Unit 9 M1
In this assignment I will explain how promotion is integrated with the rest of the marketing mix in a selected organisation to achieve to marketing aims and objective.
With so many different promotional options available, Kit-Kat needs to choose carefully the methods that are best suited to the situation.
I have picked my 5 factors and they are,
Cost versus benefits (short term and long term)
Target market and exposure to media
Positioning
Competitors
Branding
Cost versus benefits
A cost/benefit analysis is done to determine how well, or how poorly, a planned action will turn out. Although a cost/benefit analysis can be used for almost anything, it is most commonly done on financial questions and used extensively to evaluate the usefulness of a promotional strategy.
For instance, the marketing department of Nestle Kit Kat has estimated that by spending £3 million on television advertising, they will receive an extra £18 million worth of sales, of which £8 million will be profit. In this case, the projections indicate that is this promotional spend is worth pursuing. The proof of the sales and increased sales of only £8 million will significantly affect the benefit.
However, Kit-Kit need to take a long-term view of their investment into promotional activity. A bank might spend excessively on promoting its current accounts than it could hope to recoup from customers in this area. Also, customers switching to the bank’s current account may want to take out loans, mortgages, insurance and so on over the course of this time with the bank will be significantly more than their initial trade might imply.
Target market and exposure to the media
Kit-Kat will choose media carefully in relation to the promotion budget that exists. However, the cheapest option not always bring about the best return on investment.
For instance, Kit-Kat’s target audience on choose a chunky champion is young audience aged 18 and 30 years. An advert on YouTube exposed a large portion of
With so many different promotional options available, Kit-Kat needs to choose carefully the methods that are best suited to the situation.
I have picked my 5 factors and they are,
Cost versus benefits (short term and long term)
Target market and exposure to media
Positioning
Competitors
Branding
Cost versus benefits
A cost/benefit analysis is done to determine how well, or how poorly, a planned action will turn out. Although a cost/benefit analysis can be used for almost anything, it is most commonly done on financial questions and used extensively to evaluate the usefulness of a promotional strategy.
For instance, the marketing department of Nestle Kit Kat has estimated that by spending £3 million on television advertising, they will receive an extra £18 million worth of sales, of which £8 million will be profit. In this case, the projections indicate that is this promotional spend is worth pursuing. The proof of the sales and increased sales of only £8 million will significantly affect the benefit.
However, Kit-Kit need to take a long-term view of their investment into promotional activity. A bank might spend excessively on promoting its current accounts than it could hope to recoup from customers in this area. Also, customers switching to the bank’s current account may want to take out loans, mortgages, insurance and so on over the course of this time with the bank will be significantly more than their initial trade might imply.
Target market and exposure to the media
Kit-Kat will choose media carefully in relation to the promotion budget that exists. However, the cheapest option not always bring about the best return on investment.
For instance, Kit-Kat’s target audience on choose a chunky champion is young audience aged 18 and 30 years. An advert on YouTube exposed a large portion of