Understanding Sales Volume Antecedents: Measuring the Role of Consumer-oriented Selling and Sales Promotion in Iran FMCG Industry

Abstract

The recent economic downturn has had a significant negative impact on hitherto such fast-growing economies as in the Middle East. The economic downturn has had a significant impact also on consumption patterns of the population which is reflected in heavy decline in retail turnover. Understanding the consumer base and influence of creating values on purchasing decisions enables businesses to adopt better strategies. Classification of consumers becomes important. The results of structural equation analysis by LISREL were utilized to test the proposed hypotheses in this study. Subsequently, all hypothesized relationship was supported. Understanding each of classification factors which measured will help companies, corporate and understand their strengths and act in best way. The result shows that all sales promotion dimensions are independently and jointly predict sales volume. This implies that coupon, premiums, bonus, free samples and price promotion have significant effect on sales volume.

Keywords

Customer creating value sales promotion consumer classification consumer-oriented selling

Get full access to this article

View all access options for this article.

References

Abeliotis

Lasaridi

Chroni

(2012). Attitudes and behaviour of Greek households towards food waste generation . Proceedings of the International Conference on Solid Waste, Hong Kong.

Bagavathi

Pillai R.S.N.

(2007). Modern marketing (revised edition). New Delhi: S. Chand and Company Ltd.

Barron

O.E.

Byard

Kim

(2002). Changes in analysts’ information around earnings announcements. Accounting Review , 77(4), 821–846.

Blattberg

Scott

A. Neslin

(1990). Sales promotion: Concepts, methods, and strategies . Englewood Cliffs, NJ: Prentice Hall.

Blattberg

R.C.

Briesch

Fox

E.J.

(1995). How promotions work. Marketing Science , 14(3), G122–132.

Burns

Shaw

Kapur

Appleby

(2003). Suicides in ethnic minorities within 12 months of contact with mental health services. British Journal of Psychiatry , 183 (2), 155–160.

Brewin

C.R.

Ferrier

(2005). Feared identity and obsessive– compulsive disorder. Behavior research and therapy , 43(10), 1363–1374.

Davis

Scott J.

Inman

Jeffrey

McAlister

Leigh

(1994). Promotion has a negative effect on brand evaluations—Or does it? Additional disconfirming evidence. Journal of Marketing Research , 29(4), 143–148.

Demby

(1974). Psychographics and from whence it came. In Wells

W.D.

(Ed.), Life Style and Psychographics (pp. 9–30). Chicago: American Marketing Association.

10.

Dunbar

Robin

(2004). The human story . London: Faber and Faber.

11.

Dunbar

M.J.

Acreman

Kirk

(2004). Environmental flow setting in England and Wales-current practice: Future Challenges. Journal of Water Environment Management , 18(1), 5–10.

12.

Jaramillo

Grisaffe

D.B.

(2007). Does Customer Orientation Impact Objective Sales Performance? Journal of Personal Selling & Sales Management , 29(2), 167–178.

13.

Jensen

Ove.

(2010). Sales force modelling: State of the field and research agenda. Marketing Letters , 21(3), 255–272.

14.

Miller

L.E.

Smith

K.L.

(1983). Handling nonresponse issues. Journal of Extension , 21(5), 45–50.

15.

Mishra

(2008). Retailing in Recession, conceptual model. Journal of Marketing & Communication , 4(2), 39–47.

16.

Palmer

Adrian

(2004). Introduction to marketing theory and practice (2nd ed.). United State: Oxford University Press Inc.

17.

Vilela

B.B.

Varela

González

Varela

J.A.

Ferrín

P.F.

(2008). Person–organization fit, OCB and performance appraisal: Evidence from matched supervisor–salesperson data set in a Spanish context. Industrial Marketing Management 37(8), 1005–1019.

18.

Weinstein

(2004). Handbook of market segmentation . New York: The Haworth Press.

19.

Yankelovich

(1964). New criteria for market segmentation. Harvard Business Review , 42(2), 83–90.