What is Promotional Technique?

Promotional technique is a method used in sales activities to introduce a product and influence potential buyers to make a purchase. Good techniques can increase the sales volume of a business. Therefore, it is important to be wise and smart in choosing the right techniques to use in selling products.

According to Shimp in his book "Advertising, Promotion" (2003), promotional techniques can be done through personal selling, advertising, publicity, sales promotion, point of purchase, and sponsorship.

Promotional Techniques:

1. Personal Selling

Personal selling is a form of sales promotion that involves two-way communication, face-to-face or personal presentation between the seller and the buyer to introduce the product offered, persuade and influence potential buyers with the aim of creating a sale.

The advantages of personal selling are:

• Two-way communication between the seller and the buyer, which increases the level of closing.
• The seller can give directions to the buyer according to their needs.
• The seller and the buyer become closer.
• The seller knows directly the satisfaction of the buyer (customer).

2. Advertising

Advertising is one of the four essential tools used by companies to launch persuasive communication to targeted buyers and the public.
According to Kotler (2001), advertising is all forms of non-personal presentation and promotion of ideas, goods, or services by a sponsor who pays for it.
Advertising is an effective way to spread messages in terms of cost and motivates consumers to use a product (Kasali, 1995).

Advertising can be divided into three types according to Griffin:

• Persuasive advertising

Persuasive advertising is a type of advertising that can attract interest based on urgent needs. From this advertising, the public can understand the information they get.

• Comparative advertising

Comparative advertising is an advertisement that directly compares one brand with one or more other brands.

• Reminder advertising

Reminder advertising is an advertisement aimed at buyers or potential buyers so that they do not forget the product.

3. Publicity

Publicity is a technical term in the context of law and is mainly related to copyright law.

4. Sales Promotion

Sales promotion is one of the determinants of the success of a marketing program. There are several types of sales promotion.

Pull strategy is a strategy that uses incentives to motivate customers to make a purchase. If customers start to become interested and look for the product or service, the influence will encourage retailers to increase the stock of the sought-after product.

Push strategy is a strategy that uses incentives to motivate agents or retailers to increase their orders and sales at each outlet.

• This is done by using:
• Volume discount strategy.
• Allowance strategy.
• Dealer Contest strategy.
• Sales Training strategy.
• Point of Purchase strategy.

5. Point of Purchase

Point of purchase (POP display) is marketing and advertising material placed directly near the merchandise being promoted.

6. Sponsorship

Sponsorship is financial or material support for an organization, person, or activity exchanged for brand publicity in a cooperative relationship.

In conclusion, mastering effective promotion techniques is crucial for anyone who wants to become a successful forex broker. By utilizing the right strategies, such as personal selling, advertising, public relations, sales promotion, point of purchase, and sponsorship, brokers can attract potential customers and influence them to make purchases. It's important to carefully select and tailor the promotion techniques to suit the specific needs of your business and customers. With the right techniques, dedication, and hard work, anyone can achieve success in the competitive world of forex trading.