Effect Of Sales Promotion Strategy On Gaining Competitive Advantage: The Case Of Cooperative Bank Of Oromia Interest Free Banking Process

Abstract

Sales promotion is a marketing approach that has grown increasingly important in modern marketing as competition heats up. The primary goal of this study was to evaluate the effect of sales promotion on achieving a competitive advantage in the case of Cooperative Bank of Oromia Interest Free Banking Process. It evaluates the bank's sales promotion features and their impact on its competitive position. The investigation was done at the bank's 10 branches under Western Finfine District. The study was done by administering questionnaires to 100 Cooperative Bank of Oromia Interest Free Banking customers chosen based on convenience out of which 96 responses were received. The researcher used marketing and communication department staffs for interview. The data was analysed using statistical approaches such as descriptive statistics in SPSS and examined using descriptive methods. The findings revealed that Cooperative Bank of Oromia's competitive advantage is positively impacted by its sales promotion. The bank's competitive advantage is boosted by the sales promotion plan, and as a result, discounts, free gifts, loyalty, and referral bonuses all have a beneficial effect on sales promotion. The findings suggest that the effect of sales promotion on competitive is influenced by the instruments employed to create brand image and improve competitive advantage. From the sales promotion methods, discount has the most effect on the bank's customer attraction in order to overcome competitive advantage. The findings showed that all had a favourable link with competitive advantage and the bank should focus on improving its use of sales promotion tools, which have been shown to have a significant impact on the bank's competitive advantage. Finally, the researcher recommended bank to undertake targeted and strategic sales promotions activities that are coordinated and integrated with other promotional tools to gain a competitive advantage