Application of sales promotion methods. Price and non-price sales promotion as a method of activating the sale of pet products

To accelerate the sale of their products, companies use various methods sales promotion. This set of actions is designed to increase consumer demand in a short time.

concept

Today, competition in any market is so high that enterprises are forced to apply sales promotion methods and sales of new products. Measures aimed at accelerating the sale of products should be carried out constantly. There are many ways in which the action of which influences potential consumers and leads them to desire to purchase a particular product.

Sales promotion is a set of activities necessary for every company interested in the successful promotion of its products on the market. Through the introduction of various programs, motivation aimed at the fastest sale is also received wholesale customers, sales representatives and sales consultants.

Tasks

Launching an active process of selling goods can pursue the following goals:

  • sales of a large volume of products;
  • introduction of a new brand (product, manufacturer) to the market;
  • increasing the effectiveness of promotional activities;
  • attracting buyers' interest in the company's products.

Tasks of motivating intermediaries:

  • inclusion of products in a permanent assortment;
  • regular orders in large volumes.

Working with personnel directly at retail outlets is aimed at creating a personal interest among employees in order for the goods to be sold as soon as possible.

Advantages

Sales promotion has a number of positive aspects:

  • the effect comes very quickly;
  • using various methods, you can attract any target audience;
  • with financial point in terms of sales promotion activities available to both large and small organizations;
  • motivates to make the next purchase;
  • sales volume increases sharply;
  • keeps customers in good shape, promotes excitement;
  • supports the work of intermediaries;
  • contributes to general development trade.


disadvantages

The disadvantages of stimulating sales of goods include:

  • a short period of action, advertising support is required to increase it;
  • after the completion of various promotions, sales volume, as a rule, drops sharply;
  • with the continuous use of stimulation methods, they lose their effectiveness;
  • some nuances are established and regulated at the legislative level;
  • low probability of attracting new regular customers;
  • a high percentage of fraud (for example, theft of incentive prizes by intermediaries);
  • if the buyer has formed stable preferences, he is unlikely to respond to the proposals of other companies.

Types

To date, there are three main incentive mechanisms that encourage purchases:

  1. General.
  2. Selective.
  3. Individual.

The task of general stimulation retail sales is the revival of trade. It is directed to everything. target audiences and combines the complex application of several methods: discounts, tastings, coupons, lotteries, gifts, etc.

Selective sales promotion does not require strong advertising support. The use of this type involves the placement of goods separately from the general display, for example, at the entrance to outlet, in the middle of the hall, in the aisles between the shelves.

Individual sales promotion usually comes from the manufacturer. It is held in the premises intended for viewing products, and involves the use, for example, of an unusual packaging design containing information about bonuses, competitions, etc.


Incentive methods, their features

To maintain the interest of customers in the products, it is necessary to quality advertising. For it to work as efficiently as possible, it must be combined with other ways to quickly promote trade.

Effective methods to stimulate the sale of goods are:

  1. Distribution of free samples. This method helps to attract new customers by giving them the opportunity to actually try out the product and evaluate it objectively. The disadvantage of the method is that the manufacturer cannot predict in advance the degree of success of the sale of goods. In addition, admission requires significant financial investments.
  2. Demonstration of goods (tasting, if we are talking about drinks and food). On the one hand, the consumer has the opportunity to evaluate the product, but on the other hand, this method affects a small number of people and requires considerable financial outlays.
  3. Mailing flyers containing information about discounts and benefits. Advantages: excellent susceptibility, unobtrusive reporting to the potential buyer of information about the benefits of the acquisition. Disadvantages: the peak sales volume does not reach immediately. The content of the offer should be given special attention - each line of the text should be written correctly and motivate the purchase.
  4. Placing information about discounts in printed publications. Positive aspects: the method takes into account geographical features and most fully covers the desired target audiences. Nevertheless, the degree of susceptibility of this method is low.
  5. Money Back Guarantee. The method strengthens the reputation of the company, makes its image positive in the eyes of customers. By creating the image of an organization that is confident in the quality of its products, new consumers are attracted. The main drawback is that sales volumes increase slightly.
  6. Purchase Gift. The method does not require significant financial investments, and the level of sales increases rapidly. But regular customers powerful motivation is not needed, besides, gifts do not always reach the end consumer in full due to the high percentage of thefts by intermediaries.
  7. Compilation of a set of several products sold at a discount. Effective Method stimulating sales acceleration. The buyer can evaluate several products of the company at once. Negative moment - reduces the level of prestige of the enterprise.
  8. Contests, lotteries, games. These methods motivate people to make a purchase due to the appearance of excitement, an element of rivalry. Consumers develop trust in the brand. The disadvantage is that in the end, a limited number of people take part in the events, and the implementation of ideas is very expensive.


Forms of incentives

The greatest efficiency is achieved by using several methods simultaneously. A complex approach involves their combination in the following forms of sales promotion:

  1. Price. It is a temporary decrease in the price level to such a limit that the volume of sales increases sharply, but the company does not suffer serious losses due to a decrease in the cost of goods.
  2. Stimulation in kind. The consumer receives a reward for the purchase made (prizes, coupons, samples).
  3. active offer. Includes all methods that involve the participation of gambling-minded people.
  4. Stimulation of intermediaries. Techniques aimed at creating a stable interest among sales agents and sellers in a commercially successful result.
  5. Advertising in place. It implies bright design, eye-catching posters, noticeable signs, etc.


