MERITS OF PROMOTION:
v Promotion places the employees in a position where an employee's skills and knowledge can be better utilized.
v It creates and increases the interest of other employees in the company as they believe that they will also get their turn.
v It creates among employees a feeling of content with the existing conditions of work and employment.
v It increases interest in acquiring higher qualifications, in training and in self development with a view to meet the requirements of promotion.
v Promotion improves employee morale and job satisfaction.
v Ultimately it improves organizational health.
v It creates awareness of the existence of the product or service offered.
v It can provide customers with information about the product that may be useful to them, and therefore produces an incentive for them to buy your product, or use your service.
v It also helps increase the market share.
DEMERITS OF PROMOTION:
v It can be quite costly depending on the advertising medium you use; obviously TV and radio advertising tend to be more expensive than advertising on notice boards or on eBay.
v Some methods of advertising are more effective than others.
v Promotion also tends to be competitive. So no matter how much you spend on advertising, if you've got many competitors (substitute products or services), and their methods are more effective, then your promotion campaign may not work.
v It asks for more responsibility and more stress; higher expectation of you in the job like more hrs possibly.