Chapter 9 "test your knowledge"
Despite emerging technologies, consumers are unchanging in their traditional information searches and consumption behaviors.
False
Digital marketing is a term used for any electronic media that functions using digital codes.
False
Scenario 9.3. Use the following to answer the question. The Pawn Stars is a popular television show airing on the History Channel and features an interesting cast of characters and real-life consumers who visit the pawn shop with the hopes of selling their items and negotiating a fair trade with the owners or employees. The show has become so popular that the History Channel has created a special digital marketing presence such as a website where fans can purchase t-shirts and other memorabilia from the store as well as items for sale in the store. The website also asks visitors to register with Facebook or provide an e-mail address so the Pawn Stars can provide updates about upcoming shows or games. Refer to Scenario 9.3. Visitors to the Pawn Stars website can access a wealth of information about the show, its major characters, and items that are available for sale. The History Channel and the Pawn Stars marketing team can also glean a wealth of information about the consumers who visit the Pawn Stars website such as their interests and geographic location. This is an example of the ______ characteristic of online media.
Accessability
Scenario 9.2. Use the following to answer the question. Google Analytics is the largest analytics platform available to marketers. The tool facilitates analysis of five types of data: Real-Time, Audience, Acquisition, Behavior, and Conversions. As the marketing manager for a ski resort, it's your job to determine which type of data is best suited to your needs as those needs change during the year. Refer to Scenario 9.2. After ski season ends, a key part of your job is to monitor and compare the success of different marketing tools, like email and social media, in generating the in-bound traffic that will boost next year's business. What type of Google Analytics data would be most likely to provide this information?
Acquisition
JCPenney's website encourages visitors to register in order to maximize their use of the site. By gathering information about a consumer before a purchase is made, JCPenney is practicing ___________.
Addressability
Smartphone users often download ______ that enable consumers to access additional information about companies and may offer convenience and cost savings offers.
Applications
_______ are software programs that run on mobile devices and give users access to certain content and often provide convenience and cost savings to the customer.
Applications or Apps
Scenario 9.2. Use the following to answer the question. Google Analytics is the largest analytics platform available to marketers. The tool facilitates analysis of five types of data: Real-Time, Audience, Acquisition, Behavior, and Conversions. As the marketing manager for a ski resort, it's your job to determine which type of data is best suited to your needs as those needs change during the year. Refer to Scenario 9.2. During ski season, it's important for you to understand the demographic characteristics of people who are staying at the resort. Which type of Google Analytics data would be most likely to provide this information?
Audience
Scenario 9.2. Use the following to answer the question. Google Analytics is the largest analytics platform available to marketers. The tool facilitates analysis of five types of data: Real-Time, Audience, Acquisition, Behavior, and Conversions. As the marketing manager for a ski resort, it's your job to determine which type of data is best suited to your needs as those needs change during the year. Refer to Scenario 9.2. Throughout the year, you want to ensure that the ski-related content on your website is fresh and informative enough to encourage prospective skier interactions. You also need to monitor the site's functionality, including its speed and key features like landing and exit pages. Which type of Google Analytics data would be most likely to provide this information?
Behavior
Papa John's received negative publicity concerning the quality of the contents used in making their pizza. The information in the news report was incorrect, and was corrected on the next newscast. However, Papa John's wanted to go further and respond to the issue by creating a web-based journal that gives accurate information about Papa John's and the ingredients they use. This journal is an example of a(an) _____________.
Blog
Web-based journals utilized by writers who can editorialize and interact with other Internet users are known as:
Blogs
Kohl's is a traditional retail store but is devoting more attention to online sales and attempting to generate a greater proportion of business through the Internet. The retailer is characterized as a _____ retailer for maintaining both a traditional retail store and online presence.
Bricks-and-Clicks
Online media allow both consumers and businesses to be linked to each other as well as consumers to engage with other consumers. This online media characteristic is called
Connectivity
The characteristic of online media that provides the ability of consumers to be linked with marketers along with other consumers is called
Connectivity
Digital and e-marketing have created exciting opportunities for marketers; however, it is essential to recognize that social media are more _________ than traditional media.
