29-05-2012, 05:46 PM
A study of sales promotion activity
A study of sales promotion activity.doc (Size: 337 KB / Downloads: 68)
INTRODUCTION
“Good marketing is no accident, but a result of careful planning and execution. Marketing practices are continually being refined and reformed in virtually all industries to increase the chances of success. Marketing excellence is rare and difficult to achieve. Marketing is both “art” and “science” –there is constant tension between the formulated side of marketing and the creative side.”
The world economy has undergone a radial transformation in the last two decades Geographical and cultural distance have shrunk significantly with the improvements in the production, transportation and communication. These advances have permitted companies to widen substantially both these markets and their supplier sources. And thus the role of marketing becomes wide.
Marketing is the specialization subject of MBA curriculum. When a flood of consumer products are coming into the market, every company needs people specialized in marketing to promote their product.
“Marketing deals with identifying and meeting human and social needs. One of the shortest definitions of marketing is “meetings needs profitably.”
The 21st century is the era of Advertising, Marketing and Sales Production; Marketing is to convert social needs into profitable opportunities. As it is said “Marketing thinking starts with the human needs and wants”. Apart from basic necessities of air, water, shelter and clothing, every person has strong desire for recreation and entertainment. They have strong preference for particular brand of basic and services. Marketing serves as the link between the society’s needs and its pattern of Industrial response.
Beverage industry is one of the fast growing industries in India. We can divide Beverages into two sections i.e. Alcoholic & Non-alcoholic. The non-alcoholic drinks are soft drinks that can be further classified Cola, Lemon, Orange, Mango and Apple segment.
INTRODUCTION ABOUT THE STUDY
I was assigned to study the promotional activities of Tripty Drinks Pvt. Ltd. Promotional activities play a greater and important role in the entire marketing effort being carried out by Tripty drinks Pvt.Ltd, “to generate more sales as well as to create and maintain an image of its product”.
Thus Tripty drinks Pvt. Ltd carried out its promotional activities as a controlled and integrated program of communication and material design to present its soft drink to the prospective customer. It also helps in communication the need satisfying qualities of soft drink, to facilitate the sales and eventually to contribute towards the profit in long range.
The tools used by Tripty drinks Pvt. Ltd, for fulfilling the various purposes of its promotional activities are the following:-
Point of sale display
Dealer’s sales contest
Sales promotion through special event market
Advertising
Incentives
Games
Point of Sale Display:
A sensible man does not have to go far to find out whatever a common panwala knows that people buy with their eyes. Every item on sale in a shop is displayed in front where people can see it at first sight.
It is the same with all the shops and vendors in towns either selling consumer or selling soft drinks. Rather in selling a product like PEPSI display is more than help, it is an essential element because soft drink is bought on impulses on the spur of the movement. Thus the product is tested when it is brought at people’s attention.
Dealer’s sale contest:
Another method of sales promotion being used by the Tripty drinks Pvt. Ltd., through its distributors is to conduct dealer’s sales contest during the peak seasons i.e. during April to July. In it the dealers are given prize in the form of cases of soft drinks. In the contest at first his or her respective distributors according to there categorize each dealer. And then each distributor fixes a target of minimum sale for each category to which every dealer according to his or her category has to achieve during the contest period.
The dealers achieving highest sales over and above the target set is giving the awards as under, the order of prizes announced are first prize, 2nd prize, and 3rd prize in terms of number of free cases of soft drinks which was Pepsi space club 2006 programme.
Special event market:
The dealers at special event sports place the banners and stall of Pepsi’s product like picnic fates cricket test match, social are also used to cater the people. It helps in promoting the sale as well as in creating an image product.
Sales man contest:
Sales man contest are held to motivate the sales man. Sales man contest are held to motivate the sales man. Under the scheme salesmen are given monetary incentive on the basis of sale made in their given route.
Media planning:
A very important part of advertising is to decide the medium of advertising and how much to spend in each media:-
Newspaper & Magazines, Radio, TV, Hoarding, Product of sales materials (paintings, glow signs, D. Board)
Advertising is one of the important factors which all put together results sales. It has to be backed by the distribution network, effective servicing, dealer, goodwill and so on. Thus advertising has to be very carefully woven with the entire demands of marketing.
MERCHANDISING/ DISPLAYS:
Proper merchandising and display at the store level promotes sales; it promotes the consumer to switch over to the displayed brand ignoring existing brand loyalties; it persuades him to buy “now” rather than latter; and it makes him buy more than the originally intended quantity. All these are essentially sales promotional functions. While advertising can only make a consumer aware of the product or generate a desire for it, merchandising/ display often motivates a consumer to buy a product instantly. Point of purchase displays are one of the most widely used sales promotions tools. With the proliferation of brands, innovative displays have become a prerequisite for success. In the store brands
compete with each other for consumer’s attention.