Promotion Mix Strategies
Marketers may choose from two basic promotion mix strategies-pull promotion or push promotion . Given figure contrasts the two schemas. The relative emphasis on the particular promotion tools differs for pulls and push strategies. A push schema involves "pushing" the product through distribution channels to last consumers. The manufacture directs its marketing activities (chiefly trade promotion and personal selling) toward channel members to tempt them to carry the product and to promote it to last consumers. By utilizing a pull schema, the producer directs its marketing activities (chiefly consumer promotion and advertising) toward last consumers to encourage them to purchase the product. If the pull schema is effective, then consumers will demand the product from channel members, who in turn will demand it from producers. Therefore, under a pull scheme, consumer demand "pulls" the product through the channels.
Some small industrial goods companies use just pushes strategies; some direct-marketing companies just use pull. However, most of the large companies use some combination of both. Companies consider various factors when developing their promotion mix strategies, by including type of product-market and the product life-cycle stage. For instance, the importance of different promotion tools differs among consumer and business markets. Usually consumer goods companies "pull" more, putting more of their funds into advertising, followed by personal selling, sales promotion and then public relations. By contrast, business-to-business marketers tend to "push" more, putting more of their funds into personal selling which followed by advertising sales promotion and public relations. Generally, personal selling is utilized more heavily with costly and risky goods and in markets along fewer and larger sellers.
The different promotion effects tools also vary along with stages of the product life cycle. In the opening stage, public relations and advertising are good for generating high awareness, and sales promotion is useful in promoting early trial. Personal selling has to be used to obtain the trade to carry the product. In stage of growth, public relations and advertising continue to be strong influences, while sales promotion may be reduced because fewer incentives are required. In the mature stage, sales promotion again becomes significant relative to advertising. Buyers know the brands, and advertising is required only to remind them of the product. In the stage of decline, advertising is kept at a reminder level, public relations are decay, and salespeople give the product just a little attention. Sales promotion, however, may continue strong.