Business Research Individual Work 1 Week 6 Essay

Business Research Individual Work 1 Week 6 - Essay Example However, sales promotions are commonly used when a business urgently needs to shorten the life cycle exhibited by a certain product or when there is the need to increase the usage of a certain product (Soguero-Ruiz et al, 2012). According to business experts who have sought to analyze the effect of different marketing strategies, sales promotions have exhibited both long term and short term effects. Understanding these types of effects is critical to any business as there is a salient need to assess the effect of the sales promotion carried out. In the specific case of a tissue manufacturer, ranking fourth in the market share, it needs to understand the potential effect of sales promotion activities. According to the plans of the company, two types of coupons are to be tested in the months of November and December. A fifty cents-off coupon would be implemented in November in two identified stores, namely St. Louis and Kansas City. In December, the company would experiment with a â€Å"buy one, get one free† coupon. In a bid to establish both the long term and the short term effects of the two coupons, the tissue manufacturer would need to carry out an appropriate experiment. Experts in this field have sought to describe effective methodologies of assessing the effects of sales promotions on sales (Magee, 2003). One of the effective methodologies that have been described is the use of data scanners in the target stores that would provide a database of all the sales of the intended brand. This methodology would be effective in the case of the tissue manufacturer. In the month of November, data scanners would be used to keep records of sales in the target stores. The same would happen when testing the â€Å"buy one get one free† coupon in December. After the data collection process, the analysis would follow. In the experiment to be carried out, the fifty cent-off coupon as well as