Methods of demand formation and sales promotion, their characteristics. Theoretical chapter

Formation of demand - a set of measures aimed at familiarizing a potential buyer with a new product introduced to the market and creating an "image of the product" among customers.

Sales promotion - a set of measures to encourage the buyer, who has already familiarized himself with the product, to repeat purchases, purchase large quantities, regularly communicate with the seller, or distribute the product among new layers of buyers.

These two areas of activity are inextricably linked and form a single system, denoted by the abbreviation FOSSTIS. This abbreviation is used both to designate demand generation and sales promotion activities, and the corresponding marketing department.

Main activities of FOSTIS:

product promotion (personal selling, merchandising, sales promotion, etc.),

creation and promotion of a trademark;

provision of public relations (PR-actions).

Typical operations (means) FOSSTIS:

articles in specialized journals,

specialized exhibitions,

direct business negotiations,

receptions, presentations,

distribution of souvenirs, catalogs, brochures, posters,

activities of sales representatives, merchandisers.

All FOSTIS means are subdivided into non-personal (messages through the media), personal (the message is directed to specific people, certain organizations). .

Consider the place of FOSSTYS in the marketing system. Marketing methods include:

analysis of the external (in relation to the enterprise) environment, which includes the market, as well as political, social, cultural and other conditions;

analysis of consumers, both real and potential, which consists in the study of the demographic, economic, social, geographical and other characteristics of people who make a purchase decision, as well as their needs in the broad sense of this concept and the processes by which they acquire both our and competing products ;

studying existing and planning future products, that is, developing concepts for creating new products and / or upgrading old ones, including their assortment and parametric series, packaging, etc., removing obsolete products from production and the market that do not give an estimated profit;

planning of goods distribution and sales;

providing demand generation and sales promotion (FOSSTIs) through a combination of advertising, personal selling, non-commercial prestige events ("public relations") and various financial incentives aimed at buyers, agents and specific sellers;

provision of a pricing policy, which consists in planning systems and price levels for supplied goods, determining the “technology” for using prices, loans, discounts, etc.;

ensuring that the goods comply with social and moral and ethical standards;

management of marketing activities (marketing) as a system, that is, planning, implementation and control of the marketing program and individual responsibilities of each participant in the work of the enterprise, assessment of risks and profits, the effectiveness of marketing decisions.

Thus, the formation of demand and sales promotion is central to the marketing system.

Working with a consumer is not an easy task, you must initially carefully prepare. Before entering into direct contact, I would like you to be able to affirmatively say that the proposed product is of interest, can really satisfy a certain need and is safe, reliable, of high quality and competitive, in addition, it must be popular in terms of novelty and available to a potential buyer , both taking into account the solvency of the latter, and taking into account such factors as: after-sales service, guarantees, replacement options, etc.

Consumers, regardless of profession, social status, nationality and much more, are guided in the process of making a purchase by three main types of motivation: rational - considering the product in terms of its price, quality, economy, moral - choosing, for example, clothes for office work established traditions in relation to a business suit, and emotional - everyone is inclined, if possible, to buy not just good, but, among other things, vintage things, which indicates his status, well-being, etc. This should be the main emphasis in organizing the so-called market disclosure communications.

After realizing the need that has arisen, a person begins to search for information that would make it easier for him to obtain the required product. Such information is presented as a means of generating demand and stimulating sales, ensuring that the consumer's attention is drawn to certain products and creating a need for a more “long” acquaintance with a particular manufacturer.

The system of demand formation and sales promotion directs its efforts to address the effective demand of target groups, namely for a product that, due to the presence of certain functional properties, can satisfy the need of buyers. Here the problem of choosing between "our" product and the products of competitors is solved. And, of course, the degree of awareness of our product and its properties and the ability to meet specific needs will ultimately depend on the profit of the enterprise.

In the activities of a business entity in the formation of demand and sales promotion, two effects should be distinguished:

  • communication (informing),
  • commercial.

The consequence of the communication effect is that the buyer easily accepts the name of the company, trademark, brand during the survey, and allocates these attributes among the entire product offer, associating with a certain level of quality and price.

The second effect, commercial, is clearly manifested in the client's intention to buy this particular product. So, as a rule, “hot on the heels of FOSTIS events”, this effect is manifested in 12-15% of respondents.

In order to be able to respond in the affirmative to any comments, one should first develop a strategy for action in each specific market segment, covering individuals whose behavioral characteristics are well known, taking into account the phase of the LC (product life cycle) and the volume of forecasted demand. The company also pays attention to the promotion of goods, in particular, the volume and sequence of use of the selected means of promoting the goods. It is necessary, if possible, to develop a set of measures, the cost of which does not necessarily have to be very high. An approximate ratio of expense items for activities that allow generating demand for products and ensuring constant, renewable sales in a certain period may look like this: expenses for the development and promotion of a trademark - 18% of the total cost, expenses for presentations, exhibitions - 18 %, direct mail advertising - 14%, provision of various services to a potential buyer (consulting, engineering, auditing and other services) - 11%, discounts, bonuses, incentives - 12%, lotteries, souvenirs, gifts - 11%, net stimulating video, audio, print advertising - 12%, meetings, conferences - 4%.

When planning and carrying out these actions, you should remember the basic rule of sales "We need not a momentary result, but regular customers for many years." The FOSSTIS system helps to achieve this.

The FOSTIS system consists of two blocks: demand generation activities (DOS) and sales promotion activities (SIS).

The main purpose of the FOS is to inform potential buyers about the existence of the product, to inform the needs that this product satisfies, to provide evidence regarding the quality of the product and to lower the barrier of distrust in relation to the product, brand, brand as much as possible.

In this regard, introducing a "market novelty" product to the market, securing initial sales and gaining some market share is the main task of the FOS activities. Since the purchase decision is, in many cases, subject to negotiation, the FOS should contain a targeted impact on all those who are somehow involved in the purchase decision. .

As events, FOS uses such means of influencing the target audience as: advertising, exhibitions, fairs, public relations (PR).

The main goal of sales promotion is to form a consumer's sustainable preference for a particular brand, brand, product and, accordingly, make repeat purchases. The task of STIS is to encourage subsequent purchases of this product, the acquisition of large quantities, regular commercial relations with the seller.

Activities in the field of STIS are of particular importance in a highly competitive and saturated market.

As for sales promotion activities, they are divided into two groups, depending on the object of promotion.

  • 1. In relation to buyers, they are aimed at creating an image of a commercial offer with tangible benefits for those who purchase goods on the agreed terms:
    • discounts,
    • credit,
    • free distribution,
    • acceptance of second-hand products,
    • presentations,
    • Excursions to the manufacturing plant
    • press conferences,
    • PR.

These events are widely announced in the media.

  • 2. The activities of the STIS in relation to intermediaries encourage them to sell with maximum energy, expanding and "strengthening" the target segments. These include:
    • provision of equipment for sale, pre- and after-sales service free of charge or on preferential terms,
    • organization of mobile service points and workshops,
    • providing discounts on the sale price,
    • cash reward,
    • additional rest days
    • valuable gifts, moral forms of influence.

Due to the fact that advertising and PR are the most popular and often in demand among the variety of FOSTIS means and events, we will dwell on them in more detail. .

The system of demand formation and sales promotion (FOSSTIS) - directs its efforts to address the effective demand of target groups, namely to “our” product, due to its ability, due to the presence of certain functional properties, to satisfy the need of buyers. Here the problem of choosing between "our" product and the products of competitors is solved. And, of course, the extent to which the buyer is informed about the product and its properties and ability to satisfy specific needs will ultimately depend on the profit of the enterprise.

In the activities of a business entity in the formation of demand and sales promotion, two effects should be distinguished: communication (informing) and commercial.

The consequence of the communication effect is that the buyer easily accepts the name of the company, trademark, brand during the survey, and allocates these attributes among the entire product offer, associating with a certain level of quality and price.

The second effect, commercial, is clearly manifested in the client's intention to buy this particular product. So, as a rule, “hot on the heels of FOSTIS events”, this effect is manifested in 12-15% of respondents.

In order to be able to respond in the affirmative to any comments, one must first develop a strategy for action in each specific market segment, covering individuals whose behavioral characteristics are well known, taking into account the phase of the product's life cycle and the volume of forecasted demand. Next, you should pay attention to the promotion company, in particular, the volume and sequence of use of the selected promotional tools. It would be nice, if possible, to develop a set of measures, the cost of which does not have to be very high.

The demand formation and sales promotion system consists of 2 blocks:

  • Demand generation activities (DOS)
  • Sales promotion activities (SIS)

Main The purpose of demand generation activities is to inform potential buyers about the existence of a product, to tell about the needs that this product satisfies, to provide evidence about the quality of the product and to maximize the credibility of the product, brand, brand.

In this regard, introducing a "market novelty" product to the market, securing initial sales and gaining some market share is the main task of demand generation activities. Since the purchase decision is, in many cases, negotiable, demand generation activities should include a targeted impact on all those who are somehow involved in the purchase decision.

As measures to generate demand, such means of influencing the target audience are used as:

  • advertising
  • · Exhibitions
  • · trade fairs
  • public relations (PR)

Basic the purpose of sales promotion measures is to form a stable preference for a consumer in relation to a particular trademark, brand, product and, accordingly, make repeated purchases. The task of sales promotion measures is to encourage subsequent purchases of this product, the acquisition of large quantities, regular commercial relations with the seller.

Sales promotion activities are of particular importance in a highly competitive and saturated market.

As for sales promotion measures, they are divided into two groups, depending on the object of promotion.

Sales promotion activities in relation to buyers are aimed at creating an image of a commercial offer with tangible benefits for those who purchase goods on agreed terms:

  • discounts
  • credit
  • free distribution
  • Acceptance of used products
  • presentations
  • Excursions to the manufacturing plant
  • press conferences

About these events are widely announced in the media.

Sales promotion activities for intermediaries encourage them to sell with maximum energy, expanding and "strengthening" target segments. These activities include:

  • provision of equipment for sale, pre- and after-sales service free of charge or on preferential terms
  • organization of mobile service points and workshops
  • providing discounts on the sale price
  • cash rewards
  • additional rest days
  • valuable gifts, moral forms of influence.

Concept, essence, purpose of marketing activity.

The term "marketing" appeared for the first time in the United States at the end of the 19th century. Comes from English. words marketing - market, which means literally "trading work in the market." Currently, marketing in the hotel business is the organization of all activities of the enterprise on the basis of a comprehensive study of the market.

Marketing Tasks:

1. Carefully study the market, demand and desires of consumers.

2. Adapt the capabilities of your enterprise to the requirements for the release or creation of new consumer services.

3. Influence the market and public demand.

The purpose of marketing is to achieve profit with the provision of quality services.