Features of the implementation of activities

To achieve maximum efficiency when organizing sales promotion, the following nuances must be taken into account:

  1. Too little financial investment will not bring the desired result. It is important to apply the methods in a complex way; the implementation of one sales volume will not significantly increase.
  2. When developing a program, it is important to consider the timing of its implementation. With a short duration, it will not be possible to attract the maximum number of potential buyers. A protracted period of shares is also ineffective.
  3. If possible, it is recommended that incentives be tested before they are introduced on a large scale. This is necessary in order to predict the result.
  4. After the events that encourage people to buy are over, it is important to evaluate the degree of their effectiveness.


Finally

In conditions modern market maintaining competitiveness is a must. There are many ways to draw attention to the company's products of potential customers, but their choice must be justified, and the implementation carefully planned. It is important to remember that the method should preserve and strengthen the positive image of the company, and not just increase sales.

Hello, dear readers of the blog "School effective sales». Sales promotion creates interest and demand for the product among potential customers, ensures sales growth and ensures the spread of information about the benefits of your product.

Sales promotion includes a wide range of activities aimed at buyers, retailers and wholesalers. His feature is the trend of short-term and implementation directly at the point of sale. In some cases, this is the last opportunity for the seller to influence the consumer.

Sales promotion is the application of an additional incentive to buy right now or in the near future. It becomes especially relevant when there are many competing products on the market with approximately the same consumer properties or when the product hits the market.

Sales promotion activities consist of offering a commercial benefit to those who purchase a product on agreed terms.

Sales promotion methods

Typically, sales promotion involves the use of certain methods to encourage a person to make a purchase right now. Let's consider the main ones.

Giving away free samples encourages the consumer to try the product with the hope that he will like it. Such a promotion must be large enough to justify the cost of its implementation (production of special trial packs and loss of sales, since the client uses a free sample in mini format instead of buying the original product).

Discount coupons. motivate consumers to try a particular product and are a reason for retailers to trading network purchase a large quantity of a stock item from a supplier in anticipation of increased demand.

The supplier can arrange the display of goods at a discount separately from the main showcase. Sales managers should at the same time tell the sellers about the essence of the ongoing promotion.

A coupon that entitles you to receive a discount on the purchase of a particular product. Coupons can be distributed by mail, given as a gift when buying other goods, placed in magazines and newspapers.

The redemption percentage varies depending on the distribution method. According to statistics, about 2% of newspaper coupons are used, about 8% of coupons sent by mail, about 18% of coupons attached to goods.

Coupons can be effective in stimulating sales of well-known brands and attracting interest in new products.

Cash compensation (discount) from the manufacturer. This is a discount that is given after a purchase is made. The buyer sends the manufacturer a document confirming the purchase (a copy of the cash register and sales receipt), and receives a refund of part of the amount paid by postal order.

Goods at a reduced price (markdown). This could be offering a product at a discounted price through special packaging (for example, two packs for the price of one) or as a set of related products (for example, toothbrush and toothpaste). Offering a product at a reduced price can stimulate short-term sales growth more effectively than coupons.

Prizes (gifts). These are goods that are sold at a relatively low price or are given away for free as an incentive to purchase another, usually expensive or technically sophisticated, product.

The gift can be inside the package or attached to it from the outside. The packaging itself can also act as a premium if it is a reusable container.

A free postal bonus is a product that is received by consumers who have participated in a promotion, such as collecting packaging fragments or barcodes from products.

Prizes (competitions, lotteries, games). This is a competition in which each buyer is given the opportunity to win a valuable prize. As a rule, in order to participate in the competition, the consumer needs to submit something - a poem, a project, a value proposition. A special jury selects best work and determine the winner.

The lottery is held among buyers who have indicated their desire to participate in the lottery (for example, by filling out a special questionnaire or registering on the site). In the course of the game, with each purchase, the consumer receives something - bingo numbers or missing letters that can help him win a prize. Prizes attract more attention than coupons or small premiums.

Rewards for loyalty to a particular seller. These are discounts or gifts to consumers who regularly use the services of a particular seller or group of sellers. Bonuses accumulate, and then they can be exchanged for goods in a specialized center or through a catalog ordered by mail.

Warranty- a written or oral assurance from the seller that the product will be usable for a certain period of time, and that otherwise the seller will restore the quality of the product, exchange it for another, or return the money.

incentive lottery. The manufacturer offers the consumer to collect and send by mail a certain number of labels, caps, coupons in exchange for a gift and participation in the drawing of valuable prizes. The combination of the possibility of participation in the draw and the favorable price is the reason for buying such an item.

Limited Time Sale at a Reduced Price which is indicated on the packaging. Such a promotion is often carried out in response to the activities of competitors. Prices for products of popular brands are reduced so that the consumer remains committed to the product and does not try the products of competitors.

Sales promotion examples:

  • 10% discount on goods;
  • 10% discount on the next purchase;
  • buy 5 coupons and get a package as a gift;
  • buy 10 packs and get the 11th free;
  • buy today and take part in the lottery.

