Sunday, October 23, 2011

Ch. 18 - Sales Promotion and Personal Selling

Sales promotion is marketing communication activities other than: advertising, personal selling, and public relations, in which a short term incentive motivates consumers or members of the distribution channel to purchase a good or service immediately, either by lowering the price or by adding value.

Sephora posted on their website Free shipping over $50, same day delivery in Manhattan, and 3 free samples with every order.

Sephora always posts their products online as a big package sale for customers. They offer a package which they claim has a value of $180, but customers are told they only have to pay $75. An example is given in the photo below:

( Most of customers feel like this is a great deal.  They believe they get to pay less and get more for their money even if the package includes additional items the customer may not really want. However, for the Sephora stores, it would appear they didn't make lots of money, but they get to bring in lots of customers to their stores and build customer loyalty with promotions like these.)


November and December have a lot of holidays coming. The Sephora offered Makeup Studio Blockbuster is valued at $440 and now is just $49.50:

And for Sephora's loyal customers, they get the special offers below:
  1. They offer free birthday gift.  
  2. On Sephora's member card, each time when you make a purchase, points accumulate. Once enough points are earned, consumers get to choose a free gift.
Sephora's selling style is personalized.  Inside every store, they offer knowledgeable staff who, not only sell products to customers, but can also serve as advisers to them. Walk into any Sephora store anywhere in the world and you will have this same experience. The selling strategy is to let every customers feel comfortable  and build a trusting relationship with the customer. This will make the customer feel more likely to shop at a  Sephora store, because when they are shopping at Sephora, they get not only good service, but also a knowledgeable staff to help them.

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