Even though customer satisfaction has become the top priority for businesses, there are times when they need to stimulate demand and increase sales of their products for short-run. This is where sales promotion comes into play. Show
Sales promotion is a part of the promotional mix where the business uses many short-term customer-oriented strategies to stimulate the demand for its product by making it look more attractive and/or worthy. Here’s a simpler definition of sales promotion – Sales promotion is a marketing strategy where the product is promoted using short-term attractive initiatives to stimulate its demand and increase its sales. This strategy is usually brought to use in the following cases –
American Marketing Association defines sales promotion as –
Importance Of Sales PromotionSales promotion is a handy technique to fulfil the short term sales goals by persuading potential customers to buy the product. It is an important promotional strategy to –
Objectives Of Sales PromotionThe answer to the question what is sales promotion? also gives a hint to sales promotion objectives, the main objective being lifting the sales temporarily. Other objectives include but are not limited to –
Sales Promotion StrategiesSales promotion strategies can be divided into three broad types. These are –
Types Of Sales PromotionsSales promotion can be broadly divided into two types according to whom the promotion is targeted to. These are – Consumer Sales PromotionWhen the sales promotion strategies are targeted to the end consumers, it is referred to as consumer sales promotion. An example would be offering 20% off on certain products to the customers. The main motive of consumer-oriented promotion is to increase sales directly by attracting new customers and wooing existing ones. Sales Promotion Techniques Targeted To ConsumersSales promotion tools used for consumer-oriented promotion are –
Trade Sales PromotionWhen the promotion activities are strategized keeping in mind the dealers, distributors, or agents, it is called trade sales promotion. In this type of sales promotion, offers are provided within the trade channels with an aim to woo retailers, wholesalers, agents, or distributors. This is done to get more shelf space as compared to competitors, motivate the dealers to sell more of the brand’s products and to increase the sales indirectly. Sales Promotion Techniques Targeted To Traders
Sales Promotion ExamplesA product can be promoted for a limited time using innumerable tactics. Here are a few examples of sales promotion tactics that exist – Black Friday SaleBlack Friday sale is a seasonal sale which occurs only once a year. It involves huge discounts and special offers which are limited to a day. As a result, it increases the sales manifold. Buy One Get OneBuy One Get One (BOGO) is a popular type of sales promotion where two products are offered at a price of one. This works great to promote a new product or clear the inventory at the end of the season. Referral BonusesReferral marketing is a great sales promotion strategy where the company pushes its own customers to bring in new customers. This is done by providing them with special discounts, offers, cashback, or actual monetary benefits. Go On, Tell Us What You Think!Did we miss something? Come on! Tell us what you think about our article in the comments section. A startup consultant, digital marketer, traveller, and philomath. Aashish has worked with over 20 startups and successfully helped them ideate, raise money, and succeed. When not working, he can be found hiking, camping, and stargazing. What type of promotion is buy one get one free?What Is a BOGO Sale? BOGO (or BOGOF) stands for “Buy One, Get One Free”. It's a type of sales promotion where customers get a free or discounted product when they purchase another product. BOGO promotions are popular among retailers because they can increase sales of the products being promoted.
Which type of sales promotion offers free or reduced price merchandise?BOGO deals
BOGO stands for "buy one get one," and these deals allow customers to purchase one product and get another product for free or for a reduced price. You can also use this type of promotion to liquidate inventory.
What are the 4 types of promotion?Promotion looks to communicate the company's message across to the consumer.. Advertising.. Sales Promotion.. Public Relations.. Direct Marketing.. What is short term sales promotion?A sales promotion is a marketing strategy in which a business uses a temporary campaign or offer to increase interest or demand in its product or service.
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