TOPIC- SALES PROMOTION: SALES PROMOTION MIX, KINDS

OF PROMOTION

PRESENTED BY:HIMANSHI SHARMASHUBHAM GUPTA

GINNI GUPTASHIVI GAUTAM

ABHISHEK CHOUDHARY

SALES PROMOTION

Meaning and Definition: According to A.H.R. Delens: “Sales promotion means

any steps that are taken for the purpose of obtaining an increasing sale.”

In the words of Roger A. Strong, “Sales promotion includes all forms of sponsored communication apart from activities associated with personal selling.”

Objectives Of Sales Promotion

To increase sales by publicity through the media. To disseminate information through salesmen, dealers

etc. To stimulate customers to make purchases at the point of

purchase. To prompt existing customers to buy more. To introduce new products. To attract new customers. To meet competition from others effectively. To check seasonal decline in the volume of sales.

Importance Of Sales Promotion

The importance of sales promotion has increased tremendously in the modern times. Lakhs of rupees

are being spent on sales promotional activities to attract the consumers in our country and also in other

countries of the world.

SALES PROMOTION MIXWhat is Promotion?

Promotions are decisions about advertising, personal selling, sales promotion, and publicity used to attract potential customers. Companies use promotion to inform people about their products and services and also to enhance their public image and reputation. 

Methods of Promotion:

Product promotion: Promotion method businesses use to convince consumers to

select its products or services.

Institutional promotion: Promotion method used to create a favorable image for a

business, help it advocate for change, or take a stand on trade or community issues.

Promotion Mix Concept

To reach its promotional goals, an organization develops an effective promotional mix which is a combination of strategies and a cost-effective allocation of resources.

Types Of Promotional Mix

1. Personal Selling2. Advertising 3. Direct Marketing 4. Sales Promotion 5. Public Relations

PERSONAL SELLING Personal selling is one-to-one communication between

seller and prospective purchaser. It generates direct contact with prospects and customers. It is one of the most expensive forms of promotion.

Examples: personal meetings, telemarketing, e-mails, and correspondence

ADVERTISING Advertising is a form of non-personal promotion. It is

when companies pay to promote ideas, goods, or services in a variety of media outlets. With advertising, a company engages in a one-way communication to the prospect or customer.

Examples: magazines, newspapers, television, websites, city buses, etc.

DIRECT MARKETING

Direct marketing is a type of advertising directed to a targeted group of prospects and customers rather than to a mass audience. Two forms of direct marketing are printed by mail, or direct by e-mail.

Examples: direct mail, e-mail.

SALES PROMOTION Sales promotion basically represents all

marketing activities other than personal selling, advertising, and public relations. The objectives are to increase sales, inform potential customers about new products, and create a positive business or corporate image.

Examples: coupons, product samples, point-of-purchase displays.

PUBLIC RELATIONS Public relations activities enable an organization to

influence a target audience. Most of the time, public relation campaigns try to create a favorable image for a company, its products, or its policies.

Examples: a campaign to encourage businesses to donate computers to schools, donating to hospitals, donating to a cause.

Kinds Of Sales Promotion

1) Consumer promotion.

2) Trade or dealer promotion.

3) Sales force promotion.

CONSUMER PROMOTION Promotion which directly targets the consumer is known as

consumer promotion.

Types of consumer sales promotions: Coupons Demonstrations Promotional Pricing Free trials Loyalty Programs Sampling

TRADE PROMOTION

Promotion which target the dealers directly is known as trade promotion. also known as Dealer Promotion.

Trade promotions include: Buying allowances Push money Price deals Dealers gift Sales contests Dealers listed promotion

SALES FORCE PROMOTION

Sales promotion directed towards the sales people is referred to as sales force promotions.

Sales force promotions are: Bonus to Sales Force Sales Force Contests Salesmen Meetings and Conferences

CONCLUSION The importance of sales promotion in modern marketing has increased mainly on account of its

ability in promoting sales and preparing the ground for future expansion. The main objective of sales

promotion is to attract the perspective buyer toward the product, and induce him to buy the product at the point of purchase. At the salesman’s level, its

object is to achieve more sales. At the dealer’s level, the purpose is to sell a particular product of a

manufacturer. At the consumer’s level the main idea is to enable the consumer to buy more of a product more frequently and also to introduce new uses for the product. Thus, it is a “catch-all” method and is

used as an effective tool of marketing.