ADVERTISING MANAGEMENT

BBA -301
UNIT-3

Prof. Sudheer Kumar (DIMS)

SYLLABUS UNIT-3
 Unit – III:: Sales Management and Sales Promotional:
Defining Sales Management, Objectives of Sales
Management, Sales Management Strategies, Functions
of Sales Executive, Scope and Role of sales promotion.
SALES GLOSSARY(TERMS)
 [Link]-based selling: The theory that you can close more deals by
focusing on the activities you can control, such as the number of calls
or appointments made, rather than focusing on results, or making a
certain amount of money in sales.
 [Link]/closing: Bringing a prospect to a final buying decision.
 Close ratio: Number of deals you close compared to the number of
deals you have
 [Link] calling: Getting in contact with a potential customer with no
prior contact or relationship in hopes of setting up an appointment or
informing them about your product or service.
 [Link]: The act of turning a prospect into a customer.
 [Link] relationship management (CRM): A tool or software
to manage your customer relationships and sales pipeline. Often also
used as process management
 [Link]: An agreement to meet or take action with a prospect.
 [Link]: A sales presentation of your product or service.
 [Link]: Anyone who could potentially be a customer.
 [Link]: The act of promoting your product or
 [Link]: A collection of individual and organizational
performance indicators and ratios calculated from collected
data that describe a company’s historical and ongoing sales
processes.
 [Link]: Something made to be sold to a consumer.
 [Link]: A potential customer or person who may be
interested in a company’s product or service.
 [Link]: A fixed share of something that a person or group
is entitled to achieve or contribute
 [Link] rate: The percentage of customers who stay.
 [Link]: A company’s income or earnings.
 [Link] cycle: The series of predictable phases required to sell a
product or a service. Sales cycles can vary greatly among
organizations, products and services, and no one sale will be
exactly the
 [Link] Dashboard: A method of measuring sales performance
from a birds-eye view. A sales dashboard helps measure key
metrics, individual team members and sales activities.
 [Link] force: Division of a business responsible for selling
products or services.
 [Link] funnel (or pipeline): A systematic and visual approach to
selling a product or service. The sales pipeline is helpful in
showing you exactly where the money is in your sales process.
 [Link] management: The process of developing and
coordinating a
 [Link] management planning: Process of thinking and
organizing activities to achieve a desired goal.
 [Link] management process: Steps taken to attain a
company’s objectives.
 [Link] management strategy: A method to bring about a
desired outcome.
 [Link] manager: Someone who’s responsible for
managing salespeople and overseeing a company’s sales
process.
 [Link] meeting: a meeting with the sales team, often to
discuss processes, products and services, as well as the
potential benefits for the buyer.
 [Link]: Someone who typically works directly
with customers to inform them and sell a product while
providing customer service.
 [Link] reporting: The documentation of a company’s
activities.
 [Link] targets: Objectives or goals for a salespeople
or company.
 [Link] velocity: Time it takes for a new deal to close,
from the initial contact.
 [Link]: An action performed to satisfy a customer’s
need.
SALES MANAGEMENT(INTRODUCTION)
 What is Sales Management?
 In simple terms, the sales management process is all
about building an efficient sales team that not only
takes care of the sales operations but also pulls off
effective sales mechanisms that expedite the goal
achievement for a company.
 Everything from monitoring, planning, training,
coordinating, and what not, comes under the umbrella of
sales management.
DEFINITIONS OF SALES MANAGEMENT
 Definition: Sales management can be seen as a segment of the
organization’s marketing mix. It deals with the formation of sales
strategies; product merchandising and pricing; sales promotion
activities; distribution function; and planning, staffing, supervising,
motivating and controlling of sales personnel to attain the desired
sales objectives. It was initially limited to the guiding, directing and
controlling of the sales personnel. But today, it has a significant role
in organizational success.
 According to the definition committee of the American marketing
association sales management meant “The planning, direction, and
control of personal selling including recruiting, selecting equipping,
assigning, routing, supervising, paying, and motivating as these
tasks apply to the personal sales force”. It is also often referred to as
management of the personal selling part of a company’s marketing
function.
NATURE OF SALES MANAGEMENT

