Question

Justify the following statement.

Promotion plays an important role in marketing.

Answer 1

1. Promotion means any type of marketing communication used by business enterprises to inform and persuade potential buyers to buy the products or services. In promotion merits of products, services, brand benefits, etc. are explained to the potential buyers to attract them towards the products. The promotion mix comprises of different tools such as advertising, sales, promotion, direct marketing, personal selling, publicity, etc.
2. Business enterprises make use of a combination of all or some of these five methods for the promotion of their products and services as per the need of the business. Promotional activities help the organization to increase brand awareness in the market. In brief, promotion is concerned with informing the customers about the products of the firm and persuading them to buy the products.
3. Promotional strategy to be used in the organization depends on the various factors such as budget, the message it wants to communicate, and the target market. Promotion is an important element of marketing that creates brand recognition and ultimately increase sales.
4. Business enterprises through promotion attract consumers to buy and taste the products. The promotion mix to be used will depend upon the nature of the product, type of customers, stage of demand, degree of competition, etc. Promotion help business organizations to enhance sales. Increase in sales, increase profit for the organization. If the increased profit and income is reinvested in the business, it will earn more and more profits in the future. Promotion helps the organization to create awareness about existing products, new arrivals, and the company selling certain products in the market. It creates a brand image among buyers. Business organizations also use the promotion to build customers' layout base. This in turn expands sales and profits.