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Evaluate ‘Sales Promotion’ and ‘Public Relations’ as forms of promotion. - Leaving Cert Business - Question B - 2010
Question B
Evaluate ‘Sales Promotion’ and ‘Public Relations’ as forms of promotion.
Worked Solution & Example Answer:Evaluate ‘Sales Promotion’ and ‘Public Relations’ as forms of promotion. - Leaving Cert Business - Question B - 2010
Step 1
Sales Promotion
Answer
Sales Promotion is a marketing strategy that utilizes short-term incentives or 'gimmicks' designed to boost customer interest in a product or service. This approach typically involves activities such as discounts, special offers, contests, and giveaways, aimed at attracting customers and enhancing the product's attractiveness.
The effectiveness of Sales Promotion lies in its immediate impact on consumer behavior. For instance, large retailers like Tesco and Dunnes often run promotional campaigns to increase market share during competitive times. These promotions create a sense of urgency, prompting customers to make quicker purchase decisions. However, reliance on sales promotions can lead to consumers expecting discounts, which may affect long-term brand perception if used excessively.
Step 2
Public Relations
Answer
Public Relations (PR) focuses on building a positive image for a business and establishing good relationships with the public. It includes a wide array of activities aimed at promoting the business's interests, such as press releases, public speaking engagements, and media outreach.
PR is effective in creating a favorable brand image and can significantly influence public perception. For example, companies like Heineken utilize PR strategies to share information about their products and corporate social responsibility initiatives, aiming to enhance their reputation while engaging with consumers indirectly. Nonetheless, PR efforts can face challenges, including negative publicity or miscommunication, which may damage the brand's image if not managed appropriately.