Exam 1 - Chapter 6
60) The marketing technique known as ________ involves merchants offering many products for which there is little demand. A) long tail marketing B) flash marketing C) yield management D) bait-and-switch
A) long tail marketing
77) Acquisition rate is a measure of the: A) percentage of visitors who indicate an interest in a site's products by registering or visiting a product's pages. B) percentage of visitors who become customers. C) percentage of existing customers who continue to buy on a regular basis. D) percentage of shoppers who do not return within a year after their initial purchase
A) percentage of visitors who indicate an interest in a site's products by registering or visiting a product's pages.
56) All of the following statements about cookies are true except: A) cookies can be used to create cross-site profiles of users. B) the data typically stored in cookies includes a unique ID and e-mail address. C) cookies make shopping carts possible by allowing a site to keep track of a user's actions. D) the more cookies are deleted, the less accurate ad server metrics become.
B) the data typically stored in cookies includes a unique ID and e-mail address.
16) Which of the following search engine algorithm updates enables Google's search engine to evaluate an entire sentence rather than just a key word? A) Panda B) Penguin C) Hummingbird D) Graph Search
C) Hummingbird
30) Which of the following statements about a free pricing strategy is false? A) Free products and services can knock out potential and actual competitors. B) The free pricing strategy was born in the early days of the Web. C) It is difficult to convert free customers into paying customers. D) Free products and services can help build market awareness.
B) The free pricing strategy was born in the early days of the Web.
24) Which of the following statements about Canada's anti-spam law is not true? A) Canada's law is based on an opt-in model. B) The law has no impact on companies located within the United States. C) The first phase of the law went into effect in 2014. D) The law applies to e-mail, texts, and social media messaging.
B) The law has no impact on companies located within the United States.
61) Which of the following provides web marketers with a very quick means of identifying a customer and understanding his or her behavior at a site? A) transaction logs B) cookies C) registration forms D) data warehouses
B) cookies
20) Ad blockers operate in a manner similar to which of the following? A) anti-virus software B) firewalls C) Flash cookies D) anonymous browsing
B) firewalls
59) A ________ is a repository of customer information that records all contacts that a customer has with a firm and generates a customer profile available to everyone in the firm with a need to know the customer. A) customer service chat system B) CRM system C) data warehouse D) transactive content system
B) CRM system
50) Which of the following would you implement to collect and analyze your company's big data? A) data warehouse B) Hadoop C) SQL D) profiling
B) Hadoop
37) Which of the following statements about native advertising is not true? A) Native advertising is controversial. B) Native advertising is a new form of advertising found only online. C) Native advertising is growing rapidly, especially on social networks. D) Consumers look at native ads much more frequently than display ads.
B) Native advertising is a new form of advertising found only online.
51) Which of the following statements about the Internet's impact on marketing is not true? A) The Internet has broadened the scope of marketing communications. B) The Internet has decreased the impact of brands. C) The Internet has increased the richness of marketing communications. D) The Internet has expanded the information intensity of the marketplace
B) The Internet has decreased the impact of brands.
79) View-to-cart ratio is a measure of the: A) percentage of visitors who indicate an interest in a site's products by registering or visiting a product's pages. B) percentage of views that lead to an add-to-cart action. C) percentage of existing customers who continue to buy on a regular basis. D) percentage of shoppers who do not return within a year after their initial purchase.
B) percentage of views that lead to an add-to-cart action.
