Page 5: Promotion
The purpose of promotion is to create awareness in consumers or generate interest and desire to buy products. Promotion can also be used to create or change a brand image and maintain market share.
JD wants to position itself away from competitors to give it competitive advantage. This means that high profile manufacturers and brands will prefer to release their products to JD rather than its competitors as they are likely to sell more products and protect the brand’s positioning.
JD promotional activity uses a mix of above-the-line and below-the-line promotions. Its above-the-line activities include:
- paid-for advertising in newspapers and magazines. JD advertises in high circulation titles, such as the men’s lifestyle magazine FHM and the music magazine NME
- product placements in a range of publications are used to promote the different brands
- TV and radio advertising. Radio advertising in particular allows JD to target its key 13-20 year old audience quickly and in a way that young people find relevant.
Although these types of media reach a wide audience, they can be costly. It is also difficult to measure response rates.
JD also makes significant use of other forms of paid-for advertising. Described by JD as ‘ambient marketing’, this uses outdoor advertising such as poster sites and t-sides on public transport and around key stores in areas of high footfall.
JD positions itself alongside professional football clubs such as Blackpool FC and has made kit deals under the Carbrini brand, supplying kits for the field of play and training wear. The company also advertises on television backdrops, in club shops and around the grounds. This approach helps to target the young, largely male audience which is typical of its customer profile. It also establishes the brand within local communities.
Below-the-line promotions offer opportunities to communicate directly with consumers. For example:
- E-mail helps JD to regularly contact its database of consumers with promotions and product information. Magazines and leaflets present product and lifestyle content.
- Sales incentives, promotions and competitions with celebrities generate excitement and interest in the brand. This reinforces its youthful appeal. For example, JD partnered with adidas to provide VIP tickets for an exclusive N-Dubz event at the O2 Arena for JD.
- Sponsorship and product endorsement by celebrities and music artists are used to highlight new ranges and products. For example, Tinchy Stryder promoted the Star in the Hood clothing range and The View promoted The Duffer of St George range in a press campaign.
- A JD partnership with the Manchester Evening News Arena not only puts the brand in the arena itself, but also enables the company to feature competitions and offer prizes to capture potential custom.
- JD also uses impactful photography and high quality point-of-sale materials in stores and window displays to attract consumers and increase footfall.
Growth of social media such as Facebook and Twitter also enables the company to use consumer recommendations as part of its promotional activities. It is estimated that every person viewing a page may pass on information to another 150 people.