Sales Promotions
Sales promotions can be directed at either
the customer, sales staff, or distribution channel members (such as
retailers). Sales promotions targeted at the consumer are called consumer
sales promotions. Sales promotions targeted at retailers and wholesale
are called trade sales promotions. Some sale promotions, particularly
ones with unusual methods, are considered gimmick by many.
Media and non-media marketing communications are employed for a pre-determined,
limited time to increase consumer demand, stimulate market demand or
improve product availability.
Sales promotions is one of the four aspects of promotional mix.
Sales promotions have traditionally been heavily regulated in many advanced
industrial nations, with the notable exception of the United States.
For example, Britain formerly operated under a resale price maintenance
regime in which manufacturers could legally dictate the minimum resale
price for virtually all goods; this practice was abolished in 1964.
Most European countries
also have controls on the scheduling and permissible types of sales
promotions. Germany is notorious for having the most strict regulations.
Famous examples include the car wash that was barred from giving free
car washes to regular customers and a baker who could not give a free
cloth bag to customers who bought more than 10 rolls.
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