1) In 2017, almost ________ of the U.S. population regularly used the Internet. A) 45% B) 55% C) 75% D) 85%
D) 85%
22) The percentage of all e-mail that is spam averaged around ________ in 2017. A) 55% B) 65% C) 75% D) 85%
A) 55%
15) Which of the following is not one of the four main methods advertisers use to behaviorally target ads? A) Nielsen ratings B) data collected from social networks C) integration of online data with offline data D) clickstream data
A) Nielsen ratings
25) Which of the following is the most important tool in establishing a relationship with the customer? A) company website B) company CRM system C) Facebook D) search engine display ads
A) company website
4) What is the approximate Internet penetration rate for individuals that have attained less than a high-school education? A) 58% B) 68% C) 78% D) 88%
B) 68%
6) Approximately ________ of U.S. Internet users do not shop or buy online. A) 7% B) 8% C) 9% D) 11%
B) 8%
83) Which of the following measures the percentage of times an ad is clicked? A) retention rate B) CTR C) loyalty rate D) conversion rate
B) CTR
78) Recency refers to the: A) percentage of customers who do not return during the next year after an initial purchase. B) time elapsed since the last visit made by a customer. C) percentage of existing customers who continue to buy on a regular basis. D) percentage of customers who return to the site within a year to make additional purchases.
B) time elapsed since the last visit made by a customer.
69) If you want to determine the size of your website's audience, the metric you will use for the most accurate measurement will be: A) page views. B) unique visitors. C) hits. D) reach.
B) unique visitors.
33) Which of the following involves getting customers to pass along a company's marketing message to friends, family, and colleagues? A) affiliate marketing B) viral marketing C) native advertising D) lead generation marketing
B) viral marketing
80) Which of the following measures the ratio of items purchased to product views? A) conversion rate B) cart conversion rate C) browse-to-buy ratio D) view-to-cart ratio
C) browse-to-buy ratio
82) Which of the following is the most meaningful metric for video ads? A) view time B) CTR C) completion rate D) skip rate
C) completion rate
7) In modeling online consumer behavior, the concept of "consumer skills" refers to the: A) education level of the consumer. B) communication skills of the consumer. C) knowledge consumers have about how to conduct online transactions. D) product evaluation skills of the consumer
C) knowledge consumers have about how to conduct online transactions.
29) The incremental cost of building the next unit of a good is called the: A) Law of One Price. B) variable cost. C) marginal cost. D) fixed cost
C) marginal cost.
38) Which of the following is an automated, auction-based method for matching demand and supply for online display ads? A) retargeting B) behavioral targeting C) programmatic advertising D) keyword advertising
C) programmatic advertising
3) Which of the following is not one of the main stages of the online purchasing process? A) post-purchase service and loyalty B) awareness C) engagement D) conversation
D) conversation
2) Which of the following online advertising formats attracted the least amount of spending in 2017? A) search B) classifieds C) rich media D) e-mail
D) e-mail
14) Which of the following forms of online advertising is expected to grow the fastest between 2017 and 2021? A) paid search B) sponsorships C) search engines D) rich media
D) rich media
5) All of the following are online communications that are used to support the evaluation of alternatives stages of the consumer decision process except: A) search engines. B) online catalogs. C) social networks. D) targeted banner ads
D) targeted banner ads
19) Amazon's Associates program is an example of which of the following? A) viral marketing B) local marketing C) affiliate marketing D) lead generation marketing
C) affiliate marketing
71) VTR measures the ________ response rate to an ad. A) 30-minute B) 24-hour C) 7-day D) 30-day
D) 30-day
23) Which of the following statements about CAN-SPAM is not true? A) CAN-SPAM went into effect in January 2004. B) CAN-SPAM prohibits unsolicited e-mail (spam). C) CAN-SPAM prohibits the use of deceptive subject lines and false headers. D) Large spammers are among CAN-SPAM's biggest supporters.
B) CAN-SPAM prohibits unsolicited e-mail (spam).
36) Which of the following industries accounts for the highest percentage of spending on online advertising? A) financial services B) retail C) automotive D) entertainment
B) retail
76) Which of the following measures the average length of stay at a website? A) loyalty B) stickiness C) page views D) retention rate
B) stickiness
13) Google introduced which of the following changes to its search algorithm to weed out low quality sites from search results? A) Penguin B) Hummingbird C) Panda D) Knowledge Graph
C) Panda
81) Which of the following measures the percentage of e-mails that could not be delivered? A) abandonment rate B) unsubscribe rate C) bounce-back rate D) attrition rate
C) bounce-back rate
74) Purchasing an online ad on a CPA basis means that the advertiser: A) pays for impressions in 1,000 unit lots. B) pays a pre-negotiated fee for each click an ad receives. C) pays only for those users who perform a specific action, such as registering, purchasing, etc. D) exchanges something of equal value for the ad space.
