Functional discounts are offered to channel members for performing certain basic marketing functions in the channel of distribution.

Question

Quizplus · Accepted Answer

Functional discounts are a type of trade discount offered to channel members for certain functions they perform in the distribution channel such as warehousing, transportation, advertising, and promotion. These discounts are often calculated as a percentage of the invoice price and are meant to encourage channel members to perform these functions efficiently and effectively.

Functional Discounts Are Offered to Channel Members for Performing Certain