Advertising is used in certain promotional activities, such as lotteries and contests. In turn, sales promotion can be used to support advertising campaigns. Advertising and promotion can work together to increase the effect on the consumer when one type of promotion increases the effectiveness of the other.

Sales promotion (sales promotion) is used in the following cases:

  • when launching a new product on the market
  • to conquer new markets
  • to stimulate sales during certain periods (for example, during a seasonal recession)
  • to encourage sellers to sell certain products

Sales promotion includes:

  • change in pricing policy
  • Special offers
  • packaging and product presentation
  • promoting sales in retail stores
  • organization of public relations

Manufacturers can encourage outlets to buy their product in the following ways:

  • provide discounts for the purchase of a certain batch of goods
  • give an additional amount of goods in the form of a bonus
  • providing gifts for a certain number of orders

Sales can be stimulated during periods of a possible drop in demand for a product (for example, the summer months) or intense demand (for example, New Year's holidays).

You can also stimulate sales of a particular product by motivating sellers. Such situations arise when demand for a product falls due to the fact that a similar product from competitors is cheaper, or competitors have brought a novelty to the market.

To direct the efforts of sellers in the right direction, you can use the introduction of a bonus system or earn points for the sale of a particular product.

When using a sales promotion system, you need to remember that additional sales as a result of promotion are possible only at the expense of additional costs. If it turns out that the costs will be greater than the revenue, then the sales promotion activity has not justified the task assigned to it.

By lowering the price of a product.

Today you will learn:

  • How can you stimulate the sale of goods by changing the price of products;
  • What actions can scare off buyers;
  • How to calculate the effectiveness of price promotions.

Why you need to reduce the cost

Every sales entrepreneur faces periods when customers show little interest in products.

This may be due to various reasons:

  • seasonality of goods;
  • Last year's issue, which is no longer in vogue today;
  • Active actions of competitors, etc.

To avoid losses, the firm often comes to the idea of ​​stimulating sales on its part. Contests, lotteries are held or discounts are offered. Everything that is associated with a price reduction is a price motivation for buyers.

If the seller cannot (or does not want to) improve the quality and other characteristics of the product, the best option for increasing sales is to change the price. This is convenient, since the method does not require lengthy preliminary preparation, and in the future it can bring good profits and many new customers. The main thing is to organize this process correctly.

How can you increase demand for a product?

Vendors and manufacturers have several tricks in their arsenal that they can use to attract customers.

Sales promotion methods include:

  • Reducing the price to a level or even below it. This event, at first glance, seems unprofitable. However, it will bring profit in the future with a large flow of buyers. Here the benefit is measured not by price, but by quantity;
  • Discounts. They are very different. Can be provided to all buyers or a select category of persons;
  • Use of plastic cards. Discount cards give the right to a permanent discount at this seller, gift cards allow you to receive a card as a gift for the purchased product and use it at the next purchase;
  • Refunds on purchases. After the funds are credited to the buyer's account, some of them are transferred to the buyer's details, thereby compensating for the costs;
  • Coupons. Usually issued for the purchase of a product and offer to purchase the next product at a reduced price.

Discounts are what attracts buyers most often.

Their list includes:

  • Seasonal. For the sale of products, the presence in the warehouse of which is considered inappropriate for the coming months;
  • Festive. On the eve of the holidays, the emphasis is on goods, one way or another, affecting the holiday theme. Selling a large number of goods on the days of events, you can increase the income of the company;
  • For illiquid goods. Equipment that has been on the counter for a long time can be sold most often only at a price reduction;
  • wholesale. If the buyer buys, for example, three packages, he receives a discount.

Classification of price motivation of buyers

Depending on the time of the promotion to reduce the price, price policy may be:

  • Seasonal - for a certain period of time of the year;
  • Regular - constant for a certain type of product;
  • One-time - within a week they set a different cost for the goods;
  • Associated with a specific date - the anniversary of the manufacturer.

By focusing on specific consumers, a price reduction is distinguished that motivates a purchase:

  • Buyers of competitors (the price is set lower than that of other sellers);
  • Potential buyers;
  • existing consumers.

Also, a price reduction can be initiated:

  • retail owner;
  • The manufacturer of the goods (in this case, he provides a certain discount to the seller, who lays part of it in the cost of the goods);
  • Owner and manufacturer.

Why pricing policy can negatively affect the seller

An important point in carrying out cost reduction is its expediency and competent presentation to the end consumer.

There are several mistakes sellers make:

  • Frequent promotions. If the seller cuts the price frequently enough, the buyer will find the regular prices too high. This will lead to an outflow of customers and a decrease in demand;
  • Big discounts can undermine the company's reputation. Not everyone perceives discounts as a gift. Someone treats them dismissively and considers them the basis of the company's low reputation. Also, the product itself here may suffer in the eyes of consumers. Often a low price is perceived as an indicator of poor quality;
  • Decrease in price at a loss to the firm. Such a policy should be extremely rare and have some real basis. Just for the purpose of attracting a buyer, you should not use it. This can also lead to a further outflow of funds from the company in the event of a failure of the ongoing action.

What is the situation with non-price regulation of demand?

Attracting buyers without the use of price manipulation refers to non-price methods.

