Marketing communication: principles and practice


S O C I A L C O M M U N I C A T O R



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73 Marketing communication principles and practice Richard J Varey

S O C I A L C O M M U N I C A T O R
143
Table 7.10
Illustrative budget allocation by type of goods
Advertising
Publicity
Sales promotion
Personal selling
Consumer: low 
50%
10%
25%
15%
value – 
chocolate bar
Consumer: high 
35%
10%
25%
30%
value – car
Industrial: low 
20%
10%
25%
25%
value – office 
supplies
Industrial: high 
10%
10%
25%
55%
value – machinery


S O C I A L C O M M U N I C A T O R
144
Table 7.11
Relative suitability of communication means
Advantages
a
Disadvantages
Generative activities
Market research
Fosters interaction with 
May produce minor product
consumers and buyers. 
changes in competition 
Generates new ideas
with other offerings
New product development
Can involve customers. 
Develops productive capacity
May result in product 
of the provider. Can lead to 
proliferation. Can be risky 
differentiated offerings
for first provider of 
innovative product
Representative activities
Advertising
Simultaneous communication 
Simultaneous 
with many people – 
communication with many 
multiplicity of media channels
people. Media are 
allows greater precision in 
expensive, especially 
targeting
broadcast TV
Publicity
Low cost, relative to 
Diffuse and indirect
advertising. Can be received 
credibly
Sales promotion
Boosts short-term sales 
Erodes profits and
performance
undermines brand value 
through lowered price
Personal selling
Complex co-constructions of 
Expensive, although 
problem definition and 
telesales (rather less 
solution can be negotiated in 
personal) is increasingly 
direct interaction, with 
used
personal commitment
Demonstration/exhibition
Tangibilizes (makes tangible) 
Attendees may not be 
the product benefits
prepared to purchase. Can 
be costly
Direct mail
With detailed and accurate 
Some people see it as 
databases, advertising is 
intrusive
unnecessary
Sponsorship
Promotes the interests of the 
Can be expensive, with no 
provider by associating with 
direct measurable payback.
an event or cause
May backfire if the event or 
cause comes under 
criticism



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