sales coupons

What is Sales Promotion?


Sales promotions are a great way to boost sales and market your product. They are also a good way to increase awareness of your brand, which is especially useful if you’re trying to gain new customers or convince existing ones that you’re the best choice for their needs.

What is sales promotion – definition of Sales Promotion

Sales promotion is a short-term marketing strategy that involves offering a special price, bonus, discount or another incentive to customers in order to increase sales volume and boost brand awareness.

It can be used by both manufacturers and retailers when they want to promote their products or services.

Types of sales promotions

discounts for sales promotions

There are mainly two types of sales promotions. They can be further divided into different types.

  • Consumer promotions
  • Trade promotions

Consumer promotions

Consumer promotions are used to attract new customers, increase repeat purchases and brand awareness, and increase sales volume and velocity. To do this successfully you need to have a strong understanding of your audience’s interests and preferences. You also need to understand how consumers think about products or services in relation to other things they like or dislike. When planning consumer campaigns it is important that you consider:

  • The timing of the campaign (e.g., seasonal)
  • How often will it run?
  • What type(s) of promotion will run within each campaign?

Trade promotions

Trade promotions are designed to encourage sales to retailers. They can be used to promote products or services, such as a new restaurant opening in your area, or simply as a way of getting rid of excess inventory by offering it at a discount for customers who spend more than $100 on the product. If you have something that will be useful for everyone, consider selling it at an event where other people might want what you have on hand. For example:

  • You could host an art show where buyers will buy your paintings and then sell them on their own websites for higher prices than what they paid for them at the show (excellent!).
  • Or perhaps try holding an auction with live bidding where attendees bid against each other instead of buying directly from someone else (better yet).

11 examples of sales promotions to close deals successfully

11 examples of sales promotions to close deals successfully

Free gift: A free gift is a great way to get customers excited about your brand, especially if it’s something that you’re already offering for free. For example, if you run an online store with discount codes and coupons, offering one or two items at no charge would be a great way to add value and increase your conversions. If someone clicks on one of those links then they’ll see another link that says “free shipping” (or whatever else).

Then they can choose whether they want their order shipped without paying anything extra or not—and this gives them an incentive not only because they’ve got something for free but also because now they know exactly how much money will be saved by going through this process instead of paying out-of-pocket later on down the road when buying things like clothes/clothing accessories etcetera…etcetera…

Free Gift

A free gift is a sales promotion that’s given to the customer in exchange for their contact information. The most common example of this is an offer of sample products or coupons. It can also include discounts on future purchases or even full-blown promotions like cash-back programs and travel credits.

The trick with this type of promotion is getting your customers to take advantage of it (which is why you need to have some way of tracking what happens). For example, if someone signs up for your newsletter using their email address as well as their name and phone number (and if there’s no other way for them to opt-out), then you know they’ve been contacted by one of your team members at least once—and maybe more than once!

Cash Discounts

One of the most popular forms of sales promotion is cash discounting, or giving money off your product for buying it. This type of discount can be given in two ways: as a flat fee (for example, $1), or as a percentage off on the total price.

If you’re selling an item that costs $10 and wants to give him/her 25% off, you would offer up to $3.50 (25% x 10). If someone buys your product at this price, then they’ll get their money back plus whatever was left over after deducting tax and shipping costs from his/her purchase (minus any haggling).


Seasonal sales promotions are a great way to increase your revenue. They’re also a great way to attract new customers, build brand loyalty and increase revenue by creating excitement around the holidays or other important times of the year.

Seasonal promotions use seasonal products in order to encourage people to buy them during these periods:

  • Christmas season – December through January
  • Valentine’s Day – February 14th through 17th (second Sunday)
  • Mother’s Day/Father’s Day – May 8th through 11th (third Sunday)

Coupons and Rebates

Coupons and rebates are a great way to increase sales. You can use them for all kinds of things, including:

  • Increasing customer loyalty
  • Increasing customer retention

The Buy One Get One pitch

BOGO sales promotions, also known as Buy One Get One (BOGO) deals, are a type of sales promotion in which the retailer offers two items for the price of one. These promotions can be effective because they increase exposure to your product.

The most common way to run a BOGO promotion is to offer two products at one price instead of just one item at two different prices. For example, if you’re selling socks and underwear on your website and want more people to buy both together in order to receive free shipping on both items combined into one transaction instead of paying separately for each pair (one pair costs $15), then you can offer up another pair free with every purchase! This gives consumers another reason why they should buy both pairs when shopping online instead of spending less time doing so elsewhere where there won’t necessarily have been any other incentive besides saving money off shipping costs alone.”

Limited Time Offers

Limited-time offers are a great way to encourage customers to buy. They can be in the form of a discount, free gift or free trial.

