Question 1

Any marketing tactic used to stimulate wholesalers and retailers to carry a producer's products and market those products more aggressively is a

Accepted Answer

Trade sales promotion methods are aimed at wholesalers and retailers to encourage them to carry a producer's products and market them more aggressively. This includes tactics such as offering trade discounts, providing sales training, and giving merchandise allowances. Point-of-purchase materials and dealer loaders are specific types of trade sales promotion methods, but they do not encompass all tactics that can be used to stimulate wholesalers and retailers. Consumer sales promotion methods, on the other hand, are aimed at end consumers and have a different objective.

Question 2

To increase sales of Chex cereals, Ralston Purina offered a free pound of bananas to customers who bought the large-size box. This form of sales promotion is called a

Accepted Answer

The form of sales promotion described in the question is a premium. A premium is a reward given to customers for purchasing a product, often in the form of a free item. In this case, the free pound of bananas is the premium offered to customers who purchase the large-size box of Chex cereals.

Question 3

On a break between classes, Kelley checks her smartphone and enters her contact information on the Publishers Clearing House site. She doubts that she will win $10 million, but she never passes up a chance to participate in a

Accepted Answer

Kelley is entering her contact information on the Publishers Clearing House site, which is a well-known sweepstakes platform. Sweepstakes usually do not require any purchase or payment to participate, and winners are chosen at random without any specific skill or talent involved. Therefore, sweepstakes are the most suitable choice from the given options.

Question 4

Which of the following is most likely to stimulate customer loyalty?

Accepted Answer

Frequent-user incentives are most likely to stimulate customer loyalty because they reward customers for repeatedly choosing a particular brand or company. This builds a habit and fosters a sense of connection to the brand, encouraging customers to continue making purchases and recommending the company to others. Coupons, sweepstakes, samples, and premiums can all be effective marketing tools as well, but they are typically used more as acquisition strategies to entice new customers rather than build long-term loyalty.

Question 5

At one time, Wheaties offered two free golf balls with the purchase of a twin pack of Wheaties cereal featuring Tiger Woods. This is an example of a

Accepted Answer

This is a clear example of a premium, which is an item offered for free or at a discounted price as a bonus for purchasing a product. The two free golf balls are being offered as an incentive to consumers to choose Wheaties cereal featuring Tiger Woods over other cereal options.

Question 6

In recent years the proportion of promotional dollars spent on sales promotion has

Accepted Answer

According to industry studies, in recent years, the proportion of promotional dollars spent on sales promotion has increased relative to advertising. This can be attributed to the increased focus on short-term results and the availability of new digital tools that make it easier to execute sales promotions.

Question 7

The difference between consumer sales promotion methods and trade sales promotion methods is

Accepted Answer

Consumer sales promotions are aimed towards consumers to increase sales by encouraging them to buy a particular product. Trade sales promotions are aimed towards wholesalers and retailers to persuade them to buy and stock the products for consumers to buy. Therefore, the main difference between the two methods is the target audience.

Question 8

Signs, counter pieces, racks, and self-service cartons are all forms of

Accepted Answer

Signs, counter pieces, racks, and self-service cartons are all examples of point-of-purchase displays. These displays are designed to attract customers' attention at the point where they are making their purchase decision, which can increase sales and promote specific products.

Question 9

As Quaker Oats tries to decide how to introduce its new line of breakfast bars, it considers all the advantages and disadvantages of the various consumer sales promotion methods. After careful consideration, Quaker Oats decides to use ____, which are the most widely used form of consumer sales promotion.

Accepted Answer

According to the question, Quaker Oats wants to introduce its new breakfast bars and considering various consumer sales promotion methods. Since coupons are the most widely used form of consumer sales promotion, Quaker Oats could benefit from increased brand exposure and sales by offering coupons to its customers. Coupons are an effective way for brands to encourage customers to try new products or make repeat purchases.

Question 10

Which of the following is not a reason why the proportion of promotional dollars spent on sales promotion has increased in recent years?

Accepted Answer

This is because option C states that the greater emphasis on improving long-term performance has resulted in an increased use of sales promotion methods is not a reason for the increasing proportion of promotional dollars being spent on sales promotion efforts.

Question 11

____ are offers of cash to customers who purchase a specific product, and ____ are offers of cash to customers who purchase a specific quantity of a specific product.

Accepted Answer

Rebates are offers of cash to customers who purchase a specific product. Money refunds are also offers of cash to customers, but specifically those who return a product for a refund. Therefore, choice D is incorrect. Cents-off and premiums are different from rebates and refunds, so choices B and C are also incorrect. Finally, reimbursements are not typically a type of promotion, so choice A is incorrect.

Question 12

Fraudulent usage, inability to attract potentially brand-loyal customers, and use by current customers but not new customers are believed to be disadvantages of which of the following?

Accepted Answer

The answer of Fraudulent usage, inability to attract potentially brand-loyal...

Question 13

Which of the following is an example of a trade sales promotion method?

Accepted Answer

The answer of Which of the following is an example...

Question 14

____ are items offered free or at minimal cost as a bonus for purchasing a product.

Accepted Answer

Premiums are items offered free or at minimal cost as a bonus for purchasing a product. Rebates involve requiring the customer to mail in a form and receipt to receive a partial refund, while samples are small portions of a product provided for free to encourage future purchases. Merchandise allowances involve the manufacturer giving a discount to the retailer for purchasing a large volume of their product. Coupons provide a discount on a product at the time of purchase.

Question 15

Although Maybelline would like to use ____ as a consumer sales promotion method, this method has extremely high labor costs that are more affordable for higher-end make-up companies such as Clinique and Estée Lauder.

Accepted Answer

Demonstrations require trained personnel and significant time and effort to execute properly. This type of consumer sales promotion method is typically used by higher-end make-up companies that can afford the associated high labor costs. Maybelline may have difficulty implementing this method on a large scale as it may not be cost-effective for them.

Question 16

Tyler is a purchasing agent for Kellogg's. He is currently negotiating with his suppliers to receive a _______, which is a temporary price reduction to resellers for purchasing specified quantities of a product.

Accepted Answer

A buying allowance is a temporary price reduction offered to resellers for purchasing specified quantities of a product. This is commonly used in negotiations between purchasing agents and suppliers to secure better pricing for the company they represent. A push money allowance is a payment made to salespeople to encourage them to push particular products, a merchandise allowance is a payment made to resellers to promote a particular product, a buy-back allowance is an agreement where a supplier agrees to buy back unsold inventory, and a discount is a reduction in the listed price of a product.

Question 17

As a promotional strategy, using coupons strives to achieve all of the following except

Accepted Answer

The answer of As a promotional strategy, using coupons strives...

Question 18

Jamba Juice offers its customers a stamp card that allows them to receive a free smoothie after they have filled an entire card. This is an example of a

Accepted Answer

The stamp card offered by Jamba Juice is a frequent-user incentive, as it rewards customers for repeat business by giving them a free smoothie after they have filled the entire card.

Question 19

Heinz uses various techniques such as coupons, free samples, and consumer contests to encourage consumers to try its products. All of these marketing activities are considered

Accepted Answer

Coupons, free samples, and consumer contests are all examples of techniques used to promote products directly to consumers, making them consumer sales promotion methods.

Question 20

Realizing that her firm's sales promotion budget was small and cut by 30 percent for the coming year, Stacey Baronas rules out ____ as playing a role in her sales promotion plan.

Accepted Answer

The answer of Realizing that her firm's sales promotion budget...

Quiz 19: Personal Selling and Sales Promotion