The primary purpose of trade sales promotions is to get trade buyers to make purchases. This means that the products are not only promoted for customers but also for trade buyers and this motivates them to carry on further purchases. As a startup business, initially, it is difficult to encourage a retailer to buy products, which are even new to the customers. So, some methods are used for promoting the products for retailers. For example â€“ trade allowances, which are the short-term incentive offered for the convenience of a retailer to stock up the products for a short period of time, or organizing trade contests in which retailers who made the maximum sales will be rewarded and many more.
There are various techniques or methods used for trade promotions by the trader to promote the product. Some of the major methods are:
Deals and discounts- This technique is always considered a good tactic. The aim is to encourage the sales among existing customers to buy more and attracting new customers to try your product. Deals and discounts could be likeâ€“ price reduction, a certain percentage off, tiered discounts, and others.
Sales contests- It provides incentives to retailers that if they sell more products, then they will be rewarded or even get a special discount or bonus. Cash and gifts are the primary tactics for encouraging the retailers, but some will be motivated by experiences or even opportunities to make themselves better and gain some competitive spirit.
Training programs- One of the best ways is to train the employees well for promotional methods and allow them to develop their strengths. Effective training programs will lead to effective sales of the products. Thus, personal selling is one of the best ways of training. Management should train all the employees in their product offering techniques.
Digital marketing- Digital marketing consists of pull or push online communication methods. It is characterized by consumers actively seeking marketing content digitally. When it is seen that a marketer is sending messages without the consumerâ€™s consent related to the recipients then it is called push marketing. Whereas, push digital marketing is one of the methods that mainly include services related to the opt-in subscription that is with the consent of recipients.
Social media advertisement- Social network advertising is the most used form now-a-days. Advertising on social media networks like Facebook, integral, etc., act as a powerful tool of promotion and advertisement serving on social network applications, provides fast results.