PRESENTED BY :

SAURABH GUPTA
SAURABH SHRIVASTAV
PRESENTED TO : ABHISHEK YADAV
WAHAZ AHAMED
DR. ANJANA MOHAN AKASH GUPTA

MBA (MARKETING) II SEM

 Sales Promotion ?
• Sales promotion can be defined as an activity
taken up to boost the sales of a product.
• It can include distribution of free samples,
offering free gifts, conducting trade fairs,
exhibitions and competitions, offering
temporary price discount, etc
 Purpose of Sales promotion
• Encouraging the customers to try a new
product like free samples distributed by
different companies.
• Attract new customers
• Encourage customers to use the product or
service and make them brand loyal.
• Counter a competitor’s promotional activities
 Importance of sales promotion
• When sellers introduce new products or new
brands in the market
• When an economy is going through a
recessionary phase, customer become more
price sensitive.
• When sellers aims at triggering the impulsive
buying behavior of the customers.
• A company seeks to obtain greater
cooperation from its retailers.
 Decisions in sales promotion
• Consumer sales promotion: This type of sales promotion is
targeted at the end consumers. Customer sales promotion is a
“Pull Strategy” and encourages the customers to make a
purchase.
• Trade sales promotion: This type of sales promotion is
targeted at the distribution channel. It is a “Push Strategy”
and encourages the channel members to stock the product.
 Consumer sales promotion methods
• Price promotions: (price discounting)
• Coupons
• Free gifts/ samples: This is also known as “premium promotion” as
a consumer gets something in addition to the main purchase.
• Money refunds
• Frequent user incentives
• Point of purchase displays: attractive , informative and well
positioned point of purchase displays therefore form an important
part of sales promotion
• Installment offers
• Consumers contest
• Consumer sweepstakes: consumer are required to submit their
names to be included in a draw for prizes
 Trade sales promotion methods
• Buying allowances
• Buyback allowance: incentive for each additional unit purchased after the
initial deal
• Merchandise allowance: manufacturer agrees to pay the reseller certain
amount of money for promoting the company’s product
• Free merchandise: an additional amount of the product is offered without
any additional cost.
• Dealer loader: reward or gift along with display kit
• Dealer listing: company in its advertising using name of dealers.
 Public relations
• The planned and sustained effort to establish
and maintain goodwill and mutual
understanding between an organization and
its public
• Public includes its employees, stakeholders,
trade unions, general public , customers,
media, government and politicians etc.
 Techniques for PR
• Consumer communication: like customer press releases,
promotional videos, product launch events.
• Business communication: through company videos, direct
mailing, trade press release , trade exhibition etc.
• Employee communication: in house news letter, notice board,
company get together