sales promotion tools and techniques in marketing

This document helps to understand sales promotion techniques used by several organizations so that they can approach to customers to make instant sales.

1. SALES PROMOTION A sales promotion is a marketing strategy that involves offering a short-term incentive to increase brand awareness and promote sales for a particular product or service. Companies typically use this type of strategy to introduce new products to their targeted demographic, attract new customers, temporarily increase sales or sell all of an existing inventory. Promotions can vary greatly in how you organize them. For instance, you can make them be in-person or virtual events, promote them with advertising, keep them secret and offer them to anyone or make them exclusive to a certain audience.  Compiled by Henna 1

2. SALES PROMOTION TECHNIQUES Temporary Cost Reduction Samples Bonuses Loyalty Program Giveaways Bundling BOGO Free shipping Charitable donations Flash sales Subscriptions Upsells Coupons First-time purchasers Compiled by Henna 2

3. 1. Temporary cost reduction : With this promotion, companies lower the cost of an item for a specific period. They may choose to reduce the price by a percentage or a specific dollar amount. They may also use this type of promotion for a specific product or across all of their offerings. Because it's temporary, it can help create more demand in that time. As a business owner or sales manager, it's important to be able to calculate the discount you might offer to make sure you can still break even. 2. Samples : This is promotion grocery stores and other food retailers frequently offer. For example, a candy store may offer samples of different candy to allow consumers to try the product before they make a purchase. Like bonus deals, this can create positive emotions for the customer and promote customer loyalty. An example would be of small perfume vials given with a large bottle of perfume brands such as Bvlgari , Burberry, etc. 3. Bonuses : In this sales promotion, a customer gets bonus products when they pay for a product or service. For example, if a consumer purchases clothing at a retailer, the company may choose to temporarily add hair accessories to the order at no additional cost. This helps the consumer feel they're getting a better deal and encourages them to come back and buy more in the future. 4. Loyalty Program : A loyalty program is a marketing strategy where a business rewards customers for their continued patronage and repeat business, encouraging them to stay with the brand instead of switching to a competitor. Examples include points programs, tiered programs, subscription programs, and cashback programs. These programs are used across various industries, including retail, hospitality, travel, and telecommunications. 5. Giveaways / Prizes : Giveaways are when you offer a prize in return for participation in a publicity event. This covers everything from sweepstakes to raffles, lotteries, and contests, so you must be mindful of what's legal in your area. You can give away anything from free items to branded merchandise or something else. Indie Wild ran a Black Friday Cyber Monday giveaway last year where participants could win an iPhone 15 and one of every product in their store. To enter, participants just had to screenshot a picture of their order and post it on Instagram Reels. 6. Bundling : By bundling, you can offer discounts only available when two or more items are purchased together. Selling bundles can help to increase your average order value, provide value in the form of curation to your customers, clear out old inventory, and drive more visibility for your products. Compiled by Henna 3 SALES PROMOTION TECHNIQUES

4. 7. BOGO : Also known as BOGOF, this refers to a 'buy one, get one free' deal. It's a compelling offer to customers who see it as a big saving. Brands can post these sales on social media and drive traffic to your site. 8. Free shipping : Free shipping can be an attractive offer for ecommerce and mail-order brands that usually charge for it. You could offer it for every new order, to entice new customers, or for every order above a certain value. There will be some calculations to make when deciding what's financially viable. 9. Charitable donations : Including a charitable donation with each order can be a mutually beneficial agreement. Customers feel good about helping a worthy cause, the charity benefits from increased income, and you benefit from allying yourself with a good cause. 10. Flash sales : A flash sale is a limited-time sale that offers deep discounts on a particular range of products. Often, they're not revealed until the last minute, giving shoppers a sense of urgency and causing them to rush to purchase items before they sell out. 11. Subscriptions : Subscriptions can cover information products (like publications or digital goods) or physical products (like grocery items). A typical promotion involves giving the customer a certain percentage discount in return for committing to purchase multiple times. One of the best-known is Amazon's Subscribe & Save offer. For thousands of products, you can gain a 5%, 10%, or 15% discount when you choose a recurring purchase. 12. Upsells : An upsell is when you offer a customer an additional, upgraded product or service when you're making the sale. For example, a brand may encourage you to upgrade to a better pair of hair clips. Upsells are usually much easier than regular sales because the customer is prepared to purchase. 13. Coupons : Coupons are physical or digital vouchers that offer discounts on products or services. The retailer can offer them or third-party sites like Groupon . Studies have suggested that 60% of shoppers are looking for more coupons, discounts, and deals to offset higher prices. 14. First-time purchasers : You can entice new customers by offering them promotions for their first purchase. The promotion can be almost any benefit: reduced prices, free shipping, additional items or accessories, educational content, or one-on-one calls to show them how to use the product. The benefit: welcoming them to the brand and building loyalty. Compiled by Henna 4 SALES PROMOTION TECHNIQUES

5. Compiled by Henna 5 Discounts Samples Samples

6. Compiled by Henna 6 On-pack offers