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GLOSSARY
COMPETENCY:
10.00 Identify the function of promotion in small business.
Bleed page: A page on which the advertisement is printed to the edge of the page
leaving no border.
Broadcast media: Agencies or instruments such as radio and television that use
verbal communication to share a message with the public.
Buying allowance: Price discount given by a manufacturer to increase the desire of a
wholesaler or retailer to purchase the product.
CPM (cost per thousand): The media cost of exposing 1,000 readers to an ad.
Extensive coverage: Reaching a larger audience.
Frequency: The average number of times a person in the target audience is exposed
to a promotional message.
Incentives: Products earned through contests, sweepstakes, and rebates.
Institutional advertising: Advertising designed to create a favorable image and
goodwill for a business or organization.
Institutional promotion: Communication used to create a favorable image of the
business in the eyes of the consumer instead of promoting a product/service.
Intensive coverage: Reaching a smaller group of people more often.
Media: Agencies, means, or instruments used to deliver promotional messages to the
public. (Also see Promotional media on the next page.)
News release: A prepared statement or story that provides newsworthy information
about the business or organization providing it.
Online media: The Internet used as a vehicle to deliver messages to customers.
Personal selling: A form of promotion that uses planned, personalized communication
in order to influence customer buying decisions and ensure satisfaction.
Premiums: Low cost items given to the consumer at a discount or free.
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Press conference: A meeting to which a business or organization invites media for the
purpose of distributing information about a newsworthy event.
Press kit: A folder containing feature stories, articles, photographs, and/or news
releases about the company, product, or persons which has been prepared to
assist the media.
Primary circulation: The total number of copies of print media sold.
Print media: Agencies or instruments such as newspapers, magazines, direct mail,
signs, and billboards which use written communication to deliver messages to
the public.
Product promotion: Communication used to persuade consumers to buy a particular
product/service.
Product samples: Trial size products generally sent through the mail or distributed at
the business and given to the consumer free of charge.
Promotion: Any form of communication a business or organization uses to inform,
persuade, or remind consumers about its products/services.
Promotional advertising: Communication designed to increase sales of products and
services.
Promotional media: Channels of communication that serve as tools for promoting
ideas, goods, and services to consumers. (Also see Media on the previous page.)
Promotional mix: The combination, or blend, of the different types of promotion.
Promotional strategy: A carefully arranged sequence of promotions designed around
a common theme responsive to specific objectives.
Promotional tie-ins: A strategy in which two or more businesses combine promotional
resources to increase sales.
Public relations: Any activity designed to create a favorable image toward a business,
its products, or its policies.
Publicity: Information that is provided to the public by the media or other sources at no
cost to the business.
Reach: A non-duplicated count of the people in a target audience who are exposed to
a promotional message. (Each person is counted only once even if they view the
message more than once.)
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Sales incentives: Awards given to salespersons for meeting or exceeding sales goals.
Sales promotion: The variety of activities other than personal selling, advertising, and
public relations that are used to increase consumer purchases.
Secondary circulation: The number of people who read a publication but do not
actually purchase it (“pass along” readers).
Slotting allowance: Money paid by a manufacturer to the retailer for placing a product
in the store, perhaps in a specific location.
Specialty media: Inexpensive, useful items with the name of the advertiser printed on
them that are used to gain customer recognition or serve as reminders.
Visual merchandising/display: Coordination of the physical elements of a business or
a product to project the desired image to the consumer.
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