Which of the following is a disadvantage of deals as a sales promotion tool?
A)It discourages brand trial.
B)It increases consumer risk.
C)It may reduce perception of value.
D)It fails to retaliate against competitive action.
E)It increases the cost of the good for the consumer.

Question

Quizplus · Accepted Answer

Offering deals may reduce the perception of value for the consumers as they may start to associate the brand with discount or low-quality products. This, in turn, can negatively impact the brand's image and may lead to a decrease in sales in the long run. A and B are incorrect because deals can encourage brand trial and reduce consumer risk by providing them with incentives to try out new products. D is incorrect because deals can also be used to retaliate against competitive action by offering better promotions than the competitors. E is incorrect because deals usually decrease the cost of the goods for the consumers, not increase it.

Which of the Following Is a Disadvantage of Deals as a Sales