Sales Promotion

This strategy is usually used if the distributor is hesitant to carry a product, since it gets its required consumers without having to go to retail outlets. “Car dealers often provide a good example of a combination strategy. If you pay attention to car dealers’ advertising, you will often hear them speak of cash-back offers and dealer incentives.”
Because sales promotion is an initiative carried out by an organization to promote a product to ensure increase in sales so it has varied methods of promotion. Most of the time, sales promotions are creative and original therefore providing a comprehensive list of all methods is not possible, however some examples of the regularly used sales promotions activities are as follows:

•    Buy-One-Get-One-Free

•    New Media

•    Merchandising

•    CRM (customer relationship management)

•    Free gifts

•    Discounted prices

•    Free samples

•    Vouchers & coupons

•    Joint promotions

•    Competitions and prize draws/Cause-related or fair

•    Finance deals

Sales promotion is directed at sales staff, customers and distribution channel members which may include wholesalers, retailers etc. When targeted at consumers it is called consumer sales promotion, when it is targeted at wholesalers and retailers it is called trade sales promotions. However by many it is considered as ‘gimmick’ because of the unusual methods some marketers use for sales promotion.

Written By

Hannah Paul