mark301

A dating website offers a deluxe package of $200 for 12 months of matches or a classic package of $50 for one month of matches. Most customers don't want the higher cost or they don't think they will use the site for a year and end up purchasing the classic package. The customers sign up feeling like they just saved $150 and they still have full access. Which type of psychological pricing was the cloud storage company using?

anchoring and providing pricing options

Hilliers' Garden Centers offers not only plants and products customers need for their gardens, but also a gardening club that anyone can join. The garden club Hilliers' offers is considered a(n):

augmented product

Which of the following statements best describes how a supply chain differs from a marketing channel?

A supply chain is broader than marketing channels.

If a company's new product is not a new technology and it's an extension of a current product line, what type of adopters will be interested in it?

Early majority

If marketers decide to make a product modification, what must they consider?

If they have a strong enough perception of understanding the products' target customer

If a company competes on price alone in a competitive bidding scenario, then what type of problems can this create?

It can create a low price, jeopardizing a company's ability to deliver its services or products without cutting into its profits.

A marketer is deciding whether the marketing campaign for his company's product will be a push strategy, a pull strategy, or a combination of the push/pull strategies. What impact does this decision have on the rest of the marketing campaign?

It helps to guide and identify which communication tools and methods should be used.

What is a supply chain?

It is a system of activities, people, information, organizations, and resources participating in moving a service or product from supplier to customer.

The Michael's Craft Store begins to offer classes in crafting, cake decoration, and scrapbook design. Which of the following best explains Michael's current approach?

It is expanding its offering to create greater contact efficiency for its customers.

A customer of a bank is skiing at her favorite ski resort. As she is riding the ski lift, her cell phone dings with a text reminding her to pay her credit card in the next few days before the deadline. She really enjoys how her bank sends her reminders and timely messages, and this builds her loyalty to the bank. This example illustrates which unique attribute associated specifically with digital marketing?

It is mobile and portable.

Why is a company's brand name an integral part of its brand identity?

It reflects the overall service or product positioning, image, and benefits.

To write an effective brand positioning statement, which of the following statement is true?

It should be written so that it appeals to a broader target audience.

What is the primary function of drafting a message statement?

It should resonate with your target audience enough to grab their attention and interest.

A business decided to create more substantive content to place on its website for its potential and current customers. What is a good rule of thumb to follow as the business plans the new content?

Make sure the content matches search terms the business wants to be associated with.

If a retail store focuses on price as its main sales appeal and has a broad selection of merchandise, which type of a retail store is it?

a discount retailer

Kroger grocery stores have an in-house brand for many products, including butter, ice cream, salad dressing, and cheese,. This is an example of:

a line-filling strategy

If a company was planning to coordinate its IMC tools and its public relations activities, which choice would it be wise to follow?

a white paper written by the company's technical lead is incorporated into both the company website and sent in an email marketing campaign to industry influencers

A paid form of communication from a specific source or sponsor that accentuates goods, services, and/or ideas, of the sponsor is the definition of ________.

advertising

Tangible and intangible features like design, symbols, customer touch points, etc. differentiate the services and goods of one seller from another. These features create a psychological stimulus or trigger that causes associations with other ideas or thoughts about a seller. Which marketing term best fits this definition?

brand

In general, the companies and organizations that support a distribution channel are collectively called ________.

channel partners

Which dimensions should a marketer consider when dealing with the human aspect of distribution channels?

communication, conflict, roles, and power

Which stage of the product development process sometimes includes rapid prototyping?

concept development and testing stage

Casey enjoyed being out in nature and watching wildlife. He wanted the convenience of taking high-quality pictures quickly and under a variety of circumstances. To satisfy these needs Casey must address them through which product level?

core product level

The BeardHead company makes winter hats with attached beards. It had few funds for a marketing campaign, so it opted for a branding strategy: it gave hats to local celebrities to wear at an annual film festival. A handful of attendees in the crowd filmed the celebrities wearing the hats and sparked a small following for the hats on YouTube. What type of brand strategy did BeardHead select to grow its brand?

crowd-sources branding

A company wishes to measure its customers' loyalty. What attribute of its brand could be used to assess this measurement?

customer satisfaction with the brand

One of the tools available for measuring brand equity was developed by Young & Rubicam. It is called the brand asset valuator. Which four consumer perspective dimensions does it use to evaluate a brand's equity?

esteem, differentiation, relevance, knowledge

Once a brand name makes it through the various steps, screenings, and selection, what last step should be taken to protect the new brand name?

get a trademark for the new brand name

Which stage of the product life cycle requires marketers to pay particular attention to the distribution of their product?

growth stage

Which of the following are the main considerations of creating a channel objective?

marketing strategy, company strategy and objectives, customer requirements

A company can have many different levels of measuring KPIs. What types of KPIs can be measured besides company-level, campaign-level, department-level, and team-level KPIs?

marketing tactic-level KPIs

A hiking boot's profits are declining because new competition has entered the market, but its cost has also declined due to increased volume of production. What stage of the product development life cycle is the hiking boot in?

maturity stage

What is the definition of brand licensing?

renting or leasing the right to use a brand associated with a product or set of products for a certain period of time, and with a certain market, territory, or geography

An industrial ball bearing manufacturer plans to offer sales promotions for its B2B customers. Which of the following would be the best sales promotion for the manufacturer to offer?

sales contests

Alice has crafted her company's key marketing messages, and it is time to prioritize and organize them into a framework. After she has focused on the brand promise and the positioning statement, what should be her next priority?

