Very Short Question and Answers - Commonly Used Sales Promotions

Rebate refers to offering products at special prices for a limited period, often to clear excess inventory.

A car manufacturer's offer to sell a particular brand of car at a discount of ₹10,000 for a limited period.

A discount refers to offering products at less than the list price, whereas a rebate is a temporary price reduction to promote sales.

A shoe company's offer of 'Discount Up to 50%' or a shirt marketer's offer of '50+40% Discount.'

Refunds are when a part of the price paid is returned to the customer on proof of purchase, like returning empty wrappers.

Food product companies commonly use refunds to boost their sales.

Product combinations involve offering another product as a gift along with the main product.

Get a 128 KB Memory Card free with a Digicam, or Buy a TV and Get a Vacuum Cleaner free.

A quantity gift is when extra quantity of the product is offered for the same price, such as 'Buy 2 Get 1 Free.'

A shaving cream's offer of '40% extra' or a marketer offering 'Buy 2 Get 1 Free' shirts.

'Instant draws and assigned gifts' involve chances to win prizes instantly upon purchase, like 'Scratch a Card' promos.

'Burst a Cracker' and instantly win a refrigerator with the purchase of a TV.

Lucky draw involves giving a coupon with purchase, where winners are chosen by random draw to win prizes.

A lucky draw coupon with the purchase of a bathing soap, where the winner gets a gold coin.

Usable benefit refers to providing vouchers or other usable rewards on qualifying purchases.

Get a discount voucher for accessories on apparel purchase of ₹1,000 and above.

It means offering easy financing schemes with zero percent interest for purchasing products, often with hidden charges.

Sampling means offering free samples of products to potential customers, usually at the launch of a new brand.

Products like detergent powder or toothpaste are commonly promoted by giving free samples.

Contests involve competitive events where customers use skill or luck to win prizes, such as solving a quiz.