Georgia DECA Advertising Practice Test

What type of marketing data can a business obtain by reviewing its inventory reports and customer invoices?

1. Customer demographics

2. Customers' product preferences

3. Sales trends over time

4. Supplier performance reports

The correct answer is: Customers' product preferences

Reviewing inventory reports and customer invoices provides businesses with insights into customers' product preferences. This is because inventory reports track which items are in stock, how often they are sold, and the quantity of individual products that are purchased by customers. Customer invoices detail the specific products purchased during transactions, allowing the business to identify trends in buying behavior. By analyzing this data, a business can determine which products are popular among its customers, revealing what customers prefer in terms of brands, features, or even price points. This information is vital for making informed decisions related to product offerings, marketing strategies, and inventory management. While understanding customer demographics might be useful for broader marketing strategies, it is more abstract and does not directly stem from the analysis of inventory and invoices. Similarly, sales trends over time would require a more extensive analysis over periods and may not solely depend on the immediate data from invoices and inventory. Supplier performance reports are unrelated to sales data but focus more on the efficiency and reliability of suppliers, which isn't derived from inventory reports or customer invoices.