Lesson 2.3.3.b
2.3.3.b Promotion: Influential Factors and Promotional Objectives Quiz: NCFE Business & Enterprise, Unit 2
20 questions
In partnership with Revision Ninja
Choosing a promotion is a targeting decision. This lesson shows how target market, budget, the nature of the product and the market, and competitors shape the method chosen, and links methods to objectives such as sales, market share, loyalty, brand recognition and word-of-mouth.
Key points
- A promotion should use the channel its target market actually uses, so the budget is not wasted on people who will never buy.
- A start-up with little money suits free or low-cost methods, such as posting on social media or in community groups.
- Personal selling suits a few large, technical buyers, while detailed or made-to-measure products suit a catalogue with room for information.
- Supermarkets with thin margins and near-identical goods rely on sales promotions that work immediately at the till.
- A one-month buy-one-get-one-free deal aims at higher sales, whereas a loyalty card aims at keeping existing customers.
- Market share rises when a firm's sales grow as a proportion of the market, taken from competitors.
- Consistent logos and colours build brand recognition, and happy regulars bring free word-of-mouth promotion.
Key terms
- Promotional objective
- The specific outcome a promotion is meant to achieve, such as more sales or greater recognition.
- Target market
- The group of customers a promotion is aimed at, described by age, income and location.
- Personal selling
- Face-to-face selling that lets a firm answer detailed questions from a small number of buyers.
- Word-of-mouth
- Free promotion that happens when satisfied customers recommend a business to others.
- Brand recognition
- How easily customers identify a business from its logo, colours or packaging alone.
- Loyalty scheme
- A reward system, such as a free tenth drink, designed to bring customers back.
- Unique selling point
- A benefit rivals cannot claim, which a promotion can stress to stand out in a crowded market.
Host it live on the board and students join with a game code on their own devices, or revise alone with Free Play. The answers are revealed in the game.
The 20 questions
-
A business picks a promotional method to suit its customers' age, income and location. Which factor is it responding to?
- Finance available
- Type of product
- Target market
- Level of competition
-
A business supplies industrial machinery to a small number of UK factories. Which promotional method suits this market best?
- Billboard adverts
- Personal selling
- TV advertising
- Money-off coupons
-
Which influential factor limits a business choice of promotional methods?
- Office location
- Staff dress code
- Supplier contracts
- Finance available
-
Supermarkets have low profit margins and compete hard for shoppers. Which marketing method do they rely on most to win customers from rivals?
- Direct marketing
- Print media
- Sales promotions
- Broadcast media
-
A firm sells made-to-measure blinds. Customers want to compare sizes, fabrics and prices before ordering. Which method suits it best?
- A billboard poster
- A radio jingle
- A pop-up banner ad
- A printed catalogue
-
A garden centre runs a 'buy one get one free' offer on plants for one month. Which promotional objective is it most likely aiming at?
- Customer loyalty
- Increased sales
- Increased market share
- Brand recognition
-
A coffee chain wins customers from rivals and now serves 25% of the town's coffee drinkers, up from 20%. Which objective has it achieved?
- Increased market share
- Increased brand loyalty
- Increased profit margin
- Increased brand awareness
-
A cafe's regular customers tell their friends about it and post good reviews online, at no cost to the owner. What is this form of promotion called?
- Sponsorship
- Word-of-mouth
- Direct marketing
- Public relations
-
A gym wants to reach local 18-25 year olds cheaply and answer their questions the same day. Which promotional method fits best?
- Local newspaper ads
- Radio ads
- Social media
- Leaflets
-
What is the term for how easily customers can identify a business from its logo, colours or packaging alone?
- Brand loyalty
- Brand recognition
- Product placement
- Market segment
-
Which promotional method best reaches a young adult audience online?
- Local radio adverts
- Social media influencers
- Printed daily newspapers
- Business directory listings
-
Which low-cost promotion best reaches health-conscious shoppers locally?
- Billboard posters
- Farmers market stalls
- National television ads
- Cinema trailers
-
Which promotion best lets shoppers see how a new tech gadget works?
- Interactive demo videos
- Printed flyers
- Audio radio spots
- Text message alerts
-
Which free method reaches nearby customers for a new local business?
- Global TV broadcasts
- Community social posts
- Cinema screen slides
- National magazine adverts
-
Which promotion best encourages existing customers to return more often?
- Loyalty stamp cards
- Television commercials
- Mass billboard ads
- New customer discounts
-
Which sales promotion helps a supermarket clear slow-selling stock fast?
- Annual loyalty points
- Buy-one-get-one-free
- Corporate charity donations
- Delayed invoice terms
-
What should a new brand stress in adverts to stand out in a crowded market?
- Unique selling point
- Basic operating hours
- Common product features
- Standard industry prices
-
What should a company's promotional campaign focus on immediately after a product recall due to a safety fault?
- Celebrity endorsements
- Flash sale discounts
- Improved safety measures
- Lower retail prices
-
Which promotional method uses a database of past customers' names and addresses most effectively?
- Direct marketing
- Billboard advertising
- Cinema trailers
- Television broadcasting
-
Which activity forms part of the promotion element of the marketing mix?
- Choosing store locations
- Shirt sponsorship
- Setting list prices
- Designing raw materials
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