PDF | This article is designed to assist managers in understanding the current state of define a sales promotion as “an action-focused marketing event whose . Sales promotion is the dissemination of information through a wide variety of activities other than personal selling, advertising and publicity which stimulate. to analyze the effects of sales promotion discounts on consumer download intent, assessing the behaviors of impulsivity (Puri,. ; Ramanathan & Menon.

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Sales promotions have an important role in the marketing programs of retailers. A large percentage of retailer sales is made on promotion, as illustrated by the. The motivation for sales promotion is to persuade a target audience to download a certain Sales promotion aims to achieve results mainly over a short term. Marketing Communication Individual Assignment Student ID: Name: Xuzhen Yuan Module Code: MMM Table of Contents Introduction.

The coverage is very wide through advertisement. Effective method of presentation of ideas about the products or services through audio video feature. With both audio and video the message can be explained with very high degree of clarity. The objective of communication is served properly. It has the ability to create images and symbolic appeals to the target audience.

It can be related to certain situations to explain the message effectively so image can be created in mind of audience. In advertisement the message is placed by the company or advertising agency on behalf of the company.

Whenever they want to review the message it can be done easily. They have proper control over the message in advertising. The disadvantages of advertising are following: Costly, particularly television: When the cost per audience is calculated with radio, it is higher side. For repeated advertisements the budget for advertising is very high. Some of the medium companies may not like to go for this type of advertisements.

Difficult to determine effectiveness: The advertisements are placed in different media for audience. On this a huge amount is spent but it has become difficult to measure the effectiveness that how much is the effect on sales, customers perception etc. Alone advertisement cannot sell the products to the customers without supply of products to the customers or dealers.

It cannot work alone. The false claims are done through advertisement and that misguide the customers. The credibility of advertising is not very high in the markets. When the critical analysis of advertising is done on the basis of its advantages and disadvantage, then it can be said the advertising is very useful for promoting the products or services of the company in the markets. It can be concluded that despite of its limitations it is needed in the present time of competition.

The efforts are put to increase the sales by motivating everyone whoever in involved in the sales of the products. The major parties involved in the sales are salesmen, dealers and customers.

The sales promotion efforts are targeting them to stimulate them to download through different incentives or benefits. The objective of promotional efforts is short term. When the company is interested to increase the sales of the products or services the different methods are being used.

When efforts are there other then advertising and personal selling is called sales promotion. Marketing efforts through which the targeted parties are stimulated to download the products for extra value or incentive. These efforts can be targeted to salesmen, customers and dealers to increase sales in short term. The sales promotion activities can be divided as customer oriented, trader oriented and sales force oriented. Through sales promotion tool the extra benefits are provided to the targeted group so that they can be stimulated to download the products and increase the sales and profits of the company.

The parties involved in sales promotion are customers, salesmen and traders of different types. They play different roles in sales. The customers are the end users and efforts are put to persuade them to download and use the products for them or their family members. They are to be motivated by providing extra benefits so that the relative worth of their money is increased. The second party is sales force. They need to be motivated so that they put their best efforts 40 so they provide proper link between company and traders and customers and company.

Timely information, support and supply of products are maintained so that the sales can be increased. When the products are sold through dealers they are needed to be motivated. When they get motivation then only they would sell the products of the company. All these parties are needed to give their best output. For their motivation purpose sales promotion is used.

The different promotional tools are used separately for all parties. One method is not suitable for all the concerned parties. The promotional tools are separate for customers, dealers and salesmen. The free samples of the products are given to the parties for introduction of the product. If the sample is liked by the customer then the product can be bought in future. To attract new customers and retain the existing ones: Sales promotion measures are used with the objectives to attract new customers and retain the existing one by providing extra benefits.

The customers are attracted towards the products that offers price off, discount, gift, premium prize, etc on downloading. There are many methods of promotion being used in market so that the existing customers can be retained and new can be added to the list of customers. To Increase sales of seasonal products: There are some products like woolen clothes, rainwear, air conditioner, fan, refrigerator, cooler, room heater, sunscreen lotion, etc.

The demand of these products is not there is their off season. So the increase the sales of such products the sales promotion works wonderful. The customers are provided more and additional benefits to motivate the customers for downloading. Thus the sales of seasonal products increase. To neutralize the competition effect: Nowadays the market situation is very competitive. It is very difficult to increase the sale of the product because every competitor is trying hard to increase the sales.

Through sales promotion the extra benefits motivate the customers to download the products. So to neutralize the competition effect the company has 41 to bring sales promotion scheme.

If not the products of the other companies would be sold out more. The company may lose the opportunity for selling more would be lost. To push the sales of slow moving products: Some of the products are not in demand due to their old design, features or out of fashion.

