Why Sales Promotion Increases Sales

Sales promotion is a blend of marketing activities and promotional items to intensify the efforts of your sales force, induce your intermediaries to stock and sell your products, and to persuade your customers to purchase the offering within a specified, limited time period.

Why customers respond to sales promotions* They have a positive feeling about your brand which is linked to an unconditional stimulus such as a discount* Reinforced reward - in-pack discount voucher and once tried they keep coming back.* Their attitude changes after trial - repeat purchase.* Foot in the door' technique - sample is tried to gain a larger order.* Sales force promoting benefits to alter customers perception of the offering.* Price perception - perceived benchmark by customers. Used by quoting the reference price and sales price to assist the customer to calculate the savings.* Decision making process - end of isle items trigger recognition to purchase or seeing a machine in a magazine and it reminds you to place an order for a service or part..

Type Of Sales Promotion Objectives* Encourages sales force to move slow moving items* Challenges sales force to locate and qualify new prospects* Set up more store displays* Train more distributor sales people* Induce wholesalers to carry a new product line* Persuade distributors to promote (push) a brand in their promotional activities* Persuade retailers to give a particular brand shelf space* Encourage retailers to support sales promotion campaign by carrying more inventory

Sales promotion is one of 6 elements in the marketing mix and should thus be used against the background of the firms overall marketing communication strategy.A firm selling expensive machines would not get involved in a sweepstake but would rather create a quality image through their distribution network by advertising in trade magazines and include personal selling in the mix.

How sale promotion affect sales* Brand switching - does not only occur with price promotions. Customers might also buy the brand most readily available, or the brand on display. This is why there is rivalry amongst marketers for the end of isle locations.* Repeat purchasing -* To create a habit of purchasing the offer* Product extension - to purchase same brand of microwave after a refrigerator was bought* Purchase acceleration -* Purchase larger volumes - bulk buying* Load customer to beat competitors promotion - two for the price of one

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