YOUR ADVERTISING'S GREAT. . .HOW'S BUSINESS?

A first-rate rundown on the state of the sales promotion art, which focuses on the nuts and bolts of non-media approaches ranging from coupons through sweepstakes. Consumer and trade promotions currently claim an estimated 60% (or $60 billion) of Corporate America's marketing budget, reports Frankel, a working pro whose account roster includes McDonald's. He attributes this balance of power to the fact that most mass-market goods and services have achieved parity with rival offerings in terms of both advertising and features. Sales promotion programs can give merchandisers an interim edge in crowded outlets, provided they plan and execute efficiently. Sales promotion is not a panacea for fundamental marketing problems, he warns; as a practical matter, any benefits--e.g., increases in traffic and/or volume--are likely to prove of short duration. Nonetheless, he reviews the key elements of successful, cost-effective campaigns, notably, attainable objectives, realistic timetables, adequate resources, top-to-bottom involvement on the part of sponsor personnel, and a capacity to analyze results. Having established this cautionary context, Frankel evaluates at some length the pros and cons of popular and practicable promotion tactics. Among other techniques, he covers couponing (at present, the most widely used), rebates, refunds, premiums, contests, sampling (recommended mainly for new products), tie-ins, continuity programs (which may require customers to save register tapes or other proofs of purchase), bonus packs, discounts, and display materials. Throughout, Frankel provides a wealth of case studies that document the risks as well as rewards of sales promotion. Although aimed at independent and in-house practitioners, his down-to-earth text is also of interest to corporate executives with marketing responsibilities--and a care for how well (or badly) their employers' money is being spent.