2.Object and subject of marketing activity: need, demand, product, market.

Objects: need, need, demand, product, market.

Market- a set of commodity services or exchange organized according to the laws of commodity production and circulation.

Product- everything that can satisfy a need or need and is offered to the market for the purpose of attracting attention, acquisition, use or consumption (physical objects, services, persons, organizations, ideas).

The product can be viewed from the position of three levels:

1) Product by design.

2) Product in real performance.

3) Goods with reinforcements.

Product by design turns into a real product. Product in real performance has five characteristics:

Quality level;

Property set;

specific design;

brand name;

Specific packaging.

Product with reinforcement means personal attention to the buyer, home delivery, money back guarantee, etc. The idea of ​​reinforcing a product makes the marketer take a closer look at the customer's consumption system as a whole, to see how the buyer of the product approaches the problem in a complex way.

Need is the feeling of lack of something. The needs of people are diverse and complex, but in general their number is finite, in contrast to needs. Here are the basic physiological needs for food, clothing, warmth and security; and social needs for spiritual closeness, influence and affection; personal needs for knowledge and self-expression. Most of these needs are determined by the original components of human nature. If the need is not satisfied, the person feels unsatisfied and seeks either to find an object capable of satisfying the need, or to try to drown it out.

Need- a need that has taken a specific form in accordance with the cultural level and personality of the individual.

The needs of people are practically unlimited, but a person acquires only those goods that give him the greatest satisfaction at minimal cost, time, information costs.

DEMAND- the fundamental concept of a market economy, which means the desire, the intention of buyers and consumers to purchase this product, supported by a monetary opportunity.

Market segmentation.

Market segmentation is the process of dividing the market into different groups of consumers, each of which may require different products or marketing mixes.

A market segment is a specially identified part of the market, a group of consumers, products or enterprises that have certain common features (feature).

Segmentation of the market of tourist and hotel services is carried out according to the following criteria:

· Geographic - dividing the market into different geographical units: countries, states, regions, districts, districts, cities, etc.

· Demographic - dividing the market into consumer groups based on demographic characteristics: age, gender, family composition, family life cycle, income level, occupation, education, religion, race, nationality.

· Psychographic - dividing the market into different groups of consumers based on the sign of belonging to a social class, lifestyle, personality type.

Behavioral - dividing the market into groups of consumers based on their awareness of the product, attitude to the product, reaction to use, desired benefits, degree of commitment, user status.

Methods of demand formation and sales promotion, their characteristics.

Promotion is a tool for creating demand for goods and services, as well as sales promotion.

Promotion is any form of communication of information, persuasion, reminders of goods and services.

Promotion features:

1. Creating an image of prestige (low prices, innovation);

2. Informing about the product, its qualities and properties;

3. Maintaining the popularity of goods and services;

4. Changing the way the product is used;

5. Bringing favorable information to the buyer.

2. PR. It includes a communication complex, using a wide arsenal of all means of communication with the public.

3. Sales promotion. Promotion of goods on the market.

PR brings information to the consumer to the consumer information about additional services.

4. Personal selling is a communication of a personal nature, during which the seller tries to convince the consumer of the need to buy the service.

The main goals of promoting goods and services are the formation and stimulation of demand in the short and long term, as well as improving the image of the enterprise, therefore, the formation of demand and sales promotion is a system of targeted marketing activities that helps to ensure a favorable attitude of the consumer of the selected market segment to goods and enterprises, which implements them.

Demand generation and sales promotion policy has 2 aspects:

1. Communication (informing)

2. Commercial

Sales promotion is carried out:

· In relation to buyers;

In relation to intermediaries;

· In relation to sellers.

Promotion of sales in relation to the buyer occurs by offering benefits to those who purchase goods on agreed terms (buying goods in large quantities and systematically, within a predetermined time).

Depending on the type of product, various methods of sales promotion are adopted in relation to the buyer:

Issuance of coupons, discount on subsequent purchases;

· Credit;

· Free delivery of product samples;

· Premiums when buying for a certain amount;

· Acceptance of obsolete goods as a down payment in the sale by installments;

· Coupon lotteries.

Sales promotion in relation to intermediaries is aimed at inducing the product with maximum energy.

Intermediaries are given discounts from the sale price, on preferential terms or free of charge they are provided with special equipment for the sale of goods, its maintenance

Sales promotion towards salespeople - staff of stores, showrooms, etc. is usually aimed at achieving high sales rates for these people. Encouragement can be in the form of a monetary reward, additional vacation days, valuable gifts, moral forms of influence.

Merchandising is a complex activity that includes the entire set of operations related to the physical movement of manufactured products (goods) from the manufacturer to the consumer.


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Introduction

I Marketing communications and the concept of a demand generation and sales promotion system (FOSSTIs)

1.1 The essence of marketing communications and their tools.

1.2 The essence of the FOSTIS system

1.3 Demand generation (DCF) and its main tool - advertising

1.4 Sales Promotion - STIS

2 Formation of demand and sales promotion on the example of the enterprise LLC PKP "Agrostroy"

2.2 Sales promotion at LLC PKP Agrostroy

2.3 Evaluation of the effectiveness of the use of FOSTIS tools in LLC PKP "Agrostroy"

Conclusion

Glossary

List of sources used

Annex A

Annex B

Annex B

Annex D

Annex D

1. Marketing communications and the concept of a demand generation and sales promotion system (FOSSTIS)

1.1 The essence of marketing communications and their tools

To start studying the concept of FOSSIS, it is first necessary to consider and define the concept of marketing communications, since the FOSSIS system is an integral part of them.

Marketing communications are activities, a set of means and specific actions to search, analyze, generate and disseminate information that is significant for the subjects of marketing relations.

As an activity, it is, first of all, a communication policy, a special function of a producer, intermediary or consumer, determined by his motives, interests, attitudes, relationships and specific goals (entering a new market, launching a new product, increasing or maintaining a market share, etc. .). The modern emphasis is on the formation, maintenance and development of long-term partnerships based on knowledge of each other, respect for each other and focus on mutual benefit.

As a set of means, it is a complex of content, media and methods of transmitting marketing information that allows for information communications, contacts in the form of advertising, public relations, direct marketing (including personal contacts) and mixed types (including exhibitions, fairs and other forms of sales promotion, marketing ). A modern effective direction for the formation of such a complex is integrated marketing communications, communication management.

As specific actions, these are the processes of transmission and perception of certain messages aimed at solving specific problems of inducing a certain marketing choice (order) or reflecting an already made choice, point of view, opinion of a subject or group of subjects of marketing relations. This choice can be made both in relation to any specific product (goods) regarding the degree of its compliance with the level of development of needs, the specifics and severity of the problem of the subject of marketing relations, and in relation to the image of a certain group of products (brand) or the subject as such (company , organizations). These can be, for example, actions that allow: to identify the target audience, to determine its qualitative and quantitative characteristics; determine the desired response (including in quantitative terms); ensure that potential customers are aware of the company and product; to achieve knowledge of the client company, product; win the favor of the audience; encourage the recipient to make a purchase.

The structure of the communication process and possible moments of interference interference are shown in Figure 1.

Figure 1 - The structure of the communication process (Lasswell diagram)

Traditionally, the complex of marketing communications includes:

The formation of a favorable public opinion about the organization and its products, also called public relations or sometimes "publicity", in the most common Russian translation - "public relations" or, more correctly, relations with certain social groups,

Personal contacts and sales, direct communication,

Direct marketing - personalized presentation of a product or service during a conversation with one or more potential buyers for the purpose of subsequent sale;

Complex forms of promotion of products on the market and promotion of sales (exhibitions, fairs, training of sellers, etc.), which also solve other marketing problems (market research, feedback, deal making, actual sales).

The main differences between the listed forms of marketing communications are shown in Table 1.

Table 1

Features of different types of marketing communications

Types of communications

the main objective

Target group

Communication carrier

Measuring Success

Propagation loss

Communication with the target

Communicative content

Encouraging a customer to buy

Target groups, segments

TV, radio, print, outdoor media

Relatively difficult

Large or medium

Mostly about the use of goods or services

Public relations

Positive reputation of the company

The whole public or its sections

TV, radio, print, press conferences, individuals

Hardly possible

Often very significant

Often not clear

Applies to the company as a whole

Personal contacts and sales

Information conclusion of transactions

Potential customers interested persons, customers

Own sales staff, sales agents

Relatively easy

Mostly small

Concerns the benefit in connection with the purchase of goods

Complex forms

Help your sales, trade, customers

Customers, their employees of sales, trade

Fairs, exhibitions, training of sellers, competitions booklets, samples

Partially possible

Mostly small

Defined in relation to specific products

The modern complex of marketing communications also includes brands and branding. At its core, a brand is the image that pops up in the mind as a reaction to a trademark. This is the promise of the manufacturer through the product to constantly provide the consumer with a specific set of qualities, values ​​and services. This is a guarantee of the quality of the product, the freedom of the consumer from the need to control quality and a hint which of the competing products can be chosen without a doubt. The presence of a brand means that even with approximately equal consumer and other properties, the product will be bought more, the idea will have more adherents, and more voters will vote for the policy. Brands have several basic characteristics.

These characteristics are:

Brand loyalty, determined by the number of buyers who prefer this brand to others;

Expected quality - established associations of certain positive characteristics; the degree of awareness of buyers about the brand - the ability of a potential buyer to recognize or recall this brand;

Brand image is not always strictly related to the quality of the product.

System branding is the creation, distribution, strengthening, preservation and development of a brand, a wide range of information developments involving versatile specialists in the field of economics, sociology, psychology, semiotics, design, etc.

In theory, the new organizational solution was called “integrated marketing communications (in English - IMC, in Russian - IMC). In the early 1990s the founders of this direction were D. Schultz and S. Tonnenbaum, who in 1992 laid the conceptual foundation for further developments in this area. The new direction of marketing activity has made its base the assumption that the consumer still integrates the efforts of communicators in his mind.

The fundamental difference between IMC programs is that they are not a combination of various traditional disciplines, but a single multi-channel synchronized communication focused on establishing relationships, preferably bilateral, with different target audiences, for each of which an appropriate model is built. This is in line with the trend towards increasingly fragmented, individualized market segmentation. An integrated approach, using common ideas, common management and common funding, just allows you to do this and gives tangible results, including:

IMC have become a form of competition between large "full cycle" marketing and PR agencies for complex orders in order to "cut off the possibility" of part of the orders going to relatively small agencies that can only claim individual communication developments. There are also theories that claim to further develop the ideology of integrated marketing communications - communication and reputation management, the concept of a single strategic design - "harmonious brand building".


