3. Contents to be covered…………..
• Sales promotion
• Sales promotion techniques
4. Sales promotion
Last component of promotion mix
Free samples, discount coupons, prize
rewarding competitions etc… are called
sales promotion
Except advertisement,publicity, and sales
promotion
Usually for short period and have no
regularity
5. Definition
“Sales promotion refers to those activities other than
personal selling, advertising, and publicity that
stimulate consumer purchasing and dealer
effectiveness such as displays, shows and exhibitions,
demonstrations and various non-current selling efforts
not in the ordinary routines.”
6. Situations requiring sales promotion
When there is tough
competition in the market
New product introduced
Attracting new customers
When the image of the company
has to be enhanced
When the business has an
intension to increase sales
8. Rebate
• Reducing certain percentage
of the price of the product
• Selling at the reduced price
on special occasions
• Helps to sell the old stock
9. Discount
• Sells products at prices less
than the actual price
• Uses when sales fall
10. Gifts
• Given to customers who
purchase goods over and
above a particular amount or
quantity
11. Contest
• On certain occasions contests
are held and prizes are given
12. Refund
• Coupons issues for every
purchase can be returned later
to receive a refund for the next
purchases
13. Gift enclosed
packages
• Gifts are enclosed in a product
package to encourage people
to to buy the product