What is Point-of-Purchase Marketing?

With a limited marketing budget, businesses need to be strategic about where they spend valuable resources. Many companies use point-of-purchase (POP) marketing to maximize their advertising budget and connect with consumers at the point of sale.

In this article, we’ll explain the basics of point-of-purchase marketing so you can determine if it’s a good fit for your company. 

What is Point-of-Purchase Marketing?

As traditional marketing strategies become less effective, many ad departments are focusing their resources on point-of-purchase marketing, promoting products directly at the point of sale. Point-of-purchase marketing encourages shoppers to make new purchases or increase the size of their purchases as they are checking out.

A carefully crafted point-of-purchase marketing campaign combines displays, signage, packaging, and other promotional materials placed strategically at checkout or in high-traffic areas around the store.

With eye-catching design and thoughtful messaging, point-of-purchase marketing offers a great opportunity to increase sales and encourage impulse buys. If you incorporate brand colors, logos, and graphics, point-of-purchase marketing also creates strong mental links between customers and your company.

How Can Point-of-Purchase Marketing Help You Grow Your Brand?

A strong point-of-purchase marketing campaign will help your product succeed in myriad ways. Some of the most substantial benefits include:

• Increasing brand visibility: Create a memorable shopping experience and draw attention to your brand with engaging point-of-purchase marketing. It’s important to make a statement so shoppers can differentiate your brand from competitors on the shelf.
• Driving sales: Use strategic placement in high-traffic areas to boost revenue. In addition, point-of-purchase marketing will bolster your branding so customers are more likely to support your business in the future.
• Building brand awareness: Highlight your brand’s best qualities and unique selling points to build overall brand recognition. If customers develop strong positive associations with your company, they will be much more likely to make repeat purchases.
• Foster customer loyalty: Offer customers incentives and curate a positive shopping experience with point-of-purchase marketing. Repeat buyers will create a strong foundation for a sustainable business model.

5 Examples of Point-of-Purchase Marketing Tactics

With an understanding of what point-of-purchase marketing is and how it can help grow your brand, check out these five examples of point-of-purchase marketing tactics to try:

• Endcap displays: Capture customers’ attention with engaging endcap displays, which are placed on the end of aisles and in prominent locations around a retail setting. Because they are not permanent fixtures in a store aisle, endcap displays are a great option for seasonal or specialty merchandise.
• Free samples: Offer small portions of your product for free to encourage shoppers to make a full purchase. Free samples are a hit at big-box stores like Costco, where customers expect to try new things and are open to making additional purchases.
• Package design: Don’t neglect the aesthetic appearance of your packages. Use eye-catching graphics to capture shoppers’ attention and use text to make a compelling sales pitch. If you’re unsure about your package design, consider ordering sample packaging before you commit to a full order.
• POP displays: A quintessential element of point-of-purchase marketing is point-of-purchase displays, which are located near checkout locations. Inexpensive products that lend themselves to impulse buys are most appropriate for POP displays.
• Cross-marketing: Also known as cross-selling, cross-marketing is the practice of promoting other products or services to customers at the point of sale. Create cohesive branding so customers will be more likely to buy several products—even more expensive ones. For example, if your company sells inexpensive candy, include more premium sweets on the same display and tempt buyers to walk away with several snacks.

Before you invest in any new marketing tactic, it’s wise to test the waters. With point-of-purchase marketing, one effective way to do this is with high-quality sample packaging. Whether you want to try a POP display or an endcap display, an experienced packaging company can design a pre-production sample, so you know exactly what you’ll get.

Related Content: 3 Examples of Amazing Point of Purchase Displays

Takeaway

Make a strong statement with point-of-purchase marketing and consumers will reward your brand with repeat sales and increased loyalty. Curate a compelling shopping experience and capitalize on this unique opportunity as buyers check out. 

Use cross-marketing, POP displays, package design, free samples, and end-cap displays to engage customers. A thoughtfully created marketing campaign will drive sales, visibility, and overall awareness of your brand. Use this dynamic marketing tool and you will reap dividends from increased brand loyalty down the road.