Promotion in the Merchandising Environment

by Swanson, Kristen K.

• ISBN13: 9781563671050
• ISBN10: 1563671050
• Format: Hardcover
• Copyright: 1999-10-01
• Publisher: Bloomsbury USA Academic

Summary

This comprehensive guide introduces promotion strategies and techniques that can be used in a fashion environment or transferred to other disciplines or product categories. Using international examples, the book takes a global perspective. An Integrated Marketing Communications (IMC) point of view is present throughout. In addition to covering the role and organisational structure of promotion and advertising and the creative elements involved, the text examines all the components of the promotion mix. Unlike other books in the field, it considers both personal and non-personal techniques.

Table of Contents

Preface	xix
PART ONE ROLE OF PROMOTION
Promotion: A Global Perspective	2	(26)
The Top 20 Big Media Spenders in 1997	4	(1)
The Roles of Promotion	5	(1)
Global Nature of Promotion	5	(5)
Reasons for the Transition to a Global Perspective	6	(2)
Thinking Globally, Acting Locally	8	(1)
The Top 10 Global Retailers	8	(1)
How Zeller's of Canada Safeguarded Itself from Wal-Mart	9	(1)
Marketing	10	(1)
Marketing Spotlights Exchange	10	(1)
Global Marketing	11	(1)
Merchandising	11	(3)
Standardized Approach Works Well in Establishing a Global Presence	12	(1)
Fashion and Basic Merchandise	13	(1)
The Merchandising Environment	13	(1)
Communication	14	(2)
The Communication Process	14	(1)
Communication in the Global Marketplace	15	(1)
Promotion Mix	16	(7)
Advertising	17	(1)
Direct Marketing	18	(1)
Sales Promotion	18	(1)
Publicity and Public Relations	19	(1)
Personal Selling	20	(1)
Special Events	20	(1)
Fashion Shows	21	(1)
Visual Merchandising	22	(1)
Integrated Marketing Communications	23	(1)
Future Trends for Global Promotion	23	(5)
Summary	26	(1)
Key Terms	27	(1)
Questions for Discussion	27	(1)
Additional Resources	27	(1)
Consumer Behavior	28	(32)
The Role of Consumer Behavior in Promotion	29	(6)
Consumption	30	(2)
The Product Life Cycle	32	(3)
Market Segmentation	35	(1)
Bases for Market Segmentation	35	(18)
Demographic Segmentation	35	(6)
Two-tiered Marketing	41	(3)
Are You Selling to Me	44	(2)
Household by Type	46	(1)
Behavioristic Segmentation	47	(2)
Psychographic Segmentation	49	(3)
The Global Consumer	52	(1)
Product Positioning	53	(4)
Future Trends in Consumer Behavior	57	(3)
Summary	57	(1)
Key Terms	58	(1)
Questions for Discussion	58	(1)
Additional Resources	58	(2)
PART TWO PROMOTION STRUCTURE
Promotion Organizations	60	(30)
Promotion Personnel	61	(2)
Fundamental Tasks of Promotion Personnel	62	(1)
Characteristics of Successful Promotion Personnel	62	(1)
How Retailers Are Organized	63	(4)
Merchandising Division	65	(1)
Operations Division	65	(1)
Human Resources Division	65	(2)
Financial Control Division	67	(1)
Promotions Division	67	(1)
How Manufactures Are Organized	67	(2)
Design Division	67	(1)
Production Division	67	(1)
Sales Division	68	(1)
Financial Control Division	68	(1)
Promotion Division	69	(1)
How In-house Promotion Division Are Organized	69	(3)
Advantages of an In-house Promotion Division	71	(1)
Advantages of an Outside Agency	72	(1)
How Advertising Agencies Are Organized	72	(8)
Full-service Agencies	72	(1)
The Top 20 Worldwide Advertising Organizations	73	(2)
Starting You Own Ad Agency, or ``Mr. Della Femina, There's a Call for You from President Clinton.''	75	(2)
Other Types of Specialized Services	77	(3)
Integrated Marketing Communications Services	80	(1)
How to Evaluate an Agency	80	(6)
Not So Jolly Now, a Giant Agency Retools	83	(3)
How Agencies Gain New Clients	86	(1)
Future Trends in Promotion Organization	87	(3)
Summary	88	(1)
Key Terms	89	(1)
