Sales Promotion Marketing Tips That Work
When people don’t have a lot of money to spend, they’re going to choose where they spend their money very carefully, so business owners need to devise sales promotion tools that really work. The old saying goes, “You have to spend money to make money,” and when it comes to marketing your business, you have to give potential customers and clients an incentive to spend their money on your product or service. The way to do that is to offer deals, discounts and other sales promotions that will turn your first-time customer into a repeat customer.
Sales promotion marketing tips are aplenty. You have to gather some ideas and decide which ones best fit your business and your desired clientele. Especially in tough economic times, people are not going to go back to a business they feel did not give them their money’s worth. Customers want to feel like they’re getting a good deal, and they want to feel their business is appreciated. Here are some sales promotion marketing tips that really work.
Price discounting is one of the most popular and obvious ways to get customers through the door (or to your website). There are basically two means of “price discounting”: 1) simply discount the normal selling price of the product or service or 2) offer more of the product or service for the normal price. You may be concerned about the loss of profit by discounting prices, but what you must consider is that if enough people take advantage of your price discount, you will more than make up for the amount discounted. Would you rather have two people buy a television for $1,000 or ten people buy a television for $600? You have to look to the future and realize the initial loss will eventually turn into a gain. Be careful about discounting too much on a name brand product. Consumers become suspicious when the deal is “too good to be true.” Make your price discounting appealing, yet reasonable.
Who doesn’t love a coupon? There are many people using coupons now that never would have years ago. Coupons come in various forms. You can offer a coupon at the time of sale on a future sale. Here is a real-life example of how this actually works. I went to a store to buy a couple of items for family members for Christmas because I received a ten-dollar-off coupon in the mail. I had never been to this store before I got this coupon in the mail. When I checked out, I received a coupon of $10 for every $50 I spent. So, because I spent $70, I was given a coupon for $20 off my next purchase (which had to be made a week from the date of my first purchase and was only available for a six-day period). Had I not received this coupon, I probably never would have gone back to this store because I found it to be a little too expensive for my budget. But with the $20 “free money” coupon, I will definitely go back to do more holiday shopping. So, by giving one customer a coupon on the next purchase, the business now has a repeat customer.
Another type of coupon is the punch card type where you get a “punch” for each purchase and after so many purchases, you get something free. You will see coffee shops offer nine cups of coffee purchased earns your tenth cup free. Restaurants will often give you a tenth meal free after purchasing nine. These punch card coupons are a great incentive to get people to keep coming into your restaurant because they know after spending a certain amount of money, they will be “rewarded” with a free meal (or whatever the product or service is). Loyal incentive marketing keeps people coming back.
Offering coupons on receipts is another way to promote sales. You will often see this in grocery stores, and with advanced technology, the store’s system will note what you buy and offer you coupons on products you buy often. For instance, if you buy Bounty paper towels every time you go to the grocery store, the store will offer you a few dollars off your next purchase of Bounty. It’s an incentive to keep shopping at the same store.
Money back via rebate is one of the most difficult sales promotion marketing tools to succeed with because people simply don’t want to take the time to fill out the forms and are often suspicious that the money back guarantee is not real. If you make the paperwork simple and offer testimonials that the money back guarantee is real, you may have some success with this strategy.
One final way to promote a product or service the point-of-sale display. A strategically positioned item in a store may be all the consumer needs to add it to his cart. For example, if you own a sporting goods store, you could put after thought products such as socks or sunglasses close to the checkout line. The customer who just purchased new running shoes may realize he needs some socks. The skier who just bought a new set of skis may remember he lost his sunglasses the last time he was on the slopes.
Sales promotion marketing tips are plentiful, but not all strategies work for all businesses. You have to put yourself in your customer’s shoes. What would appeal to you? What would make you come back to your store?
PaperDirect not only has everything you need to get your business up and running like business cards, letterhead and flyers, we also offer great tips on how to market your business using direct marketing tools.