share interesting information with their circle of friends and acquaintances.
· Social PR is an activity aimed at forming, supporting and developing necessary (most often positive) relationships, forming positive behavior patterns, etc. This area of PR traditionally includes social and charitable projects and programs of business structures and projects of public and non-profit organizations.

Public relations have a number of advantages over conventional advertising. One is that PR can reach difficult audiences, such as opinion leaders or high-profile consumers. These people, as a rule, devote part of their time to reading publications, following news programs, but are not at all interested in advertising and often have assistants who cut off sales calls. On the other hand, messages within the framework of Public relations (especially publicity) are perceived by the target audience as more objective and reliable, since people are more willing to believe a news message than a purely commercial message.

Recently, companies are playing an increasingly important role in public relations as they become increasingly aware of its central role in relationship marketing. But for Public Relations to fulfill its objectives and produce tangible, measurable results, it must become an organic part of the overall marketing communications program.

Sales promotion

Sales promotion is a marketing activity, other than advertising, propaganda, and personal selling, that stimulates consumer purchases and dealer performance (exhibitions, demonstrations, various non-repetitive sales efforts).

Carrying out sales promotion activities today is becoming increasingly developed and is an effective and relatively inexpensive method of attracting potential buyers.

Sales promotion is used in cases where it is required:

Increase sales volume in the short term
· maintain the buyer’s commitment to a particular brand or company
· bring a new product to the market
· support other promotion tools

At the same time, sales promotion has a short-term effect on increasing sales volume, acts as support for other forms of promotion, requires advertising, and the company's image can be undermined by the low quality of promotion elements.

Sales promotion can be used to promote any product, but the best results from sales promotion activities are achieved with products that are in the phase of market introduction or decline.

After such events, the demand for these products is increased for some time, and then returns to its original position. But sometimes this rule is violated, for example, if the consumer is offered many options for using the product.

As in the case of personal sales, the effectiveness of sales promotion activities is determined by the quality of staff work, and not only by well-chosen forms of incentives and a well-planned company. The requirements for sales personnel are similar to those for personal selling.

Key characteristics of this type of promotion:

· effectiveness for a relatively short time;
· direct impacts on sales potential, distribution channels, consumers or a combination of these groups;
· use for specialization of some specific actions.

Sales promotion covers a wide range of possibilities. Types of sales promotion are presented in Appendix 3.

The main advantages of the sales promotion method:

· sales growth is the main short-term benefit;
· the possibility of personal contact with potential buyers;
· large selection of sales promotion tools;
· the buyer can receive something valuable and more information about the company;
· the ability to increase the likelihood of an impulse purchase.
· specific target audience;

Disadvantages of the sales promotion method:

· short duration of impact;
· hidden costs;
· the possibility of conflicts with advertising representations;
· price cut-off - the ability for buyers to expect lower prices in the future.

Sales promotion methods can be price or non-price.

Price promotion methods include:

- price reduction;
- coupons (purchases or services under obligations with price reductions);
- financing of next purchases;
- credit;
- seasonal price reductions.

Non-price incentives:

- buyer competition (lotteries);
- personal promotion;
- free gifts (the possibility of additional free purchases); - presentation of samples of new products for trial use.

When developing a sales promotion method, a number of decisions need to be made, such as:

1. Determine the intensity of stimulation;
2. Which groups of people will this sales promotion program be aimed at;
3. Select specific means of sales promotion;
4. Determine the duration of the incentive program;
5. Select the timing of sales promotion activities;
6. Draw up cost estimates for sales promotion activities;
7. Preliminarily test the sales promotion program;
8. Implementation of a sales promotion program;
9. Assess its effectiveness.

Sales promotion is most effective when used in combination with advertising.

Exhibition activities

Compared to other types of advertising, exhibition activities have a number of advantages. Stands make it possible to show the range more clearly, allow potential buyers to examine the products up close and receive more detailed information from the representative of the organization presenting the products.

Thus, exhibition activities play a major role in the correct formation of an opinion about a company and its products (works, services).

At first glance, there is nothing complicated in preparing for an exhibition, but this is a mistaken opinion. This is a rather complex preparatory process, which includes collecting the necessary information, preparing the necessary equipment, etc.

