CDPP Promotional Planning & Event Management 2

Question 1

What is 'trade promotion management' (TPM) in demand planning?

Accepted Answer

The process of planning, executing, and analyzing promotional activities with retail trade partners

Answer

Managing relationships with third-party logistics providers

Answer

Negotiating import and export tariffs with government trade authorities

Answer

Managing the transportation and logistics of promotional display materials

Question 2

Which planning horizon is most appropriate for detailed promotional event forecasting?

Accepted Answer

1 to 3 months

Answer

3 to 5 years

Answer

10 or more years

Answer

Daily rolling forecasts

Question 3

What is the 'halo effect' in promotional demand planning?

Accepted Answer

The incremental sales lift experienced by non-promoted items due to increased store traffic from a promotion

Answer

A forecasting technique that uses external market data

Answer

The negative impact of a promotion on overall brand equity

Answer

A circular seasonal pattern observed in historical demand data

Question 4

'Demand shaping' in the context of promotional planning means:

Accepted Answer

Using pricing, promotions, or product availability to influence when and how much customers buy

Answer

Adjusting inventory levels after demand has already occurred

Answer

Reshaping the demand forecast retroactively after a promotion ends

Answer

Training sales teams on how to present products to customers

Question 5

What is the main challenge of 'event overlap' in promotional forecasting?

Accepted Answer

It becomes difficult to isolate the individual contribution of each overlapping promotion to total demand lift

Answer

Too many campaigns running simultaneously always reduces overall brand awareness

Answer

Overlapping promotions always cancel each other out completely

Answer

Event overlap is a challenge only for online retailers, not brick-and-mortar stores

Question 6

Which of the following best describes 'off-invoice allowances' in trade promotion?

Accepted Answer

Price reductions applied directly to the invoice at the time of purchase from the manufacturer

Answer

Discounts given to customers who pay invoices ahead of the due date

Answer

Post-purchase rebates mailed to end consumers after a qualifying purchase

Answer

Allowances issued for damaged goods returned to the manufacturer by the retailer

Question 7

In promotional planning, what is a 'feature and display' event?

Accepted Answer

A promotional activity where a product receives prominent in-store merchandising and is featured in a retailer's advertisement

Answer

A product launch showcase for new technology at a trade conference

Answer

An online digital product demonstration streamed to customers

Answer

A seasonal packaging redesign paired with a new product variant launch