 To understand the concept of sales management clearly,

we must go through its following characteristics:
 Goal-Oriented: Similar to other management activities,
sales management also have a specific purpose and intended
for the achievement of specified goals or objectives.
 Continuous Process: The sales manager needs to perform
sales management functions regularly, and this process is
never-ending.
 Systematic Approach: It is an organized way of handling
the sales function of the company where every problem has
a defined and proven solution.
 Relationship Selling: The salespeople make efforts to build
a strong customer relationship to sell the products or
services effectively.
 Marketing Management Integration: Marketing is a
broader concept; marketing management includes all the
activities related to sales management.
 Different Sales or Job Position: It is the combined efforts
of the whole sales team, including salesperson, sales
executive, sales head, sales manager and after-sales service
personnel.
 Pervasive Function: It is a universally applicable concept
which has been adopted and tested by every kind of
business organizations.
KEY ASPECTS
 Key Aspects
 A sales manager needs to concentrate on the three crucial
elements of sales management. Getting these three right can
bring optimization of the sales management.
 Let us now discuss each one of these in detail below:
 Sales Operations – Team Building
 Building an efficient sales team is the primary focus of a sales
manager. He/she needs to ensure that team members are
handed over the responsibilities, which matches their skills
and knowledge.
 Moreover, they have been provided with the required training
to execute their duties in the desired manner.
 The sales manager then needs to:
 Determine challenging and realistic sales targets;
 Allot a particular area or territory to each salesperson;

 Set objectives and sales quota for the sales team.

 The sales manager have to continually motivate his/her team

and provide feedback on their performance.
 Sales Strategy – Sales Process
 When the team is ready for sales performance, it requires proper
guidance and support.
 Therefore, the sales manager needs to prepare a sales pipeline
which provides a sequential presentation of the steps involved in
the sales process, right from lead generation to cracking the deal
successfully.
 There are varying strategies for different types of sales activities
like customer acquisition, customer retention, personal selling,
distribution,
 A sales funnel or pipeline guides the salespeople and proves to
be a useful tool for monitoring and controlling self-performance.
The sales manager, however, needs to take charge when the
salesperson fails to achieve the desired results.
 Sales Analysis – Reporting
 Analyzing or reporting the performance of the sales team
helps everyone to better-off their tasks and efforts. Thus, it
is one of the essential components of sales management.
 The team becomes aware of where it stands, by going
through the sales metrics, performance index and other
quantifiable indicators. Hence, it can find out the loopholes
and rectify the mistakes made earlier to ensure optimal
results next time.
 Using the standard sales pipeline, one can find out the
following metrics:
 Number of deals

