Thursday, March 25, 2010

The Promotional Mix

Answer the questions below as comments posts.

Sample Promotional Mix
Company: Pampered Pets Pet Sitting Service Employees go into people's homes to feed pets, take them for walks, change litter boxes

Target
Market:
People who work long hours and don't have enough time to take care of their pets
People who are going on vacation and don't want to put their pets in a kennel and don't have anyone who could stay at their house
Elderly people who are unable to care for their pets but want to keep them

Communication
Objectives:
We need to:
introduce our service to the public
create awareness of our service
get people to use our service, not our competitor's
get veterinarians to recommend our service
have at least one veterinarian agree to treat our clients' pets on an emergency basis, a feature that competitors don't offer
Design Message
Content:
If you care about your pet's welfare when you aren't home, then you will use our services/It's so convenient and reasonably priced that you can't afford not to use our services

Format: Fliers, brochure, ads in local newspapers and Yellow Pages

Promotional
Methods:
Advertising
Yellow Pages, local newspapers
Sales Promotions
Coupons that can be punched out 1 punch per day, after 20 punches, get one day free or at discounted rate
Public Relations
Not applicable at this time. As business grows, we plan to offer to contribute part of customers' payments to an animal shelter.
Direct Marketing
Fliers in mailboxes throughout local neighborhoods, to veterinarians, apartment complexes where elderly live, to pet shops. As business grows, we will send a newsletter to customers.
Personal Selling
To veterinarians, pet shop owners, travel agents, apartment/condominium management to refer people to our services. This only requires existing personnel time, no added budget cost incurred here.

Budget: Five hundred brochures for display in pet shops and veterinarian offices will cost $150. As business grows, we will expand to two-color pieces. Fliers can also be created inexpensively. Two hundred fliers will cost $20 to copy on colored paper (distribute in spring and summer). Yellow Pages ad will be limited to an informational in-column listing, 1 inch for $300 for the year in the local book. This book is sufficient. Small ads in the local newspaper will cost $300 for two placements. Rolodex cards will cost $160 for 500. Five hundred punch-out cards will cost $27.
Total promotional budget: $977

Promotional Mix: Advertising 61% $596
Sales Promotions 3% $29
Public Relations 0% $0
Direct Marketing 36% $352
Personal Selling 0% $0
Measuring Results
It's now one year later and Pampered Pets is evaluating its promotional mix:

Communication Objectives:

We successfully introduced our service to the target markets and have a steady base of customers. We have the support of several veterinarians and were able to form an emergency services agreement with two in the area. This year, we will expand into certain areas of the neighboring county while enlarging the current customer base.

Promotions Channels:
Advertising:


Yellow Pages:
Response is slow but steady. We will renew as is ($350).
Local Newspapers: Steady advertising will be put on hold as word-of-mouth referrals are fairly strong. We will place two small ads before the summer and Christmas holiday seasons ($425).

Sales Promotions:

Punch-out Cards: These have proven a success. This year we will add a special discount coupon to attract new customers and to thank customers for their referrals (one free day for every five referrals who become customers) to replace last year's 21st day free program. ($55)

Public Relations:

When a pet we cared for died, a small donation was sent to the local branch of the ASPCA. The owners were touched and sent a thank-you note. They also told their friends, which resulted in more referrals. We will continue to do this and also send cards when client's pets have surgery. During the holidays, food and supplies were donated to the ASPCA, and our picture was in the newspaper, which generated more referrals for the holiday season ($100).

Direct Marketing:

The fliers were successful, so we will continue to use them and increase the number of mailings from two to four. The Rolodex cards and letters were successful; but because we ordered such a large quantity last year, we don't need to order more. We also have brochures left from last year, so we don't need more. I plan to launch a newsletter on our Web site in six months ($180).

Personal Selling:

Total Budget: $1,110
New Promotional Mix:
This Year Last Year
Advertising 70% 61%
Sales Promotions 5% 3%
Public Relations 9% 0%
Direct Marketing 16% 36%
Personal Selling 0% 0%

1. What percent of their total marketing budget is advertising?




2. What was their direct marketing effort for the first year?


3. Why do you think Pampered Pets increased it's advertising budget in year 2?



4. What is the new sales promotion that Pampered Pets is doing in the second year?

39 comments:

Taylor Adcox said...

1. 70%
2. 36%
3. It got bigger in the first year, so the market got bigger.
4. Discount coupons on punch out customer loyalty cards.

Tyler King said...

1. 70%
2. Fliers were used.
3. because they wanted more money, so they used advertising to bring in more customer and sales.
4. A special discount coupon will be addes to the punch out cards.

Jake Lay said...

1. 70%
2. Fliers were used
3. To increase profit
4. Add a coupon

michelle said...

