high advertising is usually linked to the following factors:

Figure 10.4 shows some of the many factors which affect sales levels and make it difficult to isolate theeffects of advertising. There is a dichotomy of factors, these being the endogenous factors operatingfrom within the individual, such as his/her attitudes, opinions etc., and those external or exogenous tothe individual, including the elements of the marketing mix, the general economic climate and culturalinfluences.

 Briefly list “the intervening factors to beconsidered before the communications mixis finalised.”

Price: The fourth factor impinging upon the promotional mix is that of price. Advertising and/or salespromotion are the dominant promotional tools for low unit value products due to the high percontact costs in personal selling. Higher value products can justify, and usually require, personalselling.


Consumer Behavior: The Psychology of Marketing

There are several factors to be considered before the formulation of a marketing strategy

Since many more firms are now spending for advertising, their individual "share of voice" - thus to a large extend their effectiveness - is falling down. Prices - in particular media - can be very high (because of inelasticity of adv spaces and high demand), so that the recession finds unprepared firms with skyrocketed adv. budget and falling sales. This, in turn, justifies the following cuts.


Description of how engineering firms operate and how …

In contrast to advertising, sales promotion is more tactical than strategic. It is usually applied to createan immediate impact, but one which is unlikely to be sustained in the longer term. Thus, marketerstend to use promotion to address short term problems such as reducing the cash burden ofoverstocked products, stimulating demand during what is traditionally the low season, selling offstocks which are becoming obsolete or are likely to spoil if they remain in storage. Sales promotionsmay be targetted at consumers, industrial buyers (e.g. crop processors or food manufacturers),channel intermediaries (e.g. traders, wholesalers or retailers) or the organisation's own sales force.