Lamb Hair McDanielYour Product or Service Offering

Essentials of Marketing 3e

Part 4 Promotion and Pricing Decisions Worksheet

Objectives

Promotional objectives:

1.

2.

3.

4.

5.

6.

On-line promotion?YesNo
Describe:
Off-line promotion?YesNo
Describe:

Theme

Promotional theme is:
Promotional message is:
Copyright needed?YesNo

Design

Promotional tools designed by:In-house personnel
Outside agency
Combination
In-house personnel responsible:
Agency hired:
Advantages to in-house design work:
Disadvantages to in-house design work:

Media

Select media for promotions:

Television (stations)

/

Radio (stations)

/

News-papers

/

Magazines

/

Outdoor (cities)

/

Internet (sites)

/

Other

Describe geography of promotion and/or product roll-out:

InternationalNationalRegionalLocal

List special considerations for promoting e-marketing venture:

Advertising

All advertising pieces have uniform theme and style?YesNo

If not, justify:

Ads have sufficient information on product benefits?YesNo

If not, how can you increase this information?

Are customers given enough details in ad on how to request additional product information from your company?

YesNo

Public Relations Activities

List public relations activities:

Bad publicity response strategy:

Sales Promotion Tools

Select promotion tools:

Regular couponRebate

TradeshowContest

SweepstakesSamples

On-line couponDemonstrations

PremiumsOther

Sales

Do you need a sales force?YesNo

If yes, how will you compensate them?

Salary onlySalary + Commission

Commission OnlyOther

Will salespeople have a quote?YesNo

How will you organize sales territories?

By product / By customer type / Geographically

Will you compensate differently for on-line sales activity?YesNo

List sales alliances you intend to pursue:

Use the Internet to research how the industry handles advertising and promotion. Describe here:

Costs of Marketing Plan

Identify costs associated with each of the following elements of the plan:

Feature / Cost
Product manufacture
Marketing research
Competitive intelligence
Packaging
Intermediaries
Distribution network
On-line promotion
Off-line promotion
Promotional tools design
Promotional tools production

Media costs

Sales force compensation

Domain name registration
ISP contract
Web site development – design
Web site hosting
Web-site content creation

Other

Total

Calculate break-even point for selling:

Break even = $

Can you sell enough to cover costs?YesNo

Strategy

Circle pricing strategy you are most likely to use:

Penetration / Skimming / Status-quo

Where is your product in the PLC?

Introductory / Growth / Maturity / Decline

How will this affect your pricing strategy?

Elasticity

Calculate demand elasticity in off-line world:

Demand elasticity =

List tactics to soften price sensitivity in on-line world:

1.

2.

3.

4.

5.

6.

Policies

On-line pricing policies:

Off-line pricing policies:

Justify any differences:

Price Comparison

Compare your price to your competitors. Who is higher?

Competitor
/
Price
/
Your Price
1.
2.
3.
4.
5.
6.
7.
8.

If serious price differences describe how you will communicate your differential advantage:

Discounts

Circle discounts you will offer to on-line customers:

QuantityCashFunctional

SeasonalPromotional Rebates

Circle discounts you will offer to off-line customers:

Quantity / Cash / Functional
Seasonal / Promotional Rebates

Account for any differences in discounts allowed to two customer groups:

Geographic

Customers will pay shipping?YesNo

All customers pay same shipping?YesNo

Customers pay shipping based on distance?YesNo

Rationale:

Special Pricing Tactics

Circle special pricing tactics you will use:

Single-priceFlexible priceService pricingPrice lining

Leader pricingOdd-evenBundlingTwo-part

If bundling to be used, list products to be bundled:

Bundled package
/
Component 1
/
Component 2
/
Component 3
Package 1
Package 2
Package 3
Package 4
Package 5

Penalty charged for violation of product/service terms?YesNo

Will penalty apply for on-line customers?YesNo

Will penalty apply for off-line customers?YesNo

How much will the penalty be?

Identify environmental factors affecting pricing:

Pricing strategy during inflation:

Pricing strategy during recession:

Part 4 Marketing Plan Worksheet: Promotion and Pricing Decisions1