Questions for Discussion	89	(1)
Additional Resources	89	(1)
Planning	90	(26)
Promotion Plan	92	(14)
Planning Time Frame	92	(1)
Debunking the Myths of Strategic Planning	93	(2)
Personnel Responsible for Promotion Planning	95	(1)
Strategic Analysis	96	(1)
Mission Statement	97	(2)
Goals and Objectives	99	(1)
Clear Integrated Marketing Communications Goals Build Strong Relationships	100	(3)
The Right Tools for the Job: An Objective-by-Tool Matrix	103	(3)
Market Levels Applying Promotion Objectives	106	(2)
Global Markets	107	(1)
Domestic Markets	107	(1)
Promotion Calendars	108	(5)
Trade Calendar	108	(1)
Retail Calendar	109	(1)
Promotion Mix Calendars	110	(3)
Future Trends in Promotion Planing	113	(3)
Summary	114	(1)
Key Terms	114	(1)
Questions for Discussion	114	(1)
Additional Resources	115	(1)
Budget	116	(32)
Theoretical Background: Sales Response Models	118	(1)
Methods of Budget Allocation	119	(11)
Top-Down Approaches	119	(3)
1997 Adverstising-to-Sales Ratios for Selected Industries	122	(1)
Bottom-Up Approaches	123	(1)
Establishing an Adverstising Budget	124	(2)
How Firms Choose Budget Approaches	126	(1)
Does Budgeting Have to be So Troublesome?	127	(3)
Allocating the Retail Promotion Budget	130	(4)
Advertising	130	(1)
Total Measured U.S. Spending by Category and Media in 1996	130	(1)
1996 Ad Spending and Revenues of the Top Ten U.S. Retail Companies	131	(1)
Direct Marketing	132	(1)
Electronic Media	132	(1)
Fashion Shows and Special Events	132	(1)
Personal Selling	133	(1)
Visual Merchandising	134	(1)
Allocating the Manufacturing Promotion Budget	134	(1)
Allocating Advertising Agency Compensation	134	(4)
Commissions	136	(1)
Fee Arrangement	136	(1)
Cost-plus Agreement	137	(1)
Percentage Charges	137	(1)
Incentive-based Compensation	137	(1)
Extending the Promotional Budget	138	(7)
Co-marketing	138	(1)
Co-branding	139	(1)
Cooperative Advertising	140	(1)
Sponsorship and Co-sponsorship	141	(1)
Strategic Alliances	142	(1)
Advantages of Cooperative Arrangements	142	(1)
Disadvantages of Cooperative Arrangements for Manufactuers	143	(1)
Disadvantages of Cooperative Arrangements for Retailers	144	(1)
Overcoming Disadvantages to Cooperative Arrangements	145	(1)
Future Trends in Budget Preparation	145	(3)
Summary	146	(1)
Key Terms	146	(1)
Questions for Discussion	147	(1)
Additional Resources	147	(1)
Promotional Aspects of Forecasting	148	(30)
What Is Forecasting?	150	(5)
Forecasting Personnel	152	(3)
Forecasting and Promotion	155	(4)
Promotion as a Source	155	(1)
Sources of Clothing Ideas for Women Ages 16 to 24	155	(1)
Promotion as a Resource	156	(1)
Research	157	(2)
Forecasting from Producer to Consumer	159	(11)
Primary Market Forecasts	159	(4)
Secondary Market Forecasts	163	(2)
Trend Boards Make Everything Click	165	(2)
Tertiary Market Forecasts	167	(1)
Resident Buying Offices	168	(1)
Style Gazing: How a Fashion Forecasting Service Look into the Future	169	(1)
Theme Development	170	(3)
12-Month Color Themes	171	(2)
Future Trends for Forecasting and Promotion	173	(5)
Summary	174	(1)
Key Terms	174	(1)
Questions For Discussion	174	(1)
Additional Resources	175	(3)
PART THREE PROMOTION MIX
Advertising and the Creative Process	178	(38)
Creative Strategy	180	(18)
The Creative Process	181	(1)
Background Research	181	(1)
Appeals: The Reasons for Customers to Buy	182	(1)
How the French Develop Creative Strategies	183	(4)
How to Build a Brand	187	(3)
Categories of Merchandise Promoted and Sold by Mega Niche Producers	190	(1)
Brands That Register Higher Regional Consumer Awareness	191	(1)
Approaches: The Way Appeals Are Presented	192	(2)
Selecting the Best Approach Based upon Product Dimensions	194	(3)
Creative Strategy Development	197	(1)
Functions of Advertising	198	(2)
