Skip to main content

SALES PROMOTION AND ADVERTISING


SALES PROMOTION AND ADVERTISING

Sales promotion is providing incentives to customers or to the distribution channel to stimulate demand for a product. It includes non-personal efforts like displays premises, coupons, discount contest etc. to focus on short-term sales target.

Advertising is any paid form of non-personal communication of ideas or products in the “prime media”, i.e. television, newspaper, magazines, posters, radio, cinema etc. Advertising is intended to persuade and to inform about the product. The two basic aspects of advertising are the message and the medium of marketing communication that helps to sell product and service. The broad group of audience can best be reached by mass media such newspapers, magazines, television, radio, and outdoor displays. Advertising has gained much attention because it is a very important promotional tool. It is a very cost-effective method to reach a large audience. But sales promotion works beyond that. It converts the impact of advertising into revenue through increasing immediate sales. Advertising alone never “sells” product or service. We can compare these methods as per following:

1. Advertising offers reasons to buy a product or service, by using a variety of persuasive appeals whereas sales promotion offer incentive to the consumers to buy the product or service now.

2. The primary objective or advertising is to create brand image, while the primary objective of sales promotion is to get quick sale or induce trial.

3. Sales promotion is a direct inducement to consumers to immediate try the product whereas advertising is an indirect approach towards persuading consumers to buy a product.

4. Sales promotion yield faster and more measurable response in sales than.

5. Most sales promotion have definite starting and ending points but this is not the case in case of sales promotion.

6. Sales promotion performs an immediate task of increasing sales while advertising has long-term objective like brand awareness or building consumer loyalty.

7. Sales promotion aids selling by temporarily changing the existing price-value relation.

Comments

Post a Comment

Popular posts from this blog

Mintzberg’s Modes of Strategic Decision-Making

  Mintzberg’s Modes of Strategic Decision-Making 1. Entrepreneurial Mode: Strategy is made by one powerful individual who has entrepreneurial competencies like innovation and risk-taking. The focus is on opportunities. Problems are secondary. Generally, the founder is the entrepreneur, and the strategy is guided by his or her own vision of direction and is exemplified by bold decisions. 2. Adaptive Mode: Sometimes referred to as “muddling through,” this decision-making model is characterized by reactive solutions to existing problems, rather than a proactive search for new opportunities. Much bargaining goes on concerning priorities of objectives. The strategy is fragmented and is developed to move the corporation forward incrementally. 3. Planning Mode: This decision-making model involves the systematic gathering of appropriate information for situation analysis, the generation of feasible alternative strategies, and the rational selection of the most appropriate strategy. It incl...
Post a Comment
Read more

International Sales Management

Int ernational Sales Management Sales management is the process of developing a sales force, coordinating sales operations, and implementing sales techniques that allow a business to consistently hit, and even surpass, its sales targets. If your business brings in any revenue at all, a sales management strategy is an absolute must. When it comes to boosting sales performance for any size of the operation, no matter the industry, the secret to success is always precise sales management processes. Besides helping your company reach its sales objectives, the sales management process allows you to stay in tune with your industry as it grows and can be the difference between surviving and flourishing in an increasingly competitive marketplace. The past decade has seen a number of changes in global situations. Chief among these is the opening up of Russia, India, and Eastern European countries and the emergence of China as a major market. A sale is an important element of marketing. ...
Post a Comment
Read more

What Are Best Practices

  What Are Best Practices?             Best practices are a set of guidelines, ethics, or ideas that represent the most efficient or prudent course of action, in a given business situation. Best practices may be established by authorities, such as regulators or governing bodies, or they may be internally decreed by a company's management team.             “A best practice is a method or technique that has been generally accepted as superior to any alternatives because it produces results that are superior to those achieved by other means, or because it has become a standard way of doing things, e.g., a standard way of complying with legal or ethical requirements. Best practices are used to maintain quality as an alternative to mandatory legislated standards and can be based on self-assessment or benchmarking. A best practice is a feature of accredited management standards such as ISO 9000 and IS...
Post a Comment
Read more