Introduction

Businesses use different sales promotion techniques to encourage customers to buy their products. These techniques provide additional benefits and create interest in the products.

The selection of a sales promotion technique depends on the product, target customers and marketing objectives.

Meaning of Sales Promotion Techniques

Sales promotion techniques are the different methods used by businesses to attract customers and increase sales by providing special benefits or incentives.

Important Tools and Techniques of Sales Promotion

1. Price-Off Offer

A price-off offer means reducing the normal price of a product for a limited period.

Example: A soap normally sold for ₹50 is offered at ₹40 during a special discount sale.

Purpose: It attracts price-conscious customers and encourages immediate purchases.

2. Free Samples

Free samples are small quantities of a product distributed to customers without charging money.

Example: A company distributes small packets of shampoo free of cost to customers.

Purpose: It allows customers to try a product before buying it.

3. Bonus Offer

A bonus offer means providing extra quantity of a product at the same price.

Example: A toothpaste company gives 250 grams of toothpaste free with a 500-gram pack.

Purpose: It encourages customers to purchase the product by offering additional quantity.

4. Free Gifts

Under this technique, customers receive a gift when they purchase a particular product.

Example: A company offers a free water bottle with a large pack of a health drink.

Purpose: It attracts customers by providing an additional benefit.

5. Contests and Competitions

Companies organise contests in which customers participate to win prizes.

Example: A company asks customers to answer a question and offers a gift to selected winners.

Purpose: It creates interest in the product and encourages customer participation.

6. Coupons

Coupons are certificates or codes that allow customers to receive discounts when purchasing products.

Example: A shopping coupon provides a discount of ₹100 on a purchase of ₹1,000.

Purpose: It encourages customers to make purchases and helps businesses attract buyers.

7. Exchange Offers

Under an exchange offer, customers can exchange their old products for new products, usually with a price benefit.

Example: A customer exchanges an old mobile phone and receives a discount on a new phone.

Purpose: It encourages customers to purchase new products.

8. Product Combination Offers

Under this technique, two or more products are offered together at a special price.

Example: A company sells a toothbrush and toothpaste together as a special package.

Purpose: It encourages customers to purchase more than one product.

How Sales Promotion Techniques Help in Promoting Sales

Sales promotion techniques help increase sales in the following ways:

1. They attract the attention of customers.
2. They encourage customers to try new products.
3. They increase the quantity purchased.
4. They motivate customers to purchase immediately.
5. They help businesses compete with other brands.
6. They encourage existing customers to purchase again.

Conclusion

Sales promotion techniques provide additional benefits to customers and encourage them to purchase products. Price-off offers, free samples, bonus offers, gifts, coupons and exchange schemes are commonly used tools that help businesses increase sales.