(Answers are shown after each question)

Sales promotion is the use of techniques that create a perception of greater brand value among 

consumers, the trade, and business buyers, but the techniques can't entail an incentive.

a. True

b. False

False

The complex and information-rich tools of IBP can help create brand loyalty and competitive advantage.

a. True

b. False

True

One advantage of sales promotions is that the results are simple to measure.

a. True

b. False

True

Sales promotion can break through the media clutter.

a. True

b. False

True

Historically, more money has been budgeted for sales promotion than for advertising.

a. True

b. False

False

Sales promotion can attract attention and motivate trial purchase, but is not allowed for introducing 

new brands to the public.

a. True

b. False

False

Marketers must select only one sales promotion technique aimed at consumers, such as coupons, priceoff deals, premiums, contests and sweepstakes, samples and trial offers, phone and gift cards, rebates, 

and frequency programs.

a. True

b. False

False

Coupons are the oldest and most widely used form of sales promotion.

a. True

b. False

True

A dentist offers a deal in which customers who have had two teeth whitening services over the last year 

get the third one free. This is an example of a sampling program to stimulate repeat purchases.

a. True

b. False

False

One advantage of using sweepstakes and contests is that they can quickly and easily communicate the 

brand message through the game.

a. True

b. False

False

A manufacturer of dental care products sets up a new promotion by attaching one of its toothbrushes to 

its boxes of toothpaste. This is an example of a mobile sampling technique.

a. True

b. False

False

Retailers often run trade promotions simultaneously along with consumer promotions.

a. True

b. False

True

One objective for promotions in the trade channel is to increase store traffic, which benefits both 

manufacturers and retailers.

a. True

b. False

True

The fight for space on grocers' shelves has become very competitive, so manufacturers will do anything 

to get stores to stock their items—except paying a fee, which is illegal.

a. True

b. False

False

A manufacturer helps a retailer by sharing the cost of local advertising. This allows the manufacturer to 

have some control over the process, and the retailer to advertise for a lower cost. They are taking part in 

a form of business-market sales promotion.

a. True

b. False

False

It is estimated that almost one-fourth of corporate America gives rebates as a type of business-market 

promotional technique.

a. True

b. False

False

The advantage that sales promotions have over advertising is that they are measurable and they can 

often motivate consumers to buy larger quantities or try new brands.

a. True

b. False

True