ATL and BTL are well-known concepts in marketing. Today, the separation between the two has almost been erased, but it was initially believed that ATL (above the line) was responsible for TV, radio, print ads and other mass broadcast sources, and BTL (below the line) was exhibitions, e-commerce, various sales promotion events . In this article we will analyze what BTL advertising is, why it is also called trade marketing, with what tools it is implemented, and also which types of promotions exist and how to organize and conduct them effectively.
Concept of trade or BTL marketing.
First, let's deal with concepts. The key difference between ATL and BTL is that the first type is responsible for the formation of the need to buy goods, while the second completes the sale, persuading the consumer in favor of the promoted product. Trade marketing is a broader concept, including BTL, trade, promotion, promotion and promotion marketing. We will combine the concept of trade and BTL marketing, since both of them are responsible for creating motivation for the consumer, as a result of which the sale is made and, accordingly, the purchasing power is increased.
How BTL motivates
How to motivate consumers to buy, increase sales growth and create a true product image? There are 3 ways:
- motivation through the price - to enable the buyer to save money;
- motivation through the product itself - the ability to receive free samples, tastings, additional products as a bonus to the main ones;
- Motivation through impressions - an opportunity to win a prize, to participate in an interesting event.
Based on them, a promotion is formed and launches.
BTL destinations
Having decided what BTL is and what motivations it uses, consider two areas of its field of activity:
- Promotions and promotions to stimulate a potential consumer.
- Promotions and promotions for trading partners and intermediaries.
Consumer stimulation
How to persuade a buyer to buy? The answer is simple. There must be a motivation to buy it, for this, marketers conduct promotions in the final points of sale. We have already said that sales are stimulated at a bargain price and savings, either with a gift product, or participation in a particular event. Now let's dwell on what BTL projects are and how they are classified. So, there are 3 types of BTL stocks:
- Promo with image communication.
- Promo with likely benefits.
- Promotions with guaranteed benefits.
The former are not aimed at a specific product, but generally create a positive image of the company. So what is BTL communication?
- charity events;
- club programs - the creation of communities of loyal customers, united by any benefit;
- leaflets with clarifying or advertising information on ongoing promotions, on updating the assortment, special offers, etc.
- pos-materials - various eye-catching printed signs, signs, signs, etc.
- Dedicated promotional area - a stand-alone platform with promoters where leaflets are handed out, tastings are held, or gifts are given out.
- event marketing - fashion events dedicated to the company;
- packaging for special events, allowing you to understand the level of the company and evaluate its participation in current world events, for example, a box with the symbols of the Olympic Games, the Football Championship, etc.
- sponsorship - financial support for sporting events, concerts, cultural events, elections, children's parties.
The second type of BTL stock involves receiving a possible gift. The most common way is to buy more goods to get a prize under a cover, label, etc.These are, as a rule, various lotteries, contests, instant prizes, games, etc.
The third type of BTL in marketing involves receiving a guaranteed gift if the conditions of the promotion are met (collect 10 covers, labels, etc.), but not only.
Distinguish:
- promotional packages, upon purchase of which the buyer receives the main and additional goods, the price of such a bonus is usually from 20 to 50% of the cost of the main one;
- loyalty programs - this is the prize that the buyer receives if he is loyal to your brand for a certain time (collects points, promotional codes, makes a purchase of more than 1000 rubles within 3 months);
- sampling - distribution of free samples;
- cost reduction, discounts for two purchases and other price manipulations;
- the wording “we will refund your money” can often be heard in case of breakdown or inadequate quality of the goods, in this case we are talking about receiving a sum of money upon the subsequent purchase of this trademark or any other by agreement. For example, when buying products for the n-amount, you get a card for 20% of this cost for buying in a particular furniture store;
- discounts on coupons, which can often be found on the street, in a magazine and in many other places, not only allow you to increase sales, but also bring many new interested buyers.
BTL marketing, examples of which were discussed above, is ideal for attracting customers, increasing their loyalty and, as a result, increasing sales. In fact, there are much more of these measures; these are only the basic and most effective ones. How do companies that win BTL win their customers and apply it in their own practice?
Stimulating intermediaries and partners
Doing any business requires cooperation from the company. The denser and more stable it is, the more chances there are to establish uninterrupted sales with savings in transportation, storage, sales and other steps associated with any sale. To do this, you need to clearly understand what BTL services are for resellers and partners and be able to put them into practice. So, how to work effectively in this area?
- Increase procurement. For large wholesale parties, intermediaries often offer more favorable terms of the transaction: wholesale discounts, annual bonuses. As for the distribution network, in order to sell a large number of goods, you can offer a discount that is limited in time, then in a fairly short period of time you will reduce storage costs and will not lose the goods due to an expired shelf life. Often, for large volumes, manufacturers offer bonus products at the end of the month or quarter, which covers some losses due to spoilage of products and helps to avoid shortages.
- Increase distribution. Naturally, the more outlets and the wider the geographic distribution network, the more sales the company expects.
- Stimulate employees. For the increase in the volume of goods to reward both their own sales agents engaged in promotion, and those outlets that will sell the maximum amount of product.
- To increase the loyalty of distributors through vocational training, business gifts, organization of holidays, corporate parties, training seminars.
How to analyze BTL events?
To understand whether the promo was effective, you need to write a BTL checklist. What it is? This is a list of questions that helps to get an idea of the goals and audience for which the action is created, as well as evaluate and analyze its results. Here is a sample list of them:
- Details about the brand and its characteristics.
- The purpose of the promotion (for example, increasing recognition or increasing sales).
- For whom is the promo intended, that is, the target audience of the product.
- Where is the action planned.
- Is there a chance to conduct it together with another company in order to minimize costs.
- Which tool is most suitable for the intended purpose.
- Within the framework of which concept, it is best to implement it. Is the time associated with any important or memorable date?
- What is the company’s budget for advertising under this promotion?
- What personnel will be required: a hired promotion company, store employees, or you can handle it on your own.
- What promotional materials will be needed.
- What is the period of the beginning and end of the promo.
Check list
By creating a list of these key questions, you will know your plan of action for sure. And when the promotion ends, you will draw up a new checklist that will help you analyze the results. What goes in there?
- Are the dates met? If not, why?
- Are the goals set for the campaign achieved? If not, why, if so, which ones?
- Have the costs of holding (advertising materials, payment to employees, the difference between the promotional price and retail) paid off?
- What comments, clarifications are available for such events in the future?
- What results did the campaign bring to the company?
BTL Performance Measures
What is BTL and how it is carried out, in general terms is clear. However, like any advertising campaign, this area has its own professional tricks that can significantly increase the effectiveness of its implementation. To do this, you must:
- use only goods that are of interest to the consumer;
- give great importance to sales incentives, otherwise if the motivation is ineffective, the stock will not give the desired result and will be unprofitable;
- Take care of the high level of awareness about your promotion;
- take care of all the problems, in particular organizational, that you may encounter;
- save the budget, but not at a loss to the campaign;
- use online tools;
- Do not forget to evaluate the results and draw adequate conclusions.
Instead of a conclusion
Summing up all of the above, I would like to note that an effective advertising campaign both in the retail network among ordinary customers, and among wholesalers and distributors, cannot do without a clear knowledge of what BTL is. It is with these tools that a firm can take its rightful place in the market.