 The average size of each deal

 The average percentage of deals cracked

 The average time that is taken to close the deals

SALES MANAGEMENT SCOPE

 Sales management is a field which has emerged from

marketing management; however, the latter is a broader
concept.
 Let us now learn about the extent to which sales
management is applicable in business organizations:
 Sales Planning or Forecasting: The sales-related
activities need to be planned well in advance through
anticipation of future sales prospective.
 Sales Budgeting: The sales manager needs to determine
or estimate the sales budget, i.e., the expenses which will
be incurred in carrying out the sales activities.
 Determining Structure and Size of Sales Organization: The
department of a company which is solely responsible for all the
sales-related functions is termed as a sales organization.
 Sales management provides for determining the size,
composition and structure of a sales organization.
 Human Resource Planning: The sales management ensures a
proper estimation of sales personnel requirement in the
organization.
 Hiring Sales Personnel: It initiates the recruitment and
selection of efficient and suitable candidates for various vacant
sales positions.
 Training and Development of Salespeople: It also includes
providing training and orientation to the selected candidates to
develop their skills and knowledge to match those required for
the job position.
 Developing Salesperson’s Objectives: The sales manager set
up achievable objectives or goals for the salespeople appointed
under him/her.
 Fixing Sales Quotas: Also, the sales quota (monthly, quarterly
or yearly) is fixed, either in terms of volume or value of sales to
set targets for the sales team.
 Determining Sales Territories: Every sales team or
salesperson is given a particular region or area as a target
market, where they need to penetrate for selling products or
services.
 Motivating Sales Personnel: It also emphasizes on reviewing
the work of salespeople and driving them frequently to perform
better.
 Compensation and Remuneration of Salespeople: It
ascertains appropriate salary, remuneration, allowance,
commission and other benefits to the salespeople.
 Controlling Sales force: Exercising sufficient control by
monitoring the performance of the sales personnel is also a crucial
function of sales management.
 Branding, Labeling and Packaging: The sales personnel gathers
customer feedback on the acceptability of the product packaging,
presentation, branding and labeling.
 Managing Distribution Channel: It also ensures keeping track of
the marketing channels and filling the loopholes if any.
 Sales Promotion: The product advertisements and other
promotional tactics are also determined through sales management
functions. Organizing and Support Service: It includes handling
of queries and solving problems of the sales personnel through
proper guidance and support service.
 After-Sale Services: The customer recognizes a company mostly
through the effectiveness and efficiency of the after-sale services it
provides, which is the concern of sales management.
IMPORTANCE OF SALES MANAGEMENT
 Why is sales management considered to be an inevitable part of
business organizations?
 The following benefits of sales management will enlighten you over
the above question:
 Realizes Organizational Objectives: Sales management is
practised to attain the pre-defined organizational goals or objectives
which can be increasing profitability, customer satisfaction, market
acquisition, and so on.
 Manages Sales Force: The sales team includes personnel
performing various sales-related tasks; the activities of the sales
force are hence monitored and regulated through sales management.
 Better Planning: Planning is an essential function of sales
management; it includes the formulation of goals, strategies,
programmes and budget.
IMPORTANCE OF SALES MANAGEMENT
 Sales Maximization: It also helps the management in setting
sales target, which are though higher than the previous goals but
are possibly attainable.
 Builds Strong Relationship: The sales personnel emphasizes on
building up strong interpersonal relations with the customers, as
their primary motive. Since it ultimately drives the sales and
profit maximization.
 Optimizes Distribution: It provides for maximum utilization of
the marketing channels by identifying the key problem areas and
finding a solution to these issues.
 Aids Top Management Decision Making: It comprises of the
comparison between the desired and actual result and thus,
supports the top-level management or directors to make crucial
decisions (such as business expansion and closure).
 Improves Profitability: The most critical concerns of top-
level management is profit maximization, which is, therefore,
passed on as a primary objective of the sales management.
 Develops Personnel: In the process of sales management, the
sales personnel is provided sufficient training, growth
opportunities and support to ensure their overall development.
 Product Development: The sales team are in constant touch
with the clients or customers, which helps the management to
know about their preference and taste.
OBJECTIVES OF SALES MANAGEMENT
 Achieving Sales Volume
 Achievement of desired sales volume is the primary objective of
sales management. It efficiently makes all sales related planning
by forecasting future prospects. All these plans and policies help
in the achievement of sales targets.
 Generates Revenue
 Sales management helps businesses in generating large revenues.
It aims at approaching large customers and convincing them to
buy business products and services.
 Sustained Profits
 It aims at increasing the profits of the organization through
proper management of all sales activities. Sales management
technique through proper planning, control and coordination
focuses on increasing sales and reducing expenses.
 Organizational Growth
 Sales management has an efficient role in the overall growth of an
organization. Continuous monitoring and management of sales
activities, increase the overall revenue of the organization thereby
resulting in the growth of the business.
 Price Fixation
 Fixation of the right prices is an important task for every business
organization. Sales management performs research on price
strategies adopted by various competitors in the market and helps in
fixing the optimum prices.
 Motivate The Sales Force
 Sales management aims at developing highly skilled and competent
sales staff. It motivates sales personnel for working towards their
roles efficiently by providing them with various incentives and
rewards for their performance.
 Optimizes Distribution
 It manages and optimizes the whole distribution process
of business. Sales management provides training to all
staff for developing an efficient distribution system. It
keeps track of all marketing channels and removes all
loopholes from it.
 Market Leadership