Providing New Information	198	(1)
Persuading Consumers	199	(1)
Reminding Consumers	199	(1)
Introducing Innovation	199	(1)
Assisting Other Company Efforts	199	(1)
Advertising Classifications	200	(11)
Target Customer	201	(3)
Geographical Location	204	(1)
Product Orientation	205	(5)
Institutional Orientation	210	(1)
Commerical or Nonprofit Advertising	211	(1)
Characteristics of Successful Advertising	211	(2)
Future Trends in Advertising and the Creative Process	213	(3)
Summary	214	(1)
Key Terms	215	(1)
Questions for Discussion	215	(1)
Additional Resources	215	(1)
Print Media	216	(44)
Media	217	(13)
Print Media Costs	218	(1)
Top 20 U.S. Newspapers by Circulation	219	(1)
Reach, Coverage, and Penetration	220	(1)
Frequency and Scheduling	221	(1)
Measuring the Media	222	(2)
Responsibility for Media Analysis	224	(1)
Media Objectives and Strategy	224	(1)
Match Your Media Choice and Ad Copy Objective	225	(1)
Difficulties in Media Planning and Strategy Development	226	(1)
Media Measurement Services	227	(1)
Media Selection	228	(1)
Rank Order of Information Sources for Women's Fashions	229	(1)
Computers in Media Planning	229	(1)
Newspapers	230	(8)
U.S. Advertising Expenditures---All Media	231	(1)
U.S. Daily and Sunday/Weekend Newspaper Reading Audience	232	(1)
U.S. Daily and Sunday Newspaper Readership Demographics	232	(1)
Newspaper Formats	233	(1)
Newspaper Advertising Costs	233	(2)
Types of Newspaper Advertising	235	(1)
Advantages of Newspapers for Advertising	236	(2)
Disadvantages of Newspapers for Advertising	238	(1)
Magazines	238	(8)
The Ad Maker's Passion	239	(1)
Consumer or Trade Orientation	240	(1)
Specialized Features	241	(1)
International Magazines	242	(1)
Magazine Promotional Tie-ins	243	(1)
Magazine Media Costs	243	(1)
Advantages of Magazines for Advertising	244	(1)
Simmons Study of Media and Markets	245	(1)
Disadvantages of Magazines for Advertising	246	(1)
Creative Development for Print Media	246	(11)
Copy	247	(3)
Art and Design	250	(5)
Visual Formats for Print Advertisements	255	(2)
Future Trends in Print Media	257	(3)
Summary	258	(1)
Key Terms	259	(1)
Questions for Discussion	259	(1)
Additional Resources	259	(1)
Broadcast Media	260	(26)
Television	262	(6)
Weekly Channel Tune-In	262	(1)
Network Television	262	(1)
Estimated Share of U.S. TV Home Set Usage by Program Source	263	(1)
Local Television	264	(1)
Syndication	264	(1)
Trends in TV Network, Cable, and Barter Syndication Ad Revenue	265	(1)
Cable and Satellite Television	265	(1)
Common Television Dayparts	266	(1)
TV Commerical Scheduling	266	(1)
Television Influences on Fashion and Brand Globalization	267	(1)
Advantages of Television Advertising	267	(1)
Disadvantages of Television Advertising	268	(1)
Radio	268	(6)
Why Radio Thrives	269	(1)
Radio Formats	270	(1)
There's Radio Format for Everybody	271	(1)
Common Radio Dayparts	272	(1)
Radio Programs and Sponsorship	272	(1)
Radio Advertising Scheduling	272	(1)
Advantages of Radio for Advertising	273	(1)
Disadvantages of Radio for Advertising	273	(1)
Broadcast Media Issues	274	(3)
Television Media Costs	274	(1)
Cable Television Costs	274	(1)
Radio Advertising Costs	275	(1)
Broadcast Media Measurement Services	275	(2)
Creating Broadcast Commericals	277	(5)
Creating Television Commercials	277	(1)
Hot Spots	278	(3)
Creating Radio Commericals	281	(1)
Future Trends in Broadcast Media	282	(4)
Summary	284	(1)
Key Terms	284	(1)
Questions for Discussion	285	(1)
Additional Resources	285	(1)
Direct Marketing	286	(40)
Role of Direct Marketing as a Promotion Tool	288	(1)
Growth of Direct-Response Advertising	289	(1)
Top 10 Direct-marketing Agencies, 1998	289	(1)
Direct Marketing Strategies	290	(23)
Direct-response Print Media	290	(6)
Top 10 Yellow Pages Advertisers	296	(1)
