NRF Foundation Glossary Latest Update 2025 Questions Fully Solved

NRF Foundation Glossary Latest Update 2025 Questions Fully Solved Account takeover - Answers A type of ecommerce fraud in which thieves steal customer login information and then use it to access their retailer loyalty accounts. Once they have account access, thieves can often use customer's loyalty points to make purchases for themselves. This type of fraud is also referred to as loyalty fraud. Active listening - Answers A structured form of listening and responding that focuses the attention of the speaker. The listener must take care to attend the speaker fully and the understand any messages suggested behind the words. Advertising - Answers The activity of producing paid advertisements for commercial products and services. Americans with Disabilities Act - Answers This act prohibits employers from discriminating against qualified individuals with disabilities in the job application procedures, hiring, firing, advancement, compensation, training and other terms, conditions and privileges of employment. Anti-theft methods - Answers Practices and devices used to manage and minimize deliberate preventable losses. Examples include: non-electronic ink tags, mirrors, closed circuit-cameras, display or fixture locks, cables, chains and alarms and uniformed security guards. Asset protection (aka loss prevention) - Answers The branch of retail in charge of implementing action plans to reduce waste, breakage or theft and increase safety. Automated fraud - Answers A type of ecommerce fraud in which cyber-criminals either steal credit card information from customers or create programs to test randomly generated card numbers and CVV codes until they find a combination that works; then bots place multiple transactions very quickly using the stolen credit card number. Available inventory (on-hand inventory) - Answers The number of units within the total inventory that are available to sell. Audio ads on podcasts - Answers An advertising strategy in which retailers use podcast-digital audio-messages to advertise their merchandise. Average customer spend - Answers This refers to the average amount that a customer spends during a store visit. This information might help a store plan their sales and marketing approaches. Barcode - Answers A machine-readable series of parallel lines, used in retail to create a unique item identifier. Bonuses - Answers Monetary incentives given to employees for great performance. Retailers often give bonuses to employees, teams, or departments, or even the entire company. Broadcast advertising - Answers Commercials produced for television and radio. This term also includes on-screen movie theater advertising. Bundle pricing - Answers A pricing model in which retailers sell multiple products and/or services together for a lower retail price than if all of the items were purchased individually. This approach helps increase the perception of value with customers.(Each unit is sold individually, but you can choose to purchase more to get the discount.) Closed-circuit cameras - Answers Security cameras that are used to watch areas of the store, on the sales floor and in other locations. Certain store employees can view the cameras' video from a private office or control room. Commission - Answers A form of compensation in which a percentage of their sales is given to sales associates as a part of their wages. Company discounts - Answers A form of compensation that offers employees product discounts or discounts at a partners' businesses as a benefit to facilitate employee engagement. Compensation - Answers The term used for what a company gives its employees in exchange for their work. Forms of compensation include hourly pay, bonuses, commission and company discounts. Competitive pricing - Answers A pricing strategy in which retailers set their prices taking into account the competition. Prices can be set below or above those in competition. Item Cost - Answers The amount paid by a retailer to manufacturer or supplier for an item. Profit Margin - Answers The difference between the price an item is sold for and the price the retailer purchased it for. Gross Profit / Revenue * 100 Net Profit - Answers The difference between revenue and the expenses of buying, producing and operations. Gross profit - Expenses Retail Price - Answers The amount a customer pays a retailer for a product. Markdowns - Answers Reductions to the original selling price of items to encourage rapid sales. Gross Profit - Answers The difference between revenue and the cost of goods sold. (COGS, which is the material and labor required to produce the product.) Revenue - Cost of Goods Sold Cost Of Goods Sold (COGS) - Answers The direct costs associated with production of a product, including the raw materials used to make it and the labor costs. Markup - Answers The amount added to the cost of a product to determine the retail price. This generally covers the expenses and provides a profit. Profit Margin Percentage - Answers The percentage by which revenue from sales exceeds business costs for all items. Gross Profit / Revenue * 100 Operating Expenses - Answers The overhead expenditures incurred to generate revenue. Revenue - Answers The income generated from the sale of goods and services. Products - Answers Physical goods that are bought and sold. Customers - Answers The people/audience that buy from a store. Services - Answers Intangible transactions, such as lawn mowing, hair care services, personal training, ride sharing and video streaming. Finished products - Answers This is what manufacturers produce. Retail Ecosystem - Answers Interconnected system of approaches for meeting goal of retailing, which is to provide customers with the merchandise and services they want.