sales promotion​

Question 1

Coupons​

Answer 1

Money-off voucher
👍 may encourage purchases​

👎impacts profit if doesn’t cover cost​

Question 2

Free sample​

Answer 2

Often given with coupon​
👍 potential repeat sales ​

👎could impact profit​

Question 3

Competitions​

Answer 3

Prize draws​
👍 builds up marketing – thrill means more entrants​

👎impacts on profits​

Question 4

Money off discount

Answer 4

Percentage reduction
👍 encourages purchases​

👎profit affected if sales are low

Question 5

Loyalty incentive​

Answer 5

Points towards other product or free items​
👍 long term customer relationships established​

👎impacts on profit if too few sales generated​

Question 6

Buy-One-Get-One-Free​

Answer 6

Free product on purchase of a full price product​
👍 encourages additional purchases ​

👎 profit impacted if sales are low​

Question 7

Purpose of sales promotion

Answer 7

-To entice people into a shop where they may buy the product but other products also​
-To boost sales figures​
-To attract first time buyers​
-To sell off older or less-fashionable goods to make space for new items​
-To maintain customer loyalty​