1.3.2 Branding And Promotion Flashcards
Types of promotion
- Digital communications
- Sponsorship
- Public relations
- Advertising
- Direct marketing
- Sales promotions
- Personal selling
- Advertising + adv + disadv
- advertising is promotion through paid channel such as television, radio, print media, and online advertising
Advantages:
- It can reach large audiences and increase brand awareness
- Can also be used to create a specific brand image or message
Disadvantages:
- Can be expensive
- The effectiveness of advertising can be difficult to measure
- Many customers tune out or ignore ads
- Direct marketing
- communicating directly with customers through email, text message, social media or post
Advantages:
- Businesses can target specific audiences and personalise their message to individual customers
- Direct marketing is also measurable which enables businesses to track their results and adjust their strategy accordingly
Disadvantages:
- Can be intrusive as customers may perceive as spam
- Can also be costly, especially if businesses do not have an established customer database or need to purchase leads
- Sales promotions
- techniques that encourage the purchase of a product by offering temporary incentives or discounts such as free samples buy one get one free discount coupons, loyalty cards and rebates
Advantages:
- Can quickly boost sales or customer engagement
- Can help to clear out stock or promote a new product
- Can encourage impulse purchases
- Can be targeted to specific segments of customers
Disadvantages:
- Can be expensive, especially if the promotion requires a heavy discounting
- Can attract seeking customers who may not be loyal to the brand
- May reduce the sales of the full-priced products
- Personal selling
- because when a sales person interacts with potential customers one on one either in person or through digital communication channels
Advantages:
- Allows businesses to build relationships with their customers and understand their specific needs
- Enables businesses to provide personalised advice and guidance to customers
Disadvantages:
- Can be expensive due to the cost of hiring and training sales staff
- The impact of personal selling can be limited as it is difficult to scale to large audiences
- Sponsorship
- An agreement where a company provides financial or other support to an event team or organisation in exchange for marketing exposure
Advantages:
- Can help to build brand awareness and credibility
- Can create emotional connections with target audiences
- Can support specific business objectives such as entering new markets or reaching new customers
Disadvantages:
- Can be expensive, especially for high profile events or properties
- May not directly drive sales and may be subject to negative publicity if the sponsored entity experiences a scandal or controversy
- Public relations (PR)
- building relationships with the public and managing reputation and their activities can include media relations, crisis management and community outreach
Advantages:
- Can enhance a businesses reputation credibility which can lead to increased customer loyalty and sales
- Can be cost-effective and compared to advertising or personal selling
Disadvantages:
- PR can be time-consuming and it’s difficult to measure the direct impact of PR activities on the profits of a business
- Digital communications
- Any form of marketing or communication that is delivered electronically such as social media search engine optimisation on mobile app such as Instagram or Twitter. It can be used for building brand awareness, generating leads, or driving sales
Advantages:
- Can be highly targeted to specific customer segments and can provide real time engagement and feedback from customers
Disadvantages:
- Can be easily ignored or filtered out by customers
- May require significant investment in technology or data infrastructure
- Maybe subject to data privacy regulations or security breaches
- May not be effective for reaching older or less digitally savvy customer segments
Types of branding
Branding is the process of creating a unique and identifiable name, design, symbol, or other feature that differentiate a product or company from its competitors
- Product branding
- Own brand product
- Manufacturer/corporate branding
Manufacturer/corporate branding
- Refers to the use of a company name or logo to promote all the products or services offered by the company which is used by company like nestle, Nike, and Apple
Advantages:
- Create a strong brand recognition and reputation for the company, which can increase customer loyalty and trust
- Allows the company to leverage its existing reputation and customer base to introduce new products more easily
- Helps build economies of scale by promoting multiple products on the one brand which can reduce marketing costs and increase profitability
Disadvantages:
- If a companies reputation is damaged by product it can have a negative impact on all the products offered under that brand
- If the company faces in intent competition in one market it may affect the sales of all the products offered across other markets
Product branding
- this refers to the use of unique name design or symbol to promote a specific product, including Kit Kat, Coca-Cola, and a McDonald’s big Mac
Advantages:
- Create a distinct identity for the product which can help to differentiate it from competitors and increase brand loyalty
- Allows the company to market different products to different segments of the market e.g. Coca-Cola and Coke zero
- Can help to build customer loyalty and trust by associate in the product with a specific quality and benefits
Disadvantages:
- The cost of creating a new brand for each product can be expensive
- Introducing new products on a different brand is difficult as the business must build a new brand for each product from scratch
- Different products within the brand may have different level levels of quality which can affect customer satisfaction
Own brand product
- And brand or private label branding refers to the use of the retailers name to produce a specific product or service e.g. Asda chocolate, Tesco’s finest range, and Sainsbury’s basics range
Advantages:
- Can help retailers differentiate themselves from their competitors by offering unique products
- It allows retailers to offer products at a lower cost than branded products which can help to increase sales and profitability
- It can help to build customer loyalty by offering exclusive products that are not available elsewhere
Disadvantages:
- Own brand products may have a lower perceived quality than branded products which can affect customer loyalty and trust
The benefits of branding
Added value:
- Strong branding can add value to a product by creating a perception of quality, reliability, and trust
Ability to charge premium prices:
- Customers may be willing to pay more for a product that is associated with a well established brand and may perceive products with strong branding to be a higher quality and therefore worth the extra cost
Reduced price elasticity of demand:
- Strong browning can also reduce the price elasticity of demand for a product meaning customers are less sensitive to price changes because customers who are loyal to a brand are more likely to continue purchasing the product even if the price increases
Ways to build a brand: USP
- USPS of the features that make a product/service stand out from its competitors
- Brands can build their reputation by emphasising these unique qualities in their marketing efforts
Ways to build a brand: advertising
- Brands can create compelling ads that resonate with their target audience, raise brand awareness, and communicate their value proposition
- With the right advertising strategy, brands create a strong emotional connection with their audience and inspire brand loyalty
Ways to build a brand: sponsorship
- Partnering with events, organisations, or individuals can help brands gain exposure and build their reputation by aligning themselves with positive associations or values
Ways to build a brand: social media
- With the right social media strategy: Brown can build a loyal following and create a community around their brand
Changes in branding promotion to reflect social trends
Viral marketing:
- A strategy where businesses use online platforms to promote their products by creating content at specific times, which can easily be shared and commented on
Social media:
- And social media platforms evolve, businesses must also adapt their social media strategies to keep up with the latest trends
Emotional branding:
-Emotional branding is a strategy where companies build strong emotional connections with their customers by appealing to their values, beliefs, and emotions
