sale promotion

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13 Terms

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definition

Sales promotion refers to short-term marketing activities that aim to boost the sales of a product or service quickly.
It involves offering extra incentives or special deals to customers to encourage them to buy immediately.

Simple meaning:

Sales promotions are temporary offers to push customers to make a purchase now rather than later.

Sales promotion complements advertising — while advertising creates awareness, sales promotion creates urgency.

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types: 1. Competitions and Challenges

  • Companies organize contests or challenges where customers can participate and win prizes.

  • These promotions create excitement and engagement, especially on social media.

  • Example:
    A photo contest where customers post pictures using the brand’s product and win gift vouchers.

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2. Product Bundles

  • Multiple products are packaged and sold together at a discounted price compared to buying them separately.

  • Bundling encourages customers to spend more while feeling they are getting better value.

  • Example:
    Buy a shampoo + conditioner combo for a lower price than buying each individually.

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3. Flash Sales

  • A flash sale is a special promotion where products are offered at heavily discounted prices for a very short time.

  • Creates a strong sense of urgency among customers to buy quickly before the deal ends.

  • Example:
    E-commerce websites like Amazon and Flipkart holding 24-hour mega sales.

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4. Free Trials

  • Customers are allowed to use a product or service for free for a limited time.

  • It helps people experience the product without financial risk, encouraging full purchases later.

  • Example:
    Netflix offering a 30-day free trial for new users.

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5. Free Shipping Offers

  • Businesses offer free delivery of products, often if the customer meets a minimum purchase amount.

  • This reduces customer hesitation over extra delivery charges and encourages larger orders.

  • Example:
    Free shipping on orders above $50.

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6. Free Products with Purchases

  • Customers receive a free product when they buy another item.

  • It adds extra value and motivates customers to choose a brand over its competitors.

  • Example:
    Buy a moisturizer and get a face wash free.

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7. Early-Bird Specials

  • Special discounts offered to customers who buy early, often before a new product officially launches or during limited periods.

  • This rewards quick decision-making and increases early sales momentum.

  • Example:
    20% off for customers who pre-order a smartphone before launch day.

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8. BOGO Promotions (Buy One, Get One)

  • A very popular type where customers buy one item and receive another free or at a discount.

  • BOGO deals create excitement and can quickly move inventory.

  • Example:
    Buy one pizza, get another free.

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9. Coupons and Vouchers

  • Discount codes (online or paper-based) given to customers to redeem at checkout.

  • Coupons drive people to make purchases they might otherwise delay.

  • Example:
    A coupon code offering 15% off on your next online order.

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10. Upselling Promotions

  • Sales techniques where customers are encouraged to buy a more expensive version or add upgrades.

  • Promotions offer discounts or deals that make the upgrade seem more attractive.

  • Example:
    Upgrading from a basic coffee to a larger size for only $1 extra.

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11. Subscription Promotions

  • Discounts or bonuses for customers who commit to subscribing or signing up for regular services.

  • It builds long-term customer relationships.

  • Example:
    10% off for customers who subscribe to a monthly beauty box.

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12. Donation-Based Promotions

  • For every purchase made, a portion of the proceeds is donated to a cause or charity.

  • Encourages socially-conscious customers to buy while feeling good about contributing to a cause.

  • Example:
    “Buy a T-shirt and we’ll donate $1 to children's education.”