What is “cross-merchandising”?

Prepare for the NRF Business of Retail Certification Exam. Study with interactive quizzes, flashcards, and detailed explanations. Boost your confidence and get ready to succeed!

Cross-merchandising involves displaying different but complementary products together in such a way that it encourages customers to make additional purchases. This strategy is designed to increase the average transaction value by suggesting items that the customer may not have initially considered but would be useful when paired with their intended purchase.

For example, placing pasta next to pasta sauce and cheese highlights the relationship between these items and inspires customers to buy all three to create a complete meal. This tactic not only enhances the shopping experience by providing convenience but also stimulates impulse buying, ultimately benefiting sales.

The other options do not align with the concept of cross-merchandising. While discounting multiple products at the same time may increase sales, it doesn't involve product placement strategy. Offering the same product in various locations is more about accessibility and does not promote additional items. Positioning products exclusively in one section of the store can limit customers' exposure to complementary products, which is counterproductive to the idea of cross-merchandising. Thus, option B accurately reflects the essence of cross-merchandising.

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