Consumer-Driven
Rocky enjoys shopping for cars and likes to browse eBay Motors. He appreciates the capability that eBay offers to filter the search by specific terms such as brand of vehicle, make or model, number of miles, type of seller, transmission, and color. He can easily and simply reduce the number of vehicles that appear in the search by using these simple filtering requests. eBay Motors is taking advantage of _____, one of the characteristics of online media.
Control
Digital media gives consumers more control over price. This gives them a significant advantage. In order to compete, what must many companies do so consumers focus on attributes other than price?
Differentiate their products.
Bremer Jewelry store has five locations in a regional market of about 1 million customers and considers itself to be an innovator in the use of _____ to communicate with customers via its company website, Facebook, Twitter, and blog.
Digital marketing
The use of digital media, including the Internet and mobile and interactive channels to develop communication and exchanges with customers is
Digital marketing
Sound Systems is a custom installation and distributor for high-end stereo systems for the home or automobile. Sound Systems utilizes _______ that functions using digital codes that are available via computers, cellular phones, smartphones, and other digital devices as part of its business activity.
Digital media
Today's consumer is changing their information searches and consumption behaviors to fit with emerging technologies and trends. Epiphany Farms is an organic farm specializing in vegetable and meat products and also owns a farm-to-table restaurant. The restaurant is implementing _______ that functions using digital codes that are available via computers, cellular phones, smartphones, and other digital devices as part of its business activity.
Digital media
_________ are defined as electronic media that function using digital codes.
Digital media
Firms who adopt e-marketing strategies must consider making changes to its marketing mix variables. Which aspect of the marketing mix would relate to the ability to process orders electronically, reduce inefficiencies, costs, and redundancies while simultaneously increasing speed throughout the marketing channel?
Distribution
The ability to process orders electronically and increase the speed of communications via the Internet reduces ______________.
Distribution Costs
What term is used to refer to the strategic process of distributing, promoting, and pricing products, and discovering the desires of customers using digital media and digital marketing?
E-marketing
As the supervisor for your marketing department's summer intern, you have made a point of explaining to her the different activities involved in social media monitoring. But you suspect she hasn't paid attention. When she writes a memo that is supposed to summarize this topic, she erroneously includes _________ as a social media monitoring activity.
Estimating
A small, local business called Relics, which is a gift shop located in a medium-sized town of 250,000 people, relies on _________, the most popular social networking site in the world to share new product arrivals and encourage consumers to shop at its store.
Consumers view the illegal downloading of copyrighted materials as more unethical if the person's motivation is primarily for fun, then if it is for personal gain.
False
Due to consumer concerns over privacy, the ____ is considering regulations that would limit the amount of consumer information that marketers can gather online.
Federal Trade Commission
One of the most significant privacy issues involves the use of personal information that companies collect from website visitors in their efforts to foster long-term relationships with customers. Due to consumer concerns about privacy, the _______ is considering developing regulations that would protect consumer privacy by limiting the amount of information that marketers can gather online.
Federal Trade Commission
Which organization is considering developing regulations that would protect consumer privacy by limiting the amount of consumer information that businesses can gather online?
Federal Trade Commission
An online marketer of crackers labeled "gluten free" is exposed by a public health organization for making false claims on its website. When an independent lab tested the company's products, they were found to contain over ten percent wheat and other grains that cannot be disgested by consumers who are gluten-intolerant. The public health group sued the company for untruthful and deceptive advertising. Which of the following assertions was most likely made by the public health organization's lawyer?
Federal Trade Commission rules for online advertising are the same as for any traditional form of communication or advertising.
One of the popular photo-sharing sites that allow users to upload and share their photos with the world is called:
Flickr
Which of the following statements is true about e-marketing and the marketing mix?
In some cases, companies will only offer certain products via digital media, including the Internet.
Many company websites such as Frito Lay's website enable customers to communicate directly to the company about their wants and needs. Frito Lay is utilizing the _______ characteristic of online media.
Interactivity
As director of digital marketing for your firm, you successfully created an effective new website. Now it's time to choose and implement metrics to gauge the site's performance. Which of the following statements about your options is accurate?
