Exam 11: Sales Promotion and Point of Purchase

Powerful retailers are demanding cash payments from manufacturers for access to shelf space. These payments are known as

The difference between contests and sweepstakes is that

Attaching a small bottle of Gillette shaving cream to a razor is an on-package sampling technique.

Scenario 11-4 General Mills brand breakfast cereals face strong competition in the dry cereal category from brands like Kellogg's and Quaker Oats. Still, General Mills brand like Wheaties and Cheerios maintain a strong share of the market. As a manufacturer, General Mills knows that they must stimulate consumer demand for their brands, but they must also stimulate retailer support for these brands as well. Their market research shows that some consumers are very loyal to certain brands of cereal, but most consumers are interested in some level of variety seeking behavior in this product category. As a result, General Mills is constantly examining different sales promotion tools to stimulate consumers to consider their brand when shopping for breakfast cereal. -(Scenario 11-4) On the back of Wheaties boxes, General Mills has attached a coupon for a cookbook offer. The book, entitled "Cooking with Wheaties" is available to consumers for a nominal charge of $3.00 plus a $2.00 shipping and handling charge. This is an example of a ____.

One of the advantages of sales promotions over advertising is that sales promotions offer the opportunity for reward without risk.

One reason for the popularity of sales promotions is that the results are easy to document.

An advantage of coupons as a sales promotional tool is that

Perhaps the oldest form of advertising is:

Scenario 11-2 The White Noise recording company is getting ready to release the first compact disc from its newest band, Wet-Dog. Because White Noise's last three releases have been dismal failures, the company needs a quick influx of cash. The company has decided to use sales promotions to move the product through record stores and into customers' hands. -(Scenario 11-2) The point-of-purchase displays commissioned by White Noise need to be set up and maintained. Any record store that agrees to do this gets Wet-Dog compact discs free. This is known as

An objective for trade promotions is to decrease store traffic, which would make it easier for the customer to shop.

Most advertising experts suggest that billboard copy should not exceed ____ words.

Scenario 11-7 You are a media planner at a small advertising agency. Since it is Friday, you decide to take a long lunch, returning to your office around 2:30 PM. When you get back to your desk, there is a stack of messages waiting for you from account executives about pressing client issues. You must answer them all before you get to start your weekend. -(Scenario 11-7) A client calls insisting that their billboard campaign is not working because no one is seeing the billboards - that construction is routing traffic away from the routes three of his billboards are on. You drive out to the locations of all three and report back that this is true in only one instance, but that you will require the media buying firm to discontinue that board and refund that portion of your media costs. How did you ascertain these facts?

Retailers often create trade promotions to entice manufacturers to supply the outlet with the manufacturer's most popular items.

Scenario 11-5 The local student chapter of the American Marketing Association (AMA) is preparing to begin a new student membership drive. Previously, these efforts have focused on merely making incoming students aware of the existence of the chapter and making announcements about upcoming events in classes. The student AMA officer team wants the chapter to double in size during the upcoming school year. While this seems like an overly ambitious objective, several of the officers are students in a marketing communications class that teaches sales promotion techniques. These students have argued at several recent meetings that the proper use of sales promotion can help the chapter to accomplish this goal. -(Scenario 11-5) Students who normally attend the first meeting are also offered a ball cap with the logo of the chapter embroidered on it. This is an example of a ____.

Transit advertising works best for building or maintaining brand awareness.

Describe the overall trend in spending on advertising and sales promotion since the 1980s. Outline at least four reasons behind this trend.

A money-back offer requiring a buyer to mail in a form requesting the money back from the manufacturer, rather than the retailer (as in couponing) is:

A distinguishing feature of a self-liquidating premium is that it

Scenario 11-7 You are a media planner at a small advertising agency. Since it is Friday, you decide to take a long lunch, returning to your office around 2:30 PM. When you get back to your desk, there is a stack of messages waiting for you from account executives about pressing client issues. You must answer them all before you get to start your weekend. -(Scenario 11-7) A very successful small business in NYC customizes the exteriors of blackberries using designs created by famous fashion designers and other artists. Its customers are high end executives mostly on Wall Street for whom having a one-of-a-kind blackberry designed by an art world icon offers the benefit of very classy one-upsmanship on colleagues. The business marketing owner (also the CEO) wants to do some not-too-expensive advertising that will nevertheless reach this special target audience. You suggest

Billboards, posters, and outdoor signs are perhaps one of the newest forms of advertising.