Limitaion of sales Promotion
Posted: Fri Jun 25, 2010 2:23 pm
Although sales promotion is an important strategy for producing quick, short-term, positive results, it is not a cure for a bad product, poor advertising, or an inferior sales team. After a consumer uses a coupon for the initial purchase of a product, the product must then take over and convince them to become repeat buyers. In addition, sales promotion activities may bring several negative consequences, including "clutter" due to the number of competitive promotions. New approaches are promptly cloned by competitors, as each marketer tries to be more creative, more attention getting, or more effective in attracting the attention of consumers and the trade. Finally, consumers and resellers have learned how to milk the sales promotion game. Consumers may wait to buy certain items knowing that prices will eventually be reduced, for example, while resellers have become experts at negotiating deals and manipulating competitors against one another.