SALES PROMOTION 
BY 
SMART LEARNING WAY 
03
FLOW OF PRESENTATION 
• Introduction of sales promotion 
• Definition of sales promotion 
• Importance of sales promotion 
• Conclusion 
• Review of the topic 
• Bibliography 
03
INTRODUCTION OF 
SALES PROMOTION 
• The term sales promotion covers a wide 
range of activities intended to provide a 
short-term increase in sales, Some sales 
promotions are aimed at retailers, some 
are aimed at consumers, others are aimed 
at wholesalers, but in all cases the 
intention is to provide an extra incentive to 
buy [ to stock] a specific brand or product 
range. 
03
• Sales promotion consists of a diverse 
collection of incentives tools, mostly short-term 
designed to stimulate quicker and 
greater purchases of a particular product 
by consumers. 
• When advertising offers a reasons to buy, 
sales promotion offer an incentive to buy. 
03
DEFINITION OF 
SALES PROMOTION 
• “Those marketing activities, other than 
personal selling, advertising, and publicity that 
stimulate consumer purchasing and dealing 
effectiveness, such as displays, shows and 
exhibitions, demonstration and various non-recurrent 
efforts not in the ordinary routine is 
known as sales promotion.” 
-American marketing Association. 
03
• “Sales promotion consists of all 
those activities whose purpose is to 
supplement, to coordinate and to make 
more effective efforts of the sales force, of 
the advertising department and of the 
distributors and dealers to increase sales 
and otherwise stimulate consumers to 
take greater initiative in buying.” 
-By L.K. Johnson 
04
• “Sales promotion is an organized efforts 
applied to the selling job to secure the greatest 
effectiveness for advertising and for dealer’s 
help” 
- By George w. Hopkins 
• “ We define sales promotion as those 
promotional activities ( other than advertising, 
personal selling, and publicity) that are intended 
to stimulate customers demand and to improve 
middlemen’s marketing performance.” 
05 
- By W. J. Stanton.
• “ Sales promotion is a short 
term prize, gift or product incentives 
designed to include purchase when 
offered to distributors , industrial users, or 
06 
consumer.” 
- By Tull & Kahel.
IMPORTANCE OF 
SALES PROMOTION 
• Sales promotion is an important 
component of a promotion campaigning 
programme. It can be specific tool of the 
marketing strategy of an enterprise. 
Because of increasing level of competition 
and costs of advertisement, producers 
largely use this technique as a 
promotional tool. 
07
• Sale promotion techniques 
are not only useful to the producers 
and distributors, but also are useful to 
consumers. The importance of sales 
promotion may be grouped as follows: 
08
a). Importance to Consumers. 
b). Importance to 
Manufactures/Producers. 
c). Importance to 
Dealers/Middleman. 
d). Importance to Society & the 
nation. 
09
A) IMPORTANCE TO CONSUMER 
1. Sufficient product knowledge:- 
Various consumer promotion 
methods such as demonstrations, 
training to use the product, etc. give 
sufficient product’s knowledge to 
consumer with regard to uses, 
operations, maintenance or upkeep of 
03 
the product.
2. Availability of product at reduced 
prices:- 
Sales promotional tools like 
prices-off deals, premium offers, 
discounts, etc. reduce the price of the 
product when purchased on notified 
occasions. 
03
3. Increase in consumers buying 
confidence:- 
Free samples offered 
under the sales promotion programme 
give the potential consumers an 
opportunity to use the goods and satisfy 
with the quality of product. This 
experience may give them confidence to 
take a better decision towards the 
purchases of products. 
10
4. Increases in the quality of goods 
purchased :- 
Stimulated by the various 
promotional incentives like free goods, 
premium and coupons, etc. the buyer are 
attracted towards larger purchases than 
their usual needs to avail the opportunity. 
5. Higher slandered of living :- 
11 
The consumer 
also get plenty of opportunities in using 
the new , cheaper & durable items, to their 
satisfaction, which may help them to 
maintain a higher standard of living.
