Chapter 1
Introduction
Background
Sales promotion is one of the basic tool marketers use in order to attract more and more buyers. Companies spend millions of rupees on promotion of their products/brands. The need for promotion arises from the intensity of competition. Companies attract and persuade potential customers by offering them sales discounts. Retailers often use promotions involving price discounts to increase store traffic and stimulate purchase. Now there are certain things that marketers need to consider while pursuing promotion through higher sales discounts because if there are some merits associated with this form of promotion, there are also some demerits of higher sales discounts, like sales effect may only be short term or …show more content…
A positive store image and good value merchandise are key factors for retailers to achieve and sustain success in an increasingly competitive marketplace. Three important components that appear to be key factors to store trade decisions are the retailer's store image, quality of the merchandise/brands sold and price/promotions. Store image encompasses characteristics such as the physical environment of the store, service levels, and merchandise quality.
Similarly product knowledge moderated the effects of price on consumers' perceptions of quality. Price had a greater effect for the low knowledge group as compared to the high knowledge …show more content…
(2006). Understanding Store-Brand Purchase Behavior across Categories. Marketing Science, 25(1), 75-90.
Kopalle, P. K., & Winer, R. S. (1996). A Dynamic Model of Reference Price and Expected Quality. Marketing Letters, 7(1), 41-52.
Ortmeyer, G., & Huber, J. (1991). Brand Experience as a Moderator of the Negative Impact of Promotions. Marketing Letters, 2(1), 35-45.
Raghubir, P., & Corfman, K. (1999). When Do Price Promotions Affect Pretrial Brand Evaluations? Journal of Marketing Research, 36(2), 211-222.
Reinartz, W. J., & Kumar, V. (1999). Store-, Market-, and Consumer-Characteristics: The Drivers of Store Performance. Marketing Letters, 10(1), 5-22.
Sayman, S., Hoch, S. J., & Raju, J. S. (2002). Positioning of Store Brands. Marketing Science, 21(4), 378-397.
Simonson, I., Carmon, Z., & O'curry, S. (1994). Experimental Evidence on the Negative Effect of Product Features and Sales Promotions on brand choice. Marketing Science, 13(1), 23-40.
Völckner, F., & Hofmann, J. (2007). The Price-Perceived Quality Relationship: A Meta-Analytic Review and Assessment of Its Determinants. Marketing Letters, 18(3),
Introduction
Background
Sales promotion is one of the basic tool marketers use in order to attract more and more buyers. Companies spend millions of rupees on promotion of their products/brands. The need for promotion arises from the intensity of competition. Companies attract and persuade potential customers by offering them sales discounts. Retailers often use promotions involving price discounts to increase store traffic and stimulate purchase. Now there are certain things that marketers need to consider while pursuing promotion through higher sales discounts because if there are some merits associated with this form of promotion, there are also some demerits of higher sales discounts, like sales effect may only be short term or …show more content…
A positive store image and good value merchandise are key factors for retailers to achieve and sustain success in an increasingly competitive marketplace. Three important components that appear to be key factors to store trade decisions are the retailer's store image, quality of the merchandise/brands sold and price/promotions. Store image encompasses characteristics such as the physical environment of the store, service levels, and merchandise quality.
Similarly product knowledge moderated the effects of price on consumers' perceptions of quality. Price had a greater effect for the low knowledge group as compared to the high knowledge …show more content…
(2006). Understanding Store-Brand Purchase Behavior across Categories. Marketing Science, 25(1), 75-90.
Kopalle, P. K., & Winer, R. S. (1996). A Dynamic Model of Reference Price and Expected Quality. Marketing Letters, 7(1), 41-52.
Ortmeyer, G., & Huber, J. (1991). Brand Experience as a Moderator of the Negative Impact of Promotions. Marketing Letters, 2(1), 35-45.
Raghubir, P., & Corfman, K. (1999). When Do Price Promotions Affect Pretrial Brand Evaluations? Journal of Marketing Research, 36(2), 211-222.
Reinartz, W. J., & Kumar, V. (1999). Store-, Market-, and Consumer-Characteristics: The Drivers of Store Performance. Marketing Letters, 10(1), 5-22.
Sayman, S., Hoch, S. J., & Raju, J. S. (2002). Positioning of Store Brands. Marketing Science, 21(4), 378-397.
Simonson, I., Carmon, Z., & O'curry, S. (1994). Experimental Evidence on the Negative Effect of Product Features and Sales Promotions on brand choice. Marketing Science, 13(1), 23-40.
Völckner, F., & Hofmann, J. (2007). The Price-Perceived Quality Relationship: A Meta-Analytic Review and Assessment of Its Determinants. Marketing Letters, 18(3),