1.2 The essence of the FOSTIS system

Demand generation and sales promotion is the most active part of all marketing tools. This concept appeared in Russian as an analogue of the English "marketing communication" - the formation of demand and sales promotion - FOSTIS. It occupies a special place in the production and marketing sphere of modern marketing. FOSSTYS policy includes commercial and prestige advertising, company relations with the public, and other possible means of influencing the external environment; it provides for the implementation of certain complexes of marketing communications for the formation of demand and sales promotion.

FOSTIS should distinguish between communication (informing) and commercial effects. Due to the communication impact of FOSTIS products, potential and real buyers perceive the product as having a high use value.

When preparing a FOSSTYS campaign, first of all, its goal is formed, which usually does not literally coincide with commercial goals.

The FOSTIS system is divided into two subsystems:

1. Formation of demand (FOS).

The purpose of demand formation is to inform the potential consumer about the product and the needs that this product satisfies, as well as to lower the "barrier of distrust" to a new product by familiarizing with the system of guarantees and protecting the interests of the consumer. The task is to bring a new product to the market, ensure initial sales and gain some market share.

First of all, FOS activities are: advertising, exhibitions, fairs, as well as all other tools of marketing communications.

In the mind of the subject making the decision to purchase, an "image" of the product should be formed: attractive, evoking positive emotions, and well remembered. Specific forms of FOS activities: a story about the specific properties of a product that distinguishes it from other products of the same purpose; a story-evidence of the practical use of the product and the resulting socio-economic effect; evidence of the high quality of the product based on feedback from prestigious consumers of the product; a report on the testing of goods by an independent expert firm.

The result of FOS is the formation of the image of the product. In order to shape the buying decision process, it is necessary to work with the people who make the buying decision, or those who can have a significant impact on these people.

2. Sales promotion (SIS).

The purpose of sales promotion is to encourage buyers who are already familiar with the product to follow-up purchases of it - the acquisition of large lots regularly.

STIS shares:

A) In relation to buyers - stimulation of consumers, aimed at encouraging the purchase by the consumer, which includes all the tools of marketing communications.

B) In relation to intermediaries - promotion of trade, aimed at supporting the intermediary firm and increasing the interest of the intermediary, including: offsets for the purchase; provision of goods free of charge; offsets to dealers for the inclusion of goods in the product range; conducting joint advertising; issuance of awards; holding trade competitions among intermediaries; free or preferential provision of special equipment for pre- and after-sales service; sales price discounts, etc.

C) In relation to sellers - stimulation of their own sales staff, aimed at strengthening the interest of sales workers and increasing the efficiency of the efforts of the company's sales staff, including: material and moral incentives; competitions among sellers; - additional holidays; - valuable gifts, etc. .

FOSTIS effects:

Communication (information) - 60-80% of respondents remember the name of the advertiser, and 20-25% prefer the company's product to others; - commercial - the result of well-delivered advertising: 10-15% buy the product.

The FOSTIS system has a direct relationship with the product life cycle, which is expressed in the ratio of the life cycle stages (growth, maturity, saturation, decline) and FOSTIS subfunctions. The formation of demand falls on the period of development and partly growth, sales promotion at all subsequent stages. The connection of the FOSSTYS system with the product life cycle is shown in Figure 2

Figure 2 - Relationship of FOSTIS with the life cycle of a product

At the implementation stage, there are several strategies for the FOS:

1. Intensive marketing. It is used when the product is unknown, the levels of competition and prices are high, high marketing costs are required, but as a result, rapid market penetration is achieved.

2. Selective penetration. It is used when the market capacity is small, the competition is low, the price may be high, the cost of FOSTIS may be low.

3. Wide penetration. If the market capacity is large, the product is unknown, the price is low, because of this, intense competition develops, and large marketing costs are required.

4. Passive marketing. It is used when the market capacity is large, the product is known, the price is low, the competition is low, and the cost of FOSTIS is negligible.

When planning FOSTIS, the costs are allocated as follows:

2. Sales promotion: - 7.5% - souvenirs, receptions; - 7.5% - trips of agents to exporting enterprises; - 7.5% - "public relations";

7.5% - unforeseen expenses.

In the mind of the subject making the decision to purchase, an "image" of the product should be formed: attractive, evoking positive emotions, and well remembered.

Thus, we see that in the formation of demand, the main share of expenses falls on advertising, in particular on advertising in the press. In the amount of spending on sales promotion, their distribution between the instruments occurs evenly.

Having considered the essence and general aspects of the FOSTIS system, let's move on to a more specific study of its subsystems "Demand Generation" and "Sales Promotion".


1.3 Demand generation (DCF) and its main tool - advertising

The division of the system of demand formation and sales promotion into two parts, or into two subfunctions, is somewhat conditional, since they everywhere complement and replace each other, merging into a single whole. And, nevertheless, we will try in this work to highlight the main points of both components.

Demand generation is a program of actions to form or increase the demand of potential consumers for a certain product, the main methods of which are the dissemination of information, the publication of advertising, giving the product the necessary functional properties, positioning the product on the market. The main method of creating demand for industrial goods is direct contacts with a potential buyer, holding scientific and technical symposiums, seminars, demonstration tests and demonstrations. Demand for consumer goods is formed through the widespread use of advertising events, demonstrations, sales exhibitions, methods of influencing public opinion through the press, radio, and television. At the same time, it is obligatory to take into account the social, moral, psychological, emotional, aesthetic and other characteristics of each individual group of buyers.

The leading link in marketing communication activities has always been and continues to be advertising. The total cost of advertising in the world at the beginning of the 21st century is estimated by experts in different ways - from 450 billion to 1 trillion. dollars per year. Russia's share is not much - about 2 billion dollars.

As defined by the American Marketing Association, advertising is any form of non-personal presentation and promotion of ideas, goods, or services paid for by an identified customer. The impersonal nature of the presentation of a product or service separates the advertising method of their promotion from personal sale: advertising uses mass communication channels, is separated from the fact and subjects of the sale. The objects of advertising are not only goods as material values, but also ideas, services - banks, insurance companies, railways, laundries, etc. .

Functions of advertising and advertisers: the need for advertising is due to the fact that a product produced for sale can become a commodity and be realized in the sphere of circulation only if it is previously perceived by the consumer "ideally, as an internal image, as a need, as an incentive and as a goal." Advertising performs three main functions - informative, encouraging and stabilizing.

The informative function of advertising is that advertising acquaints potential consumers with the features of qualities, design, possibilities of use, the advantages of a particular product or service, with the strategy, policies and successes of manufacturing companies, the technologies they use, know-how.

The informative function of advertising closely interacts with the motivating function, the main content of which is related to the impact on the emotional and mental processes of a person, on the formation and development of his needs, on decision-making processes. Advertising, realizing this function, convinces a person to buy a product, as it meets his needs.

Another encouraging trend is the emergence of such new market segments for Russia as advertising on the Internet and in cinemas, although so far their volumes are only a few million dollars a year. However, according to analysts, the volume of the domestic advertising market, despite its rapid growth, seems insignificant compared to the volumes of similar sectors of the economies of the leading countries: advertising costs in Russia are two orders of magnitude lower than in the United States .

1. Television advertising. TV is the leading advertising medium for many personal and image advertising. TV advertising has the largest audience and, as a result, the highest levels of performance and cost. Its clients and advertisers are mostly large and very large companies. High efficiency of impact on consumers. The most effective broadcast time: in a day - early morning and especially in the evening (19:00 - 23:00), in a week - Saturday, in a year - January, February, March.

2. Advertising in the press. Press advertising is effective for goods and services whose useful properties require a detailed description. In terms of memorability, this view ranks second after television advertising. Unlike direct advertising, the use of the press can be selective both geographically (for example, a local newspaper) and qualitatively, socio-demographically (for example, a central newspaper of a certain orientation or a "thick" magazine). The main media are: the press for businessmen, weeklies, national and regional daily newspapers, books (educational and reference publications are preferred). Among the factors taken into account when choosing a medium for advertising in this case are: the frequency of publications, circulation, size or format, the nature of the served contingent of readers, color reproduction capabilities, the promptness of providing space for advertising, the "survivability" of the publication.

3. Outdoor advertising. The second most effective after television advertising is outdoor advertising. It has more than 20 types of advertising media: posters on firewalls (blank outer end walls of houses), drawn billboards, posters, lighting installations, computerized panels, etc. The main function is to reinforce advertising in the media, remind about the brand of goods, its properties, about the company. The main cost item is the fee for renting a place, the leading difficulty is the preparation of documentation (permits).

4. Transport advertising. A special position in the complex of outdoor advertising is occupied by transport advertising, including inside vehicles, on their outer surfaces, as well as at stations and bus stops. Main advantages: registration is not required and, as a result, the registration time is short, the cost is low.

5. Radio advertising. The most important feature of this type of advertising is the creation of mood, mental images with the help of voice, music, noise, without involving visual images. In Russia, radio advertising has taken on an expansionary trend due to the explosive development of FM stereo broadcasting; in the crisis year of 1998 there was an outflow of advertisers from television.

6. Direct mail advertising (direct mail). Direct mail advertising (other variants of the name: mailing list or direct mail, direct mail, direct mailing, and sometimes even direct marketing or just DM) is far from just scattering leaflets and nondescript pieces of paper, the main problem of which is not to end up in a cardboard box helpfully placed by the cleaning lady next to the mailbox blocks. Among the forms of direct advertising (i.e. advertising without marketing intermediaries), the most traditional are mailed business letters, postcards, posters, brochures, catalogs, booklets and other branded publications, prints of published materials about products.

7. Advertising on the Internet. Despite the skepticism about the Internet, the growth of online advertising is still impressive, and this market is one of the fastest growing in the world. The share of the United States in the total volume of network advertising costs in the world now reaches 75%, and this figure is unlikely to change significantly in the near future.

To optimize the choice and use of advertising media, an advertising campaign plan is developed. Traditionally, its development is based on information about the product (its properties and their compliance with the needs of potential customers), about the market and its segments, about consumer behavior alternatives in connection with various ways and possibilities to meet his needs, about trends in market demand.

1) analysis of the marketing situation;

7) evaluation of results.

