DOI: 10.26650/acin.1834778 ISSN: 2602-3563

Impact of Promotional Insert Campaigns on Retail Sales Performance: An Empirical Analysis of a Local Supermarket Chain

Mehmet Fatih Karaca, Pakize Kazancı
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Today, the retail sector is in a state of constant transformation. Sales promotion activities play a critical role in an environment where it is increasingly difficult for brands to boost their sales and strengthen their market positions. Insert campaigns are one of the most common and traditional methods among these activities, which can directly influence consumers’ purchasing decisions. This study aims to reveal the distribution of periodic campaigns by year, the product variety within these campaigns, the status of product prices before and after the campaigns, the sales volumes and rates of products included in the campaigns, and whether the campaigns affect the retail sector’s overall sales volume. For this purpose, the campaign performances of 125 products from 6 main categories and 31 subcategories included in 13 two-day insert campaigns conducted in 2024 were analyzed using data obtained from 10 local supermarket branches. The distribution of campaigns throughout the year can be considered an indication that the retail sector strives to maintain active year-round communication with customers. Although there is general product variety, it was observed that campaigns conducted especially in the initial and final months of the year included a wider range of products compared to others. The emphasis on products perceived as essential, ongoing, and non-deferrable needs in campaigns can be interpreted as an attempt to attract consumer interest, ensure customer loyalty by meeting basic needs, and increase store traffic to gain a competitive edge. It was found that prices declined during campaign days, discounts of varying rates were applied across different campaigns and product groups, and the retail sector used attractive price reductions as a strategic tool. Sales volumes increased on campaign days, and campaigns played a significant role in boosting sales; however, this effect varied depending on the timing of the campaign, the applied discount rate, and the products’ main categories and subcategories. It was determined that consumers concentrated on their shopping during campaigns offering high discounts and tended to wait for such campaigns to purchase products that are more stockable and relatively flexible in consumption frequency. The findings and results of this study provide important, valuable, and critical insights for businesses to improve their campaign effectiveness and strategies.

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