Underwear Does Not Promote Sales, But Leads To Sales Dependency.
Promotion
It's a handful.
Double-edged sword
It is very good to use it well, to open up a new path.
In "low"
consumption
Under the influence of "sword" is inappropriate, the following problems will arise.
First, "no promotion, no sales" leads to sales dependency.
The biggest negative effect of promotional activities is to enhance the sensitivity of consumers' sales promotion.
As soon as the sales promotion stops, the sales volume drops immediately, and the enterprises appear to rely on sales promotion. This is especially prominent in the behavior of consumers' "lower consumption".
By the end of 2010, in the face of the decline in purchasing power of consumers due to inflation, a wine factory in Northeast China has implemented some major promotional measures, such as box prizes, bottle caps, wines, pots and lists.
But a month later, because the manufacturers invested too much, the sales promotion had to stop. They had become accustomed to drinking and having gifts consumers could not accept. They had chosen the competition brand, and the sales volume of the enterprise was a great drain.
This phenomenon of "no promotion can not be sold" occurs frequently in the market operation of many small and medium enterprises.
To avoid this situation, enterprises should accurately grasp the time limit for promotion. On the one hand, it can not only make consumers feel anxious but also control the promotion investment. On the other hand, it will adjust the theme and form of sales promotion to stimulate consumers to buy more or buy in advance, so as to promote the promotion efficiency on the basis of reasonable use of promotional expenses.
For example, a marketing campaign implemented by a milk enterprise is like this: as long as the consumers purchase a set of high and low combined packages (ordinary white milk + raw yogurt, just a week's household consumption), they will be given a stainless steel washing basin (the gross profit of the package products can be supported).
Second, "sales promotion injury" leads to the loss of loyal consumers.
Under the premise of lack of sufficient reasons, enterprises can easily make consumers doubt the quality of products if they carry out a substantial reduction or preferential sales promotion activities.
The most distressing thing is that the enterprises totally ignore the consumers' feelings, and actually cut corners on the products, resulting in the loss of some loyal consumers.
An ice-cream enterprise has done such a foolish thing. The arrival of "sugar high" has increased the production cost of enterprises. Considering that old customers are accustomed to the original price, enterprises always dare not raise their prices, so they put less sugar and added saccharin, and the same price difference results in the old customers' feeling of being cheated and disgusted the enterprises.
To avoid such tragedies, enterprises can only increase efficiency and digest costs in production, marketing and other links. If it is really hard to bear, it is better to tell consumers directly that we want to raise prices, and then give customers some time to give back promotional promotions.
This not only keeps the old customers, takes care of their feelings, but also relieves the cost pressure of the enterprises.
Third, "promotional injuries" lead to a decline in brand image.
Under the trend of "lower consumption", enterprises will tend to be more direct in order to cater to consumers.
For example, naked sale and sale, although this form can win the short-term sales promotion at a time, but the damage to the corporate brand is long and even fatal. Before those domestic brands (such as Pierre Cardin, Valentino, etc.) fell like this.
Therefore, in the face of consumer bargaining pressure, enterprises must adhere to the basic principles of the brand, in a sense, brand is a kind of insistence, especially in the market when the difficulties encountered.
On this basis, enterprises can make some packaging on the theme and form of promotion, and make some adjustments in the timing and occasions of promotion.
Fourth, "sales promotion channel" led to a decline in the enthusiasm of dealers.
Continuous promotions will inevitably increase dealer input and compress their profit margins, so that dealers with high cost will certainly not make money, and their enthusiasm and cooperation can also be imagined.
Therefore, the investment and cost of promotion should be shared by the channel, so as to ensure the reasonable operating returns of the channel.
The promotion cost associated with the brand is borne by the manufacturer, and the costs associated with the direct sales increase are jointly borne by the manufacturer, so as to establish a shared investment promotion mechanism with shared interests.
In the context of inflation, enterprises are facing the pressure of low consumption and facing the pressure of their own cost.
But we need to analyze rationally and respond calmly. We can neither turn a blind eye nor turn a deaf ear to the fact that the sales volume of the market is down due to the arrogant market. Nor can we lose the market positioning and business principles of enterprises. Frequent low price promotions cater to consumers' "low" behavior.
The correct approach is to persist in implementing the promotion strategy flexibly under the promotion principle of "reducing prices and not falling products", because good sales promotion is not only a cost input, but also a good way for enterprises to improve marketing efficiency and reduce market input, so that they can not only give enough value to consumers, but also enable enterprises and businesses to maintain reasonable operating profits.
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