They include:

  • Issuance of a gift - the transfer of some kind of souvenir for a purchase or a sample of a product;
  • Active stimulation - production and distribution of promotional materials on leaflets, contests, lotteries and various events involving the direct participation of consumers;
  • High-quality service - issuance of a free warranty, assembly of goods and delivery, the presence of special centers that, in the event of a breakdown, make repairs free of charge.

These methods involve a psychological maneuver. The seller makes a pleasant surprise to the buyer, who subsequently cannot refuse to purchase the purchase. This includes all kinds of food tastings in supermarkets, where you can try out the goods.

Non-price incentives pass through:

  • Contact of the seller with the buyer;
  • SMS alerts;
  • Zvonkov.

This type of demand regulation can take the form of:

  • Exhibitions;
  • Presentations;
  • Some kind of presentation;
  • Transferring the goods to the client for testing (the buyer pays for part of the purchase and uses the product for some time. If everything suits him, then full payment occurs).

The effectiveness of the price method

  • The amount of the discount must be substantial.. Establishing a discount of 1% of the cost of the goods will not lead to a flow of buyers. It should be from 5 to 70% depending on the product category;
  • Price reduction period. Here it is important to think about the seasonal product and the one that has been stale for a long time. In order for the goods to leave the shelves, it is necessary to set a discount at the very time when there are very few buyers;
  • The result of the action in relation to the firm. Lowering the price may, on the contrary, contribute to the outflow of profits in the event that buyers cease to trust you;
  • Calculation of potential profit. In order not to lose your own money invested in the sale of goods, you need to correlate all the indicators and find out whether the price reduction will be so profitable;
  • Increasing the discount at a high markup. If you have an airbag in the form of a large surcharge, then you can significantly reduce the price for the final consumer. You will only benefit from this.

Anastasy Klimin An excerpt from the book "Sales Promotion"
Magazine “Commercial Director. Sales & Marketing Management »

      Initially, incentive methods in retail trade were formed on the basis of discounts. Surveys conducted today also show that price is usually the most important factor for the buyer when choosing goods and stores. We are publishing an excerpt from the book "Sales Promotion" by Anastasia Klimina, head of the advertising department of the Telemax electronics supermarket chain, dedicated to the classification of methods of price influence on the buyer.

Having decided to conduct sales promotion activities, the seller must answer for himself first of all the question: “Will I manipulate the price, that is, provide discounts, or is this unacceptable in the current situation?” These are the questions you need to answer to make sure in the effectiveness of pricing methods.

1. Can we provide a significant discount that will have a significant impact on the purchase decision? For each company and product, the amount of a “significant” discount is individual. For household appliances, for example, it can be 10%, and for visiting a restaurant - at least 25%. The value of this discount is influenced by the size of competitors' discounts, buyer's expectations and the amount of value added in the price of the goods.

2. Will the normal price system be destroyed and will consumers begin to perceive regular prices as inflated? With frequent promotional activities through discounts when they are not available, buyers may perceive prices as too high. In such a situation, consumers begin to buy goods only during the discount period, building up stocks.

3. Will the image of the company and the product worsen? It is known that discounts have a negative impact on the image of the product, giving it a shade of poor quality, "second-class".

4. Will we get a decline instead of the predicted increase in profit? Forecasting an increase in sales, we must calculate the additional amount of profit. In a situation of inelastic demand, when the buyer is insensitive to price changes (for example, due to non-seasonal this product), you need to be very careful when assigning discounts so that the amount of profit received after their introduction does not decrease. This does not apply to situations where we are ready to lose part of the profit or all of the profit, or even incur losses, just to make at least some sale of the goods.

Let's note the following price methods of stimulating end buyers and types of discounts.

"Losing Leader"- goods in retail store, at which a deliberately low price is set at the level (or below) the cost price for the purpose of its advertising, which should attract customers to the store. This method, for example, was used when opening a department store non-food items"Star League" in St. Petersburg. Over the course of three months, six two-week sales of low-value everyday goods at very low prices were held: toilet paper, detergents and powders, shampoos, soaps, etc. To disseminate information, mail advertising was used "in every mailbox." Each week, the postal service distributed 10,000 flyers announcing the ongoing sale on a rotating address program for nearby homes.

Selective (discriminatory) discount provided when the consumer fulfills a certain condition, serious or comic. Its wording depends on the ultimate goals of the event. If the goal, for example, is to advertise a brand through " word of mouth”, then the discriminatory condition may not be particularly serious. For example, the owner of a pub in one of the German cities provides a 50% discount on sausages to all bald visitors. He explains this by saying that "bald people have a very hard life."

Discount at the time of purchase. To minimize sales losses a large number discounted goods, where price reductions are not accompanied by a corresponding increase in demand, retailers limit the duration of discounts to a short period of time. The advertisement may announce a "happy hour", during which a large discount will be made on a certain product. This hour may or may not be known in advance, as well as the type of product on which the discount is announced. The advertised hour is usually morning or night when there are few buyers. The hour is most often not reported when the product is announced, so that buyers wait for information and try to follow the store's advertising. This practice is called flash-selling (from English - flash). Here is an example of its application: Lenta hypermarkets hold happy hour every Tuesday and Thursday from 10 am to 11 am. What products will be put up for sale is not announced in advance, but the time is known in advance, and promotions are held regularly.

