Promotion mix, Advertising, Publicity, difference between advertising and publicity, Personal selling, Sales Promotion, difference between advertising and personal selling
2. Meaning
When intensive efforts are made to increase the sales of a particular product, it is
called “promotion”.
Promotion Mix- It is the set of all the activities undertaken to increase the sale of
product.” the activities included-
Advertising
Publicity
Personal selling
Sales promotion
3. Advertising
American Marketing Association defines advertising as
“Any paid form of non-personal presentation & promotion of ideas, good or services
by an identified sponsor.”
“advertisement is salesmanship in print.”
4. Characteristics
Impersonal Salesmanship
In advertising, goods are not sole directly as in case of personal selling. Here people are
only well informed through various media of advertising about goods & services &
motivated to buy.
Handwritten, printed or Oral
The message about goods or services may be handwritten (black board), Printed
(handbill, posters) or oral (announcements on Radio, TV)
An Art
Advertising is an art of selling goods or services by informing people in form of
magazines, newspapers, radio, TV, etc & influencing their buying decisions. In old times,
people were assembled at 1 placed & then by shouting announcement was made.
5. Characteristics
Activity addressed to a mass of people
Advertising is an activity not concerning one individual but the mass of people i.e to a large no. of people & creating group
impact(effect).
Objectives of sales promotion
The objective of advertising is not only to give message or information about to buy goods & thereby increases sales.
Use of various media
There are many medias for advertising like magazines, newspapers, radio, TV, cinema slides, posters, circulars, etc.
More element of truth
Advertising concept was misunderstood in 19th century. But now laws are enacted by t he government for the same purpose. Now
advertising is no more a cheating to consumers but a truth or reality.
Huge expenditure
Advertising is the paid form of presentation which means it has a heavy cost or expenditure. The annual ad expenditure in USA is Rs
24000 crores. In india a half an hour dail shops can be at a cost of lacs of rupees
6. Publicity
Meaning
If a company & its product come to the attention of public through newspaper,
radio or TV free of cost, its is called publicity.
7. Characteristics
Diverse tools
Cost free service
Sales promotion not the direct aim
Obtaining editorial space
Part of public relations
8. Importance of publicity
News worthieness
Stimulus
Creating credibility-good name
Economy-free or less cost advertising
Makes salesman’s work easy-as all know about the product
Public relation-increasing company’s goodwill in the market
Change in customers attitude
9. Difference
Sr
No.
Point of
Difference
Advertising Publicity
1 Meaning Any paid form of non-personal
promotion of ideas, goods or services
by an identified sponsor is …
If a company & its product
come to the attention of public
through newspapers, radio or
TV Free of Cost, is ...
2 Medium Various Medium News paper, radio & TV only
3 Control Only manufacturer No control
4 Aim Increase in sale Increase in prestige
5 Repetition Can be repeated Not possible
6 Credibility Less More
7 Form of Form of propaganda Form of reports in newspaper
8 Price Price is to be paid Cost free
10. Personal Selling
According to personal selling
“Personal selling consists of individuals,
personal communication, in contrast to the
mass, impersonal communication of advertising,
sales promotion & other promotional tools.”
OR
In simple words, “it refers to door to door selling
made by salesmen to increase sales of product
or services.”
11. Characteristics of Personal Selling
Personal Contact: In personal selling, salesmen comes in direct contact with the
customers & persuades them to buy the product.
Flexible process: It is flexible process. Salesmen convince different types of
customers in different ways.
Quick results: This is the only medium which gives quick results. As salesman &
consumer meet personally all the hurdles are removed which leads to sales
promotion.
Minimum waste: In personal selling, salesmen prepare the list of potential buyers
& appeals directly to them. So no money is wasted as in case of advertising.
12. Genuine form of marketing: In personal selling, salesmen comes in direct contact
with the customers & persuades them to buy the product. So only products are
sold as per requirements & so it is a genuine form of marketing.
Difficult Task: It is a tough job as compared to other elements as it requires lots of
patience, tolerance, cautiousness, friendly nature, etc.
13. Difference
Sr
No
.
Point of
Difference
Advertising Personal Selling
1 Meaning Any paid form of non-personal
promotion of ideas, goods or services
by an identified sponsor is Advertising.
It consists of individuals,
personal communication, in
contrast to the mass,
impersonal communication of
advertising, sales promotion &
other promotional tools.
2 Job Easy Tough
3 Expensive Cheap/no expensive Expensive/yes expensive
4 Way of
process
One way Process Two way Process
5 Work to be
done
Just give Information about product to
all
Bring product to the direct
attention of buyer
14. Sr No. Point of
Difference
Advertising Personal Selling
6 Accuracy in
result
Can’t be known accurately Can be known accurately the
impact of personal selling
7 Success
depends
How powerful advertisements are? On ability, skill, knowledge, etc
of salesmen
8 Physical
Verification
Not possible Possible
9 Contact Impersonal/ Indirect Personal contact
15. Sales Promotion
“All the efforts made by the company to increase
its sales is called sales promotion.”
OR
“Any steps that are taken, for the purpose of
obtaining or increasing sales is called sales
promotion.”
16. Characteristics of Sales Promotion
Non recurrent tools: Sales promotion uses non recurrent measures or tools of
increasing sales which means that these tools are not repeated again & again.
Eg: Sale
Parties involved: It includes salesmen, dealers, consumers, wholesalers, retailers,
etc.
Not indispensable (unavoidable): Sales can be done even without sales
promotion efforts as sales promotion is additional marketing aimed ar increasing
sales.
17. Results can be ascertained: The sales promotion how far was successful can be
measured by looking sales figures.
Additional benefits: Parties to the transactions get additional benefits, consumers
in the form of low prices, awards, prizes, etc salesmen in form of high
commission, bonus, trophy, etc.
Additional & not regular activities: Sales promotion is a additional activity to
increase sales. They are not done on a regular basis.
18. Objectives of Sales Promotion
To attract new customers
To increase off season sales
Introducing new products
To meet the competition
To encourage present customers to buy more
To induce dealers to stock more
To raise company’s prestige