Productpromotion is an important strategy for an enterprise that seeks toimprove on sales volume, client base and promote product awareness.As such, promotional plans are effective means through which themarketing personnel outline the strategies, marketing tools andresources to be used in facilitating product marketing and promotion.Marketing plan is a vital planning resource for businesses inenhancing successful product launch of a new service or product, orexpanding to new markets. Promotion plans are strategies used tomarket mix the products, price, place and the promotion tools(Goldstein, 2005).
Inaddition, promotion plans may entail a mixture of advertising,personal selling, publicity and direct marketing. The aim ofpromotional plans is to create product brand, product acceptance,increase sales, competition retaliation, positioning and moreimportantly enhancing corporate image. The overall objective ofpromotional plans is to create demand for the products, increaseproduct/service awareness to consumers and differentiate the productfrom those of competitors (Kotler& Kevin 2009).
Literaturereview on promotional plan
Differentapproaches are used by business enterprises in their productpromotions some use the media through internet advertisement,endorsements, through special events or personal advertisement by thebusiness (Goldstein,2005).Many associate ‘promotion’ with special offers that are used toentice customers to buy the products or services. Physicalenvironments such as special events like concerts, trade shows andfestivals offer excellent opportunities to interact with customersand allow them to buy the product sample or ask relevant informationregarding the product. In some cases, business enterprises hirespromotional models or brand ambassadors to promote their product orservices (Kotler& Kevin 2009).
Directadvertising and especially one that involve personal interactions isessential in establishing connections with clients as opposed topromotion through the media. Establishing community interactionsthrough promotion enhances brand loyalty among the customers. Inaddition, promotional activities through social media create a viraladvertisement in which great attention is enhanced as people shareinformation. In the modern age, social media is one of the mostinfluential marketing tools as information is shared across widerange of audience. Other Medias such as print media, electronic,radio and televisions could be used for heavy promotion, brandawareness and distributions (Goldstein,2005).
Effectivepromotion planning process involves assessing the promotion tools touse, budget allocation, researching on the target market and whatcompetitors do in their promotion process this is important inassessing the most effective promotional activity than wastingresources. Another important thing is to list the promotion toolsthat are useful for the company products and services this requiresadvertising techniques, marketing collateral (brochures), promotionalactivities (like trade shows), conferences and public speaking,through media relation campaigns and publications. Practicalpromotional plans need to have accurate estimates of costs involvedfor the promotion process (Kotler& Kevin 2009).
Inaddition, a good promotion plan should strive to achieve marketingobjectives set by the organization. Similarly, a good promotion planshould have real measurable objectives and adjustments for seasons.In short, building a strategic promotional plan entails conducting asituational analysis (Strength, weakness, opportunities and threats(SWOT), identifying the objective of the promotion plan which shouldbe specific, achievable, realistic and time bound (SMART)(Goldstein, 2005).A strategic promotion plan should entail active promotion tacticsadvertising, personal selling and sales promotion. Monitoring andevaluation is an important aspect that ensures the promotion processis implemented as planned and within the allocated budget (Kotler& Kevin 2009).
Coca-Cola-Product and Brand Promotion Plan
Coca-Colais the world largest manufacturer of carbonated beverages with itsheadquarters in Atlanta, Georgia. The firm manufactures concentrateproduct that is then sold to authorized Coca-cola bottlers throughoutthe world. Under its brand name ‘Coke,’ the company has producedother soft drink products such as diet coke, caffeine free Coca-cola,coca-cola vanilla, bottled water and many more. The firm productscover 200 countries with approximate 1.8 billion products beingconsumed each day.
Thecompany was established in 1944 by John Pemberton, a time whencarbonated water was believed to be good for health in curing manydiseases (Foster,2008).The company products have undergone tremendous improvements overtime attempts to make changes on the original content formula havenever been successful. Nonetheless, the company has been named as themost valuable brand globally. PepsiCo is the chief competitor forCoca-Cola in the soft drinks industry and some cases it outsellsCoca-cola in some regions(Foster, 2008).
