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Handbook of Market Research pp 1–18Cite as

Measuring Sales Promotion Effectiveness

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Abstract

Sales promotions are an important marketing tool for both manufacturers and retailers. They include, for example, temporary price reductions, coupons, features, displays, sampling, and premiums. The bad news about promotions is that many of them are not profitable. The good news is that promotion effectiveness can be measured so that managers can identify the promotions which generate a profit and eliminate the ones that do not. This chapter presents data and models that can be used for this purpose. It focuses on panel data which is available at the aggregate (i.e., store) level and at the disaggregate (i.e., consumer) level. While aggregate data is more readily available and easier to analyze, disaggregate data allows for more detailed analyses. Several examples illustrate how models build on these data to measure promotion effectiveness. Since panel data has its limitations, it is often useful to complement it with surveys and/or experiments.

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Authors and Affiliations

  1. University of Hamburg, Hamburg, Germany

    Karen Gedenk

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  1. Karen Gedenk
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Correspondence to Karen Gedenk .

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Editors and Affiliations

  1. Universität Mannheim, Mannheim, Germany

    Christian Homburg

  2. Inst. Informations Systems and Marketing Marketing & Sales Research Group, Karlsruher Institut für Technologie, Karlsruhe, Germany

    Martin Klarmann

  3. LS für ABWL und Marketing I, Universität Mannheim, Mannheim, Baden-Württemberg, Germany

    Arnd Vomberg

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Gedenk, K. (2019). Measuring Sales Promotion Effectiveness. In: Homburg, C., Klarmann, M., Vomberg, A. (eds) Handbook of Market Research. Springer, Cham. https://doi.org/10.1007/978-3-319-05542-8_32-1

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  • DOI: https://doi.org/10.1007/978-3-319-05542-8_32-1

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  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-319-05542-8

  • Online ISBN: 978-3-319-05542-8

  • eBook Packages: Springer Reference Business and ManagementReference Module Humanities and Social SciencesReference Module Business, Economics and Social Sciences

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