Advertising budget. Of course, the cost of advertising is determined primarily by the goals of marketing and the corresponding goals and objectives of advertising. When determining the budget for advertising activities, the same methods are used as for marketing activities in general. These are the following methods: financing "from opportunities"; fixed percentage method; competitor matching method; maximum cost method; method "goal - task"; marginal income method; marketing program accounting method. M. Vidal and X. Wolf, based on the dependence of turnover growth on advertising costs, built a mathematical model that describes the process of continuous decrease in the effectiveness of advertising costs as they grow. They proposed a formula:

dS/dt - rA(M-S)/ M-yS (1)

where S - the volume of sales of goods in the period of time / (variable);

dS/dt - changes in the volume of sales of goods in period t (variable);

M - the level of market saturation with this product (parameter);

y - decrease in the volume of sales (defined as the share of the volume of sales, by which this volume decreases per unit of time under conditions when A=0 [constant]).

It follows from this equation that the increase in sales volume will be the greater, the higher the response of sales volume to advertising, the greater the advertising costs, the less the market is saturated with the company's products, and the smaller the value of the constant of the decrease in sales volume. Another option for budgeting, based on goals and objectives, is the G. Yule method, which involves a sequence of certain steps for calculating the costs of advertising activities.

Evaluating the effectiveness of advertising is one of the most difficult steps in organizing and managing an advertising campaign. In marketing, it is customary to distinguish between the communicative and commercial effectiveness of advertising. Communicative effectiveness can be determined by laboratory experiments, using the methods and tools of psychophysiology and psychology. These can be tests for perception, recognition (for example, company logos, its abbreviations), memorization and comprehension, sympathy-dislike tests, projective tests, etc., to identify the nature of the decoding and advertising message parameters that lead a potential client to a purchase decision.

Another step forward compared to the tests - a survey that reveals the opinions and attitudes of people to the advertising presented. Projective methods are also used to evaluate the effectiveness of advertising. One of them is a test for word associations: if certain words from the draft of an advertising message, presented in a random sequence among other words, cause incorrect or undesirable associations in people, then they are excluded from advertising. Phrase completion tests allow you to see what train of thought is stimulated by the opening or other phrases of an ad. Perception tests help determine the degree of comprehensibility and readability of the main semantic blocks of advertising.

However, in recent years, the best way to determine the impact of advertising costs on the volume of turnover is increasingly recognized as an experimental method. In this case, the firm selects several comparable local markets, each of which has the same percentage of sales on advertising. Then, in 1/3 of the selected markets, advertising spending is increased by a fixed share; in the second third, respectively, decrease (for example, 50%); the third share of markets as a control remains unchanged. The data on changes in turnover obtained as a result of the experiment can serve as a basis for further calculations. Let's move on to the study of the second sub-function of FOSTIS - sales promotion.

1.4 Sales Promotion - STIS

The concept and goals of sales promotion. Stimulate, as stated in the dictionaries, means "to set in motion." This is the task that was set before sales promotion at all times. In the US, sales promotion as an integral part of the production and commercial structure has existed for more than 50 years. At the same time, sales promotion is not considered as a universal means of increasing sales as advertising, since its use is episodic or represents the final component of the same advertising. Therefore, the corresponding costs are included in the advertising budget. Today, the presence of specialized agencies and the development of the corresponding market allows us to approach an almost exhaustive definition: we can consider that we are talking about a set of techniques used throughout the entire life cycle of a product in relation to three market participants (consumer, wholesaler, seller) with the aim of short-term increase in volume sales, as well as an increase in the number of new customers.

Thus, we are dealing with a full-fledged discipline, which gradually acquires the necessary clarity and retains its independence due to the presence of its own technical methods.

Sales promotion has a multi-purpose focus. The choice of target depends on the object of the forthcoming impact. There are several types of target audiences:

1. Consumer: he, of course, has the greatest importance, and the whole marketing policy is reduced to the impact on the consumer. A wide range of sales promotion techniques has been created with the sole purpose of attracting the consumer in the most effective way and satisfying his needs. The objectives of consumer-facing incentives are as follows:

Increase the number of buyers;

Increase the quantity of a product purchased by the same customer.

2. Seller: The ability and ability of the seller to sell the goods should not be left without attention on the part of the manufacturer. Purpose of vendor-facing incentives: To turn an indifferent salesperson into a highly motivated enthusiast.

3. Reseller: being a natural link between the producer and the consumer, he is a specific object of stimulation, which in this case performs regulatory functions.

In this case, the goals of incentives can be the following:

Give the product a certain image to make it easily recognizable;

Increase the amount of goods entering the trading network;

Increase the intermediary's interest in the active sale of a particular brand, etc. .

There are three types of sales promotion objectives: strategic, specific, and one-time. Each of these types includes many varieties. More clearly and in detail, the variety of sales promotion goals can be seen in Figure 3. The most common goals are strategic and specific.

GOALS


Strategic Specific

- increase the number of consumers - accelerate the sale of the most

Increase the quantity of goods, profitable goods

bought by each consumer - to increase the turnover of goods

Revive interest in the product with - get rid of excess inventory

side of the clientele (overstocking)

Increase turnover to the point - - give regularity to sales

lei planned in terms of seasonal goods

marketing - resist

Achieve plan targets for emerging competitors

sales - revive the sale of goods, sales

which is experiencing stagnation

One-time

Benefit from annual events

Take advantage of a particular opportunity

(anniversary of the company, the creation of a new store, etc.)

Figure 3 - Three types of sales promotion objectives

The choice of these or those incentives depends on the goals. They can be grouped into three large groups:

Bidding (selling at reduced prices, preferential coupons, vouchers giving the right to a discount);

Offer in kind (premiums, product samples);

Active offer (buyer contests, games, lotteries).

In relation to any point of sale, we can classify various types of incentives in a different way, according to their origin and impact on the clientele. In this case, we arrive at three generalized types of incentives:

1. General incentive applied at the point of sale. Its distinguishing feature is the predetermination of the topic. It serves as a tool for the general revival of trade (anniversary, opening ceremony).

2. Selective stimulation involves the placement of goods outside the places of general display in an advantageous position, for example, at the beginning of a row or rack. The goods can also be concentrated in any place of the trading floor.

3. Individual stimulation is carried out in places of general exposition of goods and, as a rule, comes from the manufacturer. An advertising poster, a pointer signal that a certain product is being stimulated in the form of price reductions, competitions, bonuses, etc. In this case, incentive measures are perceived by the consumer only at the moment when he stops in front of the store shelf.

Sales promotion and consumer. In quantitative terms, sales promotion is mainly aimed at the consumer.

Price promotion. Temporary reduction in the price of a product has its advantages and disadvantages. Some enterprises (both manufacturers and resellers) resort to this type of incentive only; in their opinion, it is much more profitable to meet the economically justified wishes of the consumer than to respond to the ever new demands of the individual in relation to the quality and variety of products.

The disadvantage of this type of promotion is that it does not create a circle of reliable, permanent customers, but causes the buyer to rush from one brand of product to another, in accordance with the proposed price reduction. The advantage of this technique is that it allows you to accurately estimate the cost of the operation in advance, quickly organize it in the simplest forms, and minimize the time it takes to complete it in accordance with the intended goals.

Possible perceptions of sales promotion are presented in Table 2.

table 2

Two possible perceptions of sales promotion

For example, maintaining a gross output of 25% will require the next increase in trade. Consider table 3, which shows the ratio of the size of gross output and the required increase in trade turnover as a percentage.


Table 3 - The ratio of gross output and growth in trade

Direct price reduction. At the initiative of the trading network:

A. There are periods throughout the year when supermarkets announce the sale at very low prices of a number of selected items or a predetermined quantity of these items.

B. During special exhibitions and fairs, many resellers provide buyers with discounts.

C. Retailers post weekly (monthly) product lists that combine everyday related products and shelf-stable products to increase overall turnover and build a loyal customer base driven by regular sales promotions.

At the initiative of the manufacturer:

A direct price reduction, conceived and organized by the manufacturer, is usually accompanied by the provision of discounts to the distribution network.

Three ways of direct discount:

1. Percentage discount. The packaging indicates minus 10 or 20 percent. Advantage: does not entail any changes in the organization of the sales area or product labeling. Two stickers (crossed out and new).2. Discount indicating its size in monetary terms (minus 1 thousand rubles).3. Specifying a new price without specifying a discount. The reason for the new price is indicated: new release of the product; anniversary; seasonal event or holiday;

Couponage. Occupying an intermediate position between a direct price cut and a price cut with a delay in obtaining a discount, couponing is a more complex form of price reduction. The operation consists in the fact that the consumer is offered a coupon that gives the right to receive a discount on the price of the goods. Coupons are either placed on product packaging, delivered to your home, or distributed through the press. A consumer who has a coupon is given a discount, which can be a certain amount of money, a percentage of the price of the product, or a reduction in the price of some other product, subject to the purchase of the product indicated in the coupon.

Postponed reimbursement:

a) Simple reimbursement with a delay. The price reduction does not occur at the time of purchase, but after some time;

b) Cash-refund. This is the most widely used form of deferred price reduction, where a refund of a certain amount of money is paid subject to the presentation of several proofs of purchase;

c) Combined reimbursement with deferment. Several products from different manufacturers are combined in one coupon. - Coupon chains. Multiple items in one coupon. A choice is offered to the consumer. - Quality test. You need to try, for example, all 10 products, then you can get a big discount. - Gift - quality. The consumer can purchase various items to use as a gift and receive a significant discount;

d) Discount coupons. Reimbursement with a deferment of a certain amount of money in the event that two very different goods are purchased that are not sold in the same outlet;

e) Price reduction combined with a public benefit event.

An in-kind incentive can be defined as offering a consumer an extra quantity of a product without being directly linked to a price. Incentives in kind serve two purposes:

To give the consumer an additional quantity of goods, which is fundamentally different from lowering prices, the purpose of which is to save money;

To give a more versatile and substantive character to contacts between the producer and the consumer.

There are two types of incentives in kind: bonuses and exemplars.

1. Prizes. A) direct bonus. It is handed over to the buyer at the time of the act of purchase, as it is: - either enclosed in the product itself, - or attached to the packaging of the product, - or paid to the consumer at the checkout. B) Offering a direct premium with the involvement of a retail outlet. If the cost of the product is not high enough, but comparable to the size of the premium, it fully corresponds to the image of this product, then a retail outlet can be attracted to the SIS: in addition to buying the product that is the object of the SIA, the consumer must make other purchases for a certain amount. C) deferred bonus. The buyer must send proof of purchase to the specified address, after which the award will be received by him in the mail. Used to build a loyal clientele and is cheaper since all clients send coupons.

