This slideshow contains information about Sales Promotion, characteristics of sales promotion, tools of sales promotion etc.

1. Sales Promotion, Direct
Marketing and Personal
Selling
UNIT – 6

2. Sales Promotion

3. Sales Promotion
• Sales promotion is defined as ‘a variety of
short term incentives to encourage trial or
purchase of a product or service’ – Kotler
[2006]
• The effect of sales promotion is short lived,
however it helps to gain customer attention for
the brand.

4. Objectives of Sales Promotion
• Sales promotion is done to achieve any of the
following objective[s]:
• To introduce a new product – apart form
advertising, sales promotion can also be done
at the time of launching a new product
• To attract new customers – the promo offers
can be directed towards new customers

5. Objectives of Sales Promotion
• Retain existing customers – existing customers
can be retained through sales promotion by
offering them loyalty points, coupons etc.
• Overcome competition – sales promotion helps
companies to overcome competition. If the
competitor is providing a promotional offer, to
overcome this, companies might also launch
similar offer.

6. Process of Sales Promotion
Objectives of Sales
Promotion
Selecting the Tool
Implementation Strategy
Evaluating the Results
Feedback

7. Tools of Sales Promotion
• There are various sales promotion tools like:
Discount offer
Price off
Coupons
Cash-back
Contests
Exchange offers

8. Advantages of Sales Promotion
• Helps to introduce new products
• Helps to attract new customers and retain
existing ones
• Helps in increasing sales for short term
• Helps in overcoming competition
• Helps in the sales of seasonal products [air
conditioners, fridge, sweaters, coolers etc]

9. Direct Marketing

10. Direct Marketing
• Direct Marketing happens when companies
communicate with the target audience
[customers] without involving any
intermediaries.
• According to the American Marketing
Association [2014]: Directing Marketing is ‘a
form of non store retailing in which customers
are exposed to merchandise through an
impersonal medium and then purchase the
product by telephone or email’

11. Characteristics of Direct Marketing
• It is a non store activity, it is not done in any
retail store or mall
• A medium is used such as email, telephone,
and TV [Home Shop] in order to reach the
customer
• Customers can respond via telephone, in
person or email
• Response can be measured

12. Process of Direct Marketing

13. Tools of Direct Marketing
• Print Media: In their print media ads,
companies can mention toll free number or
email id
• Television: through channels like Home Shop
• Telephone: by making cold calls to the
customers
• Email: customers can be reached directly on
their emails
• Website: companies encourage customers to
visit their websites to order directly from there

14. Inbound and Outbound Telemarketing
• Inbound Telemarketing: companies post their
numbers so that the customers who are
interested in contacting them for further
inquiries can call them. This is inbound
telemarketing
• Outbound Telemarketing: when marketers call
the customers to inform them about the
product / services offered, give information
etc, it is called outbound telemarketing

15. Personal Selling

16. Personal Selling
• Personal selling is a promotional tool that
involves the use of sales force’s skills to build
the personal relationship with the buyer
• Personal selling is defined as the ‘face to face’
interaction between buyers and sellers so that
it leads to value creation.
• It is the personal contact between the buyers
and sellers so as to make a sale

17. Process of Personal Selling
Identifying the prospects
Contacting
Interest creation
Preference generation
Specific Proposal
Closing the sale

18. Personal Selling
• Personal selling is a promotional tool that
involves the use of sales force’s skills to build
the personal relationship with the buyer
• Personal selling is defined as the ‘face to face’
interaction between buyers and sellers so that
it leads to value creation.
• It is the personal contact between the buyers
and sellers so as to make a sale. It is a two way
communication

19. Advantages of Personal Selling
• Instant feedback form the buyer
• Helps in building trust with the customers
• It is more persuasive
• It is very popular in B2B [Business to
Business] Marketing
• Sometimes the only way to reach customers is
through personal selling