- Nothing turns your customers into long-term partners like loyalty programs. Loyal customers are actually more likely to continue buying from you, according to studies. Starbucks is a email data good example, with its loyalty program, where you get points every time you buy a drink.
- Eliminate excess inventory
Promotions are a great way to get rid of older stock and make room for new products. Think of the end-of-season sales that fashion brands hold to clear out previous season’s stuff from the shelves. - Builds Brand Awareness
When done creatively, sales campaigns can generate buzz and increase your brand visibility. Viral challenges or social media giveaways are great examples of promotions that build awareness.
The Key Components of Effective Sales Promotion
When planning a sales promotion, there are a few key things you need to be clear about. A strategic planning facilitator can keep things on track. Here’s what you need to make it work:
- Clear objectives
What is the purpose of your sales promotion? Are you trying to sell more products, clear out old inventory, or bring in new customers? If you don’t know exactly what you want to achieve, your promotion won’t seem targeted and you’ll waste time, energy, and money.
- Recipients
Who are you doing it for? First-time buyers? Loyal customers? Understanding social protection programs for employees in the company your audience is key to making your sales promotion ideas work. For example, if you offer a discount to first-time buyers, your regular customers won’t care. But if you offer a loyalty bonus or a special discount for members only, that will speak to your regular customers.
- Urgency and scarcity
People hate missing out. That’s why tactics like “Only two left!” or “Sale ends at midnight!” work so well. If you make people feel like they have all the time in the world, they’ll be slow to procrastinate. Give them a reason to act now.
- Added value
real. If your promotion seems fake or a scam, people won’t trust fresh list you and you’ll lose them. It has to be something that actually matters, whether it’s a real discount, free shipping, or a bonus gift.