Sales Promotion in Marketing: Definition, Examples, Ideas, and Types

  • By Neha Siddhwani
  • 7 August 2023
Sales Promotion in Marketing: Definition, Examples, Ideas, and Types

5800 students unlocked their dream jobs with UG/PG programs in top colleges. Apply Now!

What is Sales promotion in Marketing? Can I be a part of it if I have done an MBA degree course in Marketing? What if I am an engineer or don’t have BBA background? Well, many candidates think that you can do an MBA after BCom or BBA but are unaware of the fact that an MBA  after engineering is getting the equal limelight. So, you need to know what is sales promotion in marketing management and then only, you will be able to make a career in it. In this blog, you will learn about different types of sales promotion and what is the role of sales promotion in marketing.

What is Sales Promotion in Marketing?

Sales promotion is a marketing strategy that makes use of incentives or special offers to increase sales, attract new customers, and improve brand recognition. Sales promotion is the short-term approach used by businesses to generate immediate demand for their products or services. Sales promotion could be a useful strategy for setting a company apart from rivals and spreading the word about the launch of a ground-breaking good or service. Additionally, it can be utilised to get rid of extra inventory or move things that move slowly. However, businesses should be cautious to just partially rely on sales promotions as doing so may be expensive and may not ultimately result in long-term client retention. The goal is to provide customers with added value in order to convince them to make a purchase or take other actions, such as signing up for a service or referring the business to others.

Role of Sales Promotion in Marketing

  • Sales promotions that offer discounts, freebies, trials, and other incentives may help to create new leads. This enhances consumer acquisition and helps build a base of dedicated customers.
  • Sales incentives can help businesses reach their sales goals by changing consumer behaviour or boosting short-term purchases.
  • Sales promotions support a number of business goals and maintain current customers' enthusiasm for offers.
  • Sales promotions help businesses attract customers and differentiate themselves from the competition. Customers obtain more value through promotions, which reduces the cost of taking a chance on a new brand or product.
  • Sales promotion generates new leads, re-engages existing audiences, boosts income, increases brand recognition, and makes a name for your brand since people are more likely to talk about a company that delivers benefits and saves them money.

Pros and Cons of Sales Promotion in Marketing

There are many Pros and Cons of Sales Promotion in Marketing. Let’s have a look at them:


Sales promotion in marketing has several benefits, including:

  • creating fresh leads
  • introducing a new item, function, or service
  • Selling surplus stock and gaining insightful knowledge
  • fostering connections with customers through engagement and retention
  • Creating differentiation from rivals
  • encouraging word of mouth
  • Agreement for the cross-selling of goods and services


These are the negative aspects of sales promotion:

  • This can result in missed chances to make money.
  • Customers can doubt the legitimacy of the company and assume that the good or service hasn't been done properly.
  • Implementing sales promotions can be costly, and using them too frequently might reduce customer and brand loyalty.

Types of Sales Promotion in Marketing

We'll go over the top 7 sales promotions that companies can utilise to strengthen their marketing plans.

Buy One, Get One Free (BOGO)

By providing a free item with a second purchase, the BOGO sales promotion encourages buyers to make further purchases. This tactic may be employed to encourage customers to try novel items and to reduce inventory, which is typically the goal.

Loyalty Initiatives

A marketing tactic known as a customer loyalty programme rewards and pays customers who frequently use a brand or make purchases from it. A company may award customers with points or bonuses that boost their levels of loyalty when they make additional purchases. 

Referral Initiatives

Rewards for referrals motivate customers to tell their friends and family about your business. This can be accomplished through promotions, gifts, or other sorts of incentives. For each recommendation they make, customers can earn rewards like discounts or free merchandise. Referral programmes can help increase brand awareness and client loyalty.

Limited-Time Deals

Limited-time offers are a type of sales promotion that allows customers to benefit from a particular offer or discount. Using this campaign could lead customers to feel pressured to purchase as soon as possible. A flash sale is a quick advertisement that encourages immediate purchases by fostering a sense of urgency.

Sweepstakes and competitions

Businesses may boost brand recognition and attract new consumers through contests and sweepstakes. Customers have the opportunity to participate and win prizes like free goods, discounts, or cash. Contests may be advertised in-store, by email, or on social media.

Offers for coupons and cash back

When making a purchase, customers that use cashback offers get a discount. Customers are persuaded by this effort to buy more or buy a specific product. Cashback offers could be limited to a specific timeframe or category of products or services.

Coupons are tokens that provide discounts on specific items or services. These can be delivered by email, physical mail, or social media.

No-cost samples

Free samples enable clients to evaluate a product before purchasing it, which is a powerful sales marketing strategy. This strategy excels when applied to novel products or services that customers might be hesitant to try. Free samples may be distributed online or in the mail.

About Sunstone

We are sure that you are very well aware of Sales promotion in marketing. Hence, you must be keen to do an MBA program from a reputed college. If you want to pursue an MBA postgraduate degree, you can apply to an MBA program via Sunstone. You will gain numerous benefits that will assist you in furthering your career. You will receive 70+ training and development sessions from top recruiters and industry experts, as well as learn from experienced guest instructors who are ex-IIMs and IITs, construct a professional portfolio, and many other benefits if you apply with Sunstone.

FAQs - Sales Promotion in Marketing

Can you tell me 4 types of Sales Promotion?

The 4 types of sales promotion are:

  • Loyalty Program
  • Samples
  • Contests
  • Coupons and Cashback

Please give an example of Sales Promotion.

If you scroll any site, do you see,  Buy One Get One Free? That is the perfect example of Sales Promotion in Marketing.

Is Marketing worth it?

Yes, Marketing has a wide range of scope that you can consider and most importantly, you will have a chance to show your innovative mind to others through marketing.

Take the first step towards your dream job.

Enter a world of


Apply for graduate or postgraduate program and shape your career now!

Full Name
Mobile Number
I want to pursue