What do in store promotions do?

In-store promotion is a marketing strategy that aims to attract people to the store and buy specific items that are part of in-store promotion. In most cases, these strategies come directly from the manufacturers or can be offered by the store itself. In-store promotions are any marketing or sales promotion that takes place in a traditional retail location. In-store promotions are a highly effective marketing tactic designed to attract customers to your physical store and build brand or product awareness.

However, in-store promotions are not just focused on reducing prices. In-store promotions are a marketing tool that helps brands promote their products within physical stores, directly at the point of sale. Did you know that consumer goods brands invest more than 20% of their total revenue in in-store promotions? Your incremental ratio during this in-store promotion is negative (- 7,. If you sold more than 150 token bags, your incremental rate would have been positive.

It's easy, the more people buy from your store, the more coupons they'll receive. Let's say that for 10 coupons, you get a 50% discount for a certain product line from your store. In the end, people will end up buying more products just to get a better deal. In addition, 20% and 33% seem to be large percentages of discount.

However, it depends on the type of product you sell. If it's a high-end product at a high price, you could easily offer a 10% discount and people will spot it right away. Most in-store promotions can help you increase sales by 20%. In-store marketing is a type of marketing that takes place in brick-and-mortar stores.

In-store marketing helps promote products and deliver a great customer experience to shoppers. This type of marketing focuses on interacting with customers to provide a personalized experience during the shopping session. When it comes to fast-moving consumer goods, it's hard to choose. That's why in-store marketing is essential.

For example, when a customer goes to the store's body spray area, she sees at least 10 brands, not to mention fragrances and labels. By adopting a good in-store advertising campaign, you will be able to differentiate yourself from the competition. Considering the COVID-19 crisis, customers want to buy the bare minimum, so they focus on essential products. If your brand is in the premium or leisure section of the store, your sales may be dropping.

COVID-19 has a big impact on retailers and brands that sell exclusively in stores. While e-commerce is flourishing, physical stores lose money every day. Some countries even closed physical stores, leaving only a few grocery stores that sell essential products (food, cleaning products, medicines). Nowadays, considering COVID-19 regulations, food samples are banned, which means you'll have to think of a different strategy.

But keep that in mind for better and safer times. All in-store promotions are designed to win new sales, customers who otherwise had no intention of buying. This requires engaging with customers in surprising ways, invoking some emotional call to act. Distributing coupons with maturities causes fear of losing sales.

Additional premiums (supplemental gifts with purchase) generate enthusiasm, a great incentive to distinguish your brand from tight competition. A retail promotion is a persuasive marketing strategy designed to drive sales. Most retail promotions attract logic and urgency. They tell consumers: “It's a great deal and they don't want to miss it.

Use shop windows to tell a story. You can do this by incorporating seasons and what you know will uniquely attract your customers to sell not only products, but also a lifestyle. Use typography, staggered heights and various decor elements to make your store and products look super attractive. Actual months will be determined with distributors individually, but brands generally try to align the months between their distributors and group other promotional events in addition to these distributor promotions.

One of the most common KPIs to measure when implementing an in-store promotion is ROI (return on investment). Think of specialty products like pumpkin spice lattes at Starbucks or annual sales at department stores. It goes without saying that marketing agencies that focus on offline marketing, such as in-store promotions, are another category that can benefit from this type of advertising. Whether hosting events, using signs in your store, or going the extra mile for customers, having in-store promotion tactics is critical for any retailer.

Calculating the standard ROI may not give you a clear picture of how your promotion is performing (or poorly). However, the intricate accounting supply chain that dictates the costs of business expenses, combined with the confusion of cost-based information, often causes brands to underestimate the costs of their promotions. Similarly, a store that sells handmade magazines and a brand specializing in fountain pens could promote a package of products. According to research by Barclaycard, hosting in-store events and creating in-store experiences, such as workshops and meetings, are in-store promotion tactics that help many retailers outperform the competition.

To find out what types of promotions work and which ones are a waste of money, let's see how you can measure the effectiveness of your in-store promotions. But when it comes to measuring the success of an in-store promotion, incremental revenue and marginal return on investment are the two key metrics that can be extended to each promotion family that we consider most valuable. This is a great example of how to combine the online experience with the offline experience while promoting the core of the brand. While online promotions will help your business expand, using them alongside in-store promotions will have an even greater impact.

In addition, branded gifts will remind your customers of your brand and can even spark conversations about your store with others. . .

Esther Woodcock
Esther Woodcock

Esther has been in Marketing field for 15 years