1. Chapter 16
Sales Promotion

2. Sales Promotion
A direct inducement that offers an extra value
or incentive for the product to the sales force,
distributors, or the ultimate consumer with the
primary objective of creating an immediate sale
A program designed to build interest in or
encourage purchase of a product during a
specified time period
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3. Objectives of Consumer-Oriented
Sales Promotion
• Obtain Trial and Purchase
• Increase Consumption of an Established Brand
• Defend (Maintain) Current Customers
• Target a Specific Segment
• Tie together other IMC efforts
• Build brand equity
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4. Objectives of Trade-Oriented
Sales Promotion
• Obtain Distribution of New Products
• Maintain Trade Support for Existing Products
• Encourage Retailers to Display Existing Brands
• Build Retail Inventories
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5. Sales Promotion Vehicles
Consumer-Oriented
Trade-Oriented
Samples
Contests, dealer incentives
Coupons
Trade allowances
Premiums
Point-of-purchase displays
Contests/sweepstakes
Training programs
Refunds/rebates
Trade shows
Bonus packs
Cooperative advertising
Price-offs
Event sponsorship
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6. Eight Sampling Media
• Door-to-door
• Direct mail
• Central location
• In-store sample pack
• Cross-product sampling
• Co-op package distribution
• With newspaper /
magazine
• Any of above with coupon
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7. Selecting an Event
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Is the event consistent with the brand image?
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Can you create a customized event?
Will the event reach the target audience?
How likely is sponsor misidentification?
Is the event cluttered?
Does the event complement the IMC program?
Is the event economically viable?
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