CEC Product Management & Merchandising Flashcards
6 cards from real CEC practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 CEC Product Management & Merchandising flashcards as text
What is 'cross-selling' in e-commerce merchandising?
Answer: Recommending complementary products relevant to what the customer is buying
Cross-selling recommends complementary products (e.g., 'You may also need…') to increase average order value by encouraging customers to add related items to their cart.
What distinguishes 'upselling' from 'cross-selling' in e-commerce?
Answer: Upselling recommends a premium version of the same product; cross-selling recommends different complementary products
Upselling encourages customers to upgrade to a higher-value version of the product they're considering, while cross-selling suggests different complementary products.
What is a 'Product Information Management' (PIM) system used for in e-commerce?
Answer: To centrally store, manage, and distribute product data across multiple sales channels
A PIM system centralizes product data (descriptions, images, specs, pricing) and distributes consistent, accurate information across websites, marketplaces, and other sales channels.
Which pricing strategy involves setting a low initial product price to capture market share, then gradually increasing it?
Answer: Penetration pricing
Penetration pricing uses a low entry price to quickly gain market share and customer adoption, with the intent to raise prices once a customer base is established.
What is 'dynamic pricing' in e-commerce and which industry pioneered its use online?
Answer: Real-time price adjustments based on demand, competition, and inventory; airlines/travel
Dynamic pricing automatically adjusts product prices in real-time based on factors like demand, competitor prices, and inventory levels — a strategy pioneered by airlines and now widely used in e-commerce.
What is a 'product bundle' strategy in e-commerce merchandising?
Answer: Combining multiple products into a single offering sold at a combined (often discounted) price
Product bundling groups complementary items into a single SKU often offered at a slight discount, increasing average order value while providing perceived savings to customers.