Presentation is loading. Please wait.

Presentation is loading. Please wait.

6.04Exemplify sales promotions. Sales promotion is… All the communications or activities used to stimulate sales other than advertising, public relations.

Similar presentations


Presentation on theme: "6.04Exemplify sales promotions. Sales promotion is… All the communications or activities used to stimulate sales other than advertising, public relations."— Presentation transcript:

1 6.04Exemplify sales promotions

2 Sales promotion is… All the communications or activities used to stimulate sales other than advertising, public relations or personal selling communications or activities For example: “Try your key” contest to bring people in to look at a new car model

3 A trade promotion is… Designed to create support from manufacturers, wholesalers, and retailers for a product Promotional allowances Slotting allowances Sales force promotions Trade shows and conventions

4 Trade promotions … Promotional allowances: Discounts or cash payments given to wholesalers or retailers who stock large quantities and encourage sales of a product. A cereal manufacturer may offer a retailer ten cents per case promotional allowance to put towards local promotions if they purchase a certain volume of the product. Slotting allowances: Cash premiums paid to retailers to help with the cost of restocking a new product. These premiums are also used to secure the best location for the products on shelves. An end-cap on a grocery aisle provides higher visibility to Doritos.

5 Trade promotions are… Sales force promotions: Awards given to dealers and salespeople who meet or exceed their sales quota. A company may give a salesperson a cash bonus if they meet sales goals. Trade shows and conventions: Designed to showcase a manufacturer’s products. Ued to introduce new products, encourage sales of existing products, and meet contacts.

6 A consumer promotion is… Designed to increase sales of a product Coupons Premiums Deals Incentives Product samples Sponsorship Promotional tie-ins Product placement Loyalty marketing programs Point-of-purchase displays

7 Consumer Promotions Coupons: Certificates that provide cash discounts, or money off, on a good or service. Domino’s offers a coupon for “Buy one 1- topping pizza and get a second one for half off”. Premiums: Inexpensive items given away at a discount or for free. Premiums are used to establish product loyalty and attract new customers. Free gifts with purchase or an ongoing coupon plan.

8 Consumer Promotions Deals: Packages that offer similar products together for a temporary price break. A shampoo and conditioner set sold together for a slightly lower price than if purchased separately. Incentives: Contests, games, sweepstakes, or rebates used to create increased sales and excitement about a product. McDonald’s uses their monopoly game to encourage customers to purchase more product.

9 Consumer Promotions Product samples: Free trial sizes of a product given out to potential customers. Product samples are very helpful in promoting new products as they encourage people to try a new product without the risk of buying it. A package of Crest toothpaste includes a free sample Scope mouthwash.

10 Consumer promotion Sponsorship: A company pays for the right to promote itself and its products at a location or event. DuPont sponsors a NASCAR racing team. Promotional tie-ins (also called cross- promotion and cross-selling campaigns): Activities between two companies who combine efforts and resources to create additional sales for each other. An ice cream retailer offers discounts to customers who come in after a movie and present a ticket stub.

11 Consumer promotion Product placement: Involves using a brand-name product in a TV show, movie, or commercial, etc. Warner Brothers featured America Online in its movie “You’ve Got Mail.” Loyalty marketing programs (also called frequent buyer programs): Designed to reward customers for continued patronage. Many airlines offer frequent flyer miles to customers. Point-of-purchase displays: Placed in high-traffic areas of stores and are designed to encourage impulse purchases. Drink coolers at check-out lines in grocery stores


Download ppt "6.04Exemplify sales promotions. Sales promotion is… All the communications or activities used to stimulate sales other than advertising, public relations."

Similar presentations


Ads by Google