DECA Marketing Cluster Practice Exam

What is scanner fraud?

1. Manipulating product reviews

2. Changing the sale price online but not in-store

3. Advertising a sale but charging full price at checkout

4. Incorrect labeling of products

The correct answer is: Advertising a sale but charging full price at checkout

Scanner fraud refers to a deceptive practice where a retailer advertises a promotional sale but subsequently charges customers the full price at the point of checkout, despite the advertised discount. This behavior misleads customers and violates trust, as consumers expect to pay the advertised price. This type of fraud can lead to significant financial harm to customers who believe they are availing of a legitimate sale. In contrast, manipulating product reviews involves falsifying consumer feedback, which primarily concerns the credibility of marketing rather than direct financial impact at the point of sale. Changing the sale price online but not in-store refers to a difference in pricing strategies across channels, which is a pricing management issue rather than outright fraud. Incorrect labeling of products can mislead consumers, but it doesn't specifically relate to the sales price during the checkout process, which is essential to defining scanner fraud.