gcse

Question 1

define promotion

Answer 1

Promotion is used by enterprises to communicate with current and potential new customers. The aim is to persuade them to buy a product/service or inform them about the enterprise

Question 2

what is the aim of promotion

Answer 2

.To build a brand image and/or raise awareness
.To encourage customers to buy a product/service
.To remind people about the products/service

Question 3

define a message

Answer 3

what the communication needs to say

Question 4

define a medium

Answer 4

A medium is how an enterprise chooses to communicate with and advertise to its market

Question 5

what is advertising

Answer 5

Advertising is when an enterprise uses media to communicate with the public about its products or services

Question 6

why do enterprises advertise

Answer 6

.To inform potential customers about their business or a new product/service
.To persuade people to purchase their products/services

Question 7

List the 5 methods of advertising

Answer 7

Moving images and videos, print, ambient, digital, audio

Question 8

Describe moving images and videos with advantages and disadvantages

Answer 8

Used on television, in a cinema or posted on a video streaming site such as YouTube
Advantage: Enables products with moving parts or a practical use to be seen in action and how they can be used
Disadvantage: may not focus on the descriptive sides of the product/service

Question 9

Describe print advertising with advantages and disadvantages

Answer 9

Used in newspapers, magazines and billboards
Advantages: Likely to be seen by a large number of people
Disadvantage: May not show how the product runs as it isn’t 3D nor moves

Question 10

Describe ambient advertising with advantages and disadvantages

Answer 10

used in public places (bus stops and shopping centres)
Advantages: outdoors advertising aims to catch the attention of passers-by
Disadvantages: People may not pay attention as public places are usually busy and they may not be able to see

Question 11

Describe digital advertising with advantages and disadvantages

Answer 11

company websites, social media
Advantages: enables businesses to connect with large numbers of people instantly
Disadvantages: elderly people who are less likely to have social media don’t get to see the product/Service being advertised

Question 12

Describe audio advertising with advantages and disadvantages

Answer 12

local and national radio
Advantages: allows businesses to speak directly to their target market
Disadvantage: Not many people listen to the radio, it also isn’t usually explained as well as you cant see or get a visual explanation of the product/service.

Question 13

List the 5 types of promotional mix

Answer 13

Advertising, sales promotion, personal selling, public relations, direct marketing

Question 14

Define sales promotion

Answer 14

A sales promotion gives customers an incentive to buy an enterprises product/service by giving discounts on the price of the product/service

Question 15

Benefits of sales promotion

Answer 15

.To entice people in
.To boost sales figures
.To attract first time buyers
.To clear old stock

Question 16

Examples of advertising

Answer 16

using media e.g.-TV, Radio, newspapers, social media.

Very expensive as they reach a wide audience

Question 17

Examples of sales promotion

Answer 17

e.g.-40% off. Buy one get one free. These are short term sales boosts

Question 18

Examples of personal selling

Answer 18

e.g.- face to face, telephone ,web/video chat , door to door sales, sales people in city centres/at airports/ at different events.

Question 19

Examples of public relations

Answer 19

Press release, exhibitions, promotional stunts, sponsorships, fundraising events, charity works.
Success depends on the event/team/charity running the event.

Question 20

Examples of direct marketing

Answer 20

Junk mail e.g. leaflets, direct adverts sent to individuals e.g. emails, messages, mail. Can often be ignored but cheap to do.

Question 21

Disadvantage of sales promotion

Answer 21

If an enterprise uses sales promotion they may loose money if handing out free samples or reducing the price of certain products/services

Question 22

Why do enterprises use sales promotion

Answer 22

They use it when the product isn’t selling well or they want to clear stock

Question 23

Describe public relations

Answer 23

PR involves promoting an enterprise, brand, a product or service by placing about it in the media

Question 24

Describe direct marketing

Answer 24

.when an enterprise communicates with a customer directly to try and sell them something
.This can increase sales but also help build a relationship with customers

