CLEP Marketing Practice Exam

Push money allowances are designed to incentivize retailers to actively promote and sell certain products, encouraging them to engage in aggressive selling tactics. This strategy involves providing financial incentives, often in the form of bonuses or commissions, to the salespeople or retailers who manage to sell a designated quantity of these products.

This fosters a competitive environment among sales personnel, motivating them to prioritize the promotion of specific items over others. By using push money allowances, manufacturers can ensure that certain products gain traction in the market, leading to increased sales and visibility.

The other options describe different types of marketing strategies or sales incentives but do not encompass the specific meaning of push money allowances. Discounts offered to customers, for instance, focus on direct price reductions rather than retailer incentives. Bonuses for customer loyalty pertain to rewards for repeat customers, while returns on unsold merchandise deal with the financial agreements between retailers and suppliers regarding unsold stock, which is not the intent of push money.