 The sales management technique supports businesses in

the achievement of market leadership positions. With the
increasing sales and market share by business, it
becomes easy for them to become a market leader.
QUALITIES OF SUCCESSFUL SALES
MANAGER
 A successful sales manager must have the following
qualities:
 (i) Desire to be a manager

 (ii) Ability to lead and motivate others

 (iii) Good organizing and planning skills

 (iv) Capabilities of control and administration

 (v) Full understanding of the implications of finance

 (vi) Skills to recruit, train, motivate, and develop those who

will form part of the team
 (vii) Acceptance of the fact that the computer is here to stay!
Process of sales management
 Sales Process
 Sales representatives should work as a single unit for
maximum productivity. A systematic approach results in error
free work.
 The management must make sure sales managers follow a
proper channel to reach out to the customers. It pays to adopt
a step by step approach.
 Sales professionals should follow the below mentioned
steps for maximum sales and better output. Do not
ignore any step.
 [Link] Contact/Lead
 Collect necessary data of potential customers once the target market is decided.
 [Link] Exchange
 Inform the customers about various product offerings.
 Make the customers aware of your brand and its benefits.
 The information exchange can be either:
Over the telephone or
Face to face interaction with the potential customer.
 [Link] Generation
 Make a list of the people who show inclination towards purchasing your
organization’s products or services.
 The sales representatives must identify those who have the potential to buy their
products.
 [Link] Identification
 Fix a meeting with the prospective buyers. Sit with the client and try to find out
more about his needs and expectations.
 Suggest them various options which would fulfill their demands.
 [Link] Prospect
 Identify individuals who are keen on purchasing your company’s products or
services.
 [Link]
 Once the buyer agrees to purchase particular products, the seller
presents a written proposal to him quoting the rates as well as
other necessary terms and conditions. Such a document is often
called a proposal.
 [Link]
 Negotiation is a stage where two parties (buyer and seller) discuss
and negotiate for the best deal beneficial to all.
 [Link] of Deal
 Thisis the stage where the transaction between the seller and
buyer takes place. The selling happens in this stage.
 [Link] Sales Service
 Keep in touch with the customers even after the purchase for
higher customer retention.
SALES MANAGEMENT STRATEGIES
 The art of meeting the sales targets effectively through
meticulous planning and budgeting refers to sales management.
Sales Management helps to extract the best out of employees and
achieve the sales goals of the organization in the most effective
ways.
 Let us go through some sales management strategies:
 [Link] goals and objectives of the sales team. Be clear on
your sales targets. Make sure the targets are realistic and
achievable. Also assign a fixed timeline to achieve the targets.
 [Link] your product well. Understand what benefits end-
users would get from your brand. The marketers must interact
with customers to find out more about their expectations from the
product as well as the organization. One would not be able to
convince the customers unless and until he himself is clear with
the benefits of the products.
 [Link] your target market. Selling techniques and
strategies can’t be same for all individuals. Each audience has
different needs, interests and requirements.
 [Link] the right individual for the sales team. Remember
the sales professionals have a major role in the success and
failure of organizations. Recruit individuals who are
aggressive, out of the box thinkers and nurture the dream of
making it big in the corporate world. Make the sales
representatives very clear about their roles and
responsibilities in the team. Develop a lucrative incentive
plan for them. Incentives and monetary benefits go a long
way in motivating the sales team.
 [Link]’t lie to your customers. It is important to maintain
transparency. Communicate what all your product actually
offers. It is unethical to make false promises. Only commit to
what you actually can deliver to customers.
 [Link] what your competitors are offering. It is essential to
do a SWOT analysis of your organization to know its
strengths, weaknesses, threats and opportunities. A marketer
must know how his product is better than his competitors.
 [Link] representatives must do their homework before
going for a sales call. One should never go unprepared.
Remember the customer can ask you anything and you have to
be ready with your answers. The management must promote
training sessions at the workplace to upgrade the skills of the
sales professionals and expect them to deliver their level best.
 [Link] strategies as per the target audience. Know your market
well. The individuals must be able to relate to your products. The
strategies must be formulated in the presence of all. Each one should
have a say in the same. Let everyone come out with his suggestions. Be
ready with alternate plans if one plan fails.
 [Link] management must conduct frequent meetings with the sales
team to review their performances. Keep a track on their daily
activities. The sales team must prepare Daily Sales Reports (DSR) for
the superiors to know what they are up to.
 [Link] must assess his own performance. Recall your interactions
with the clients and analyze where you went wrong and where things
could have been a little better.
 [Link] your customers well for higher customer satisfaction and
retention. Don’t oversell. Once you are through with your sales
presentation, don’t be after your client’s life. Give him time to think
and decide.
 [Link] sales pitch must be impressive for the desired impact
FUNCTIONS OF SALES EXECUTIVES
 Sales executives are the key point of contact between an
organization and its clients: answering queries, offering advice
and introducing new products.
 How you contact these clients will change across different
companies and roles. If you’re an ‘inside sales executive’ then
you will be working from the office or your accommodation if
the position is remote. You may be contacting clients via
emails, phone and/or video calls. Other sales executives will
often combine this type of work with visits to clients –
although, as more people get used to working virtually, video
calls may replace sales visits for some sales executives.
 Basically, the sales executive has two sets of functions:
 [Link]

