The Right Sales Promotion Methods for Every Sales Goal

     

Published: March 2, 2020

Getting new customers or repeat orders from past buyers can be a challenge. Sales and promotions are practical tools for not only drawing attention to your products and services, but also for providing an incentive for people who may be hesitating to make a purchase for a variety of reasons.

Sales and promotions are useful for the obvious reason that people like a discount. However, the limited time that most offers are available also works because some people hate the idea of missing out. Others may be stuck in a holding pattern of reviewing different options, and a deadline will help them reach a decision. In fact, almost half of all shoppers said a discount has sped up their purchasing decision!

Like everything else in marketing, sales promotion methods work best when you have a plan and some fresh ideas. Here’s what you need to know.

Creating an Effective Promotion
Sales promotion methods are more than just discounting products or services and waiting for the customers to roll in. To get the results you’re hoping for, you’ll need a plan. Start by setting a goal. Do you want new customers? More frequent purchases? Greater volume in each purchase? Bring back old customers? Increase business during traditionally slow times for your company? Once you know what you’re trying to achieve, you can choose an offer that will help you meet that goal. Next, we’ll go over common types of offers and how they work so you can match one up with your goal. 10 Common Sales Promotion Methods Depending on which segment of your audience you’re trying to motivate and where you’re trying to drive sales, try one of these offer types to get the best results.
  1. Discounted Products. Everyone loves a bargain and discounts are a great way to boost your overall sales volume, entice new customers, or motivate repeat buyers. Make sure your discount is enough to motivate, but not so steep that it cuts into your bottom line. It’s also important to make them rare or rotate which products are discounted so you retain that sense of urgency.

  2. Free Shipping. Almost 60 percent of online shoppers are motivated by free shipping and nearly half of all in-store shoppers are, too. Sweeten the deal by providing free returns as well. These promos are perfect for new customers who are on the fence as it removes the risk of being dissatisfied.

  3. Flash Sale. These are similar to discounts, but for a very short time frame, usually a few hours. These are the right choice for moving excess stock or motivating buyers during a typically slow time. Make them more enticing with eye-catching visuals that generate excitement and create a sense of urgency.

  4. Buy More, Save More. For example, buy two, get one free, BOGO, etc. Not only will this promotion help you move more products, but it will also help customers who are concerned about price as everyone loves a freebie. This kind of promotion is great to encourage repeat buyers or to bring dormant customers back to life.

  5. Giveaways. Again, everyone loves a freebie! Samples, trials, and other risk-free ways of giving your products a whirl help expand your customer base to include the most hesitant shoppers. If your products or services aren’t something that can be given away, consider small, branded items like keychains, magnets, and pens. These help lift brand recognition or entice a purchase when given away with an order.

  6. Loyalty Rewards. If you’re hoping to encourage repeat business, this is the sales promotion method to choose. Points that can be traded in for cash discounts or free products are great for companies with products or services with a wide variation in cost as they can encourage larger purchases while still rewarding small ones. For more regularly-priced products or anyone in the service industry, punch-card systems can reward customers after a certain number of visits.

  7. Coupons. Just like a discount, but with a bit of exclusivity built in. Along with all the incentives of discounted products, coupons that aren’t available to everyone are very motivational and can be a great way to repair relationships with unhappy customers in a pinch.

  8. Competitions & Contests. If you’re trying to drum up some online excitement and engagement, gain followers, and encourage email signups, contests and competitions are the way to go. Make sure the prize is very exciting--you only need one so this should be doable--and be sure to spread the word far and wide to make it worth it for you.

  9. Price Matching. If the competition in your industry is steep and you’re struggling to set yourself apart, price matching will even the playing field for shoppers and give you an opportunity to win their business with your excellent service. This is a more subtle sales promotion method designed to build repeat business as once people are happy working with your company, they won’t have to worry about sacrificing your service for a lower price elsewhere.

  10. Holiday Promotions. Don’t forget to capture the attention of holiday shoppers with a budget to spend! Most people are ready to shop around holidays and are waiting for someone to get their attention. In most cases, you won’t need a steep discount. Instead, think creatively and advertise your promotion in a memorable way.
Making the Most of Your Promotions
Offers are an excellent way to entice a variety of buyers to choose you. Keep in mind that your sales promotion method should be closely matched to your goals to get the best results. Whether you’re trying to create a sense of urgency to motivate a high volume of sales, or you’re playing the long game and trying to build a stable base of loyal customers, the right method is waiting for you to jump in!

If you’re not sure which type of promotion is right for you, or you’re worried about spreading the word to enough potential customers to get effective results, we can help! Contact us to learn more.

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Tags: Marketing, Sales and Promotions
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