Promotion The marketing mix Promotion is just one

Promotion

The marketing mix Promotion is just one part of the marketing mix, which is also known as the 4 Ps: Product Price Place Promotion

Promotion is about the communication that occurs with customers and potential customers The aims of promotion are to: Raise awareness Encourage sales Create or change a brand image Maintain market share

Promotional activities Advertising e. g. TV, billboards and internet. Sales promotions e. g. loyalty cards, BOGOF, discounts & free gifts Sponsorship – a business pays to be associated with another firm, event or cause Direct mailing – promotional material is sent to potential customers by post/email Public relations – building the relationship between the firm and the public by enhancing its reputation

Types of promotion Above-the-line promotion This uses advertising media over which a firm has no direct control e. g. television, radio and newspapers Below-the-line promotion This uses promotional media which the firm can control e. g. direct mail, sales promotions and sponsorship

Above-the-line promotion: Uses paid-for mass media for advertising Is often used to inform an audience of a product and persuade them to purchase Can reach a very large audience May reach people beyond the target market Is difficult to measure in terms of its impact Tends to be more expensive than below-the-line methods

Media used in above-the-line promotion Newspapers & magazines Television Radio Cinema Internet Billboards and other types of outdoor media

Below-the-line promotion: Tends to be less expensive than above-the-line methods Is generally used for short to medium term incentives Can be used to target specific audiences or even individuals Is often aimed at the consumer (as opposed to business customers)

Methods of below-the-line promotion include: Sales promotions e. g. Discounts Buy one get one free (BOGOF) Competitions Sponsorship Public relations e. g. through press releases Direct mail Point-of-sale displays

Promotional mix Most businesses use a combination of different promotional activities. The chosen promotional mix will depend on: Cost Target market Product Competitors

AIDA Promotional campaigns often take into account the AIDA model: Awareness - raising awareness of a product Interest – exciting interest in the product Desire – creating desire for the product Action – encouraging a purchase