 [Link]

 [Link] operating functions: include sales force management,

handling relationships with personnel in other company

departments and with the trade (middlemen and/or
customers), communicating and coordinating with other
marketing executives, and reporting to some superior
executive (such as the marketing vice-president). In addition,
in some companies and fairly commonly in lower-level sales
executive positions, the sales executive sells some accounts
personally (to keep a “hand in” and to keep abreast of current
selling problems and conditions).
 [Link] functions- include those connected with the sales
program, the sales organization, and its control. The sales
executive is responsible for setting personal-selling goals, for
developing sales programs de-signed to achieve these goals,
for formulating sales policies and personal-selling strategies,
and for putting together plans for their implementation. Sales
programs are put into effect through the sales organization,
and the sales executive is responsible for designing and
shaping the sales organization, for staffing it, for developing
the skills of those who are part of it, and for providing
leadership to it. Achievement of sales departmental goals
require_ controls over selling activities, sales volume, selling
expenses, and the like. The sales executive is responsible for
these and related control activities.
 The amount of the sales executive’s time devoted to
planning and operating functions is influenced by the
size of the sales organization. Sales executives in small
companies spend less time on planning and more on
operating. As the size of the company increases, the sales
executive devotes more time to planning and less to
operating.
 The significance attached to operating and planning functions
varies with the product.
 If the product is a consumer good, sales executive attaches
the greatest importance to planning functions: development of
sales programs, coordination of personal selling with
advertising, and building and maintaining relationships with
dealers and customers.
 If the product is an industrial good, sales executives attach the
greatest importance to the operating functions -managing and
directing the sales force, making calls with salespeople, and
selling personal accounts. Consumer-goods sales managers,
in general, spend more time on planning and less on operating
than do their counterparts in industrial- goods companies.
 Their work includes:
 meeting with clients virtually or during sales visits

 demonstrating and presenting products

 establishing new business

 maintaining accurate records

 attending trade exhibitions, conferences and meetings

 reviewing sales performance

 negotiating contracts and packages

 working towards monthly or annual targets.

