8-1 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Use Of Advertising Opportunities & Problems Physical Distribution Channels Of Distribution Functions Of Intermediaries Creative Selling Process Chapter Promoting & Distributing 8-2 Advertising “…informs customers of the availability, desirability, and uses of products.” 8-3 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Types Of Advertising Product PhotoLink/Getty Images Institutional Royalty-Free/CORBIS 8-4 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Developing Advertising Program Budget Media What/How To Say It Agency Expected Results 8-5 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Advertising Budget 1) Percentage Of Sales/Profits 2) Units Of Sales 3) Objective- Immediate Response 4) Executive Decision PhotoLink/Getty Images 8-6 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Media Selection Newspaper Signage Direct Mail Circulars/Handbills Yellow Pages Radio Television Online PhotoDisc/Getty Images Chad Baker/Getty Images 8-7 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Why People Don’t Shop Online Isn’t secure Jeopardize Privacy Must Pay Shipping Charges Not Enough Selection Can’t Touch/Try First No Satisfaction Guarantee Returns A Hassle Won’t Arrive On Time Hard To Find Things Enjoy Shopping Out Of House 8-8 Source: blink, www.earthlink.net/blink McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Necessary Website Features Source: “Dreaming of a Green Christmas”, Newsweek, November 11, 2002, p E24 8-9 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Infomercial “…long, usually halfhour TV ads hosted by a hyper ‘sellevangelist’ selling a relatively new product or service.” 8-10 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Global Marketing: Opportunities/Challenges Expansion/Diversification Effective Use Lower Labor Cost Natural Resources Return On Investment Tax Advantages Demand For U.S Products Receiving Country Benefits PhotoDisc/Getty Images 8-16 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Global Marketing: Problems/Risks Loss Of Assets/Earnings Changing Political System Exchange Rates Difficulty In Getting Earnings State-Subsidized Competition Unskilled Labor Communication/Coordination Cultural Differences Copyright/Patent Violations Jason Reed/Getty Images 8-17 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Export Or Not? Product Suitable Satisfy Foreign & Domestic Demand Competitive Prices/Terms Devote Time/Skills Nick Koudis/Getty Images 8-18 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Levels & Risks Of Internationalization 8-19 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Exporting Assistance Forms Information/Guidance Financial Assistance C Sherburne/PhotoLink/Getty Small Business Administration SCORE ACE U.S Department Of Commerce 8-20 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Distribution “…involves the effective movement of a product from the production line to the final consumer.” 8-21 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Distribution Activities Storing Order Processing Transportation Speed Frequency Dependability Points Served Capability Cost StockTrek/Getty Images 8-22 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Distribution Channel Considerations 1) Geographical Market & 2) Consumer Types Intensive, Selected, Exclusive Outlets Producer’s Marketing Effort Feedback Incentives For Resellers Andre Kudyusov/Getty Images 3) 4) 5) 8-23 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Distribution Channels: Consumer 8-24 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Distribution Channels: Industrial 8-25 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Intermediaries Brokers Agents Wholesalers Retailers Ryan McVay/Getty Ima 8-26 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Retailing Trends Off-Price Self-Service Fast Food ATMs Television Shopping Internet Jason Reed/Ryan McVay/Getty Images 8-27 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Creative Selling Process 8-28 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Mental Attributes Of Creative Salesperson Judgment Tact Positive Attitude Royalty-Free/CORBIS 8-29 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese Physical Attributes Of Creative Salesperson 8-30 McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc All rights rese ... Exporting Assistance Forms Information/Guidance Financial Assistance C Sherburne/PhotoLink/Getty Small Business Administration SCORE ACE U.S Department Of Commerce 8-20 McGraw-Hill/Irwin © 2006 The... The McGraw-Hill Companies, Inc All rights rese Infomercial “…long, usually halfhour TV ads hosted by a hyper ‘sellevangelist’ selling a relatively new product or service.” 8-10 McGraw-Hill/Irwin