Understanding the act of sales promotion
Sales promotion is made up of different types of activities which are designed for the sole purpose of providing a way to transit a message.
Sales promotion programs are crested or designed for the purpose of motivating customers to visit a store for a quick sale. There are sales promotions that are done just for building customer loyalty.
There are different promotion [programs and example of these programs includes Coupons, Chance to win a trip to the Bahamas, chance to win a ticket to a show or more; the list goes on and on.
Sales promotion is made up of different marketing activities designed to add more value to the product or service being sold.
Do you know that every year $200 billion is spent in consumer and for trade sale promotion?
There are different objectives a retailer can accomplish through sales promotion. Listed below are few of these things:
* Making quick sales
* Driving Customers to your store
*Building a relationship between you and your customers
* The customer’s knowledge of the product you are selling or the service you are rendering will be increased.
Achieving objectives like these listed above in sales promotion with efforts can stimulate an immediate response.
Previously in this article I stated that there are different types of sales promotions. Now we are going to look into a few.
Use of Coupons
Coupons have a lot of benefits when used in sales promotions. Examples of these benefits are building total sales volume and store traffic. It also gives a boost in sales for the specific product featured on the coupon. Price reduction entices customers to try a product and also become regular users. Coupons can be distributed in newspapers, magazines, direct mails or in-store flyers.
Using the Premium method
Premium is a stand-alone offer which is an inducement to the consumer to purchase a particular item or product. There are two different types of premiums; one is a free premium which is like offering incentives when the item being awarded requires no further payment by the purchaser. Take for example, when the manager of a standard company offers free toys inside the packets of kid’s flakes or foods.
The second is a self-liquidating premium which requires payment of additional money. Take for example, when Amazon.com offers a Holiday’s spirit glass for $1.99 with the purchase of a burger and a soft drink, you will see that part of all the cost of the glass to Amazon is being settled by the customer.
Organizing special events
I do know of many retailers who use special events to promote their business and increase their customer education also to generate sales. The use of this kind of method actually depends on the size of your business or store.
There are some type of products that requires instructions if the customers/consumers are to acquire skill in using them. In a situation like this retailers provide schools and classes in which both the present and future customers are taught to use the products.
Retailers that do this, reap so many benefits because of when the customers make purchases, even the retailers traffic to his/her store will definitely increase. Using this method also depends on the kind of product/service you are promoting.
There are other numerous methods of sales promotion but these few I have mentioned here in this article can surely help you get started.