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Consumer promotions appear more attractive than advertising, Whether this short-term achievement is good in a long run?

Consumer Promotion on one hand appears less expensive in nature, generating quicker sales off-takes. On the other hand poses a threat of positioning your brand a promotion driven brand.

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Question added by Faisal Saeed Khan , Trade Marketing Manager , Shahini Distribution, Branch of Shahini Group Holding
Date Posted: 2014/05/03
Muhammad Khan
by Muhammad Khan , General Manager Operations , QFAWS ENGINEERING (PVT) LTD

Consumer Promotions are also one of tool of marketing very similar to advertising but is of course more effective way of marketing as it make customers remember that product or the company for a long time which advertising alone can't do..

It could possibly gain customer loyalty for a long term in a comparatively more effective manner...

 

So, it is also a useful approach for long term but definitely  more effective approach in short run.... 

Consumer promotions appear more attractive than advertising because we see a spurt in sales immediately which leads us to think that it is money well spent. But it is certainly not good in the long run. Firstly the brand will be known as a promo brand only. So sales will decline whenever there is no promotion. Secondly, the expectations of the dealer will increase knowing fully well that the cost of the promotion has been built into the price of the product. Hence relying only on promotions is not only bad for the brand but also the bottom-line of the company.

Faisal Saeed Khan
by Faisal Saeed Khan , Trade Marketing Manager , Shahini Distribution, Branch of Shahini Group Holding

Thank you Mr. Ajlth Kumar. Have a wonderful evening. 

AjIth Kumar Damodar
by AjIth Kumar Damodar , Group Business Manager , Redington India Ltd

It depends on strong your brand is 

If you have a strong brand name you can expect good returns on consumer promotions as you can get First time customers who could stay loyal to you