Question 1

Suppose that CatGenie learns that one of its competitors,NoMoreLitter,is about to introduce a new product.CatGenie quickly develops a special price-off deal to prevent the competitor from stealing market share.The objective of this deal is to _____ consumers and thereby _____ the sales of the competitor's new product.

Accepted Answer

A)  push; neutralize 
B)  entice; neutralize 
C)  load; preempt 
D)  persuade; dissuade 
E)  overwhelm; neutralize

Question 2

Which of the following is an example of a push strategy?

Accepted Answer

A)  a cereal manufacturer advertising during cartoon programs to reach children 
B)  a bank sending a mailing to the senior citizens 
C)  a soft drink manufacturer sending point-of-purchase displays to grocery stores 
D)  a children's clothing store sending gift certificates to families 
E)  a bicycle store advertising in the university newspaper to attract the attention of college students

Question 3

A manufacturer's customized loyalty program using a retailer's shopper database is an example of _____.

Accepted Answer

A)  diverting 
B)  forwarding 
C)  vendor support programs 
D)  account-specific marketing 
E)  every day low pricing

Question 4

Combined efforts of advertising and display positively interact to boost a dealt brand's retail sales.

Accepted Answer

A) True 
 B)False

Question 5

Discuss three things sales promotion can accomplish and three things sales promotion cannot accomplish.

Accepted Answer

The answer of Discuss three things sales promotion can accomplish...

Question 6

Manufacturers pay slotting allowances to retailers to get the retailer to purchase the product.

Accepted Answer

A) True 
 B)False

Question 7

What changes have taken place with respect to accounting rules related to sales promotions and why are they significant?

Accepted Answer

The answer of What changes have taken place with respect...

Question 8

A manufacturer's objective for using trade-oriented sales promotion could include building retail inventories.

Accepted Answer

A) True 
 B)False

Question 9

Trade promotions are appropriately timed when they are used strategically to offset competitive promotional activity.

Accepted Answer

A) True 
 B)False

Question 10

Trade promotions are most effective when _____.

Accepted Answer

A)  they are used during off-peak seasons 
B)  they generate immediate sales 
C)  viewed from a long term perspective 
D)  they maximize the retailer's efforts and cost 
E)  they are constant throughout the year

Question 11

Forward buying does not always benefit manufacturers because _____.

Accepted Answer

A)  the savings from forward buying are passed on to consumers by retailers 
B)  distribution costs are increased 
C)  retailers' margins are reduced 
D)  manufacturers' margins are increased 
E)  All of these are correct.

Question 12

The _____ strategy consists of a manufacturer directing personal selling,trade advertising,and trade-oriented sales promotion to wholesalers and retailers.

Accepted Answer

A)  forced channel 
B)  push 
C)  pull 
D)  planned 
E)  strategic channel

Question 13

_____ is a form of pricing whereby a manufacturer charges the same price for a particular brand day in and day out.

Accepted Answer

A)  EDLP(R) 
B)  EDLP(M) 
C)  Pay-for performance 
D)  Bridge pricing 
E)  Steady pricing

Question 14

Temporary retail price reductions substantially increase sales,both in the short- and long-term.

Accepted Answer

A) True 
 B)False

Question 15

Research has shown that consumers seem to increase their consumption rate of stockpiled products when the product is convenient to consume compared with when it requires preparation.

Accepted Answer

A) True 
 B)False

Question 16

Dayton's Department Stores featured a manufacturer's brand in their advertisements.Dayton's would have received a(n)_____ from the manufacturer.

Accepted Answer

A)  off-invoice allowance 
B)  bill-back allowance 
C)  spiff 
D)  exit fee 
E)  slotting allowance

Question 17

Which of the following is NOT a factor accounting for the shift from consumer advertising to promotion?

Accepted Answer

A)  retailers have more power over manufacturers 
B)  reduced brand loyalty 
C)  reduced brand parity and price sensitivity 
D)  short-term orientation and corporate reward structures 
E)  consumer responsiveness

Question 18

Consumer packaged-goods companies are the biggest users of sales promotion.

Accepted Answer

A) True 
 B)False

Question 19

Dial Corporation had to pay a fee to a retail chain for having an unsuccessful product removed from their distribution centers.This fee is known as _____.

Accepted Answer

A)  a slotting fee 
B)  an exit fee 
C)  street money 
D)  push money 
E)  pull money

Question 20

Trade allowances are also called trade deals.

Accepted Answer

A) True 
 B)False

Exam 18: Sales Promotion Overview and the Role of Trade Promotion

Which of the following is an example of a push strategy?

A manufacturer's customized loyalty program using a retailer's shopper database is an example of _____.

Combined efforts of advertising and display positively interact to boost a dealt brand's retail sales.

Discuss three things sales promotion can accomplish and three things sales promotion cannot accomplish.

Manufacturers pay slotting allowances to retailers to get the retailer to purchase the product.

What changes have taken place with respect to accounting rules related to sales promotions and why are they significant?

A manufacturer's objective for using trade-oriented sales promotion could include building retail inventories.

Trade promotions are appropriately timed when they are used strategically to offset competitive promotional activity.

Trade promotions are most effective when _____.

Forward buying does not always benefit manufacturers because _____.

The _____ strategy consists of a manufacturer directing personal selling,trade advertising,and trade-oriented sales promotion to wholesalers and retailers.

_____ is a form of pricing whereby a manufacturer charges the same price for a particular brand day in and day out.

Temporary retail price reductions substantially increase sales,both in the short- and long-term.

Research has shown that consumers seem to increase their consumption rate of stockpiled products when the product is convenient to consume compared with when it requires preparation.

Dayton's Department Stores featured a manufacturer's brand in their advertisements.Dayton's would have received a(n) _____ from the manufacturer.

Which of the following is NOT a factor accounting for the shift from consumer advertising to promotion?

Consumer packaged-goods companies are the biggest users of sales promotion.

Dial Corporation had to pay a fee to a retail chain for having an unsuccessful product removed from their distribution centers.This fee is known as _____.

Trade allowances are also called trade deals.