Marketing Essentials

Section 2: Types of Promotion

After You Read Online Action

Key Terms and Concepts

1. Sales promotions are used to encourage product trials, build product awareness, encourage more purchases, or reward loyalty.
2. Trade promotions are sales promotion activities designed to gain manufacturers', wholesalers', and retailers' support for a product. Consumer sales promotion activities are designed to encourage individual customers to buy a product.
3. Promotional tie-ins involve sales promotional arrangements between one or more retailers or manufacturers. This is designed to stimulate customer response to a product offered and combine the resources of each partner in the arrangement and enables different companies to reach customers and prospects within market segments that they have in common, to share costs, and to capitalize on the brand awareness of popular consumer or business-to-business brands.

Academic Skills

4. Snowboards: Net Cost = $4,802.50, 15% discount; CD players: Net Cost = $492.20, 8% discount
5. Tables should be organized and contain evidence of research.