Ace the CPCA Challenge 2025 – Unleash Your Professional Power with Practice Questions!

The recommendation for Retailer X to not place the items next to each other on the shelf is grounded in the principle of avoiding cannibalization between competing products. When new items are displayed adjacent to similar products, customers may be less inclined to purchase the new product if they perceive the established item as a better option. Additionally, placing competing products in close proximity can lead to consumer confusion and indecision.

By strategically placing the new WidgetMax item away from similar products, Retailer X allows it to stand out, potentially attracting more attention and encouraging initial trials. Distinct placement can be an opportunity to highlight the unique features or benefits of the WidgetMax compared to other products. This strategy increases visibility for the new item while simultaneously reducing direct competition with existing products on the shelf, ultimately promoting better sales performance for both the newer and established items within the store environment.