Demand stimulation: what are the features and how to carry it out
Posted: Tue Dec 24, 2024 8:11 am
Demand stimulation (or Sales promotion ) is a set of measures aimed at promoting a product or brand. The goal is to encourage the consumer not only to make a purchase, but also to develop sympathy, or even better – commitment. Promotion involves advertising and PR, as well as personal sales.
When demand stimulation is needed
There are a number of circumstances when it is necessary to resort to demand stimulation. These include buyer indifference or lack of information about the product, its rejection in case of unpopularity, the need to add novelty, to draw attention to a new way of use. The reason may also be that the competitor's offer turned out to be better, the market is flooded with identical products from different manufacturers, demand fluctuates (seasonally), or a new product has appeared on the market.
When demand stimulation is needed
Basic methods of stimulation
To resolve the situation, marketing uses some special methods.
Price. They are the most valuable in marketing, as armenia email lis they reach customers the fastest and receive feedback from them. What can I say, and they are the most loved by customers. This is everything that allows you to save: discounts, promotions, temporary price reductions.
Natural. As part of stimulating demand, these methods provide an opportunity to try or use the product. If we are talking about food products, then these are free tastings or small samples (sauces, for example), if about selling cars, this is a test drive. When selling a stove, a spoon or spatula is a good gift.
Active. Competitions, quizzes, lotteries that allow you to win a prize also increase demand for the product. Such events are held both among existing buyers and among potential ones who have filled out a questionnaire, for example. Excitement and the desire to win are the driving force in this case.
Promotion is short-term, regardless of the method.
What products are in demand?
It should be noted that there are goods with high demand, so they are sold even during a crisis. And the pandemic was no exception. Here are these goods:
essential goods (food products, as well as personal hygiene and personal protective equipment);
medicines and medical products;
household;
children's;
clothes and shoes;
technology and electronics;
auto parts.
Here the question arises: is there any point in spending resources and stimulating the sales of these products? Maybe they sell themselves? Of course, some items are sold that way. But if it is not bread, soap, analgin and gasoline, measures to stimulate sales are simply necessary. Moreover, they are equally important for buyers and sellers (manufacturers).
What products are in demand?
FOSSTIS system (demand generation and sales promotion)
The method of interaction between the producer and the consumer, as a result of which both parties receive benefits, is the FOSSTIS system: demand formation (FOS) and sales promotion (STIS). It leads to the receipt of profit for the producer and satisfies the needs of the buyer.
A set of measures aimed at generating demand eliminates barriers of mistrust towards the product. Namely: it informs about the product, helps to understand what problems it will help to solve, encourages to buy (it is precisely to this part of the system that demand stimulation refers).
As for sales promotion, it encourages the consumer to return for the product regularly. To do this, they do not just inform the buyer about the offers as much as possible and do not just hold events to ensure loyalty. The work in this case is aimed at building long-term relationships.
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Categories: Blog , Marketing , Useful articles
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When demand stimulation is needed
There are a number of circumstances when it is necessary to resort to demand stimulation. These include buyer indifference or lack of information about the product, its rejection in case of unpopularity, the need to add novelty, to draw attention to a new way of use. The reason may also be that the competitor's offer turned out to be better, the market is flooded with identical products from different manufacturers, demand fluctuates (seasonally), or a new product has appeared on the market.
When demand stimulation is needed
Basic methods of stimulation
To resolve the situation, marketing uses some special methods.
Price. They are the most valuable in marketing, as armenia email lis they reach customers the fastest and receive feedback from them. What can I say, and they are the most loved by customers. This is everything that allows you to save: discounts, promotions, temporary price reductions.
Natural. As part of stimulating demand, these methods provide an opportunity to try or use the product. If we are talking about food products, then these are free tastings or small samples (sauces, for example), if about selling cars, this is a test drive. When selling a stove, a spoon or spatula is a good gift.
Active. Competitions, quizzes, lotteries that allow you to win a prize also increase demand for the product. Such events are held both among existing buyers and among potential ones who have filled out a questionnaire, for example. Excitement and the desire to win are the driving force in this case.
Promotion is short-term, regardless of the method.
What products are in demand?
It should be noted that there are goods with high demand, so they are sold even during a crisis. And the pandemic was no exception. Here are these goods:
essential goods (food products, as well as personal hygiene and personal protective equipment);
medicines and medical products;
household;
children's;
clothes and shoes;
technology and electronics;
auto parts.
Here the question arises: is there any point in spending resources and stimulating the sales of these products? Maybe they sell themselves? Of course, some items are sold that way. But if it is not bread, soap, analgin and gasoline, measures to stimulate sales are simply necessary. Moreover, they are equally important for buyers and sellers (manufacturers).
What products are in demand?
FOSSTIS system (demand generation and sales promotion)
The method of interaction between the producer and the consumer, as a result of which both parties receive benefits, is the FOSSTIS system: demand formation (FOS) and sales promotion (STIS). It leads to the receipt of profit for the producer and satisfies the needs of the buyer.
A set of measures aimed at generating demand eliminates barriers of mistrust towards the product. Namely: it informs about the product, helps to understand what problems it will help to solve, encourages to buy (it is precisely to this part of the system that demand stimulation refers).
As for sales promotion, it encourages the consumer to return for the product regularly. To do this, they do not just inform the buyer about the offers as much as possible and do not just hold events to ensure loyalty. The work in this case is aimed at building long-term relationships.
Join us and choose thousands of products for wholesale and dropshipping from Ukrainian suppliers for your business, upload products to your online store!
Categories: Blog , Marketing , Useful articles
share