1. For this year it was 70%, and for last year it was 61%.
2. Fliers in mailboxes throughout local neighborhoods, to veterinarians, apartment complexes where elderly live, to pet shops. As business grows, they will send a newsletter to customers. It accounted for 36% of their marketing effort the first year.
3.It made a profit the first year which allowed them to make spend more money the next year.
4. They are adding a special discount coupon to attract customers and to thank customers.

Jaime Weiss said...

1. the percent of their total marketing budget that is advertising is this years is 70% and last years was 61%

2.Thier marketing effort for the first year was using mailings, fliers, Rolodex cards and letters, and brochures.

3.i think Pampered Pets increased its advertising budget in year 2 because they want to get more business and have the money to acutally do it.

4. The new sales promotion that Pampered Pets is doing in the second year is launching a newsletter on their website.

Sydney Maxwell said...

1. What percent of their total marketing budget is advertising?

Last year 70%
This year 61%

2. What was their direct marketing effort for the first year?

16%

3. Why do you think Pampered Pets increased it's advertising budget in year 2?

to get more word out about thier company.

4. What is the new sales promotion that Pampered Pets is doing in the second year?

special discount coupon

Will Booth said...

1. 70% of their total marketing budget was used for marketing.

2. They used $352 and 36% of the marketing budget for direct marketing.

3. Because they realized they needed to advertise more in order to make a profit.

4. They are going to add a new special discount to attract new customers.

Alex Herbst said...

1) 70%
2) They used fliers, cards, letters, and brochures. They also plan to release a newsletter soon.
3) Their sales increased and they had a larger profit so they had more money to spend on advertising.
4) They are using punch-out cards that have a special discount coupon to attract new customers.

arturo said...

1.70%
2.fliers, letters brochures and cards. they also plan to release a new album soon
3. their sales increased and they had a larger profit so they had more money to spend on advertising
4. they are using punch-out cards that have a special discount coupon to attract new customers

Janay Moore said...

1)The percent of their total marketing budget is 70%
2)The direct marketing effort for the first year to veterinarians, pet shop owners, travel agents, and apartment management to refer people to our services.
3)Pampered pets increase its advertising budget because they need to have more sales.
4)The new sales promotion that pamered pets is doing the yellow pages and punch out cards.

iCoN cHRisTeN said...

1.70% , 60%

2.The fliers were successful, so we will continue to use them and increase the number of mailings from two to four. The Rolodex cards and letters were successful; but because we ordered such a large quantity last year, we don't need to order more. We also have brochures left from last year, so we don't need more. I plan to launch a newsletter on our Web site in six months ($180).

3.because it was a less percentage

4.This year we will add a special discount coupon to attract new customers and to thank customers for their referrals (one free day for every five referrals who become customers) to replace last year's 21st day free program. ($55)

matt sawaia said...

1. This years percent of thier total marketing budget as advertising was 70% and last years was 61%.
2. Fliers in mailboxes throughout local neighborhoods, to veterinarians, apartment complexes where elderly live, to pet shops. As business grows, we will send a newsletter to customers.
3. they've created a steady base of customers and now they want to broaden thier horizens.
4. add a special discount coupon to attract new customers and to thank customers for their referrals

kasey carter said...

1.70% this year and 61% last year.
2. they put out fliers, Rolodex cards and letters, and left brochures.
3.not enough sales.
4.Punch out cards

Eric Brown said...

1. 61%
2. To distribute flyers
3. The yellow pages resulted in a slow response, so they wanted to place two small ads in the local paper.
4. They will add discount coupons.

Zarrin Alam said...

1. First year the percentage was 61% and the second year was 70%.
2. Fliers, rolodex cards and letters. and brochures were used in the first year. All were successful and there is no need to order more of brochures and cards.
3. They probably increased the budget because they were successful the year before and plan on reaching more people.
4. Pampered pets plans to launch a newsletter next year.

Stuart Cook said...

Stuart Cook
3/25/10

1. For this year it was 70%, for last year it was 61%.
2. For direct marketing they put 36% of their total budget into direct marketing.
3. Because since they are a new business many people still don't know about them so they need to put more of their budget into advertising.
4. They are doing punch-out cards which they say have proven successful. They will add a special discount coupon to attract new customers and to thank customers for their referrals.

Scott Chapman said...

1. 70% of their total marketing budget goes to advertising.
2.Their direct marketing effort was to hang up fliers and hand out brochures to potential customers.
3.They increased their advertising budget so that more people would come into contact with the business, and therefore the number of customers is more likely to increase.
4.They are making punch out cards for people who refer their friends and neighbors to the business. Every five referrals that become customers, the original customer gets one free day.

Kyle Rackliffe said...