Question 25

Describe free samples

Answer 25

customers get to try something without having to buy it first

Question 26

Advantages and disadvantages of free samples

Answer 26

Advantages- Allows the product to try what the products like before buying it and therefore creates trust between the customer and the enterprise Disadvantages- costs the enterprise money to give out free samples. People who just want to get free samples with no intention of purchasing will waste time +money

Question 27

Describe money off discount

Answer 27

A business giving a customer a discount price- e.g. 10 off

Question 28

Advantages and Disadvantages of money off discount

Answer 28

Advantages- attracts first time buyers as customers always like a deal Disadvantages-Cheaper than the original price and therefore not selling it for the same price, not the same profit

Question 29

Describe coupons

Answer 29

A small paper or card offering a discount or a free gift to a customer

Question 30

Advantages and disadvantages of coupons

Answer 30

Advantages- creates loyal customers | Disadvantage-costs the business money to give out free gifts

Question 31

B2C(business to consumer)

Answer 31

A market in which companies sell products directly to consumers

Question 32

B2B(business to business)

Answer 32

Enterprises which sell products to other enterprises

Question 33

Methods of promotion in B2B markets

Answer 33

B2B markets use expensive methods of promotion such as advertising nationally, stands at exhibitions and discounts for buying in bulk.

Question 34

Methods of promotion in B2C markets

Answer 34

B2C markets target individual consumers using promotional methods such as money-off vouchers, discounts and loyalty incentives

Question 35

Describe the pull strategies for B2B

Answer 35

Enterprises promote the product directly to consumers to create a demand, for example through television advertising. The B2B market then buys the product as a consumer market has been built ups for it

Question 36

Describe the push strategy in B2B market

Answer 36

Enterprises promote the product daily to B2B market, for example giving an incentive such as a discount for buying large quantities.

Question 37

What is market segmentation

Answer 37

This is the process of breaking down a large market into much smaller groups of consumers

Question 38

Why do enterprises segment the market

Answer 38

.To understand better the characteristics, needs and interest of current and potential customers .To develop products that suit the needs of different market segments .To develop products for a particular market segment .To choose promotional methods that are better suited to the target audience

Question 39

Define demographic segmentation

Answer 39

Segmentation based on the characteristics of a population. Demographic segmentation covers various characteristics of consumers such as age, gender, family size, ethnicity/race, religious and cultural beliefs, in come, educational level, socio-economic group

Question 40

Define geographic segmentation

Answer 40

Segmentation based off where people live.

Question 41

Define behavioural segmentation

Answer 41

Segmentation based on how people relate to a product. Includes consumer spending choice, how often customers buy products and how loyal customers are to brands and enterprises.

Question 42

Define psychographic segmentation

Answer 42

Segmentation based on attitudes, lifestyles and opinion. Includes social class, attitudes, lifestyle and personality characteristics

Question 43

Explain population characteristics for demographic and geographic segmentation

Answer 43

AGE .peoples tastes, interests and needs may change at different life stages. FOR EXAMPLE holidays are targeted at different age groups GENDER .Men and women have different tastes, interests and needs. FOR EXAMPLE toiletry products are often segmented by gender INCOME .people with higher income have more money to spend. FOR EXAMPLE people with a lower income may not be able to afford luxury brands such as designer clothing and jewellery EDUCATIONAL LEVELS .People with a higher level of education may earn more and spend their extra income on a wider range of cultural interests. FOR EXAMPLE people with a more advanced educational level could probably be able to afford more expensive products live designer brands ``` SOCIO-ECONOMIC GROUP .peoples social class is based on their income and job. FOR EXAMPLE luxury cars are a product that may be targeted at higher social class. ``` ETHNICITY,RELIGION AND CULTURE .these may influence choice of food, clothing and cultural preference's. FOR EXAMPLE specialist food would be targeted at specific communities FAMILY SIZE .larger families often buy products such as food and washing up powder in bigger quantities. FOR EXAMPLE family sized meals would be aimed at large family's

Question 44

Examples of geographic segmentation

Answer 44

.People living in cold, hot or damp climates will need different types of clothing and transport .Regional tastes in cuisines mean different demands on food .Customers and cultural characteristics of a country or region affect peoples choices .The general standards of living in an area will affect how much consumers have to spend