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ib business management hl notes

Unit 4.5c - Promotions

UPDATED ON - 18 OCT 2019


  • Communicating to the market w/ the purpose of selling a specific product or brand
  • The role is to inform, persuade, remind
    • Successful promotional mixes use AIDA Factors:
      • Attention, Interest, Desire, Action

Types of Promotions

  • Above the line (ATL)
    • Use of mass media for promotions
    • Very wide reach, but also very expensive
    • Also called “pull promotions”
    • e.g. TV, radio, newspaper, magazine, outdoor, cinema, etc.
  • Below the line (BTL)
    • Use of non-mass media promotional activities focused at the target market
    • Also called “push promotions”
    • e.g. price deals, money-off coupons, direct Marketing/direct selling, sponsorship, loyalty programs, word of mouth, buy-one-get-one-free offers

Promotional mix

  • The promotional mix is the combination of promotional techniques that communicate benefits from a product
  • Elements
    • Advertising – information, and persuasion
    • Public relations – image building and goodwill
    • Sales promotions – stimulate sales and activities
    • Personal selling – sales forces and agents

Guerilla marketing

  • Use of unconventional, surprise, and memorable interactions in order to promote a product
  • Generally used by smaller businesses who have a smaller budget available for promotions
  • Uses smaller teams of promoters in a specific area, rather than through mass media campaigns or involving the use of traditional forms of media
  • Emphasizes on attracting media attention and creating a good or memorable impression on the consumers
    • Benefits
      • Relatively low in cost and risk
      • Helps engage in networking with not only customers but even other potential business partners as well, depending on how viral the campaign becomes
    • Limitations
      • Success depends highly on market research
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