Marketing 101
Yvonne Harvey, Contributor

It is so good for us to communicate once again as we move forward in our quest to cover the principles of business syllabus. As I mentioned last week, marketing is an extensive and very interesting area. This week we will look at certain aspects of marketing, beginning with the concept of copyright and ending with public relations. Enjoy as you learn.

The concept of copyright

A copyright gives someone the exclusive right to reproduce and sell an item, for example, books and records. That is, it allows one to maintain ownership and control over the product that he/she has created and registered.

Consumers who purchase the product cannot reproduce it for commercial purposes without the permission of the producer.

Some producers are given special permission or a patent to reproduce the product. This is so in the case of the franchisee who is given permission by the franchiser to operate under his name and reproduce his product in return for a fee or royalty.

Methods of promoting sale

Advertising

Advertising may be regarded as the art of putting the good and sometimes the bad points about a good or service across to large numbers of potential or existing customers.

Advertising has many functions. It:

• is an aid to trade - increased market share comes from stimulated demand.
• is a means of competition against other sellers of similar goods and services.
• brings buyers and sellers into close contact.
• informs - announcing new products and telling potential consumers about them.
• helps to build a firm's image around its products
• highlights that unique feature of products and convinces them to buy

Forms of advertising

• Informative - concerned with notifying the general public about the existence of certain goods and services; it is normally used as new products are put on the market.
• Persuasive - most are of this type. Slogans, pictures and jingles are used to convince or coerce consumers to buy the product. Appeals are used, for example sex appeal in the selling of cars, soaps, colognes, alcohol, cigarettes and so on.
• Competitive - aims at defending the value of the product against that of its competitors. The aim is to convince your potential customer that your product is better than others
• Cooperative/Collective - joint advertising by groups of companies or industries which pay jointly for the advertising. Tells the consumer to buy the product rather than a particular brand, for example, cheese, milk, etc.
• Specialty - advertising in which very small, but expensive objects or items are given away freely to persons, for example, T-shirts, pens, key rings, knives, nailclips. These items usually have the names or initials of companies or firms on them.
• Reminder - important when a product is mature, that is, it has been on the market for a long time or there are several similar brands on the market, for example soft drinks.

Sales promotions

This refers to special buying incentives for a particular length of time. It usually supplements advertising and may itself be viewed as a form of advertising. There are two basic types: dealer promotions and consumer promotions. We are concerned with consumer promotions.

• Temporary price reductions, for example, $25 off, etc.
• Buy one, get one free
• Giving out coupons.

These are found in newspapers and magazines and are redeemed at the counter either for cash or discounts from the total bill to be paid.

Offering trading stamps.

These are given freely to purchasers buying a certain amount of money's worth of goods. One stamp for a certain amount of money spent on booklets of stamps is returned for goods or money.

Price packs. When goods are not selling well, they are packaged with other goods and sold for a value price.

• Complimentary gifts
• Samples
• Self-liquidation devices. Consumers are asked to return empty boxes, wrappers, toothpaste tubes and so on which allows them to get a reduction in the price of certain items.
• Loss leaders. A loss leader is a popular product that is sold below market price to encourage customers to purchase them and hopefully purchase other goods that they see in the same store.

Public relations

Businesses care about what the public thinks of them, therefore, they will use a variety of ways to try to influence the public to have a high regard for them and their employees.

The process of getting the public to have a good impression of a business is called public relations or goodwill. Public relations have to do with relating the company's activities to the general public in order to create a good image in their eyes.

There are two main methods of public relations:

• Direct - Donating to charities, giving away free samples and gifts; prize-giving competitions; using famous personalities to endorse the company's goods; inviting prospective customers and old customers as guests to dinner parties and luncheons; giving special awards; sponsoring community activities.
• Indirect - This is through the way in which employees talk to potential customers on the phone or at the shop counter; the way in which enquiries or complaints are dealt with; the way in which after-sales services are dealt with, etc. Courtesy and willingness to help is very important in the indirect methods of public relations. Most firms have a combination of direct and indirect public relations. It is also a form of advertising and can be regarded as the fulfilment of the social function of the firm.

That's it for today, my friends. Our next lesson with discuss selling and merchandising, and also consider the concept of adjustment of pricing policy. Take care until then.

Thair Brown (right) accepts his $12,500 bursary cheque from vice-president of the Jamaica Public Service and Partners Co-operative Credit Union, Albert Dawkins, during an awards function at Knutsford Court hotel, New Kingston, Wednesday, August 19, which saw 30 students receiving bursaries and another receiving a scholarship to fund her university education. - JIS Photo

Yvonne Harvey teaches at Glenmuir High School. Send questions and comments to kerry-ann.hepburn@gleanerjm.com