Learning Objectives: Chapter 14
Communications and the Promotional Mix
1. Define the term promotional mix.
2. List the five elements of the promotional
mix.
3. List and explain the nine elements of the
communications process.
4. Explain the difference between explicit and
implicit communications.
5. List the principal goals of promotion.
6. Explain the relationship of the promotional
mix and the marketing mix.
Learning Objectives: Chapter 14
Communications and the Promotional Mix
7. Define the terms advertising, personal
selling, sales promotion, merchandising,
public relations and publicity.
8. List the advantages and disadvantages of
each of the five promotional mix elements.
9. Identify the factors that affect the
promotional mix.
The Basic Model of Communications
Encoding Decoding
Sender Receiver
Message and
Medium
Noise Noise
Feedback
Five Promotional Mix Elements
Advertising
Personal selling (sales)
Public relations and publicity
Sales promotion
Merchandising
The Difference between Explicit and
Implicit Communications
Explicit communications: definite
messages given to customers through
the use of language, either oral or
written (i.e., through the five
promotional mix elements)
Implicit communications: promotional
cues or messages conveyed through
body language or by another non-verbal
means.
Three Principal Goals of Promotion
To inform.
To persuade.
To remind.
RIP acronym = Remind - Inform - Persuade
Definitions of Individual
Promotional Mix Elements
Advertising:
Any paid form of non-personal presentation
of ideas, goods, or services by an identified
sponsor.
Personal selling:
Oral conversations, either by telephone or
face-to-face, between sales persons and
prospective customers.
Definitions of Individual
Promotional Mix Elements
Sales promotion:
Approaches other than advertising,
personal selling, and public relations and
publicity where customers are given a
short-term inducement to make an
immediate purchase.
Merchandising:
Materials used in-house to stimulate sales.
Definitions of Individual
Promotional Mix Elements
Public relations:
All the activities that a hospitality and
travel organization engages in to maintain
or improve its relationship with other
organizations and individuals.
Publicity:
One public relations technique that
involves non-paid communication of
information about an organization’s
services.
Advantages of Advertising
Low cost per contact.
Ability to reach potential visitors where sales
staff cannot.
Great scope for creative versatility and
dramatization of messages.
Ability to create images that sales staff cannot.
Non-threatening nature of non-personal
presentation.
Prestige and impressiveness of mass-media
advertising.
Disadvantages of Advertising
Inability to close sales.
Advertising clutter.
Ability for visitor to ignore advertising
messages.
Difficulties in getting immediate response
and action.
Difficulties in getting quick feedback and in
adjusting messages.
Difficulties in measuring effectiveness.
Relatively high waste factor.
Advantages of Personal Selling (Sales)
Ability to close sales.
Ability to hold the prospect’s attention.
Immediate feedback and two-way
communications.
Presentations can be tailored to the
prospect’s needs.
Ability to precisely target the prospect.
Ability to get immediate action.
Disadvantages of Personal Selling
(Sales)
High cost per contact.
Inability to reach some customers as
effectively.
Advantages of Sales Promotions
Sales promotions have some of the
advantages of advertising and sales.
Ability to get quick feedback.
Ability to add excitement to what is being
offered by the destination.
Flexible timing.
Efficiency.
Disadvantages of Sales Promotions
Many sales promotions only provide short-
term benefits.
Ineffective in building long-term loyalty for
the destination.
Inability to be used in the long term without
other promotional mix elements.
Often misused by tourism and hospitality
organizations (e.g., coupons).
Advantages of Merchandising
Merchandising materials can stimulate
impulse purchases and higher per capita
spending.
Provides support for advertising campaigns.
Disadvantages of Merchandising
Not very effective in building long-term
loyalty for the destination.
May contribute to visual clutter.
May not be noticed by visitors or potential
visitors.
Advantages of Public Relations and
Publicity
Relatively low cost.
Effective because not seen as a commercial
message.
Credibility and implied endorsements (e.g.,
articles by travel critics).
Prestige and impressiveness of mass-media
coverage (e.g., feature articles).
Added excitement and dramatization.
Maintenance of a “public” presence.
Disadvantages of Public Relations and
Publicity
Difficulties in arranging consistent coverage
of the destination.
Lack of control over what gets printed or
said.
Factors that Affect the Promotional Mix
Target markets
Marketing objectives
Competition and promotional practices
Promotional budget available