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Budgeting for Promotion
 Promotional mix – the strategy for promoting your
business using some, if not all, of these techniques
Advertising
 Advertising is a paid form of communication sent out by
business about a product or service
 Advertising helps you communicate with potential
customers. It lets them know what kinds of products and
services your company offers and why they should buy
from you
 Advertising should help a business convey a positive
image. Public relations is the act of establishing a
favorable relationship with customers and the general
public

For example, getting involved in your community,
making donations to charities, and being personable
with your customers are also public relations activities.
Choose Your Message
 Your advertising should clearly communicate the
message and image you want
 Once you choose a message, you will need to decide
which advertisement medium to use.
 To choose a medium, you will have to consider both cost
and effectiveness in reaching your target audience.
Television Advertising
 Reaches millions of people every day
 It’s the best way to reach a large number of people
quickly
 Comes in 2 forms

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Commercials – usually less than a minute in length and
are run during breaks in television programming
Paid advertisements – can last a half hour or more and
go into depth about the product being offered
Disadvantages of Television
Advertising
 Very expensive to produce
 Paying a network or cable station to broadcast a
commercial can cost much more
 Television reaches too broad an audience to be effective
for most businesses

For example, if only 1 percent of the viewing audience is
interested in a particular product, advertising on
television is not likely to be cost effective
Radio Advertising
 Can be effective for small businesses
 Less expensive than television advertising
 Tends to attract a particular kind of listener

For example, pop rock stations target teenagers and
people in their twenties. Classical or talk radio stations
usually attract older listeners.
Disadvantages of Radio
Advertising
 Only audio message and can’t visually show your product
 Listeners may not remember what they hear and may not
listen to the ads
Different Types of
Advertising
Newspaper Advertising
These ads are the single largest form of
advertising in the United States.
 IT is relatively inexpensive
 It targets a limited geographic area.
 It reaches large numbers of people.

Disadvantages
Much of the people who receive a
newspaper may not be interested in your
Ad.
 If you own a business that only has clients
in your surrounding area you will be
paying to advertise to thousands of people
who are not interested in your business.
 Also you will be competing with many
other Ads

Telephone Directory Advertising
Lists the phone numbers of people and
businesses in a certain area.
 Customers look in these ads again and
again making them a good advertising
medium.
 A disadvantage of directory advertising
is that people look in the directory only
when they are already in search of a
particular type of business.

Direct Mail Advertising
This includes fliers,catalogs,letters,
and other correspondence sent to
target customers through mail.
 Main advantage is that mailing list are
available for purchase.
 Disadvantages people throw it away
saying its “Junk Mail”

Magazine Advertising
• Magazines are an excellent way to aim
products and services at specific
markets.
• Most Magazines are nationally
distributed this can make them
inappropriate for businesses that sell in
a specific area.
• Some cities have local magazines that
would be effective.
Outdoor Advertising
Includes Billboards and Signs.
 This can be very effective in keeping
the name of your business in a place
where many people can see it.
 But since people see advertising as
they quickly drive by, it cannot contain
to much information.

Transit Advertising

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
disadvantage Transit advertising is signs on
public transportation. Transit information can
supply more then a billboard can.
This can be effective if the people you are
trying to reach use public transportation.
But not everyone uses public transportation
so this is a disadvantage.
Publicity

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Publicity is free promotion generated by
media coverage. Good publicity can be as
helpful as advertising. And Its free
But it can also be negative if the media
coverage is unfavorable. You should also
write a press release to local newspapers,
magazines, and radio and television stations
as well.
Press release- is a written statement meant
to inform the media of an event or product.
Selling
BY: BRUCE BROWN
SELLING
Good selling skills are important to an
entrepreneur
 You can hire others to assist in selling
products salesperson
 The salesperson is needs to create a
positive experience for the customer
 Salesperson is vital to a business because
he sales the product

Personal selling
Personal selling is direct communication
between a prospective buyer and a sales
representative in which the sales rep
attempts to influence the prospective
buyer in a purchase situation
 A salesperson should uncover customer

Needs
 Issues
 concerns

Product Knowledge
It is important to know your product
 You should know any benefits of your
product

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That’s what your customers are interested in
If they see the benefits they wont object
the price
 Its important to train employees about
products

Customers needs and wants
Customers purchase goods and services
in order to satisfy needs
 Needs assessment

Needs are determined through marketing
research
 You can interview customers to determine
their needs and wants
 Giving customers what they want by fufilling
their needs is called needs satisfying

Cont’d

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When the need is not identified the process of
satisfying the need is problem resolution
Buying decisions
Rational buying decisions are based on the
logical reasoning of customers
 Emotional buying decisions are based on the
desire to have a specific product or service

 little
time is spent in an emotional decisions
Customer Decisions
Problem solving process is the best way to
make a decision
 A sales person can assist in this process
 You can influence a customer decision if
you give great assistance in decision
making

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If done correctly you can influence them to
buy your product
Sales promotion

Is the act of offering an incentive to
customers in order to increase sales
contest
 Free samples
 Gifts
 rebates
 Special events

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A rebate a refund offered to people who
pursuance a product
Telemarketing

Using the phone too market your product
or service

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Can be inexpensive and an effective way to
let people know about your business
Some people don’t like telemarketing and
would rather be contacted at home