The process of preparing for the exhibition can be divided into several stages:

1. An activity plan is drawn up before the exhibition and for the period of the exhibition;
2. Responsible persons are appointed;
3. All possible expenses associated with holding the exhibition are taken into account;
4. After the end of the exhibition, conclusions are drawn for further use in the future.

For a certain fixed period, no later than a month before the start of the exhibition, an application for participation in the exhibition is filled out and sent to the organizing committee. The application indicates all the details of the organization (country, address (telephone), current account number). The essence of the application is pre-registration and booking of exhibition space. The application letter confirms the organization’s agreement with the provisions of this exhibition and the rules for its holding. This is a kind of agreement between the parties. After receiving the application, confirmation of the organization’s registration in the directory of participants and the allocation of the required amount of space subject to payment is sent to the organization. Payment must be made within 5-10 days.

The exhibition organizers may also provide additional services to the participating organization. The most common additional services are: accreditation, publication in catalogues, translation services, production of signs and branded advertising.

Organizations participating in the exhibition, in most cases, produce their exclusive materials for the exhibition in specialized companies, thereby increasing the quality of the exhibition, which clearly shows professionalism and an individual approach. However, this increases the costs of the participating company, which leads to an increase in the cost of the exhibition stand.

But the organization may not contact a specialized company to make an exhibition stand, but conclude a special agreement in the annex to the space rental agreement, in accordance with the requirements of the organization participating in the exhibition. The agreement specifically stipulates all the necessary aspects of the exhibition, timing, and price.

The next very important point is the delivery and placement of exhibition materials at the stand. The organization must prepare in advance an application letter requesting the issuance of passes for vehicles and permission to import (export) exhibition materials. Such an application must contain a detailed list of imported exhibition materials. The letter is written to the company organizing the exhibition, addressed to the director.

Organizing a company's participation in the exhibition at the proper level is a rather labor-intensive process, including the construction of the exhibition area, delivery of exhibition cargo, and organizing the trip of representatives of the exhibiting organization to the exhibition. After all, a poorly designed stand or poorly trained staff can easily “zero out” the invested funds, and this, as a rule, is not a small amount of money. Its success depends on how the exhibition is prepared.

Therefore, it is better to contact a specialized company that provides a full range of exhibition services. The list of services provided by exhibition companies can be very diverse, for example:

· placement of customer advertising on billboards and banners on the territory of the exhibition complex;
· mailing out advertising materials from companies on the subject of the exhibition;
· holding press conferences;
· editorial and publishing services;
· broadcasting announcements on the radio;
· video advertising;
· informing organizations and firms about international exhibitions;
· ordering the services of a translator and other service personnel;
· other services.

Legal aspects of promotion

Legislation regulates the activities of promotion firms. These requirements range from prohibiting the installation of billboards in certain locations to requiring popular personalities who advertise certain products to actually use them.

There are five main ways to legally protect consumers and competitors from unfair promotion:

· providing complete information;
· confirmation;
· termination orders;
corrective advertising;
· fines.

Providing complete information requires that the consumer has all the data necessary to make the right decision (product composition, consequences of use, etc.).

Verification requires that a firm can prove all of the claims it makes, including through rigorous testing.

Fines may be levied to the treasury and in the interests of specific consumers. stimulation advertising budget promotion

After analyzing various means of promotion, we can draw the following conclusions:

· Promotion is any form of action used by a company to inform, persuade and remind consumers about its goods, services, designs, ideas, social activities. Companies today face many complex challenges and increased uncertainty;
· For successful operation, and even more so, development of enterprises, it has become necessary to carry out comprehensive marketing activities. Marketing is now used in all organizations involved in the competition for the attention, favor, attention and money of buyers who are absolutely free to choose goods and services, allowing opportunities to be clearly identified and assessed in order to select those that will allow you to create products with the highest consumer value;
· Promotion of goods is the most important component of a complex of marketing activities, a kind of information outlet to the consumer;
· Properly organized promotion of goods is extremely effective and allows not only to solve problems with their sales, but also to constantly increase the volume of product sales. The study of various promotional means includes selection and preliminary testing, as well as studying the effectiveness of their impact after use.
· Currently, customer service is considered within the marketing concept as a necessary and effective tool that ensures sustainable sales of the company's products.