brand name on the coupon even when the coupon is not redeemed. Coupons, also, encourage consumers to purchase brands on the next trip to the store. The disadvantages that come along with using a coupon are: Reduced revenues Mass-Cutting Counterfeiting Missredemptions Contest and sweepstakes Contests normally require the participant to perform some type of activity. The winner is selected based on who performs best or provides the most correct answers. No purchase is required to enter a sweepstakes. Consumers can enter as many times as they wish, although it is permissible for firms to restrict customers to one entry per visit to the store or some other location. The problems with Contest and Sweepstakes are the cost, consumer indifference and clutter. Rebates Rebates offer money back to the consumer. Unlike coupons, rebates cannot be used immediately, but instead must be mailed to the product's manufacturer. Consumers benefit from the lower price, while companies benefit because not every consumer will redeem the offer. Premiums Premiums incentivize consumers to purchase a product with a tangible benefit, such as a no-obligations gift. Premiums make the product offer more valuable to consumers by including a related product for no additional cost. Sampling Sampling allows consumers to try the product either in-store or via free samples before buying it. This can reduce consumers’ apprehension about buying a new product or introduce them to a product they were unfamiliar with before. Issues in trade promotions In 2004, less than 30% of Trade Promotions in the Consumer Packaged Goods industry were profitable. Several issues cause such lack of profitability. Some potential problems associated with trade promotions programs are costs, the potential impact on small manufacturers, and the tendency to rely too much on trade promotions to move merchandise. Lack of accurate and timely information Trade promotion decisions are often rushed and based on sub-par data. While Sales and Marketing managers are surrounded by promotion information, questions on retail commitment and product forecast accuracy can hinder the process. Multiple data sources and conflicting needs from various departments further complicate the issue. Inability to plan promotions based on analytics Historical trade promotion data should be analyzed in order to continually improve trade promotions. If a company does not utilize processes and systems that measure trade promotion performance, future trade promotion executions could be less effective than if they’d been planned using past analytical information. Ineffective organization and partner integration