2. Samples. A sample is a free transfer of goods in a quantity that has no commercial value and is strictly necessary only for its testing and evaluation. The inscription is applied to the sample with indelible paint: "Free sample, not for sale." The quantity must be no more than 7% of the sale price of the goods (at cost). Some items cannot be applied to (cars, for example), so they can be provided in their entirety for a short time.

active offer. An active offer is all types of incentives that require the active and selective participation of the consumer. There are two general consumer promotion operations based on this principle:

1. Contests that require the consumer to be observant, quick-witted or smart, but which in no way rely on a game of chance; 2. Lotteries and games that can be entered without making a purchase and that are wholly or partly based on the game of chance.

Both methods have one strength: they attract a lot of people to participate, who are offered magnificent prizes that make them dream. The game nature of the event is a strong tool for influencing each person, and the opportunity to receive a free prize is a powerful incentive to participate.

Stimulation of the trading network

The sale of goods is a chain that connects the manufacturer with the consumer through intermediate links: marketers, resellers, purchase initiators.

To effectively influence the consumer requires the use of special methods. Usually it is the stimulation that is entrusted with the task of finding techniques appropriate for each stage in the marketing process.

Marketing has changed the relationship between the manufacturing enterprise and the trading network; the sales apparatus can say a lot about the manufacturer, since its level determines the commercial effectiveness of the latter. The organization of the distribution network depends on the sales channels, on the volume of activity of resellers, the type of product, etc. Below is a detailed diagram showing the main actors that make up the sales apparatus. Knowing the deep needs of its own sellers of products (security of its position, feeling of belonging to the enterprise, self-respect, desire for self-realization), the enterprise will not constantly stimulate its structural divisions responsible for sales. Incentives should be applied in exceptional cases and have clearly defined goals. This is the only way to mobilize the efforts of the marketers over a short period of time (see Figure 4) (3, p. 72).

Commercial Director


Head of Sales Department


Regional Regional Regional

Manager No. 1 Manager No. 2 Manager No. n


Trade representatives. Commodity sales representatives. Commodity experts

STIS Specialists. STIS Specialists.

Figure 4 - Sales machine

By resorting to incentive measures, the company can achieve various goals: 1. Catalog the product. 2. Increase the amount of goods purchased by the retail chain. 3. Fight against competition. 4. Revitalize the environment at the point of sale of goods.

Incentives aimed at influencing the sales departments of an enterprise have exploded in recent years and have backfired in some areas - salespeople are waiting for incentives to complete their commercial program. In order to bind marketers, give them the necessary motivation and make them imbued with the "spirit" of the enterprise, the manufacturer uses various methods: provides them with financial benefits, organizes competitions, arranges trips. All these funds are measures to stimulate - promote sales.

1. Classic incentive tools. There are four of them, and they have a high stimulating effect; we are talking about some kind of “plus” offered to sellers at a certain moment in order to move the product towards buyers.

A) Bonuses to salary when meeting annual targets.

B) Bonuses for achieving “special indicators” - product cataloging, over-fulfillment of indicators during a downturn in business activity, etc.

C) The award of points, which can be redeemed for valuable gifts offered in a special catalog: for each sale or additional order placed, the seller receives a certain number of points, which ultimately allow him to choose a gift for himself in the catalog presented to him.

D) Tourist trips are intended for marketers who have achieved great success in their work.

2. Modern incentive tools. Falling below the 20% mark of stimulus winners is considered dangerous today. It is necessary to create a positive relationship between the marketer and the product, a certain environment that is supported by the company with the help of greeting cards, phone calls, small gifts. The number of enterprises using this kind of incentives is constantly growing.

3. Prizes and other types of remuneration. Prizes should have the following three characteristics: - be a fair reward for extra effort; they are designed to show that the company appreciates the efforts made by the seller; - have sufficient social significance (VCR, video camera, laser player, etc.); - make the seller dream of becoming or feeling like the owner of this or that thing during the competition.

Stimulation of resellers. The main objective of promotion is to influence the consumer and simplify the sales process. Hence the need arises for the constant conduct of special operations to motivate and stimulate the trading network.

But intermediaries also need to be encouraged and interested, especially if they also sell competitors' goods. Only by purposefully influencing the reseller by organizing well-thought-out incentive actions at all stages of the product life cycle, the manufacturer can turn it into its effective partner.

Receptions of operations "stimulation - reseller" can be divided into two groups: financial benefits and benefits in kind.

1. Financial benefits.

There are several types of discounts: - discounts associated with the inclusion of goods in catalogs; - discounts on the number of goods purchased; - reimbursement for advertising, advertising at the point of sale or for the favorable presentation of goods by a wholesaler or retailer; - coupon.

2. Benefits in kind.

In this type of stimulation, techniques can be distinguished: stimulation of intermediaries, marketers, wholesalers and retailers; operation "mystery client"; distribution of samples; joint actions of producers and intermediaries; window display contests. “Mystery client” - persons appointed by the enterprise move incognito from one outlet to another and give valuable gifts to their owners if there is order and abundance on the shelves of stores, check for advertising, organize an accompanying game for consumers, check whether any or commodity .

For a comprehensive incentive program, there are a number of additional decisions that must be made by the marketing planner. In particular, he must decide how much incentive to apply, how long it will last, and what funds should be allocated for its implementation.

The marketer must decide how much incentive to offer. For the success of the event, there must be a certain minimum of incentives. A stronger incentive will provide more sales, but at a constantly falling sales rate. Incentives can be offered either to everyone or only to some special groups of people. duration of the incentive program. If the incentive event is too long, the proposal will lose some of its momentum. More effective is a relatively short sales promotion. Estimates for sales promotion activities can be developed in two ways. The marketer can choose specific measures and calculate their cost, but more often the amount of appropriations is determined as a percentage of the total budget. Wherever possible, all sales promotions used should be pre-tested to ensure that they are appropriate and provide the necessary incentives. Too large amounts of money are involved, and failure can cause serious damage to the enterprise. Therefore, it becomes necessary to conduct tests based on a representative sample of the target audience in order to make an informed decision.

1. Preliminary tests.

A) Design testing. It's about testing an idea that could form the basis of an incentive before doing anything. It is necessary to find out what the people who made up the sample think about this or that method of stimulation, its volume and timing. The simplest and fastest way is the rating scale method based on the results of the survey.

B) Testing the method. Once an incentive campaign idea has been approved, survey participants can be asked to specify how it will be implemented, such as choosing prizes.

2. Market tests. Market testing is carried out directly in stores or at home, that is, among real buyers, at the time when there is stimulation. Control and evaluation of the results of stimulation. Incentives should be monitored before, during, and after they are given. The goal of pre-operational control is to predict success or failure, select the most appropriate type of stimulation, and tailor it to the characteristics of the target audience.

The purpose of control during stimulation is to ensure that the operation is deployed according to plan, as well as the readiness to withstand emerging problems or the intervention of any external factors.


2 Formation of demand and sales promotion on the example of the enterprise LLC PKP "AGROSTROY"

Consider the use of advertising and sales promotion on the example of a particular enterprise. To analyze the situation, let's take LLC PKP "Agrostroy". The company was founded in 1995. At present, LLC PKP "Agrostroy" is engaged in production and commercial activities. Since 2006, the company has been specializing in the production of:

Road paving slabs, - building materials, - aluminum windows and doors, - cement, - gratings and fences, - benches.

LLC PKP "Agrostroy" is located in Omsk, st. Fokina, house 72.

The buyers of the company are: - shops - 50%, - construction companies - 22%, - private companies and individuals - 28%.

The geographic segmentation of the customer market of PKP Agrostroy LLC is narrow. It includes the city of Omsk and the Omsk region.

Mission of firm: "The best building materials at us - for you!". The goal is to conquer the market. In pursuance of its mission and achievement of the goal, the company uses advertising and sales promotion. At present, in 2009, 30% of the market of the Omsk region falls to the share of LLC PKP "Agrostroy".

The company's task is to gain a larger share of the sales market (+5% in Omsk, +2.5% in the region).

The company maintains a constant image in the market, which includes: high quality products and constant updating of the range with the latest product samples.

LLC PKP "Agrostroy" adheres to the developed corporate identity. The main goals of corporate identity: - identification of the company's products among themselves and an indication of their connection with the company itself, - highlighting the company's products from the total mass of similar products of its competitors.

The presence of a corporate identity indicates the confidence of the company's management in the positive impression that it makes on the buyer and consumer.

The corporate identity of the analyzed company includes:

Trademark, which is the name of the company - LLC PKP "Agrostroy",

Company emblem, capital letter "A" (see Appendix A),

The corporate slogan is "The best building materials we have - for you!".

After getting acquainted in general terms with the activities of the enterprise and its image, you can begin to consider its advertising policy and sales promotion policy.

At the enterprise LLC PKP "Agrostroy" there is no special marketing department where specialists in the field of marketing would work. Therefore, the company often uses the services of an advertising agency in the development of specific advertising projects. Typically, advertising decisions are made in the following way (see Figure 6).

Figure 6

Making marketing decisions at LLC PKP "Agrostroy"


At the 1st stage, the director decides on a specific type of advertising, sets a task, selects an advertising agency to which the company will apply. After that, the selected advertising agency receives an order for advertising. The order usually contains the following information: - advertising medium, - its content, - estimated message volume, and other information.

At the 3rd stage, a decision-making center is created at the company, the purpose of which is to select one of the advertising messages offered by the advertising agency. Usually this center includes 2-3 people: the director of the company, sales agent, accountant. After choosing one of the options, the decision is communicated to the advertising agency and an order for advertising is placed.

Stage 4 - the release of advertising "in the light." The selected advertising option reaches its “subscriber” and has an impact on him. After some time after the release of the advertisement, its effectiveness is evaluated. This happens by comparing sales volumes before and after advertising.

This is due to seasonal changes in demand for products, so in winter demand always drops sharply - you have to remind yourself in the consumer market with the help of constant radio advertising.

Since the company does not advertise each of its products separately, but in general its name and products, when choosing a product strategy, it was necessary to focus on the life cycle stage at which most products are located. Currently, this stage is "growth".

In accordance with this, the company focused on the following marketing policy:

Reducing or stabilizing prices;

Strengthening sales promotion;

Expansion of distribution channels,

Penetration into new market segments.

BR = (300,000 * 20) / 100 = 60,000.

The budget distribution is shown in Figure 7:

The purpose of participation in exhibitions is to demonstrate your products, to attract as many buyers as possible to the side of the company. To achieve this goal, the company turned to the ART-Terra advertising agency to develop a plan for presenting information at the stand. After coordinating the design of the stand with the management of the enterprise, the ART-Terra agency made a stand for the exhibition.

In addition to the design and technical level of the stand itself, the image of the company and the interest of visitors in the exhibited products depend on the general level of awareness, correctness and appearance of the employees representing the company at the exhibitions. For these purposes, distributors are selected based on their rating.