Telemarketing	297	(2)
Direct-response Broadcast Media	299	(1)
Estimates of the Dollar Size of Selected Segments of the Interactive Industry	300	(1)
Direct-response On-line Marketing	301	(3)
Top 25 Internet Advertisers	304	(2)
Direct-response Out-of-home Media	306	(2)
Top 25 Outdoor Advertisers	308	(2)
Other Direct-response Media	310	(1)
In the Driver's Seat	311	(2)
Why Use Direct Marketing?	313	(2)
Advantages of Direct Marketing	313	(1)
Disadvantages of Direct Marketing	314	(1)
Database Management	315	(5)
In-house List Development	316	(1)
Brokered Lists	317	(1)
Back from the Brink	318	(2)
Future Trends in Direct Marketing	320	(6)
Summary of the On-line Retailing Industry	322	(2)
Summary	324	(1)
Key Terms	325	(1)
Questions for Discussion	325	(1)
Additional Resources	325	(1)
Sales Promotion	326	(28)
Role of Sales Promotion	328	(2)
Top 20 Sales Promotion Agencies	328	(2)
Significance and Growth of Sales Promotion	330	(2)
Consumer-oriented Sales Promotion	332	(13)
Objectives	333	(1)
Techniques	334	(4)
How to Turn Yesterday's Giveaways into Today's Promotional Power	338	(7)
Trade-oriented Sales Promotion	345	(3)
Objectives	346	(1)
Techniques	346	(2)
Future Trends in Sales Promotion	348	(4)
Internet Seen Offering Opportunity, Risks for Coupon Distribution	349	(3)
Summary	352	(1)
Key Terms	352	(1)
Questions for Discussion	353	(1)
Additional Resources	353	(1)
Publicity and Public Relations	354	(28)
Purpose of Publicity	355	(5)
Newsworthiness	356	(1)
Media Contacts	357	(1)
Created and Covered Publicity	358	(2)
Publicity versus Advertising	360	(2)
Public Relations	362	(3)
Top 20 PR Agencies, 1998	362	(1)
Don't Wait for Disaster; Have Your Crisis Plan Ready	363	(2)
Publicity and Public Relations Personnel	365	(1)
Publicity Outlets	366	(4)
Newspapers	367	(1)
Magazines	368	(1)
Top Magazines by Circulation	369	(1)
Radio	369	(1)
Television	370	(1)
Publicity Elements	370	(8)
Press Release	371	(2)
Publicity Photographs	373	(1)
Press Kits	374	(2)
Press Conference	376	(1)
Editorial Credit	376	(1)
Product Placement	376	(1)
For Fashion Designers, the Big Screen Becomes a Celluloid Runway	377	(1)
Future Trends in Publicity and Public Relations	378	(4)
Summary	380	(1)
Key Terms	381	(1)
Questions for Discussion	381	(1)
Additional Resources	381	(1)
Personal Selling	382	(28)
Significance of Personal Selling	383	(1)
Personal Selling in the Marketing Channel	384	(5)
Retail Selling	385	(2)
Wholesale Selling	387	(2)
Buying and Selling Process	389	(2)
Attention	390	(1)
Interest	390	(1)
Desire	390	(1)
Action	391	(1)
Satisfaction	391	(1)
Elements of the Sale	391	(3)
Sales Approach	392	(1)
Merchandise Presentation	393	(1)
Handling Objections	393	(1)
Closing the Sale	394	(1)
After the Sale	394	(1)
Attributes of Successful Selling	395	(9)
A High Fashion Destination Worth a Detour	396	(1)
Personal Appearance	397	(1)
Knowledge	398	(2)
Customer Savvy	400	(1)
Motivation	401	(1)
Incentive Programs	402	(2)
Handling Various Customer Types	404	(1)
Eccentric Shopper	404	(1)
Browser	404	(1)
Bargain Hunter	405	(1)
Serious Shopper	405	(1)
Pressured Shopper	405	(1)
Future Trends in Personal Selling	405	(5)
Internet Merchants Seek New Ways to Improve On-line Customer Service	407	(1)
Summary	408	(1)
Key Terms	408	(1)
Questions for Discussion	409	(1)
Additional Resources	409	(1)
Special Events	410	(26)
Role of Special Events in Promotion	411	(2)
Goals of Special Events	413	(5)
Retailers: In the Front Lines	416	(2)
Types of Special Events	418	(1)
Institutional Events	418	(3)
Merchandise Events	421	(4)
Feasibility Study	425	(2)
Personnel Involved in Special Events	427	(1)
Size and Scale of Events	427	(3)
Financial Considerations	430	(1)
Event Sponsorship	430	(3)
Good Sponsors Know How to Set Their Goals	432	(1)
