Premiums Handbook

Powerful Essays
Premiums HandBook

Nestec
Advertising and Sales Promotion Service
Nestle Products Technical Assistance Co. Ltd
La Tour-de-Peilz Switzerland

Index

Types of premium offers 1 1
Deal Loaders 1.1
Free Mail-Ins 1.2
Self-Liquidating Mail-In 1.3
In-or On-Package 1.4
Near Packs 1.5
Reusable Containers (Premium Packs) 1.6
Premium Incentives 1.7

Premium Development 2 17

Advertising and Promoting Premiums 3 19
Trade Advertising 3.1
Own Sales Force Point of Sale Advertising 3.2
Display 3.3

Pre-Testing 5 20
Research Methods:
Ballot Test 5.1
Show Test 5.2
Side-by-Side in-Store Tests 5.3

Evaluation 6 21
Consumers Panels 6.1
Ad-hoc Studies 6.2
Nielsen-type Retail Audits 6.3

Summary 7 23

General Remarks

The use of premiums as a means of inciting the consumer to buy specific products dates as far back as 1851. Experience has forced this promotional method to change with the conditions and the sophistication of consumer tastes. However, one thing remains unchanged, in the past, present and future: premiums succeed only to the extend that they are made known. This calls for promotion by newspapers, magazines, displays, radio, T.V. and any other method successful in mass advertising.

In many markets, at the present time, huge sums of money are being invested in premiums. However, very little is done to test and evaluate these expenditures.

Why offer a premium at all? Why should anyone give something for nothing? What is gained by it? What specific circumstances call for its use? The reasons are many. Most of them will be answered in the next pages.

Objectives

Being a merchandise incitement, a premium will help to attain most sales promotion objectives. However, there are certain promotional problems, which can be more easily overcome by premiums than others. For example:

1. To step up

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