Effectiveness of Sales Promotion: Can Brand Loyalty be achieved?
DOI:
https://doi.org/10.18533/ijbsr.v13i02.1464Keywords:
Sales promotion, Promotion driven customer base, Cynical view, Restrictive requirements, Brand image, Perception, Satisfaction and LoyaltyAbstract
Purpose – This research aims to examine whether sales promotion are effective in building brand loyalty.
Design/methodology/approach – Multi-stage sampling technique was used. Retail outlets were selected by judgement and the respondents were chosen by systematic random sampling. A survey of 230 respondents has been conducted.
Findings –The study reveals that all the four constructs- promotion driven customer base, cynical view, restrictive requirements, and brand image, have a significant influence on the consumers’ perception towards sales promotion. Furthermore, all the constructs like perception, preference for sales promotion, consumers’ usage behavior and satisfaction were found to influence brand loyalty.
Managerial Implications – Managers should only go for sales promotion if it is strategically planned, not based on hype.
Originality/value – Consumers respond negatively to offers of sales promotions because of issues like promotion driven customer base, cynical view, restrictive requirements, and brand image. Brands should carefully plan their whole operation before jumping into such projects.
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