KPIs (key performance indicators) should be embedded at the start of a social media strategy.
Mitch is a member of the website Lotus Talk, where Lotus owners can create a profile and interact with other users, post information, and engage in other forms of web-based communication. Lotus Notes is an example of a
Social Network
Scenario 9.1. Use the following to answer the question. You have just opened your new yoga studio, a lifelong ambition. The website reflects your passion, offering photos, instructional videos, inspirational sayings, and links to related resources along with your class schedules and dates. Now you need to nail down your social media strategy: in particular, its specific objectives and the metrics that you'll use to measure performance. Refer to Scenario 9.1. There are many other yoga studios near yours, so achieving influence among well-known practitioners will be essential to your success. You want to use a quantitative measure of performance toward this goal. Which of the following quantitative metrics would be most appropriate for measuring influence?
Likelihood to recommend
_______ are Internet sites that allow users to share photos, videos, and podcasts.
Media-sharing sites
Best Buy has been more effective than many other electronics retailers at staving off online competition. The company offers consistent product assortments and pricing both on its website and at its physical locations. Customers are encouraged to research options online, then visit a Best Buy store to try different brands and make, or pick up, a purchase. Best Buy's distribution approach illustrates the trend toward:
Omni-Channel Retailing
Any attempt to conduct dishonest activities online is called:
Online Fraud
You have three young cousins aged 6, 13, and 15. Which of them, if any, cannot be legally tracked by marketers without parental permission?
Only the 15-year-old can be legally tracked.
Scenario 9.1. Use the following to answer the question. You have just opened your new yoga studio, a lifelong ambition. The website reflects your passion, offering photos, instructional videos, inspirational sayings, and links to related resources along with your class schedules and dates. Now you need to nail down your social media strategy: in particular, its specific objectives and the metrics that you'll use to measure performance. Refer to Scenario 9.1. Although many of your friends are fellow yoga enthusiasts, your immediate circle will not provide adequate exposure in the market. You must depend on social media to achieve this objective. Which of the following metrics would be most appropriate for measuring exposure?
Page Visits
Radio and television networks like CNBC, NPR, and PBS are creating _____ of their shows to profit from a growing trend where consumers are downloading audio or video files from the Internet to listening devices or personal computers.
Podcasts
The marketing mix variable that is related to perceptions of value and is the most flexible element of the marketing mix is:
Price
Amazon is a known innovator in the e-marketing industry and developed proprietary software that enabled the company to offer product suggestions to customers based on their purchase history. For example, if an Amazon customer enjoyed reading fantasy books, such as the Harry Potter series, the computer algorithm would suggest other titles that consumers like them had purchased, such as Percy Jackson and the Olympians or The Hunger Games. However, some consumers are concerned about their _______ since Amazon collects information from website visitors in their efforts to create long-term relationships and generate revenue.
Privacy
Bill's Restaurant is a small, upscale restaurant located in Owensboro, Kentucky, and is owned and managed by the chef, Bill. Bill is an adventurous chef with over 30 years in the restaurant business. Bill's menu changes daily, and he enjoys the opportunity to source local products as well as take advantage of overnight shipping of fresh fish from Hawaii or other exotic locations. Bill has begun using his Facebook page to alert followers to the daily menu and encourages them to visit for lunch or dinner. Which element of the marketing mix is Bill manipulating to generate revenue for the restaurant?
Promotion
Web advertisers are trying to engage in self-regulation so regulators do not develop additional regulation to ________________.
Protect user privacy
The Internet is often called a _________ medium because users determine which websites they are going to view.
Pull
The term ______ medium is utilized to refer to the Internet since users determine which websites they are going to view while the marketer has only limited ability to control the content to which users are exposed.
Pull
IHOP is active on Facebook, Twitter, and YouTube in order to communicate with its customers, conduct video contests, and generally find out the customers' likes and dislikes. IHOP, in this example, is engaging in ____ marketing.
