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Explain experiential marketing and provide an example.

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Companies are discovering new ways of de...

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Promotion strategy is the battle plan that outlines the means of achieving the objectives. Explain the two basic types of promotion strategy: push and pull.

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In a pull strategy, the organization cre...

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The method by which coupons are delivered depends on the demographics of the consumer.

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Premiums are usually offered by manufacturers in the form of


A) price discounts
B) exclusive contest ballots
C) coupons
D) cash-back
E) merchandise

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Advertising and promotion are not necessarily viewed as two separate entities, since the strategy today is about


A) event marketing
B) the World Wide Web
C) the agency's responsibility
D) an integrated marketing approach
E) public relations and sponsorship

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If Kellogg's Corn Flakes includes an in-pack coupon for Tropicana Orange Juice, this type of coupon is an example of a(n)


A) cross-ruff
B) in-store delivered coupon
C) media-delivered coupon
D) rebate
E) free sample

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A free toy inside a box of Fruit Loops is an example of a(n)


A) bonus offer
B) delayed payment incentive
C) in-pack premium
D) cross-ruff
E) sample

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A frequent- buyer (loyalty) program is an example of


A) consumer promotion
B) sponsorship
C) trade allowance
D) trade promotion
E) public relations

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Of the 6.8 billion coupons distributed by the packaged goods industry annually, how many are redeemed?


A) 1.1 billion
B) 650 million
C) 330 million
D) 225 million
E) 86 million

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Provide two examples of a game contest.

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A game (or instant win) contest is a promotion that includes a number of predetermined winning tickets. Packages containing winning certificates are redeemed for prizes. Variations of this type of contest include collect-and-wins, match-and-wins, and small instant-wins combined with a grand prize contest. Restaurants such as McDonald's and Tim Hortons use this promotion vehicle frequently. McDonald's runs a game fashioned after the board game Monopoly, and Tim Horton's offers "Roll Up the Rim to Win" every spring.

The most common objective of a consumer promotion activity is to have the consumer make


A) a trial purchase
B) a request for a coupon
C) a recommendation
D) a request for product information
E) a request for a sample

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Coupons, samples, contests and premiums are examples of activities that would be considered a pull strategy.

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Sales promotion can be defined as activity that provides special incentives to bring about


A) more movement in the product life cycle
B) immediate response from consumers
C) more creative advertising
D) more web sites
E) greater competitor activity

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B

A second objective of consumer promotion is to encourage


A) protection of loyalty
B) increase in listings
C) word-of-mouth advertising
D) sales support
E) a building of volume

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Contests are most appropriate at which stage of the product life cycle?


A) trial stage
B) mature stage
C) growth stage
D) decline stage
E) introductory stage

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One of the common types of trade promotions activities is


A) video games
B) DVDs
C) free radio advertising
D) co-operative advertising funds
E) social media

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Premiums can be offered to consumers as a mail-in. In other words, consumers send in a proof of purchase and the item is returned by mail.

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Media-delivered coupons are coupons distributed


A) inside consumer goods
B) through television stations
C) through in-store kiosks
D) through radio stations
E) in newspapers, magazines or online

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Describe the various methods of sample distribution.

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A free sample is free product distributed to potential users either in a small trial size or in its regular size. The most frequently used method of sample distribution is in-store. There are several variations on in-store sampling: product demonstrations and sampling in stores, saleable sample sizes (small replica pack sizes of the actual product), and cross-sampling. Cross-sampling refers to an arrangement whereby one product carries a sample of another product. Other alternatives for delivering free samples include co-operative direct mail (provided the sample is small and light enough to be accommodated by the mailing envelope), home delivery by private organizations, event sampling, and sample packs that are distributed to specific target markets. On-site sampling (experiential sampling) is a newer method for sample distribution.

Slippage is when a distributor loses customers during a promotion.

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