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A dealer promotion is a marketing technique that is part of sales promotion. Its main objective is to increase sales of products and services through targeted incentives for dealers. This strategy is particularly effective in increasing interest in products and accelerating sales.
Dealer promotions are time-limited campaigns aimed at offering dealers and end consumers special benefits. These include special discounts, product tastings, competitions, free gifts and special placements in stores. These promotions are measurable and create an incentive to buy for both the end consumer and the retailer.
To motivate dealers to participate in dealer promotions, rewards are often offered for achieving certain turnover or sales targets. Sales competitions and bonuses serve to stimulate sales and promote the recommendation of the promotional product.
Dealer promotions often include training for sales staff to familiarize them with the product and increase their enthusiasm for the product. This training is intended to motivate sales staff to recommend the advertised product, which can, however, influence the otherwise neutral advice.
To support dealer promotions, cooperative advertising measures are often used. This includes ads, direct marketing, TV and radio advertising, where manufacturers and dealers work together to achieve greater reach and impact.
Dealer promotion is used as a tactical tool to achieve short-term, measurable successes, such as the introduction of new products, revitalizing declining sales, or competing with rival products. The goal is to draw attention to the product and sustainably increase sales.
Dealer promotion focuses on motivating dealers to promote the sales of specific products, while other strategies target end consumers directly or aim at long-term brand building.