Course: SLF 130 Marketing Practices for the Small Business

Unit 4 Reading

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- Unit 4 Glossary (Selected)

SWOT Analysis and Environmental Scans Page_3

<span style="color: #ffffff; font-size: 14pt;"><strong>THE PROMOTIONAL MIX</strong></span>
<span style="font-size: 12pt;">The following sections outline different types of promotions and media choices. Today’s marketers do not need to worry about how they CATEGORIZE a promotional message – the goal is to <strong>select the best methods to reach an identified target group</strong>. The messages will be overlapping – customers may not be able to identify from which source they received the message.</span>
<p><span style="color: #ffffff; font-size: 12pt;"><strong>ATTENTION:</strong> As students read through the list and explanations of different promotional types, they should keep in mind that a future assignment will request that they identify and create (or outline in detail) three promotional pieces that could be used for a small business.</span></p>
<p><span style="font-size: 12pt;"></span></p><p><span style="font-size: 12pt;"><span style="font-size: 14pt;"><strong>Advertising</strong></span> is impersonal paid promotion that clearly identifies the sponsoring business. Advertising includes television messages, newspaper ads, radio ads, or magazine ads. Small businesses CAN successfully utilize traditional advertising methods IF it is clear that the advertising messages will reach the target group (without reaching too many others that are NOT interested in the product or service).<br /><br /></span></p><p><span style="font-size: 12pt;"></span></p><p><span style="font-size: 12pt;">For example, a local radio station that plays only country-western music might be very appropriate for a product or service that serves the needs of customers who prefer country-western. Advertising dollars, in this instance, will be well spent.</span></p><p><span style="font-size: 12pt;"></span></p><p><span style="font-size: 12pt;">Since advertising tends to reach a lot of viewers or listeners, the price per customer contact can be very low; however, the overall cost of advertising can often be prohibitive to small businesses unless there is a strong match between the target group and the <span style="color: #800000;"><strong>VALUE PROPOSITION</strong></span> offered.</span></p><p><span style="font-size: 12pt;"><br />Small businesses can take advantage of seasonal or sporadic TV campaigns, particularly if they work with TV stations or newspapers to buy multiple ads (which will offer them discounted prices). Often they can buy a particular number of ads and let the station configure the scheduling – giving them a discounted price for a substantial number of ads.</span></p><p><span style="font-size: 12pt;">Newspapers that have a logical geographical reach for a small business provide the opportunity for printing not only press releases, but coupons, menus, recipes, price lists, etc.  A recognizable and attractive logo or stylish print font should be used to build brand awareness. Small businesses can rely on the many software packages that allow for different fonts, letterheads, clip art, etc.</span></p><p><span style="font-size: 12pt;"> </span></p>
<div style="padding-left: 30px;"><span style="font-size: 12pt;"><em>However, it might be worth working with an art student or talented neighbor or friend to craft a unique and recognizable Image and/or logo, particularly if the company’s products lines include packaging labels.</em> <br /><br /></span></div><div style="padding-left: 30px;"><span style="color: #0000ff; font-size: 12pt;"><strong>REMEMBER – THE GOAL IS INTEGRATED (COORDINATED) MARKETING COMMUNICATIONS.</strong></span></div>
<div style="padding-left: 30px;"><span style="font-size: 12pt;">Magazine advertising is generally quite expensive and it requires a lot of lead time. However, for small businesses that sell VERY SPECIALIZED PRODUCTS to an identifiable target market with a hobby or vocation in common, special interest magazines (periodicals) might be a good channel through which to advertise. If competitors of similar size and scope are advertising in a particular magazine, then it may be a logical option. However, a small business person will probably want to build a readership on its own web page if possible – it’s less expensive and offers more advertising “space.”</span></div>

 | <p><span style="color: #800000; font-size: 12pt;"><strong>STOP AND REVIEW</strong></span></p><p><span style="font-size: 12pt;">Advertising is impersonal paid promotion that clearly identifies the sponsoring business. Advertising includes television messages, newspaper ads, radio ads, or magazine ads. Small businesses CAN successfully utilize traditional advertising methods IF it is clear that the advertising messages will reach the target group.</span></p>
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