- One long-proven sales promotion technique is offering price cuts to customers when they buy a certain product, usually a new one. By offering a lower price, you encourage consumers to try your product over others that are more expensive. Different companies offer different types of price promotions. Some companies advertise discounts in newspapers and other media; others post signs advertising price cuts outside their business or in their windows. Another pricing promotion technique is called a "price pack deal" or "two-for-one" packaging where the company attaches an extra amount of the product to the original product without charging more. Other pricing promotions include offering mail-in rebates when consumers purchase a product and advertising or distributing coupons in your store or through the mail.
- Events promotions can be great techniques for companies that are interested in advertising their corporate identity. Large corporations often sponsor sporting events, music festivals or other events that are in line with their image. Events can be great promotional techniques because they attract a specific target market, whether it's golfers or teenage girls. For example, if your company sells energy drinks for athletes and you sponsor a 5k run in your area where your product is available to athletes and attendees for free, your target market of athlete consumers will appreciate your company's participation and may thereby become more interested in your product.
- Giveaways are relatively self-explanatory: you offer customers something for free in order to promote your product. Some companies offer premiums, which means customers receive something for free in exchange for buying your product. Makeup companies often offer "free gifts" as premiums when you make a purchase of a specific dollar amount. Other companies may attach a free product that is related to the product purchased, such as a free packet of seeds attached to a bag of garden soil. Some companies offer free giveaways of new products to the first 100 customers on a specific day; not only does this get people interested in the product, but it gets them in the store. In-store or mailed samples are another giveaway promotion companies can use.
Sweepstakes and Contest Promotions
- Sweepstakes promotions offer customers a chance to win a prize in exchange for purchasing a product. Prizes can range from something small, such as a gift card, to something large, such as cars or vacation packages. A related sales promotion technique is the contest, which asks entrants to create a jingle or perform another task in order to receive a prize or product.
- Ongoing promotions offer incentives for loyalty to a product or company. A coffee company might offer to stamp your perks card each time you purchase a coffee; after 10 stamps, you get a coffee for free. Frequent-flier miles, credit card bonuses and other bonuses that accumulate and eventually result in payoffs are other examples. Rewarding customers for their loyalty is a great way to keep them coming back to your store.