In the context of today’s rapidly evolving economy and technology, businesses face intense competition both locally and internationally. Customers are increasingly informed and engaged, leading to a broader selection of products and services available to them. The paper specifically addresses the effect of sales promotions on supplier selection among Tanzanian rural customers in the solar energy market, an area that has seen limited prior investigation. The study aimed to evaluate the effects of various sales promotion strategies, including price reductions, bonus packs, and free gifts, on consumer behavior in the solar energy sector. A total of 210 respondents participated, providing data through questionnaires and interviews. The analysis employed linear regression and content analysis techniques. Key findings indicate that both price reductions and free gifts significantly enhance the appeal of solar energy products, thereby influencing purchasing decisions. Sales promotions play a crucial role in informing and persuading consumers to consider solar energy options. Additionally, the research highlights that consumer purchasing behavior is shaped by factors such as brand image, product quality, and reputation. In light of the competitive landscape, the study recommends that solar energy companies focus on continuous product innovation and packaging improvements to attract customers. Companies that can enhance and expedite their product development processes are likely to gain a competitive edge. The necessity for ongoing innovation in product offerings is emphasized to meet evolving consumer preferences and market demands.
Keywords: Sales Promotions, Solar Energy, Markets, Price Reductions, Bonus Packs, and Free Gifts, Misungwi, Tanzania
