-branding/promotion- Flashcards
What is a brand?
A product that is easily distinguished from other products so that it can be easily communicated and effectively marketed.
Adv of effective branding:
Adds significant value from customer perspective.
Business able to change higher prices, demand more inelastic.
Builds customer loyalty and aspiration
What are the types of brand?
Product brand Service brand Umbrella brand Corporate and own label brands Own-label Global brand
Key points of product brand:
Brands associated with specific products, e.g Marmite.
Key points of service brand:
Brands that add perceived value to services, delivered face to face or via online/apps, e.g Netflix/Uber
Key points of umbrella brand:
Brands that are assigned to more than one product. Makes different product lines easily identifiable to consumer by branding under one name, e.g Dove/Cadbury
Key points of corporate brand
Promoting the name of a corporate entity, e.g Nestle/BBC
Key points of own-label brand:
An example of corporate branding where retail outlets assign their corporate branding to a range of goods/services, e.g Tesco Finest
Key points of global brand:
Easily recognised, operates worldwide and based on familiarity, availability and stability, e.g Ikea/McDonalds
What is sales promotion?
Tactical, point of sale material or other incentives designed to stimulate purchases.
What is the promotional mix and what are its main elements?
The mix of activities/approaches take to promote a product.
- Advertising.
- Sales promotion and merchandising.
- Personal selling.
- Public relations/publicity/sponsorship.
- Direct marketing
What are the key influences on choosing a promotional method:
Stage in the products life cycle
Nature of the product (what info to customers need to know)
Competition
Marketing objectives and budget (how much can firm afford, what is needed)
Target market
Adv of advertising:
Wide coverage
Control of message
Repetition means message can be communicated effectively
Effective for building brand awareness and loyalty
Disadv of advertising:
Expensive Most methods impersonal One way communication Lacks flexibility Limited ability to close a sale
Adv of personal selling:
High customer attention Message customised Interactive Persuasive impact Potential for development of a relationship Adaptable Opportunity to close the sale
Disadv of personal selling:
High cost
Labour intensive
Expensive
Can only reach limited number of customers
Adv of sales promotion:
Effective at achieving a quick boost to sales
Encourages customers to trial a product/ switch brands
What are public relations?
Activities that create goodwill towards an individual, business, cause or product.
Main aims:
To achievable favourable publicity about the business
Build the image/rep of the business and its products
Communicate effectively with customers/stakeholders
What is direct marketing?
Sending promotional materials and messages directly to the target audience via mail, email, social media or phone to trigger a response (purchase or enquiry).
Allows a business to generate a specific response from targeted groups of customers.
Allows a business to focus on several marketing objectives at the same time, i.e increasing sales whilst building customer loyalty.
