Promote. Promote. Promote: Sales Promotion

Sales promotion is the effort to increase sales through contests, demos, discounts, games, giveaways, point-of-sale displays and merchandising, special offers, etc.

Contests: A sales promotion that requires participants to compete for prizes by accomplishing something that requires skill. In general, it is not allowable to charge a fee to participate, however, some companies require a specific number of bottle caps or proof of purchase labels, etc.

Demonstrations: This method of sales promotion shows the product in use or encourages a trial purchase. It may also involve sampling where consumers are given some of the product to “try out” (this is typically used with food items)

Discounts: Simply a cash reduction in the advertised or “suggested retail” price of a product or service.

Here are the steps generally used in developing and implementing a sales promotion:

Decide on the nature of the sales promotion. You may want to offer a discount. If so, how much will it be? Will it be a % or a specific dollar amount? On everything or certain items? How about a BOGO (Buy One Get One) of maybe a free item with every purchase of select products.

How long will the sales promotion last? One day? Multiple days? The weekend? While supplies last?

Will you offer any sales perks or bonuses to your staff to encourage them to make sales? Cash, prizes, time-off with pay?

What is your budget? Are there costs for developing the plan, printing, advertising, bonuses?

Tell your staff about your sales promotion. Do it with enthusiasm, and be very detailed. Be prepared to answer questions or concerns. It is important for you and the staff to anticipate customer questions.

Deploy your advertising campaign to draw in customers. Be sure to be specific about the details and timing of the event.

Keep your staff up-to-date on the progress and success of your sales promotion event. You might even chart sales by ay or by person if it is appropriate—in order to increase motivation and accountability.

Below is a chart showing several sales promotion options. You are to select a specific store or product . Based on that store or type of merchandise you are to explain how you would use the sales promotion in the left column. Be specific and provides rationale for your decisions!

STORE OR PRODUCT:

Now, using that same store or product, create more examples of effective promotions. PROVIDE DETAILS and be specific!

1. ADVERTISING

2. PUBLIC RELATIONS

3. DIRECT MARKETING

4. SOCIAL MEDIA