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Promotion and branding

Edexcel IAL Business · WBS11 Marketing and people

Promotion tells customers about a product and persuades them to buy it; branding gives it an identity they recognise and trust. This lesson covers the types of promotion and branding, the benefits of a strong brand, ways to build one and how social trends (viral marketing, social media and emotional branding) are changing promotion.

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Types of promotion

Advertising: paid messages in media: TV, radio, print, cinema, billboards, online display and search adverts.
Sales promotion: short-term incentives: discounts, buy one get one free, coupons, free samples, competitions.
Public relations (PR): managing the firm's image through press releases, events and media coverage; often low cost but less controlled.
Sponsorship: paying to be linked with an event, team or person (the January 2022 paper asked about a supermarket sponsoring a national Olympic team).
Personal selling: sales staff dealing directly with customers, common in B2B.
Direct marketing: emails, texts and mail sent to targeted customers.
Social media and online marketing: influencers, targeted adverts, content.

Types of branding and benefits

Manufacturer (producer) brands: created by the maker and sold through many retailers (a global cola brand).
Own-label (retailer) brands: products sold under the retailer's name, usually cheaper.
Generic products: unbranded, plain packaging, lowest price.
Corporate branding (one name across all products) versus individual product branding (separate brand names).

Benefits of strong branding (from the specification):

Added value: customers value the brand itself.
Ability to charge premium prices.
Reduced price elasticity of demand: loyal customers are less likely to switch when price rises.

Also: easier launch of new products under the brand, and recognition among retailers.

Building a brand

Ways listed in the specification:

USPs / differentiation: a clear reason to choose the brand.
Advertising: repeated, consistent messages.
Sponsorship: associating the brand with admired events or teams.
Social media: content, influencers and two-way engagement with customers.

The June 2024 WBS11 Section C asked candidates to evaluate whether two sportswear brands should focus on sponsorship or social media to grow global market share (20 marks).

Social trends in promotion

Viral marketing: content designed to be shared rapidly from person to person online, so reach grows at little cost. It is unpredictable and can backfire.
Social media: targeted adverts using customer data, influencer marketing, instant feedback and measurable results. Negative comments can spread quickly.
Emotional branding: building an emotional attachment between customer and brand (nostalgia, belonging, values, aspiration) so that loyalty goes beyond price and features.

Worked example

A small sportswear start-up has a limited budget. Assess whether it should promote through social media or sponsorship of a national event.

Social media: low cost, targeted at young sports fans, measurable, two-way, potential to go viral.
Sponsorship: high profile and builds credibility, but very expensive and hard to measure.
Judgement: with a small budget, social media (perhaps with a local athlete influencer) gives more reach per dollar; sponsorship suits later when the brand is established.

Answer: Social media is likely to be better at first, given the budget and target market.

Key idea: Promotion: advertising, sales promotion, PR, sponsorship, personal selling, direct, social media. Strong brands give added value, premium prices and lower PED. Build through USPs, advertising, sponsorship, social media. Trends: viral, social media, emotional branding.

Check yourself

A 'buy one get one free' offer is an example of
- sales promotion
- public relations
- sponsorship
- personal selling
Show answer
sales promotion. A short-term incentive to buy.
A supermarket sells cereal under its own name, cheaper than the leading brand. This is
- a manufacturer brand
- a generic product with no packaging
- an own-label brand
- sponsorship
Show answer
an own-label brand. Sold under the retailer's name.
Which is a benefit of strong branding named in the specification?
- Reduced price elasticity of demand
- Higher production costs
- Lower prices for all products
- No need for promotion ever again
Show answer
Reduced price elasticity of demand. Loyal customers are less price sensitive.
What is viral marketing?
Show answer
Marketing content designed to be shared rapidly from person to person online, for example on social media, so it reaches a large audience at low cost.. Content that spreads by sharing.
Explain how emotional branding can benefit a business.
Show answer
It creates an emotional attachment between customers and the brand, so they become loyal and are less likely to switch to rivals even if the price rises.. Emotional attachment drives loyalty and lowers price sensitivity.
Which is a likely drawback of sponsorship?
- It cannot increase brand awareness
- It is only available to small firms
- It is a form of personal selling
- It can be very expensive and the sponsor may be harmed by bad publicity about the sponsored team or athlete
Show answer
It can be very expensive and the sponsor may be harmed by bad publicity about the sponsored team or athlete. The January 2022 scheme listed cost and reputational risk.
Which is a key advantage of social media promotion for a small business?
- It guarantees positive reviews
- It can target specific customers at low cost and measure the response
- It requires no time or skill
- It reaches only older customers
Show answer
It can target specific customers at low cost and measure the response. Targeting and measurability at low cost.

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Sources

Last updated 8 November 2026. Spotted a mistake? Tell us.