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Meaning and importance of Promotion in marketing
Meaning and importance of Promotion
Communication plays an important role in marketing. Communication perform the function of informing the target customer about the nature and type of the firm's product and services, their unique benefits, uses and features as well as the price and place at which these products can be purchased. The nature of marketing communication is persuasive since it aims at influencing the consumer behaviour in favour of the firm's offering. These persuasive communications are commonly called "Promotion". In the context of marketing promotion refers to the applied communication used by marketers to exchange persuasive messages and information between the firm and its various prospective customers and general public.
Marketing communication is the essential element of the promotion function of marketing. Effective marketing depends on effective management of its promotion function. Effective promotion comes through effective communication. Success of products like hot-shot camera, Maggie 2 minute noodles, Khaitan fans, and UTI's ULIP scheme are purely depend on the promotion function played by the respective marketing firms. There are products which are failed due to the lack of effective promotion.
With the growing competition in the market place as well as the customers becoming better informed and more choosy, it is important now that marketing communications of the right kind only are made to the right group of target buyers. Giving below the purpose of Promotion:
The job of marketing is to identify
consumer wants and then satisfy these wants with the right kind of
products, at the right place and at the right price. The purpose of
promotion in the marketing function is to convey to customers about the
features of the product and how it will satisfy consumer wants or any
other relevant information needed by consumers to affect sales. For
example, if a refrigerator manufacturer is planning to offer
off-season discount, it is essential to communicate to potential
customers about the extent of discount, period during which discount is
available, name of the stores where it is available etc. If all such
information is not communicated to potential customers, lowering of
prices will not be beneficial to either the consumer or the
manufacturer. Promotion is, thus, an essential part of the marketing
function as it is essentially communication.
Promotion is persuasive Communication: In any free enterprise system where firms develop and offer a wide range of new and better products, there are full of messages and distractions of all sorts. Consumer often have to select the products from among a wise range of competing products. As consumers do not have time and energy to compare the competing products physically, they turn to advertisements for product information. The present business environment being highly competitive, each firm wants the customers to buy its brand. Thus, persuasion is another goal of promotion. In other words, promotion is persuasive communication.
Promotion serves as a reminder: Consider a customer who regularly buys Colgate Toothpaste or Lux Soap. Do marketers of Colgate Toothpaste or Lux Soap advertise to appeal to such customers. The answer is yes, because even the most loyal customers must be reminded that t product has served them well over the years and about the features that make the product attractive. This is more so in an environment where competitors consistently attempt to attract the customers of competing brands with their own informative and persuasive message. Thus, in addition to informing and persuading, another important purpose of promotion is reminding customers. This is why even when the manufactures of well established products like Colgate, Lux, Surf, Nescafe, Lifebuoy etc. also advertise quite extensively to sustain customers preference for these products.