0% found this document useful (0 votes)

65 views

2.2.3 Promotion

The document provides information about promotion as part of the GCSE Business curriculum. It discusses different promotion strategies such as advertising, sponsorship, product trials, special offers, and branding. It also covers the growing importance of technology in promotion, including targeted advertising through social media and viral advertising. Students are expected to understand how different promotion strategies are suited to different market segments and products. The case study of KFC illustrates how the company uses branding, technology for communication, viral advertising campaigns, and special offers to promote its business and respond to issues.

Uploaded by

ryan

We take content rights seriously. If you suspect this is your content, claim it here.

Available Formats

Download as DOCX, PDF, TXT or read online on Scribd

0% found this document useful (0 votes)

65 views

2.2.3 Promotion

Uploaded by

ryan

We take content rights seriously. If you suspect this is your content, claim it here.

Available Formats

Download as DOCX, PDF, TXT or read online on Scribd

You are on page 1/ 7

GCSE Business

Theme 2.2.3 – Promotion

Booster Booklet
Specification
Subject content What students need to learn:
2.2.3 Promotion This is the third booklet in Topic 2.2 – ‘Making
marketing decisions’. This booklet examines the
 appropriate promotion ‘promotion’ element of the marketing mix. It
strategies for different builds on the marketing mix that was covered in
market segments: Theme 1 – 1.4.3.
advertising, sponsorship,
product trials, special Promotion is a key element of the marketing mix.
offers, branding. Students will learn about different types of
promotion, and will recognise which types are
 the use of technology in appropriate in different situations. For example, a
promotion: targeted large global brand may choose to sponsor a
advertising, online, viral famous sports man/woman, or a team with a
advertising via social national or international profile. A local take-away
media, e-newsletters. may decide to use special offers. Both are types of
promotion.

Students need to understand the growing

importance of the role technology plays in
promotion. Social media is used for targeted
advertising. Technology can be less expensive
form of promotion for a business, and can help
ensure a wide reach for any promotional
campaign.
Key terms in this topic:
 Advertising – messages paid for by businesses that are designed to inform and
influence people who read them.
 Branding – the promotion of a product or business by means of advertising or a
distinctive design or name.
 E-newsletters – electronic publications from a business that are sent by email or
social media.
 Product trials – a way of persuading customers to try a product by providing it
for free, sometimes for a limited amount of time.
 Promotion – the methods a business uses to persuade customers to buy its
products.
 Special offers – also referred to as sales promotions. Typically, a discount on
price to attract customers to buy a product.
 Sponsorship – where a business pays to have its name/brand associated with a
particular individual, event or team.
 Targeted advertising – advertising aimed at particular market segments.
 Viral advertising – using social networking to increase sales or boost brand
awareness.

Key terms – examples

In the space below, write examples to illustrate the key terms:
Key term Examples
Advertising

Branding

E-newsletters

Product trials

Promotion

Special offers

Sponsorship

Targeted
advertising

Viral advertising
Summary of the topic

Different promotion strategies are appropriate for different products or services

and the market they are aimed at. How and why businesses are making increasing
use of technology, such as using social media, as part of their promotional activities
is explored in this section. For example, many businesses – in addition to their
websites - have now have apps that can be downloaded onto mobile devices. This
allows customers or potential customers to be targeted with offers that are
personal to them. They can also provide a two-way platform so that customers can
interact with the company to build customer loyalty.

There is no requirement for students to have a technical understanding of the

technology behind these promotional methods.

Synoptic links to this topic

This sub-topic is also a useful revision tool for the topics already covered in Theme
1. It builds on 1.4.3 and links to some later topics.

 1.1.1 The business idea

 1.2.2 Market research
 1.4.2 Business location
 1.4.3 Marketing mix
 2.2.2 Price
 2.2.3 Promotion
 2.2.4 Place
 2.2.5 Using the marketing mix to make business decisions
Case study: Kentucky Fried Chicken

Read the case study before consider the points below.

Source: Section B - Paper 2 (June 2020)

How this case study illustrates/exemplifies the specification content:

The case study illustrates ‘Promotion’ in a number of ways:

 Kentucky Fried Chicken (KFC) brands some of its products to give them a
clear identity. For example, Popcorn Chicken, Zinger Tower burgers and so
on. Such branding is a form of promotion.
 After a set-back – the lack of supply of chicken to its stores – KFC used
promotion strategies to help win back customers.
 KFC used technology to communicate with customers regarding its supply
issues and some stores temporarily closing.
 KFC used a viral advertising campaign to apologise to its customers. Look
closely at the advertisement at the top of the case study.
 KFC considered special offers – lowering its prices – to win back lost
customers.

Check your knowledge:

1. Give 3 examples of business sponsorship – think of actual teams, individuals

or events sponsored by a business.
2. What does a business gain from sponsoring a team, individual or event?
3. How might technology benefit a business in terms of its promotion?
4. How does use of targeted advertising benefit a business?

Check your knowledge: recall question (previous unit):

1. What is a pricing strategy?

2. Explain how competition might affect the pricing strategy of a business.
3. What is the benefit to a business of a high-margin pricing strategy?
Activity - now try this…
Look at the different methods of promotion. Give each a score out of 5 for each
category.

E-newsletters Sponsorship Viral marketing

Cost

Reach – how many

people will see it?

Control – how easily can

the business control the
message?
Precision – how easily
can the business target
different market
segments?

Overall effectiveness

Common misconceptions

1. Not all methods of promotion are appropriate for all businesses. A viral
advertising campaign is more suitable for a national or international
business.
2. Just because a promotion campaign uses social media, does not mean it is
low cost. Businesses can spend vast sums of money on campaigns that will
use social media. However, businesses can use social media to reach a wide
range of customers and this need not cost lots of money.
What have you remembered so far?