Sales Promotion Essay

There are two basic types of sales promotions, trade and consumer sales promotions. The schemes, discounts, freebies, commissions and incentives given to the retailers, wholesalers, distributors to stock more, push more and hence sell more of a product come under sales promotion. But sales promotion activity aimed at the final consumer are called consumer schemes. These are used to create a pull for the product and are advertised in public media to attract attention. Maximum schemes are floated in festival times, like Eid,Ramazan. Examples are buy soap, get diamond free, buy biscuits, collect runs, buy TV and get some discount or a free item with it and so on. Sales promotions typically increase the level of sales for the duration they are

The most popular consumer sales promotions are directly associated with product purchasing. These promotions are intended to enhance the value of a product purchase by either reducing the overall cost of the product for instance get same product but for less money or by adding more benefit to the regular purchase price for example get more for the money.While tying a promotion to an immediate purchase is a major use of consumer sales promotion, it is not the only one. As we noted above, promotion techniques can be used to achieve other objectives such as building brand loyalty or creating product awareness. Consequently, a marketer’s promotional toolbox contains a large variety of consumer

Coupons are shortterm in nature as mostly carry an expiration date after which the value may not be received. Also, coupons require consumer involvement in order for value to be realized. In most cases involvement consists of the consumer making an effort to obtain the coupon and then presenting it at the time of purchase.Coupons are used widely by marketers across many retail industries and reach consumers in a number of different delivery formats including, coupon placement,it distributed loosely within media, such as newspapers and direct mail, and may or may not require the customer to cut away from other material in order to use. The second type of coupons placed within or on other products. Often a marketer will use this method to promote one product by placing the coupon inside another major selling product. For example, a pharmaceutical company may imprint a coupon for a cough syrup on the box of a pain medication. Also, this delivery approach is used when two marketers have struck a cross promotion arrangement where each agrees to undertake certain marketing activity for the other. A delivery method that is common in many food stores is to present coupons to a customer at the conclusion of the purchasing process. These coupons, which are often printed on the spot, are intended to be used for a future