Top 5 Important Determinants of Promotion Mix (Explained)

Most promotional campaigns comprise a combination of two or more promotional methods, to accomplish promotion and marketing objectives. Personal selling is the only method which can go for effective sales without the other promotion support. But it is a very expensive one.

Determinants of Promotion Mix
Determinants of Promotion Mix

Non-personal methods, advertising, for example, usually need the support of personal selling for effective selling of the product.

When a firm uses more than one promotional method for one product constitute the promotion mix for the product. It is a difficult task for the marketing manager in determining the optimum promotion mix.

Related: Product Mix: Concept, Elements, Strategies, Dimensions.

There is no ideal promotion mix that may fit in all situations. It depends largely on Institution and judgement.

Determinants of Promotion Mix

However, the marketing manager must take the following determinants into consideration at the time of formulating his promotion mix.

  1. Nature of the product and its life cycle stages.
  2. Nature of the market.
  3. Nature of the competitor.
  4. Nature of the customer.
  5. Availability of budget.

1. Nature of the Product and its Life Cycle Stages

Promotion mix depends upon the nature of the product. Products of highly Complex and Technical in nature are more dependent upon personal selling.

For example, the selling of industrial goods like plant and heavy machinery requires the service of a salesman who can provide technical information. These items also require after-sale services also.

Tough The Other promotional methods like advertising and publicity may also play the role but just to provide General information.

Related: 18 Reasons and the Importance of Product Innovation (Explained).

Whereas the promotion mix of consumer goods depends upon its types. Convenience goods are the low priced goods and are not subject to change in fashion.

Therefore, it requires a heavy emphasis on advertising and display. The consumer does not require prior knowledge about the shopping goods and therefore the main emphasis on personal selling backup by advertising.

Whereas consumer processes full knowledge about the speciality goods before purchasing. These type of products require special emphasis on advertising.

The degree to which the marketeer’s product is differentiated from competitors product also affects the promotional mix.

Related: What is Marketing Mix? 4 Ps of Marketing Mix (Explained).

Promotion mix also undergoes a change depending on what stage the product is passing through. In the introduction stage, the product is unknown to the consumer and therefore, advertising can play an important role in stimulating primary demand.

factors affecting marketing communication mix
factors affecting the marketing communication mix

But it is not sufficient to satisfy the consumer and in addition to advertising, more Emphasis will be placed on personal selling, trade shows and demonstrations, publicity, exhibitions, etc. In the growth, stage product is known to the consumers.

The consumer known theses and its features as compared to a competitors product. Advertising plays an important role in promoting selective demand as well as to keep them away from the competitors brand.

As the product reaches in the maturity and saturation stage, maintaining brand loyalty and creating brand preference becomes more important.

Related: 13 Types of Wholesalers in Marketing (Explained).

Here also advertising and sales promotion become the key components of the promotions mix. In the decline stage of the product, promotional efforts reduce unless the product has still a chance of survival.

2. Nature of the Market

Market characteristics influence the marketing mix relating to the product.

A firm operating in a smaller or local market, more Emphasis should be personal selling.

If the firm deals with the national or regional market then it has to depend upon advertisings and sale promotion promotional activities.

Related: 14 Factors Affecting Economic Environment of business.

3. Nature of the Competitor

Promotion mix more or less depends upon the competitive situations prevailing in the market.

Most of the firms promote their products by using their promotional methods not employed by their competitors.

4. Nature of the Consumer

Demographic, Geography can psychographic factors determine the promotional mix and appropriate for selling the product.

The promotion mix decision is significantly related to the age, sex, income, place of residence and behaviour of the consumers.

A marketer may take the help of advertising, trade shows, publicity and catalogues for the potential customers who take a lot of initiative in buying a product.

Where customers take little or not initiatives, the firm’s more emphasis on personal selling to influence and persuade the customers.

Related: 20 Importance of The Study of Business Environment.

5. Availability of Budget

Promotion mix and promotion efficiency much more depending upon the size of the promotion budget.

Personal selling is the most expensive method of promotion. Gift discounts, free gifts, free samples also cost high.

Related: 12 Methods to Correct Disequilibrium in Balance of Payments (Step-by-Step).

The cost of advertising in the newspaper and magazine depends upon its coverage. Firms with the small promotional budget have to depend upon local newspapers outdoor ads, Wall writings, and less sophisticated methods. Know: marketing communication mix.

Marketing management must combine various methods promotion in such a way to so he may utilise the funds allocated most efficiently.

Thus, now you know the determinants of promotion mix.

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