Sales Promotion In Marketing

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2.2.1 Sales Promotion Every business organization reaches to the customers through their goods or services. To sell the products to the customers a number of activities are being performed. This is called marketing and it is an important function. Marketing is the performance of business activities that directs the flow of goods and services from producer to the customer. It is the activity that directs to satisfy the human needs through exchange process. Marketing starts with the identification of a specific need of customers and ends with satisfaction of that need. The customer is found in the beginning and end of marketing process. In marketing a large number of activities are performed. For easy understanding these activities are divided…show more content…
Marketing communications mix, which is also called as promotional mix, is used to pursue the established marketing objectives of the company. Each of the promotional categories includes their own distinctive tools that are used in reaching the overall communications efforts. Not only the specific promotional tools communicate with customers but also all other elements, such as product design, package, store and price send messages to customers. Thus, the whole marketing mix must be adjusted accordingly. In the concept of integrated marketing communications, all the marketing efforts are integrated in a consistent and coordinated manner in order to achieve the greatest overall communication impact (Kotler, 2004). Huff (2011) defined sales promotion as an activity that is used to stimulate the sales of a product or services and usually occurring once or even over limited period of time as a “sales” conducted by a retail store or featuring price reduction of many items of marketing. Kotler (2004) defined sales promotion as a “short term incentive aimed at encouraging purchase or sales of a product or services. He further points out that sales promotion is designed to stimulate stronger target…show more content…
The nature of the impact is inconclusive. While some authors believed that the impact of sales promotion on organization effectiveness is minimal and non-significant, others believe that the impact is high and significant (Fennela, 2010). Organizational effectiveness in this study is defined by higher sales volume and profitability. Some of the recent studies include Griswold et al (2010) which examined the permanent impact of sales promotion on accumulative annual sales for the two product categories which include storable and perishable products. Their findings show that perishable and storable product categories lack permanent effects of sales promotion. Furthermore it is revealed that effects of sales promotion are short lived and persist only on average 2 weeks and at most eight weeks for both product categories. The research’s results prove the common concept that sales promotion makes only benefits which are temporary for the established
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