Personal Selling & Sales Promotion Rapid Growth of Sales Promotion Sales Promotion Objectives Major Sales Promotion Tools Developing States Promotion
Rapid Growth of Sales PromotionSales Promotion tools are used by most organizations, distributors, retailer and not-for-profit institution. Several factors have contributed to the rapid growth on sales promotion, particularly in consumer markets. Externally the company faces more competition and competing brands are less differentiated. The competitors usually use it to help differentiate their offers.The growing use of sales promotion has resulted in promotion clutter, similar to advertising clutter. To develop this a company must first set sales promotion objectives and then select the best tools for accomplishing the objectives.
Sales Promotion Objectives It says that rather Sales Promotions are than creating only usually used together short term sales or Sales Promotion with advertising, temporary brand tools are used by personal selling, switching, salesmost organizations, direct marketing, or promotion shoulddistributors, retailer other promotion mix help to reinforce the and not-for-profit tools. It must usually product’s position institution. be advertised and and build long term add excitement and customer pulling power to ads. relationship.
Major Sales Promotion Tools Many tools can be used to accomplishsales promotion objectives. Descriptions of themain consumer, trade and business promotion.1. Consumer Promotions Sales Promotion tools used to boost short-term customer buying and involvement or to enhance long-term customer relationship. Under Consumer Promotions Samples are offers of a trial amount of new product. It is the most effective but the most expensive way to introduce a new product to create.
Major Sales Promotion Tools Coupons are certificates that give buyers a saving when they purchase specified products. It can promote early trial of new brand or stimulate sales of a mature brand. Cash Refunds are like coupons except that the price reduction occurs after the purchase rather than at the retail outlet. Price Packs offer consumers savings off the regular price of a product. Premiums are goods offered either free or at low cost as an incentive to buy a product, ranging from toys included with kids product to phone cards and DVD’s.
Major Sales Promotion Tools Finally Marketers can Advertising Contests, promote their brands Specialties are sweepstakes through Event Marketing useful articles and games which means creating a imprinted with an gives the brand-marketing event oradvertiser’s name, consumers the serving as a sole or logo, or message chance to win participating sponsor of that are given as such as cash, events created by others.gifts to consumers. trips, etc. Point of Purchase promotions include displays and demonstrations that take place at the point of sale.
Major Sales Promotion Tools2. Trade Promotions Sales Promotion tools used to persuade resellers to carry a brand, give it shelf space, promote it in advertising, and push it to consumer. Manufacturer offer a straight discount off the list price on each cased purchased an allowance in return for the retailers agreement to feature its products.3. Business Promotions Sales Promotion tools used to generate business leads, stimulate purchases, reward customers, and motivate sales people. Companies usually organized conventions and trade shows. In that way the vendors will be able to meet new customers, educate and introduce new products. Sales Contest for sale people or dealers to motivate them to increase their sales performance on a given period.
Developing the Sales Promotion Program Sales Promotion tools are used by most organizations, distributors, retailer and not-for-profit institution. Marketers decides how to promote and distribute the promotion program itself. Evaluation is also important to a company because many of them fail to evaluate their sales promotion programs, and others just evaluate themselves superficially. It clearly says that sales promotion plays an important role in the total promotion mix, to use it well the marketer must define the sales promotion objectives, select the best tools, design, implement and evaluate.