Real-World Examples of Sales Promotions in Action

📚 Quick Study Guide

🔍 Sales promotions are short-term incentives to encourage purchase. 🏷️ Common types include discounts, coupons, rebates, and contests. 📈 They aim to boost sales, clear inventory, and attract new customers. ⏰ Effectiveness is typically measured by increased sales during the promotional period. 💰 Consider the cost of the promotion versus the potential revenue gain. 💡 Successful promotions align with the brand and target audience. 🗓️ Planning and execution are key to maximizing impact.

Practice Quiz

1. Which of the following is the BEST example of a sales promotion?
   1. A. A company launches a new advertising campaign.
   2. B. A store offers 20% off all items for one week.
   3. C. A brand builds a long-term relationship with customers.
   4. D. A business improves its customer service policies.
2. A "Buy One, Get One Free" offer is an example of what type of sales promotion?
   1. A. A coupon
   2. B. A discount
   3. C. A premium
   4. D. A contest
3. What is the primary goal of a sales promotion?
   1. A. To improve brand image over the long term.
   2. B. To increase short-term sales.
   3. C. To reduce production costs.
   4. D. To enhance employee satisfaction.
4. A cereal company includes a toy inside each box. This is an example of which type of sales promotion?
   1. A. A rebate
   2. B. A premium
   3. C. A coupon
   4. D. A discount
5. What is a potential drawback of using sales promotions frequently?
   1. A. Increased customer loyalty.
   2. B. Higher brand value.
   3. C. Decreased perceived value of the product.
   4. D. Improved supply chain efficiency.
6. A customer mails in proof of purchase to receive money back. This is an example of a:
   1. A. Coupon
   2. B. Discount
   3. C. Rebate
   4. D. Premium
7. Which of the following is an example of a contest sales promotion?
   1. A. Offering free shipping on all orders.
   2. B. Giving a small gift with a purchase.
   3. C. Hosting a photo competition on social media.
   4. D. Sending out weekly email newsletters.