What is Promotion?
Objectives of Promotion
Persuasive Promotion:
- Goal: Convince customers to buy, switch brands, or stay loyal.
- Strategies: Product differentiation, creating a unique identity, and encouraging impulse buying.
Reminder Promotion:
- Purpose: Maintain customer awareness and interest in established products.
- Timing: Suitable for products in the maturity or saturation stage.
Brand Development Promotion:
- Focus: Building awareness, recognition, and loyalty.
- Importance: Retaining customers can be expensive, so brand development is crucial.
Attracting Customers:
- Goal: Attract customers to the entire product range or brand.
- Methods: Promotional activities that grab attention.
Above the line promotion
What is ATL Promotion?
Paid-for promotional methods using independent mass media sources like TV, radio, magazines, newspapers, and outdoor advertising.
Controlled by external organizations like advertising agencies.
Benefits:
- Reaches a large audience.
- Customers perceive ATL as more interesting and engaging.
Drawbacks:
- Expensive.
- May not be targeted effectively, leading to wasted spending.
- Consumers may ignore ads (channel switching, skipping, etc.)
Examples of ATL Promotion:
- Television advertising
- Radio advertising
- Cinema advertising
- Newspaper advertising
- Magazine advertising
- Outdoor advertising (billboards, posters, etc.)
Below the line promotion
What is BTL Promotion?
Promotional activities controlled directly by the business, with no commission paid to external agencies.
Targets specific market segments.
Generally cheaper than ATL promotion.
Benefits:
- More targeted approach.
- Lower cost.
- Maintains control over message.
Drawbacks:
- May not reach a broad audience.
- Requires more effort from the business.
Examples of BTL Promotion:
- Direct marketing (email, phone calls, mail)
- Personal selling (sales presentations, face-to-face meetings)
- Sales promotions (discounts, coupons, free samples)
- Point-of-sales promotion (displays at checkout)
- Public relations (media coverage, press releases)
Through the line promotion
What is TTL Promotion?
Combines ATL (above-the-line) and BTL (below-the-line) promotional methods.
Creates a consistent message across multiple platforms (TV, social media, events, etc.).
Benefits:
- Reaches a wider audience than BTL alone.
- More targeted than ATL alone.
- Creates a stronger brand image and builds brand loyalty.
Factors to Consider When Choosing Promotional Methods:
- Product: Some products are better suited to specific promotion types (e.g., personal selling for insurance).
- Product Life Cycle: Promotion needs change as the product goes through launch, growth, maturity, and decline stages.
- Legislation: Regulations may restrict advertising for certain products (e.g., tobacco) in some media.
- Cost: Different methods have varying costs (TV advertising is expensive, online promotion is cheaper).
Example:
- Launching a new movie might involve TV trailers, radio ads, billboards, newspaper ads, online platforms, and cinema trailers.
Drawbacks:
- More expensive than ATL or BTL alone.
- Best suited for larger, established businesses.
Social Media Marketing
What is SMM?
- Using social media platforms (Facebook, Twitter, etc.) to promote products or brands.
- Creating content that attracts attention and encourages sharing.
- Sharing marketing messages and information with targeted audiences.
Benefits:
- Builds trust: Messages come from a trusted source (friends, celebrities) rather than commercials.
- Wider reach: Leverages the power of the internet for faster and broader reach.
- Cost-effective: Content sharing makes promotion efficient.
- Targeted marketing: Reaches specific audiences on relevant platforms.
Drawbacks:
- Lack of control: Businesses can’t control what’s written or shared about them.
- Negative publicity: Viral false information can create PR problems.
Security threats: Hackers can spread misinformation.
