Price promotions may not build permanent total-category volume. One study of more than
1,000 promotions concluded that only 16 percent paid off.56 Small-share competitors may find it
advantageous to use sales promotion, because they cannot afford to match the market leaders’ large
advertising budgets, nor can they obtain shelf space without offering trade allowances or stimulate
consumer trial without offering incentives. Dominant brands offer deals less frequently, because
most deals subsidize only current users.