An Empirical Study In The Influence Of Sales Promotion Modes Of FMCG On Brand Equity

Brand equity comes from the efforts enterprise made in the past, and it’s an important intangible asset of the enterprise, Promotion as an important part of the marketing mix has an important impact on brand equity. Facing the increasingly fierce market competition, domestic firms began to use promotional strategies widely, from price promotion to the combination of promotion, from consumer-oriented promotion to salesperson-oriented promotion, and so on. However, how does promotion impact brand equity in the long run while it could bring more sales volumes in short term is still a question unresolved. Based on this research background, this article is intended to do an empirical research on the relationship between sales promotion modes and brand equity based on FMCG (fast moving consumer goods) industry with the hope to enrich the formation of the antecedents of brand equity and to give reasonable guides and suggestions for enterprise to develop effective sales promotion strategies.This paper firstly clarifies concepts of sales promotion modes and brand equity through retrieving and reading abundant literature. Then design questionnaire and collect firsthand data through field investigation. At last, correlation analysis and regression analysis are carried out via scientific statistical methods.This research concludes that:Ⅰ. Price promotion can cause negative influence to brand equity and its each dimension. Special price promotion can cause more influence to brand equity than discounts.Ⅱ. Non-price promotion can cause positive influence on brand equity and its each dimension. Point of sales display can cause the most notable influence to brand equity, free trial has a comparable impact on brand equity, and promotional gifts and lucky draw have a general effect on brand equity.The contribution of this paper is that it indicates how sales promotion influence brand equity in FMCG industry via empirical analysis. And it approves the differences how different sales promotion modes impact brand equity; enriches the research on the foundation of the antecedents of brand equity. In the meanwhile, this paper advances and validates the influence model of sales promotion modes and brand equity in FMCG industry.