This document discusses promotion and the promotional mix. It defines promotion as communication to customers about a product to persuade them to buy it. A business needs to promote to make customers aware of its products, increase awareness and market share, and encourage customers to choose its products over competitors. The document outlines different promotional methods including advertising, sales promotions, public relations, and personal selling that make up the promotional mix. It notes that small businesses should consider their target market and utilize an effective mix of above and below the line promotion strategies to gain sales.

1. Business Studies
Patrick Ahern

3. What is promotion?
 Can you provide some good examples of
promotion and explain your reasons?
 Why does a business need to promote?


4. Identify Product Placement
 Define the need for a business to promote.
 Apply a promotional mix, taking into consideration
target market in a given business.
 Analyse how a small business could utilise
promotional mix effectively to gain sales.


14. This was illegal (against the law) in the UK till last
year
 It is getting a product seen via different media
 The last James Bond film made $54million from
companies paying to get their product on the film.
i.e. Omega and Aston Martin


15. Promotion is all about communication
 You are telling customers about a product.
 The aim is to persuade the customers to buy the
product.
 Build on brand awareness, and for customer to
choose product ahead of competitors.
 The part of the marketing mix where it is decided
how a product should be marketed or sold.


16. 
Above the line

Below the line

Any fee is paid to an
advertising agency

Normally focused on
selling the product

Normally several different
techniques used to
achieve effect

Personal selling

Public relations

Direct mail

Merchandising

Point of Sale

Often used to gain brand
awareness or get products
in the mind of consumers

17. Advertising - is communication with the public
through one or more of the range of media
available. In business, advertising is one aspect
of promotion.
 Promotion - The part of the marketing mix where it
is decided how a product should be marketed or
sold.


19. Make customers more aware of a product.
 Increase awareness of a product.
 Remind consumers about a product.
 Encourage consumers to switch to rival product.
 Increase market share.


21. 







Advertising.
Direct Selling.
Direct Marketing.
Public Relations.
Incentives.
Sales Promotion.
Internet – advertising, social media, search engine.
WOM – word of mouth.

22. 
The competitiveness of the market.

Availability of product.

Differentiation of the product.

Competitor’s activity.

The product life-cycle.

23. Cost.
 Size of target audience.
 Size of the market.
 Consumer – changing trends, media they
consume.
 What competitors are doing.
 Legal constraints.
 Other elements of the marketing mix – integrated
marketing campaign.


24. ◦ Awareness - get the customers aware of the product.
◦ Interest - gain their interest and commitment.
◦ Desire - arouse their desire through special offers and sales
promotions.
◦ Action - get them to buy the product through a call to action.

25. 
Advertising - is paid for communication
through media such as television,
newspapers or radio. Most advertising can
be categorised as either informative or
persuasive (or a combination of the two).

This is normally above the line Marketing

26. 
Sales Promotion - the use of short term incentives to
purchase, such as free offers, sampling and selling. Can
be aggressive or defensive. Main purpose:
◦ To create the initial surge of demand to persuade shops to stock
a newly launched product.
◦ To attract new buyers who the firm hopes will become a regular
customer.
◦ To lock customers into buyer products when under threat from a
new competitor.

27. Personal Selling - through sales
representatives, who are mainly used for selling
to business, also trade fairs and exhibitions.
 Branding - establishing an identity for your
product that distinguishes it from the
competition. Successful branding adds value to
an item and can ensure brand loyalty.


28. After Sales Service and Customer Care
(designed to build up customers’ loyalty so that
they keep coming back).
 Direct Marketing (through personally
addressed mailing etc).
 Sponsorship (of a person or an event).
 Internet – growth of digital marketing.
 WOM – Word of mouth.


29. 
Think about Coca Cola - where and how do they
advertise?

Think about local SME’s - where and how do they
advertise?

SME = Small Medium Enterprise

30. Examiners will always want the promotion to fit the
firm e.g. small business.
 Look at the methods and consider which of these
can be applied to the situation you have been
given.


31. 





Above the line promotion is promotion which is run
through media. This includes:
Radio
TV
Newspapers
Cinema
Above the line promotion is used to communicate
with a wide audience.

32. 

Below the line promotion refers to those
promotional methods which do not depend upon
media such as TV, radio, cinema and
newspapers.
There will be a mixture of
These include:
◦
◦
◦
◦
◦
Direct Selling
Direct Marketing
Public Relations
Incentives
Sales promotion
activities in a promotional
campaign. It will include
above the line and below the
line promotion.
This is known as the
promotional mix.

33. Identify product placement
 Define the need for a business to promote.
 Apply a promotional mix, taking into consideration
target market in a given business.
 Analyse how a small business could utilise
promotional mix effectively to gain sales.
