PROJECT TITILE = PROMOTION TECHNIQUEA

NAME = NIMESH PATEL

CLASS = SYBBA

SUB = MARKETING SPE-2

MEANING OF PROMOTION

promotion refers to any type of marketing communication used to inform target audiences of the

relative merits of a product, service, brand or issue, most of the time persuasive in nature. It
helps marketers to create a distinctive place in customers' mind, it can be either a cognitive or
emotional route. The aim of promotion is to increase awareness, create interest, generate sales or
create brand loyalty. It is one of the basic elements of the market mix, which includes the four
Ps, i.e., product, price, place, and promotion.

Promotion is also one of the elements in the promotional mix or promotional plan. These are
personal selling, advertising, sales promotion, direct marketing publicity, word of mouth and
may also include event marketing, exhibitions and trade shows.[2] A promotional plan specifies
how much attention to pay to each of the elements in the promotional mix, and what proportion
of the budget should be allocated to each element.

Promotion covers the methods of communication that a marketer uses to provide information
about its product. Information can be both verbal and visual

DEFINITION OF PROMOTION

Promotions refer to the entire set of activities, which communicate the product, brand or service
to the user. The idea is to make people aware, attract and induce to buy the product, in preference
over others
OBJECTIVE OF PROMOTION

i. To create product and brand awareness

Several sales promotion techniques are highly effective in exposing customers to products and
brands for the first time and can serve as key promotional components in the early stages of new
product and brand introduction. This awareness is the basis for all other future promotional
activities. Promotional activities motivate the customers to try new products and brand and the
dealers also to push the new products and brands.

ii. To create interest

Sales promotions are very effective in creating interest in a product. In fact, creating interest is
often considered the most important use of sales promotion. In the retail industry an appealing
sales promotion can significantly create customer interest.
iii. To provide information – Promotional activities provide substantial information about the
product to the customers. This goes a long way in converting interest into actual sales.

iii. To provide information

Promotional activities provide substantial information about the product to the customers. This
goes a long way in converting interest into actual sales.
iv. To stimulate demand
Effective promotional activities can stimulate demand for the product by convincing the
customers to buy the products.

v. To reinforce the Brand

Promotion can be used to reinforce or strengthen the brand in the minds of the customers. This
will ensure repeat sales of the product in the long run.

vi. To attract new customers

Sales promotion measures also play an important role in attracting new customers for an
organization. Usually, new customers are those persons that are loyal to other brands. Samples,
gifts, prizes, etc. are used to encourage consumers to try a new brand or shift their patronage to
new dealers.

vii. To induce existing customers to buy more

Promotion activities can increase the purchases made by the existing customers by making them
consume more quantity or consume on more occasions.
viii. To help the firm to remain competitive

Companies undertake sales promotion activities in order to remain competitive in the market.
Therefore, in the modern competitive world no firm can escape sales promotion activities.

ix. To increase sales in off-seasons

Sales of the products naturally reduce during the off-season. Therefore promotional activities can
be implemented during the off-season to maintain or even increase the sales. Techniques such as
off-season discounts, off-season offers can achieve this.

x. To add to the stock of the dealers

Dealers like wholesalers and retailers usually deal with a variety of goods. Their selling activity
becomes easier when the manufacturer supplements their efforts by sales promotion measures.
When a product or service is well supported by sales promotion, dealers are automatically
induced to have more of such items.

xi. To Keep Existing Customers

A sales promotion can be geared toward keeping existing customers, especially if a new
competitor is likely to enter the market.

xii. To clear inventory

Promotional techniques can be effectively used to clear unsold inventory by giving effective
offers.
PROMOTION TECHNIQUES

Consumer sales promotion is a marketing technique that is used to entice customers to

purchase a product. The promotions typically last for a set period of time and are used to
achieve a specific purpose, such as increasing market share or unveiling a new product. A
number of promotional techniques are commonly used by product manufacturers and sellers.

Providing Free Samples

Providing free samples is a technique used to introduce new products to the marketplace.
Samples give the consumer a chance to see how well they like a product or try something they
otherwise would not normally buy. Local bakeries can hand out their new creations at a farmer’s
market.

Manufacturers of scented candles can give away samples at a local gift shop. Sampling is
sometimes used as part of a larger marketing campaign that includes local newspaper or radio
advertising.

Offering a Free Trial

A free trial is a way for a consumer to try a new product while eliminating risk. It may be used
when a product is unique to the marketplace, which can make consumers leery of trying it out.
This technique is commonly used in television infomercials where the buyer has 30 days to try
the product, during which time he can return it for a full refund if he’s not satisfied.
Giving Free Gifts

Free gifts entice consumers to make a purchase by including a bonus along with the product. The
gift may be included in the outer part of the product packaging to serve as a visual attraction. It
may also take the form of a prize inside the package. As an example, a local food company could
place cash or gift cards inside random packages of its products.

Offering Customer Contests

Contests offer the customer a chance to win prizes like cash or store merchandise. For example,
an electronics retailer could hold a karaoke contest at its store, while using local celebrities as
judges. The contestant who is voted the winner would receive a prize such as a piece of audio or
video equipment. Being creative helps generate more buzz about the contest, and ultimately, the
product you are trying to sell.

Using Special Pricing

Special pricing is used to offer consumers a lower price for a period of time or to purchase in
multiple quantities. For example, a retailer may offer a product that normally costs 50 cents at a
price of 3-for-99-cents during the promotional period. Manufacturers often provide funds to the
store to subsidize the price reduction.

Social Media and Influencer Marketing

Social media and the continued popularity of blogging and vlogging have created a new
generation of influence marketers who regularly promote products in a particular field to their
established audience. A new beauty brand can find influential makeup artists to create looks with
new palettes while a smartphone accessory developer may prefer to partner with tech bloggers or
video artists who special in tutorials.
Using Digital Marketing

Digital marketing folds directly into other promotional strategies by providing a different
avenue, online display ads or direct marketing, to advertise other consumer-centric efforts. A
business offering a free gift with purchase can use Facebook ads to promote the event or offer a
coupon code to subscribers of an email list. Is it time for a semi-annual sale? Promote the event
using strategic keywords on the major search engines or purchase display ads on popular niche
websites using ad networks.