Limited-time offers can be used at any stage of the sales process as long as they’re working towards generating new business and getting people into your store.

Contests and Sweepstakes

Sales promotion is a great way to increase brand awareness and customer loyalty. The best part about it is that it’s simple: you give away a prize to the winner, who is then incentivized to share their experience with others. By increasing your brand’s visibility through contests and sweepstakes, you’ll get more people talking about you—and hopefully buying from you as well!

Contests and sweepstakes are also great ways of encouraging consumer participation in your business. They can be used as an opportunity for consumers who haven’t tried before or haven’t had an opportunity previously (like teenagers). This way they have something new/exciting happening within their lives which may lead them back into doing business with us again at some point down the road.”

Loyalty/Membership-Based Promotions

Joining a loyalty program can be a great way to engage with your customers and increase customer retention. The best loyalty programs include:

  • Rewards that are easy to use, like cash back or gift cards
  • A wide range of items for purchase (not just one or two)
  • A clear and understandable membership process (e.g., sign up, earn points/miles)

Credit Terms and Payment Options

Credit terms and payment options are a great way to increase sales, as well as reduce costs. They also help you build relationships with customers, which can lead to more business in the future.

Credit terms and payment options can be used in many ways:

  • You can offer discounts on products or services if the customer pays for them within a certain time frame (e.g., 3 months). This might be useful if you want to encourage customers who may not have enough money right away but still want something from your business. For example, if someone wants an oil painting but doesn’t have enough cash on hand yet, then maybe offering discount coupons would motivate them into buying something else instead!
  • You could offer discounts on products or services when they make payments over several months instead of just one lump sum at once (e.g., $100 per month instead of $100 upfront). This type of arrangement might work better since most people prefer having some breathing room before paying off their debt rather than having all their money come out at once like a floodgate opening up behind them—which would make sense because those types

Free Trails

There are a few reasons why offering a free trial is important. First, it gives your customers an opportunity to try the product and see if it works for them. If you’re providing a service or product, this can mean the difference between getting someone to sign up for something or not. Second, when you offer a free trial (or something similar), you’re able to assess how many people will actually use your product after using it for a certain amount of time—and if they don’t cancel their subscription within that period of time then they’ll be charged monthly fees instead!

Thirdly: because companies don’t want people who’ve already paid money into their accounts but haven’t yet used those services,”free trials” are often given away with a purchase.” For example: if I buy an electric razor from Walmart; there may be no mention on their website about “how long does my electric razor last?” But since this type

Turn Your Customers into Brand Ambassadors

  • Turn your customers into brand ambassadors.
  • Use social media to spread the word about your product or service.
  • Create a dedicated landing page for each promotion, so that people who visit it can easily find out more information and sign up for offers of their choice.
  • Create a contest with prizes that are relevant to the audience you’re targeting (for example, if you’re selling discount tickets to an event). Give away something in exchange for someone sharing their experience on social media, such as 10% off next time they book through your website/app!
  • Create testimonials from happy customers who have used your product or service recently—this will help encourage others who might be hesitant about trying something new too because they don’t know anything good could happen yet!  It also gives credibility when talking about how great this product is because those people matter most when making decisions like this (even though we know sometimes it doesn’t always work out perfectly).

Pros and cons of sales promotions

promotion through social media

The cons of sales promotions are that they can be costly, create a sense of urgency that may cause customers to buy things they don’t need, and negatively impact your brand image. However, there are also many benefits associated with using sales promotions:

  • Sales promotions can help you sell more products. If you offer a discount on your product or service, people will be more likely to purchase it than if there were no incentives. This could lead to increased revenue for your business as well as higher profits after tax (depending on what type of business).
  • Sales promotions improve customer loyalty and repeat purchases by offering better deals than competitors’ prices do at the same time!

Sales promotions can help increase your brand awareness. If you run a sale on a product or service, people will be more likely to associate your business with that specific product or service. This could lead to increased sales in the future when customers remember your name and decide they want more than just one item from your business. Sales promotions encourage impulse buys! Sometimes people need something right away and don’t have time to think about whether it’s worth buying or not. If you offer an incentive like a discount or free gift with a purchase, customers may take advantage of the opportunity and buy something they weren’t planning on purchasing before!

Use of technology in sales promotion

  • Use of technology in sales promotion
  • Social media, email marketing, and mobile apps are used to promote products.
  • Predictive analytics help identifies potential clients and target them with offers that are relevant to their interests.
  • Customer relationship management systems (CRM) track customer information such as buying behavior, preferences and habits by using data collected through online surveys or phone calls with customers who have bought from you before.


In this article, we’ve looked at the basics of what sales promotion is, outlined some of the common types, and explained how it can help you close more deals.


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