Sales Promotion: Definition, Types, & Strategies

Competition in the business world is increasing day by day. Every company must be good at managing marketing strategies so as not to lose competitiveness with other business competitors. Doing sales promotion is one important strategy.

The purpose of sales promotion is to market goods to the general public in the hope of increasing selling. 

Want to know more about sales promotions? Come on, see here!

What is Sales Promotion?

In short, sales promotion is a communication activity between companies and consumers.

In these activities, usually have the aim of influencing consumers to be interested in the products offered.

In other words, sales promotion is a technique to provide consumers with product-related insights so that they will buy according to their individual wants and needs.

Another definition of sales promotion is an activity with a limited period of time that already has the goal of increasing consumer demand and growing sales. 

In simple terms, this technique will attract potential customers in various ways, for example sales promotion examples, namely discounts, special offers, free shipping, limited trial periods, loyalty programs, and many more.

Maybe some people will ask, what is the purpose of sales promotion?

The answer is actually quite simple, namely to make consumers interested in the product being marketed.

Sales Promotion Type 

Technically, there are several types of promotions that businesses can do. The types of sales promotions are as follows:

1. Physical Promotion 

Generally, this promotion will be carried out in a physical environment, for example special events such as exhibitions, bazaars, festivals, concerts, and others.

Later, the seller will open a stand or booth to offer products to consumers.

This type of promotion has the advantage of being able to reach consumers directly. 

In addition, buyers can also ask the seller at the place.

With this technique, it is hoped that there will be a connection between the seller and the buyer so that they can create a purchase transaction.

2. Traditional Media Promotion 

Next, the type of sales promotion is with traditional media. For example via print, such as newspapers, magazines, tabloids, or through electronics, namely radio, television. Not only that, you can also use banners, billboards, and others. 

The advantage of this type of promotion is that it can reach consumers widely. 

However, please note that this technique will be very expensive for the manufacturing process. 

3. Digital Media Promotion 

In this sophisticated era, sales promotions can also be done digitally.

Usually carried out through the internet and also social media, such as Instagram, Facebook, Twitter, and others.

The advantage of this digital media are that it can reach consumers from various circles widely with efficient time and cost. 

However, in terms of shortcomings, there are a lot of competitors in it. 

Sales Promotion Strategy 

If you want to promote in business, there are several steps that need to be considered.

The sales promotion strategies are as follows:

1. Choose the audience according to the target consumer 

The first step of sales promotion is to select the audience according to the target consumer. 

The trick is to understand more about the customers you already have. Then, you can send a survey about information related to them. 

After that, you will get a clear idea about the criteria of users who buy your product.

By considering these factors, you can focus your sales promotion on those who are really interested. 

2. Create rational goals 

An important step in sales promotion is rational goal setting.

As a seller, you must be able to determine exactly what you want to achieve when using this technique.

For example, you can map success or failure during business, and identify aspects that need to be changed and are considered less effective when doing business. 

3. Limit product availability 

In this day and age, FOMO or Fear of Missing Out is a trend that is sweeping modern society, especially in urban areas.

Of course, this can be a good strategy for your business.

These people feel they will "fear of missing out" or experience anxiety if they miss something interesting. 

Therefore, you can take advantage of techniques such as limited time offers, rewards with purchases, and more.

4. Promote widely and wisely 

The next step of sales promotion is to try to market the product widely and wisely. 

That is, as a seller you must know how to attract the attention of customers to the product. 

For example, by providing in-store signs, information on the company's website to creating print and online advertisements.

5. Offer real product value   

Next, make sure the products offered have value and benefits for consumers.

Usually, consumers tend to be more interested in products that can provide solutions to their problems.

Therefore, considering how to offer that value becomes an important step. 

6. Evaluate 

The last step of sales promotion is to evaluate. This of course can measure the results and then can be used as a benchmark or reference for making the next strategy. 

In addition, you must also ensure that the customer experience is the core component of any sales promotion designed.

This is because consumers are one of the targets of promotional success.

That was a brief review of sales promotion, from its definition to its strategy.