Advertising and Business Promotion

A business promotion is an act in any form of communicating a certain business which aims to persuade, inform, give awareness and remind individuals about their product to facilitate good public image and to increase sales. The business advertising is a way where business owners are able to promote their products and convince the buyers to choose their product instead choosing the products of their competitor. The mechanism is, business explains the advantages of their product over other products, facilitates spreading of information where the product outlet is available, advertises the suggested retail price, the customer feed backs, accreditation levels and marketability. Some utilizes the need of commercial icons and popular artist to do such while others result in a highly competitive advertising strategy to beat competitors and compete in the industry.

A certain business utilizes an institutional business promotion enable to create a favorable identity for its products or services (especially now where competitors are also competing in the market). Institutional business promotion doesn’t really sell products directly. But, through creating a highly favorable identity for their products and services, the result of institutional business promotion is a highly in demand sales as well as peak sales of the company’s products or services.

The basic of business promotion is business advertising. Advertising is any legal sponsored form of personal or non-personal promotion of facts about the products, promotions or goods and services, building linkage of corporate world to the customers and facilitating sales. Advertising is unique and different compared to other forms of business promotion because: first, the money and time being devoted for the advertisement. Second, it sets a concept of giving further information about the product or services rather than selling it personally. Lastly, it clearly presents the main sponsor of the overall message.

The advantages are:

  1. Customers will be able to know about your product and services because of your preferred advertising way.
  2. This is also a cheap form of advertising; it only intends to give insights about the product or services.
  3. The advertising way has so many options from the utilization of media to the utilization of print-adds.
  4. Businesses are clearly promoted
  5. The advertising tool is subjected for repeat viewing as long as it exists. This will make people more familiar to the product or service as long as they get into contact with it.
  6. Advertising has so many advantages.
  7. The intent to advertise is not specific to a certain population group; it is open to all and not limited.
  8. Monitoring is done in a timely basis, not in a day-to-day manner
  9. You will expect people to come in your door, not you coming on their doors.

The advantage of knowing such advantages and few drawback will help you consider the types of promotion you are about to engage to generate the best sales for the business enable to become more successful and outstanding in the industry. You will have the chance to further expand your knowledge on these things when you update yourself on the latest trends available in the Internet.

Why You Should Never Trust An Advertising Sales Rep

Advertising Sales Reps Sell Institutional Advertising

What is institutional advertising? Here’s a definition: “Promotional message aimed at creating an image, enhancing reputation, building goodwill, or advocating an idea or the philosophy of an organization, instead of sales promotion.” (BusinessDictionary.com)

Institutional advertising promotes the name of the business and the brand but is not used to create sales. Large advertisers use institutional advertising to increase their name recognition and, hopefully, market share. With a larger market share, increased sales are expected to follow.

Most of the advertising we see everyday on television comes in the form of Institutional Advertising. It’s the big companies with household brands working hard to entrench their brand even further into our brains. While that may be an effective strategy for billion dollar, multi-national companies, it’s a devastating plan of action for smaller, local businesses.

Very few small business owners have a grasp on marketing. When they do advertise, they simply do the same things others are doing. Media salespeople do an excellent job explaining how advertising works when they’re selling the advertising. They also are great at explaining why an ad didn’t work. The number one reason: The business owner didn’t buy enough time or space. The number two reason: The ad wasn’t run for a long enough time period.

Beware of the Advertising Sales Representative

Ad sales people are not marketing experts. They actually do not know much about marketing at all. They have been trained to do one thing: sell ads. In that respect they are formidable. Ironically, most small business owners believe that ad salespeople are indeed marketing experts. Ad sales reps use this to their advantage and often help small business owners actually create the ads that will run on their network, publication, billboard, etc.

The entire system represents a conflict of interest. The goal of advertising is to increase sales for the business owner. But the ad sales rep’s goal is to sell advertising. The ad sales rep acts on behalf of his or her employer and does not maintain a fiduciary relationship with the client. So the advice of advertising sales reps is never given for the benefit of the small business owner. When they urge their clients to buy ads, they do not have the expertise or training to know if the ads will have any positive impact on sales or profitability. They are not qualified to suggest when an ad should run, how long the ad should run or even the frequency rate. They can not suggest other forms of advertising or marketing that might be more suitable because they are employed by a single media outlet.

This conflict of interest is unique to ad sales. Imagine if you had a medical condition; let’s say Acid Reflux. Instead of going to a doctor, you consulted with a drug sales rep. Like the ad sales rep, the drug rep works for one company. If she worked for Pfizer, she would recommend Viagra to treat your acid reflux condition. When you found this to be ineffective, the drug rep would suggest increasing the dosage or advise that you simply continue taking the drug longer and give it some time to work. Once you’ve run out of money, the drug rep would move on to the next patient.

Small business owners must learn that ad sales reps do not have their best interests at heart. The ad sales rep hopes that the ad works so that the client will buy more ads, not because their goal is to increase sales for the client. Only independent marketing experts have the ability to act objectively on behalf of their clients. This is an important distinction. They actually represent their clients’ best interests when it comes to marketing. As experts, they provide valuable insight as to which marketing program (or mix of programs) will generate the greatest return on their clients’ marketing investment.

