CPCA MINI Exams Combined Questions With 100% Correct Answers

CPCA MINI Exams Combined Questions With 100% Correct Answers • A measure that reflects the average product price in retail stores when any merchandizing condition was in effect: -Answer-Promoted price Average non promoted price: Average promoted price: Average price per unit: -Answer-highest value lowest value median • At what product level is average unit price (both regular and feature) MOST effective, why? - Answer-Item level, average unit price should only be used at an item or line-priced level, because at category, brand or segment level, it is blended average • Common retail go-to-market pricing strategies? -Answer-High/low pricing, hybrid strategies, EDLP • To perform a pricing analysis you might want to do all of the following except: -Answer-Rely on average price as a more reliable measure than promoted price • Why would a retailer use a "blended margin" strategy? -Answer-To balance the need where lower margins are needed on certain products and still achieving overall category margin by taking higher margins on other products • If a product sales are not affected when the price of that product is increased you can say that the product pricing has low elasticity -Answer-True • The average promoted price can be higher than the average non-promoted price within a given retailer -Answer-TRUE • Level of discount is calculated as -Answer-(Non-promoted price/ promoted price)/ Non- promoted price)* 100 • Index: -Answer-allow us to make direct comparisons of average sales between disparate product types Promoted price: -Answer-average product price in retail stores when any merchandizing condition was in effect Elasticity: -Answer-How much the demand for a product changes when its price changes Syndicated source: -Answer-Point of sale product data collected and analyzed for an overall market area • What data can be used to evaluate pricing strategy at an item level? -Answer-All of the above: competitive pricing, weekly dollar sales, weekly regular and temporary price reduction • A measure that reflects the average product price in retail stores when any merchandising condition was in effect is called: -Answer-Promoted price • To perform a pricing analysis you might want to do all of the following except -Answer-Focus on average price as the primary measure since it combines everyday pricing and promoted pricing • At what product level is average unit price (both regular and feature) MOST effective and why? -Answer-Item level, average unit price should only be used at an item or line-priced level, because at a category, brand or segment level, it is a blended avg • Level of discount is usually measured in terms of a: -Answer-Percentage • A measure that is weighted by product units sold while on discount and product units sold when no discount was present is called: -Answer-Average price • Which of the following data sources would be most valuable to use in setting item level pricing? -Answer-Weekly point of sales data • If you were managing a category with a cash generating strategy, what pricing tactics would you employ? -Answer-Match competition but do not beat with lower prices, price items EDLP, maintain margins if possible • Why would a retailer use a "blended margin" strategy? -Answer-To balance the need where lower margins are needed on certain products and still achieving category margin by taking higher margins on other products A reduction in the everyday product price on any SKU in retail stores is called: -Answer- promoted price • Which of the following statements describes a product that is incremental? -Answer-A product that adds variety of choice relative to other existing prod