Basics ‘AMODULAR APPROADA Mo. Nancy Laan 384 reproduced or distributed in any form or by any means, or stored ina database retrieval system without prior Philippine Copyright 2014 Rex Book Store, Inc. ll Rights Reserved. No part this Learning Device may be permission from Rex Book Store, Inc Is TEMODULE 8 Product Promotion Objectives: At the end of this module, students are expected to: contrast the different promotional mediums; 2. illustrate the advantages and disadvantages of each medium; 3. identify the different tools used in public relations and sales promotions; explain the types of advertising; and differentiate the promotions strategies. reproduced or distrbuted in any form or by any means, or stored ina database retrieval system without prior Philippine Copyright 2014 Rex Book Store Inc. All Rights Reserved. No part ofthis Learning Device may be permission from Rex Book Store, IncProduct Promotion An important marketing effort of any company, organization, or group is making the public aware of the existence of a product or a service. This happens every time a marketer increases the value of the product being offered. By doing this, the marketer is doing product promotions. There are different mediums used by firms so that the right target market is reached. The more knowledgeable the customers are of the product, the better it is for the firm. Phiippine Copyight 2074 Rex Eook Sova, Ine Al Rights Reserved No parol tis Learning Device hay be reprediced or distrbutedn any form or by any means, or stored na database retieal system without prior msson from Rex Book Store ne RETypes of Product Promotions 1. Advertising What Is Advertising? Unlike personal selling, advertising is a paid non- personal type of promotion where a product or idea is presented by an identified firm. It is one of the widely used promotion. It is done using broadcast media. Basically, an advertisement or ad is shown in mediums such as radio, television, and cinema. Another advertising medium is print where product promations are placed in journals, newspapers, Feproduced or distributed in any form or by any means, or stored ina database retrieval system without prior Philippine Copyright 2014 Rex Book Store Inc. All Righis Reserved. No par of this Learning Device may be permission from Rex Book Store, Inc Is TEOutdoor media is also a famous medium for firms. Gigantic billboards are placed in strategic locations or in busy highways to get the attention of motorists and passersby. Moreover, transit advertising is a very much-utilized medium in the form of ads set inside LRT or MRT, on top of a taxi, or logos designed or drawn on the body of a bus or any public transport. Indeed, advertising stimulates demand for a product. Through these mediums, potential market is reached and possible consumption of the advertised product by target market is achieved. Philippine Copyright 2014 Rex Book Store, Inc. ll Rights Reserved. No part this Learning Device may be reproduced or distrbuted in any form or by any means, or stored ina database retrieval system without prior permission from Rex Book Store, IncAdvertising Mediums Broadcast Media refers to medium used by advertisers when they choose to have ad exposure on television, radio, or cinema. Advantages of Television Advertisement: 1. The advertising message can be repeated. 2. TV ad can reach a wide range of audience. 3. It is appealing to the viewers’ senses, combining the sight, sound, and motion. Disadvantages of Television Advertisement: 1. It is very expensive. 2. Advertisers need to have several TV ad placements in order for the product to be remembered by the target audience. y permission from Rex Book Store, Incb, Print Media prices vary depending on the size of the ad, location, and the number of colors used in printing the advertisement. Payment is based on column centimeter. Advantages of Print Advertisement: 1. It can be read for longer period of time. 2. It is a lot cheaper than broadcast advertisements like the television ad. 3. It can target specific readers or market. Disadvantages of Print Advertisement: 1. It has a short lifespan. A newspaper, for instance, is already a history the following day once published. 2. Print reproduction may be of poor quality. 3. It has few or limited audience. Philippine Copyright 2014 Rex Book Store Inc. All Rights Reserved. No part ofthis Learning Device may be reproduced or distrbuted in any form or by any means, or stored ina database retrieval system without prior permission from Rex Book Store, Inc f ic. Outdoor Advertisement consists of ads that are placed on highways or roads where there are many passersby and vehicular traffic is heavy. Advantages of Outdoor Advertisement: 1. It is strategically located. 