Product promotion is a term used in product management to describe strategic efforts aimed at increasing awareness, generating interest, and encouraging adoption of a product within a specific target audience.
Although product marketing is just one part of product management, it is a crucial stage in the product lifecycle, particularly during the launch and expansion phases.
The Pan-African entrepreneur should have an everlasting interest in product promotion as it is at the heart of interaction with the market and building of relationships with the stakeholders. Some of the benefits include, but are not limited to:
Increasing awareness: An effective product promotion strategy can help raise the target audience’s awareness of a specific item’s availability. Companies can reach prospective customers and inform them about their offerings by using various marketing channels and methods.
Stimulating interest: The promotion of a product creates interest and curiosity among prospective buyers by drawing attention to the distinctive qualities, advantages, and value proposition of the product in question. It is possible to attract the audience’s attention and spark their interest through the use of creative campaigns and engaging promotional messages.
Creating a sense of urgency and stimulating demand for the product can be achieved through promotional activities such as discounts, limited-time offers, or exclusive deals. Businesses can motivate customers to act and make a purchase by offering incentives and compelling reasons to buy.
Establishing brand awareness and enhancing brand identification in the eyes of consumers can be achieved through the use of product advertising that is both consistent and impactful. Increasing the frequency with which customers are exposed to promotional messages and branding components causes them to become familiar with the brand and its offerings, which ultimately results in increased trust and loyalty.
Gain a competitive edge: In highly competitive markets, effective product promotion can give firms a competitive edge by distinguishing their products from those of rivals and positioning them as superior options. Through strategic marketing efforts, businesses can highlight their unique selling points and persuade buyers to choose their products over competitors’.
- ED’s son eyes top Zanu PF post
- Barmlo boss honoured for philanthropic work
- MPs demand full corporate tax disclosures
- Arbitration insights: The resolution of shareholder conflict
Keep Reading
Ultimately, the main aim of product marketing is to boost sales and generate revenue for the company. This serves as the core objective of product promotion. Product marketing directly contributes to the financial success and growth of the business. It achieves this by attracting potential customers, converting them into paying clients, and encouraging repeat purchases.
To support product launches and growth, product marketing plays a crucial role during the process of expanding into new markets and introducing new products. It helps create buzz and excitement about new offerings, attract early adopters, and build momentum for growth initiatives.
Engage with customers: Promotional activities give businesses the opportunity to interact with their customers, gather their opinions, and build connections. Businesses can better serve their audience and foster long-term loyalty by listening to customers’ wants and preferences, then tailoring their products and marketing efforts to meet those needs.
However, promotion is imbedded with its own challenges which are highlighted below:
Advertising, marketing materials, and promotional initiatives are costly.
Brand dilution: Over-promotion or discounting can lower brand value and damage brand equity.
Continuous promotions may create false expectations, causing customers to wait for discounts or incentives before making a purchase.
Channel saturation: Excessive promotion in competitive marketplaces can cause channel saturation, making it hard to stand out.
Negative perception: Misleading advertising or poorly handled promotions can undermine brand reputation and customer trust.
Margin erosion: If poorly planned and executed, promotions and discounts can erode profit margins.
In conclusion, product promotion offers several benefits, such as increased brand recognition, stimulated demand, and higher sales; however, it also presents certain drawbacks, including costs, the risk of brand dilution, and a negative perception if it is not executed properly. A deeper understanding of its applications and careful weighing of the benefits and drawbacks can help firms develop effective promotional plans that align with their objectives and target audiences.
*Dr Farai Chigora is a businessman and academic. He is the head of business science at Africa University’s College of Business, Peace, Leadership, and Governance. His doctoral research focused on Business Administration (Destination Marketing and Branding Major, UKZN, SA). He can be contacted for feedback at [email protected] or via WhatsApp mobile: +263772886871.
*Dr Tabani Moyo is an extra-ordinary researcher with the University of North West, South Africa’s Social Transformation School. He holds a Doctorate in Business Administration (Research focus on new media and corporate reputation management, UKZN), chartered marketer, fellow CIM, communications and reputation management expert based in Harare. He can be contacted at [email protected] @TabaniMoyo (X)
