Chapter 13 Entrepreneurship

Geico

Takes $6 from every $100 it collects on advertising, totaling $1.2 billion annually

Advertising

Gaining public attention for the purpose of selling products or services through various forms of media

Advertising Agency

A professional firm generally hired to counsel promotional activities

Presales

The sale of a good service before its release date at a discounted rate

Publicity

Releasing information about a person, company, or product for advertising or promotional purposes

News Releases

Data provided to media to convey a company message

Rebate

A partial refund to someone for the purchase of a good or service. The refund is distributed after the sale at a later time

Contest

A promotional strategy where participants compete for prizes by accomplishing something

Giveaway

A promotional strategy where something is given away for free to raise customer awareness

Incentive Program

A promotional strategy used to encourage specific actions or behaviors from a group of people

Popular Incentive Programs - Free Upgrade With Purchase

Buy a car and get free floor mats

Popular Incentive Programs - Price Reduction

Rebates, coupons for dollars or percentage off, and ‘buy one get one’ type offers

Popular Incentive Programs - Loyalty Programs

Punch cards and points systems such as: buy 10 coffees and get the 11th free, frequent flier miles, and insurance discounts given based on the consecutive number of years insured with that company

Social Media

Used by marketing professionals to share content, network, raise customer awareness, and drive sales