1. Average sales for the last three months,

2. Average sales volume for the last six months,

3. The number of customers who made a purchase 2 or more times,

4. Level of education,

5. Working time at the firm and other criteria.

The duration of the exhibition is five days. At the Stroytechexpo exhibition in Omsk, Agrostroy PKP LLC occupied 6 m 2 of exhibition space on the second floor. In addition to the stands made by the advertising agency, at the exhibition, customers were offered to familiarize themselves with the brochures of the company, there were samples of products in a wide range, color photographs of already used products of the company were offered.

In addition, the brand name of the company was present, reminding visitors of themselves even before they plunged into the world of the exhibition.

The management was satisfied with the results of the exhibition, as the goal was achieved, and the flow of applications for the company increased immediately after the promotional event. In addition, new useful contacts were made with industry representatives and new opportunities for further cooperation and partnership opened up.

As can be seen from Figure 7, the cost of exhibitions occupied the largest share in the advertising budget of the company (30,000 rubles). However, the company's management believes that they justify themselves and plans to continue to participate in such events.

Radio advertising costs take the second place in terms of share among other costs for an advertising company. LLC PKP "Agrostroy" placed its commercials on two radio stations: "Europe-Plus" and "Radio of Russia". The choice was made on the basis of the highest ratings among radio listeners from these radio stations. The texts of the videos are played every other day. The schedule for the release of commercials on the air is presented in Appendix B and in Figure 8.




Figure 8 - Airing commercials on two radio stations

As can be seen from Table 4 and Figure 8, radio advertising places particular emphasis on the winter months. It is in January and February that the purpose of advertising is to remind. Customers should not forget about the firm during a decline in demand.

ZRR \u003d 192 * 17 * 3 + 1308 \u003d 11,100 rubles.

where 192 is the number of videos launched during the year,

17 - video duration, sec.

1308 - the price of manufacturing 2 rollers, rub.

The company uses television advertising in a small volume, although the funds spent on it (7,000 rubles) occupy a significant place in terms of share along with other advertising costs. The company's management believes that TV advertising is very expensive in absolute terms, advertising contact is too fleeting (compared to newspapers), so it is used only in the period February-March. It was during these months that on the RenTV-Omsk channel, viewers could see the advertising splash screen of the company. This screensaver was developed by the advertising department of the channel and approved by representatives of the company consisting of 3 people. The screen saver informed the viewers about the goods that they could purchase at PKP "Agrostroy" LLC, as well as contact phone numbers and the address of the company.

The PKP "Agrostroy" LLC resorted to the use of the latest advertising medium for the Russian market - "direct mail". This tool has a low cost, selectivity of the audience, flexibility, lack of advertising of competitors in the administration, personal character.

Flyer costs are calculated as follows:

ZL \u003d 2.67 * 1200 + 1800 \u003d 5,000 rubles.

where 2.67 is the cost of producing one leaflet, rub.

1 200 - the number of leaflets,

January - 150 pieces,

March - 150 pieces,

May - 150 pieces,

August - 150 pcs.

The company's management considers direct mail to be quite an effective means of advertising, so in 2010 leaflets will be produced in greater quantities and their design will be handled by qualified specialists.

As outdoor advertising, the company uses billboards that are placed on the floor on a leg. For the test, the company "ART-Terra" was ordered to manufacture 1 billboard. The cost of manufacturing the shield amounted to 5,000 rubles. The shield was decided to be placed on the territory of the company.

In the future, a wider use of outdoor advertising is planned due to the fact that it has a low cost, weak competition, flexibility and a high frequency of contact repetition.

Newspaper advertising has been used in the company's sales promotion complex for several years. It is newspaper advertising that is flexible, covers the area well, is widely recognized and accepted, and is always timely.

To place its advertisement, LLC PKP "Agrostroy" uses newspapers: "Express Reklama" and "Council of Expert". According to the management, the company's newspaper advertising in these publications can influence potential buyers. The content of the advertisement is in Appendix 3. Such announcements are developed by the employees of the company, and then, after checking by the director, they are placed in a specific newspaper.

2. Other publications - no more than 5 announcements per year by decision of the responsible center.

Usually, the responsible center includes 2-3 people: a director, a sales agent and an accountant. The issue is resolved in the following order:

Several options for placing advertisements are offered (in various options, the place and frequency of submission or non-submission are considered) with the rationale for these options.

Each of the members expresses its opinion on the proposed options and some changes or additions are made to the proposals,

Each of the options is evaluated in points by each member of the center,

The option that received the highest number of points is selected, in case of equivalence of several proposals, the final decision is made by the director of the enterprise.

2. The decision on the choice of means of advertising distribution is subjective, i.e. taken on the basis of the opinion of individuals, without delving into the calculation of the breadth of coverage, frequency of occurrence, the strength of the impact of advertising, market analysis when choosing specific advertising media.

2.2 Sales promotion at LLC PKP Agrostroy

The advertising activity of the company LLC PKP "Agrostroy" is supplemented by the efforts of other means included in the marketing mix, namely sales promotion measures. In recent years, sales promotion activities have increased dramatically.

Several factors contributed to the rapid growth of sales promotion activities. Here are some of them:

Today, senior management is more willing to accept sales promotion as an effective sales tool - more product managers are learning how to use sales promotions - product managers are under ever-increasing pressure to increase sales - more and more competitors are entering the business sales promotion - intermediaries demand more and more concessions from manufacturers, the effectiveness of advertising is reduced due to rising costs, advertising crowding in the media and legislative restrictions.

The company sets sales promotion tasks in relation to buyers and its own sales agents. Among the tasks of stimulating buyers are encouraging the purchase of goods in large quantities, attracting those buyers who buy competitors' goods, encouraging them to buy goods in the winter season. The tasks of stimulating your own sellers are to encourage them to conduct more effective customer visits, encourage them to improve their classification (the ability to communicate with the client, convince him to make a purchase, the ability to highlight and emphasize the most important).

Regarding the incentives for buyers, PKP Agrostroy LLC uses various incentives, for example, with large purchase lots, the buyer receives a discount in price. For different products, the discount is different, for example, when buying paving slabs for every 25m 2, the buyer receives 1m 2 of a similar free product for free. In addition, the company encourages its customers to buy goods in the winter season. In this case, the buyer, as it were, gives the company a loan, paying for the purchase of goods in the winter at a reduced rate, but receives this goods only in the spring (usually customers do not pick up the goods in winter, because the specificity of the company's goods is building materials and they are used in the warm season) .

Stimulation of buyers is offered for all groups of people the same. Duration of the incentive program: 1) For the purchase of large quantities - all year round; 2) For the purchase of goods in winter December, January, February. The buyer can receive only one type of discount when purchasing a product, and he himself chooses which type of discount to use if it is possible to use both types of discounts.

To stimulate its own employees, the company uses wages, i.e. workers receive a certain percentage of money from the goods sold by them for a certain period. Every two weeks, sales agents submit reports on their work to the directors of the firm and the accountant, which are drawn up in the following form (see Figure 9)

Figure 9 - Report Form

The purchasing agent receives 5% of the total cost of the goods sold by him (line total, 5th column of the reporting form). Thus, if an employee of the company wants to increase his income, he needs to improve his ability to communicate with the client, to convince him to make a purchase immediately and in as large batches as possible.

Sales promotion is still a little used means of promoting goods and the company does not use it effectively enough. In particular, there is no clear program to stimulate sales. The scheme of sales promotion described in the theoretical part is not used, and such important elements as the means of disseminating information about the incentive program, the consolidated budget for sales promotion, the preliminary testing of the program and the evaluation of the results of the sales promotion program are completely or partially absent. It is known that sales promotion is most effective when used in combination with advertising. From the above analysis, a relationship can be drawn between advertising and sales promotion during the winter months. It was at this time that the company conducts intensive radio advertising on two radio stations, while reinforcing it with the promotion of sales of goods at a reduced price.

2.3 Evaluation of the effectiveness of the use of FOSTIS tools in LLC PKP "Agrostroy"

It is obvious that advertising requires significant investments, which are easy to waste if the company fails to accurately and clearly formulate the goal and objectives of the advertising company, makes an insufficiently thought-out decision regarding the size of the advertising budget, formulates the message incorrectly or chooses an ineffective advertising medium, fails to conduct evaluation of the results of advertising activities.

Since an advertising agency is involved in the development of advertising messages, the task of the company is to contact an advertising agency that employs highly qualified specialists. If the agency is chosen correctly, then the probability that the advertising message will be executed in the best way increases.

Let's highlight the main reasons for this:

Let's consider one of these problems, namely, the choice of advertising media to stimulate sales of Agrostroy LLC products and evaluate the effectiveness of their use. We will solve this problem according to the scheme:

1. We will find theoretically the most effective means of advertising that meet the goals of Agrostroy in the markets of Omsk and the Omsk region;

2. Based on a survey of residents of Omsk (potential clients of the company), we will analyze the possibilities of advertising media in the local market;

3. Based on the survey of buyers of the company "Agrostroy" we will evaluate the effectiveness of the advertising company as a whole and individual advertising media;

4. Comparing the results of the theoretical conclusion with the results of a survey of potential customers and the results of a survey of buyers, we will conclude that some and the inefficiency of other means of advertising are really effective;

5. Based on the results of the analysis, we will reflect the expected changes in the use of advertising media.

The first step in solving the problem is to match the advertising media to the various objectives of the firm. First of all, let's outline the tasks that the Agrostroy company sets for its advertising.

Local market coverage means that the firm is only interested in the impact of advertising in the local market, i.e. within the city of Omsk and the region.

Under the selectivity of the audience is understood that the company's clients are mainly either private firms (shops, construction firms and other legal entities), or individuals 20-50 years old with an average and higher level of income. Thus, it is necessary to advertise the company in places where the concentration of potential buyers prevails.

The wording of the task "low cost" speaks for itself - the company LLC PKP "Agrostroy" seeks to use not very expensive advertising media in advertising its products, since it belongs to the category of small enterprises and at present its activities are just beginning to unfold.

After establishing the advertising objectives of the company, we turn to the consideration of specific advertising media and their ability to meet the goals. Let's make a table in which we will reflect the degree of suitability of a particular advertising medium for a specific task (see Table 5).

According to the results of a theoretical assessment of advertising media, it turned out that television advertising is the least effective advertising medium (3 points), since it has a high absolute cost, which excludes the possibility of frequent repetition of the Agrostroy advertising message, there is practically no audience selectivity, in addition, there is a tendency to be overwhelmed by this kind of advertising.

Table 5

0 - the tool is ineffective to meet this task;

1 - the means is neutral to meet this task;

2 - the tool is effective for meeting this task.

