Consumers Promotions are sales strategies that encourage customers and prospects to buy a product or service.

Coupons

Coupons are certificates that entitle customers to cash discounts on goods and services.

Examples: 20% off coupon, buy two get one free coupon


Premiums

Premiums are low-cost items given to consumers at a discount or for free.

Example: buy $50 worth of murchandise and get a free tote bag

Deals

Deals or price packs offer short-term price reductions that are marked directly on the lable or package.

Example: two deodorants bond together saying on the package "Buy 2 for the price of 1"


Incentives

Incentives are used to promote many products because they create customer excitement and increased sales. They are products earned or given away through contests, sweepstakes, and rebates.

Example: McDonald's monopoly game


Product Samples

A product sample is a free trial size of a product sent through the mail, distributed door-to-door, or given away at retail stores and trade shows.

Example: doctors give away free samples of medicine to see how patients like it

Sponsorship

Sponsorship has become an intregral part of promotion. The sponsoring company pays a fee for the right to promote itself and its products or services at or on a set location. The location can be a physical event, an event, a group, or a person.

Example: Nike sponsors Tiger Woods

Promotional Tie-Ins, Cross-Promotion, Cross-Selling

Promotional tie-ins are also known as cross-promotion and cross-selling campaigns. These activites involve sales promotional arrangements between one or more retailers or manufacturers. They produce mutually beneficially results. Partners combine their resources to conduct a promotion that will conduct additional sales for each partner.

Example: offering an incentive for consumers to go online to make another purchase from an online marketer

Product Placement

Product placement is a consumer promotion that involves using a brand-name product in a movie, television show, sporting event, or even a commercial for another product.

Example: a movie having someone use AOL in it

Loyalty Marketing Programs

Loyalty marketing programs, also called frequent buyer programs, reward customers for patronizing a company.

Example: frequent flyer program for the airline industry

Online Loyalty Marketing

Online versions of loyalty marketing programs have also became popular.

Example: Yahoo! awards points to web surfers who buy from certain retailers

Point-of-Purchase Displays

Point-of-purchase displays are displays designed primarily by manufacturers to hold and display their products. They are used in high-traffic areas and they promote impulse purchases.

Example: giant cereal box to set the cereal for sale at the end of an aisle