Technology in measuring

Promotional Performance

Presented By:
Abhishek Rawat
Aruna Chatterji
Deepshikha Sharma
Parminder Singh
 Promotion
• Promotion is one of the four elements of marketing mix
(product, price, promotion, place)
• It is the communication link between sellers and buyers for the
purpose of influencing, informing, or persuading a potential
buyer's purchasing decision

There are seven main aspects of a promotional mix

• Advertising
• Personal Selling
• Sales promotion
• Public Relation
• Corporate image
• Direct Marketing
• Exhibitions
• Sponsorship is sometimes added as an eighth aspect.
Need to measure Promotional
Performance
• Increasing competition increases the
Promotional Activities

• With increasing promotion budgets, managers

are becoming more concerned about measuring
the effectiveness of the various promotional
methods used by the company

• For future perspective

 Measuring promotional Performance
• The effectiveness of any promotional activity can be
calculated by measuring the sales generated by the
promotion.

• The advertising effectiveness is measured in terms of

recognition, recall, and purchase behavior.

• The effectiveness of sales promotions is measured in

terms of new customers acquired, repeat purchases and
attitude changes.
Some of the commonly used methods are
• Mail surveys
• Day-after-recall
• Theater test
• coupon simulated purchasing
• Portfolio test etc.
Wipro-Promotional Activities
• It re-launched its corporate image by launching a new logo-
Rainbow flower.
• Logo represents diversified business.
• Wipro is in the fields of software, consulting services, consumer
care , healthcare , lightning etc..
• Spent heavily on advertising the new logo.
Wipro-Measuring Promotional
effectiveness
• Hired services of ORG MARG ,a market
research agency to conduct surveys in major
cities.
• Findings of agency were that people associated
wipro with the logo
• Customer recognized it as pioneer company.
• The logo had tagline “Applying thought”
• The tagline also became famous for intellectual
and enthusiastic appeal.
Promotional Activities followed Apart
From Those Mentioned In Case
• Airport Business Lounge: Wipro tied up with British Airways and
Delta to run interactive promotions like the Magic Box Challenge .

• Promotion in star hotels (Leela Palace):Introduced Wipro

along with a small gift.

• Cab Promotion: Wipro decided to run a promotion by leaving the

Magic Box puzzle along with an “innovation kit” inside the cab. The
innovation kit kept the audience engaged, conveying the Wipro message to
the customers in a subtle way.
• Applied Innovation Awards: Wipro launched the Global Applied
Innovation Awards for Business Excellence, recognizing organizations that innovated
collaboratively with a sourcing partner.

• Academia:
 Wipro set up the Wipro Council for Industry Research comprising of domain experts
from within the organization who partnered with leading universities globally like
Harvard and LBS to run joint thought leadership series comprising of research studies,
the findings of which were presented to the communities at Wipro’s customer forums.

• Applied Innovation Council:

 Wipro also launched the Applied Innovation Council comprising of Wipro customers,
industry experts, analysts and thought leaders
 Analyze industry trends and work on collaborative innovative solutions to address new
consumers, markets and business challenges.

• Internal innovation awards

Some More Companies Mentioned

• Companies have began to use promotional elements

that help them to measure the effectiveness of there
campaigns.
• General Motors invested in direct and online
advertising.
• It is easier to measure effectiveness online.
• Procter and gamble used market research firm to
study media habits.
• Procter and gamble scanned purchases of groceries
P&G-Measuring
Promotional effectiveness
• Procter & Gamble, one of the largest consumer
products companies in the world, undertook market
research before launching its own product in this
category, and used the research to make decisions
about the marketing mix as well as its marketing
strategy and tactics.
• Use celebrities to endorse there product.
• It used qualitative research tools such as focus
groups, in-house visits, in-context visit
• It used quantitative research tools like blind test and
concept test
• An 8 month long promotional campaign was launched
in print and electronic media.

• In this consumer visited newly made website.

• E-Mail was also sent to consumer who might want

latest information.

• Used feedback adviser program on internet to

collaborate with customers on new product
 DHL
• Its international network links more than 220 countries and
territories worldwide.

• Released an ad campaign to focus on the Asia-Pacific region

Tagline ‘No one knows Asia-Pacific like we do’

• Ad campaign highlighted DHL’s-

Reach(network)
Greater understanding of local market
• To measure effectiveness of campaign, it launched online
contest called ‘DHL Drive Game’

Eligibility- customers sending shipment between May 10th

to July 31st ,2004.
Online virtual game- They had to maneuver a DHL van &
pick up as many DHL cartons as possible in 30 secs.
Top 50 scorers were declared winners.

• Contest helped measure the impact of the promotional

campaign in the customers’ mind & its ability to generate
greater brand recall.
 XEROX CORP.
To measure the effectiveness of its marketing activities
used Lean Six Sigma.

• Lean Six sigma- Rigorous, data driven, results-oriented

approach to process improvement. Every step in process is
defined, measured and analyzed for the value it produces.
LEAN – Speed + Low cost
Six Sigma- Culture + quality
• Objective- To increase product leads through company
website in the form of customer enquiries without
increasing the media spend.

• It helped Xerox by-

Simplify the registration process for customers
Measure response level of customers

• In 2004, Xerox achieved 28% increase in its leads by

applying Lean Six Sigma.
Jonathan Opdyke (Global web strategy manager) said that “
Six Sigma created the ability to have a consistent discipline
and a process for continuous improvement, as well as
better tracking , accountability and easier replication.”
Today, top executives are fed up with investing
huge sums of money in advertising their
products via TV, newspapers, outdoor media
and other channels, due to ineffective marketing
measurement techniques and rising costs of
production. What do you think the marketers
need to do to support their claims in front of the
top management to get their advertising
budgets approved?
• What specific, measurable goals have been
decided
• eg.
– Generate and close maximum leads
– Identifying the total reach
– Focusing on potential customers
• What additional goals can be fulfilled
– Helps in branding
– PR
• What’s the ROI
– Calculation can be difficult
– But a rough estimate can help in approving
• Prove that it’s the most cost effective way
– They need to think that the money is going out of
their own pocket