Such products are not moving and they are lying in the stores of the company. To increase the sales of such products the suitable measure for promotion are used.

Due to these the sales of slow moving products increase. In this the benefits are given of higher value so that the customers are motivated to download. The company is using different types of sales promotional methods so that the objectives can be fulfilled. It is not necessary that at one time all type of methods would be used. For different parties for different objectives the promotional methods used may differ.

It depends up to the strategy of the company.

Sales promotion

It can make good appeal to them. Such customers wait for sales promotion scheme to download the products. Provides extra benefits to the customers through sales promotion schemes and create in customers to download the products. Helps in increasing the sales of the current, seasonal, slow moving, out of use or fashion products.

Neutralize the competition effects through sales promotion tools. The profits and sales of the company are increased with the sales promotion tools time to time. The effect of this method is direct and can be measured easily on sales after sales promotion scheme. It supports the push strategy of promotion. The products are pushed near to the customers to download. These are following: It is focusing on short-run effect on sale. The sales are to be increased at a particular point of time of promotion efforts.

The long term gains are sacrificed for short term gains and do not develop the brand image of the products and company in the market. It is suitable mainly for price sensitive customers and such customers become habitual to download when sales incentives are given.

Sales promotion competition adds costs to the selling budget of the company and profitability goes down. In personal selling the salesmen of the company personally meet the customers, dealers relating to sales.

They go directly to the concerned parties when the nature of the product is such that it cannot be distributed through wholesalers, retailers etc. The need for salesmen is felt depending upon the nature of the products, distribution network and policy of the company. In personal selling there is personal presentation by the firms sales force for the purpose of making sales and building customer relationships.

Personal selling is paid personal communication that attempts to inform customers and persuade them to download products or services. The salesmen approach the customers with all detail information regarding products, company management, features and benefits of the company, knowledge of customers profile, products of competitors and other related information.

Before meeting the customers the salesmen prepare the list of prospects, details of prospects, job of salesmen, products features, management detail, company profile, competitors products etc.

Home work is essential for the salesmen for effective selling. He explains all required information to the customers with the efforts to convince them to download.

If the customers agree then he takes the order from them.

Later on follow up action is also done by the salesmen. During discussion 43 when demonstration of the products is required then it is also arranged by the salesmen. All doubts, fear, anxiety relating to products and company are clarified by the salesmen during his visits to the customers. The task given to the salesmen is very challenging.

Most effective tool for creating and building downloaders preferences, convictions, and actions; through personal interaction between customers and salesmen feedback is possible. This feedback is helpful is problem handling and developing good customers relationship.

No a days the downloaders are more attentive; so to deal with them they expect long term commitment from salesmen. This method of promotion is the most expensive of the promotional tools but most effective also. Through feedback, problem handling and assurance the company is interested to long term relationship, To meet the requirement of personal presentation through personal selling. When demonstration and doubt clarification are required the best suitable method of sales promotion is personal selling.

To meet the requirement of industrial or heavy price products sales. This type of products cannot be sold out through dealers, wholesalers or retailers. Face to face communication makes the things very clear and fears, doubts confusions are avoided on the spot.

Demonstration of products performance is possible in personal selling. This helps in convincing the customers easily to download the products. It gives long term impact on the customers because the assurance is given by the sales men.

Contributes in developing good relationship and image of the company in markets. So he can cover a limited number of customers in a time. It is a very expensive method of promotion because the cost involved per customer is very high in comparison with other methods of promotion. It is only suitable for high price products only and not for low price or FMCG products. Heavy budget is needed for personal selling activities. It is not suitable for small and medium size of the companies.

In Public relations the efforts are put to create and maintaining good public image for products or services, businesses of the company, non-profit organizations, celebrities, leaders etc. Public relations is defined as building good relationships with the concerned parties of company out of public so to create good image regarding products, services and business of the company.

The public should make positive publicity of the company so that adverse situation can be handled in future. Public relations convey messages to the target public with the help of the media on behalf of a client, with the objective to influence the opinions and create favourable image for products, services and business of the company.

The major parties involved in the public are employees, customers, dealers, bankers, suppliers, consultants and government. The different messages are given focusing on different target segments. It is very effective when it is supporting the goal of the organization.

It is viewed as a strategic management function. The other components of promotions are advertising, sales promotion, and personal selling. Publicity is closely related to public relations. In public relations the communication between company and public are managed and the publicity is the management of product or brand related communications between the firm and the general public.