 Promotional prospects can be excellent; progression can
be into senior sales roles or into related employment
areas such as marketing or management.
 Typical employers of sales executives

 Manufacturers

 Service industries

 Retailers

 Industrial organizations

 Charities.
 Qualifications and training required
 There are routes into sales for both university graduates and
school leavers. You are more likely to need a degree for a
sales executive role within a technical or medical field –
and this may need to be relevant to the industry. For
example, a subject related to science or medicine could be
needed for a sales executive job in the medical or
pharmaceutical field. For less specialist areas, if a degree is
desirable it is very likely that any subject will be acceptable.
KEY SKILLS FOR SALES EXECUTIVES

 Key skills for sales executives

 Self-motivated and driven by targets
 Resilience
 Strong communication skills – including both verbal and
written
 The ability to influence and negotiate with others
 Commercial awareness
 IT skills
 Numerical skills.
 For Example-A full driving license is often essential for
jobs. Being able to speak more than one language fluently
may also be a useful skill (but this is not necessary).
SALES PROMOTION
 Sales promotion is a set of marketing technologies aimed to
stimulate the demand in particular products and increase
brand awareness. Limited in time, it creates a feeling of
time-sensitiveness, generates new leads, and keeps existing
customers engaged.
 Sales promotion is one of the core elements of the
promotion mix. To build long-lasting relationships with users,
you need to find out the types of sales that work with your
target audience. At the same time, you should provide
customers with value that’s relative to your field of expertise.
BENEFITS OF SALES PROMOTION
 Benefits of Sales Promotion
 [Link] helps to generate new leads
 [Link] re-engaging with your existing audience
 [Link] revenue
 [Link] brand awareness

 [Link] helps to generate new leads. Sales promotion can boost your
product image since it encourages sharing information about it within
social groups related to your business. If you sell training football
shoes, people keen on playing football will share the message.
 [Link] re-engaging with your existing audience. Once a person
subscribed to a brand’s email newsletters, they will receive regular sales
promotions. It is a way to keep the audience engaged and maintain a
close connection with the company, which is crucial for building
loyalty.
 [Link] revenue. Sales promotions help companies to
increase the number of sold goods, even though they need
to lower the price to achieve that goal. Of course, merely
reducing the price is not enough, people should need your
product, while the discount is only another reason to make a
purchase.
 [Link] brand awareness. Sales promotion is a way to
make a name for your brand because people are more likely
to talk about a сompany that proposes benefits and saves
their money. That’s what sales promotion does.
SALES PROMOTION OBJECTIVES
 Sales Promotion Objectives
 [Link] a new product
 [Link] new clients
 [Link] competitive
 [Link] existing customers buy more
 [Link] during off-season
 [Link] clearance campaigns
 Although the main goal of sales promotion is to increase demand in a
particular product, you can reach several important goals.
Understanding them will help you create an effective promotion
strategy.
 [Link] a new product. If you're going to expand and turn your small
coffee shop into a bakery, you need to reach new market segments. You
can attract new customers by offering a free cookie with each cup of
coffee or suggest visitors set their own price once in a while.
 [Link] new clients. This objective should be your
long-term goal since it allows your business to grow.
Your potential clients are likely your competitors'
customers, so analyzing their product and benefits, you
can offer something more valuable.
 [Link] competitive. Researching and analyzing your
competitors will not only help you attract new clients but
constantly improve your product and customer service.
 [Link] existing customers buy more. It's always easier to
make an existing customer buy more than attract new clients.
Provide each client with a personalized approach — it will
help you build customer loyalty. As a result, clients will
promote your brand organically.
 [Link] during the off-season. Goods like swimwear, boats,
tents, air conditioners, refrigerators are definitely more popular
in summer but you should consider special strategies to sell
them throughout the year. Offer time-limited discounts,
"1+1=3" campaigns, and other marketing tricks.
 [Link] clearance campaigns. They're especially popular
before summer and winter. As dealers need to make room for a
new collection, they often run total clearance campaigns when
users can buy goods from old collections at extremely reduced
prices.
TYPES OF SALES PROMOTION

