Retail Categories: Promotional Focus

Retailers generate customer interest using a variety of promotional technique, yet some retailers rely on certain methods more than others as their principle promotional approach.

  • Advertising – Many store-based retailers continue to spend on traditional mass promotional methods of advertising, such as television and newspapers, though their use of internet and mobile advertising, including website, app and email ads, is growing. As would be expected, internet and mobile advertising methods are used extensively by online sellers
  • Direct Mail – A particular form of advertising that many retailers use for the bulk of their promotion is direct mail – advertising through postal mail. Using direct mail for promotion is the primary way catalog retailers distribute their materials and is often utilized by smaller local companies who promote using postcard mailings.
  • Sales Promotion – Retailers use short-term promotions, called sales promotion, to encourage customers to undertake certain activity, such as making a purchase or visiting a store (for more see Types of Sales Promotion Tutorial). One common type of sales promotion is the issuing of rewards cards offering special discounts or cash back for reaching predefined purchase levels.
  • Personal Selling – Retailers selling expensive or high-end products (e.g., automobiles) find a considerable amount of their promotional effort is spent in person-to-person contact with customers. While many of these retailers use other promotional methods, in particular advertising, the consumer-salesperson relationship is key to persuading consumers to make purchase decisions.
Retail Categories: Pricing Strategy
Retail Categories: Service Level