Marketing Analysis : Sales Promotions

The promotionPromotion is the business of communicating with customers. It will provide information that will assist them in making a decision to purchase a product or service. The pace and creativity of some promotional activities are almost alien to normal business activities.The cost associated with promotion or advertising goods and services often represents a size-able proportion of the overall cost of producing an item. However, successful promotion increases sales so that advertising and other costs are spread over a larger output. Though increased promotional activity is often a sign of a response to a problem such as competitive activity, it enables an organization to develop and build up a succession of messages and can be extremely cost-effective.

Home Depot and Lowes have a few similarities in functional strategies, as well as a few key differences. When analyzing marketing strategies, its often helpful to divide marketing efforts into four categories that include price, promotion, products/services, and the means of distribution (Parnell, 2014). Home Depot’s and Lowe’s marketing strategies are very similar. Home Depot and Lowe’s both make a low price guarantee, and both offer price matching plus beating the competitor’s price by 10% (The Home Depot, 2016; Lowe’s; 2016). Both Lowe’s and Home Depot appear to be following what Porter’s model would describe as a low-cost strategy and publicly compete on this point. Lowe’s and Home Depot have also increased the use of targeted digital advertising,

This is important as the selling organization can know how to improve the demand for their products through promotion promoting the demand for the others organization’s products. This can be achieved by either selling quality products to the other organizations that will ensure that they produce standard products or services that meet the customers’ needs or even coming up with mechanisms to promote the demand for the other companies’ products. For example advertising for the other companies’ products, carrying out the market research for the other organizations or any other activity to boost the sales (Antonelli,

ABC retailers is a retail chain with presence in New York. It sells a variety of products ranging from groceries to health and beauty in consumer market segments. During the past year, the client faced shrinking sales because of which, they offered promotions to strengthen their market presence and boost product sales. The challenge was to measure the promotional

Market Strategy: Every company has numerous target markets. Lowes markets itself both externally and internally as a customer-oriented company while Home Depot markets itself as a contractor organization. Lowes does provide its customer with a easy to navigate, brighter store that makes it more attractive to all people, not just contractors.

Promotion Decision- Retailer’s use and or all five promotions tools- advertising, personal selling, sales promotion, public relations

There are many factors that contribute to a company’s success. The two main factors that will be highlighted in this content are promotional and advertising strategies. Promotion is the method you use to spread the word about your product or service to customers, stakeholders and the public. “Promotional strategy objectives vary among organizations. Some use promotion to expand their markets, and others use it to defend their current positions (Boone, L. E., & Kurtz, D. L.).” Promotion is one of the key elements of the marketing mix, and compacts with any one or two way communication that occurs with the consumer. Once you’ve acknowledged your target market, you’ll have a good idea of the best way to grasp your customers, but most

Product differentiation- Home Depot Inc differentiate itself in many ways to let’s the clients notice the retail stores unique product line design, competitive pricing in the market and strong sales associates knowledge on homebuilding products and each product they sale displays to the target market, that Home Depot sale associates are reliable and are selling a good high quality product.

Marketing strategies are focused on the customer, and a business has to choose which customers to target. Your product will not be needed by everyone. You will have to figure out which segments of the market to pursue. There is a huge market for home repair, including professional carpenters and builders. Home Depot’s competitive advantage would not be strong in the market segment composed of professionals, in which the distribution channels are strong and well established.

A Promotion mix is to gain awareness of target segment on the existence of a product or services and the benefits it confers to customers. The tools of promotion in a company are advertising, personal selling, public relations, marketing and online promotion. For the Apple Company to realize this strategy it has to train their staff to a high level of promotion. Personal selling is a form of promotion relevant to the Apple computers company and to the retailers authorized. The staff gets training on the knowledge of the product with a great focus on the sales of Apple computers. The people doing sales are in the best position to provide an immediate effect on the promotion of Apple computers (Nijs et al, 2001).. The Apple Company uses a range of media advertising to promote the Apple computers. The internet, prints and alternative media like billboards are among the channels for the advertisement of the computers. Advertisement is a very important tool for the company to gain new clients and sales.

The growing managerial importance of sales strategy has generated a great deal of research on how sales managers promote the products and services of a company which affects profitability (Loudon and Bitta, 2002). Consequently, mangers of organisations

Sales promotion is the marketing activities providing extra value to the sales force, distributors or ultimate customers and stimulate immediate sales. Sales promotion consists of short-term incentives to encourage purchase or sales of a product. Apple Company uses this way to target toward the final buyers through sales promotion which is more effective than other competitors such as Samsung, Sony, LG and Oppo. The strategies they used to target market do not affect the sales volume of iPhone 6 Plus. They offered customers the offer by giving the customer the combination of promotion when buying iPhone 6 Plus and iWatch. In addition, Apple Company uses the cross-product promotion with a free earphone and charger as well. Apple Company also uses the market research to know whether the customers satisfy or dissatisfy the product, IPhone 6

In chapter eight, Miller discusses the sales manager’s responsibilities of assigning salespeople territories, designing effective “compensation” packages, and establishing incentivized reward systems (Miller 2001, 189-212). Miller explains how the firm’s sales force can be deployed using the following three pathways: 1) “Geographic,” 2) “Account,” and 3) “Product assignments” (Miller 2001, 189-212). Miller advises that a hybrid combination of all three is the most effective for enhancing market share and sales acquisition. Miller further elaborates on the importance of using “The ProActive Sales Matrix” for maximizing salespeople’s schedule and opportunity for selling (Miller 2001, 189-212). Miller suggests

This is a report to make a sales planning for various products sold by Medtech Maldives pvt ltd.

• Creating opportunities for Sales and Marketing to collaborate—for example, planning a conference together or rotating jobs. • Having downstream marketers develop sales tools, help salespeople qualify leads, and use feedback from Sales to sell existing offerings to new market segments. • Evaluating and rewarding both teams’ performance based on shared important metrics. For instance, establish a sales goal to which both teams commit. And define key sales metrics—such as number of new customers and closings—for salespeople and downstream marketers.