Traditional Advertising is often Institutional Advertising

Most traditional advertising, be it local or national, is a form of institutional advertising. It is done with such repetition that people will remember the product or service when the time comes. The products or services are so commonly used that people have an easy time remembering the message. But local business can not afford to advertise in this manner. When they do advertise, they can only afford to run the ad for a short time, at an infrequent rate. Therefore, Institutional advertising does not work for small businesses. When it comes to marketing, local business owners need to market themselves in a modern fashion and expect a tangible return on their marketing investment.

So next time an institutional ad sales rep comes knocking on your door, remember, they are there to sell you something that is ineffective and does not provide a positive return on your investment. They do not understand marketing, they are sales people. Don’t trust their facts or figures. They are based on data that can not be analyzed easily and is only used to back their statements. Instead, search for a local, independent marketing expert. Not only are they much less expensive, they will be able to advise you based on your best interests, not their own.

Tips for Advertising on ATM Receipts

Ask any marketing or advertising manager and they’ll tell you: advertising isn’t easy. Consumers can be fickle; their media habits unpredictable. Our society has become so inundated with irrelevant ads that we’ve learned to tune them out. And, while consumer attention wanes, media costs escalate, making advertising on a large scale unaffordable for most marketers.

The Advantages of ATM Advertising

Well, advertising doesn’t have to be so challenging. Not for independent ATM deployers (IADs) and financial institutions (FIs), anyway. The ATM provides such marketers with one of the most attractive advertising vehicles available. It’s like an outdoor billboard, a TV, a computer, and a direct mail delivery device all wrapped up in one.

In addition, ATMs offer:

  • access to often difficult to reach target demographics,
  • the customers’ undivided attention when their mind is on money, and
  • advertising costs that are a fraction of traditional media.

Who Uses ATM Advertising

The synergy between ATMs and FIs is too obvious to overlook. It’s the perfect outlet for banks and credit unions to drive brand awareness, or cross-promote pertinent products to a captive audience when banking is top-of-mind.

But, by no means are the advertising opportunities exclusive to financial institutions. Given the large, and growing network of IADs, ATMs have become a far more common way for people to obtain their money. And their placement within high traffic areas, and proximity to high interest retail stores, broadens the scope of potential advertisers to include almost anybody.

The key for IADs is determining how to package, price, and sell their media space to potential advertising clients and their agencies. Media efficiency should be a strong selling point as the ATM offers one of the most cost-effective ways to advertise to a highly targeted audience.

Types of ATM Advertising

There are many ways to advertise through an ATM. At its most basic level, the device itself can act like a billboard, delivering a message to everyone who passes by.

Another option is to use the monitor screen to deliver an ad message at a time when you have a customer’s complete and undivided attention. For instance, a FI may wish to deliver credit card offers to people with certain financial qualifications.

A third option is advertising on the ATM receipt. Most customers request a receipt and carry it with them in their wallet or purse for future reference, giving the ad message longevity. Receipt ads also offer the ability to distribute a coupon or promotional offer which can later be redeemed. This feature provides advertisers with a mechanism through which to measure their return on investment, something that is far more difficult to do with other forms of media.

The Efficiencies of ATM Advertising

The cost to advertise on an ATM will depend on the type of ad you want to run and the location of the machine. High traffic sites will draw a higher price, as will locations catering to certain demographics

The most efficient, and arguably most effective, form of ATM advertising is delivered on the receipt. This is because ATM paper is essentially a sunk cost for the operator, and the cost of custom printing is nominal. So, the incremental expense to custom print an ad on the back of a receipt is marginal compared to what the operator would already have to pay for stock paper.

On average, the incremental cost to custom print an ad on the back of stock paper can run as low as $6.25 per roll. And each roll can deliver approximately 6,250 advertising impressions. That’s a $1 CPM (cost-per-thousand impressions, the standard unit for measuring media). As you can see below, a $1 CPM is much lower than you’ll find among any of the more traditional media channels.

Advertising CPM* Comparison

Network TV: $28

Print: $17

Cable: $12

Radio: $10

Out-Of-Home: $5

Online: $2

Custom ATM Receipts: $1

*A CPM is the approximate cost to deliver 1,000 advertising impressions to a specified audience.

In addition to media efficiency, advertisers will also want to know how effective ATM advertising can be. Custom printed receipt ads are the easiest to measure a response against as the advertiser can supply something tangible for the customer to redeem. According to leading manufacturers, ATM advertisers have achieved response rates of 10 percent and higher for their campaigns, far exceeding the 1-2 percent success rates of most direct mail campaigns, and at little-to-no incremental cost.

Summary

ATM advertising is one of the most effective and cost efficient ways for FIs to deliver a custom ad message to a highly specified target audience. It is also an excellent way for IADs to bring in additional revenue for their network of machines.