The Marketing Mix: Promotion (DP IB Business Management)

Informative advertising focuses on providing factual information about a product, service or brand

Its goal is to educate and inform consumers about the features, benefits and value of a product, enabling them to make well-informed purchasing decisions

Pharmaceutical companies such as Bayer when releasing a new drug may decide to make an informative television advertisement that provides information on the medication's proven benefits and lists mandatory information at the end

Persuasive advertising is designed to influence consumers' attitudes and behaviours towards products or services

It aims to convince customers that a particular product or service is desirable, necessary or superior to alternatives in the market

A company selling luxury cosmetics such as Elizabeth Arden is likely to use well-known attractive celebrities in its magazine advertisements

Package holiday companies that aim their services at families such as Eurocamp emphasise excellent weather and use images of children having fun in printed advertisements

Reassuring advertising aims to remind existing customers that they made the right decision when choosing a particular product over those of rivals

It encourages customers to remain loyal and continue to purchase the product and others within the range

Coca Cola reassures its customers through the use of television advertising that promote a 'feel-good' response

Businesses can reach a large and diverse audience because mass media channels provide a high level of visibility 

It is effective for creating a strong brand image, enhancing brand recognition and establishing a sense of credibility and trust among consumers

The marketing message can be communicated in an impactful manner using sound, images and graphics

Above the line promotion can be expensive, especially for small businesses with limited budgets

As it focuses on reaching a wide audience rather than specific target segments, advertising may not effectively reach the intended audience

Advertising typically offers limited interaction or direct engagement with consumers

With the rise of digital media traditional media consumption has decreased and consumers can easily filter out or ignore advertisements. 

Involves communicating directly with customers through email, text message, social media or post

E.g. Takeaway restaurants distribute menus to households in the local community

Businesses can target specific audiences and personalise the message to individual customers

Direct marketing is measurable which enables businesses to track their results and adjust strategy accordingly

Can be intrusive as customers may perceive it as spam

Can also be costly, especially if businesses do not have an established customer database or need to purchase leads

Techniques that encourage the purchase of a product or service by offering temporary incentives or discounts

Examples include free samples, buy one get one free (bogof), discount coupons, loyalty cards, point of sale materials and rebates (customers have to mail in to receive money back)

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

Can be expensive especially if the promotion requires a heavy discounting

Can attract deal-seeking customers who may not be loyal to the brand

May reduce the sales of full-priced products

Where a salesperson interacts with customers one-on-one, either in person or through digital communication channels

E.g. Luxury skincare products are often sold by brand representatives at concession stands in department stores

Allows businesses to build relationships with their customers and understand their specific needs

Enables businesses to provide personalised advice and guidance to customers

Can be expensive due to the cost of hiring and training sales staff

Limited impact as it is difficult to scale to large audiences

The business seeks to build relationships with the public and manage their reputation

Public relations activities can include sponsorship, media relations, public events and community outreach activities

Public relations can also involve eye-catching publicity stunts such as SpaceX's 2018 launch of a Tesla Roadster car into space 

Can enhance a business's reputation and credibility

Often cost-effective when compared to advertising or personal selling

May achieve a wide reach as imaginative PR activity is frequently shared on social media

PR can be time-consuming and is difficult to measure the direct impact of PR activities on profits

Specialist - and expensive PR companies can often achieve the best results

It combines the broad reach of advertising with the personal touch of below the line techniques which is likely to lead to increased customer engagement

The integrated approach can lead to better brand recognition as customers receive promotional messages in a variety of ways

Coordinating a multi-channel through-the-line campaign requires marketing expertise for which a business may need to employ an expensive specialist marketing agency

Careful planning is needed to ensure that all elements present a coherent message

Social media platforms have billions of active users, which allows businesses to reach a vast audience across different demographics and locations

Social media platforms enable businesses to deliver  promotional content to specific groups based on demographics, interests and behaviours, increasing the chances of reaching the right audience

Businesses can create and share content easily, increasing brand visibility and exposure which helps generate brand awareness 

Social media marketing can achieve organic reach and engagement without a large budget

Effective social media marketing requires consistent effort and time to create quality content, manage multiple platforms, and engage with the audience, which can be time-consuming, especially for small businesses with limited resources

Social media opens up channels for public feedback and reviews, which can include negative comments or complaints which can be viewed by all other users

Social media platforms frequently update their algorithms which may affect the visibility and reach of content

Businesses face the challenge of breaking through the noise and capturing users' attention amidst the large volume of competing content