Elements of promotion in marketing mix

len Alfred Ajibola - Mon, 23rd March, 2020 @ 08:19 AM

Topics in Commerce

Historical background of commerce in Nigeria Disadvantages of barter system Contract of Employment: Terms of employment contract Principle of Marketing: People as a marketing mix and their importance Principle of Marketing: Positioning as a marketing mix Principle of Marketing: Packaging as a marketing mix Elements of promotion in marketing mix Principle of Marketing: Promotion as a marketing mix Principle of Marketing: Place as a marketing mix Principle of Marketing: Price as a marketing mix Principles of Marketing: The seven principles of marketing mix Factors necessary for division of labour Disadvantages of division of labour Advantages of division of labour Concept of Outbound Marketing Inbound Marketing explained Types of production in commerce Commerce: Definitions and Scopes of Commerce Differences between balance of trade and balance of payments Balance of payment deficit and balance of payment surplus

Academic Questions in Commerce

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In commerce, the concept of paying in advanced is termed _____.

  • A. Advanced payment

  • B. Up payment

  • C. Forward payment

  • D. Prepayment

  • E. Uphill payment

  • F. Adpayment

In commerce, the concept of 'buy now, pay later' is termed _____.

  • A. Unadventurous payment

  • B. Buy on credit payment

  • C. Deferred payment

  • D. Postponed payment

  • E. Owed payment

  • F. Future payment

In commerce, which of the following is false with regards to a commodity?

  • A. A commodity must always have a market value

  • B. Rendered services are also instances of commodities

  • C. Products applicable to commodities can be bought or sold with money

  • D. A commodity must be standardized

  • E. A commodity must be usable upon delivery

  • F. Commodities can be traded in the futures market

Whatever is being marketed must always provide value to its potential consumers.

  • A. True

  • B. False

Which of the following is not a branch of marketing?

  • A. Merchandising

  • B. Promotions

  • C. Forex

  • D. Search Media Optimization

  • E. Social Media Optimization

  • F. Copywriting

Which of the following is not a characteristics of commerce?

  • A. The only aim of commerce is to make profit

  • B. It is a discontinuous process after profit had been made

  • C. It is accompanied with challenges and uncertainties

  • D. It is 100% business and economic activity

  • E. Transaction processes are always involved in commerce

  • F. It connects the process of production and marketing

Which of the following is not a function of commerce?

  • A. Unnecessary in times of emergencies like earthquakes and wars

  • B. Facilitates mass production of goods

  • C. Influences transportation network within and outside a state

  • D. Attempts to satisfy human needs and wants

  • E. Improves the standard of living

  • F. Acts as an online business link between buyers and sellers

One of the following is a form of division of labour.

  • A. Agonistic division of labour
  • B. Antagonistic division of labour
  • C. Mutualistic division of Labour
  • D. Advanced division of labour
  • E. Solitary division of labour
  • F. Occupational division of labour

Promotion Mix:

Promotion in marketing mix is defined as any action that prompts an individual to buy a product after hearing about such product through the elements of promotion.

Please read the introduction to Promotion as a marketing mix here.

The elements of promotion in marketing mix are also referred to as the tools, means, processes or components of promotion. Together (or in isolation), the promotion mix successfully accomplishes the awareness created on a product or service when used appropriately. In simple terms, the elements of promotion therefore promotes whatever is being marketed.

Please read on the principle of marketing here.

At minimum, we have five of these elements of promotion; but we shall consider six in this article. They include:

  1. Advertising

  2. Public Relations (PR)

  3. Publicity

  4. Sales Promotion and Merchandizing

  5. Personal Sales

  6. Events

1. Advertising

In simple words, advertising refers to the act of creating awareness about a product through a variety of media which includes:

  • Radio

  • Television

  • Social Media

  • Prints, Newspaper and Magazines

  • Word of Mouth

  • Posters and Handbills

Advertising is visibly the most popular tool or element of promotion in our world today. In fact, the bulk of promotional budget is allocated to the various media of advertising like social media, radio, handbills and so on.

The awareness created during advertising is preferably directed towards the consumers of the specific product via a process termed targeted advertising.

Please read more on advertising here.

Meanwhile, in certain instances, advertising may be carried out on a product through an act of good will, which will inturn remind people on the mission of the advertised product or brand.

You can read on the obligations, duties and responsibilities of a citizen here.

2. Public Relations (PR)

The goal of public relations (as a promotional tool of marketing) focuses on building a favorable image of one's business and its products through their relationships or activities with the public.

An instance of public relations is seen when a water producing factory opens free water outlet for the consumption of those living within the community. In doing this, the owner's business is being promoted.

Please read on community and volunteer services here.

The organization(s) involved carry out some expenses when using public relations as a promotional tool. Typically, public relations is considered as a duty of the organization towards a the public (or specific group of people). To this end, the main goal of public relations (as a promotional tool) is to build and maintain a favourable image of an organization with the public.

3. Publicity

Publicity is quite different from public relations (PR). Unlike public relations, publicity as a promotional tool is always free of charge; and are not typically done by the company whose product is marketed.

Please read on marketing and its branches here.

