Posted in Marketing and Strategy Terms, Total Reads: 359
Definition: Promotional Policy
Promotional Policy covers all the aspects and areas of any promotional activity or strategy used while promoting a product/service or brand. It is a common mistake to equate promotional policy with advertising. Although advertising is major part of promotion but there are various other facets of a promotional policy. A few of the other important elements of a promotional policy are consumer promotions, public relations and it can include any other area which spreads the word about the item and increases awareness.
Promotional policy is concerned with developing the over-all promotional campaign which involves consumer promotion, public relations and alike activities. It has to strike out a balance between various promotional activities and also ensure that all the activities are in synchronization with each other. It is very important to deliver a uniform message via all the promotion channels so that it is an integrated marketing communication. Promotional policy also decided which type of promotion activity is to be performed. There various factors like target group, target market, the product/brand itself etc. which determine which type of promotion will be the most effective. Depending on these factor some time Above the line (ATL) activities are used and sometimes Below the line (BTL) activities are employed. The promotional policy also formulates the promotion strategy.
The promotional strategies can be broadly classified into three types –
1) Push strategy – It is a sales oriented strategy where sales promotions are used.
2) Pull strategy – It is a marketing oriented strategy focusses on advertising and increasing awareness
3) Combination of the two - It is a mixture of both push and pull strategy