Marketing Mix

Sales Promotion Math

Test your knowledge of sales promotion math best practices. Each question reflects 2025 guidance from leading marketing sources.

A 20 % off coupon on a $50 item saves ______ dollars.

20

10

5

15

20 % of 50 equals 10. Simple percent arithmetic guides offer framing.

Redemption rate equals coupons redeemed divided by coupons ______.

viewed

printed

clicked

distributed

Total distribution is the denominator. It reveals true consumer uptake.

A BOGO deal halves per‑unit revenue; to break even the unit margin must be at least ______ %.

35

70

25

50

If revenue drops 50 %, margin must cover that loss. Lower margins turn the promo unprofitable.

SPI stands for Sales ______ Index in promotion analytics.

Performance

Penetration

Price

Promotion

SPI isolates incremental lift from base sales. It benchmarks promo efficiency.

If a $5 coupon drives an incremental unit margin of $3, the ROI is ______ %.

0

60

80

40

ROI = (3 / 5) × 100. Positive but below break‑even threshold for many brands.

Trade allowance that reduces invoice price post‑sale is called a ______.

slotting fee

bill‑back

rebate

scan‑back

Rebates reimburse retailers after proof of performance. They’re common in CPG.

A scan‑back pays the retailer per unit ______ through checkout.

stocked

sold

ordered

returned

It rewards sell‑through, aligning incentives with consumer demand.

Break‑even volume equals promo cost divided by unit ______.

contribution margin

discount

price

COGS

Higher margins shrink needed lift. Low‑margin items require big volume surges.

Flash sales exploit the scarcity heuristic by limiting time to ______ hours or less.

24

12

72

48

Short windows boost urgency. 2025 ecommerce playbooks cite one‑day caps as optimal.

When a contest requires purchase, added legal compliance cost should be logged under ______ expense.

HR

promotion

tax

operations

Accounting standards group all inducement costs in the promo budget.

Starter

Good start—refresh the fundamentals before your next plan.

Solid

You know the craft—fine‑tune the details for even better outcomes.

Expert!

Outstanding—your 2025 knowledge rivals top practitioners.

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