The most effective means were outdoor advertising, leaflets and newspaper advertising (6 points). It should be noted that newspapers as a means of advertising the products of the company "Agrostroy" are either effective or neutral (according to the specified criteria), and leaflets are ineffective in terms of high frequency of repetitions. In addition, the disadvantage of leaflets is the image of "scrap" created by them. The disadvantages of outdoor advertising include only the lack of selectivity of the audience. According to other criteria, outdoor advertising is effective. We also note that only outdoor advertising is effective according to the criterion of "high frequency of repeated contacts", which is very important for the enterprise due to their lack of popularity in the local market.

An intermediate position among the used means of advertising was occupied by exhibitions and radio commercials (4 points). The disadvantages of the exhibition include their high cost, as well as the lack of frequency of repeated contracts (usually the duration of the exhibition is 5-7 days and the company participates in the exhibition once a year). It is worth noting, however, that it is by participating in exhibitions that a company raises its image, only in such ways can it acquaint a potential buyer with the range and quality of its goods, demonstrating it directly, in photographs, posters, but without requiring a response from the buyer. In this kind of exhibitions are a special means of advertising. The disadvantages of radio advertising include the low selectivity of its audience, the transience of advertising contact with the audience and presentation only by sound means (which significantly reduces the degree of memorability of the advertising message).

The second step in determining the effectiveness of the advertising media used by Agrostroy is to analyze the possibilities of advertising media in the local market.

To do this, we analyze the data obtained as a result of a survey of residents of the city of Omsk.

The objectives of this survey:

3. To identify the likelihood that the buyer will turn to a specific means of advertising in case of a need to purchase a specific product (meaning goods manufactured by Agrostroy);

4. To identify the degree of fame of the company among potential buyers according to the questionnaire (Appendix G)

There were two criteria by which the respondents were selected:

Age - from 22 to 50 years (persons of this particular age interval are potential buyers of the company);

Income level is average and above.

200 respondents were interviewed.

As a result of the calculation of the questionnaire data, the results were obtained, which are shown in Table 6. (Appendix D).

Let's analyze the results obtained after the survey.

Most potential buyers pay attention to advertising (85% of respondents). According to the respondents, the most effective means of advertising were: - newspapers, - exhibitions, fairs, - billboards.

The least effective are leaflets. The latter happened due to the fact that in our country leaflets are a little-used means of advertising industrial goods.

Television turned out to be the busiest means of advertising (according to 46% of respondents). This means that when placing advertisements on television, one must be sure that it will not merge with the flow of other messages.

In second place in terms of frequency of appearance, respondents put newspapers (perhaps the oldest means of advertising), and in third place - radio advertising.

Note that, most likely, potential buyers will remember advertising in newspapers (37%), on billboards (20%) and on the radio (20%). And only 13% of respondents will remember television advertising. The results of recalling leaflets are most likely distorted by the respondents due to the fact that they are not familiar with direct mail.

In the event that potential consumers need to buy building materials, they are more likely to turn to advertising: - in newspapers - 32%; - on billboards - 27%. Potential consumers rarely turn to advertising in leaflets (12%). An intermediate position in terms of frequency of use is occupied by television and radio advertising (15%).

The study also showed that potential consumers are not familiar with the company "Agrostroy", namely 19% of respondents. This means that the existence of the company should be reminded more often with the help of advertising.

In the final conclusion for the second step, we can say that the company does not use outdoor advertising enough in its advertising company, and the costs of television and radio advertising, apparently, are not sufficiently justified (this can only be said for sure at the third stage).

The third step in solving the problem is to evaluate the effectiveness of both the advertising campaign as a whole and individual advertising media based on a survey of buyers of the Agrostroy company.

The objectives of this study:

2. Determine the motivating effect of various advertising media on the buyers of the company.

The respondents of this survey were the buyers of the company "Agrostroy", who kindly agreed to answer the questions proposed to them. In total, 100 buyers were interviewed over 2 months, who answered the proposed questionnaire in Table 7 (see Appendix E).

As a result of counting the responses, the following data was obtained (see Appendix E). In the "ball" column, the number of votes was counted, with 1 ball per vote. When answering item 3, the total number of points is more than 100, because some buyers have seen the company's advertisements in multiple sources.

The results for item 1 of Table 8 confirmed the conclusion made at the second step that the company is currently little known in the local market (only 18% of the surveyed buyers knew about it before the need to purchase).

Most often, buyers came across advertisements of companies at an exhibition-fair (32%), on the radio (25%), in newspapers (17%). The least likely buyers met advertising on television (3%). From this we can conclude that television advertising must contact the audience more often in order to increase its effectiveness, and this requires significant costs and is not consistent with the interests of the company. Advertising on billboards (12%) took an intermediate position in terms of the number of contacts with the audience, and this is quite understandable - the company has only 1 billboard, which is located on its territory.

Advertising had an inciting effect on 40% of buyers, and the exhibition influenced the largest number of buyers (22%), leaflets (6%), then newspapers and billboards were on the same level (5%) and radio advertising encouraged them to buy (3%). The survey showed that advertising on television did not have an incentive character at all, but only informative. We calculate the coefficient of advertising impact on buyers after their contact using the following formula:

K \u003d CHK / CHP, (2)

where CHK - the number of contacts with all buyers,

The exhibition-fair and leaflets have the strongest influence on the buyer. For every third buyer who met with these means of advertising the company, it had an incentive effect.

Similarly, billboard advertising has affected one in four, one in six newspaper ads, and one in twenty three radio ads. The coefficient of impact of TV advertising on the buyer turned out to be equal to zero, i.e. This advertisement had no incentive effect at all.

And now let's calculate the trading effectiveness of the impact of advertising on buyers (see Table 10).

E f = Volume/Costs, (3)


Volume - income received as a result of the influence of advertising media;

Expenses - expenses for a specific advertising medium in the reporting year.

Table 10 - Incentive influence of the advertising medium on the sales volume and trade effectiveness of advertising

Leaflets

exhibition-fair

The television

According to the results of Table 10, the total trading efficiency was 100 rubles / rub., which means that from each ruble invested in an advertising company, the company received 100 rubles. additional income.

The exhibition brought the greatest income to the company (55,000 rubles), but due to the high costs of it, the trade efficiency of the exhibition is only in 4th place (8 rubles / rub.). Newspapers took first place in terms of sales effectiveness (39 rubles/ruble) among other advertising media, although they brought in only 12,500 rubles. income, the cost of this type of advertising was the lowest.

The effectiveness of shields is slightly lower - 25 rubles / rub. - however, the income from them also amounted to 12,500 rubles. The effectiveness of the leaflets was 18 rubles/ruble, and the effectiveness of the radio was 2 rubles/ruble.

At the fifth stage, we compare the results of the theoretical conclusion with the results of a survey of potential customers and the results of a survey of buyers of the company "Agrostroy".

As a result, we get:

1. From the point of view of theory, television is the least effective for advertising the company LLC PKP "Agrostroy". In addition, this advertising medium is very overloaded with information of this kind. Quite rarely, compared to other types of advertising, potential buyers turn to television. And, of course, against television, as an advertising medium, it says that it has little effect on buyers and has zero trading efficiency. Consequently, it is better to exclude television altogether from the complex of stimulating the enterprise, as an ineffective means.

2. Theoretically, radio satisfies the company's objectives quite well.

Since radio advertising does not contribute to increasing trading efficiency, it should be used only in winter, when it is necessary to constantly remind about the company in the market, and at other times use a more effective means of advertising to attract buyers. This change will lead to a reduction in advertising costs by almost half.

3. Exhibition-fair - an effective means of advertising in all respects, both in theory and in practice. This medium of advertising has the best ability to influence buyers, and also brings the largest income to the company, compared to other advertising media. And although trade efficiency is not high, which is explained by the high costs of exhibitions, exhibitions perfectly meet the company's objectives.

Since this tool is quite effectively used in the company's advertising campaign, the cost of it can be left at the same level.

4. Newspapers are one of the most effective means of advertising. They have a good impact factor. It is newspapers that buyers are more likely to turn to than other sources if they need to buy building materials.

Newspapers have the highest commercial efficiency, as this type of advertising is cheap compared to other media, and brings the company a good income. It is hardly worth changing anything in the use of this advertising medium, since at the moment it is used quite effectively.

5. Leaflets - a tool that has only recently begun to be used to advertise industrial products. They have a very high impact ratio (of course, if the object of influence is chosen correctly, that is, it is a potential buyer). They have the highest trading efficiency, despite the fact that they are used little. And besides, they bring good income to the company. All this indicates the need for a wider use of leaflets as a means of advertising.

Due to the low absolute cost of leaflets, increasing their use will not be difficult for the firm. The following logical chain also speaks in favor of increasing the cost of leaflets:

Increasing the budget for direct mail ® increasing the number of contacts with potential buyers ® increasing the income from flyers

First, it is necessary to increase the cost of leaflets by 25-30%, and after determining the effect and effectiveness of this event, it is possible to determine further actions.

The increase in leaflet costs will not incur additional costs if it is carried out simultaneously with a decrease in radio advertising costs.

Outdoor advertising is well remembered and referred to quite often. In the practice of the enterprise, this means of advertising was poorly used, but, despite this, the shield has already brought a good income. In addition, they have a high coefficient of influence on the buyer, therefore, with an increase in the number of contacts, the amount of income carried by outdoor advertising will increase. In addition, shields have a high trading efficiency.

Thus, it is advisable to increase the use of outdoor advertising as a means of stimulating sales. It would be especially effective to place billboards simultaneously in several parts of the city.

It would be best to use a light-box as outdoor advertising (translated from English as a luminous box). Light-box is a double-sided billboard shaped like a box that lights up from the inside at night so that you can read the message on it at any time.

The costs of making billboards and renting land for their installation can be covered by eliminating television advertising from the advertising company and reducing the cost of radio advertising.

Let's sum up the expedient changes in the use of advertising media by PKP "Agrostroy" LLC to increase the effectiveness of the advertising company:

2. Halve the use of radio advertising;

3.Increase the use of "direct mail" by 25-30%;

Conclusion

In the conclusion of the work, the following aspects can be distinguished, which generally characterize its main points.

The FOSTIS system is the use of a variety of means designed to accelerate and/or amplify the market response. The development activity of the FOSTIS program consists of several stages.

The first step is to set the objectives of the program. FOSSTYS has a multi-purpose focus. The choice of target depends on the intended target, which includes the consumer, the retailer, and the firm's own sales force. The goals of FOSTIS can also be divided into strategic, specific and one-time, depending on the scale.

