Theme 1.3.2: Part 1 Promotion Flashcards
Branding
Creating a positive and recognisable image of a product or service in the eyes of the customer. This is usually done for competitive purposes
Promotion
Informing current or potential customers about a product or service to persuade them to buy it. One of the elements in the marketing mix
The extent of the use of promotion depends on what factors?
. Type of market e.g mass or niche . Size of market . Budgets . Business size . Capacity . Target market
Name 6 Types of Promotion
. Advertising - Through TV, Radio etc
. Sales offers - money off, free samples etc
. Digital - Use of the internet
. Sponsorship - Financial support of an event or activity e.g the olympics
. Direct Sales - Linking sales people and the customer e.g telemarketing
. Public Relations - The press and media
Advantages of Advertising
. Likely to be seen by large numbers of people
. Quick way of reaching out to potential customers
Disadvantages of Advertising
. Difficult to measure how effective it will be
. Expensive
. Less effective due to on demand TV
Sales Offer advantages
. Reduced price incentivises buying the product or service
. Increased sales
. Increased market share
Sales offers disadvantages
. Consumers may only take advantage of special offer prices
. Less profit margin for producers
Digital Promotion advantages
. Cheap
. Can reach large numbers of people
. Viral marketing can occur - free
. Can target specific markets
Digital Promotion disadvantages
. Lots of competition
. Some argue it to be ineffective
. Some people associate distrust with digital promotion
Sponsorship advantages
. Can reach a wide range of people - e.g World Cup attracts people from lots of countries
. Can enhance a businesses view in terms of social impact and ethics e.g a partnership with Ecosia
Sponsorship disadvantages
. Very expensive compared to other methods
. No guarantee people will buy the product
Direct Sales advantages
. Message can be adapted to suit specific customers
. Salesperson can answer individual queries and concerns
Direct Sales disadvantages
. Disliked by most people due to arguably aggressive sales tactics
. Can be expensive to hire large sales teams
Public Relations (PR) Advantages
. Cheap method of promotion
. Far more effective compared to competitors