Effect of Sales Promotions on Consumer Buying Behavior in Branded Apparels in India.

Topics: Marketing, Sales promotion, Advertising Pages: 9 (2987 words) Published: May 11, 2013
Effect of Sales Promotions on Consumer Buying Behavior in Branded Apparels in India. Abstract
Basically, promotion is first introduced in the 4Ps of marketing. The four Ps represents the marketing mix (Product, Price, Place & Promotion) and the promotional mix is the important term used to explain the set of tools of the business. This is applied to achieve benefit of its products and services from its consumer and the followings are (Advertising, Public relation, Direct marketing, Personal selling and Sales promotion). Basically sales promotions strategies used as a short-term technique tool which principal objective is to influence the ultimate buyers to try a brand or change their mind to another brand. Does consumption respond to promotion? Many studies have focused on the effects of promotion on brand switching, purchase quantity, and stockpiling and have documented that promotion makes consumers switch brands and purchase earlier or more. The consumers‘ consumption decision has long been ignored, and it remains unclear how promotion affects consumption (Blattberg et al. 1995) Wansink and Deshpande (1994) show that when the product is perceived as widely substitutable, consumers will consume more of it in place of its close substitutes. They also show that higher perishability increases consumption rates. Throughout the world, consumer sales promotions are an integral part of the marketing mix for many consumer products. Marketing managers use price-oriented promotions such as coupons, rebates, and price discounts to increase sales and market share, entice trial, and encourage brand switching. Non-price promotions such as sweepstakes, frequent user clubs, and premiums add excitement and value to brands and may encourage brand loyalty (e.g., Aaker 1991; Shea, 1996). A large body of literature has examined consumer response to sales promotions, most notably coupons (e.g.. Sawyer and Dickson, 1984; Bawa and Shoemaker, 1987 and 1989; Gupta, 1988; Blattberg and Neslin, 1990; Kirshnan and Rao, 1995; Leone and 92 | P a g e Srinivasan, 1996). Despite this, important gaps remain to be studied. It is generally agreed that sales promotions are difficult to standardize because of legal, economic, and cultural differences (e.g., Foxman, Tansuhaj, and Wong, 1988; Kashani and Quelch, 1990; Huff and Alden, 1998). Multinational firms should therefore understand how consumer response to sales promotions differs between countries or states or province.

This study seeks to demonstrate the impact of sales promotion and advertising simultaneously on consumer’s purchasing behavior. Now-a-days people are conscious to look for the best one and that’s why their fluctuating mind may switch on to new brands with a simple stimulus. In this case an extra incentive can be added to a product by different promotional activities.


Difference in customer’s habits, their cognitive structures and their motives cause them to behave differently when buying. Although an individual doesn’t act the same way in all situations, people tend to act consistently, we may identify six groups of consumers by their buying behavior.

A habit – determined group of brand loyal consumers who tend to be satisfied with the Product or brand last purchased.

A price – cognitive group of consumers who decide principally upon the basis of price or economy comparison.

A cognitive group of consumers who are sensitive to rational claims

An impulse group of consumers who buy on the basis of physical appeal and arerelatively insensitive to brand name.

A group of emotional reactors who respond to product symbols and are heavily swayed by images.

A group of new consumers who haven’t yet stabilized the psychological dimensions of their behavior.
Indian Apparel Industry
India’s apparel market is in the throes of change. Rapid growth and rising urbanization have spawned a new class of consumers with more money to spend, and...
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