 Price deal
 Loyalty reward program

 Bonus-pack deal

 Giveaways

 Coupons

 Mobile couponing

 Sampling
 There is a variety of ways to run a successful sales
promotion, but let’s focus on some most frequently used
ones, using a cup of coffee as an example.
 Price deal. It is a temporary cost reduction, for instance,
20% off for a coffee for a week.
 Loyalty reward program. This means that customers
collect points or credits when they buy coffee. If they get
10 points, for example, they will have one coffee for free.
 Bonus-pack deal. It means that a customer can get more
products paying the original price. For instance, they pay a
dollar for one cup of coffee and get free candy, which gives
some positive emotions and makes them come back in the
future.
 Giveaways. These tactics aim to increase brand awareness. It
means giving some items for free in exchange for personal
information to use in further marketing. For example, offer a
free cup of coffee in exchange for a phone number, which you
can use for many purposes: promoting new sales, sharing
updates and news with short text messages, etc.
 Coupons. You can sell coffee for the original price and give a
coupon, which will make the next purchase 5% cheaper.
 Mobile couponing. It stands for coupons received on mobile
phones via SMS. To get a discount, a customer needs to show
the coupon on their smartphone.
 Sampling. Choosing this promotion type, companies give a
sample of the product; for instance, the first cup of coffee to
promote a new taste.
SALES PROMOTION TECHNIQUES

 Discounts
 Time-limited offers

 Seasonal promotions

 “1+1=3"

 Holiday promotions

 Gifts

 Contests

 Reward points

 Special prices

 First-purchase coupons

 Free shipping
 Discounts. This technique is as old as the hills. Small
companies and big corporations use this method to sell more.
One of the reasons it's so popular, even today, is that discounts
are great for both consumers and retailers. Sellers can clear
room in their warehouse for new arrivals and customers can
buy more at reduced prices. Keep in mind that a normal
discount should be between 5-20% since clients won't even
notice less than 5% discount, but more than 20% off will make
them feel suspicious about your brand.
 Time-limited offers. This technique works even better than a
big discount. With this trick, marketers manage to create a
sense of urgency and fear of missing out on their products.
You can give clients 24 hours to grab this special offer. To
make this technique perform better, you need to advertise your
promotion on each channel you use. This will bring more sales
and increase your site traffic.
 Seasonal promotions. People often buy ski suits in summer
and air conditioners in winter to save money. Selling
products during off-seasons can be a real challenge, so we
strongly recommend you to run seasonal promotions. Sell
items from old collections at reduced prices and don't forget
to advertise your campaign via email and social media.
 “1+1=3". "Buy one and get one for free" and "Buy 2 items
and get the third one for free" are very familiar marketing
tricks. Such campaigns help you sell products at a low price
or save money shopping together with a friend. Retailers can
significantly boost sales with this technique reinforcing
clearance sales.
 Holiday promotions. Christmas, New Year's Eve, Halloween, International
Women's Day, and Valentine's Day are great chances to skyrocket sales.
People are extremely generous when buying presents for their friends and
family. Launch your holiday campaigns in advance, and invest in
advertising via email, PPC, social media, and other channels. This will help
you increase brand awareness and site traffic.

