“In marketing, promotion refers to any type of marketing communication used to inform or persuade target audiences of the relative merits of a product, service, brand or issue. The aim of the promotion is to increase awareness, create interest, generate sales or create brand loyalty.”
Promotions refer to the entire set of activities, which communicate the product, brand or service to the user. The idea is to make people aware, attract and induce to buy the product, in preference over others.
There are several types of promotions. Above the line, promotions include advertising, press releases, consumer promotions (schemes, discounts, contests), while below the line include trade discounts, freebies, incentive trips, awards and so on. Sales promotion is a part of the overall promotion effort.
There are also:
1. Personal selling
One of the most effective ways of the customer relationship. Such selling works best when a good working relationship has been built up over a period of time.
This can also be expensive and time-consuming but is best for high value or premium products.
- Sales promotions
This includes freebies, contests, discounts, free services, passes, tickets and so on, as distinct from advertising, publicity and public relations.
- Public relations
PR is the deliberate, planned and sustained effort to establish and maintain mutual understanding between the company and the public.
What Is Business Promotion
Business promotion is communicating with the public in an attempt to influence them toward buying your products and/or services. You might communicate in person through direct selling or in a retail store, via the internet through a website or social media platform, electronically through email or text messaging (SMS marketing), just to name a few of the more popular business communication channels, but it’s the intention to influence the consumer that defines promotion and sets it apart from other communication with customers and/or clients.
Promotion and Advertising Are Not the Same
The words promotion and advertising are often used interchangeably, but they’re not the same thing.
- Advertising is one specific action you could take to promote your product or service. It’s one type of promotion. (See the examples of business promotion below for other types of promotion that small businesses commonly use.)
- Promotion, as a general term, includes all the ways available to make a product and/or service known to and available to purchase by customers.
Four Basic Types of Promotion
- Sales Promotion
- Personal Selling
Points of Business Promotion
- Word of Mouth
- A professionally-designed website
- Social Media
- Elevator Pitch
- Business Cards
- Hosting or sponsoring charity events
- Vehicle Decoration