PromotionPlan for Coca-Cola Products in Kenya for year 2014
Coca-Colaproducts favor all consumers, however particular brands favorsparticular consumers based on health and age status. In this plan,the target market will be multicultural youth within the range of13-35years by identifying common problems faced by the youth and as aunifying strategy among the diverse ethnic communities. In allsectors colleges, workstations, leisure activities and duringspecial events Coca-Cola products are widely used by the youths inKenya
InKenya, Coca-cola does not face stiff competition from other softdrink manufacturers. The market of Coca-cola products is influencedby consumer preference for other beverage products. As such, thebudgeting used for promotional activities would be based on thepercentage method, goal and task method, and based on what isavailable at disposal for promotional campaigns (Kotler& Kevin 2009).Under the goal and task method the amount allocated for promotionplans will be based on estimating the tasks required to achieve thepromotional goals and to estimate the cost of executing such tasks(Goldstein,2005).In addition, this budgeting system will be supplemented withpercentage method where budget is assigned as per expected sales aswell as what is available at disposal for the promotion plan.
Theamount allocated will depend on the promotion tools to be used. Inthis case funds will be used for outdoor music and sports competition$30million, wall painting in shop walls $5 million, billboards onmajor highways $3 million, coke caps and T-shirts $2million, Cokepoint’s competition $5 million and others $5million.Youths likemusic and sports so the largest share will be used in promotingcompetition events as a way of alleviating unemployment and idlenessamong the youths in rural and urban areas of Kenya. Approximate$50million will be used for the promotional plans
To enhance Coca-cola brands awareness create high visibility of Coca-Cola products among the youths 8 million youths in Kenya’
To improve sales by 10% annually
Make coca-cola a remarkable brand in all aspect of youth lives by engaging them in productive activities.
To enlarge market share for coca-cola products
Thepromotion plan would be carried out in three phases of 6, 4 and3moths respectively. Monitoring and evolution would be conductedevery month to assess the effectiveness of the promotion tacticsused.
Phase1 Music, sport and entrepreneurship competitions in the country
Thesecompetitions would be held in different regions where brandedCoca-cola caps and T-shirts would be distributed among the members.The winners in the music and sport competitions would be rewardedwith cash prizes. During these events, specific time would be set toengage the participants in entrepreneurship education. Financialsupport would be provided to individuals with the best business plansfor personal marketing of Coca-cola products. In the same cue, thecompany would donate books and athletic equipments in particularschools. $ 30 million would be used with each month promotionspending being $5million.
Objectiveto achieve by the end of the three months brand awareness andmarketing would achieve 3% sales increase among the 6 million youths.
Phase2 Creating Brand visibility through Bill Boards and wall painting(Area storming)
Paintingof shops, roadside malls and market places with Coca-cola brandproducts as well as setting giant billboards along major highways. Inaddition, arrangement would be done with owners of public buses tobrand them with coca-cola labels, branding road sign post with safetymessages, erecting bus stop structures with Coca-Cola brand names. Inaddition, the promotion would focus on social media advertising,print media and distributing free umbrellas to roadside vendors. $15million would be used in these promotion activities, with $3.2millionbeing spent per month.
Objectiveto achieve to increase sales revenue by 6 %, brand awareness andenlarge market base by 3% compared to other competitor products.
Phase3: Coke point competition and promotions
Inthis case, a lottery method would be used where the cap of cokebottle products would be printed with a winning number or pointsprizes will be given depending on the winning number or points. Thegoal objective of this promotion is to maximize sales. Cash prizes,holiday trips and cars would be given to lucky winners.
Objectiveto achieve to increase sales, customer loyalty, market share andbrand awareness among the customers.
Foster,Robert. 2008 ‘Coca-Globalization:Following Soft Drinks from New York to New Guinea.’New York: Palgrave Macmillan.
Goldstein,D., Lee, Y. (2005). "The rise of right-time marketing,” TheJournal of Database Marketing & Customer Strategy Management12(3): 212–225.
Kotler,PhilipKevin Lane Keller (2009). ‘AFramework for Marketing Management(4th ed.).’ New Jersey: Pearson Prentice Hall.