Exam 12: Sales Promotions

The enjoyment of playing or participating in a contest is called:

For some products, such as automobiles, increasing the amount of a rebate no longer seems to spur additional sales activity, but discontinuing or reducing the rebate level tends to have an immediate negative impact on sales.

When the price of product is reduced through a trade allowance, it is referred to as being:

Many large national and international trade shows are losing customers to niche shows.

Prizes or gifts that consumers receive when purchasing products are called:

From a retailer's perspective, a trade show allows buyers to compare merchandise and to make contacts with several prospective vendors.

A major concern in using trade promotions is that merchandise will not move unless a trade promotion is offered. For example, in the grocery industry, the majority of manufacturers offer some type of trade promotion to get retailers to make purchases.

In a contest or sweepstakes, extrinsic value is determined by the value of the prize to the consumer.

Regional or specialty trade shows would be better than a large, national trade show for all of the following goals, except:

When samples are mailed or delivered door-to-door, which form of sampling is being used?

FSI, or Free Standing Inserts, are the most common method used to deliver coupons to consumers.

When a cash register triggers a coupon for a product, it is called a:

The primary disadvantage to a retailer in using diversion is:

For contests and sweepstakes, what is the difference between extrinsic value and intrinsic value in prizes?

Sony is promoting a special coupon and sale on its stereos. Retail stores that purchase at least 1,000 stereos during the next 30 days will receive an extra stereo, free, for each 50 they purchase over a 1,000 minimum. This is an example of a:

A contest requires the use of a skill while a sweepstakes relies on random chance.

When a manufacturer offers a special promotion to other companies for their use and not for resale, it is a:

A calendar promotion allows a retailer to set a schedule among competing brands of a product so that the retailer can feature one of the brands on sale almost all of the time.

Rewards given as contest prizes to brokers, retail salespeople, retail stores, wholesalers, or agents would be considered a:

Monies paid to remove an item from a retailer's inventory are: