In the past couple of studies conducted in the essence of brand equity, there are several influential factors that put an impact on Brand equity and market position. Factors can be divided into two sections, one internal factor associated with the basic business functions and second external factors which are associated with the response from the customers. In the context of the theory of constraints, marketers need to concentrate on both of the influential factors if they want to achieve effective brand promotion in the good aspect of time. Managing both the factors will adequately bring an impact on brand position and status, which is only possible when all sections of a business are working in a progressive order.
Apart from all influential factors, specialists on the field also relate sales promotions with brand equity to a great extent. If not to all but to some extent sales promotions have an impact for business promotion and so as for firm value and brand equity status. Effective sales promotion means good customer feedback and which inevitably compels the brand equity status. On incremental sales promotions, firm value is settled allocating a strong commercial value in the market region. According to the theory of constraints, there are certain marketing constraints like sales promotion, sales volume or price offers which if managers manage adequately can bring substantial results in the long term. Managing marketing constraints lead to business promotion and brand promotion respectively, where there is a collective chance of increasing brand equity.
Sales promotion is relative to brand equity, but partially there are other influential factors too which can increase or decrease brand equity levels. For effective sale promotion, the strategists have to address other constraints as well, which is related to brand equity or brand value. On this node, it can be said that effective sales promotion do impact brand equity but to increase sales volume on long term, the entrepreneurs have to address the core factors which relate to consumer behavior or perception In several studies, sales promotion is defined as those activities which are directly related to sales or sales volume.
Such activities are part of marketing activities which are to organize the entire promotional campaign including discount offers and premiums. According to economic experts, sales promotions are activities which have a direct influence on consumer behaviors and perception. According to economists sales promotions is marketing subject comprised of various incentive tools. Such tools evolve motivation for buyers and retailers in order to bring substantial customer attention. This is to attain a large volume of sales on certain products or services.
