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- [Instructor] Welcome to
Part Two of the video lecture

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on promotion for CDAE 168.

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All of these fit into an
integrated promotion plan.

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So these are sort of the tools,

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what we were just talking about,

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tools that you can use at your disposal

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to incorporate into a plan
to work through the funnel

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and to achieve your goals.

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And so I'm going to talk
a bit about each one.

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The first step,

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and we've done a lot
of work in this already

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is who's your target?

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To whom are you directing the promotion?

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Who are you targeting?

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Is it first customers?

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Is it opinion leaders?

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Is it one of your key segments?

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Who's the audience?

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Who are you trying to reach here?

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Next you want to make an objective.

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So knowing where you want to
end up is really important.

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An objective is a clear statement

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of this is where we want to be,

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this is what we want to achieve,

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and it might be any of these three A's

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or maybe more than one, or all three,

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but something about awareness,
attitudes, and action.

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And we're going to talk in the next slide

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about SMART objectives.

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And SMART is an acronym,

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Specific, measurable,
achievable, realistic.

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I also like the term
relevant and time-bound,

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and I'll walk through each one.

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So again, SMART objectives
are these things.

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It's specific, it tells exactly
what you want to achieve.

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It's a measurable.

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There's like a numerical or
a very clear way to measure

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did I meet the this or not?

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It's a specific, measurable achievement

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that you want to measure.

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Is it achievable?

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Is it something that you can do

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with the resources that you have?

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Can you reasonably attain this?

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And often the other A is attainable.

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R it says here, realistic.
again, can you do it?

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I also like the R for relevant,

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which is, will it help you achieve

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the broader objective
and the broader mission

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of your organization?

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And finally time bound.

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When do you want this to be done?

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So here's an example of
a not SMART objective

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and a SMART objective.

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So if I really want to boost enrollment,

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I want students to enroll in my class,

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but if I would say 50% of
CDAE sophomores will apply

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for enrollment in CDAE 168
in a specific semester.

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That would be SMART because it's specific

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to what I want them to do,
enroll or apply for enrollment.

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It's measurable, 50% of all sophomores.

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It is achievable because, you know,

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hopefully people will do it.

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It's realistic or relevant,
because I want people to enroll

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because I want to teach,
because I love to teach,

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and that's my job.

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And it's time bound that
when the semester starts,

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that's when we look and see
if I've achieved my goal.

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And we'll do some practice in class

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of writing SMART objectives,

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and be assured you're going
to see SMART objectives again.

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Next is a budget.

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How much do you want to spend?

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And basically there's four main options.

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Again, these may not
be mutually exclusive,

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but it's four sort of
things you can think about.

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First, sometimes it's
simply a percent of sales.

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For every dollar I get in sales,

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I'm going to spend 5 cents
or 10 cents on promotion.

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It's a fairly straightforward,
and the number,

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but it may not pay for itself.

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Next is competitive parity.

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And we see this like Coke and Pepsi,

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that if you see a big boost by Coke,

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you can almost be assured
Pepsi is going to respond.

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So doing what your competitors are doing.

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Third is, all you can afford.

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So once the bills are paid and
you know, you made payroll,

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you've paid your vendors,
you paid your taxes.

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Hopefully you've paid yourself.

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You can think well what's left

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and let's put that towards marketing.

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But maybe the best way is to think about

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the objective and the task.

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So come up with a really good
one or more SMART objectives.

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And then what does it
take to accomplish this?

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How much money will it take

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to actually achieve this SMART
goal and do it like that?

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The next consideration
is what is the theme

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and the message of your promotion?

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So the theme should be
closely tied to your position.

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So each bit of promotion
that you should do

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should be boosting that position

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to be tied very closely,

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clearly articulating this is where we are

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in the marketplace,

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and I'm going to tell you about it.

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So if you're interested
in a product or service

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that is in this position,
we're the ones for you.

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And finally the message is, you know,

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it's really going to differ by target

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and what kind of media that you use.

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Three very common appeals,

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and you'll see these a lot in advertising,

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is sex, fear and humor.

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And we'll think about
examples of each of those

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when we discuss it in class.

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And I invite you to watch this and see

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which if any of those
three that you see here,

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of fear, sex and humor,

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are any of them in play here?

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So copy and paste this
and watch the video.

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Next you want to circle back

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and see did I meet the objective?

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So you think about since it's
measurable and time bound,

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you go to that time and
you see, did we make it?

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Here's a whole bunch of ways
that you can think about

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whether we met our objective or not.

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The actual measure can be rather tricky.

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So we want to think about
ROI or returns on investment.

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So marketing expenditure is an investment,

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and we, if possible,

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want to think about a cost benefit ratio

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for some measurable benefits.

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So thinking back, you know,
for sales or for new customers,

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or for folks who've stopped by our store

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or whatever the objective is,

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what was the cost per
sort of successful event

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and calculating that ratio can be helpful.

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And again, we can think of
terms of know, like, and trust.

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What does it cost to
achieve each of these steps

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down the funnel?

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So here are some clear metrics of success.

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Sales revenue, new orders, new customers,

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some kind of action
taken, entering the store,

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clicking on an ad, liking
your Facebook page,

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joining an email, purchasing,
download a coupon,

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or it could be so those are
all like clearly measurable

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outcomes with clear numbers
that you can measure,

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but you also may want
measure brand awareness,

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which is a little bit more nebulous.

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So here's some tools that you can use

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to measure brand awareness.

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You can do an online survey or interview

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and ask about, did they see an ad?

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When you say name a
business or an organization

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that does this, do you come to mind?

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You can try to measure favorability.

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Do they sort of remember your
tagline or know your logo?

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And you can ask them whether
or not they intend to purchase.

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So here are ideas that you can use.

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So you can use different promotion codes.

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So I know like sometimes I like to listen

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to sports talk radio, and
they may doing an ad for,

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and I'm just thinking out
loud here, 1-800-FLOWERS,

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which is an online, like
send flowers to your wife,

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your mother, you know,
et cetera, or whomever.

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And it's like mentioned,
put the words, Mike and Mike

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for the ESPN radio show

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has a promo code and you'll
get some percentage off.

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So that lets them know that
whoever entered that code

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heard about this on the
Mike and Mike radio show.

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In the same way you can
offer different URLs.

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You can use the hurdle
model of mention this ad

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and you'll get a thing off.

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And then you know that they saw that ad,

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or different coupons.

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So you might send one style
to one geographic area

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and another to another,

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put one in one newspaper, one in another,

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when they redeem them, then
you know where they came from

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and what newspaper or
what medium they used.

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It's really important, especially
if you have a storefront,

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especially if you're new
or people coming to you,

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how did you learn about us?

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It's really important.

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It's a really simple question,

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but it can be really important.

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And we'll think about
other ideas as we go.

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So again, here are SMART objectives.

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Make sure your objectives are smart,

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and we will do an exercise in class

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where you come up with one or more

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because I want you to be able to.

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So this is what we did and
we will discuss it in class.

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Here is your homework.

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That is the end of part two.

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That is the end of this video lecture.

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So make sure that you do
the assessment before class.

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Thank you.