NON-LINEAR PRICING

-Nonlinear pricing is a pricing strategy where the price of a product or service is not proportional to
the quantity of the product or service purchased. This means that the price of a product or service can
vary significantly based on factors such as demand, production costs, and availability.

CHANGES IN CHA-CHING

-A smart company doesn't just set a brand's price and forget about it. There are a number of reasons
to think about changing prices, including the product life cycle, coupons, and price discounts.

•Pricing and the Product Life Cycle

•Price Fluctuations

•Coupons

•Competitive Strategy and Game Theory

•Auctions

CHANNEL OF DISTRIBUTION

WHAT ARE THE DISTRIBUTION CHANNELS AND WHY DO USE THEM

WHAT IS SMART DISTRIBUTION SYSTEM(INTENSIVE)

A SMART DISTRIBUTION SYSTEM INTENSIVE REFERS TO AN ADVANCED AND HIGHLY OPTIMIZED

DISTRIBUTION SYSTEM THAT LEVERAGES INTELLIGENT TECHNOLOGIES AND INTENSIVE DATA DRIVEN
PROCESSES.

* DATA DRIVEN DECISION MAKING

* AUTOMATION AND ROBOTICS
AND ETC.

OVER ALL A SMART DISTRIBUTION SYSTEM INTENSIVE IS CHARACTERIZED BY ITS STRATEGIC

INTEGRATION OF CUTTING EDGE TECHNOLOGIES AND A COMMITMENT TO MAXIMIZING EFFICIENCY,
RESPONSIVENESS, AND CUSTOMER SATISFACTION THROUGH OUT THE DISTRIBUTION PROCESS.

WHAT IS SMART DISTRIBUTION SYSTEM (SELECTIVE)

EXAMPLES OF SELECTIVE
*FAULT ISOLATION
*LOAD SHEDDING
*VOLTAGE REGULATIONS
*FEEDER RECONFIGURATION
*DISTRIBUTED ENERGY RESOURCE
ETC.

POWER AND CONFLICT IN CHANNEL RELATIONSHIPS

REVENUE SHARING
INTEGRATION
RETAILING
FRANCHISING

*E – COMMERCE
*CATALOG SALES
*SALES FORCE
* INTEGRATED MARKETING CHANNEL

ADVERTISING MESSAGES AND MARKETING COMMUNICATIONS

WHAT IS ADVERTISING?

Advertising is the primary means by which a company communicates with its customers about its
products, brands, and position in the marketplace. Product, price, and place also signal a brand's
positioning, and certainly all these signals need to tell coherent story. if ads claim that a brand is an
exclusive, premium brand, the product needs to be of high quality, priced.
WHY IS ADVERTISING IMPORTANT?

Advertising is a powerful tool that can help you attract customers, inform them about your products and
build customer trust. Advertising facilitates customer's awareness. Advertising attempts to persuade
potential customers that the featured brand is superior to competitors market offerings. A company
expresses its brand positioning by emphasizing a feature or benefit that makes it seem better than any
other options. Advertising has both short-term and long-term goals. Short-term goals are usually
focused on generating immediate results, such as leads, sales, or conversions. Long-term goals are more
strategic and aim to build brand awareness, loyalty, or authority.

WHAT MARKETING GOALS ARE SOUGHT FROM ADVERTISING CAMPAIGNS?

Advertising can be used to address many goals. One popular model of goals is called AIDA Attention,
Interest, Desire, Action. The flow goes like this: We first get the ad recipients attention, then pique their
interest, see if you can get them to be attracted to the brand, and then induce a purchase or intention
to purchase. Other advertisers have other models: Some describe the flow of the ad recipient from a
level of awareness to greater knowledge, to more liking and preference, to a sense of brand conviction,
and then to purchasing. Another variant goes from awareness to interest to brand evaluation, to trial
and adoption. Another model describes the process as one going from an ad exposure to receiving the
message to a cognitive response to a change in attitude to intention to buy and finally to the behavior of
buying. It is currently fashionable to go still further and add levels such as brand affinity, attachment,
connection, ambassador, zealot, etc.

Choose whatever model that suits you, but, as depicted in Figure 11.1, these goals largely fall into one of
three camps:

1. Cognition: Increasing awareness and knowledge about our brand.

2. Affect: Enhancing attitudes and positive associations about our brand.

3. Behavior: Ultimately encouraging more buying of our brand.

DESIGNING ADVERTISING MESSAGES TO MEET MARKETING AND CORPORATE GOALS

Advertising is a means of communication. A company says to its potential customers, "Buy our stuff!"
"We have a new service!" "Look at our low, low prices!" "We're better than the competition!" As a
result, marketers must understand the basic model of dyadic communication. In classic model, there is a
source, a message, and a receiver. The source intends to send out certain information, which is encoded
and transmitted. Hopefully, the receiver interprets the content of the message in a manner similar to
what the sender had intended.

M&M's

If marketing is said to be the 4Ps, here are the 6Ms of advertising:

1. What is the Market being addressed?

2. What is your Mission: the objectives of the advertising campaign?

3. What is your Message to be communicated?

4. How much Money will be spent?

5. What Media choices will be implemented?

6. How will the effectiveness of the campaign be Measured?

Cognitive Ads

A cognitive, or rational appeal engages the consumer's brain. The ad gives the consumer a reason to by
a product that is practical or functional. It's a utilitarian (as opposed to hedonic) appeal. The ads tend to
be informative, featuring the product attributes and their benefits.

EMOTIONAL ADS

Another type of ad that elicits emotions uses humor. Ad execs count on humorous ads to break through
the noisy media clutter. Humorous ads are popular because they're fun, and they win a lot of awards in
the advertising industry because they're seen as clever. Unfortunately humorous ads are not all that
effective. Part of the problem is that people can remember the joke, but they don't necessarily
remember the brand being advertised. In addition, not everyone has the same sense of humor, and it is
easy to insult some people with an ad that other people think is funny.
Image Ads

When advertisers talk about emotional appeals, they often mean that the ad conveys an image. The ad
message is more abstract than a list of features and attributes Usually these are feel-good portrayals
Use this brand, and you'll be more attractive "Buy this, and you'll be able to emulate this cool person's
lifestyle.

Endorsements

Endorsements are ads that feature a spokesperson on behalf of the brand. These ads can feature
celebrities or experts or even seemingly regular people offering testimonials as satisfied past customers.

When a celebrity is used to endorse a product, the hope is that the positive associations attached to the
celebrity would transfer to the brand. This is literally known as affect transfer or association transfer.