Customers need to be aware of the existence of a product. This is achievable only through promotion. Creation of brand loyalty and sales generation is also experienced on the side of the producers. Demand is raised when this information is presented to the customers. Products get differentiated through a promotional swag.
Transmitting of non personal communication through a mass media is known as advertising. Newly produced goods needs to be advertised. This will help in making sure that the customers will know of its existence. Rational choice making will be facilitated. Consumers search costs, which also includes time are reduced since the retail location and qualities of products are given. The choosing of a brand is made easier.
Publicity is a free promotion tool through new stories in newsletters, newspapers, magazines and television. Newspapers and magazines are the cheapest means that promotion can be carried out. Television is image oriented and conveys little information beyond the existence of a product. Television and radio are mostly preferred as they are accessible to a large proportion of the population.
Sales promotion is usually being targeted to various known initial buyers of a product or even upcoming ones. The details of these buyers are with the seller and therefore, he can facilitate the process through direct mailing. The activities involved in this type of promotion are neither found in personal selling nor in the advertisement. They include; trade allowances, volume discounts, coupons and exhibits.
Cost should be a major consideration when making the decision of promoting products. This should be based on the fact that you are carrying this process in order to maximize profits. Hence, an appropriate method ought to be chosen effectively and should cause low cost implications as compared to the benefits. It is directed to specific customers of a product. The inability to measure the effectiveness of promotion and media costs makes its allocation difficult.
The best promotional strategies must be devised covering issues such as the goal, the effects it will have on a customer, costs as compared to benefits and promotional budget. The type to be used must be able to ensure that, higher benefits will be received as compared to costs incurred. At some extent, huge losses may result from this process if not well managed.
When promotion is not done through media that will be able to reach the target audience, no benefits will be received as the information is not passed effectively. The most common forms on promotion are based on factors such as quantities, prices and qualities. It entails either selling a product with reduced prices or through allowing of huge discounts. It may be used to trigger new buyers to start using the goods.
Profits could reduce initially but will eventually rise with good strategies. This implies that most customers are now aware of the required information. Competition raises the costs of promotion. The products being promoted should meet the tastes and preferences of the customers.
Transmitting of non personal communication through a mass media is known as advertising. Newly produced goods needs to be advertised. This will help in making sure that the customers will know of its existence. Rational choice making will be facilitated. Consumers search costs, which also includes time are reduced since the retail location and qualities of products are given. The choosing of a brand is made easier.
Publicity is a free promotion tool through new stories in newsletters, newspapers, magazines and television. Newspapers and magazines are the cheapest means that promotion can be carried out. Television is image oriented and conveys little information beyond the existence of a product. Television and radio are mostly preferred as they are accessible to a large proportion of the population.
Sales promotion is usually being targeted to various known initial buyers of a product or even upcoming ones. The details of these buyers are with the seller and therefore, he can facilitate the process through direct mailing. The activities involved in this type of promotion are neither found in personal selling nor in the advertisement. They include; trade allowances, volume discounts, coupons and exhibits.
Cost should be a major consideration when making the decision of promoting products. This should be based on the fact that you are carrying this process in order to maximize profits. Hence, an appropriate method ought to be chosen effectively and should cause low cost implications as compared to the benefits. It is directed to specific customers of a product. The inability to measure the effectiveness of promotion and media costs makes its allocation difficult.
The best promotional strategies must be devised covering issues such as the goal, the effects it will have on a customer, costs as compared to benefits and promotional budget. The type to be used must be able to ensure that, higher benefits will be received as compared to costs incurred. At some extent, huge losses may result from this process if not well managed.
When promotion is not done through media that will be able to reach the target audience, no benefits will be received as the information is not passed effectively. The most common forms on promotion are based on factors such as quantities, prices and qualities. It entails either selling a product with reduced prices or through allowing of huge discounts. It may be used to trigger new buyers to start using the goods.
Profits could reduce initially but will eventually rise with good strategies. This implies that most customers are now aware of the required information. Competition raises the costs of promotion. The products being promoted should meet the tastes and preferences of the customers.
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