Promotion is one of the 4Ps of marketing and plays a huge role in displaying the qualities of a product/service and constructing a story around it so that the customers can be engaged and ultimate sales can happen.
The four major components which any promotion effort can contain are :
1. Advertising :
The American Marketing Association has defined advertising as, ‘Any paid form of non-personal communication or presentation, and promotion of ideas, goods and services by an identified sponsor. Advertising is impersonal salesmanship devised for the purpose of mass selling.
It is an extremely attractive medium to target a larger customer base.
The purpose of advertising is also to reassure employees or shareholders that a company is successful or is performing upto the mark. Advertisers often seek to generate increased consumption of the product/service being promoted through ‘Branding’, which involves associating a product name or image with certain qualities in the minds of the customers.
2. Publicity :
It is basically a nonpersonal stimulation of demand for the product or service or just as a business unit by placing commercially significant news about it in a publication or its presentation on radio, Television or stage which is not being paid for by the sponsor.
Publicity is an act of attracting media attention and thus gaining the required visibility among the public.
3. Personal Selling :
In this form of promotion, sales personnel are used to sell a product or service through face to face interactions with the potential customers. Presentation of a product/service is made to potential prospects by the salesperson. All presentations may not convert or result into sales, but the process acts as a mechanism to generate potential leads in the given market.
4. Sales Promotion :
It covers those marketing activities, other than advertising, publicity and personal selling that stimulates consumer purchasing and dealer effectiveness. Thus, sales promotion basically includes various incentives, offers and rewards that encourage people to buy a product or service.
Examples which we see all around us are, exhibitions, demonstrations, coupons, digital retail offers, and many such non-routine selling tactics. In this manner, sales promotion tries to complement the existing promotion efforts which are precisely directed at the customers after thorough understanding of the market and the aligning trends.