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Question: 1 / 400

What common traits define a successful destination category?

High dollar sales and low frequency

Low dollar sales with high household penetration

High dollar sales, high household penetration, and high purchase frequency

A successful destination category is characterized by high dollar sales, high household penetration, and high purchase frequency. This combination indicates that a significant number of households are purchasing items from this category regularly and are spending a substantial amount of money, making it a lucrative segment for retailers and suppliers.

High dollar sales suggest the products within the category are premium or are essential items that consumers are willing to spend more on, indicating strong demand. High household penetration means that many households are engaging with the category, which reflects its importance and relevance in consumers' lives. Finally, high purchase frequency indicates that consumers return to buy products from this category often, suggesting consumer loyalty and a routine inclusion of these items in their shopping habits.

These traits together create a robust and profitable category, supporting strategic decisions related to inventory, marketing, and promotional activities. The other options do not capture the full potential and successful characteristics of a destination category, as they either focus on elements that don't combine for optimal performance or emphasize low engagement metrics that would not typically define success in such a context.

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Steady growth with low marketing investment

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