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A company’s aim is to develop a good product and fix an attractive price according to its quality, but they need promotion in order to become well-known within their target customers and by this way they will increase sales. Promotion is one of the ‘’Four Ps’’ formulations of the marketing mix and the four promotional tools usually used by firms are: advertising, sales promotions, public relations and personal selling.

Firstly, advertising is used during the introduction and growth stages of the standard product life cycle to inform costumers about the product’s features and to persuade them to buy it. There are different ways of advertising such as world-of-mouth advertising, paid advertising and prestige advertising. This promotional tool is good to strengthen your brand but sometimes it is expensive and it can’t answer consumer’s questions.

Secondly, sales promotions such as price reductions, coupons or free samples are temporary incentives created to increase profits. These tactics are very attractive to costumers but it may create a possible loss of profit margin.

Public relations is related with improving the image of a company or a product and its main component is publicity, which is any mention of a company’s product in any media
that is not paid. Being a cheap way of reaching many customers is one of its advantages but the fact that you can not control what other people write about your product becomes part of its disadvantages.

Finally, personal selling is used as a complement to advertising and its function is to assist customers with technical problems, or to spread information about a company’s products and services. On one hand, is the most influential promotional tool because it creates confidence and relationship between customer and producer. On the other hand, it is very expensive and sometimes becomes annoying to the customer.

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