The second step in developing a FOSSTIs program is to choose the means of action. FOSTIS funds are divided into 2 large groups, in accordance with the sub-functions of the system: demand generation tools and sales promotion tools.

In the theoretical part of the work, we found that the main means of influence in the stimulation complex are advertising, sales promotion and propaganda. These are mass marketing tools as opposed to personal selling methods.

Sales promotion is a variety of short-term incentives - coupons, bonuses, competitions, credits for the purchase - designed to stimulate consumer markets, the sales sector and the firm's own sales force. The experience of leading companies in industrialized countries shows that today the ability to properly build a distribution and marketing system is of paramount importance for success in the market. The logic of successful companies is based on the fact that until the products find a market, that is, a consumer, it should not be started at all. It should be firmly grasped: nothing can happen in business until something is sold. That is why building a sales network is one of the most important elements of marketing.

In the course of the practical part of the work, we studied the system of demand formation and sales promotion at the enterprise LLC PKP "Agrostroy". The company was founded in 1995 and is engaged in production and commercial activities.

To analyze the effectiveness of the means of using advertising, we conducted a sociological study. We found that television is the least effective for advertising PKP "Agrostroy" LLC, radio satisfies the tasks of the company well, the exhibition-fair is an effective means of advertising in all respects, has the best ability to influence customers, and also brings the largest income to the company, newspapers is one of the most effective means of advertising. Flyers and billboards are still not used enough at the enterprise in question, but a rather promising and low-cost form of advertising, which has already brought some profit to the company.

Sales promotion is still a little used means of promoting goods and the company does not use it effectively enough. In particular, there is no clear program to stimulate sales. The scheme of sales promotion described in the theoretical part is not used, and such important elements as the means of disseminating information about the incentive program, the consolidated budget for sales promotion, the preliminary testing of the program and the evaluation of the results of the sales promotion program are completely or partially absent.

Based on the foregoing, it can be concluded with full confidence that the use of the FOSTIS system is an indispensable condition for the formation of the foundations of respect and trust in the manufacturer or seller. LLC PKP "Agrostroy" needs to develop and improve this system in order to expand the sales market and improve the status in its field of activity.

Glossary

New concept

Exhibition

it is a periodically held market event of a certain duration, in which a significant number of companies represent the main assortment of one or more industries.

Innovation

this is the result of investing in the development of obtaining new knowledge, an innovative idea for updating the areas of people's lives (technology; products; organizational forms of existence of society, such as education, management, labor organization, service, science, informatization, etc.) and the subsequent implementation process (production) of it, with a fixed additional value.

Intensive sales

connection to the sales program of all possible sales intermediaries, regardless of the form of their activity.

Product quality

a set of properties (including a measure of utility) of products that determine its ability to satisfy certain social and personal needs.

Competition

(Late Latin concurrentia - from concurrere - to collide)

rivalry, competition of people, groups, organizations in achieving similar goals, better results in a particular public sphere.

Brand

name, term, sign, symbol, drawing or a combination of them, allowing you to highlight, identify the product of this manufacturer and seller, to distinguish it from similar products of competitors.

Marketing

it is the art and science of choosing the right target market, attracting, retaining and increasing the number of customers by creating the confidence of the buyer that he represents the highest value for the company, as well as "an orderly and purposeful process of understanding consumer problems and regulating market activity

Marketing communications

are the process of conveying information about the product to the target audience.

Management

the science of managing human relations in the process of production activities and the relationship of consumers with producers.

Planning

this is the process of development and establishment by the management of the enterprise, a system of quantitative and qualitative indicators of its development, which determines the pace, proportions, trends in the development of this enterprise, both in the current and in the future.

Production and sales plan

the main section of the technical and industrial financial plan of the enterprise; it defines the main tasks facing the industrial enterprise in the planning period.

what is advertised, what is the main content of the advertising message. The subject can be a product, service (for example, home delivery of goods), type of activity (for example, security of the enterprise), an event (for example, the anniversary of the enterprise) and the enterprise itself.

production capacity enterprises

the maximum possible annual output of products in the nomenclature established by the plan, with full use of equipment, space, taking into account the achievements of technology, the organization of production and labor, and ensuring the high quality of products.

Direct marketing, direct marketing

a type of marketing communication, which is based on direct personal communication with the recipient of the message in order to build relationships and make a profit.

Sales of products

it is its sale in order to turn goods into money and satisfy the needs of consumers.

Profitability

(from German rentabel - profitable - profitable)

indicator of economic efficiency of production. It is calculated as the ratio of profit to costs or cost of production. Comprehensively reflects the use of material, labor and financial resources and natural resources.

independent businesses made up of artists and merchants that design, prepare and advertise in customer media in an effort to find buyers for their products or services

information about the subject of advertising. For its compilation, text, image, color, light, sound, etc. are used. An advertising message can be distributed using various means and media (newspapers, magazines, product packaging).

Statistics

it is the science of organizing, collecting, presenting, analyzing and interpreting quantitative data to help make better decisions.

Pricing strategy

This is the choice by the enterprise of a strategy according to which the initial price of the product should change with maximum success for it, in the process of conquering the market.

Product distribution system v

a key link in marketing and a kind of finishing complex in all activities of the company in the creation, production and delivery of goods to the consumer.

Sales promotion

This is a type of marketing communications that denotes a set of measures to promote sales along the entire route of movement of goods - from the manufacturer through distribution channels to the consumer - in order to accelerate the sale of goods.

Mass media (media)

print - radio, television, etc., which are a means of mass communication

organization or individual who is the customer of advertising

Merchandising

a system that ensures the delivery of goods to the points of sale at exactly the right time and with the highest possible level of customer service.

Trademark

a word, name, symbol or design, as well as any combination thereof, used by product manufacturers and retailers to identify and distinguish products from similar products from other manufacturers or sold by other stores. Trademarks are subject to state registration. Their presence is associated with increased product quality.

Trade turnover

economic indicator reflecting the total cost of sales. Distinguish between wholesale and retail trade. Wholesale turnover includes the volume of sales of goods to retailers and manufacturing enterprises. Retail turnover includes the volume of sales of goods and services to the population.

Distribution channel level

this is any intermediary who performs some work to bring the product and ownership of it closer to the final buyer.

Factor

(from lat. factor - making - producing)

cause, the driving force of any process, phenomenon, which determines its nature or its individual features.

Corporate slogan (slogan)

Form style

involves a unified approach in the design of the enterprise, the use of certain color combinations and images for promotional materials, business papers, and packaging. It is formed by the use of a trademark, corporate colors, a corporate set of fonts (logo), a corporate slogan (slogan), an advertising character.

impact on potential buyers, taking into account the socio-economic structure of the target group for which this tool is designed; age of the object of advertising; the size of the coverage of the target group by the action of this advertising medium; the cost of the advertising medium; the duration and intensity of its impact.

achievement of a specific result (stimulation of sales, creation of an image for an enterprise or its trademark)

Fair

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20 Kotler, F., Armstrong, G., Saunders, D., Wong, V. Fundamentals of Marketing [Text] / Per. from English. - 2nd European Ed. - M.: Williams Publishing House, 2006.-944s.- ISBN 1-2348-5732-4

21 Kotler, F. Fundamentals of Marketing [Text] / Progress, 2006.-396s.- ISBN 1-2348-4628-4

22 Lavrov, S.N., Zlobin, S.Yu. Fundamentals of marketing industrial facilities [Text] / -M., Vneshtorgizdat, 2007.-392s.- ISBN 9-63-548962-1

23 Marketing: a textbook for universities [Text] / Ed. G.L. Bagiev. -M.: "Economics", 2006.-703s.- ISBN 2-648274-11-2

24 Meskon, M.H., Albert, M., Hedouri, F. Fundamentals of management [Text] / transl. from English-M.: Delo LTD, 2004.-264s.- ISBN 1-7825-5348-1

25 Mirzoev, R.G. Methodology of efficiency in management and marketing [Text] / Textbook. St. Petersburg, 2004.-402s.- ISBN 1-23-415279-6

26 Oksanov, Z.K. Marketing [Text] / Z.K. Oksanov. - M.: TK Welby, publishing house Prospekt, 2007.-383s.- ISBN 5-482-01353-7

27 Peshkova, E.P. Marketing analysis in the activities of the company [Text] / -M .: "Publishing house" Os-89 ", 2003.-175s.- ISBN 3-25-842596-1

28 Reisenberg, B.A. and other modern economic dictionary [Text] / -M.: INFRA-M. 2004.-158s.- ISBN 2-364857-22-5

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Appendix A

Number of times per day

Number of days continuously

Total number of times scrolled

September


Appendix B

Summary of the results of a survey of buyers of the company "Agrostroy"

Result

1. Availability of information about the company by the buyer before the need arises for the purchase of building materials,%

The information was

Information was missing.

2. Source from which the buyer learned about the existence of the company,%

your option,

From friends,

At the fair,

On the radio

In newspapers,

on shields,

in leaflets,

On TV.

5. The incentive effect that a particular type of advertising had on buyers,%

Exhibition-Fair

Leaflets

The television

Total for item 5:


Appendix V

Questionnaire sample: “Effectiveness of advertising media among buyers of the company LLC PKP “Agrostroy”

1. Name of the buyer.

2. Date of purchase.

3. Purchase volume, UAH.

4. Did you know about the existence of the company before the need to purchase building materials arose

5. Mark from which source you learned about the existence of the company:

From friends,

Your option.

At the fair

On TV

On shields

On the radio

In leaflets

In newspapers.

If you answered “Yes” to question #7, answer question #7.1.

Exhibition-Fair

The television

Leaflets


Appendix G

Summary of Potential Buyer Survey Results

Result

1. Potential buyers who pay attention to advertising, %.

Exhibitions-fairs

On shields

On TV

On the radio

In leaflets

Total for item 2, %

On TV

In newspapers, magazines

On the radio

On shields

In leaflets

Total for item 3, %

5. If there is a need to purchase building materials, they will most likely remember advertising,%

In newspapers, magazines

On shields

On TV

In leaflets

Total for item 5, %

6. If there is a need to purchase building materials, they will rather turn to advertising,%

In newspapers and magazines

On shields

On TV

In leaflets

Total for item 6, %

Appendix D

Questionnaire sample: “Effectiveness of advertising media among potential buyers of the company LLC PKP “Agrostroy”

Exhibitions-fairs

On TV

On shields

On the radio

In leaflets

3. Mark where you most often encounter ads:

In newspapers, magazines

On TV

On shields

On the radio

In leaflets?

5. If you have a need to purchase building materials, you are more likely to:

Newspapers, magazines

Television

Leaflets?

Newspapers, magazines

Television

Leaflets?

6. What is your age?