Sales Promotion Programs

Sales Promotion

Sales promotion programs are deployed to stimulate sales by adding value and incentives to buy. They can be directed at the consumer, but can also be directed toward others in your distribution chain like wholesalers, distributors and retailers. Examples include:

  • Price deal: A temporary reduction in the price, such as 30% off
  • Reward Program: Consumers collect points, miles, or credits for purchases and redeem them for rewards
  • Extra Product: The packaging offers a consumer a percentage more of the product for the same price (for example, 25 percent extra)
  • Loss leader: the price of a popular product is temporarily reduced in order to stimulate other profitable sales
  • Free-standing insert (FSI): A coupon booklet is inserted into the local newspaper for delivery
  • Coupons: Coupons are a standard mechanism for sales promotions
  • On-shelf couponing: Coupons are present at the shelf where the product is available
  • Checkout dispensers: On checkout the customer is given a coupon based on products purchased
  • On-line couponing: Coupons are available online. Consumers print them out and take them to the store
  • Mobile couponing: Coupons are available on a mobile phone. Consumers show the offer on a mobile phone to a salesperson for redemption
  • Online interactive promotion game: Consumers play an interactive game associated with the promoted product
  • Rebates: Consumers are offered money back if the receipt and barcode are mailed to the producer
  • Contests/sweepstakes/games: The consumer is automatically entered into the event by purchasing the product
  • Point-of-sale displays: Aisle interrupter, dangler, glorifier, floor decal, wobbler, necker