Chapter 16
Which of the following industries is most likely to employ combative promotional efforts?
Fast food
Before the release of the newest iPhone by Apple Inc., an Apple juice brand used an actor dressed up like an apple to hold a sign encouraging those waiting in line to try its juice. The brand thought this would be a creative event that would spark an interest in Apple iPhone fans as they stood waiting in line with little else to do. This is an example of
buzz marketing.
Red Bull sponsored Red Bull Stratos, a space-diving project in which skydiver Felix Baumgartner sky dived from the Earth's stratosphere. The move fit well with Red Bull's affiliation with extreme sports. This would best be an example of
buzz marketing.
Research has found that advertising ___________economic growth.
can also bring about
When Yoplait Yogurt gives a portion of its profits to breast cancer research, it is using
cause-related marketing
Although a radio announcer can read several hundred words a minute, a one-minute advertising message should not exceed 150 words because most announcers cannot articulate words into understandable messages at faster rates. This illustrates the ____ consideration in effective communication.
channel capacity
Each communication channel has a limit on the volume of information it can handle effectively. This limit is called
channel capacity
For many consumers, the pages near the back of magazines with dozens of very small black and white advertisements exceed their
channel capacity.
Communication can be viewed as a circular process because
during feedback, the receiver can be viewed as the source of the message while the original source becomes the receiver.
As Emily prepares the script for a radio commercial for her boutique, she is engaging in the ____ stage of the communication process.
encoding
Promotional efforts designed to reduce the risk to consumers for using a product for the first time seek to
encourage product trial.
Retro64 distributes free downloadable versions of its computer games for a very short time. These efforts have a primary promotional objective of
encouraging product trial.
In order to have some of its cereals highlighted in a mailing sent out by Safeway, General Mills has agreed to pay a portion of their costs associated with the advertising mailer. General Mills' payment is designed to
facilitate reseller support
When Hamburger Helper introduced its Oven Varieties, it gave special offers to supermarkets to purchase the new product and supplemented these offers with consumer advertising. Hamburger Helper's primary objective is to
facilitate reseller support.
Cooperative advertising efforts between manufacturers and retailers demonstrate the promotional objective of
facilitating reseller support.
. In one corner of its magazine advertisement for office copiers, Lexmark places a small box asking for the names and addresses of individuals or companies seeking more information. Lexmark has included this box to facilitate ____ for this communication.
feedback
Companies tend to view promotion from many vantage points. Which of the following alternatives is most accurate?
The role of promotion is to stimulate product demand.
Which of the following target market characteristics are most important to consider before determining the promotion mix ingredients?
The size, geographic distribution, and demographic characteristics
All of the following are examples of publicity-based public relations tools except
annual reports.
Some critics, including consumer groups and government officials, suggest that certain products should not be promoted because they
are potentially harmful.
A consumer contest is an example of
sales promotion.
A marketer's use of _____________ tends to be irregular.
sales promotion.
An activity and/or material that offers added value or incentive to resellers, salespeople, or consumers is
sales promotion.
When McDonald's uses the Monopoly game in which customers receive game pieces with each visit and try to assemble a set of properties to win prizes, McDonald's is utilizing
sales promotion.
A new soft drink company took out a national advertisement announcing its new butterscotch-flavored soda. However, while people in one part of the country recognized they were talking about a soft drink, others believed it was an ice cream drink. Still others use the term to refer to something mixed with alcoholic drinks. Therefore, there was much confusion about the term and what it means. The mistake here lies with the ______________.
source
A person, group, or organization that has a meaning it intends and attempts to share with a receiver or an audience is a
source
In the Gillette advertisement that claims, "Gillette, the best a man can get," Gillette is the communication
source
A mattress company has started an advertising campaign designed to get customers to replace their old mattresses every eight years. This type of promotion is designed to
stimulate primary demand.
A direct-response information form found in a magazine advertisement that allows customers to send for more information has a primary objective of
identifying prospects.
Promotion helps consumers because it
informs consumers and places them in a position to specify the products that they seek.
