Advertising and promotion are very important for every business, big or small. Whatever type of business you have, your products and services won’t sell themselves, which is why they are your first step in making sales. If done right, advertising and promotion could make your company known in the market, attract potential customers and immensely increase your profit.
While most business owners are familiar with the different methods, many may not be aware of the multiple levels of advertising and promotion, which correspond to certain stages and purpose of business. Understanding these levels would allow businesses to know which advertising materials to use in order to increase sales.
The different levels of advertising and promotion
- Level One: Increasing awareness
There could be hundreds or even thousands of potential customers who need your products and services, but they may not be aware that your business even exists. This most basic form of advertising and promotion brings attention to your company and allows you to introduce your business to the market. This particular stage operates on the principle that “if you build it, they will come”. It works perfectly for start-ups, for businesses with very little competition, and for newly opened branches of an established company. However, many businesses get stuck in this level, which is not enough to really increase profit.
- Level Two: Gaining Market Share
So, you’ve managed to make your existence known to your market after the first stage of advertising and promotion. The next step is to make your business stand out, which is a very important stage. This is where you would convince your potential customers to choose you over your competitors by putting forward your unique selling points. The advertising and promotion methods you use at this level should be able to compel people to buy your products and services.
- Level Three: Capitalizing on Existing Customers
While you should continuously work on attracting fresh clients, keeping your old customers and encouraging them to come back is just as important. At this stage, your advertising and promotion materials should be focused on making your existing customers want to buy more of your products again and again. Spending money on current customers is necessary and is worth the investment, as returning clients could help your sales increase exponentially.
- Level Four: Taking Advantage of Opportunities
An effective way to further bump up your sales is by capitalizing on different opportunities. Though you might already have a constant, sure-fire method of selling your business, it wouldn’t hurt to come up with fresh advertising and promotion tactics that is up-to-date and relevant to current events. You could offer deals and sales related to the current season, holidays and other trending news.
Mastering these fundamental stages and using the appropriate advertising materials would surely help establish your company in the industry, bring in more sales and increase your profit.