May 10, 2008 at 7:42 am Leave a comment

Consumer sales promotion techniques

* Price deal: A temporary reduction in the price, such as happy hour
* Loyal Reward Program: Consumers collect points, miles, or credits for purchases and redeem them for rewards. Two famous examples are Pepsi Stuff and AAdvantage.

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* Cents-off deal: Offers a brand at a lower price. Price reduction may be a percentage marked on the package.
* Price-pack deal: The packaging offers a consumer a certain percentage more of the product for the same price (for example, 25 percent extra).
* Coupons: coupons have become a standard mechanism for sales promotions.
* 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.
* 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 on line. 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. See an example of the Interactive Internet Ad for tomato ketchup.
* 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:
o Aisle interrupter: A sign the juts into the aisle from the shelf.
o Dangler: A sign that sways when a consumer walks by it.
o Dump bin: A bin full of products dumped inside.
o Glorifier: A small stage that elevates a product above other products.
o Wobbler: A sign that jiggles.
o Lipstick Board: A board on which messages are written in crayon.
o Necker: A coupon placed on the ‘neck’ of a bottle.
o YES unit: “your extra salesperson” is a pull-out fact sheet.

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