Theme 1.3.2: Part 1 Promotion

Question 1

Branding

Answer 1

Creating a positive and recognisable image of a product or service in the eyes of the customer. This is usually done for competitive purposes

Question 2

Promotion

Answer 2

Informing current or potential customers about a product or service to persuade them to buy it. One of the elements in the marketing mix

Question 3

The extent of the use of promotion depends on what factors?

Answer 3

. Type of market e.g mass or niche
. Size of market
. Budgets
. Business size
. Capacity 
. Target market

Question 4

Name 6 Types of Promotion

Answer 4

. Advertising - Through TV, Radio etc
. Sales offers - money off, free samples etc
. Digital - Use of the internet
. Sponsorship - Financial support of an event or activity e.g the olympics
. Direct Sales - Linking sales people and the customer e.g telemarketing
. Public Relations - The press and media

Question 5

Advantages of Advertising

Answer 5

. Likely to be seen by large numbers of people

. Quick way of reaching out to potential customers

Question 6

Disadvantages of Advertising

Answer 6

. Difficult to measure how effective it will be
. Expensive
. Less effective due to on demand TV

Question 7

Sales Offer advantages

Answer 7

. Reduced price incentivises buying the product or service
. Increased sales
. Increased market share

Question 8

Sales offers disadvantages

Answer 8

. Consumers may only take advantage of special offer prices

. Less profit margin for producers

Question 9

Digital Promotion advantages

Answer 9

. Cheap
. Can reach large numbers of people
. Viral marketing can occur - free
. Can target specific markets

Question 10

Digital Promotion disadvantages

Answer 10

. Lots of competition
. Some argue it to be ineffective
. Some people associate distrust with digital promotion

Question 11

Sponsorship advantages

Answer 11

. Can reach a wide range of people - e.g World Cup attracts people from lots of countries
. Can enhance a businesses view in terms of social impact and ethics e.g a partnership with Ecosia

Question 12

Sponsorship disadvantages

Answer 12

. Very expensive compared to other methods

. No guarantee people will buy the product

Question 13

Direct Sales advantages

Answer 13

. Message can be adapted to suit specific customers

. Salesperson can answer individual queries and concerns

Question 14

Direct Sales disadvantages

Answer 14

. Disliked by most people due to arguably aggressive sales tactics
. Can be expensive to hire large sales teams

Question 15

Public Relations (PR) Advantages

Answer 15

. Cheap method of promotion

. Far more effective compared to competitors

Question 16

Public Relations (PR) disadvantages

Answer 16

. Cannot be as precisely targeted as others can

. Not always possible to control what is said