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Which of the following is a type of partnership program used by manufacturers of two or more brands, such as Doritos corn chips and Pace salsa, to leverage similar strengths to achieve a bigger impact in the marketplace?


A) tie-ins
B) licensing
C) sponsorship
D) bonuses
E) spiffs

F) A) and C)
G) B) and E)

Correct Answer

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Which of the following is NOT a way manufacturer-sponsored coupons are delivered?


A) through media
B) directly, such as direct mail or door-to-door
C) in or on the package
D) through the retailer
E) All of the above are ways to deliver manufacturer-sponsored coupons.

F) A) and B)
G) B) and E)

Correct Answer

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Which of the following is NOT a use of consumer promotions?


A) generate awareness
B) generate trial
C) maintain or increase market share
D) used as a brand reminder
E) image creation

F) A) and B)
G) B) and C)

Correct Answer

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MINI-CASE Kraft is known for its cheese products, but this company also manufactures several consumer packaged goods products, such as mayonnaise, salad dressing, barbeque sauce, macaroni and cheese, and other types of food products that are sold in grocery stores. A large portion of Kraft's marketing communication budget (i.e., more than 50 percent) is spent on incentives given to wholesalers and retailers to get its products to the consumers. -Refer to Mini-Case. What is the target audience called that Kraft is targeting with incentives to get its products to consumers in the stores? Name and describe the other targets of sales promotion as well.

Correct Answer

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Reasons for the move to sales promotion match changes in the marketplace do NOT include?


A) Consumers are more likely to switch brands because they are better educated, more selective, and less loyal to brand names than in the past.
B) Consumers have come to expect constant short-term price reductions such as coupons, sales, and price promotions.
C) In most industries, the battle is for market share rather than general product growth, and sales promotion encourages people to switch products, increasing market share.
D) Sales promotion is often the most effective strategy for increasing sales of a parity product.
E) Dominant retailers do want promotional incentives because they do not benefit the retailer.

F) A) and B)
G) B) and E)

Correct Answer

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E

Which of the following typically receives about half of the marketing communication budgets?


A) advertising
B) consumer sales promotion
C) trade promotions
D) event sponsorship
E) public relations

F) A) and E)
G) All of the above

Correct Answer

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What type of promotion is Upromise, which was discussed in the "Hands-On" case at the end of the chapter?


A) loyalty program
B) price deal
C) premium
D) sweepstake
E) game

F) None of the above
G) A) and C)

Correct Answer

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MINI-CASE Everyone knows McDonald's, the worldwide fast food chain. McDonald's has been a user of consumer promotions for years. They offer a kids' Happy Meal that always includes a toy, and often times the package itself is a promotion, such as pumpkin buckets at Halloween. They have also used a promotion patterned after the popular Monopoly game where everyone wins something small, like a soft drink or french fries, but someone could win $1 million dollars by participating. The Monopoly promotion usually lasts several months. McDonald's also participates in promotions with movies, such as Star Wars and several Disney movies. Another promotion McDonald's is considering is a program where consumers will receive one free Happy Meal for every 10 they purchase. -Refer to Mini-Case. The promotion in which customers receive one Happy Meal for every 10 they purchase is known as a(n) ________.


A) price deal
B) premium
C) tie-in
D) refund
E) loyalty program

F) All of the above
G) A) and C)

Correct Answer

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Which of the following is a promotion to increase customer retention?


A) event marketing
B) loyalty programs
C) sampling
D) coupons
E) sweepstakes

F) D) and E)
G) A) and B)

Correct Answer

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Which type of consumer sales promotion will more likely lead to consumer trial by giving the product to consumers?


A) price deals
B) coupons
C) refunds and rebates
D) sampling
E) premiums

F) A) and B)
G) B) and C)

Correct Answer

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Dan is creating a sales promotion for a client. Who would NOT be in the target audience of sales promotion?


A) consumers
B) retailers
C) sales representatives
D) distributors
E) company executives

F) All of the above
G) A) and E)

Correct Answer

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Which of the following refers to the trade?


A) brokers
B) distributors
C) wholesalers
D) retailers
E) all of the above

F) A) and E)
G) B) and E)

Correct Answer

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E

MINI-CASE Kraft is known for its cheese products, but this company also manufactures several consumer packaged goods products, such as mayonnaise, salad dressing, barbeque sauce, macaroni and cheese, and other types of food products that are sold in grocery stores. A large portion of Kraft's marketing communication budget (i.e., more than 50 percent) is spent on incentives given to wholesalers and retailers to get its products to the consumers. -Refer to Mini-Case. What audience is Kraft targeting in this case, and what are the two primary roles of this type of promotion?

Correct Answer

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Which of the following is NOT a recommended type of consumer promotion to maintain or increase market share?


A) sampling
B) price deal
C) coupons
D) premiums
E) contests

F) B) and C)
G) B) and D)

Correct Answer

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Explain the purposes of consumer promotions and the useful types of consumer promotions for each.

Correct Answer

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Which of the following is true regarding advertising?


A) adds tangible value to the product or service
B) creates an immediate action
C) creates a brand image over time
D) contributes greatly to short-term profitability
E) added value strategies rely on rational appeals

F) None of the above
G) All of the above

Correct Answer

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Name and describe the various partnership programs.

Correct Answer

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MINI-CASE Kraft is known for its cheese products, but this company also manufactures several consumer packaged goods products, such as mayonnaise, salad dressing, barbeque sauce, macaroni and cheese, and other types of food products that are sold in grocery stores. A large portion of Kraft's marketing communication budget (i.e., more than 50 percent) is spent on incentives given to wholesalers and retailers to get its products to the consumers. -Refer to Mini-Case. What type of promotion could Kraft provide to retailers to call their customers' attentions to Kraft's products? Discuss different examples of this type of promotion.

Correct Answer

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MINI-CASE Everyone knows McDonald's, the worldwide fast food chain. McDonald's has been a user of consumer promotions for years. They offer a kids' Happy Meal that always includes a toy, and often times the package itself is a promotion, such as pumpkin buckets at Halloween. They have also used a promotion patterned after the popular Monopoly game where everyone wins something small, like a soft drink or french fries, but someone could win $1 million dollars by participating. The Monopoly promotion usually lasts several months. McDonald's also participates in promotions with movies, such as Star Wars and several Disney movies. Another promotion McDonald's is considering is a program where consumers will receive one free Happy Meal for every 10 they purchase. -Refer to Mini-Case. What type of consumer promotion is the toy in the Happy Meal?


A) direct premium
B) self-liquidating premium
C) sample
D) price deal
E) game

F) A) and C)
G) A) and D)

Correct Answer

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Which of the following is NOT a recommended type of consumer promotion in the reminder stage?


A) coupons
B) sampling
C) rebates
D) specialty items
E) All of the above are recommended for the reminder stage.

F) A) and B)
G) All of the above

Correct Answer

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B

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