BUAD 307
Marketing
Fundamentals

 

 

 

FINAL EXAM REVIEW

Elements of the Promotion Mix

PowerPoint Narration

Promotion involves a number of tools we can use to increase demand for our  The most well known component of promotion is advertising, but we can also use tools such as the following:

  • Public relations (the firm’s staff provides information to the media in the hopes of getting coverage). This strategy has benefits (it is often less expensive and media coverage is usually more credible than advertising) but it also entails a risk in that we can’t control what the media will say.  Note that this is particularly a useful tool for small and growing businesses—especially those that make a product which is inherently interesting to the audience.
  • Trade promotionHere, the firm offers retailers and wholesalers temporary discounts, which may or may not be passed on to the consumer, to stimulate sales. 
  • Sales promotion.  Consumers are given either price discounts, coupons, or rebates.
  • Personal selling.  Sales people either make “cold” calls on potential customers and/or respond to inquiries.
  • In-store displays.  Firms often pay a great deal of money to have their goods displayed prominently in the store.  More desirable display spaces include:  end of an aisle, free-standing displays, and near the check-out counter.  Occasionally, a representative may display the product.
  • Samples
  • Premiums