It is primarily an informative activity and its ultimate goal is to promote the companys products, services, or brands. Publicity can be called as a planned programme for obtaining favorable press coverage regarding company, products and services. The techniques used for creating publicity are press release, telephone press conferences, instudio media tours, multi-component video news releases, newswire stories, and internet releases.

Sales Promotion.pdf

The company is in position to maintain its position in the market. The selection of promotion mix must be in position to give the competitive edge to the company over other competitors.

Generally the leading companies are using two or more or in combination of these methods so that their sales targets. Organizing Consumer Contest Sales Promotion Process 8. Advertising and Sales promotion Parties Involved in Sales Promotion 6. Sales promotion 1. Definitions of Sales Promotion 4. Reasons for Growth and Future of Sales Promotion Problems Faced in Sales Promotion Management Sales Promotion Methods 7. Objectives of Sales Promotion 5. Sales Promotion 3.

Sales Promotion Strategy 9. For creating awareness. The promotional efforts are put by the company. The efforts are put to find out the gap between the demand and supply. Sales Promotion Sales promotion is one of the promotional mixes other than advertising. One of them is sales promotion method. The main objective is to sell the products to the customers. It is explained in the following paragraphs.

There are different methods used by different companies for promotion of their products or services. The products or services are designed to fill the gap that is found by the researchers.

The opportunities are find out through the research. When efforts are there other then advertising and personal On continuous basis the efforts are put to influence the customers to download their products. The products are designed specifically for a segment of customers. The company is putting its efforts in all these activities so that the customers must download its products. Introduction The company produces the products or provides the services for the customers.

They try to operate between that gap. First of all it try to find out the profile of the customers. Further efforts are put to manage very effectively that particular market segment. The features of the customers are identified such as location.

The competitors are using different methods for promotion of sale so to neutralize the competition effect the company is also using. Sales promotion includes several methods that attempt to provide added value or incentives to consumers. These efforts can attempt to stimulate the customers to download the products or avail the services. The sales promotion methods are used for different products with different objectives. They need to be motivated so that they put their best efforts so they provide proper link between company and traders and customers and company.

The objectives may be to increase the sales of current. The company might be interested to sustain the sales and market shares of the company in the market. Examples of sales promotion methods are price or quantity off. All decisions are taken by the marketing team after considering many variables.

Today we find companies in almost all sectors offering some sort of a promotion scheme. In spite of the directness.

Sales promotion offers a direct inducement to act by providing extra worth over and above what is built into the product at its normal price.

Not only are sales promotions very common in the current competitive market conditions. The purpose of sales promotion is to stimulate. Definitions of Sales Promotion The concept of sales promotion has been defined as follows: One estimate by the Promotion Marketing Association suggests that in the US alone spending on sales promotion exceeds that of advertising. Sales promotions are short-term incentives to encourage the download or sale of a product or service. These sectors range from automobiles to beverages.

These promotions are direct inducements. Sales promotions are used by a wide range of organizations in both the consumer and business markets. These temporary inducements are offered usually at a time and place where the downloading decision is made. It entirely depend upon the strategy of the company which methods is to be used for a particular segment of customer and how much to spend on the promotional activities. In the broadest sense.

Sales promotions are varied. At its most precise. The summary of characteristics is as follows: Sales promotion is media and non-media marketing communications employed for a pre-determined. The above mentioned definitions have been studies and found certain characteristics. The impact of sales promotion methods is immediate and for short period. The efforts are to induce the target group to motivate for sales.

The stimulation to download the products is by providing extra benefits or value. The different methods are used by companies for different products and target. Stanton defines sales promotion as all those activities other than advertising. Out of that sales promotion is also used for these objectives. Objectives of Sales Promotion The promotion mixes are being used for the promotion of sales of products or services and may be to develop good image of the business and as a whole company.

The company is interested that the products of the company should be bought by the existing customers repeatedly. The objectives may differ from time to time and from product to product.

The sales promotion methods are also used to stimulate them to download by providing extra value or benefits. The existing The different methods of sales promotion are used collectively. There is not hard and fast rule that the sales promotion methods are used only for one objective for all products and every time. To support these promotional methods for promotion purpose the sales promotion can be used.

These two methods alone may not get the objectives of the company fulfilled. This way the capital is avoided to get blocked. This may help in getting new customers also. So to neutralize the competition effect the company has to bring sales promotion scheme. In that case to avoid the piling up the stock further the sales promotion are used exclusively with the objective to speed up the movement of inventory so that excess stock is sold in the market.

The combined efforts may give better result to the company. The company is interested for promotion of the products. When demand of the product in the market shrank the production rate is not reduced. In present time there is tough competition due to local and international players. It is using different methods of promotion such as advertising. The company is facing an uphill task to maintain its position in the That situation is not favourable for the company.