Pioneer promotion is most likely to be used during the ____ stage of the product life cycle.
introduction
Channel capacity is determined by the
least efficient component of the communication process
. If a marketer of a perfume ad develops a commercial involving a man being attracted to a woman who wears a particular perfume, it is attempting to influence one's need for
love and affection.
Selective demand is demand for a
particular brand
Which promotional method is most likely to be used in a push policy?
personal selling
You are working with a sales management consultant on ways to improve your company's sales performance. Your company sells high-end consumer products. You and the consultant agree your promotional activities need to include more direct interaction with your customers. Based on this information, which of the elements of promotion should you emphasize more?
personal selling
Which of the following types of promotion informs potential customers about a product and what it is?
pioneer
The strategic location of products or product promotions within entertainment media content to reach the product's target market is known as product
placement.
By promoting the fact that "orange juice is not just for breakfast anymore," the Florida Orange Growers Association attempted to stimulate
primary demand
When first on the market, the manufacturers of Blu-ray Disc players likely tried to build _____ using _____.
primary demand; pioneer promotion
. If the push policy is used in promoting a product, the firm
promotes only to the next marketing institution down the marketing channel.
To gain maximum benefit from promotional efforts, marketers must strive to
properly plan, implement, coordinate, and control communications.
Subway is conducting a contest in which customers are asked to name a new sandwich. The winner gets a free sandwich each day for one year and an appearance in one of the company's TV commercials. This contest illustrates Subway's use of the ____ elements of the promotion mix.
sales promotion
Old Spice created a series of online videos on YouTube through its "The Man Your Man Could Smell Like" campaign in which the main character responded to viewer questions. These entertaining videos were shared by thousands of people, spreading the message created by Old Spice. This is an example of
viral marketing
If a manufacturer decides to use a push policy to promote its products, it is most likely to focus its efforts on
wholesalers
Product placement is the strategic location of products ________________.
within entertainment media content
. Kinesic communication is an element in which type of promotional method?
Personal selling
Which of the following is a major goal of integrated marketing communications?
To send a consistent message to consumers.
Your friend Angela is highly critical of marketing. She claims that promotion creates needs among people so that they are unsatisfied with what they got. Since you are so knowledgeable in marketing, you tell your friend Angela that promotion doesn't _______________, but it does ____________________.
create needs; capitalize on them
Coca-Cola has just released a new flavor of its soft drink. In order to have customers start adopting the new flavor, Coca-Cola should engage in promotions that focus on
creating awareness
A common form of tactile communication in U.S. business activities is
handshaking.
The two main reasons for criticism of promotional activities are that promotion
has some flaws, and it pervades our daily lives
Communication through the use of brochures, annual reports, event sponsorships, and news stories is referred to as
public relations.
The Sharper Image likes to use nonpersonal communication in news story form such as press releases for its new and improved products. This is an example of
publicity
Michelle recently made a friend from another country who works as a buyer at a large business firm. They get together with a group of friends and have a fun time hanging out. Michelle works at a computer firm, and when she finds out her friend's firm is looking to purchase new computers, she schedules an appointment with her friend. When they get together, Michelle is surprised when her friend quickly kisses her on both cheeks as a form of greeting. She is not sure what to do in return. This type of _________________ is not common in the United States as a form of greeting among new friends or business associates.
tactile communication
The process of putting one's thoughts (meaning) into signs (symbols) is called
the coding process.
All of the following are reasons a company would likely emphasize advertising in its promotion mix except
The company has chosen exclusive distribution for its products
H&M, a clothing company, communicates to its target customers by advertising in magazines, offering clothing information on its website, creating a periodic online newsletter, and using Facebook and Twitter. These vehicles through which the coded message is transmitted from the source, H&M, to the receiver, the prospective customer, are called
communication channels.
Sara is concerned about the effectiveness of Magnum, Inc.'s promotional messages, and is seeking an approach with immediate feedback. Sara is most likely to achieve this through
personal selling.
