abhishreshthaa
Abhijeet S
The main advantage of this tool is that it has a very Strong consumer response
Such discounts offer immediate value and strong consumer response.
The Flexibility and convenience of implementation is another advantage. Price offers are extremely flexible in the sense that the producer has total control on the number of units being promoted and the market area in which the offer will be given.
If different packs of the same brand are available, the marketer can choose the one size that is not selling well.
A discount offer may rapidly lose its advantage if competitors announce a similar offer. In fact, competitors are very likely to retaliate leading to the danger of triggering a promotion wall in which no one benefits except the consumer.
Such discounts are short term and are unlikely to produce any long-term gains because the incentive is to purchase now by creating sense of urgency. When the discount is withdrawn the sales may fall below the level of pre-promotion period.
And in the long run the sales would return to pre-promotion period level.
Such discounts offer immediate value and strong consumer response.
The Flexibility and convenience of implementation is another advantage. Price offers are extremely flexible in the sense that the producer has total control on the number of units being promoted and the market area in which the offer will be given.
If different packs of the same brand are available, the marketer can choose the one size that is not selling well.
A discount offer may rapidly lose its advantage if competitors announce a similar offer. In fact, competitors are very likely to retaliate leading to the danger of triggering a promotion wall in which no one benefits except the consumer.
Such discounts are short term and are unlikely to produce any long-term gains because the incentive is to purchase now by creating sense of urgency. When the discount is withdrawn the sales may fall below the level of pre-promotion period.
And in the long run the sales would return to pre-promotion period level.