Presentation on theme: "Objectives Identify the characteristics of sales promotion Discuss the concept of trade promotion Identify the different types of consumer sales promotions."— Presentation transcript:
Objectives Identify the characteristics of sales promotion Discuss the concept of trade promotion Identify the different types of consumer sales promotions Create sales promotion of our own for promotion project
Bell Ringer Weve talked about several types of promotion. We explored advertising and publicity. What else can we do to attract customers to our product??? List examples that do not fall into either categories of advertising or publicity!!!
Sales Promotion Another Element of the Promotional Mix
Sales Promotion Defined Sales Promotion Sales Promotion- a short-term incentive offered to encourage buying a good or service Purpose: demand, therefore stimulating sales!!!
Trade Promotion Sales promotion activities that are designed to gain manufacturers, wholesalers, and retailers support for a product
Types of Trade Promotions Slotting Allowance Slotting Allowance-cash premium paid by the manufacturer to a retail chain for the costs involved in placing a new product on its shelves Buying Allowance Buying Allowance- price discount given by manufacturers to wholesalers and retailers to encourage the purchase of a product
Types of Trade Promotions Trade Shows and Conventions Trade Shows and Conventions- designed to reach wholesalers and retailers – Provide businesses with opportunities to introduce new products, encourage increased sales of existing products, and gain continued company and product support
Types of Trade Promotions Sales Incentives Sales Incentives- awards given to managers and employees who successfully meet or exceed a sales quota
Consumer Sales Promotion Sales promotion efforts designed to encourage customers to buy a product
Types of Consumer Sales Promotion Premiums Premiums- low-cost items given to consumers at a discount or for free – Designed to increase sales by building product loyalty and attracting new customers and can also persuade non-users to switch brands – EX: coupons, factory packs, traffic builders, and coupon plans
Types of Consumer Sales Promotion Incentives Incentives- higher-priced products earned and given through contests, sweepstakes, and rebates Product Samples Product Samples Promotional Tie-Ins- Promotional Tie-Ins- involve sales promotional arrangements between one or more retailers or manufacturers
Types of Consumer Sales Promotion Product Placement Product Placement- making sure a product becomes more easily recognized by placing it in special events, television, or the movies Visual Merchandising and Displays Visual Merchandising and Displays Loyalty Marketing Programs- Loyalty Marketing Programs- reward customers for making multiple purchases
NOW YOU TRY! Create three sales promotion techniques that you plan to use with your promotion project product. Tell me exactly what you plan to do to. You must have both trade and consumer sales promotion represented. Describe the method you have chosen and create a visual aid to go with each (for example….with a coupon…draw the coupon). Write at least 10 sentences.