Management and Organizational Studies 3322F/G Study Guide - Sales Promotion, Actual Size, Loyalty Program

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Document Summary

Sales promotion an activity that provides incentives to bring about immediate responses from customers, distributors and an organizations sale"s force. Three distinct groups are considered when planning promotion strategies: Distributor (must be motivated to support the offer by providing merchandising support) Sales force (motivated to sell the promotion to its trade customers) Consumer promotion an incentive offered to consumers to stimulate purchases or encourage loyalty. Pull demand created by directing promotional activities at consumers or final users, who in turn pressure retailers to supply the product or service. Combo of advertising and sales promos pull customers in to find/buy something. Trade promotions an incentive offered to channel members to encourage them to provide marketing and merchandising support for a particular product (examples are: discounts/allowances, cooperative advertising funds, dealer premiums/incentives, point of purchase materials) Push demand created by directing promotional activities at intermediaries, who in turn promote the product or service among consumers.