C) pays only for those users who perform a specific action, such as registering, purchasing, etc.
34) Google's AdSense is an example of which of the following? A) context advertising B) SEO C) programmatic advertising D) viral marketing
A) context advertising
21) Which of the following is not a primary source of ad fraud? A) browser extensions that insert ads into a premium publisher's website and then list the ads as available on a programmatic ad exchange B) ad targeting firms that create bots that imitate the behavior of real shoppers and then charge advertisers C) botnets hired by publishers to click on web pages to create phony traffic D) native advertising that is displayed on a social media site
D) native advertising that is displayed on a social media site
27) All of the following are among those most frequently affected by ad-blocking except: A) gaming sites. B) newsgroup/forums. C) social network sites. D) online retailers
D) online retailers
52) Which of the following features of e-commerce technology has reduced the cost of delivering marketing messages and receiving feedback from users? A) ubiquity B) richness C) information density D) universal standards
D) universal standards
54) The richness made possible by e-commerce technologies does which of the following? A) It reduces the cost of delivering marketing messages and receiving feedback from users. B) It allows consumers to become co-producers of the goods and services being sold. C) It allows video, audio, and text to be integrated into a single marketing message and consuming experience. D) It enables worldwide customer service and marketing communications
C) It allows video, audio, and text to be integrated into a single marketing message and consuming experience.
57) A web beacon is: A) a cookie that carries a virus. B) an executable cookie. C) an automated applet for performing web searches. D) a tiny graphics file embedded in an e-mail or web page
D) a tiny graphics file embedded in an e-mail or web page
73) What kinds of ads have the lowest CTR? A) video ads B) e-mails to an in-house list C) social network display ads D) banner display ads
D) banner display ads
28) The Nike iD program is an example of which of the following marketing techniques? A) customer co-production B) transactive content C) price discrimination D) permission marketing
A) customer co-production
70) Cross-platform attribution refers to: A) how to assign credit to different marketing initiatives. B) understanding why visitors to a website purchase a product. C) understanding how impressions lead to visits. D) understanding why people click on ads
A) how to assign credit to different marketing initiatives
18) Which of the following is not a practice that degrades the results and usefulness of search engines? A) social search B) link farms C) content farms D) click fraud
A) social search
35) Which of the following is based on the idea of complete price transparency in a perfect information marketplace? A) the Law of One Price B) dynamic pricing C) price discrimination D) versioning
A) the Law of One Price
58) ________ is an open source database that can store and analyze both structured and unstructured data. A) ASP B) PHP C) Hadoop D) JSP
C) Hadoop
26) All of the following are "traditional" online marketing tools except: A) affiliate marketing. B) e-mail and permission marketing. C) social marketing. D) sponsorship marketing.
C) social marketing.
72) Uber has been criticized for using which of the following? A) flash marketing B) bundling C) surge pricing D) freemium
C) surge pricing
75) eCPM measures the ROI of an ad by dividing the total earnings of the ad by which of the following? A) the total number of impressions B) the total number of impressions in hundreds C) the total number of impressions in thousands D) the total number of impressions in millions
C) the total number of impressions in thousands
55) Which of the following is a Google algorithm update related to local search? A) Penguin B) Hummingbird C) Panda D) Possum
D) Possum
17) Which of the following is not true about search engine advertising? A) Spending on search engine advertising constitutes over 45% of all online advertising spending. B) The top three search engine providers supply over 95% of all online searches. C) The click-through rate for search engine marketing has been fairly steady over the years. D) Search engine advertising is the fastest growing type of online advertising
D) Search engine advertising is the fastest growing type of online advertising
31) Creating multiple variations of information goods and selling these to different market segments at different prices is called: A) bundling. B) customization. C) dynamic pricing. D) versioning
D) versioning
32) All of the following are fixed price strategies except: A) bundling. B) versioning. C) free pricing. D) yield management
D) yield management