What is meant by Sales Promotion? Describe briefly various methods of sales promotion tools. Explain any four methods of sales promotion.

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"Sales promotion" refers to activities or inducements meant to make people come and buy more of your product, especially in the short term.  Some examples are:

  • Coupons
  • Games or competitions
  • Free gifts when you buy...
  • Displays in stores
  • Loyalty cards or programs
  • Refunds

I'll briefly explain four of these:

  • Games...

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"Sales promotion" refers to activities or inducements meant to make people come and buy more of your product, especially in the short term.  Some examples are:

  • Coupons
  • Games or competitions
  • Free gifts when you buy...
  • Displays in stores
  • Loyalty cards or programs
  • Refunds

I'll briefly explain four of these:

  • Games or competitions are meant to make it more fun to consume a product and they also give the chance that you will get an extra tangible benefit.  My favorite of these was when McDonalds gave away food based on what medals American athletes won at the 1984 Olympics in LA.  It was great because the Eastern Europeans boycotted so the US won everything and we got lots of free food...
  • Loyalty cards are ones where you present the card at the store and get discounts over stated prices
  • Displays are just advertising at the point of sale meant to make you notice the product
  • Refunds give you cash back as an incentive to buy.
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