What Is a "Consumer Sales Promotion"?

A consumer sales promotion influences consumer purchasing decisions and rewards customers for doing business with a company instead of its competitors. Companies have a variety of techniques from which to choose when engaging in consumer promotion.

  1. Significance

    • Consumer promotion involves providing incentives not only to influence consumer pre-sale purchasing decisions but also to reward consumers post-sale for purchasing products or services from a particular company.

    Types

    • Companies use various types of tools for a consumer promotion. The most common ones include coupons, rebates, promotional pricing, demonstrations, personal appearances, sampling and free trials.

    Function

    • The consumer promotion tools a company employs is contingent upon the overall objective. Companies often use coupons, rebates and promotional pricing to introduce a new product into the market, whereas demonstrations, personal appearances and sampling help build consumer awareness of a new or existing product.

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