Giorgi KAZISHVILI

In contemporary conditions, amidst the swift development of information technologies and fierce competition, companies employ various marketing techniques to attract customers. In order to attract and maintain customers, companies try to create additional motivation for them to purchase their products or services. In this regard, a particular significance is attributed to such a marketing tool as sales promotion, which holds a crucial stance in integrated marketing communications.

Certain factors contributed to increased sales incentives. Among them, it is worth noting: the growing power of retailers, fragmentation of the consumer market, competition, declining brand loyalty, increasing sensitivity to incentives, consumer behavior, etc.

One of the categories of sales promotion is customer-oriented sales promotion. Among the customer-oriented sales stimulation methods, it’s noteworthy to mention: discounts, samples, coupons, bonus packages, premiums (advertising prizes), brand loyalty programs, competitions and giveaways, event marketing and so on.

Sales promotion has both advantages and disadvantages. Benefits include: instantly increasing sales, providing a discount to a price-sensitive customer, building loyalty, increasing awareness of new products (e.g. product samples), attracting new customers, getting rid of unsold inventory, etc. Disadvantages include: May negatively impact on brand image, short-term strategy, sales promotion may not change consumer attitudes and perceptions, increased price sensitivity, low coupon cashing rates and costs, false coupon cashing and fraud, additional costs for companies.

The paper showcases the primary trends in the development of customer-oriented sales stimulation methods on the example of chain grocery stores operating in Gori. Based on the results of the research conducted by us in Gori, specific conclusions and recommendations are presented.

Key words: sales promotion, marketing, Integrated Marketing Communications, a store, Gori.