What defines sales promotion?

Sales promotion is defined as short-term incentives that are specifically designed to increase sales of a product or service. This strategy encompasses a variety of tactics such as discounts, coupons, contests, and special events that aim to encourage consumers to make a purchase quickly. The primary goal of sales promotion is to create immediate demand and stimulate consumer interest, thus providing a boost in sales volume over a limited time frame.

In contrast, long-term marketing strategies generally focus on building brand equity and customer relationships which require more sustained efforts over a longer duration. Investment in advertising can serve as a complement to sales promotions but is often aimed at broader brand awareness rather than immediate sales spikes. Improvement of customer service plays a critical role in customer retention and satisfaction but does not represent the immediate transactional nature of sales promotions. Therefore, the distinctive characteristic of sales promotion lies in its short-term, incentive-driven approach to boost sales.