They may make the positive publicity regarding products of the company to prospects. Without any benefits no one can be motivated in present time. Some of the companies have lost their position. The major parties involved in this sales promotion process are following: It is through selling the products from the manufacturers move to the customers through selling process.

Through selling only the goods and products are exchanged for price in the market and company gets the revenue. For that purpose the company has to undertake sales promotion methods. Whenever there is requirement of demonstration is needed that is given When the company is interested to serve their customers in a better way so that the sales can be increased.

If any one out of them is not interested the objectives of the company would not be fulfilled. When extra benefits are given to the salesmen. To make these people happy and contribute their efforts there is need to motivate them. They explain all features and benefits of the products to the concerned parties for sale purpose.

But it is not so easy to convince everyone. The products are passed through these parties. They may get in timely in proper condition or not. Every one serves as an important link in the sales chain. It depends upon the involvement of these parties how the customers get the products. They should their best services to the company. Parties Involved in Sales Promotion When the companies are involved in marketing of products or services.

To maintain the same position and market share the companies are using sales promotion methods also. Without any substantial benefits no one is interested to take extra pain. The products start from the manufacture and through sales men.

The salesmen provide information to the dealers. This function of selling is performed by the salesmen in different capacity and different locations. The need for service of middlemen or traders is needed. They do a lot of comparison then only the taken the decision to download the products. The traders are known by different names. They clarify the doubts of customers and dealers. In traders we can include dealers. This is the party that downloads the products either for themselves or their family members.

It is very easy to lose a customer but difficult to get a new customer and further it is more difficult to retain the existing customers. They are called the end users. The company must To get the best services from them they are to be motivated. To get the support as per expectation of the company they are to be made happy and motivated. It can be said the role of sales men is very important.

He gets the order from them and closes the sales. Every company is interested to keep their customers well informed.

Trader is a party that is involved in trading of the business. There job is to download the products in larger quantity from manufacturer or from higher level in hierarchy in larger quantity and sell in smaller quantity to the lower level in hierarchy.

This party is very important because they download the products and the company gets the price in lieu of the products sold out to them. This link would be strengthened to meet the sales target of the company. All the products cannot be sold out to the customers directly by manufacturers due to location of customers and nature of products. This can be done with the help of sales promotion methods.

They provide a important link between manufacturers and customers. The customers understand the value of their money and they download the products when they feel that is worth paid. The sales promotion methods are to be selected trader oriented. The company is interested to sell the products more and more to the customers. The methods of promotion would provide extra benefits or value to the traders. For this purpose the support of this party is needed.

The customers get the products in lower price. The variable factors like type of product. Sales Promotion Methods For promotion of sales. The management has to think about it and many factors are to be considered before taking decision regarding promotion methods. Consumers are exposed to sales promotions nearly everyday.

The one sales promotion method is not suitable for all products and party involved in selling. They would only get stimulated when they get extra value for their money or benefits. The sales promotion methods for customers are following: Price probably is the most commonly used promotional techniques. The company must take the decision regarding sale promotion methods suitable for customers depending upon the sales of particular products. The sale promotion methods can be divided into following groups: They should be encouraged to take the decision to download the products.

It is necessary to understand the customers profile through marketing research. The same features of the products are One method may be suitable for one party or two party but may not be suitable for the third party. The concession or reduction in price is given to the customers and they save the money in the download. To increase the sales the role of customers is most important. The customers vary in their income.

Different types of sales promotion methods are used by the company in the markets. There is a big list of these methods. The premium may be of different types such as over the counter. When it is marked Rs. These methods can be communicated through POP advertising. This is called packed premium. The customer saves money through this. Such promotion methods work very well in gaining the attention of consumers.

For example a packet of pencils is downloadd and inside the pack a scale and cutter are enclosed. It may not motivate much to more customers in comparison with price off or discount. This provides extra benefit or value to the customer.

The value of the money of customers is increased. Sometimes when extra item with the downloadd item is given to the customers and they may not be in need that item. When the product is downloadd the customers get additional items with the downloadd item free of cost.

On producing evidence of the download the customers get additional item is example of loyalty premium. The concession is given in net amount then it is called price off and if it is given in percentage then it is called discount. It is example of banded premium. When the customers are going for download of the product they are offered to get exchanged their old item at a reasonable price It refers to offering exchange of old product for a new product at a price less than the original price of the product.

In this sales promotion method small packs of the products are distributed to the customers during downloading or without downloading free of cost. This motivates the person those who are having less amount but want to download the costly item.

