1. Sales Promotion
Promotional activity other than advertising, personal selling, and publicity which stimulates consumer purchases

2. Examples of Sales Promotion Activities
Contests
Coupons
Demonstrations
Exhibits
Fashion shows
Free samples
Trade shows

3. Objectives of Sale Promotion
Increase demand and stimulate sales
Inform customers about new and/or improved products
Create positive business image

4. Types of Sale Promotion
Trade Promotion
Designed to promote to businesses instead of consumers.
Customers Sales Promotion
Designed to increase consumer desire to buy products.

5. Examples of Trade Promotions
Designed to promote to businesses instead of consumers.
Slotting allowances: Money paid by a manufacturer to the retailer for placing a product in the store, perhaps in a specific location.
Buying allowance: Price discount given by a manufacturer to increase the desire of a wholesaler or retailer to purchase the product.
Trade shows: Provide the manufacturer a place to introduce new items and to gain support for new and existing products.
Sales incentive/contests: Awards given to salespersons for meeting or exceeding sales goals.

6. Examples of Consumer Sales Promotions
Designed to increase consumer desire to buy products.
Premiums
Low cost items given to the consumer at a discount or free.
Examples include coupons, free samples, and redemptions.
Incentives
Products earned through contests, sweepstakes, and rebates.
Product samples
Trial size products generally sent through the mail or distributed at the business at no cost to the consumer.

7. Examples of Consumer Sales Promotions
Designed to increase consumer desire to buy products.
Promotional tie-ins
A strategy in which two or more businesses combine promotional resources to increase sales.
Product placement
Increasing product recognition by featuring the item in movie theaters, on TV, or at special events.
Visual merchandising and display
Coordination of the physical elements of a business (or a product) to project the desired image to consumer.

8. Advantages and Disadvantage of Sales Promotion
Stimulating sales and raising consumer awareness of the product.
DISADVANTAGES
Costs involved in promotion of image and product.
Negative attitudes toward some activities, such as coupons and rebates, because of expiration dates.