Definitions [2]
Define advertising.
Advertising involves preparing and disseminating advertisements to target potential customers and inspire desired actions with the advertiser’s intention.
According to the American Marketing Association, advertising is “any paid form of nonpersonal presentation or promotion of ideas, goods or services by an identified sponsor.”
Define sales promotion.
According to the American Marketing Association, sales promotion includes “those marketing activities other than personal selling, advertising and publicity, that stimulate consumer purchasing and dealer effectiveness, such as point of purchase displays, shows and exhibitions, demonstrations and various non-recurring selling efforts not in the ordinary routine.”
Key Points
Key Points: Advertising
- Advertising is a paid, impersonal method of promoting goods and services.
- Features: Paid by a sponsor, impersonal, and sponsored by an identified company.
- Merits: Wide reach, builds customer confidence, attractive, and cost-effective.
- Objection: Increases cost; Response: Higher demand reduces per-unit cost.
- Objection: May confuse buyers or promote inferior products; Response: Buyers can compare products, and false claims are punishable.
Key Points: Sales Promotion
- Sales promotion gives short-term incentives to push immediate buying.
- It works with advertising and personal selling but is different from them.
- Tools are planned separately for customers, middlemen and sales persons.
- It is useful for attracting attention and introducing new products.
- Overuse can create a feeling of crisis and harm product image.
- Rebate, discount, refunds, free gifts, extra quantity, draws, usable benefits, finance offers, sampling and contests are widely used methods.
Important Questions [8]
- Explain in brief two merits of Advertising.
- State any two demerits of advertising.
- What is an advertising agency?
- Explain any two functions of an advertising agency.
- These posters are examples of: Social advertising
- What is ‘Social Advertising Media’?
- Write any two differences between Advertising and Sales promotion.
- Which sales promotion technique includes training in stores layout, product demonstration, advertising, etc.?