6. Minimize exploitation :- 
12 
The consumer 
promotion programme gives sufficient 
knowledge about product and substitutes 
available for a product, its quality and 
price. As a result, a seller cannot be able 
to create a monopoly in his product an 
exploit the consumers. This may be the 
reason that for product like soaps. 
Detergent, toothpastes, etc. the 
exploitation is not at all possible.
B) IMPORTANCE TO 
PRODUCER / MANUFACTURE 
1. Increases in sales :- 
sales promotion 
programme attracts the consumers & 
stimulates them for larger purchases leading to 
increased sales. 
2. Regular sales of seasonal product :- 
The offer of off-season 
discounts, price cut etc. on seasonal products 
like fridge, coolers, fans, etc. are able to 
maintain regular are continuous sales of such 
items. 
13
3. Improve effectiveness of advertisement and 
personal selling :- 
14 
The sales 
promotion makes the advertisement more 
effective to push the sales. It is effective 
technique to minimize the dissatifaction of 
customers that have been create by retail 
selling. 
4. Cooperation from middlemen :- 
The various 
promotional incentives offered to the dealers 
help to achieve co-operations from them to sell 
the product on priority basis and to maintain 
maximum stock with them.
5. Demand for product & services :- 
15 
The sales 
promotion techniques have proved successfully 
in introducing new product & services. By the 
supply of free samples, the new product makes 
its place in the market. 
6. Able to capture new market :- 
The sales promotion 
programme facilitates the producer to capture 
new markets for his products easily. The 
markets of plantation products have been 
successfully in capturing the markets by the 
distribution of free samples.
7. Increase in goodwill :- 
16 
The repeated uses 
of sales promotion tools facilitate the 
consumers to get a special identification of 
the product as well as of the producer. 
The satisfaction that have been arrived to 
the consumers by continuous uses of the 
products will gradually increase the 
goodwill of the firm.
17 
8. Direct control :- 
Since the advertising 
media is controlled by advertising 
agencies, the advertising costs are on 
higher side. This has adverse effect on the 
sales and profits. But in the sales 
promotion programme, the producer has 
full control over the promotional tools & 
therefore, can achieve maximum results at 
minimum costs.
9. Effective steps to face the competition:- 
18 
Larger sales, 
reduce production costs, increase in profits, 
special identity and goodwill of the producer, etc. 
achieved through sales promotion measures can 
help to face the competition more effectively. 
10. Improvement & new uses of the production :- 
The sales promotion 
programme invites suggestions from the 
consumers from time to time to know about their 
change in need & performance. According, 
necessary improvements or modifications are 
made in the product to satisfy the consumer 
need.
C) IMPORTANCE TO 
DEALERS/MIDDELMEN 
1. Facilitates larger sales :- 
19 
The dealers get 
advantages of sales promotional 
techniques for increasing their sales. 
Sales promotion is a coordinating activity 
between sales, advertising, research & 
public relations efforts & they reduce the 
resistance at the point of sales.
2. More facilities & assistance :- 
20 
The producer, 
under the sales promotional programme, 
provides various facilities & assistance to the 
middlemen, such as assistance to marketing 
research, providing with display materials and 
managerial assistance, etc. for maintaining 
regular stock for sales. 
3. Direct relation with customers :- 
A direct relationship 
between the dealers & the consumers are 
established through the sales promotion 
techniques which will continue for a long time.
D) IMPORTANCE TO THE 
SOCIETY & THE NATION 
• The importance of sales promotion 
programme for the society & the nation 
can be summarized as below :- 
1. Increase in standard of living the people. 
2. Increase in employment opportunities. 
3. Development and expansion of 
transport, communication, baning, 
insurance and warehousing facilities. 
21
4. Increase in Gross National Product and 
percapita income. 
5. Creation of healthy competition in national 
and international trade, etc. 
22
CONCLUSION 
• Sales promotion refers to non recurring 
and short-term sales activities other than 
advertising and personal selling. Brand 
proliferation, trade pressures, growing 
competition recession, quick returns, 
competent staff and attitudinal change are 
the causes of growing popularity of sales 
promotion. 
23
Sales promotion 
methods or scheme are used 
at the level of declares, 
consumers and salesmen. 
