Method
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Explanation
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Advantage
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Disadvantage
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Advertising
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- Promotion occurs through paid channels such as television, radio, print media (magazines), and online advertising
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- It can reach large audiences and increase brand awareness
- Can also be used to create a specific brand image or message e.g. the advertising campaign run by Compare the Market (Meerkat)
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- Can be expensive
- The effectiveness of advertising can be difficult to measure
- Many customers tune out or ignore ads
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Direct Marketing
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- Involves communicating directly with customers through email, text message, social media or post
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- Businesses can target specific audiences and personalise their message to individual customers
- Direct marketing is also measurable, which enables businesses to track their results and adjust their strategy accordingly
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- Can be intrusive as customers may perceive it as spam
- Can also be costly, especially if businesses do not have an established customer database or need to purchase leads
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Sales Promotions
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- Marketing techniques that encourage the purchase of a product or service by offering temporary incentives or discounts such as free samples, buy one get one free (bogof), discount coupons, loyalty cards, and rebates (customers have to mail in to receive money back)
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- Can quickly boost sales or customer engagement
- Can help to clear out stock or promote a new product
- Can encourage impulse purchases
- Can be targeted to specific segments of customers
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- Can be expensive especially if the promotion requires a heavy discounting
- Can attract deal-seeking customers who may not be loyal to the brand
- May reduce the sales of full-priced products
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Personal Selling
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- Occurs when a salesperson interacts with potential customers one-on-one, either in person or through digital communication channels
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- Allows businesses to build relationships with their customers and understand their specific needs
- Enables businesses to provide personalised advice and guidance to customers
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- Can be expensive due to the cost of hiring and training sales staff
- The impact of personal selling can be limited as it is difficult to scale to large audiences
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Sponsorship
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- This is an agreement in which a company provides financial or other support to an event, team, or organization in exchange for marketing exposure
- Can take many forms, such as logo placement or naming rights (Arsenal Emirates Stadium)
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- Can help to build brand awareness and credibility
- Can create emotional connections with target audiences
- Can support specific business objectives, such as entering new markets or reaching new customers
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- Can be expensive, especially for high-profile events or properties
- May not directly drive sales
- May be subject to negative publicity if the sponsored entity experiences a scandal or controversy e.g. In 2022 Kanye West was dropped by Adidas after his anti Semitic outbursts
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Public Relations (PR)
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- The business seeks to build relationships with the public and manage their reputation
- Public relations activities can include media relations, crisis management and community outreach
- E.g.in 2018 KFC in Ireland ran out of chicken due to some supply chain issues and ran a brilliant PR strategy in which they rearranged the letters in their name to FCK and owned the problem
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- Can enhance a business's reputation and credibility
- This can lead to increased customer loyalty and sales
- Can be cost-effective when compared to advertising or personal selling
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- PR can be time-consuming and is difficult to measure the direct impact of PR activities on the profits of a profits
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Digital Communications
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- Refer to any form of marketing or communication that is delivered electronically, such as social media, search engine optimisation (SEO), or mobile apps such as Instagram and Twitter
- Can be used for building brand awareness, generating leads, or driving sales
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- Can be highly targeted to specific customer segments
- Can provide real-time engagement and feedback from customers
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- Can be easily ignored or filtered out by customers
- May require significant investment in technology or data infrastructure
- May be subject to data privacy regulations or security breaches
- May not be effective for reaching older or less digitally-savvy customer segments.
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