Relationship
The T-shirt House creates customized, screen-printed shirts for a variety of customers such as organizations, companies, and schools and began utilizing e-marketing by creating a website and Facebook page. The T-shirt House simply modified their newspaper advertising and Yellow Pages ads for the digital space when they first began to use e-marketing, but their efforts were not effective. Which of the following could explain why the T-shirt House's website and Facebook page efforts failed?
They treated digital marketing like a traditional marketing channel.
Digital online media marketing facilitates both price and non-price competition.
True
Rather than wait for legislation to be passed regarding Internet rules, many web advertisers attempt self-regulation to govern how consumer information is collected and used online.
True
When consumers conduct an online product information search, corporate-generated content appears more credible than consumer messages.
True
The subscription video on demand service Hulu was sued for allegedly sharing user information with Facebook. While Hulu eventually won in court, the case served as a reminder to marketers about the federal ___________, which prohibits them from disclosing information about a consumer's video content consumption without that consumer's consent.
Video Privacy Protection Act
A type of software that creates an interface that enables users to add or edit the content of some types of websites is known as a(n):
Wiki
A restaurant obtains rave reviews from a celebrity chef by providing free meals to him and his staff. Must the restaurant disclose this non-monetary compensation? Why or why not?
Yes, because the Federal Trade Commission requires disclosure of any type or level of compensation.
In what ways is digital or online media distinct from traditional marketing strategies?
addressability, interactivity, accessibility, connectivity, and control
As a digital marketer for a tennis racket company, you were asked to choose two online metrics to evaluate the performance of the firm's social media marketing efforts. One of the metrics you chose was click-through rate, which determines the percentage of consumers who click on your "Best New Courts" link. You also chose a metric that relates consumers' feelings about how the product enhances their tennis game. Your choices illustrate that effective online metrics are:
both quantitative and qualitative.
A trend that led consumer-generated information to increase in importance is:
consumers' tendencies to trust other consumers over corporations.
In response to digital marketing strategies, consumers are changing their information searches and _______ to fit with the emerging technologies and trends.
consumption behaviors
Which of the following is one of the trends that led consumer-generated information to increase in importance?
increased tendency of consumers to publish their own thoughts, opinions, and product reviews.
Scenario 9.1. Use the following to answer the question. You have just opened your new yoga studio, a lifelong ambition. The website reflects your passion, offering photos, instructional videos, inspirational sayings, and links to related resources along with your class schedules and dates. Now you need to nail down your social media strategy: in particular, its specific objectives and the metrics that you'll use to measure performance. Refer to Scenario 9.1. You decided to pay a highly regarded yoga expert to blog about your studio. She charged a hefty fee for her endorsement, so you're anxious to confirm good results from this expenditure. This means you want to measure ___________ by using an appropriate measure like _________ or ___________.
influence, links, purchase consideration.
An ethical and legal issue important to companies, recording artists, and writers' concerns ______, the copyrighted or trademarked ideas and creative materials developed to solve problems, carry out applications, and educate and entertain others.
intellectual property
The Internet is changing the way marketers communicate and develop relationships. Walmart has been an early adopter of various technologies which it leverages to create competitive advantages. Walmart is utilizing e-marketing and one of the benefits is that
marketers and customers can share information.
When cybercriminals hacked into the customer-data computer files of retail giant Target, an estimated 70,000 shoppers were placed at risk of credit theft and identity fraud. However, the crime could have been even worse. The Target case did not involve the type of cybersecurity issue considered by the Federal Trade Commission as the most challenging. This type is:
ransomware
Scenario 9.1. Use the following to answer the question. You have just opened your new yoga studio, a lifelong ambition. The website reflects your passion, offering photos, instructional videos, inspirational sayings, and links to related resources along with your class schedules and dates. Now you need to nail down your social media strategy: in particular, its specific objectives and the metrics that you'll use to measure performance. Refer to Scenario 9.1. In order to build the business, you need a steady increase in the impact of your social media marketing. As an example, you hope to achieve a high rate of conversions from site visitors to purchasers. A social media marketing expert has advised you to also consider qualitative metrics, which can add a helpful perspective to quantitative metrics like conversion rate. Which of the following qualitative metrics would be most appropriate for measuring impact?
satisfaction and loyalty.