ConceptFRAMEWORK
Price promotion
price promotions · promotional pressure
A price promotion is a temporary price cut to trigger immediate sales. The spike at the till is real, but fifty years of buying data is sobering about what follows: most of the extra volume comes from existing buyers bringing purchases forward or from switchers who bought the brand occasionally anyway. New lasting buyers rarely materialise, and after the promotion sales settle back to the old level, sometimes with a dip. Structural promotion also trains the reference price downward. Promotions are tools for distribution and volume moments, not an engine of growth.
Covered in
A1
A1-01 What Makes a Marketing Law a Lawstill locked
A4
A8
A8-06 Retail Media — Big Money, Young Evidencestill locked
F4
Show all 31 mentions
F6
F6-03 Price — The Only P That Generates Revenuestill locked
F6-06 Promotion: Communications Within the Mixstill locked
F6-09 Common Marketing Mix Mistakesstill locked
F6-10 Integration: the mix managerstill locked
F7
F7-03 The Long and the Short of Itstill locked
F9
F9-01 Marketing finance — pricing as the lever, MROI as the instrument§ Hanssens's MROI as the correct measurement frame
F9-02 ROI, ROMI, and the Measurement Trapstill locked
F9-06 The Business Case for Marketing Investmentstill locked
F12
F12-01 What Marketing Strategy Actually Is§ Martin's where-to-play, how-to-win: making it operational
F12-06 Budget, Allocation, and the 60/40 Rulestill locked
M1
M1-18 The Retailer as Brand — Shopper Lawsstill locked
Related concepts
Sources
- Andrew Ehrenberg (1988)
- Byron Sharp (2010)
Machine-written definition; editorial curation in progress.