Asked by
reiona grass
on Dec 15, 2024
Verified
A promotional allowance is
A) a onetime discount to promote the product that must be used within a certain time frame.
B) the cash payments or an extra amount of "free goods" awarded sellers in the marketing channel for undertaking certain advertising or selling activities to promote the product.
C) the return of money to promote the product based on proof of purchase.
D) a short-term price reduction when consumer demand takes a significant and unexpected dip.
E) an incentive, such as trips, cruises, jewelry, etc., presented to brand-loyal customers.
Promotional Allowance
A financial incentive provided by manufacturers to retailers for promoting their products, which can include discounts or funds for advertising.
Free Goods
Products or services offered at no cost, often as part of a promotional campaign to attract customers or for sampling.
Marketing Channel
A marketing channel is a set of practices or activities necessary to transfer the ownership of goods from the point of production to the point of consumption, including distributors, wholesalers, and retailers.
- Contrast between the various incentives offered, such as promotional allowances and cash discounts.
- Comprehend the implications and motivations behind promotional allowances.
Verified Answer
PV
Learning Objectives
- Contrast between the various incentives offered, such as promotional allowances and cash discounts.
- Comprehend the implications and motivations behind promotional allowances.