The document discusses various sales promotion tools including consumer promotions using samples, coupons, and premiums; trade promotions like price discounts and free goods; and business promotions such as trade shows, sales contests, and specialty advertising. It also covers objectives of sales promotion like stimulating trials, increasing repurchase rates, and adjusting to supply and demand variations. Public relations tools mentioned include press releases, product publicity, corporate communications, and sponsorships to promote products, services, and corporate image.

1. Promotion and
other tools
Navneet Kaur
Abhishek Grover
Gagan Kaur

2. Sales Promotion
 Sales promotion is one of the seven aspects of
the promotional mix. Media and non-media
marketing communication are employed for
a pre-determined, limited 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.

3. Sales Promotion
 Sales promotions can be directed either
at the customer, sales staff, or distribution
channel members (such as retailers).
 Sales promotions targeted at the
consumer are called consumer sales
promotions. Sales promotions targeted at
retailers and wholesale are called trade
sales promotions

4. Why is Sales
Promotion
used?

5. Objectives
 Free samples stimulate trials
 Free management advisory service aims at long
term relation
 Incentive type promotion reward royal customers
and increase repurchase rates
 To attract brand switchers.
 Used in markets of high brand similarity
 It enables manufacturers to adjust to short term
variations in supply and demand.

6. Types of sales
promotions

7. Types of Sales Promotions
1. Consumer promotions
2. Trade promotions
3. Business and sales force promotions

8. Tools
 Consumer promotion tools- the promotion
planner should take into account the
type of market, sales promotion
objectives, competitive conditions, and
each tool’s cost effectiveness. The main
consumer promotion tools are:-

9. Different Tools
 Samples
 Coupons
 Cash refund
 Price packs
 Premium/gifts
 Frequency programs
 Prizes
 Free trials
 Product warranties
 Tie in promotion
 Cross promotions
 Point of purchase display & demonstrations

10. Trade
Promotion

11. Why is Trade Promotion Used?
 To persuade retailer or wholesaler to carry
the brand
 To persuade retailer or wholesaler to carry
more inventory
 To induce retailers to promote the brand
by featuring display and price reductions
 To stimulate retailers and sales clerks to
push their products.

12. Tools Used
 Price Off- A straight discount off the list price
on each case purchased during a stated
time period.
 Allowance- An amount offered in return for
the retailer’s agreeing to feature the
manufacturer’s products in some way.
 Free goods- offers of extra cases of
merchandise to intermediaries who buy a
certain quantity or who feature a certain
flavor or size.

13. Business or
Sales Force
Promotion

14. Business or sales force
promotions
 Companies spend large amount of
money on business and sales-force
promotion tools to gather business
leads, impress and reward customers, and
motivate the sales force to greater effort.
They develop budgets for tools that
remain fairly constant from year to year.

15. Sales force promotion tools
1. Trade shows and conventions
2. Sales contests
3. Specialty advertising

16. Trade Shows &
Conventions

17. Trade Shows & Conventions
 Industryassociations organize annual
trade shows and conventions. Business
marketers may spend as much as 35% of
their annual promotion budget on trade
shows.
 Participating vendors expect several
benefits including-

18. Benefits …
 Generating new sales leads
 Maintaining customer contacts
 Introducing new products
 Meeting new customer
 Selling more to present customers
 Educating customers with
publications/videos
 Other audio visual materials

19. Sales
Contests

20. Sales Contests
A sales contest aims at inducing the sales
force or dealers to increase their sales
results over a stated period, with
prizes(money, trips, gifts, or points) going
to those who succeed.

21. Specialty
Advertising

22. Specialty Advertising
 Itconsists of useful, low cost items bearing
the company’s name and address and
sometimes an advertising message that
sales people give to prospects and
customers.
 Common items are ball point pens,
calendars, key chains, flash lights etc.

23. Market
oriented P.R.
and
sponsorships

24. Why P.R.?
 Companies cannot survive in isolation they
need to have a constant interaction with
customers, employees and different
stakeholders. This servicing of relation is done
by the public relation office.
 The major function of the public relation office
is to handle press releases, support product
publicity, create and maintain the corporate
image, handle matters with lawmakers, guide
management with respect to public issues.

25. Functions
 PR involves a variety of programs designed to
promote or protect the company’s image or
its individual products. The best PR
departments perform the following functions
 Press relations
 Product publicity
 Corporate communications
 Lobbying
 Counseling

26. Marketing
public relations

27. M.P.R.
 The old name for MPR was PUBLICITY, the
task of securing editorial space-as
opposed to paid space- imprint and
broadcast media to promote “HYPE” a
product, service, idea, place, person or
organization.
 MPR goes beyond simple publicity and
plays an important role in the following
tasks-

28. Tasks
 Assisting in launch of new products
 Assisting in repositioning a mature product
e.g. Onida
 Building interest in a product category e.g.
eggs
 Influencing specific target groups
 Defending products that have encountered
products e.g. coke
 Building corporate image in a way that
reflects favorable on its products.

29. Tools
 Publications- Newsletters, magazines and
journals
 Events- Castrol gives away free tickets for
Malaysian Moto GP
 Sponsorship- Complan sponsors under-14
sports events
 News- Media helps enhance brand image
 Public service activities- Subway celebrating
RED NOSE DAY worldwide
 Identity media- Pens, locks, diaries