1. 70% for this year and for the previous year it was 61% of the total marketing budget is advertising.

2. For this year they used fliers and they will continue to use them and increase the number of mailings from two to four. Also rolodex cards and letters were successful; but because there was such a large quantity last year, that they didnt need to order more. Also they planned to launch a newsletter on our Web site in six months ($180).
3. Because the previous year was really successful that they decided that they should press harder to advertise
4. The sales promotion for this year are punchout cards. This year they will add a special discount coupon to attract new customers and to thank customers for their referrals.

lexih said...

1. For this year its 70% and last years was 61%.
2.fliers, brochures, quanity was too high.
3. They had more effective advertising techniques and they launched a newsletter
4.This year we will add a special discount coupon to attract new customers and to thank customers for their referrals (one free day for every five referrals who become customers) to replace last year's 21st day free program. ($55)

Jenna Shouse said...

1.70%
2.16%
3.They made money in the first year.
4.To launch a newsletter on their website.

Amanda Duke said...

1. 70%
2. 16%
3. Maybe because they weren't bringign i nanough business.
4. Public Relations

emily said...

1. 70%
2. 16%, 36%
3. to get more people to know about it
4. punch out cards

Campbell O'Blenes said...

1) 70%

2) 36%

3) Because they realized how effecient and important advertising is to a business.

4)Adding a special discount coupon to attract new customers

Alex Yang said...

1.) 61%
2.) Fliers in mailboxes throughout local neighborhoods, to veterinarians, apartment complexes where elderly live, to pet shops. As business grows, we will send a newsletter.
3.) They were not making enough money so they raised their advertising budget.
4.) 3%

BJ Racine said...

1. Advertising is 70 percent this year and 61 percent last year.
2. 36 percent went to direct marketing the first year.
3. They increased ads because more people knew about it and more people would like to know more.
4. Special discount coupons will be added to punch out cards with one free day for every five referrals.

Matt Herr said...

1. The total percent of total marketing budget advertising is 70 percent this year and 61 percent last year.
2. It was 16 percent.
3. I think because of making more money and making more sales.
4. It is 977 dollars because of more ad ins and punch cards.

McKenzie said...

1. 70% last year 61% this year
2.16%
3. To get more out about their business
4.A special discount coupon to attract new customers and to thank customers for their referrals.

desmond thorpe said...

1.70%

2.fliers

3.because its around the holidays

4.

Brian Lundeen said...

1. 70%
2. 36% $325
3. to make more money
4. Punch-out Cards

Jason Galatioto said...

1)70 percent
2)16 percent
3)They increased their advertising budget because they realized that advertising was waht attracted customers the best.
4)They will add a special discount card to customers and to thank them for the customers referrals.

alex chinnis said...

1.61%
2. 180$
3. because they didnt bring in enough customers in year one
4. a special discount coupon

Alexander Williams said...

1. 61-70%
2. Fliers
3. They are getting new customers and need to expand.
4. "This year we will add a special discount coupon to attract new customers and to thank customers for their referrals."

tommy keller said...

1. 70 percent this year, and 61 percent last year
2. The first year they tried brochures, and this year they tried fliers
3. So that they could get more people interested in the product by increasing the number of people who see their advertisements, therefore increasing their profit
4. The first year they had punch out cards, but this year they will try to put in a special coupon

Christy said...

1. 70% this year and 61% last year
2.The direct marketing plan were fliers mailed out, rolodex cards and letters, and brochures.
3. I think they increased their advertising budget because they had an income and they had more money and experience to use on the second year advertising.
4. The new sales promtotion will be a added coupon onto their punch-out cards that they sold last year.

Daxton Cuany said...

1. 70%
2. Ads in the yellow pages and the Newspaper, they had coupons made
3. They could get their name out through advertising and that would generate more sales
4. Punch-out cards

Cristina D'Andreti said...

1. 70% 61%

2. They put filers in mailboxes throughout neighborhoods, to veterinarians, apartment complexes where elderly live, and pet shops.

3.They figured out which advertising methods worked and which did not, so they spent more money what would work. Also they are implementing more public relations this year then they did last.

4.They will add one free day for every 5 referrals who become customers, to thank customers for their referrals.

Evan Flannery said...

1. 70%
2. Two mailings of fliers, rolodex cards and letters, and brochures.
3. They increased the budget so they could spend more money in other areas, while making money.
4. Punch-Out cards

Jamar McClain said...

1.70%
2.36%
3.yes
4.Cupons

zach oplinger said...

1. 70%
2. fliers to veterinarians, apartment complexes, and pet shops.
3. they increased there budget because they wanted to expand there marketing budget
4. punch out cards,a card that is stamped for everyday and on the 20th day its free.