A STUDY ON THE EFFECTIVENESS OF SALES PROMOTION IN SELLING FAST-MOVING CONSUMER GOODS IN HYDERABAD

Abstract

Fast-Moving Consumer Goods (FMCG) constitute one of the most competitive and dynamic sectors in the Indian retail market, characterized by low-margin, high-volume products and intense brand rivalry. In such an environment, sales promotion has emerged as a critical marketing tool used by companies to stimulate demand, encourage trial, and drive short-term sales growth. This study examines the effectiveness of sales promotion strategies, including discounts, price-off offers, free samples, gifts, and buy-one-get-one (BOGO) schemes, in influencing consumer purchase decisions for FMCG products in Hyderabad. The research explores how these promotional tools affect brand switching, purchase quantity, impulse buying, and overall consumer satisfaction within the local retail environment. A descriptive research design was adopted using both primary and secondary data. Primary data were collected through a structured questionnaire administered to FMCG consumers across various retail outlets and demographic segments in Hyderabad, while secondary data were obtained from marketing journals, industry reports, company publications, and credible online sources related to FMCG marketing and consumer behaviour. The collected data were analyzed using percentage analysis, mean analysis, and graphical representation to evaluate the perceived effectiveness of various sales promotion techniques. The findings indicate that discounts and price-off offers remain the most influential promotional tools, followed closely by BOGO offers and free samples, all of which significantly encourage purchase and, in many cases, brand switching. However, challenges such as promotion fatigue, perceived reduction in brand value, and preference for genuinely useful offers over generic discounts continue to affect long-term promotional effectiveness. The study concludes that a well-balanced mix of financial incentives and value-added promotions is essential for FMCG companies operating in Hyderabad to sustain consumer interest and drive profitable sales growth.