When launching new products, every product needs to be made known to its potential customers (producers have to develop brand awareness); they will not sell all by themselves.

Companies have developed different ways to promote their products or brands, known as PROMOTIONAL TOOLS : Advertising, sales promotions, public relations and personal selling.

ADVERTISING refers to the way of communicating non personal ideas or products through paid announcements. In the side of advantages we have that it is very persuasive, it strengthens the brand name or that efforts on advertising have a direct relation with sales. On the other side, it is quite expensive, less credible, impersonal, and sometimes annoying or monotonous.

SALES PROMOTIONS are short-term incentives that stimulates the sales of a product or service. On the one hand, it stimulates quick increase in sales or brand switching . On the other, its difficult to reach loyal customers with this tool, and used over long-term periods customers get used to the effect.

PUBLIC RELATIONS could be defined similarly to advertising but without having to pay. Public relations is more credible, objective and cheaper than the rest but you have the risk of not being able to control what people say or write, and it’s difficult to have good relations.

Finally, we have PERSONAL SELLING, which refers to all communication with potential buyers of a product, with the intention of making a sale. Personal selling provides direct contact with the client, you can tell them whatever they want to hear, and strong relationships can be built up. But some disadvantages are that it is too difficult to get to the client and it is not suitable if there are many important buyers.

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