Answer:

In my opinion, no major brands can afford to use the same forms of support in all distribution channels. Tailor made promotions can form a part of channel-specific strategies. The advantages are transparent for both sides and the target group can also be persuaded more easily, while results can also be measured more easily. However, the specific features of the chain should always be taken into consideration. We have seen some bad ideas from manufacturers. For example, in one case the idea was to give customers an instant gift , but the manufacturer had no idea as to how these would be delivered to 3,000 stores or what should happen to these after the promotion. Another important consideration might be the fact that such campaigns should give customers an opportunity not found elsewhere. This can enhance both brands (products and retailer). People tend to share their negative experiences with five times as many other people as their positive ones. If only 80 per cent of customers are satisfied, then only a few people will hear that we have done something positive. In the case of the Coop chain, it is useful to have practical support from the manufacturer’s organisation. According to our experience, the simpler the mechanism of a prize game is, the more people participate. Tailor made promotions are successful in our chain, but is should be a good idea to ask customers about the sort of promotions they prefer. For example, the Finnish SOK chain no longer holds regular price promotions, but has a good, progressive regular customer program instead.