Salea Promotion
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Sales promotion_____ consist(s) of a collection of incentive tools, mostly short term, designed to stimulate quicker or greater purchase of particular products or services by consumers or the trade.
Sales promotion is a marketing technique designed to create sales for a product over a defined period of time to increase consumer demand, stimulate market demand or improve product availability. Examples include contests, coupons, freebies, loss leaders, point of purchase displays, premiums, prizes, product samples, and rebates
The results of sales promotion activities are measurable in terms of number of units sold, numbers of coupon redeemed, number of contest entrants or other quantifiable measures.
Sales promotions targeted at the consumer are called consumer sales promotions. Sales promotions targeted at retailers and wholesale are called trade sales promotions.
Consumer Sales Promotion:
Sales promotion is most often directed at consumers. “For a limited time only,” “Hurry in” or a cents-off coupon with an expiration date. Consumer sales promotion tactics can be seen everywhere: For example: in the supermarket from food company activities, in the mail from retailers and financial institutions, and on coffee cups from the corner deli. Its the job of a sales promotion marketer to determine whats working and whats not.
Trade Sales Promotion:
Sales promotions also are often developed for the trade industry or for internal sales staffs. Manufacturers sometimes create sales promotions to boost sales activity among brokers or distributors with the goal of filling a warehouse pipeline with products or moving products out of a warehouse. Sales promotions are often conducted internally among sales personnel, with a high-value prize or a bonus as incentive to get sales numbers up.
Few consumer sales promotion techniques
Price deal: A temporary reduction in the price, such as happy hour
Loyal Reward Program: Consumers collect points, miles, or credits for purchases and redeem them for rewards. Two famous examples are Pepsi Stuff and Advantage.
Cents-off deal: Offers a brand at a lower price. Price reduction may be a percentage marked on the package.
Price-pack deal: The packaging offers a consumer a certain percentage more of the product for the same price (for example, 25 percent extra).
Coupons: coupons have become a standard mechanism for sales promotions.
Loss leader: the price of a popular product is temporarily reduced in order to stimulate other profitable sales
Free-standing insert (FSI): A coupon booklet is inserted into the local