Alton is reading a magazine ad for a new cologne. In the ad, he sees little more than a photo of a man riding horseback on a beach, and the name of the new cologne, Rugged. In this situation, Alton is a ___, one who ___.
receiver; decodes
Sierra is driving to work on I-95 and notices a billboard for new salads at Wendy's. She reads the message and sees the pictures of the new salads. In this case, Sierra is the ____ and Wendy's is the ____ of this communication.
receiver; source
____ links the purchase of an organization's products to support of philanthropic organizations favored by the target market.
Cause-related marketing
OES Office Systems' use of fax machines to carry its advertising messages to its business customers is which component of the communication process?
Communication channel
Which of the following is a key factor used to determine a product's promotion mix?
Push and pull channel policies
Latisha works for a promotional consultant who develops sweepstakes, games, coupons, and rebate plans for various marketers. Latisha is developing which of the following?
Sales promotion techniques
You work for a company that is marketing a new line of bathing suits. These bathing suits have a unique style that differs from other bathing suits, and you want to spread awareness among consumers and spark their interest. The bathing suit will be sold in stores nationwide. Probably the best promotion mix elements to use in your integrated marketing communications strategy are
advertising and sales promotion.
Threatt Production makes low-priced, convenience products that are widely available. It is most likely to focus its promotion efforts on
advertising.
Promotion tends to
capitalize on existing needs.
Claire Nevsky is in charge of advertising for her company and has produced a 30-second television spot to promote one of the company's new products. One of her assistants just out of college believes that the commercial has too much visual and audio information packed into such a small amount of time. The assistant is specifically concerned about limits in the receiver's
channel capacity
Product placement in television shows is becoming increasingly important due to
consumers' greater ability to screen advertisements.
Often when a company introduces a new product or line extension, its promotion will focus on ____ in order to initiate the product-adoption process.
creating awareness
When Hershey Dark Chocolate Kisses were introduced, Hershey promoted directly to consumers and told them to ask for the product at their favorite stores. This is an example of a ____ policy.
pull
An advertisement from a ski lodge extolling the benefits of a summer getaway in the mountains uses promotion to
reduce sales fluctuations.
When a marketer makes an effort in promotion to point out the strengths and benefits of a specific brand, it is an attempt to build ____ demand.
selective
Virtual realities are still relatively new, but more people are gaining a familiarity with this technology. Competitors are beginning to emerge. Oculus Rift decides it is time to start releasing promotion that markets the advantages of its virtual reality headset compared to competitors. Oculus Rift is attempting to build
selective demand.
The overall role of promotion is to ________________and to build and enhance relationships with current and potential customers.
stimulate product demand
As their meeting concludes, Jamal rises and thanks Gina for taking the time to come by and explain her firm's new line of industrial fasteners. A handshake, which is best described as a form of _____ communication, concludes the session.
tactile
Which of the following is a reason integrated marketing communication is increasingly being accepted?
More precisely targeted promotional tools, like the Internet, are available.
The use of a pull policy may require heavy expenditures for
advertising and sales promotion.
The receiver's response to a message is ____ for the source.
feedback
Laws, government regulations, and industry self-regulation ______________ deceptive promotion.
have helped decrease
If Domino's uses digital media along with more traditional newspaper ads to create a more synchronized and consistent message for customers, it is most likely engaging in
integrated marketing communications.
The coordination of promotion and other marketing efforts for maximum informational and persuasive impact defines
integrated marketing communications.
Anything that reduces the accuracy and clarity of communication is called
noise
The use of heavy advertising in the promotion mix is least likely to occur in which product life cycle stage?
Decline
When Blu-ray disc players were first introduced to the market, what would the logical choice for promotion have been?
Pioneer promotion
You are the marketing manager for a company that makes and markets designer sunglasses. Recently, your boss suggested to you that the company should try to get its sunglasses worn by more actors and actresses in movies. He asked you to look into what it would take to make that happen.Which of the following promotion activities is your boss referring to with this idea?
Product placement
Southwest Airlines began offering sales on flights to South America and Europe. It started promoting these lower-cost flights heavily on television and in print. Not to be outdone, American Airlines started offering its own sales at prices even lower than Southwest Airlines. This refutes which of the following criticisms of promotion?
Promotion increases prices.
____ is a broad set of communication efforts used to create and maintain favorable relationships between a company and its stakeholders.