2. It has high visual impact to people because of its size and aesthetic value. . Itis low in cost. Disadvantages of Outdoor Advertisement: 1. Itis more on visual, thus limiting creativity. 2. It fights for motorists attention vis-a-vis other billboard ads due to its size and illustration. 3. It may cause accidents on the roads especially during heavy rains/typhoon because of its huge size. Philippine Copyright 2014 Rex Book Store Inc. All Rights Reserved. No part ofthis Learning Device may be reproduced or distrbuted in any form or by any means, or stored ina database retrieval system without prior permission from Rex Book Store, Inc f id. Transit Advertisements are promotional ads placed inside or outside public transport. reproduced or distributed in any form or by any means, or stored ina database retieval system without prior Philippine Copyright 2014 Rex Book Store Inc. All Rights Reserved. No part ofthis Learning Device may be permission from Rex Book Store, Inc2. Personal Selling Unlike advertising, personal selling is a promotional method where _ face-to-face interaction between the seller and the buyer is seen. reproduced or distrbuted in any form or by any means, or stored ina database retrieval system without prior Philippine Copyright 2014 Rex Book Store Inc. All Rights Reserved. No part ofthis Learning Device may be permission from Rex Book Store, Inc3. Sales Promotions A kind of promotion that targets either the channel of distribution, like the wholesalers or distributors, or the market. This is a short- termed promotion that intends to make the market react fast to a promotion campaign. reproduced or distrbuted in any form or by any means, or stored ina database retrieval system without prior Philippine Copyright 2014 Rex Book Store Inc. All Rights Reserved. No part ofthis Learning Device may be permission from Rex Book Store, IncSales Promotions Tools . Sales promotions that target consumers may use any of the following tools: + Bonus packs * Price discounts + Prizes * Cash refund + Coupons * Product ; + Free items demonstrations + Games or contest i: iRatfle/e gntests + Sampling + Warranty Philippine Copyright 2014 Rex Book Store Inc. All Rights Reserved. No part ofthis Learning Device may be reproduced or distrbuted in any form or by any means, or stored ina database retrieval system without prior permission from Rex Book Store, Inc raeb. Promotions that target trade can use any of the following tools: ¢ Allowance Free goods Price discount Price-offs Raffle Rebate ¢ Sales contest reproduced or distrbuted in any form or by any means, or stored ina database retrieval system without prior Philippine Copyright 2014 Rex Book Store Inc. All Rights Reserved. No part ofthis Learning Device may be permission from Rex Book Store, Inc4. Public Relations A type of promotion that builds good relations with the various stakeholders of the company by using different public relations tools to establish good corporate image and manage unfavorable or negative publicity or events. Major Public Relations Tools « News release « Press conference « Public service activities Special events lippine Copyright 2014 Rex Book Siore, Inc.All Rights Reserved, No part of this Learning Device may be reproduced or distrbuted in any form or by any means, or stored ina database retrieval system without prior permission from Rex Book Store, Inc raeTypes of Promotional Strategies 1. Pull Strategy A type of promotion strategy where there is huge budget on advertising expenditure, public relations, or consumer promotions to persuade the market to try the company’s offering. 2. Push Strategy A type of promotion strategy that calls for using personal selling and trade promotions to aggressively promote the company’s offering through various channel members, for them to carry the products and promote to end users. reproduced or distrbuted in any form or by any means, or stored ina database retrieval system without prior Philippine Copyright 2014 Rex Book Store, Inc. ll Rights Reserved. No part this Learning Device may be permission from Rex Book Store, Inc Is TEEnd Philippine Copyright 2014 Rex Book Store, Inc. All Rights Reserved. No part this Learning Device may be reproduced or distributed in any form or by any means, or stored ina database retieval system without prior permission from Rex Book Store, Inc