Discounting your product is one of many sales promotion techniques.
Effective sales promotion tools are tailored to presentations at events or trade shows, door-to-door sales, retail sales, direct mail advertising, telemarketing or Internet-based marketing. Sales promotion tools increase sales, introduce a new product to the market or meet competition challenges. Whatever tools you use, have a financial plan and ask yourself some fundamental questions. What are your targets and objectives? How much will a promotion cost? How long do you expect a promotion to last? How will you deliver the promotion to the market?
Free Samples
Distributing free samples introduces a new product to the market to generate demand. Samples should be small, but they must be large enough to provide customers with an adequate experience of your product. Give samples to representatives of your target market. If you are at an exhibition or trade show, have a limited supply of your free samples available for view; this tells people that your product is in high demand, and it stops customers from hoarding samples.
Coupons and Discounts
Coupons or discounts are distributed by mail, published in newspapers and magazines or delivered in person. Coupon distribution pulls customers in and encourages them to buy within a specific period. A picture of your product or service should be included on a coupon, along with the discount rate and expiration date. Target customers who would not normally purchase your product or service.
Mystery Rewards
Scratch-and-win cards or raffles for prizes are other popular promotional tools. The key is to offer these rewards only after the customer has agreed to purchase your product or service.
Money Back Offers
When customers doubt the quality or reliability of your product or service, offer a money-back guarantee. Give a detailed explanation of eligible returns and refunds available for customer reference.
Branded Pens and Magnets
Customers like to receive free products that they can use, such as pens, sticky notes and magnets. Distribute these products with your company's name and phone number branded on them. Customers will be reminded of your product or service whenever they use it. These items can be manufactured in bulk, and they cost a fraction of what sales will pay you.
Tags: your product, product service, your product service, free samples, product market, promotion tools