Sales promotion is one of
the five aspects of the promotional mix. (The other 4 parts of the
promotional mix areadvertising, personal selling, direct marketing
and publicity/public relations.) Media and non-media marketing
communication are employed for a pre-determined, limited time to
increase consumer demand, stimulate market demand or improve product
availability. Examples include contests, coupons, freebies, loss
leaders,point of purchase displays, premiums, prizes, product
samples, and rebates.
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 gimmicks by many.
Sales promotion
includes several communications activities that attempt to provide
added value or incentives to consumers, wholesalers, retailers, or
other organizational customers to stimulate immediate sales. These
efforts can attempt to stimulate product interest, trial, or
purchase. Examples of devices used in sales promotion include
coupons, samples, premiums, point-of-purchase (POP) displays,
contests, rebates, and sweepstakes.
In Industrial marketing,
the objective of sales promotion are gathering business leads,
impressing and rewarding customer, and stimulating the sales force to
greater effort. Need for Sales promotion in Industrial Marketing:
To introduce a new product
in the market.
To influence the public
with the help of new uses of the product.
To increase the frequency
of purchase by each buyer.
To encourage dealers to
stock more goods.
To withstand in the
competitive field.
To increase the sales by
imparting special training to salesmen and by window display.
