Integrated marketing communications 3/1

Integrated Marketing Communications 3/1

Trade and Consumer Promotions Module Trade and Consumer Promotions Discuss the difference between trade and consumer promotionsThese are marketing strategies employed by companies to promote product sales. Trade promotions target businesses that buy commodities for resale; therefore, they are utilized by wholesalers or manufacturers. Trade promotions are supposed to persuade a reseller to buy a certain brand, stock it and even promote it to the customers. Consumer promotions target end consumers and they are utilized by retailers to increase product sales (Boykin, 2013).
Identify consumer promotions a manufacturer could choose to develop a brand
In order to develop a brand, a manufacturer can use consumer promotions, such as, cash refunds, coupons, premiums, point-of-purchase displays, samples, contests and demonstrations, price packs, advertising specialties, patronage rewards, lotteries and other games. These can attract customers to the product that the manufacturer wants to develop (Kokemuller, 2013).
Identify trade promotions that a manufacturer can use
Some trade promotions are similar to customer promotions but they are directed towards resellers. Some of the tools used in trade promotions include; advertising, off-invoice and display allowances, discounts, repurchase accords on products that are unsold, slotting fees, point of purchase display, training programs and trade contests (Handlin, 2011).
Explain your rationale
These promotions aim at increasing sales. Consumer promotions usually attract customers by providing better prices, fun activities, or attempting to sway customers’ preferences, therefore, increasing the purchase of the products on promotion. Trade promotions provide an environment that shields the resellers from many risks. Therefore, the resellers will purchase the products and promote them because they already have an incentive. This also helps to increase sales and promote a new product (Kokemuller, 2013).
References
Boykin, G. (2013). Consumer & Trade Promotions as Marketing Strategies. Small Business. Retrieved January 13, 2014, from http://smallbusiness. chron. com/consumer-trade-promotions-marketing-strategies-71109. html
Kokemuller, N. (2013). Consumer & Trade Promotions as Marketing Strategies. Business & Entrepreneurship. Retrieved January 13, 2014, from http://yourbusiness. azcentral. com/consumer-trade-promotions-marketing-strategies-2869. html.
Handlin, A. (2011, February 28). Consumer & Trade Promotions as Marketing Strategies eHow. eHow. Retrieved January 13, 2014, from http://www. ehow. com/info_7997427_consumer-trade-promotions-marketing-strategies. html