CHAPTER 10: RETAIL PROMOTION

Question 1

*What is retail promotion mix? And discuss the components of retail promotion mix.

Answer 1

It is defined as several approaches used by retailers to promote their products to customers.

The components are;

• Advertising (a paid communication method to persuade customers to buy their products.)
• Sales promotion (a temporary campaign or offer to increase interest or demand in its product or service.)
• Direct marketing (any marketing that relies on direct communication or distribution to individual consumers, rather than through a third party such as mass media).
• Public relations (managing how others see and feel about a person, brand, or company)
• Personal selling (a promotional method by which the salesperson uses his or her skills and abilities in an attempt to make a sale.).

Question 2

Define and discuss promotional objectives.

Answer 2

• Long-term promotional objectives.
• Short-term promotional objectives.

Question 3

*What are the advertising objectives?

Answer 3

• Informative advertising (aims to sell more of a product or service through information sharing. Informative advertising clearly explains how to use a product and outlines its qualities, benefits, or appeal. For example, a company might use informative advertising to introduce a new product and share its features with a target audience).
• Persuasive advertising (leveraging customers’ interests and desires; leading to increased intention to use among non-users and increased behavioural loyalty among current users).
• Reminder advertising ( reinforces a brand or product in consumers’ minds. Maintaining brand recognition and encouraging repeat purchases requires periodic promotional communications. Reminder advertising uses digital ads, emails, and conventional media to leave a lasting impact; increase revenue and improve customer retention by reminding customers to re-order or renew their subscriptions).

Question 4

*What are the type of sales promotion?

Answer 4

• Point of purchase display.
• Coupons.
• Product sampling.
• Loss-leader pricing.
• Product demo.
• Special offers.
• Loyalty programs.

Question 5

How do retailers manage publicity?

Answer 5

• News releases.
• Press conferences.
• Feature articles.
• Event sponsorship.
• Special events (fundraising, charity).
• Audio visuals materials.