2012 is coming to an end and the new year is almost here! This is also the time when companies are increasing their marketing budget during this period to promote their brands. Let us take a look at U.S high-end department store, Macy’s. They are currently offering a free hand bag for at least $30 worth of purchase from the cosmetics department.
Macy’s Department Stores, Inc. is a U.S. chain of mid-range to upscale department stores. In addition to its internationally renowned flagship Herald Square location in Midtown Manhattan, New York City, the company operates over 850 other stores in the United States.
How did Macy’s use its marketing budget for Christmas?
Macy’s has used its marketing budget to provide free hand bags to customers as gift with purchase for at least $30 spent at the cosmetics department. The hand bag is made of synthetic leather and has a glittery golden exterior which gives it a luxurious feel. The marketing budget could be better utilised if Macy’s has branded its logo on the hand bag. This will increase brand awareness as more people will know about the brand wherever the hand bag is being carried. It will also boost brand recall. This will enforce brand loyalty as the user will be reminded of Macy’s brand and they will remember to patronise Macy’s department store.
How will the marketing budget affect sales?
This marketing budget used for the promotional hand bag will increase sales as customers will be enticed to spend more in order to get the hand bag for free. Therefore, it can be considered as an investment to boost your sales. Whether you have a high or low marketing budget, there is always a promotional product suited to your needs. Feel free to check out our promotional gift blog for more ideas!