The fast-catching trend in the industry today is that of ‘Promotional Licensing’. Brands in the FMCG sector, personal care, and food associate themselves with favourite characters to create short-term tactical campaigns to help them create more awareness about their products and to increase the selling usage.
In a layman’s term, it is a marketing agreement between a manufacturer and a character (be it celebrity or cartoon) to use his or her image in promoting a product.
To make you understand, here is a quick example:
Suppose, XYZ Foods had a licensing agreement with Warner Bros. characters – Scooby-Doo and team. The company is planning to launch their new Chinese flavoured chips. As per the association, customers will get an interesting collectible (be it small figures, cards or tattoos) with the packet purchased.
Companies such as McDonald, Kinder joy used this strategy to lure kids and attract customers.
In other words, the company is selling their products (be it biscuits, burgers, health drinks) giving a character branded free that will surely make the customers buy more products.
In public places such as a mall, a multiplex, or a retail chain, companies constantly thinking of new ideas that can help you pull crowds in your property. The best way to promote your product is to organize a licensed event (product showcase or character meet and greet) to gain more footfall.
The Smiley Company has entered into promotional deals with Mondelez International in Asia and Unilever in France. In association with Mondelez, Smiley has released on-pack and in-pack promotions on Cadbury’s Lickables and Gems candy products in India and Bangladesh.
Customers can choose from 16 exciting mini Smiley toys. The toys include fidget spinners, phone stands, puzzles, mazes and stamps among others. In addition, the Cadbury products will come with a Smiley-branded packaging.
However, if you deliver your message in many different ways, you increase your odds of reaching your target market. You may want to communicate a range of messages to different markets.
Without the proper promotional mix, you may waste your limited resources by taking a disorganized approach.
A promotional mix is an allocation of resources among five primary elements: Advertising, Public relations or publicity, Sales promotion, Direct marketing, and Personal selling.
How to establish the right promotional mix:
Determining the target sector: The segment of people that needs, or would benefit from, your product or service is your target market.
Designing the message: The design of your communication incorporates two main factors: content and format.
Carefully select your promotional channels: Weighing the pros and cons of all the promotional methods (be it advertising, billboards or broadcast) gives it a success.