Public relations
A commercial for a weight-loss program that explains that the customer pays only one dollar for every pound he or she wants to lose but specifies in fine print that the cost of meals is extra exemplifies ____ advertising.
deceptive
Organizations that sell products to industrial markets or a few wholesalers tend to focus their promotion efforts on
personal selling.
If promotion does not do its job of stimulating demand, then the
price of the promoted product is likely to increase.
During the decoding process, the
receiver attempts to convert signs or symbols into concepts and ideas.
Which of the following is not one of the benefits of using advertising as a promotion method?
Immediate customer feedback
The Dyson Company, manufacturer of high-priced vacuum cleaners, has developed a promotional program with both push and pull policies. Dyson only sells its products through retailers who carry high-end household electronics items. For the push policy, Dyson will most likely use ____________; for the pull policy, Dyson will use ___________.
a bonus to the retailer for every Dyson vacuum sold; personal selling done by the retailer's employees
Kyle is preparing the promotional plan for Jansport backpacks in early May. This promotion will be executed in the month of August and will be a paid form of nonpersonal communication. It will be communicated to a target audience through a mass medium. Kyle is using the ___ form of promotion.
advertising
One of the biggest problems associated with ____ as an element of promotion is the high absolute dollar outlay often required.
advertising
Slow feedback, high absolute-dollar outlay, and difficulty in measuring effects on sales are disadvantages of which promotion mix ingredient?
advertising
_____________ is a paid, nonpersonal communication about an organization and its products transmitted to a target audience through mass media.
advertising
Fred owns a sporting goods company that has now expanded to 200 stores across the country. His main form of marketing is advertising in different magazines. In the areas of Vermont and New York, he advertises in skiing magazines. In California he advertises in surfing magazines. In Colorado and Utah, Fred advertises in magazines focused on hiking. On the other hand, Fred is also trying to get professional golfing associations to purchase some of his high-end golfing equipment. In this case, rather than advertising Fred meets with representatives from these organizations personally. Fred is most likely selecting promotion mix factors based on
characteristics of the target market
Samsung has been relatively happy with sales of its Galaxy phone. However, when Apple came out with the newest iPhone, Samsung released advertisements marketing all of the features and benefits its Galaxy phone has to offer. Samsung's promotional objective is to
combat competitive promotional efforts.
A sharing of meaning defines
communication.
In the ______________, signs or symbols are converted by the receiver into concepts and ideas.
decoding process
Primary demand is defined as
demand for a product category.
John owns a small mechanics shop. He decides to invest in some local advertising. In one newspaper advertisement, he talks about how affordable his shop is compared to competitors. He also takes out a radio ad stressing that his shop's prices are much lower than competitors. However, when a new customer comes in to have some body work done on her car, she is shocked to see that the final bill is much higher than what it would have cost at her previous mechanic's. When she complains to John, he informs her that his shop provides the highest in quality services, which sometimes entails higher costs. John does not appear to have an effective
integrated marketing communications strategy
If FedEx decided to outsource all of its marketing efforts to the MaxPro Company, which specializes in advertising, sales promotion activities, and public relations, FedEx would likely be striving to practice
integrated marketing communications.
When encoding the message, the source should use signs that have
meanings that the target market will understand.
. Sonya is watching the six o'clock news as she prepares dinner. As commercial breaks come on, Sonya's dinner preparation would be considered __ in the communication process.
noise
Radio and television signals as well as ink on the paper of a magazine or newspaper are all considered
communication channels.
__________ is anything that reduces an integrated marketing communication's clarity and accuracy.
noise
Factors such as climate, seasons, and holidays tend to lead to the promotional objective of
reducing sales fluctuations.
Mister Sub offers customers a card that allows them to have a free sub for every seven that have been purchased and provides various discounts throughout the year. The primary promotional objective of programs such as this is
retaining existing customers.
Which of the following is the best example of the promotional objective of combating competitive promotional efforts?
After Ford promotes the towing capacity of its F-series trucks, DaimlerChrysler soon emphasizes the towing capacity of its Dodge trucks
Your company is planning to launch a new line of women's athletic apparel in the next six months. In order to create some enthusiasm in the market for your new products, you are working with an outside agency on the promotional ads that will run during some popular sporting events. Which of the following should be the primary objective for these promotional ads?
