Advertising can take a number of forms, including traditional print media.
Although the terms "advertising" and "promotions" often seem synonymous with one another, marketing professionals have considerably different uses for the two public relations approaches. While advertising serves as a long-term way to build brand loyalty, promotions deliver a quicker boost to the organizational bottom line. Used together, these two tools can help an organization achieve its financial objectives.
Differences
According to the college textbook Strategic Advertising Management by Percy, Rossiter and Elliott, strategy separates advertising and promotions. Percy, Rossiter and Elliot point out that advertising describes a long-term process designed to raise brand or product awareness and gradually improve attitudes and perceptions about a company and its products or services. Promotions, in contrast, tend to be shorter, more pointed strategic initiatives designed to quickly attract attention and increase sales. Public relations experts at Marketing Profs note that both advertising and promotions are general terms and so broad that public relations tactics that are not expressly classified as advertising tend to be considered promotions.
Effects
Marketing professionals, according to Marketing Profs, can use advertising to build awareness about an organization and provide information on the products and services it offers. Effective advertising can position a product, service or brand in a particular market segment, and some advertising campaigns can even reassign a product or service from one market segment to another. Although promotions can also increase brand awareness and provide information, they often capitalize on the position created during advertising to generate quick, short-term sales increases.
Types
Advertising, according to the marketing firm Just Brand Me, typically takes place through traditional media channels such as newspapers, magazines, TV and radio, though some advertising also takes place online. Advertising can take a number of forms ranging from commercial spots to sponsorship of sports arenas; in some cases, representatives of a company might provide free informational seminars as a way of raising brand awareness. In contrast, some promotions include free samples, coupons and limited-time sales. Promotions might also include special events such as the "tent events" that some car dealers host or the "double coupon days" at some retailers.
Benefits
Percy, Rossiter and Elliot point out that both advertising and promotions should hold a place in an organization's overall marketing plan. By advertising, organizations can develop long-term relationships with customers and position products or services as a first choice when a potential buyer must make a purchasing decision. In the shorter term, promotions can help attract customers through discounts and special events, even though the buyers might not otherwise be ready to complete a transaction. Promotions also can help an organization meet quarterly sales objectives, as promotional events can sharply increase sales in a shorter period of time.
Considerations
Although advertising and promotions both help build brand awareness and increase sales, organizations should not exclusively rely on either. Instead, Percy, Rossiter and Elliot recommend a combination of advertising and promotions to build and capitalize on brand loyalty. In addition, organizations affected by unfortunate circumstances, such as the BP Deep Horizon oil spill in 2010, might find themselves forced to rely on advertising as a vehicle for rebuilding consumer confidence.
Tags: advertising promotions, Percy Rossiter, brand awareness, increase sales, Percy Rossiter Elliot, products services