DECA Marketing Cluster Practice Exam

What is the primary objective of scrambled merchandising?

1. To maintain brand loyalty

2. To reduce competition

3. To increase profits

4. To enhance customer service

The correct answer is: To increase profits

Scrambled merchandising refers to a retail strategy where a retailer offers a variety of unrelated products across different categories rather than sticking to a specific niche or product line. The primary objective of this approach is to increase profits. By diversifying the product offerings, retailers can attract a wider customer base and encourage larger transactions through cross-selling and upselling complementary products. This method can lead to higher sales volumes and greater profit margins, as consumers may end up purchasing a range of items during a single shopping trip. Retailers position themselves to maximize their revenue from existing customers by providing convenience and a one-stop shopping experience. While maintaining brand loyalty, reducing competition, and enhancing customer service are important aspects of retail strategy, they are not the primary focus of scrambled merchandising, which is fundamentally driven by the goal of boosting profit through a broader array of products.