In this article we will discuss about Concept of Sales Promotion: Meaning, Definition, Advantages/Merits, Disadvantages/Demerits and Techniques used for sales promotion.
Sales promotion is a term use in marketing for short term, in which some incentives or activities are used promote customer to buy the product. It is used for instant effect on sale and it mobilizes sales. Sales promotion tools are very useful because
- Instant effect on sales
- Clearing stock
Advantages/Merits of Sales Promotion
- Attention value: The incentives used in sales promotion directly attract the interest of the customer.
- Increase publicity: Sales promotion is also helpful to increase the publicity of the product.
- Useful in New launched product: Sales promotion is a very useful in introducing new product to people and induces people to buy that new product.
Disadvantages/Demerits of Sales Promotion
- Time consuming
Sales Promotion Techniques for customers
- Rebate: It refers to a price /which is less that actual price. The product is selling of rebate which attracts customers. This offer is given to customer for clear of the stock.
- Discount: Discount involves that price which is less than the list price in a limited period of time. Discount induces customers to buy or buy more.
- Refund: Refund refers to that amount which is paid back to the customer after making payment.
- Premium or Gifts: In sales promotion Premium or gifts is the most commonly tools used in promotion. It means giving gifts on purchase of product.
- Samples: Sample is another technique used in sales promotion. In this technique sample of product is distributed among customers.
- Lucky draws: In this draws are taken out by including the bill number or customers name who have purchased goods and get free car or another incentive.
So we will discuss Concept of Sales Promotion: Meaning, Definition, Advantages/Merits, Disadvantages/Demerits and Techniques used for sales promotion. For any query comment below.