Promotion is defined as the communication with the public in an attempt to influence them toward buying a product or services. Promotion is the broader, all inclusive term. Promotion, as a general term, includes all the ways available to deliver a clear, consistent and compelling message about the organization and its brands. Promotion has four distinct elements: advertising, public relations, personal selling and sales promotion. LG will enter new product market with very attractive strategy. They are already investing very high amount in promotion i.e approximately 6-7 % of their revenue. Total budget of LG for promotional activities is approximately Rs. 300,000,000. Usually the sales promotion budget and their allocation are described by LG Korea. Advertising
Approximately 80 % of the promotion budget will be used for the advertisement of the product. LG keep on advertise their product base on three sector such as electronic media20%, outdoor media20% and print media40%. LG’s advertising strategies is always working very effectively. For example, LG advertised their promotional items through advertisements on televisions and radios. It highlighted that effective advertising and promotion strategies have contributed to their targeted market. The advertising and promotion strategy that LG practices describes how they manage to be more innovative as vision of becoming a true global digital leader and how they analyze their company’s weaknesses and strengths.
On promotion, LG spending is more on consumer incentive schemes. Since it pay them and there is direct relationship between sales and consumer. Further, it gives customer a direct benefit in shape of price reduction. For example,The LG Bonus Offer Consumer Promotion is a Bonus redemption offer whereby customers who purchase and take delivery of a participating LG product during the Promotional Period may for just an extra $14.95 (incl GST) get bonus product...