24
REVIEW OF THE PRESENTATION 
Introduction of sales promotion 
Definition of sales promotion 
Importance of sales promotion 
Conclusion 
03
BIBLIOGRAPHY 
• Marketing management 
25 
by 
Philip kotler 
Himalaya publishing house 
• Sales management & sales promotion 
by 
Dr M. J. mathew 
•
THANK YOU 
03

Sales promotion

  • 1.
    SALES PROMOTION BY SMART LEARNING WAY 03
  • 2.
    FLOW OF PRESENTATION • Introduction of sales promotion • Definition of sales promotion • Importance of sales promotion • Conclusion • Review of the topic • Bibliography 03
  • 3.
    INTRODUCTION OF SALESPROMOTION • The term sales promotion covers a wide range of activities intended to provide a short-term increase in sales, Some sales promotions are aimed at retailers, some are aimed at consumers, others are aimed at wholesalers, but in all cases the intention is to provide an extra incentive to buy [ to stock] a specific brand or product range. 03
  • 4.
    • Sales promotionconsists of a diverse collection of incentives tools, mostly short-term designed to stimulate quicker and greater purchases of a particular product by consumers. • When advertising offers a reasons to buy, sales promotion offer an incentive to buy. 03
  • 5.
    DEFINITION OF SALESPROMOTION • “Those marketing activities, other than personal selling, advertising, and publicity that stimulate consumer purchasing and dealing effectiveness, such as displays, shows and exhibitions, demonstration and various non-recurrent efforts not in the ordinary routine is known as sales promotion.” -American marketing Association. 03
  • 6.
    • “Sales promotionconsists of all those activities whose purpose is to supplement, to coordinate and to make more effective efforts of the sales force, of the advertising department and of the distributors and dealers to increase sales and otherwise stimulate consumers to take greater initiative in buying.” -By L.K. Johnson 04
  • 7.
    • “Sales promotionis an organized efforts applied to the selling job to secure the greatest effectiveness for advertising and for dealer’s help” - By George w. Hopkins • “ We define sales promotion as those promotional activities ( other than advertising, personal selling, and publicity) that are intended to stimulate customers demand and to improve middlemen’s marketing performance.” 05 - By W. J. Stanton.
  • 8.
    • “ Salespromotion is a short term prize, gift or product incentives designed to include purchase when offered to distributors , industrial users, or 06 consumer.” - By Tull & Kahel.
  • 9.
    IMPORTANCE OF SALESPROMOTION • Sales promotion is an important component of a promotion campaigning programme. It can be specific tool of the marketing strategy of an enterprise. Because of increasing level of competition and costs of advertisement, producers largely use this technique as a promotional tool. 07
  • 10.
    • Sale promotiontechniques are not only useful to the producers and distributors, but also are useful to consumers. The importance of sales promotion may be grouped as follows: 08
  • 11.
    a). Importance toConsumers. b). Importance to Manufactures/Producers. c). Importance to Dealers/Middleman. d). Importance to Society & the nation. 09
  • 12.
    A) IMPORTANCE TOCONSUMER 1. Sufficient product knowledge:- Various consumer promotion methods such as demonstrations, training to use the product, etc. give sufficient product’s knowledge to consumer with regard to uses, operations, maintenance or upkeep of 03 the product.
  • 13.
    2. Availability ofproduct at reduced prices:- Sales promotional tools like prices-off deals, premium offers, discounts, etc. reduce the price of the product when purchased on notified occasions. 03
  • 14.
    3. Increase inconsumers buying confidence:- Free samples offered under the sales promotion programme give the potential consumers an opportunity to use the goods and satisfy with the quality of product. This experience may give them confidence to take a better decision towards the purchases of products. 10
  • 15.
    4. Increases inthe quality of goods purchased :- Stimulated by the various promotional incentives like free goods, premium and coupons, etc. the buyer are attracted towards larger purchases than their usual needs to avail the opportunity. 5. Higher slandered of living :- 11 The consumer also get plenty of opportunities in using the new , cheaper & durable items, to their satisfaction, which may help them to maintain a higher standard of living.
  • 16.
