478 The Marketing Book
drinks and newspapers to wake-up times can
be anticipated.
5 Customer information systems. IBM’s
Ultimedia Touch Activity Centre (a kiosk
displaying touch-screen-driven product
information) allows customers to view
products, product information, prices and
availability, and place credit card orders.
During in-store tests this proved popular with
older consumers, who liked the convenience,
detail of information available and the sense of
control provided. In industrial markets,
companies including Universal Office Supplies,
RS Components and SKF are replacing
traditional product catalogues with on-line and
on-disk catalogues, which include automatic
order processing software and in-built key
customer discounts.Table 18.3 The ‘compete using promotions’ checklist
Concept Do we need a promotion? If so, why? Is the promotional effort best aimed at the
consumer, the trade or both? Will the promotion be shared with another
producer or a retailer? If so, how will costs and responsibilities be divided?
Objectives What are the marketing communications objectives? What message will it send
to consumers and what effect should it produce? Is it only short-term sales
uplifts, or are there more long-term objectives such as generating new users or
raising product awareness? Should the promotion target all markets and
consumers or be more selective?
Mechanics What types of promotion are feasible, which best suit the product, and which
are most likely to meet our objectives? How will it reach consumers? Can a
tried and trusted technique be given an innovative and creative edge? What could
go wrong logistically and how could it be prevented?
Practical issues Who will handle the planning and design, in-house or agency? Who will manage
the campaign internally? What actions must take place, when, and by whom, to
implement the promotion? Will fulfilment be handled internally or by a handling
house? Will enough stock be available?
Expenditure How much of the marketing budget and the time of marketing management
should the promotion consume? Should it be supported by ‘spadspend’? What
level of uptake is expected? How likely and costly could an excessively high level
of uptake be? Is sales promotion insurance needed?
Timing Should the promotion be used to counteract seasonal lows, reinforce seasonal
highs or ‘spoil’ rivals’ promotions? Should the duration be long to maximize sales,
or short to prevent loss of consumer interest? How long should special packs,
coupons or leaflets etc. be available for? Should the benefits be instantly available,
delayed or cumulative? What redemption deadline should be set?
Evaluation How will the effectiveness of the promotion be measured in terms of achieving
its objectives? Who should be responsible for evaluation, when and using what
measures?