Abstract
<p>Sales promotion is an essential tool which leads to real increase in sales and profit. According to previous studies, sales promotions are effective at a cross cultural level when they provide benefits that go hand in hand with those of the promoted product. However, there is no literature state about the different sales promotion consumer benefits influences on its effectiveness at the demographic level (urban verses rural). To address this concern, this paper seeks to explore the congruence framework by analyzing how culture at a demographic group level impacts sales promotion. The objective is to investigate whether cultural differences at this level will have an impact at the effectiveness of sales promotion. This conceptual paper sheds light on the influence of culture in demographic group level in determining the response of consumers to sales promotions. The findings will contribute to the understanding of products and promotion types in the Vietnam retailers. It will also allow manufacturing companies to focus better on their strategies for marketing their products towards the Vietnamese consumer.</p>
Highlights
Sales promotions are essentials in the marketing programs of retailers
According to Dha, Hoch, Dreze & Purk, sales promotions result to a real increase in sales and profits (1994)
Little effort has been done to address the importance of different factors that constitute the sales promotions format of retails in reference of upcoming less developed countries such as Vietnam, Cambodia and Laos
Summary
Sales promotions are essentials in the marketing programs of retailers. Sales promotion is a practice done by marketing departments or brand developers to give consumers a reason to buy their products or switch from a competitor’s brand to theirs. Little effort has been done to address the importance of different factors that constitute the sales promotions format of retails in reference of upcoming less developed countries such as Vietnam, Cambodia and Laos. Vietnam is the fourth country in terms of possible growth potential relating to increase of demand for consumer goods and the rising disposable incomes. It falls behind India, Russia and china. The status of residency categorizes Vietnamese people into different packages of social status and social benefits not withholding infrastructure, and is conveniently termed rural versus urban (Chen, Bian, Xin, Wang & Silbereisen, 2010; Chen & Li, 2012). This paper extends the framework of the effectiveness of sales promotions by incorporating the impact of culture on urban versus rural consumers. This paper offers theoretically-substantiated of propositions that help in clarifying why certain promotional tactics are effective subject to the cultural values of the individuals
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