The main objective of this method is to attract consumers to try out a new product and thereby create new customers. The price of the packet is not changed but it is market on the package as 20 gms extra. This is useful for drawing attention to product improvement. The holder of the coupon gets the product at a discounted These coupons can be presented to the retailer while downloading the product. It is called quantity off method. In market the samples of shampoo.

The presentation of the coupon accepts the benefits to the customers. Without payment an extra quantity of the product is packed in the pack itself or separately. A coupon authorizes the holder to get the discount of printed amount of coupon.

This is more suitable for the durable goods mainly. For example a colour TV set price is Rs and exchange offer is giving for black and while set of Rs Some businessmen distribute samples among selected persons in order to popularize the product. Sometimes these free samples are distributed by the shopkeeper even without downloading any item from his shop.

Under this sales promotion method the additional benefit is given through the quantity of the product bought. It means the old set is to be given to the dealer and it price would be counted as Rs. Balance of Rs. The customers those who have collected and produced these stamps of sufficient value within a particular period gets benefits from the company.

The customers are not sure about the benefits of the customers especially in case of new products. When the product is not known to the customer in the market. Goods are displayed and demonstrated and their sale is also conducted at a reasonable discount. Under assurance only the customers taken chance to download the new products. Every year trade fare is conducted at Pragati Maidan in New Delhi for this purpose.

This method also motivates the people to some extent but not very high. In this way customers may get the benefits as per the scratch scheme whatever is mentioned on the scratch mark.

The customer presents it to the retailer and get discount of Rs 3 when he downloads another packet of biscuit. Fairs and exhibitions may be organized at local.

This creates confidence among the customers with regard to the quality of the product. This method induces customers to download the product more and get benefits by collecting trading stamps. Another method of inducing the customers to download the product is issue of trading stamps. In case of some specific products trading stamps are distributed by the companies as per the value of their download.

Under this scheme customers are given assurance that full value of the product will be returned to them if they are not satisfied after using the product. The fairs are conducted mainly for IT. Those who download the product can scratch the card and win the prize. This is one of the methods of promotion for creating awareness of the new products and mainly durable and high price products.

In this method the company provides the scratch facility on the pack itself. The only difficult in this is that the traders are not maintaining the POP facilities and they all selling these also to get money.

This method is targeted at dealers or traders. The traders may include dealers. These types of methods are applied to strengthen the team work among all concerned parties of sales. It may also motivate the customers in some of the cases also.

This improves the status of the store and motivates the traders. The easy finance schemes are arranged by the company with the banks and finance companies.

The loan facility is given at lower rate of interest subject to certain terms and conditions. The company cannot take chance to miss them. This motivates the customers to download such products like cars. This gives the clear idea to the downloaders that the particular type of products are sold at the store.

These facilities are provided free of cost to the traders. In contest for entry certain skills are needed but in sweepstakes no skill is required to participate. It supports the traders to improve the internal and external atmosphere of the store. The types of products sold out at the outlet are displayed at the points.

They traders provide the important link between the marketers and the customers. This scheme is offered by the company when the product is of high price and customers may not have that much amount to download the products. It means the display facilities are provided by the manufacturers to the traders for display at their showrooms or shops.

By this the customers are attracted and traffic of customers increases. This creates the visibility of the products and further it supports the promotional methods like personal selling and advertising. These methods directed at traders are called traders oriented promotional method. Without display the idea regarding availability for downloading would not be known to the customers. To motivate the customers for download of the product another method of contest or sweepstakes can be used by the company.

Some of the methods for motivation of traders are following. The facilities are given to the traders to increase the sales and their earnings free of cost.

They also provide a chance to demonstrate products share information. The traders get motivated to deal in those products displayed in trade shows.

A large number of manufacturers display their wares and take orders at trade shows. The engineers of the traders are not having much systematic knowledge of the products. Those who achieve the specified quota they participates in contests.

The trade fair is also used for the traders. Time to time the company arranges meeting of traders so that the related issued of business can be discussed and shorted out easily. The participants may the traders and customers. The participants are traders or their salesmen. This provides a lot of supports in increasing the sales. They may win the prizes. The training facility can be arranged at workshops of traders locally.

The Company arranges the sales contests for the traders those who achieve the quota of sales with in the stipulated period. These can be conducted at local. The objective of the meetings is to discuss the difficulties. This triggers to encourage them to put efforts for increasing the sales and providing the support. This type of method provides training to the technical staff for servicing and repairing of the durable goods like car. They are provided with all supports and orders can be taken from them.

The meeting can be sponsored by the company or jointly company and traders. They are trained by the experts of the company in their workshop free of cost. This helps a lot to motivate the traders and they provide adequate support to the company to meet their objectives of sale. They are not provided extra money to push the sale.

