PRINCIPLES OF BUSINESS MARKETING LESSON 5.4 ADVERTISING - PROMOTION AND SPECIAL EVENTS

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VOCABULARY TERMS Promotion- any form of communication a business uses to inform, persuade, or remind people about its products, or to enhance its image. Promotional Mix- any combination of the four components of promotion: sales promotion, public relations and publicity, advertising or personal selling. Product Promotion- businesses use this type of promotion to convince people to buy their products over a competitor. Direct Marketing- a type of advertising directed to a targeted group of prospects and customers rather than to a mass audience. Sales Promotion- represents all marketing activities used to stimulate purchasing and sales. COPYRIGHT © TEXAS EDUCATION AGENCY, ALL RIGHTS RESERVED. 3

VOCABULARY TERMS Public Relations- activities or campaigns by an organization to try and create a favorable image for their company and its products. News Release- an announcement that is sent to the appropriate media outlets. Publicity- involves bringing news or newsworthy information about an organization to the public’s attention. Coupons- certificates that entitle consumers to cash discounts on goods or services. Premiums- low cost items given to consumers at a discount or for free. COPYRIGHT © TEXAS EDUCATION AGENCY, ALL RIGHTS RESERVED. 4

PROMOTIONAL MIX Personal Selling Advertising Direct Marketing Sales Promotion Public Relations COPYRIGHT © TEXAS EDUCATION AGENCY, ALL RIGHTS RESERVED. 5

PERSONAL SELLING Personal selling requires a company to have sales people or representatives who generate direct contact with potential and existing customers. COPYRIGHT © TEXAS EDUCATION AGENCY, ALL RIGHTS RESERVED. 6

ADVERTISING Advertising is a paid form of promotion. Companies pay to promote products, ideas, and services in a variety of media outlets. COPYRIGHT © TEXAS EDUCATION AGENCY, ALL RIGHTS RESERVED. 7

DIRECT MARKETING Direct Marketing is directed to a targeted group of potential and existing customers rather than a mass audience. The two forms of direct marketing are: printed direct mail (post office) and electronic mail ( ) COPYRIGHT © TEXAS EDUCATION AGENCY, ALL RIGHTS RESERVED. 8

SALES PROMOTION The object of a sales promotion or special event is to increase sales, inform potential customers about new products and create a positive business or corporate image. COPYRIGHT © TEXAS EDUCATION AGENCY, ALL RIGHTS RESERVED. 9

PUBLIC RELATIONS Public relations plays a key role in creating a positive image for a company. One goal in public relations in to cultivate media relations with reporters who cover a specific industry. COPYRIGHT © TEXAS EDUCATION AGENCY, ALL RIGHTS RESERVED. 10

To increase sales when doing promotions or special events a company must: Know the message they are trying to convey to the consumer Plan accordingly and pay attention to detail Use every element of the promotional mix to the best advantage of the company Evaluate results COPYRIGHT © TEXAS EDUCATION AGENCY, ALL RIGHTS RESERVED. 11