Sales promotions are marketing tactics that aim to increase consumer demand for a product or service, typically by offering discounts or other incentives such as prizes.

These promotions can be effective in driving sales by creating a sense of urgency, encouraging impulse purchases, (changing the immediate behaviour of a potential customer) and increasing brand awareness. Additionally, sales promotions can help to clear out old stock that needs to be replaced, drive trial of new products and push seasonal sales strategies. Sales promotions can attract new customers and increase loyalty among existing customers and should target both audiences. Examples of sales promotions include prize competitions, price discounts, buy-one-get-one-free offers, money back (if you aren’t happy), collector schemes (Buy 10 to claim a gift), money off coupons and loyalty programs, all using a variety of mechanics to optimise the customer experience.