Seasonal discount. One of the main types of discounts is a discount on goods whose season is running out. The most common types of goods for seasonal sale- clothing and footwear. However, the widespread use of seasonal discounts is associated with national characteristics of consumer behavior. In Sweden, for example, it is customary to update your wardrobe every 6 months, but not in Russia. A seasonal discount often coincides with a discount for unfashionable and obsolete goods. For example, the Sportmaster chain holds a campaign called "Prices in half" every July. There is a 50% discount on a number of summer products.

Discount on unfashionable, morally or physically obsolete goods. It may or may not be related to the end of the season. Main criterion- the end life cycle product due to age. Such discounts are usually the largest in size - up to 99%. When expiring, a fixed price for all items also applies. For example, in Swedish food supermarkets, the action "All goods for 10 crowns" is popular. At the front of the trading floor are pallets of goods that expire tomorrow or this week. All of them cost much more than 10 crowns, but in order to sell a practically unprofitable product, the supermarket sells them all at one low price.

Holiday discount. Giving discounts for the holidays is a way to lure customers into the store at a time of increased demand for gifts. Shoppers are already used to this and during the holidays are more likely to purchase goods in stores where there are discounts. Many store managers believe that it is not necessary to provide discounts on holidays - the goods will be bought anyway. But if they don't, the customer may fall out of love with their store.

The situation with a holiday discount can be arranged in the opposite way. If we need to justify the introduction of a discount, we can come up with a holiday. The calendar allows you to do this without much difficulty. You can provide discounts in honor of Teacher's Day, Cosmonautics Day, Queen of England's birthday, etc. The main thing is to come up with an occasion that can be called a holiday, which provides scope for the imagination of advertisers.

Discount for large volume purchase. In stores selling small wholesale batches of food and household goods in packaging (cash & carry), in which the goods are stored directly in trading floor, discounts are popular when purchasing various volumes of goods. Such stores are popular, for example, among people who rarely visit stores, have a large family, or are preparing for a holiday. Thus, in Megamart cash & carry stores in St. Petersburg, two prices are always indicated on the price tags - for a unit of goods for a regular purchase and for small wholesale. It also indicates how much the discounted price starts from, for example, from two cans or four pieces.

Another method of price promotion is coupon. This is a document certifying your right to receive a discount, a refund upon presentation, or establishes a fixed price for the goods indicated in it. The coupon may contain a percentage or fixed discount in monetary units. Retail gives a discount when buying in exchange for a coupon, and manufacturers transfer money when sending them a coupon by mail. Coupon distribution methods are publication in a newspaper or magazine in the form of an advertisement for a discount; distribution by means of a leaflet in mailboxes or at the point of sale; issuance upon purchase of a certain product.

It is known that many buyers in the West are literally obsessed with collecting coupons. They specifically study all advertising publications and, before going to the store, be sure to check if they have a valid coupon for the required item.

When issuing coupons, it should be taken into account that they can be presented for redemption. If not all, then very many, and the goods may not be enough. Once, the Technoshock electronics store chain in St. Petersburg placed a discount coupon for the purchase of an electric razor in the upper right corner of the front page of the Extra-Balt advertising newspaper. The circulation of the newspaper was then 750 thousand copies, the place for placing the coupon was No. 1 in the newspaper. Not only was there a queue for electric shavers in the store, and there weren’t enough of them (this happened on February 23), but also enterprising guys “cheaply” sold coupons for electric shavers at the checkout...

Recommended price. To stimulate end-customers, manufacturers are increasingly indicating the recommended price on the packaging. This is not always profitable for trade, but it encourages the buyer to expand the search for goods at a specified price.

Widespread as a means of attracting regular customers are plastic discount cards. In addition to stimulating through discounts, they perform another important function - instilling in the mind of the buyer your trademark. Plastic cards can perform many tasks depending on the presence of an individual number on them, the name of the owner, embossing (embossed number), magnetic stripe, signature strip, PIN code (numerical password for gaining access to a telephone, computer and other similar network), scratch-stripe (erasable panel), barcode and other parameters.

Further development of the plastic card method leads to the emergence of customer clubs and discount systems. Such organizations unite several companies that issue one card for all and to it - the corresponding catalog. The catalog lists all participants in the system and the discounts they provide to cardholders.

When making a decision to issue cards, the management of the company (shop) faces the following problems.

1. The amount of the discount. What is the amount of the discount provided? Does it depend on the amount of the purchase? Will the discount increase depending on the amount of purchases made over a certain period of time and how to reflect this on the card and in the accounting system?

2. Map distribution system. When and where does a potential buyer receive a card? If this happens in the store: before the purchase or after it? Will it be installed minimum size purchase, after which the buyer receives a card? What other places and ways are there, besides the store, where we can find a potential buyer and hand him a card? Will we sell cards to everyone? If so, where and at what cost?

3. Map options. Will the card be named? Are we afraid of fakes and how many degrees of protection will we apply? Will we keep a record of all purchases for each card or will we limit ourselves to only general analysis shopping efficiency? How important is the image of the card (quality of design and printing)

4. Circulation. It is calculated depending on the choice of distribution system, on the basis of which a forecast of the number of distributed cards for a certain period of time is built, the amount of initial investment for the purchase of equipment for card accounting and staff training, the cost of a card unit depending on the circulation, the cost of placing one order (travel, delivery circulation, etc.), the time of execution of the order.

