What operational issue related to fulfillment can negate the goodwill generated by an initial sales incentive?
Answer
A strong promotion leading to an unexpected surge in demand causing inventory to run out
Logistical failure, such as running out of stock due to unexpected success, forces companies into issuing rain checks or disappointing buyers, which undermines the positive impact of the promotion.
Related Questions
What is the simplest definition of a promotion in marketing?Which component of the Marketing Mix dictates *what* is sold, *at what price*, and *where* it is available?What is the primary goal that makes Promotion distinct from the other elements of the Marketing Mix (Product, Price, Place)?How are Sales Promotions specifically differentiated from activities like public relations?Which action is listed as a core objective for implementing a promotion?What characterizes a promotion categorized under 'Added Value' incentives?What psychological driver do Contests and Sweepstakes primarily leverage?What is the significant, often hidden cost associated with consistently relying too heavily on price reductions?What operational issue related to fulfillment can negate the goodwill generated by an initial sales incentive?When calculating Return on Investment (ROI) for a promotion, what must the incremental profit be measured against?