When is the best time to run a sales promotion scheme?
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The marketing plan should highlight expected peaks and troughs of sales activity – for example, a pre-Christmas rush or January slump. Sales promotion, used intelligently, should be used to iron out these distortions to make best use of management and staff time, plant and resources, and to even out cashflow. If sales are meeting expectations, then sales promotion may just waste your time and money. But when a new rival appears on the scene or a new product is launched, you need to promote to avoid losing sales and market share. Some shops are always having sales, which rather tends to negate the meaning of the word. Others always hold a pre-season sale to generate cash to stock up for the summer. It depends on what sector you are in, what your demands are, and what competitive pressures you are under. Successful sales promotion tends to be short and sharp. Generate plenty of activity and hype if you can, then return to normal trading once the effect starts to wear off.