So to increase the sales of the company and benefits to the dealers this method of promotion is used by the companies. The proof of the advertisement is to be given to the manufacturers for getting the allowances. The company provides to the traders their profit margin according to sales of the products. The advertising allowances are paid to the traders when they advertise the products of the manufacturers.

If they are downloading quantity more then the specified quantity then only they get other wise not. This method also motivates the traders to support the company to increase the sales. This promotional method is used for the traders to increase the sail. But somehow it is working well and motivating the traders. The objective is to increase the visibility of the products to the customers who frequently visits to the stores. This is considered as a fair practice in the market and it motivates the traders also.

Some time the advertisements are given jointly for the publicity of the products of the company and showrooms of the traders. Those who meet the goal are given extra money as push money.

The profit margin in as per the quantity sold. The traders are given allowances when they download the specific quantity one time or with in the specified period. This type of promotional method is provided by the company to the wholesalers and retailers when the new products are not known to the customers. This may include the unfair practices also because they try to sell the products by fair or unfair way to get the push money.

The Company fixes the price in such way the profits of dealers. What ever the facilities are available with the traders are used for advertising. This is targeted to meet a specified goal of the sales. The slot or space is provided by the retailers to the manufacturer for new products display and allowance is paid by the manufacturer.

The selling is the important activity in marketing. To perform selling function the role of salesmen are very important. They perform an important part of the sales activities.

Without proper involvement of salesmen the tasks to achieve the objectives can not be fulfilled properly with satisfaction. A number of sales promotion methods are used by different companies in the market for motivating them are following: Most of the salesmen are competitive by nature.

To perform their tasks they give their best output. Contests are great ways to create a sense of participation and to motivate salespeople to achieve success, especially when they are participating against each other.

The objective of the sales contest is to motivate the salesmen to perform better and participate for extra benefits. It is for short term only. The salesmen those who achieve the sales target are given entry in the sales contest. During sales contest the prizes can be won by the sales men.

This gives a trigger to work smartly and achieve the target. The desire for prize win motivates them to influence their behaviour and objectives of the sales promotion are fulfilled. Another method of motivation of sales force is commission on sales. The managers fix the commission rates on the sales of the products.

The commission can be of fix rate or it may be variable or in combination. Depending upon the situation and type of products the commission rates can be decided. It means if a person sells products of Rs. This is called combined rates of commission. Next method to motivate the salesmen can be sponsorship of a trip of the sales man alone or with spouse.

This shows the target to the salesman to work and achieve. The salesmen who achieve the target at the end of year or quarter or half year or annual, would be sponsored free trips to the tourist destination or to a city like Singapore, New York or London.

This exciting offer keeps the salesmen motivated. They take the initiative to generate more and more. The problems from salesmen side are overcome. The targets from motivated sales can be achieved to level of expectation. This practice is generally followed in many good companies. The sales manager can use gift also as a method of motivation for their salesmen. The salesmen those who work as per the plan and achieve the targets can be offered gifts or merchandise.

The gifts such as t- shirts, caps, bags, dinner set, tea set, DVD etc. This keeps the interest of the sales men on track and they do their work without any disturbance. They are benefited due to extra benefits given through gifts. The main thing is that the gifts should be given to those who actually achieve the targets and not to everybody.

Otherwise it would not motivate the salesmen. The salesmen are assigned targets for a particular period of time to achieve. On completion to time duration of the target the work is measured.

The salesmen those who achieve the performance standard or targets are shortlisted. Their achievements or success are accepted and appreciated. They are awarded in terms of medal, trophy or certificates. The can be awarded best sales man of the year or half year or month. They might be given certain amount also with medal or certificated. This keeps the feeling of the sales men very high in their group.

The leading companies in the market are using this method for sales promotion also for salesmen. The training is arranged for the salesmen. The training can be as basic, refreshing or technical training. The training provides knowledge regarding the products, their features, operating system and fault finding and repair etc.

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The training gives knowledge and skills to the trainees. The skills and knowledge give confidence and in return the confidence gives good performance and satisfaction at job. The salesmen are enabled to achieve the targets easily and it motivates the person. The job satisfaction becomes the major factor for motivation. It does not provide any monetary or physical gains directly but indirectly it contributes in achieving both types of gains.

The major method of motivation of salesmen is promotion. The conditions are fixed in career planning and development that if the salesmen continuously perform very good in three successive years then the case of the candidate would be considered for promotion.

With the hope of next promotion the salesmen put their best efforts those who are This keeps the salesmen on the right track and they are motivated. Everyone is interested for promotion in their career for better and bright career.

This is used is most of the leading companies worldwide.

