Transcript Types of Consumer Sales Promotion

4.10 Promotional
Channels used to
Communicate with
targeted audiences.
Discuss differences between
advertising and sales promotion
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Advertising positions a product or service
against that of competitors to convey a brand
message to consumers and to enhance its value
in the consumer’s eyes.
Sales Promotions include a variety of strategies
designed to off purchasers an extra incentive to
buy.
Explain reasons that businesses use
sales promotions
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To increase sales in a short time.
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To introduce a new product on the market
Types of Consumer Sales Promotion
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Coupons-Offers purchasers price savings or
other incentives when the coupon is redeemed
at the time of purchase.
Free-standing insert- Advertising brochure, card,
or leaflet inserted in a newspaper or magazine,
usually to serve as a reply coupon or discount
voucher.
Types of Consumer Sales Promotion
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Rebates-like coupons, offer value to purchasers
typically by lowering product price.
Rebates often request the purchaser to submit
personal data in order to obtain rebate.
Types of Consumer Sales Promotion
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Promotional Pricing-A reduction on the selling
price of a product.
Types of Consumer Sales Promotion
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Trade-In allow consumers to obtain lower prices
by exchanging something the customer possess,
such as an older product that the new purchase
will replace.
Types of Consumer Sales Promotion
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Loyalty programs-designed to enhance brand
loyalty by cultivating an ongoing relationship
between a marketer and his customer.
Types of Consumer Sales Promotion
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Sampling and Free Trials-gives customers the
opportunity to experience products, often in
small quantities or for a short time without
purchasing the product.
Types of Consumer Sales Promotion
Free Products- Some promotional methods
offer free products but with the condition that a
purchase be made.
EX. Buy one Get one FREE
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Premiums- A free item with the purchase of
another item.
EX. Buy a bottle of shampoo and get a free
small bottle of conditioner.
Types of Consumer Sales Promotion
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Contest-require the participant to do something,
such as answer a question or write and essay to
win a prize.
Sweepstakes-is a game of chance in order to win
a prize.
Types of Consumer Sales Promotion
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Demonstrations-promotional technique
whereby the use of a product is demonstrated in
a retail outlet. The in-store demonstration is
used most often in large department stores,
supermarkets, or mass-merchandise outlets that
exhibits a heavy consumer-traffic pattern.
Often, manufacturers will offer product
discounts to dealers who will do in-store
demonstrations.
Types of Consumer Sales Promotion
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Personal appearance by someone of interest to
the target market, such as an author, sports
figure or celebrity, is another form of sales
promotion capable of generating customers
traffic to a physical location.
Trade Promotions
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Point-of-sales displays-is a specialized form of
sales promotion that is found near, on, or next
to a checkout counter.
Trade Promotions
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Advertising Support Programs-offering
financial assistance in the form of advertising
money. In certain cases the marketer will offer
to pay the entire cost of advertising.
Co-op Advertising-marketers offers partial
support funds.
Trade Promotions
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Push money-Cash incentive paid by a
manufacturer or distributors to the retailers to
stock up on a product and display it prominently
to stimulate its sales.
Trade Promotions
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Promotional Products
Products labeled with the company name
that serve as reminders of the actual product.
EX. Companies often hand out free calendars,
coffee cups and pens that contain the product
logo
Trade Promotions
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Trade Shows-are organized events that bring
both industry buyers and sellers together in one
central location.
Types of Business-to-Business Sales
Promotion
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Trade Allowances-marketing techniques used to
build demand at the middleman level as part of
the trade marketing mix. Trade promotions
include special pricing and sales incentives,
discounted or free display fixtures, trade shows,
demonstrations, and no-obligation gifts such as
tickets to sporting events or novelties.
Types of Business-to-Business Sales
Promotion
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Dealer Loaders-Gift offered to a retailer by a
manufacturer as a bonus for purchasing the
manufacturer's merchandise.