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Information about Sales Promotion

Marketing
Key concepts
Product / Price / Promotion
Placement / Service / Retail
Marketing research
Marketing strategy
Marketing management
Promotional content
Advertising / Branding
Direct marketing / Personal Sales
Product placement / Public relations
Publicity / Sales promotion
Underwriting
Promotional media
Printing / Publication / Broadcasting
Out-of-home / Internet marketing
Point of sale / Novelty items
Digital marketing / In-game
Word of mouth
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Sales promotion is one of the four aspects of promotional mix. (The other three parts of the promotional mix are advertising, personal selling, and publicity/public relations.) Media and non-media marketing communications are employed for a pre-determined, limited time to increase consumer demand, stimulate market demand or improve product availability. Examples include: Sales promotions can be directed at either 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. Some sale promotions, particularly ones with unusual methods, are considered gimmick by many.

Consumer sales promotion techniques

  • Price deal: A temporary reduction in the price, such as happy hour
  • Loyalty rewards program: Consumers collect points, miles, or credits for purchases and redeem them for rewards. Two famous examples are Pepsi Stuff and AAdvantage.
  • Cents-off deal: Offers a brand at a lower price. Price reduction may be a percentage marked on the package.
  • Price-pack deal: The packaging offers a consumer a certain percentage more of the product for the same price (for example, 25 percent extra).
  • Coupons: coupons have become a standard mechanism for sales promotions.
  • Loss leader: the price of a popular product is temporarily reduced in order to stimulate other profitable sales
  • Free-standing insert (FSI): A coupon booklet is inserted into the local newspaper for delivery.
  • On-shelf couponing: Coupons are present at the shelf where the product is available.
  • Checkout dispensers: On checkout the customer is given a coupon based on products purchased.
  • On-line couponing: Coupons are available on line. Consumers print them out and take them to the store.
  • Mobile couponing: Coupons are available on a mobile phone. Consumers show the offer on a mobile phone to a salesperson for redemption.
  • Online interactive promotion game: Consumers play an interactive game associated with the promoted product. See an example of the Interactive Internet Ad for tomato ketchup.
  • Rebates: Consumers are offered money back if the receipt and barcode are mailed to the producer.
  • Contests/sweepstakes/games: The consumer is automatically entered into the event by purchasing the product.
  • Point-of-sale displays:
  • Aisle interrupter: A sign the juts into the aisle from the shelf.
  • Dangler: A sign that sways when a consumer walks by it.
  • Dump bin: A bin full of products dumped inside.
  • Glorifier: A small stage that elevates a product above other products.
  • Wobbler: A sign that jiggles.
  • Lipstick Board: A board on which messages are written in crayon.
  • Necker: A coupon placed on the 'neck' of a bottle.
  • YES unit: "your extra salesperson" is a pull-out fact sheet.

Trade sales promotion techniques

  • Trade allowances: short term incentive offered to induce a retailer to stock up on a product.
  • Dealer loader: An incentive given to induce a retailer to purchase and display a product.
  • Trade contest: A contest to reward retailers that sell the most product.
  • Point-of-purchase displays: Extra sales tools given to retailers to boost sales.
  • Training programs: dealer employees are trained in selling the product.
  • Push money: also known as "spiffs". An extra commission paid to retail employees to push products.
Trade discounts (also called functional discounts): These are payments to distribution channel members for performing some function .

Political issues

Sales promotions have traditionally been heavily regulated in many advanced industrial nations, with the notable exception of the United States. For example, Britain formerly operated under a resale price maintenance regime in which manufacturers could legally dictate the minimum resale price for virtually all goods; this practice was abolished in 1964.[1]

Most European countries also have controls on the scheduling and permissible types of sales promotions. Germany is notorious for having the most strict regulations. Famous examples include the car wash that was barred from giving free car washes to regular customers and a baker who could not give a free cloth bag to customers who bought more than 10 rolls.Anonymous, "Handcuffs on the high street," The Economist 355,

