RETAIL PROMOTIONS

Presented by
K.Rajeswari
KCT Business School




Retail promotion
Retail promotion includes any communication by a retailer that
informs,persuades and/or reminds the target market about any aspect of
that firm.
Elements of the retail promotional
mix
Advertising
Public relations
Personal selling
Sales promotion

Advertising
Advertising is a paid,non-personalcommunication
transmitted through out of store mass media by an
identified sponsor.
Four aspects of this definition
Paid form - distinguishes from publicity
Nonpersonal - std msg delivered to entire
presentation audience
Out of store -newspapers,radio,TV,web
mass media
Identified sponsor sponsors name is clearly divulged
unlike publicity
Objectives
Lifting short term sales.
Increasing customer traffic.
Developing and/or reinforcing a retail image.
Informing customers about goods and services and/or company
attributes.
Developing demand for private brands
Creating awareness about the product or store .
Communicate information ,in order to create a specific image in the
customers mind interms of the store merchandise ,price
quality,benefits,etc.
Create a desire to buy a product.
To communicate the stores policy on various issues

Advantages
A large audience is attracted.
Costs per viewer ,reader,or listener are low.
A number of alternative media are available.
Retailer has control over message content, graphics,timing and size.
Disadvantages
Standardized messages lack flexibility .They do not focus on the needs of
individual customers.
Require large investments.
A 30 sec TV commercial or small newspaper ad does not have many
details.
Media
Papers
White pages telephone directory
Direct mail
Radio
TV ads
Web
Transit advertising
Outdoor advertising
Magazine
Single page (flyers) or multiple-page (circulars) ads
Types:
Advertising
content
Manner of payment
Institutional message
Reminder message
Full payment by
retailer
Cooperative
advertising
Competitive message
Pioneer message
Vertical
Horizontal
Public relations
Public relations entails any communications that fosters a favourable
image for the retailer among its publics(consumers ,investors,
government,channelmembers,employees,and the general public).

It may be nonpersonal or personal,paid or nonpaid and sponsor
controlled or not controlled.

Publicity is any nonpersonal form of public relations whereby messages
are transmitted through mass media,the time or space provided by the
media is not paid for and there is no identified commercial sponsor.
Objectives
Increase awareness of the retailer and its strategy mix.
Maintain or improve the company image.
Show the retailer as a contributor to the communitys quality of life.
Present a favourable message in a highly believable manner.
Minimize total promotion costs.
Advantages

An image can be presented or enhanced.
There are no costs for message time or space.
A mass audience is addressed.
People pay more attention to news stories than to clearly
identified ads.

Disadvantages
Some retailers do not believe in spending any funds on
image-related communication.
It may be more suitable for short run,rather than long-
run,planning.

Personal selling
It involves oral communication with one or more prospective customers
for the purpose of making a sale.

Retail salespeople may work in a store ,visit consumer homes or places of
work or engage in telemarketing.
Objectives
Persuade customers to buy.
Stimulate sales of impulse items or products related to customers basic
purchases.
Feedback information to company decision makers.
Provide proper levels of customer service.
Improve and maintain customer satisfaction.
Advantages
Salesperson can adapt a message to the needs of the individual customer.
Attention span of the customer is higher than with advertising.
Immediate feedback is provided.
Disadvantages
Only a limited number of customers can be handled at a given time.
The costs of interacting with each customer can be high.
Self-service may be discouraged.
Some customers may view salespeople as unhelpful and as too aggressive.
Types
Order - taking sales person.
Order - getting sales person.

Personal selling Functions

Sales person
Demonstrates
goods/services
Shows
merchandise
Answers
objections
Closes the
sale
Greets
customers
Determines
customer
wants
Gives a sales
presentation
feed
back
THANK YOU