Promotion of goods is Concept, organization of advertising, complex methods and processes

2024 Author: Trinity Chesterton | [email protected]. Last modified: 2023-12-16 08:12

Any manufacturer strives to sell as much of his product as possible. This is done to increase profits.

This, in turn, necessitates the promotion of goods and services. After all, no matter how high-quality the product is, until the consumer knows about it and its properties, it will not be possible to sell a large amount of it.

Definition of concept

What is product promotion? This is a set of activities and works that involve bringing information to potential consumers about its benefits to stimulate their desire to make a purchase.

When promoting a product being sold, short-term schemes are used, which can be applied at points of sale or in the marketing system if the manufacturer has launched a new product. The purpose of such events is to revive or increase sales. An example of this would be the packagessurprises for customers, gifts, contests, discount offers, etc.

In addition, long-term schemes are often used to promote goods. These include, for example, regularly demonstrating a thing or device in specialized stores.

Promotions are activities that involve creative advertising efforts. They involve the creation of an advertising product of an original nature, and not the traditional placement of information in the media.

Thus, product promotion is any form of communication that serves to inform about a product, to remind about it, to convince customers, etc. Such events can also increase sales efficiency due to the communicative impact on staff and partners.

Promotion tools are marketing communications. They are seen as a tool that manages the entire product promotion process, which starts with the manufacturer and ends with the target customer.

The goals of product promotion are to form consumer responses, including:

purchase completed;
getting satisfaction from the purchased item;
dissemination of positive information about the company and the product.

Main steps

The organization of product promotion can be imagined as a pyramid. Its very first stage is "Knowledge". It includes two steps:

Awareness. It includes the receipt by the buyer of primary knowledge about the product (its individual properties and the name of the manufacturer). The ways to promote the product at this stage are advertising and propaganda.
Knowledge. At this step, the consumer receives detailed information about the product he is interested in, which may include, for example, technical characteristics.

The structure of the second stage of the marketing promotion of the product, which is called "Emotion", includes three steps. Among them:

Goodwill. The product is liked by the consumer for some specific characteristics. The manufacturer is eliminating existing shortcomings.
Preference for this product or service.
The belief that this is the right product to buy.

The organization of sales and promotion of goods is being completed at the third stage, which is called "Purchasing". It consists of a single, sixth step of the pyramid. It is a consumer push to purchase in the form of price cuts, gifts and promotions.

Main Functions

Promotion is a set of activities with a dual purpose. One of its directions is the activation of consumer demand. In addition, the process of promoting products is carried out in order to maintain a favorable attitude towards the company. At the same time, such activities are entrusted with the performance of a number of functions. These include:

Bringing information to potential consumers about the proposed product andits main parameters. It is not enough for a manufacturer to have a product with high competitive advantages and any innovations associated with it. Its sales will not reach the proper level until the consumer becomes aware of the product. Bringing the right information to him is the most important function of promotion. For example, an ultrasonic washing machine will be sold only when the manufacturer explains its advantage over conventional units, and the owners of this equipment leave their rave reviews about it.
Formation of the necessary image. This function in the product promotion system serves to create an image among consumers about it as a prestigious product, manufactured using innovative technologies and having a low price. Often, such an image surpasses the actual consumer content of a product or service, distinguishing them from similar offers of competitors. These can be, for example, plastic windows in which there is “no lead”, shampoo with pH 5, 5, etc.
Constantly maintaining the popularity of the product. This function of product promotion is carried out by reminding customers of the need and importance in their lives of what they are offered to purchase. For example, consumers should not forget to buy a Coca-Cola drink for the New Year, because only with it will the holiday come.
Change existing stereotypes of product perception. Sometimes buyers develop a negative opinion about a product or service, which does not at all correspond to the expectations that the manufacturer and supplier place on them. Forto reverse such a negative trend, a special promotion campaign is used. An example of this is the increase to 3 years by the South Korean corporation "Samsung" of the term of service maintenance of its equipment. By this, she convinced potential buyers that the household appliances she produces are of no less quality than those of Japanese firms. The motivation for buying Samsung appliances was lower prices with better service.
Stimulation of all participants included in the distribution system. If goods are sold not to the end consumer, but to an intermediary, then the best way to increase purchases will be to stimulate demand using promotion.
Releasing more expensive offerings to the market. The price of a product is not always the dominant factor for a person when he makes a purchase decision. It is more important that consumers perceive the product they need as one that has unique properties. For example, Tefal's frying pans, despite their high price, differ from competitors' counterparts in a removable handle, which allows them to be compactly placed in a cabinet.
Dissemination of favorable information about the enterprise. Such a function is the result of what is called patronage, sponsorship, social packages, etc. Such a promotion is in the very last place in terms of its significance. After all, no one can force a consumer to buy a low-quality product at a high price with a negative attitude towards it.

