Commercial Applications
Answer
The advantages of sales promotion are as follows:
Low Unit Cost — The cost of sales promotion per unit is quite low, making it an affordable way to boost sales without large advertising budgets.
Sales Support — Sales promotion provides strong support to personal selling and advertising. It serves as a bridge between them and enhances the effectiveness of both.
Faster Product Acceptance — Sales promotion makes a product acceptable to consumers faster than many other techniques. Free samples, demonstrations and discounts encourage trial.
Effective Control — Management can have an effective check on the results achieved through sales promotion schemes. The costs incurred and the benefits derived can be analysed and measured.
Best for New Products — Sales promotion efforts are best suited for new products as they provide access to a large market and personal contact with customers and dealers.
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