MKTG-UB 1 Lecture Notes - Lecture 10: Merchandising, Specific Performance, Sales Promotion
11 May 2016
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Document Summary
Sales promotion = incentives aimed to enhance the value of an offering by either providing additional benefits or reducing its cost. Main goal of sp: stimulate demand in order to increase sales volume in short term. 2 main categories: monetary (incentives to reduce product"s costs), non- monetary (enhance product"s benefits) Consumer promotions = targeted to final consumers. Trade promotions = to intermediary channel members. Push = trade promotions targeted to intermediary channel members. Stimulates demand by pushing product through the marketing channel. Manufacturer promotional activities to retailer, retailer promotional activities to consumer. (demand stimulation downwards) Pull = consumer promotions targeted to final consumers. Stimulates demand by inducing consumers to pull the product through the marketing channel. Manufacturer promotional activities to consumer. (demand stimulation upwards) A good promotional strategy uses a mix of both. Planning a promotion: goal target channel creative solution .