See also

References

1. ^ Stuart Mitchell, "Resale price maintenance and the character of resistance in the conservative party: 1949-64," Canadian Journal of History 40, no. 2 (August 2005): 259-289.
Marketing is a social process which satisfies consumers' wants. The term includes advertising, distribution and selling of a product or service. It is also concerned with anticipating the customers' future needs and wants, often through market research.
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Product marketing deals with the first of the "4P"'s of marketing, which are Product, Pricing, Place, and Promotion. Product marketing, as opposed to product management, deals with more outbound marketing tasks.
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Pricing is one of the four p's of the marketing mix. The other three aspects are product management, promotion, and place. It is also a key variable in microeconomic price allocation theory.
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Promotion is one of the four key aspects of the marketing mix. The other three elements are product management, pricing, and distribution. Promotion involves disseminating information about a product, product line, brand, or company.
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Distribution is one of the 4 aspects of marketing. A distributor is the middleman between the manufacturer and retailer. After a product is manufactured it is typically shipped (and usually sold) to a distributor.
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Service can refer to:
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  • Service (Systems Architecture), the provision of a discrete business or technology function within a systems environment; i.

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Retailing consists of the sale of goods or merchandise, from a fixed location such as a department store or kiosk, in small or individual lots for direct consumption by the purchaser.[1] Retailing may include subordinated services, such as delivery.
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Market research is broader in scope and examines all aspects of a business environment. It asks questions about competitors, market structure, government regulations, economic trends, technological advances, and numerous other factors that make up the business environment.
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A marketing strategy[1] [2] is a process that can allow an organization to concentrate its (always limited) resources on the greatest opportunities to increase sales and achieve a sustainable competitive advantage.
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Marketing management is a business discipline focused on the practical application of marketing techniques and the management of a firm's marketing resources and activities.
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Advertising is paid, one-way communication through a medium in which the sponsor is identified and the message is controlled by the sponsor. Variations include publicity, public relations, etc..
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A brand includes a name, logo, slogan, and/or design scheme associated with a product or service. Brand recognition and other reactions are created by the use of the product or service and through the influence of advertising, design, and media commentary.
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Sales are the activities involved in providing products or services in return for money or other compensation. It is an act of completion of a commercial activity.[1]
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Product placement advertisements are promotional ads placed by marketers using real commercial products and services in media, where the presence of a particular brand is the result of an economic exchange.
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Publicity is the deliberate attempt to manage the public's perception of a subject. The subjects of publicity include people (for example, politicians and performing artists), goods and services, organizations of all kinds, and works of art or entertainment.
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An underwriting spot is an announcement made on public broadcasting outlets, especially in the United States, in exchange for funding. These spots usually mention the name of the sponsor, and can resemble traditional advertising in commercial broadcasting, but there are
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publish is to make publicly known, and in reference to text and images, it can mean distributing paper copies to the public, or putting the content on a website.

The word publication means the act of publishing
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Broadcasting is the distribution of audio and/or video signals which transmit programs to an audience. The audience may be the general public or a relatively large sub-audience, such as children or young adults.
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Out-of-home advertising (also referred to as OOH) is essentially all type of advertising that reaches the consumer while he or she is outside the home. This is in contrast to broadcast, print, or internet advertising, which may be delivered to viewers out-of-home (e.g.
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Internet marketing, also referred to as online marketing or Emarketing, is marketing that uses the Internet. The Internet has brought many unique benefits to marketing including low costs in distributing information and media to a global audience.
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Point-of-sale displays are special advertising vehicles that are found near, on, or next to a checkout counter. This is meant to entice the customer into buying more products, or products that are on a special offer.
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Promotional items or promotional products refers to articles of merchandise that are used in marketing and communication programs. The items are usually imprinted or decorated with a company's name, logo or message, using techniques such as Embroidery, Silkscreen, or
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Digital Marketing is the practice of promoting products and services using digital distribution channels to reach consumers in a timely, relevant, personal and cost-effective manner.
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In-game advertising (IGA) refers to the use of computer and video games as a medium in which to deliver advertising. 2005 spending on in-game advertising was USD$56 million, and this figure is estimated to grow to $1.
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Word of mouth, is a reference to the passing of information by verbal means, especially recommendations, but also general information, in an informal, person-to-person manner.
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There are four main aspects of the Promotional Mix. These consist of:

Advertising- Any paid form of non-personal presentation and promotion of ideas, goods, or services by an identified sponsor.
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There are four main aspects of the Promotional Mix. These consist of:

Advertising- Any paid form of non-personal presentation and promotion of ideas, goods, or services by an identified sponsor.
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