 Gifts. Who doesn't like freebies? If you are a startup or about to launch a
new product, go for this technique. It will help you reach big audiences fast,
build brand recognition, and collect user-generated content which is
especially valuable for every type of business. Let users try your service for
free for 7 days, launch a campaign that will let each client who spends
$100+ receive a gift, or give away free samples with each order.
 Contests. Competitions are a great opportunity to boost user
engagement and increase brand awareness and sales. You can let your
audience to create a slogan for your brand, a new advertising message,
design, or share creative ideas on how to use your product in an unusual
way. Make sure that the prize correlates with the effort spent on
participating in your contest.
 Reward points. You definitely should reward clients who buy from you
regularly - people love brands that appreciate their choice. So, with this
technique, you can start building customer loyalty. Give points to each client
who makes a second purchase or spends a certain amount of money. Then, let
them exchange those points for a product they like.
 Special prices. Marketers usually run a 1-day campaign when users
can buy everything at a fixed price. These prices usually look tempting
for users and they can’t overcome the feeling of missing out. The goal
may be an annual clearance of goods. You can set a fixed price for each
product category of your store. For example, sweaters for $5.99, jeans
for $9.99, coats for $15.99. This technique works.
 First-purchase coupons. It always takes time for people to
give money to a new store especially when buying expensive
products. To make them think over the purchase faster, offer a
special incentive. You can send a welcome email to a new
visitor with a coupon to get a 10 or 15% discount off their
first purchase. For better performance, limit this appealing
offer to a couple of days.
 Free shipping. Very often users leave your site without
buying just because of expensive delivery options. To win
back these potential clients, you can
run a time-limited campaign that allows them to receive their
orders for free if they spend a certain amount of money. If you
sell medium-priced goods, do not make this fixed sum too
high. Otherwise, people won’t fall for this trick.
SALES PROMOTION EXAMPLES

 Sales Promotion Examples

 Email marketing

 Facebook marketing

 SMS marketing
 Email marketing
 It is one of the most efficient digital marketing channels, with the
ROI up to 4000%. Marketers use sales promotion for lead nurturing,
reactivation, promotion, etc. To succeed, marketers combine sales with
educating materials. In this sales email, Grammarly offers users a
chance to upgrade to a premium plan and shows the multiple benefits
and suggests taking advantage of the 40% discount limited it time.
 Email is also an effective platform for
holding giveaways. You can create a giveaway campaign
on specialized resources like Rafflecopter, and keep
users engaged with giveaway emails along the way. The
example below shows how the Apple Music Festival
encourages people to participate, using the names of
famous artists who are going to perform there.
 Facebook marketing
 Facebook is one of the most powerful advertising platforms
due to its global coverage and detailed targeting options.
Facebook marketing allows using various types of ads to fit
any demand and budget. Here’s an example of a carousel ad
with a 10% discount by iHerb.
 SMS marketing
 This channel is excellent for instant updates and flash sales. It
works out well for local businesses. The example below
shows how sales promotion in SMS marketing can create a
sense of urgency, stimulating people to visit a restaurant for
lunch.
SALES PROMOTION IDEAS

 Sales Promotion Ideas

 Give an adequate range of discounts

 Target sales promotion to the right people

 Take advantage of the shopping holidays

 Create a sense of urgency

 Develop a loyalty program

 Use sales promotion to generate leads

 Offer free shipping

 Give an adequate range of discounts. Avoid more than 50%
discounts, because they make you look desperate. Don’t give
discounts, like 2% either, as they won’t thrill your customers.
 Target sales promotion to the right people. Find out which
people are likely to buy a particular product you want to promote.
For instance, if you run a sports shop and you want to increase the
demand for skateboards, target your promotions to teenagers and
young people.
 Take advantage of the shopping holidays. Marketers have
developed a system of consumerism based on traditions. As a
result, people spend more money on shopping in particular days
called shopping holidays. These are Black Friday, Cyber Monday,
Christmas, New Year, Halloween, to name a few. Any holiday
meaningful for a specific group, like Mother’s day for women, can
be a reason for companies to promote sales.
 Create a sense of urgency. Create time-limited offers to
make your audience feel they are going to miss
something important. Time-sensitiveness is an excellent
incentive for people to purchase since it appeals to their
emotions.
 Develop a loyalty program. This technique will help
you keep your customers engaged for an extended
period. Offer to collect points from every dollar spent, so
in the future, your customers could use them to pay for
new purchases in your shop.
 Use sales promotion to generate leads. Use a discount as an
incentive to subscribe to your email newsletters.
Lead magnets help to cover this process during the
subscription.
 Offer free shipping. It is the right motivation for people
from distant regions to decide to buy from you.