Future Trends in Special Events	433	(3)
Summary	434	(1)
Key Terms	435	(1)
Questions for Discussion	435	(1)
Additional Resources	435	(1)
Fashion Shows	436	(28)
Purpose of Fashion Shows	437	(2)
Market Level Fashion Shows	439	(3)
Trade Shows	439	(1)
Retail Shows	440	(2)
Fashion Show Types	442	(4)
Production Show	442	(1)
Formal Runway Show	443	(1)
Informal Fashion Show	444	(1)
Do Trunk Shows Translate into Sales?	445	(1)
Video Production Show	446	(1)
Personnel Involved	446	(1)
Planning	447	(2)
Audience Selection	447	(1)
Theme Development	448	(1)
Location Selection	448	(1)
Timing of the Show	448	(1)
Security Issues	449	(1)
Budget	449	(1)
Show Elements	450	(9)
Do's and Don'ts of Runway Shows	451	(1)
Merchandise	451	(2)
Models	453	(3)
Commentary	456	(1)
Set Design	457	(1)
Music	458	(1)
Steps in Producing a Fashion Show	459	(1)
Rehearsal	459	(1)
Preshow Preparation and Stage Strike	459	(1)
Evaluation	460	(1)
Future Trends in Fashion Shows	460	(4)
Summary	462	(1)
Key Terms	462	(1)
Questions for Discussion	463	(1)
Additional Resources	463	(1)
Visual Merchandising	464	(30)
Primary Sources for Fashion Ideas	466	(1)
Firms That Use Visual Merchandising	466	(6)
Retailers	467	(1)
Making First Impressions Count	468	(2)
Manufacturers	470	(1)
Merchandise Presentation by Other Organizations	471	(1)
Display Categories	472	(11)
Window Display	472	(3)
Exterior Display	475	(2)
Interior Display	477	(5)
Remote Display	482	(1)
Display Components	483	(2)
Merchandise	483	(1)
Props	483	(1)
Backgrounds	484	(1)
Lighting	484	(1)
Signage	484	(1)
Display Arrangements	485	(1)
Planning Visual Presentations	485	(3)
Conduct Your Own Internal Visual Audit	486	(2)
Visual Merchandising Personnel	488	(1)
Future Trends in Visual Merchandising	489	(5)
Summary	491	(1)
Key Terms	491	(1)
Questions for Discussion	492	(1)
Additional Resources	492	(2)
PART FOUR EVALUATION AND ACCOUNTABILITY
Measuring Promotional Effectiveness	494	(30)
World's Top 10 Agency Brands	495	(1)
Why Promotional Evaluation Takes Place	496	(1)
Conditions Necessary for Promotional Evaluation	497	(1)
Contemporary Research Methods	498	(15)
Measuring Advertising, Direct Marketing, and Sales Promotion Effectiveness	498	(2)
Keeping up with the Nielsens	500	(6)
Measuring Publicity and Public Relations Effectiveness	506	(1)
Measuring Personal Selling Effectiveness	507	(1)
PR Evaluation Goes Global	508	(2)
Measuring Special Event and Fashion Show Effectiveness	510	(2)
Measuring Visual Merchandising Effectiveness	512	(1)
Why Promotional Effectinvess May Not be Measured	513	(2)
Cost	513	(1)
Time	513	(1)
Research Design Problems	514	(1)
Disagreements about What to Test	514	(1)
Difficulty Measuring Creativity	514	(1)
Redirection of Promotional Efforts	515	(1)
Professionalism	515	(4)
Professional Organizations	516	(1)
Academic Organizations	517	(2)
Awards	519	(1)
Future Trends in Evaluation	520	(4)
Summary	521	(1)
Key Terms	522	(1)
Key Organizations	522	(1)
Questions for Discussion	522	(1)
Additional Resources	523	(1)
Social Impact and Ethical Concerns	524	(27)
Ethical Issues and Social Responsibility	526	(10)
Offensive Advertising	526	(1)
Plagiarism	527	(2)
Culture Shock: A Mixed Message	529	(5)
Social Correctness	534	(2)
Checks and Balances	536	(6)
Code of Ethics	537	(1)
Self-regulation	537	(5)
Government Regulation	542	(4)
Federal Trade Commission	543	(1)
Federal Communications Commission	544	(1)
Internet Marketing: Practical Suggestions for International Advertising and Promotion	545	(1)
Future Trends in Social and Ethical Promotional Behavior	546	(5)
Summary	549	(1)
Key Terms	549	(1)
Key Organizations	550	(1)
Questions for Discussion	550	(1)
Additional Resources	550	(1)
References	551	(10)
Glossary	561	(16)
Index	577