A supermarket chain in Abuja offers shoppers a free product sample and an instant discount coupon for every purchase made above ₦5,000 during a weekend trade event. Which of the following best describes the primary objective of this business technique?
- ATo establish and maintain long-term mutual understanding and goodwill with the general public
- To stimulate immediate sales volume and encourage quick customer trial of productsAnswer
- CTo provide permanent informative publicity regarding the firm's corporate governance structure
- DTo transform indirect commercial trade activities into direct subsistence production
Answer
The primary objective of sales promotion techniques such as instant coupons and free samples is to stimulate immediate sales volume and encourage quick customer trial of products.
Sales promotion consists of short-term incentives like discount coupons, bonus offers, and free samples designed to motivate customers to make an immediate purchase and increase current sales volume.
Step-by-Step Solution
Key Concept
Purpose of Sales Promotion vs. Public Relations