Let's look at an example of the issuance of various cards by the Zvezdnaya Liga store chain, which sold audio and video equipment. Since 1999, the network has been issuing bearer cards without any additional parameters, except for the size of the fixed discount amount, the address and phone number of the store. Three methods of map distribution were used.

  1. Plastic cards for store customers. Awarded before or after the purchase at the discretion of the seller.
  2. Plastic cards distributed by mail in the spring of 1999 to subscribers of a number of newspapers and magazines: Delovoy Petersburg (3882 pcs.), Cosmopolitan (147 pcs.), Liza (30 pcs.), Domovoy (733 pcs.), "Home Hearth" (130 pcs.), Burda (322 pcs.).
  3. Plastic payphone cards of Saint-Petersburg Payphones OJSC, which were sold at the points of sale of payphone cards in June 1999.

Calculation results economic effect for maps of five types for the period from April 1999 to March 2000 inclusive are shown in the table. Several provisions related to the issuance and distribution of maps should be noted. The response to the card ranges from 0.4 to 26% of the circulation, the average figure is 9% of card recipients made a repeat purchase.

Map type and distribution Circulation, pcs. Number of purchases, pcs. Share of purchases from circulation, % Card revenue, $ Profit before circulation costs, $ Circulation costs, $ Effect (additional profit), $
01M, through the store 4000 1034 26 113 255 16 988 1040 15 948
02M, through the store 4000 1047 26 141 405 21 211 2560 18 651
03M, through the store 10 000 806 8 126 775 19 016 3080 15 936
01R, by subscription 5244 32 0,6 3014 452 2307 -1854,9
01T, payphone 10 000 36 0,4 6236 935 4100 -3164,6
Total 33 244 2955 9 390 685 58 603 13 087 45 516

The key issue is distribution. It is difficult to find another place, except for a store, where we would meet with a high degree of probability people who are ready to make a purchase of goods in the near future. Distribution to subscribers and other options do not give such a return as handing out a card in a store: these circulations do not pay for themselves in a year and are unlikely to pay off in the future.

Cards distributed in the store quickly pay for themselves by accurately hitting the target group. Distributing cards in a different way is not as effective and requires additional costs for advertising support to attract the cardholder to the store. Due to their low efficiency, such cards should be very cheap to produce and distributed in print runs that are much larger than "store" ones. Based on the return ratio per store card, 40-50 others should be distributed.

In general, it should be noted that circulation should be made as large as possible, thus reducing the cost of issuing one plastic card. At the same time, as practice shows, the design of the cards practically does not matter to the buyer (the number of colors in printing, foil, gold, etc.). It is important in terms of promoting the brand name and image and key advertising elements such as the slogan, brand colors and, if the budget allows, the image.

Based on the analysis of the dynamics, we can say that the cards for this product can be used at least more than a year, the dynamics of purchases on them obeys the general laws of seasonality of demand for the group of goods under consideration, 50% of purchases on cards for this product occur in the next three to four months.

Of all the problems associated with the issuance and distribution of cards, we focus on the problem of substitution. Gradually distributing cards to store customers, the company issues them not only to those who will hesitate in the future in choosing the next place of purchase, but also to obviously “own” customers who, even without a card, will only come to this store. First of all, these are people who live or work near the store and visit it “on the way”, because it is so convenient for them. Such buyers do not give an increase in repeat purchases.

Gift cards. A gift card is a store's internal electronic money, similar to credit cards (see below). Attributing them to price or non-price methods is one of the controversial issues. A gift card is given to the buyer when purchasing a certain product. It has a face value, for example, 1 thousand rubles. The buyer can spend money from the card to purchase goods in the store. Gift cards are essentially similar to gas station fuel cards.

Sale on credit refers, in our opinion, to price methods of stimulation, although points of view on this issue may be different. In the case of a sale on credit, the buyer receives a bonus in the form of a deferment of the full payment for the goods. Here is an example using this method. By February 23, a chain of consumer electronics stores was holding a campaign “A gift for a husband, money for a wife”. All purchases by women of goods "for men" that were designated special list(electric shavers, laptops, digital cameras), accompanied by delivery to the customer gift card different denominations depending on the amount of the purchase. The card was valid from March 1 to March 10 and was intended for the purchase of "goods for women." These goods were also marked on a special list (food processors and other small household appliances).

Refund is a discount provided in a non-cash form when paying expensive goods in cash. For example, you are a buyer of a video camera. While looking for a camera at the lowest price, you see an ad that guarantees a 30% refund. But the refund will be made in a non-cash form. Upon purchase, you were given a special form in which you must enter your bank account number at home, as well as provide a lot of information about yourself and answer marketing research questions. The form must be sent by mail to the address of the store, and 30% of the cost of the goods will be transferred to your account within two weeks after receiving the form. It must be sent within a month, otherwise it becomes invalid.

Such incentives are carried out in order to obtain additional working capital for a short period marketing research. In addition, as practice shows, even with large discounts, not all consumers fill out and send forms.

