Effects of Premium Sales Promotions on Consumer Behaviour Case study - Gaya Cosmetics
Smolkin, Jana (2015)
Smolkin, Jana
Yrkeshögskolan Arcada
2015
All rights reserved
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2015122121574
https://urn.fi/URN:NBN:fi:amk-2015122121574
Tiivistelmä
Sales promotions have been studied very extensively over the past decades and today have become one of the chief factors in the promotional domain. The importance of sales promotions is being recognized by an increasing number of companies as well as the meaning of a well- structured promotion strategy.
The purpose of this thesis is to show whether premium promotions can impact on an increase in sales as a result from consumers being attracted to a product category that they were not purchasing before; consumers already purchasing in a specific product category but switching to another brand; and consumers increasing their purchase quantities of a specific brand. The data was collected and gathered from existing literature and several online sources. An interview was conducted with one of the owners of Gaya Cosmetics as the empirical data. An analysis of the finding was brought that was based on the secondary data, theoretical framework, and practical information.
The results show that managers cannot ignore premium promotions, as they are proven to be effective in specific cases under certain circumstances. It is shown that premium promotions can influence on consumers to choose the promoted product when premium promotion is used specially when it is the introduction stage of the product, when the consumer is not familiar yet with the specific product, unlike the common belief that price promotions are preferable in that stage.
It is believed that this thesis can assist companies when considering whether to use premium promotions as part of their marketing strategy.
The purpose of this thesis is to show whether premium promotions can impact on an increase in sales as a result from consumers being attracted to a product category that they were not purchasing before; consumers already purchasing in a specific product category but switching to another brand; and consumers increasing their purchase quantities of a specific brand. The data was collected and gathered from existing literature and several online sources. An interview was conducted with one of the owners of Gaya Cosmetics as the empirical data. An analysis of the finding was brought that was based on the secondary data, theoretical framework, and practical information.
The results show that managers cannot ignore premium promotions, as they are proven to be effective in specific cases under certain circumstances. It is shown that premium promotions can influence on consumers to choose the promoted product when premium promotion is used specially when it is the introduction stage of the product, when the consumer is not familiar yet with the specific product, unlike the common belief that price promotions are preferable in that stage.
It is believed that this thesis can assist companies when considering whether to use premium promotions as part of their marketing strategy.