Sales promotion a true art form

With the recession in full force across North America it is tough to walk down a street and not see some kind of sign in a businesses window offering a sales promotion to entice prospects into purchasing. But what happens as we start to work our way out of the recession? People will have become addicted to sales because thats all they will know. Will there be a worldwide Intervention by major retailers to inform you that the sales no longer apply???? If so, I hope Jack Von Vonderen runs it, now thats an interventionist. Great mustache too.

What is the effect that these sales promotions will have on a company's brand image?

For example, I am part of Banana Republic Canada's e-mail database and they send me information on sales, etc. For the first 4 to 6 months that I was on the list I got maybe one offer for a 20% off one day only sale, which still seemed like a good offer. They make good quality, fashionable merchandise, at a mid-level price. There clothes are not cheaply priced, nor are they in the league of a Harry Rosen. That was until now. In the last 3 months I believe I have gotten at least one offer every month for a MINIMUM of 30% off, most of the time for an entire week or weekend.

Now obviously most people understand why they are doing this, the economic times mean you have to entice more consumers to purchase your products to meet your organizations sales goals. So you put items on sale and get more people in the door that way, including those that are not usually your regular market.

So what does that mean for the future, does this erode Banana Republic's brand image now that more and more people can afford to buy it? What happens when the sales dry-up? How many customers will they lose and will it lead to a counter-effect where they need to start producing clothes cheaper to hold on to these consumers that expect their items to be cheaper.

I assume there is quite a struggle going on between marketing and the sales teams at Banana Republic these days, but it is probably overshadowed by the increased volume they do everytime they push out another sale. I just wonder what the future consequences may be.