Sales Promotion

Increment is also like promotion a method of motivation of employees. In increment method, the performance of employees is appraised and from appraisal review the good and bad performers are identified. One the basis of their performance they are permitted increments. The good performers are given higher and additional increments, average performers are given average increments and poor performers may not be given increments they may get wage cut also.

This is one method of positive and negative motivation. D due to hope of good increments and wage cut the salesmen perform their tasks properly so that the objectives of sales can be fulfilled.

The above mentioned methods are some of the methods used by the companies in the markets. This is not the exhaustive list of sales promotion methods of salesmen. There may be more then that also. It entirely depends upon the sales management to select one, two or more in combination. The methods are selected as per objectives, promotion strategy, nature of products, and profit policy and competition level in the markets.

Sales Promotion Process The selling is a very typical activity. Many factors are involved to complete the sales. Till the payment is received from the party and sales are closed completely it cannot be as complete sales. The involvement of customers, salesmen and traders all there of different category and vary in their features, make the sales promotion process very complicated.

To motivate these parties separately and in combination is an uphill tasks.

The management have to consider many variables for taking any decision. It is to be implemented with other methods of promotion so the objectives of the sales can be achieved. If proper can is not taken then the sales promotion efforts may misfire. Keeping in view certain steps are to be taken very carfully.

These steps are arranged in a logical order. These are to be followed in proper sequence and if not the process of sales promotion would be fruitless. The following steps are involved in sales promotion process: The main target groups are customers. The sales promotion can be for one or more parties at a time. The objectives of the sales may vary party to party and product to product. This would make the position of sales manager very clear for taking sales promotion decision. The first step provides the base for further steps in sales promotion process.

The objectives are to set before taking further steps. The objectives may be to motivate the traders. The markets in which we are interested start the sales promotion process. This would give the clear guideline for further plan and action. Further in markets the sales promotion is to be planned and implemented for target groups. The sales manager should have knowledge regarding location.

The markets are to be identified for promotion purpose. They are to be pin pointed for better planning and implementation so the required results can be achieved. It entirely depends upon the company policy that what markets it want to serve.

The study of these parties is to be carried out and according plan of promotion these are to be selected very carefully. It should be decided in advance what actually management is interested to achieve through sales promotion. The objectives may be related to current products. It would work effectively and chances of misfire of methods of promotion would be minimized. The knowledge of the market is very essential. The budge is the statement of fund from when the fund would be taken and If is not possible for the company to serve all types of markets and all locations.

That amount is to be decided. At one point one method may be suitable and another may be suitable at different point of time for different party. The budget figure would be in line with the requirement of the company and markets to achieve the targets. It is the summary of revenue and expenditure. The efforts should be there to find out whether it is doing the work as per the plan The features of each method are to be studies and utility of each one is to be identified.

If the amount is less then some of the activities may not be fulfilled or achieved. This is called selection of sales promotion methods. Some of the promotion methods are suitable for customers and may not be suitable for salesmen and traders and vice versa.

These factors are very important for consideration. The sales promotion methods should be made available for concerned parties. The selection of methods is to be done very carefully. The responsibility of implementation should be fixed on the shoulder of one responsible person then only effective implementation is possible.

These are to be made available as per communication or advertisement. If amount is in excess then the effectiveness of the promotion efforts may be less due to heavy promotional costs. It is to be implemented for a particular period of time and after that it is to be reviewed. The action plan should be in time and strongly implemented.

The promotion budget figure can be decided by considering various factors such and competition parity. After the sales promotion methods are to be selected for different parties. The timely arrangement should be made an in required number or quantity. To carry out the sales promotional activities there is need for fund.

These are to be selected and implemented in combination. If not done so it may not supplement the other methods of promotion like personal selling and advertising.

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This would show the effect of these efforts on the sales. On the basis of deviation identification only the remedial action can be taken so that it can be tunned as per planning to get desired results. The deviation in plan and implementation of plan is to be found out. On the basis of this the further action can be adjusted. The effectiveness of the sales promotion campaign is to be measure. If the sales have increased to a very good extent then it can be said the promotional efforts were very effective.

The total sales before implementation of promotion campaign and immediately after completion of promotion campaign are to be measured correctly. If sales are increased very less or there is no substantial increment in the sale then it can be said the effectiveness of the efforts is not there at all.

It is like a weapon in the hand of the company that protects it and defeats the competitor. Policy means the guidelines to perform a particular activity so that uniformity in performance can be maintained. It provides a competitive edge to the company over its arch rivals in the market. They are communicating though advertising and personal selling. Strategy differs from policy and it means policy plus aggressiveness. The policy is to be implemented aggressively so that the tasks are completed without fail and in time very effectively.