Our classification is not “the only correct one”: it is designed to consistently acquaint the reader with various approaches to the choice of price promotion methods. It should be noted that, in our opinion, when carrying out both price and non-price promotion activities, a greater contribution to sales growth is made not by a discount (bonus), but by communication that ensures the attraction of buyers to the place of sale. In addition, maximum profit can be achieved only if there is a certain amount of demand in physical terms, on the one hand, and there is a product that can satisfy this demand, on the other hand. Many stimulus measures are unprofitable for precisely these reasons. Entrepreneurs plan to sell a lot of goods, but they do not need it in such quantity or at such a price. It’s also a shame when there is a queue at the store, but the goods are no longer there and will not be: they didn’t plan, they didn’t release, they didn’t order on time, they didn’t deliver ... When stimulating, logistics issues are no less important than communication issues.

Non-price methods incentives for end customers:

  • · Credit cards;
  • · Gifts;
  • · Prizes;
  • · Free samples;
  • · Reusable packaging;
  • · Contests and games;
  • · Lotteries;
  • · Extended warranty period;
  • Volume stimulation.

Test cards- these are documents of the "special money" type, giving the right to buy certain types of goods with them in a special department of the store. The number of coupons depends on the amount of the purchase. The type of goods sold with coupons may or may not be associated with the promoted brand. Merchants who are the first to use credit cards usually attract new additional clients. Other merchants use these coupons for defensive purposes, but in the end, credit coupons turn out to be a burden for everyone. And then some merchants simply decide to refuse them, offering in return more low prices. price quality buyer goods

Example: In St. Petersburg, test coupons were actively used in 2003. stores "Maksidom" in the form of a certificate with a face value of 5% of the amount of the purchase made when buying in excess of the established amount.

Gifts. The most popular types of gifts are:

  • Ш Promotional souvenirs with the company logo;
  • Ш Complementary goods (for example, headphones to the radio);
  • Ø A sample of another brand of product from the same manufacturer (for example, a trial bottle of Procter & Gamble's Head & Shoulders shampoo for Wash & Go shampoo).

Gifts are used for continuous stimulation, and when choosing them, it is necessary to strive to comply with the following conditions:

  • 1) It is better if the gift is related to the product and brand. An unrelated gift is not branded;
  • 2) It is better to choose a gift with a long service life (for example, a calendar). Such a gift reminds the buyer of the brand for a long time;
  • 3) The gift must be worthy of this name. It is forbidden to distribute plastic bags, adhesive tape for sealing gifts, etc. as gifts. Such "gifts" humiliate the company and the buyer.
  • 4) The gift should be pleasant and useful for the buyer. You can not give out, for example, expired batteries as a gift.

Example: From April 15 to May 31, every buyer of LG plasma TVs with a diagonal of 50 and 60 inches will receive a laptop LG LS50-U21RV as a GIFT!

Prizes. A premium is a product offered at a fairly low price or for free as an incentive to buy another product.

Types of awards:

  • · Direct premium;
  • · The premium offered with the help of the store (outlet);
  • · Delayed premium.

Direct Premium is handed to the buyer at the time of the purchase, as it is enclosed in the product itself, or attached to the packaging of the product, or paid to the consumer at the checkout. The premium must be attractive to the consumer, because the purpose of receiving it is to repurchase the product. Marketing communications: textbook / A.A. Romanov, A.V. Panko. - M.: Eksmo, 2006. - S.280.

  • 1. Prizes for children are often a collection of car models, puzzle pieces (mosaics), small blister pack toys, decals, stickers, or associated with popular cartoon characters;
  • 2. Useful premium is addressed to adult buyers and is designed to convince them of the practicality of a particular product and encourage them to make a purchase. It must be original and complement the product in some way. For example, the firm "Zepter" makes extensive use of this type of premium, offering customers as gifts pots, books with recipes and other useful goods;
  • 3. The pleasure award is addressed to all categories of consumers and reflects the manufacturer's desire to bring joy, create new style relationship with the consumer. For example, the consumer may be given the right to choose his own premium, the amount of which depends on the amount spent on the purchase of goods.

The premium offered by the point of sale, those. if the cost of the goods is not much higher than the amount of the premium, then a retail outlet can be involved in stimulating sales. In addition to purchasing the item being promoted, the customer must make other purchases for a certain amount.

Postponed premium. In this case, the buyer cannot immediately receive the premium after the purchase, he must send proof of purchase to a certain address. After that, he will be awarded a prize in the mail. This premium is used when a manufacturer wants to build a loyal customer base for low cost, fast turnaround products. Such a premium is cheaper for the manufacturer than a direct premium, as it is awarded only to those consumers who have declared a purchase. An example of a deferred bonus would be the offer of a film cassette with the purchase of a product. After receiving proof of purchase from consumers, a film cassette is sent to the consumer, accompanied by a proposal for post-processing. The benefit of the action is the photo processing organization, which carries out this sales promotion operation.

Free samples. Sample - free transfer of goods in a quantity that has no commercial value and is sufficient only for its testing and evaluation. The cost of the sample should not exceed ten percent of the sale price of the goods.

The inscription is applied to the sample with indelible paint or in large print: "free sample, not for sale."

For some goods, as well as for most services, this form of incentive, such as providing free samples, is not applicable, because such goods and services are indivisible and cannot be sold in parts. In such cases, they resort to a free trial for a short period of time.

