The main tools of sales promotion that can be used in global markets are:
Sampling: is a sales promotion strategy that allows to customers to try the product before make a purchase. Usually, customers need to have an idea about a product before making a decision of whether buying or not. For example, perfumes, PC software, video games, or even movies. However, sampling could cost the company a considerable amount of money; all depends on the nature of the product and the size of the market served. Also, a company could not guarantee the customers’ adoption of its …show more content…
Indeed, couponing is a strategic sales tool that rewards the loyal customers of some particular products. In fact, couponing is widely used in Europe, such as the UK and Belgium, while it’s much lower in China and Indonesia. However, couponing sales promotion strategy could be subject of fraudulent printings.
2. What potential environmental challenges must be taken into account by a company that uses personal selling as a promotional tool outside the home country?
The potential environmental challenges that should be taken into account by a company that uses personal selling as a promotional tool outside the home country are: Political risks: Corrupt governments and bureaucrat structures represent a big obstacle when using personal selling abroad. Certainly, most of the developed and underdeveloped countries are attractive to foreign investments, but the over intervention of governments in business operations might influence the way of the doing business in the local …show more content…
In fact, the local sales representatives could misunderstand the company’s values and goals. Also, the company’s culture could be not fully applicable while selling the image of the company. One more issue is that the local sales representatives could be involved in unethical behaviors that go against the company’s code of ethics. In this case, P&G is required to provide extensive training and technical skills development in order to make sure that the company’s image and culture remain intact.
6. What role does direct marketing have in a global company 's promotion mix? Name three companies that have successfully used direct mail or other forms of direct-response advertising.
Direct marketing is a form of communication designed to generate a response in the form of an order, a request for further information, and a visit to a store or other place of business. The direct marketing could take the form of direct mail, catalog, sells letters, and websites’’ feedback.
National Geographic Channel uses software to collect data about its customers.
Google uses direct mail to interact with its customers and promote its new features and service on the regular basis.
Burger King recently implemented a mobile app that facilitates to the consumers to find the nearest