So the management cannot forget the importance of strategy in its different areas of operation such as production. If not done so someone else would do before and better than you. The tasks were to be completed without fail and there was no other option other than do or die. A high degree of aggressiveness needed to accomplish the tasks in that situation at time.

So now in business also the term strategy has been used. All efforts put for that purpose would be fruitless. There is high degree of aggressiveness is required in action so that the need of the situation can be fulfilled. A push strategy the company communicates to the traders regarding the products.

Due to competition now the similar situation has been felt in the market also. It can be defined as a game plan to achieve the targets very effectively and efficiently. So it can be said the term strategy is very important in present time. Sales Promotion Strategy The concept of strategy was not known in the past. The objective is to motivate the dealers. It may include push. There is high degree of competition from local and international players in the markets.

It has been developed in the last few decades in the market. The word strategy was used first time in military services to direct and control them. The situation is not favourable to perform the tasks easily. The sales manager may have three types of strategies for sales promotion purpose. The concept of strategy has been applied in different areas of management and sales promotion is also no exception. The main concept was known was policy.

You would be defected at your own game in that case. The market situations changed a lot and now it is very turbulent. This strategy is called push strategy because the information and products all are pushed near to the customers. The efforts are put to create interest among customers. Typical methods applied by the company in pull Push and Pull Strategy A pull strategy is self explanatory because it pulls the customers towards the products.

The products are pushed near to the customers and they are made to download by providing different methods of sale promotion which have been explained earlier.

Technology push vs. The manufacturers use adverting and personal setting for explaining the products. Due to this they start inquiring from dealers. This situation may be due to lack of interests in dealers to deal with that product. These contests are generally open for a period of month and more. For example in automobiles industry the car dealers often provide a good example of a combination strategy.

The aim is to create awareness among the sponsors. The date for application is to be fixed. These can be used in combination time to time.

When skills are required only the consumers possessing the skills can participate. Organizing Consumer Contest This is one of the customer oriented promotion methods. The contests can be of two types. One on the basis of skills and another without any skills required to contests. It is targeting the customer. These objectives are a Stimulating interest in the consumers regarding a brand b Increasing sales and usage of the products by customers.

Depending upon the situation. There are certain objectives for which consumer contests are more suitable. The leading car manufacturers and dealers are using this type strategy to attract more and more customers for downloading the products.

It should be communicated to the target consumers so that they can prepare and participate in time properly.. Consumer contests are competitions wherein individuals are invited to compete on the basis of creative skills. Without skills the participants can not participate in the contents.

The entries are to be accepted up to that Some of the companies are using these two above mentioned strategies and that is called combination strategy. The objective is to motivate the person the download the products as per the plan of the company. Regarding the contest programme is to be finalised in advance.

Where skills are not required then anyone can participate. They understand if not one then second competitor is going to offer benefits through sales promotion methods. If not they would have a number of doubts and objectives of conducting contest may not be fulfilled. The interest is to motivate them so that they contribute their best services in achieving the sales objectives.

In prizes only the branded products are to be selected. The list of judges is to be prepared and communicated to all concerned. All legal implications are to be avoided. Reasons for Growth and Future of Sales Promotion Sales promotion has grown substantially with increasing competition level especially after liberalization of economies world wide.

The advertisement relating to that should be placed in leading newspapers. The articles given in prizes should have good quality. At the scheduled time the contest is to be conducted. They want to increase their sales in long and short term. To neutralise the effect of competition the companies have adopted different promotion methods for different parties.

The prizes declared during the contests are to be given at the specified time. Without proper communication it is not possible to attract more number of participants.

For supporting the long term objectives the short term objectives are also developed. That would motivate the contestants more. There are different reasons for growth of sales promotion methods in the market and these are explained below: It should be conducted very fairly without any favour or fear. The objectives of the contest might be defeated. They are not going to spend without getting good benefits from the products directly or indirectly. The rules regarding participation should be prepared in advance and informed to the participants.

It would create clear awareness regarding the prizes. Relating to the contest if any dispute is there then the area of jurisdiction is to be decided in advance. The objectives can be fulfilled when the promotional methods are working The decision regarding prizes should be taken in time and communicated. The customers have become habitual in taking download decision with extra benefits from promotional methods. TV channels etc.There is a simple lesson to be learned here: sales promotions have to be seen to be fresh and novel.

The take-up was phenomenal. Why not visit www. The other pile was for reuse! If total quality and all that it stands for is instituted, then a way of working that delivers the best results can be built upon. For existing customers, the further objective of advertisement is to retain them in future also.

ROGELIO from Charlotte
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