    6. Minimize exploitation:- 12 The consumer promotion programme gives sufficient knowledge about product and substitutes available for a product, its quality and price. As a result, a seller cannot be able to create a monopoly in his product an exploit the consumers. This may be the reason that for product like soaps. Detergent, toothpastes, etc. the exploitation is not at all possible.
  • 17.
    B) IMPORTANCE TO PRODUCER / MANUFACTURE 1. Increases in sales :- sales promotion programme attracts the consumers & stimulates them for larger purchases leading to increased sales. 2. Regular sales of seasonal product :- The offer of off-season discounts, price cut etc. on seasonal products like fridge, coolers, fans, etc. are able to maintain regular are continuous sales of such items. 13
  • 18.
    3. Improve effectivenessof advertisement and personal selling :- 14 The sales promotion makes the advertisement more effective to push the sales. It is effective technique to minimize the dissatifaction of customers that have been create by retail selling. 4. Cooperation from middlemen :- The various promotional incentives offered to the dealers help to achieve co-operations from them to sell the product on priority basis and to maintain maximum stock with them.
  • 19.
    5. Demand forproduct & services :- 15 The sales promotion techniques have proved successfully in introducing new product & services. By the supply of free samples, the new product makes its place in the market. 6. Able to capture new market :- The sales promotion programme facilitates the producer to capture new markets for his products easily. The markets of plantation products have been successfully in capturing the markets by the distribution of free samples.
  • 20.
    7. Increase ingoodwill :- 16 The repeated uses of sales promotion tools facilitate the consumers to get a special identification of the product as well as of the producer. The satisfaction that have been arrived to the consumers by continuous uses of the products will gradually increase the goodwill of the firm.
  • 21.
    17 8. Directcontrol :- Since the advertising media is controlled by advertising agencies, the advertising costs are on higher side. This has adverse effect on the sales and profits. But in the sales promotion programme, the producer has full control over the promotional tools & therefore, can achieve maximum results at minimum costs.
  • 22.
    9. Effective stepsto face the competition:- 18 Larger sales, reduce production costs, increase in profits, special identity and goodwill of the producer, etc. achieved through sales promotion measures can help to face the competition more effectively. 10. Improvement & new uses of the production :- The sales promotion programme invites suggestions from the consumers from time to time to know about their change in need & performance. According, necessary improvements or modifications are made in the product to satisfy the consumer need.
  • 23.
    C) IMPORTANCE TO DEALERS/MIDDELMEN 1. Facilitates larger sales :- 19 The dealers get advantages of sales promotional techniques for increasing their sales. Sales promotion is a coordinating activity between sales, advertising, research & public relations efforts & they reduce the resistance at the point of sales.
  • 24.
    2. More facilities& assistance :- 20 The producer, under the sales promotional programme, provides various facilities & assistance to the middlemen, such as assistance to marketing research, providing with display materials and managerial assistance, etc. for maintaining regular stock for sales. 3. Direct relation with customers :- A direct relationship between the dealers & the consumers are established through the sales promotion techniques which will continue for a long time.
  • 25.
    D) IMPORTANCE TOTHE SOCIETY & THE NATION • The importance of sales promotion programme for the society & the nation can be summarized as below :- 1. Increase in standard of living the people. 2. Increase in employment opportunities. 3. Development and expansion of transport, communication, baning, insurance and warehousing facilities. 21
  • 26.
    4. Increase inGross National Product and percapita income. 5. Creation of healthy competition in national and international trade, etc. 22
  • 27.
    CONCLUSION • Salespromotion refers to non recurring and short-term sales activities other than advertising and personal selling. Brand proliferation, trade pressures, growing competition recession, quick returns, competent staff and attitudinal change are the causes of growing popularity of sales promotion. 23
  • 28.
    Sales promotion methodsor scheme are used at the level of declares, consumers and salesmen. 24
  • 29.
    REVIEW OF THEPRESENTATION Introduction of sales promotion Definition of sales promotion Importance of sales promotion Conclusion 03
  • 30.
    BIBLIOGRAPHY • Marketingmanagement 25 by Philip kotler Himalaya publishing house • Sales management & sales promotion by Dr M. J. mathew •
  • 31.