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Trade Promotions – Designed to gain manufacturers’, wholesalers’, and retailers’ support for a product NOT FOR CONSUMERS Types of Trade Promotions • Promotional Allowances – a cash payment or discounts given by manufacturers to wholesalers or retailers for performing activities to encourage sales. Types of Trade Promotions • Cooperative Advertising – A manufacturer supports the retailer by helping to pay for the cost of advertising its product locally. Types of Trade Promotions • Slotting Allowances – a cash premium paid for placing a product on a retailer’s shelves Types of Trade Promotions • Sales Force Promotions – awards given to managers and employees who successfully meet or exceed a sales quota. Types of Trade Promotions • Trade Shows and Conventions The Consumer Electronics Show is held annually in Las Vegas. Check it out by clicking on the image. Advertising What you’ll learn . . . • The concept and purpose of advertising • The different types of advertising media Advertising and Its Purpose • Advertising is any paid form of nonpersonal promotion of ideas, goods, or services by an identified sponsor • Advertising is everywhere! Types of Media Media are the agencies, means, or instruments used to convey advertising messages to the public. • • • • Print Media Broadcast Media Online Advertising Specialty Media Print Media Written advertising that may be included in everything from newspaper and magazines to direct mail, signs and billboards. They are among the oldest and most effective types of advertising. Newspaper Advertising • Local (Salt Lake Tribune) or National (USA Today) • Daily or weekly • Shopper – Little editorial content – Delivered free Magazine Advertising • Classified as – Local, regional, or national – Weeklies, monthlies, and quarterlies – Consumer or business (trade) A billboard gets right to the point Transit Advertising • Uses public transportation facilities • Commuter trains, taxis and buses, station posters near or in subways and in railroad, bus, and airline terminals Broadcast Media • Includes radio and television • The average person will spend nearly ten years watching TV and almost six years listening to the radio over a 70 year lifetime. Television Advertising • Communicates with sound, action, and color. • Prime time is between 8 and 11 p.m. • Is appealing to large companies with widespread distribution. Radio Radio Advertising • Radio reaches 96 % of people over 12 yrs which makes it very effective • Best times are “drive times” – morning and late afternoon/early evening Online Advertising • Placing advertising messages on the Internet • Banner ads – created with rich media technology that uses the strategy of popping up and interrupting the readers search Specialty Media • Relatively inexpensive, useful items with an advertisers name printed on them • Given away with no obligation attached • Calendars, magnets, pens, pencils, memo pads, and key chains Other Advertising Media • Businesses are constantly creating innovative means of transmitting their messages • Sports arena billboards, ads in movie theaters, hot air balloons and blimps, skywriting, etc.