Quiz 4 (Chapters 15, 16, 17, 18) Flashcards
What is sales promotion?
the use of incentive techniques that create a perception of greater brand value among consumers or distributors
Seeks short-term sales with the use of incentives
What is consumer market sales promotion?
introduce household consumers to purchase a firms brand rather than a competitors brand
use coupons, price off deals, contests
What is trade-market sales promotion?
motivate distributors, wholesalers, and retailers to stock and feature firms brand in their merchandising programs
Point of purchase displays, salesperson incentives, sales training
What is business-market sales promotion?
cultivate buyers from large corporations who are making purchase decisions
trade shows, incentives, and loyalty programs
What is the purpose of sales promotion?
Stimulate short-term demand
trial use
encourage brand switching
promote price orientation
What is the purpose of advertising?
cultivate long-term demand
repeat purchases
encourage brand loyalty
promote image/feature orientation
How can you stimulate repeat purchases?
loyalty programs
How to stimulate larger purchases?
allow firms to reduce inventory or increase cash flow by emptying the shelves faster
What are coupons?
they offer a designated reduction in price for a product or service
What are premiums?
are items offered free, or at a reduced price with the purchase of another item
What is free premium:
provides consumers with an item at no cost
What is a self-liquidating premium?
requires a consumer to pay most of the item received as a premium
What is a ‘contest’
consumers compete for prizes based on skill or ability determined by a panel of judges
What are sweepstakes?
winners are determined by chance
What are trail offers?
has the same goal as sampling but with more expensive products