The uniqueness of publicity is the fact that an organization does not need to market itself or its product. They don't pay a dime for promoting their services; rather the public does this through various reporters, journalist, columnists, media practitioners and so on. For instance, Len Academy encourages all students and teachers to like its facebook, twitter and google news pages. Through this process, Len Academy indirectly promotes facebook, twitter and google news respectively with each brand making no form of payment.

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Publicity may also be carried out on various radio and television programmes as part of their promotional strategy.

4. Sales Promotion or Merchandizing

This promotional strategy focuses on offering discounts and special offers with the aim of enticing consumers towards patronizing a product or service.

Sales promotions and merchandizing is achieved through activities like coupons codes that offers discounts on a product, free usage of product for some specific time frame, incentives on purchases, prizes, loyalty programs, raffle draws and rebates.

You can read on outbound marketing here.

Note: Some of the target audience may be attracted to a specific promotional method when compared to others.

The main aim of sales promotion is to entice consumers towards buying a product. An excessive use of this promotional tool (sales promotion) may result to an eventual loss in the business.

5. Personal Sale

Personal Sale as a tool of promotion simply means promoting your product yourself or employing a salesperson to help promote and sell your product. In fact, certain people refer to themselves as promoters due to the nature of their job.

You can read on the concept of the wholesaler here.

Personal sale is typically an oral, face to face method of convincing potential customers to buy a product.

When one hires an ideal promoter or salesperson, the profit made from the sale of his or her product may significantly outweigh the cost spent in the form of wages (or salaries) on the salesperson or promoter.

An advantage of personal sale when measuring promotional feedback is the fact that an immediate feedback is derived from this promotional tool.

Please read on sole proprietorship here.

6. Events

Various organizations put out events for one reason or another. However, one fact remains constant. The fact is: 'They put out events to promote their products while also supporting the target (or consumers) of their products'.

You can attempt Len Academy questions and answers on various subjects here.

Based on the above fact, numerous events which can act as promotional tools for the respective companies are organized. Below are some instances:

  • MTN Project Fame (Nigeria)

  • Bournvita Brain Match (Nigeria)

  • Cowbell Mathematics Competition (Nigeria)

  • Barclays Premier League (England)

  • Who wants to be a Millionaire (MTN Nigeria)

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Amazing facts in Commerce

According to research, the problem isn't the amount of food produced; the actual problem is the distribution of these foods. In this regard, we actually produce enough food to feed everyone on earth, but their distribution remains an underlying problem


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Check it out here

The brewery, Sankt Gallen in Japan, produces a beer called Un Kono Kuro from elephant's dung

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Amazon is an e-commerce website launched in 1995. It did not make any profit for its first seven years.

Amazon's first profit was in 2003. Its founder 'Jeff Bezos' is the richest man in the world as at 2018/2019

Notable points in Commerce

The theory of international trade is guided by the principle of comparative cost. This principle was propounded by David Richards.

The principle of comparative cost states that a country should specialize in the production of goods and services in which they have a greater comparative advantage or the least comparative disadvantage.

Below is an instance on the principle of comparative cost.

Now, let us assume we have two countries producing and exporting rice and beans respectively.

  • On a daily basis, If country A produces 100 grams of rice and 300 grams of beans daily and country B produces 50 grams of rice and 150 grams of beans, then according to this principle, country A has an advantage over country B with regards rice and beans production; but better still, country A has a greater comparative advantage in the production of beans.


From the above instance, it can also be said that country B is at a disadvantage with regards to the production of rice and beans. Infact, it has a bigger comparative disadvantage with regards to beans production.

The point to note here is this: A country utilizing the principle of comparative cost will always produce quality goods and services at a cheaper cost.

No single country manufactures all the goods and services in our world. This implies that every country of the world relies on certain goods and services imported (or brought in) from other countries.

Foreign trade is defined as the exchange of goods, services and capital between two or more countries.

Foreign trade is also termed as international trade.

Please read more on foreign trade here

Division of labour can be defined as the act of splitting job process into a number of different processes such that each process is done by a different person or group of persons.

Through the process of division of labour, one worker may constantly perform a specific aspect of the job and as a result, may become specialized in that area.

The result of specialization in the different department of a job will imply the production of goods with better quality.

Please read on division of labour here

Forms of division of labour relates the various ways through which division of labour may be carried out.

Take for instance, within a country, one state may choose to specialize in the production of a cars while another specializes in a different area, let's say agriculture.

Below are the forms of division of labour

  • Complex division of labour

  • Occupational division of labour

  • Geographical division of labour


Please read more on the forms of division of labour here.

Balance of Trade can be defined as the total value of goods imported and exported by a country during a specific period; usually yearly or annually.

Balance of trade can be either positive, negative or zero

  • A positive balance of trade implies that a country exports more goods than its imports. China as a country is likely to have a positive balance of trade since it exports a variety of goods to other countries.

  • A negative balance of trade is often considered as an unfavorable balance of trade since the country's importation exceeds its exportation. Nigeria (as at 2018) is likely to have a negative balance of trade.

  • A zero balance of trade is reached when imports equal exports.

Please read on balance of trade and balance of payments here.