1. D. Marketing a Small Business
Identify the function of promotion in small business.
Describe the elements that make up the promotional mix.

2. Terms to Know
Promotion: Any form of communication a business or organization uses to inform, persuade, or remind consumers about its products/services.

3. Terms to Know
Product promotion: Used to persuade consumers to buy a particular product or service.
Institutional promotion: Used to create a favorable image of the business in the eyes of the consumers instead of promoting a particular product or service.

4. Terms to Know
Promotional mix: The combination, or blend, of the different types of promotion.
Media: Agencies, means, or instruments used to promote messages to the public.

5. Elements of the Promotional Mix
Advertising
Personal selling
Publicity/Public Relations
Sales promotion

6. Advertising
Any PAID form of NONPERSONAL presentation of ideas, goods, or services.

7. Categories of Advertising Media
Print media: Newspapers, magazines, direct mail, signs, billboards
Broadcast media: Radio and TV
Specialty: Inexpensive, useful items with the advertiser’s name printed on them

8. Categories of Advertising Media
Online: An advertising message placed on the Internet
Other media: Directory advertising, motion picture theater advertising, sports arena advertising, public transportation, street banners, and many others

9. Personal Selling
The form of promotion that uses PLANNED, PERSONALIZED communication in order to influence purchase decisions and to ensure satisfaction.

10. Characteristics of an Effective Salesperson
Product knowledge
Selling skills
Positive personal traits
Communication skills

11. Steps in the Selling Process
Prospecting/preapproach
Approach
Determining needs
Product presentation/demonstration
Overcoming objections
Closing the sale
Suggestion selling
Relationship building

12. Public Relations Publicity
Any activity designed to create a favorable image toward a business, its products, or its policies.
Information that is provided to the public by the media or other sources at no cost to the business.
Public Relations
Publicity

13. Characteristics of Publicity
Publicity can be positive or negative.
Publicity has credibility because people believe the media is objective and presents facts.
Publicity reaches a mass audience because a large number of people follow the news.
Publicity is intended to inform rather than to sell.

14. Characteristics of Publicity
Publicity does not have an identified sponsor.
Publicity cannot be controlled by the business.
Publicity does have costs when a business engages staff to write news releases for the media.

15. Types of Publicity Tools
Fact sheet
News release
Press conference
Press kit
Captioned photograph

16. Sales Promotion
Promotion that includes all activities other than advertising, personal selling, publicity, and public relations used to increase consumer purchases.