F urthermore premiums can be very effective if they

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: ted in a variety of ways: T hey can be included in the product packaging, such as the toys inside cereal boxes; placed visibly on the package, such as a coupon for free milk on a box of Cheerios; handed out in the store; or delivered in the mail, such as the free perfume offers Victoria's Secret mails to customers. F urthermore, premiums can be very effective if they are consistent with the brand's message and image and highly desirable to the target market. However, finding a premium that meets these criteria at a reasonable cost can be a serious challenge. Co n te sts A co n te st refers to a brand-sponsored competition that requires some form of skill or effort. On ESPN's website, they have a page that has numerous sports-related contests. Some of them include “Get Me to the World Cup sponsored by Sony” and “Player of the Month presented by Kia.”48 F or the Get Me to the World Cup, each contestant is required to create and upload a short video demonstrating why they should be the one picked to send to the World Cup. T hey also provide a number of sample videos including one by Kobe Bryant. A form of sales promotion that offers prizes based on a chance drawing of entrants' names, swe e p stake s do not require the entrant to complete a task other than buying a ticket or filling out a form. Often the key benefit of sweepstakes is that they encourage current consumers to consume more if the sweepstakes form appears inside the packaging or with the product. Many states, however, specify that no purchase can be required to enter sweepstakes. Samp le s Samp lin g offers potential customers the opportunity to try a product or service before they make a buying decision. Distributing samples is one of the most costly sales promotion tools but also one of the most effective. Quick service restaurants and grocery stores frequently utilize sampling. F or instance, Starbucks provides samples of new products to customers. Costco uses so many samples that customers can have an entire meal. Sometimes trial-size samples come in the mail or are distributed in s...
View Full Document

This note was uploaded on 01/25/2014 for the course BADM 320 taught by Professor Staff during the Winter '08 term at University of Illinois, Urbana Champaign.

Ask a homework question - tutors are online