Sales Promotion

 

Sales Promotion

Introduction

        Promotion: Definition:-

        Promotion may be defined as “the co-ordination of all seller initiated efforts to set up channels of information and persuasion to facilitate the sale of a goods or service.”

Sales Promotion

Sales promotion refers to short-term incentives, which are designed to encourage the buyers to form immediate purchase of a product or service. These include all promotional efforts aside from advertising, personal selling and publicity, employed by a corporation to spice up its sales.

Merits of sales promotion

1. Attention value.

2. Useful in New Product Launch.

3. Synergy in Total Promotional Efforts.

Limitation of Sales Promotion

1. Reflects Crisis.

2. Spoils Product Image.

Promotional Strategy

• Select the right target audience. ...

• Set measurable goals. ...

• Limit availability. ...

• Promote widely but wisely. ...

• Offer real value. ...

• Review your results.

Techniques of Sales Promotion

1. Rebate

2. Discount

3. Refunds

4. Product Combinations

5. Quantity Gift

6. Instant Draws & Assigned Gift

7. Lucky Draw

8. Usable Gifts

9. Full Finance

10. Sampling

11. Contests

Public relations

1. Press Relations

2. Product Publicity

3. Corporate Communication

4. Lobbying

5. Counselling

Public Relations helps in:-

a) Building awareness

b) Building credibility

c) Stimulates sales force

d) Lower promotion costs

Direct Marketing

Dictionary meaning of direct marketing is:-

“the business of selling products or services on to the general public , e.g. by order or telephone selling, instead of through retailers.”

Emails, online adverts, flyers, database marketing, promotional letters, newspapers, outdoor advertising, phone text messaging, magazine adverts, coupons, phone calls, postcards, websites, and catalog distribution are some examples of direct marketing.

Dealers Promotion

Manufacturers use a number of techniques to secure co-operation of wholesalers & retailer. They are:-

1. Buying Allowance.

2. Merchandise Allowance.

3. Advertising Allowance

4. Display Allowance.

5. Free Goods.

6. Free Speciality advertising items.

7. Business Conventions and Trade Shows.

8. Contests, Sweepstakes and games.

9. After sales Service

10. Guarantee/waranty