All of the above functions are a complex of product promotion. With its usethe manufacturer manages to increase sales.

Advertising

Product promotion marketing is a developed program of specific communications. Moreover, each of the instruments used for this purpose has unique characteristics and requires the allocation of a certain amount of funds.

The most effective of all the ways to promote a product, used to work with a large audience, is advertising. It is any paid form of presenting the ideas of the proposed product.

Advertising affects the increase in sales by the very fact that it exists. The fact is that consumers always believe that a product “promoted” in the media must be of high quality. Otherwise, it is difficult to explain the company's spending on advertising, which simply will not pay off later.

Of all the methods of promotion, this one works great at the stage when the consciousness of the buyer is being formed. In addition, when using advertising, the manufacturer has the opportunity to work with a fairly large audience throughout the country.

The main features of this product promotion tool are:

public nature (information is regulated by a separate law on advertising);
expressiveness, which finds its expression in the possibility of an effective presentation of the product and the manufacturer;
exhortation ability;
impersonality (advertising is a monologue-appeal to a wide audience).

From all instrumentsproduct promotion advertising is the most long-term. And today it is the most massive way to promote. Such a tool as advertising can be considered from the point of view of various aspects. At the same time, several types of presentation of information about the product are distinguished.

Intra-company advertising

This way of promoting a product is a suggestion to employees who must absolutely believe in their own enterprise. For the purpose of a favorable attitude towards the company, certain social events are carried out within the framework of intra-company advertising. This includes:

employee benefit system;
bringing the structure of the enterprise to a rational form;
building good relationships between managers and employees;
organization of joint recreation;
uniforms and insignia;
the company has its own printed edition.

Advertising to create prestige

An enterprise conducting a marketing policy for promoting a product must have a favorable opinion of buyers about itself. To do this, he should raise the prestige. This is done using a special type of advertising, which is in direct connection with the intra-company. The following means are used for this:

contact with journalists;
media announcements that include favorable reviews of the company;
participation in the life of the region and the city, which pursues benefits for the enterprise.

Advertising to expand sales

Promotionmerchandise is the main activity of submitting information about the product offered. Moreover, when organizing advertising, it is necessary to rely on a comprehensive study of the market and monitor the implementation of the following functions:

creating the prestige of the enterprise;
stimulating demand;
providing the buyer with the necessary information about the product;
sales assurance, as well as support and expansion of the achieved volume;
inspiring confidence in the manufacturer and his product.

Advertising at various stages of sales

In addition to the functions listed above, information about the product communicated to the consumer must be in accordance with the goals and objectives of a particular stage of the life cycle of the product being sold. Based on this, the following types of advertising are distinguished:

Informative. This type of advertising corresponds to the stage of product sales, when it is just being put on the market. The main objective of such advertising is to create primary demand, as well as informing the buyer that this product can be purchased.
Exhortation. This advertising in the marketing strategy is used at that stage of the product life cycle, when the company needs to generate selective demand and consolidate the position of the proposed product in the target segment. Persuasive advertising is a presentation of information that explains the best qualities of a product compared to its competitors.
Reminiscent. This type of advertising is used at the stage when the product is already firmly established in the market. Such information remindsto the buyer about the existence of the product and additionally raises the image of the brand of the company. Reinforcement advertising is a type of reminder advertising. Its goal is to convince product owners of the correctness of their decision.
Social. This type of advertising is aimed at solving social issues in certain regions.