Free samples of goods are needed so that, having become interested, the buyer has already purchased a large consignment of goods (larger packaging). If the proposed sample is perceived by the buyer as something insignificant, the premium loses its appeal and turns into a "pathetic handout." Therefore, it is necessary to find such dimensions of the sample and the form of its presentation that would meet the requirements of the legislation and the wishes of buyers. Free samples are expensive to distribute, as their cost includes production costs, distribution overheads, and promotional advertising costs.

The main methods of distribution of samples: at the point of sale, mailing, attaching to advertising in magazines, investing in the packaging of another product.

Reusable packaging. Selling various household goods, manufacturers often offer their customers reusable packaging in which they can place the same product when it runs out (nails, cleaning products, etc.).

Example: Cleaner "Mr. Muscle" is sold in two types of bottles. At a higher price, the product is sold in a spray bottle, which can be used repeatedly. The second type of packaging is an ordinary plastic bottle without a spray bottle, it is cheaper.

Contests and games. The incentive to participate in them is the attractiveness of the game and the spirit of competition.

Competitions are classified according to the subjects of their organization and according to the audience groups for which they are held (table 1).

Table 1 - Classification of competitions

As resellers- the organizers of the competition can be shops, merchants representing the interests of any territory (competition for window dressing of the area).

For presses Contests act as a means of attracting subscribers and readers.

Manufacturers may use various channels and means of conducting competitions to promote sales.

Prizes received by the winners of competitions organized for general public are generally consumer goods.

Children's competitions are clear and simple, and the prizes are items for the game and leisure activities.

Technical competitions are addressed to strictly defined groups of the population, the choice of which depends on the nature of the product, and are distinguished by fairly strict rules for participation (for example, competition for the best advertisement goods among professional artists).

Family competitions.

They are most often resorted to by manufacturers of consumer goods and service industries (banks, real estate dealers, Insurance companies). Questions in these competitions should, first of all, attract the attention of housewives and their husbands. There are two types of these competitions:

  • one). Contests based on brand awareness. They are designed for the observation, deduction and common sense of the participants and are associated with advertising campaign goods of this brand;
  • 2). Contests based on knowledge of the quality parameters of the goods that a family needs to have in order to participate in them.

The prizes offered at competitions can be very diverse, but quite valuable and pleasant. Specialists in this field and employees of advertising agencies are usually involved in the preparation of competitions.

The closest, in fact, to contests and lottery games. The main difference is that you need to win the competition by showing ingenuity and resourcefulness, while winning in the lottery is a random event.

Example: New Year's lottery "JEANS"

"Until March 1, we are still giving New Year's gifts: You can purchase "JEANS" sets with the activated "JEANS-Minute" service and a lottery ticket, which can help you win up to 2005 seconds of additional calls every month.

The conditions of the lottery are extremely simple. In each of the New Year's JEANS sets there is a lottery card with 10 protected fields, in which, among other things, the letters D, J, I, N, S are located. All you need to do is erase 5 fields correctly so that you can was to add the word "JEANS". If you have guessed correctly, then come to the nearest MTS office for your prize - up to 2005 seconds of free calls every month for the whole of 2005!

Be careful: tickets where more than 5 fields are erased are considered invalid.

Extended warranty period. In each country, the minimum warranty periods for various groups of goods are legally established.

To stimulate purchases, manufacturers and trade establish their increased warranty periods. Everyone knows, for example, the Swiss brand of folding knives Victor Inox, whose products have a lifetime warranty. Sales promotion: information and analytical collection / A.I. Klimin. - St. Petersburg: GORTIS MK, 2006. - P.77.

Example: Some hardware stores use an "extended warranty". The buyer, of course, is interested in a longer warranty, which attracts his attention.

By "extended warranty" stores mean the standard warranty period + an additional service period. Additional service includes all the terms of the standard warranty, except for the replacement of an existing item with a new one and a refund.

Volume stimulation - This is the opposite discount. The ability to purchase the same volume of goods for less money, and vice versa - a larger volume for the same money. Additional volume of goods - not particularly high costs, and increasing the size of the package is technologically easy. The costs in this case are small, and the impact on the buyer is very significant.

At the launch stage, offer an additional 20% of the product or reduce it by 20% % its prices are perceived by consumers as two completely different acts. More positive psychological impact offers a "plus" offer, that is, an increase in the volume of goods.

Methods for such an offer:

  • · By the piece (200 pieces + 20 pieces);
  • In percentage (+ 17%);
  • · In terms of weight (+ 200 g).

When using this method, the manufacturer bears two types additional costs- free provision of a certain amount of goods and new packaging for the goods. These costs are quite high, so this method is usually used by large firms.

Example: Among manufacturers of cosmetics and detergents volumetric stimulation is popular. Its essence is to increase the size of the bottle by 10 - 25%, mainly due to the height, with a corresponding increase in the content without changing the price. The enlarged part of the bottle or cylinder is painted in a color contrasting from the main volume, against which, for example, it is written "+ 25% free" or "+ 50 ml free". Oversized bottles and cylinders stand out on the counter and attract the attention of customers with their size and contrasting colors. After studying the packaging, many buyers change their minds about the brand they are purchasing in favor of the stimulated one.