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A brand that is constantly promoted may lose perceived value.

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One of the most important uses of sales promotion techniques is to encourage consumers to try a new product or service.

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Which of the following have the highest redemption levels of all types of coupons?


A) bounce-back coupons
B) cross-ruff coupons
C) instant coupons
D) cross-sell coupons
E) premium coupons

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C

A discount or deal offered to a retailer or wholesaler to encourage them to stock, promote, or display a manufacturer's product is known as


A) cooperative advertising.
B) merchandising support.
C) a trade allowance.
D) a spiff.
E) push money.

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A(n) _____ is an offer of an item of merchandise or services, either free or at a reduced price, that is used to provide an extra incentive to purchase.


A) mnemonic
B) heuristic
C) premium
D) prommercial
E) exhibition

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Which of the following serves as a reason for the increase in sales promotion?


A) growing power of retailers
B) increasing brand loyalty of customers
C) lack of short-term focus among marketers
D) decreased promotional sensitivity
E) decreased competition

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Sampling through the mail is common for small, lightweight, nonperishable products.

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Sales promotion involves some type of inducement that provides an extra incentive to buy.

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Coupons, bonus packs, premiums, and samples are promotional offers that are targeted toward


A) end users.
B) retailers.
C) wholesalers.
D) salespeople.
E) employees.

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Which of the following is true of horizontal cooperative advertising?


A) It is sponsored by a group of retailers.
B) It is used only in the maturity stage of a product's life cycle.
C) It is usually conducted by a company and its marketing subsidiaries.
D) It is synonymous with comparative advertising.
E) It is synonymous with vertical advertising.

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In _____ sampling, a marketer hires temporary demonstrators who set up a table or booth within an outlet, prepare small samples of a product, and pass them out to shoppers.


A) door-to-door
B) event
C) on-package
D) in-store
E) direct-mail

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D

Sales promotion activities cannot be targeted to different parties in the marketing channel.

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Which of the following is true of consumer franchise building (CFB) promotions?


A) CFB promotions are designed to promote short-term brand preference.
B) CFB promotions cannot make consumers loyal to a brand that is of little value.
C) CFB promotions can make consumers loyal to a brand that does not provide a specific benefit.
D) CFB promotions typically do not contribute to the development of a favorable brand image.
E) CFB promotions are not suitable for brand extension strategies.

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One reason for consumers' increased sensitivity to sales promotions is


A) that they have become less time-sensitive.
B) the increase in perceived brand loyalty.
C) the increased power of manufacturers.
D) that they save money.
E) that consumers' choices have declined.

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The oldest, most widely used, and most effective sales promotion tool is the cents-off coupon.

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Which of the following statements is true of rebates?


A) Rebates are synonymous with refunds, and are used only for consumer durables like automobiles and appliances.
B) Most retailers want to be involved with rebate programs.
C) Nonusers of rebates perceive the rebate redemption process as too complicated.
D) Rebates are increasing in popularity among both manufacturers and retailers.
E) Rebates are ineffective in encouraging repeat purchases.

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Sales promotion activities that communicate distinctive brand attributes and contribute to the development and reinforcement of brand identity are known as


A) nonfranchise-building promotions.
B) consumer franchise-building promotions.
C) high-involvement sales promotions.
D) sales promotion traps.
E) event marketing.

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Which of the following is a disadvantage of bounce-back coupons?


A) They do not attract nonusers of a particular brand.
B) They are redeemable on the purchase of a different product.
C) They do not induce customers to repurchase the brand.
D) They are not useful for a brand that has reached the maturity stage.
E) They are not useful for products that are in the early phases of their lifecycle.

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The oldest, most widely used, and most effective sales promotion tool is A)cents-off coupons. B)sampling. C)rebates. D)event sponsorship. E)bonus packs. B)sampling. C)W.Post Co.started using the penny-off coupon to sell its new Grape-Nuts cereal. C)rebates. D)event sponsorship.

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True

Which of the following is an advantage of the sampling method of sales promotion?


A) It is the least expensive among all methods of sales promotion.
B) The costs of the sampling program can easily be recovered with just a few purchases.
C) Marketers believe that for all products the results of sampling can be seen immediately.
D) It is extremely useful for products and services that do not have subtle features.
E) Consumers gain a greater appreciation for a product's benefits.

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