Any form of communication a business

or company uses to inform, persuade, or remind people about

products and to improve its image

PROMOTION

Discussion•How are promotion and communication similar?

Lesson Objectives• Define promotion• Identify purposes of promotion• Define institutional promotion• Identify 5 types of promotion• Define promotional mix

Purposes of Promotion• Convince potential customers to buy

• Explain features/benefits of products• Tell where products are sold• Advertise sales on products• Answer customers’ questions• Introduce new products• Create a favorable image of the

company or product

Institutional Promotion

Used to create a favorable image of

the company, rather than to directly sell

products

Discussion•Why would an organization

promote itself and not its products?

Types of Promotion• Advertising • Sales Promotion• Personal Selling • Publicity/ Public

Relations• Visual

Merchandising

ADVERTISINGThe non-personalpresentation of ideas and products by an identified

sponsor.**PAID FOR**

Discussion•Describe the process or

steps that happen when communication is taking place.

SALES PROMOTION

• stimulate purchases• increase store traffic

2 for 1 Sale

Buy One, Get One Free

$2 off after 8PM on Tuesday

PERSONAL SELLINGThe PERSONAL presentation

of a product or company to one or more potential buyers

DiscussionIs telemarketing a form of

promotion? If so, what type of promotion

is it?

PUBLICITYPUBLIC RELATIONS

Creating demand for a business or product by

placingnews about it in the media

Visual Merchandising

The coordination of all physical elements in a

place of business so that it projects the right image to

its customers

Discussion•List one situation or product

for which each type of advertisement would be appropriate.

Can you name a type of business that…

• Uses a lot of advertising and sales promotion, but very little personal selling?

• Uses very little advertising, but lots of personal selling?

What types of promotion do you think the following

businesses use?• Hayes Chrysler/Jeep• Ruby Tuesday• Cigarette manufacturers• Avon Corporation• ebay

The combination of promotion types

represents a product’sPROMOTIONAL MIX

QuizDescribe the promotional mix

that would be appropriate for a business and product(s) that you choose.

Explain how you would use each type of promotion.

Tell why you would or would not use each type of promotion.