Consider different communications approaches used for two razor companies: Harry’s and Wilkinson. Using a subscription-based distribution channel, Harry’s allocates its communications investment money in a different way to the retail-store distribution by Wilkinson. Harry’s distributes its communications investment among the following promotion tools: 75% is budgeted for advertising. 5% on sales promotion, 5% on personal selling, 10% on direct marketing and 5% on publicity. Whereas Wilkinson distributes its communications investment as follows: 20% is budgeted for advertising. 50% on sales promotion, 10% on personal selling, 20% on direct marketing and 10% on publicity. What are the advantages and disadvantages of the communications mix used by each company? What factors may have driven the spend allocation decisions for Harry’s and Wilkinson for each of the five communications tools used?
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