Promotion And Branding Flashcards
Above the line promotion
Above-the-line promotion involves advertising in
the media. Businesses pay television companies or newspapers,
-Informative advertising. This means that the adverts are designed to increase consumer awareness of products. Ex, giving clear info about features of product.
- Persuasive advertising. Some advertising is
designed to put pressure on consumers to buy
a product. Persuasive advertisements often try
to convince consumers to buy a particular brand rather than that of a competitor.
-Reassuring advertising. This advertising is aimed at existing customers. It helps customer to convince theirselves that they are buying the right product.
Below the line promotion
refers to any form of promotion that does not involve advertising.
-Sales promotion: using incentives to boost sales and attract new customers.
Free gifts, a business may give free gifts in the product to encourage customers to buy it.
BOGOF offers: buy one get one free.
-Public relations:
• Press releases. Some info about the company is published in the media.
Choosing methods of promotion
-Cost, not every business can afford to pay national television/ newspaper.
-Market type, niche market: local newspapers, mass market: national television.
-Stage in life cycle, in introduction companies would use PR.
-Competitors promotion, companies might copy successful promotions.
Types of branding
-Manufacturer brands are brands created by the producers of goods and services. The goods or services have the producer’s name. Kellogg’s.
-Own-label brands, are products which are manufactured for wholesalers or retailers
by other businesses. But the wholesalers and
retailers sell the products under their own name. Ex, hacendado’s cola.
- Generic brands. Some generic brands are products that only contain the name of the actual product category rather than the company or product name. Examples are aluminium foil, carrots or aspirin.
Benefits of branding
-Added value: A strong brand may add value to
a product in the eyes of customers. Ex, an business creating a good image for the brand by using a celebrity, gives competitive advantage.
-Ability to charge premium prices: Products
with strong brands can be priced higher than those of competitors. This is because of the customer loyalty that has been built up over a period of time.
Reduced price elasticity of demand: because they can differentiate of competitors, and they would be willing more as there is no similar product in the market.
Ways to build a brand
-Exploiting a unique selling point.
-Advertising:
-Using social media, businesses can place adverts in strategic apps (Twitter) to focus on particular customer.
CHANGES IN BRANDING AND PROMOTION
TO REFLECT SOCIAL TRENDS
-Viral marketing: Communication using the Internet has provided the opportunity for viral marketing. This involves any strategy that encourages people to pass on messages to others about a product or a business electronically.
-Using social media help to build a brand. Some businesses are developing their network.
-Emotional branding: it is designed to appeal to a customer’s emotion, human need, or a perceived ambition. The aim of emotional marketing is to develop a relationship between a consumer and a brand.