Use of publications

Information for promotion purposes can be posted:

In the fast press. This is advertising in newspapers and on leaflets, the term of "life" of which is no more than 1-2 weeks. The advantage of such presentation of information is its efficiency, coverage of a large audience, low cost, flexibility of formats, and a simplified system of responses. Of the minuses, they distinguish low quality, a small number of secondary readers, as well as an abundance of other advertising on the pages of newspapers.
In publications related to medium periodicals. This ad captures readers' attention for a month. Its advantage lies in the availability of a long circulation, in higher quality, as well as the ability to influence a certain category of consumers. Among the disadvantages of such advertising, it is less efficient than newspapers, as well as the higher cost of ads.
In the press classified as slow periodicals. This includes telephone directories and directories. The validity period of such advertising is approximately one year. Its main advantage lies in the long period of relevance of the publication and in significant secondary circulations. Among the disadvantages are low efficiency and obsolescenceinformation.

Television

Advertising in this information source is the most expensive. Moreover, the cost of advertising served through television is constantly growing due to the limited amount of time.

The advantage of this method of product promotion is a wide coverage of consumers, the ability to segment information by region, a significant emotional impact, and a high level of attention. Among the shortcomings, one can note significant cost, oversaturation, weak selectivity of the target audience, as well as a shift in consumer interests towards the Internet.

Radio

Among the advantages of such advertising are its relatively low cost, mass audience and mobile distribution. Among the minuses are the transience of contacts, the low level of attracting attention, as well as the need to repeatedly submit information.

Outdoor advertising

This method of product promotion involves the placement of banners and billboards. Advertising in transport is also used. The advantage of this method of presenting information is its round-the-clock work, little competition, high frequency of contacts, attracting the attention of many people. Among the minuses is the lack of selectivity and the difficulty in quantifying effectiveness.

Souvenir advertising

This way of presenting information attracts considerable attention. In addition, souvenir advertising placed on notebooks, pens, T-shirts, etc.,There is also a secondary audience. Of the shortcomings, one can single out a small place for posting information, in connection with which only the name of the company and its logo are used. The disadvantage of souvenir advertising is its limited edition.

Internet advertising

This includes several types of information presentation. These are contextual, pop-up, social media, banner ads, etc.

Its main advantage is the ability to count the number of buyers who are interested in the product. Among the shortcomings, the negative attitude of people towards pop-up windows that interfere with viewing the context.

Sales Promotion

This concept refers to incentive measures of a short-term nature that encourage the purchase or sale of the proposed product. Sales promotion is one of the methods of product promotion, which includes elements such as promotions and discounts. The main features of this marketing communications tool are:

awareness;
attractiveness;
an impulse to buy immediately;
calling a reaction from the consumer.

Sales promotion, like other ways to promote a product, has its own advantages and disadvantages. Its advantages are providing flexibility in the implementation of the product, good integration with advertising and personal sales. In addition, sales promotion is focused on the immediate purchase and the creation of conditions for the attractiveness of the transaction. In progressIn this way, the company does not suffer significant losses from the introduction of incentives in the form of discounts and concessions, implementing them on its own.

Disadvantages of sales promotion are its volatility and short duration, difficulty in determining success and high costs.

PR

Among all types of product promotion, it stands apart. PR, or public relations, is non-personal and unpaid promotion of a product. It is produced through the dissemination of commercially important information about the product being sold in newspapers and other print media, as well as its favorable presentation on television, radio or from the stage. As a rule, PR comes from well-known persons who finance events and are their sponsors. The main features of this form of product promotion:

showy;
credibility for the buyer of information coming from a well-known person;
wide audience reach.

The use of public relations is usually done in conjunction with advertising and sales promotion.

Personal Selling

Of all the other types of product promotion, this is an oral presentation of the product, which is carried out during a conversation with one or several buyers at once. The purpose of this conversation is to make sales. The distinctive features of this method are:

personal character;
establishment of a trusting relationship between seller and buyer;
significant degreeprompting consumer response.

Personal selling plays an important role in product promotion due to its functionality. On the one hand, they form and further support the image of the proposed product, and on the other hand, they allow you to achieve feedback with the client, which allows you to analyze the company's sales and make adjustments to plans for organizing subsequent campaigns.

How will the company decide to promote products? The choice of a specific marketing communication tool will depend on various factors. Among them are the following: