Advertising and Sales Promotion

A form of sales promotion that rewards customers for consistently purchasing a company’s product is

• sales contest

• quantity discount

• loyalty scheme

• promotional allowance

Sales promotion is important because it enables a business to

• create competition between different products

• fix prices for its products and services

• locate customers in different areas

• stimulate demand for its products

Coupon is used as a sale promotional tool targeted at

• Wholesalers

•   Consumers

•    Retailers

•      Salesmen

  Premium goods are offered either free or at low cost to_________

• Improve customers' taste.

•   Give incentive to buyers.

•    Enhance after-sales service.

• Improve quality of product.

A person who carries out point-of-sales promotion is

• a merchandiser

• a retailer

• a wholesaler

• an agent

ABC Foods has recently expanded its production capacity and is searching for a medium for advertising its products at a lower cost. Which of the following advertising media would be suitable for the company?

• Radio

• Magazine

• Newspaper

• Television

An example of a non-personal means of reaching the target audience by an identified sponsor is

• personal selling

• coupon

• sales promotion

• billboard

Which of the following activities is NOT a function of advertising? It

• informs the audience about a product

• reminds the audience about a product

• is used in place of personal selling

• encourages middlemen to stock a product desired

A distinction between advertising and publicity is that___________

• Advertising is paid for while publicity is not.

• Publicity is more readily believed than advertising.

•   Publicity is more thoroughly read than advertising.

• Advertising is usually done through an agency while publicity is not.

A practice of overstating the feature of a product to lure buyers to a store is_________

• Deceptive advertising.

• Wrong packaging

• Deceptive pricing.

• Illegal business