Create awareness
Reba Vincent is employed as a consultant for Mary Kay Cosmetics. This illustrates
personal selling.
If a firm's promotional budget were extremely limited, for which of the following reasons would it be more likely to rely on personal selling as its main promotional tool?
It is easier to measure a salesperson's effects on sales than advertising's effects on sales.
Which is the best example of noise that originates with the receiver in the communication process?
Kevin simply tunes out pop-up ads on the Internet so that they don't even enter his awareness.
Newspaper ads for Blue Haven Pools offer discounted prices during October and discounted cleaning supplies for hot tubs in March. These are examples of which of the following uses of promotion?
Reducing sales fluctuations
Albott Laboratories offers ceramic coffee mugs to its physician customers when it promotes a new drug. This example illustrates Albott's use of which one of the following elements of the promotion mix?
Sales promotion
During a one-minute television ad for Nike, the National Weather Service interrupts to announce a flash flood warning for surrounding counties. Such an occurrence is an example of ____ in the communication process.
noise
The cost of ____ is usually substantially lower than the cost of ____.
retaining existing customers; acquiring new customers
Marcia works at a toy manufacturer. Recently, the company has had to issue a massive recall because parts of the toy are found to be a choking hazard for small children. A national newspaper published an article that is highly critical of the firm. Marcia tries to handle the backlash from the recall and bad press, but her firm has no policies in place that provide her with guidance in this situation. She consults with Dale, a crisis communication expert at a local college. Dale suggests that Marcia's company develop crisis communication policies to deal with these negative _____________ issues in the future.
public relations
Research has shown that consumers visit websites, blogs, and online forums to receive electronic word-of-mouth communication about goods, services, and companies primarily because the sites
reduce risk and save search effort.
In New Mexico rainstorms often occur in the summer season (also known as "monsoon season"). Outside of summer, it is not uncommon to find umbrellas at reduced prices. Stores likely reduce these prices to
reduce sales fluctuations.
_______ offers the potential benefits of cost efficiency, repetition, and adding product value, while _____ is one of its disadvantages.
Advertising; slow feedback
Public relations
is an element of promotion that should be handled on a continuous basis.
Head nodding, winking, hand gestures, and arm motions are all forms of ____ communication.
kinesic
The Kia Soul automobile is currently positioned as a vehicle for young adults. Kia's message to the target market is that it is exciting, youthful, and trendy. However, Max and his friends who are 20-somethings just like the music and the hamster spokescharacters. They don't care about the car itself. The message that Kia originally encoded and the meaning Max and his friends ultimately decoded
may be different because of noise.
Paid personal communication that seeks to inform customers and persuade them to purchase products in an exchange situation is
personal selling
Generally, promotion mixes for companies with extremely limited promotional budgets tend to concentrate on
personal selling.
Communication that builds and maintains favorable relationships by informing and persuading one or more audiences to view an organization more positively and to accept its product is the role of
promotion
Advertising, personal selling, sales promotion, and public relations are called
promotion mix ingredients
Promotion can help keep prices lower because
promotion of prices intensifies price competition.
Brandon walks around behind purchasing agent Shannon as she looks at the pamphlet describing Hyster's new conveyor system. Shannon stands up and walks to a table on the other side of her office. Brandon follows, but he does not understand the ____ communication Shannon is sending.
proxemic
When a salesperson varies the physical distance between himself and a customer he is using
proxemic communication.
A spokesperson for Mott's apple juice encourages television audiences to use its juice in the winter by serving it hot with a cinnamon stick. In this instance, Mott's is using promotion to
reduce sales fluctuations.
Hunt's decided to put a much larger share of its promotion budget into ____ because of the heavy reliance it will be placing on coupons in the second quarter.
sales promotion
When Sears promotes the benefits and strengths of its Kenmore brand appliances, it is attempting to build
selective demand.
Which of the following are personal informal exchanges of communication that customers share with one another about products, brands, and companies?
word-of-mouth communication