target audience

If the marketing team is testing a product's marketing mix with a wider market and validating its effectiveness, what product development stage are they in?

test marketing and validation stage

If a brand positioning statement is guided by principles that an organization uses to make decisions and conduct business then it is being driven by:

the brand's core values

If a consumer knows the exceptional experience a brand assures its consumers, and they count on the brand from year to year, then the consumer knows what about the brand?

the brand's promise

What is the purpose of a communication plan for a marketer?

to think ahead about the promotions mix execution, to ensure the whole marketing team agrees on a common vision for their work, and to identify what role each individual plays to achieve that vision

Which three functions are necessary between channel partners for an efficient flow of title and product to a customer and for payment back to the product producer?

transactional, logistical, and facilitating functions

A consumer household cleaning products company, the Klean Kompany, has multiple products. Each is labeled with the Klean Kompany name, including Klean Kompany Disinfecting Wipes, Klean Kompany Kitchen Shine, and Klean Kompany Toilet Bowl Scrub.. Which branding strategy is Klean Kompany using to build its brand?

umbrella branding strategy

After a targeted segment of kids under twelve was chosen by a sugar cookie company, the company had to decide on its marketing mix to that segment. When deciding on a price strategy for its cookies, what questions should the company ask?

How much is too expensive or too cheap?

Sets of interdependent organizations participating in the process providing a payment mechanism for a provider while making a service or product accessible and available for use or consumption is the definition of ________.

a channel of distribution

Which of the following is considered an example of a brand as a promise for a company or organization?

a company's promise of what its offerings will bring to an interaction with a person

Which type of product is the most appropriate one for a company to use with a skimming strategy

a new high-quality laptop

What do you call the type of brand that is about one individual or a few individuals?

a personal brand

When is the best time to conduct a test market of a product?

after technical and marketing development stage

If a company provides an online service that delivers physical products and services but does not exist as a brick-and-mortar store, it is considered which type of brand?

an e-brand brand

Jack uses several criteria to determine how much he is willing to spend to satisfy his needs. His preference is to pay ________.

as little as possible

A leading brand evoking a favorable or disagreeable emotional or mental association with it is the definition of:

brand equity

An established company decides to redesign its logo and product packaging. Amongother considerations, the most important element it needs to address is how this change will affect customers':

brand loyalty

When a company or brand measures the loyalty of its consumers who will repurchase or continue using its brand's product or services, which psychological processes should be the main focus?

brand trust, repeat-purchase behavior, customers' perception of value, satisfaction, commitment

Mass marketing is often used when a product is a:

commodity or staple

If a product exists in a highly competitive market, it is likely to have an elastic demand. What type of factor affecting elasticity does this represent?

competitive dynamic

A company copies the competitor's pricing strategy by setting prices almost completely according to its competitor's prices or by using price as one of the features that differentiates the product. Which type of pricing strategy does this describe?

competitor-oriented pricing

The Android open source operating system places its little green android icon on a variety of other manufacturers' products, like cell phones, tablets, and games. Which branding strategy is Android using to build its brand?

component branding strategy

Third-party sales are ________.

conducted by anyone other than the producer of a product or service

The retail industry is designed to create ________.

contact efficiency for consumers

A store picks a pricing goal in relation to a specific gross margin, producing a desirable profit margin. What is this type of pricing called?

cost-plus

How does a company or brand create loyal consumers that will repurchase or continue using its product or services?

create loyalty programs and promotions encouraging action by the consumer.

If a company is using a skim pricing strategy and prices its product at a premium price, what happens with demand for its product?

demand decreases

A company making expensive watches for the jet-set crowd of international travelers should consider incorporating which elements of packaging to match its product and brand?

distinction, aesthetic beauty, quality

A small company making hole punchers has decided to use a differentiated marketing strategy and target four different market segments. What problems might the company encounter?

each segment requires its own marketing plan and execution and costs add up quickly

A measure of sensitivity or responsiveness to price is the definition of ________?

elasticity

Which type of retail approach brings national chains to local ownership?

franchises

Who is a brand's "legal owner"?

generally the entity or person who legally filed the registration forms

If a buyer has a critical or more important use of the product then the inelasticity of the demand increases. What factor is affecting elasticity in this scenario?

importance of use

Meistertask provides a free online service to manage any project collaboratively. Anyone can create two projects for free and share them with anyone for collaboration. A user can upgrade to the Pro package for $9/month and receive unlimited integrations, projects, and status reporting. Meistertask is an example of an augmented service that:

increases revenue per customer

The goal of a marketer's interaction with the product life cycle is to:

influence the life cycle

If a channel manager is talking about the knowledge, instructions, messages, and communication that is happening with people up and down a distribution channel, she is speaking about which area of flow?

information flow

Shortcutz hair salon offers inexpensive haircuts for $10. They create a marketing campaign extolling the cheap price while showing customers how expensive other salons are in comparison. The campaign encourages consumers shop around and compare prices. Shortcutz focuses solely on price and mentions little about the quality of its haircuts. Which type of psychological pricing communication does Shortcutz use?

inviting price comparisons

A sand dollar jewelry company chooses to use a micromarketing approach, but it becomes very popular in a short amount of time. What does it need to do to capture that demand?

its production strategy and marketing mix must scale up to meet growing demand

Something that is measurable and specifies the progress a business or organization is making toward reaching its goals or objectives is the definition of a:

key performance indicator (KPI)

A middleman is receiving either a dollar amount or percentage difference between the average cost and the price of an individual item or of all merchandise in stock for a specific department. The amount the retailer is receiving is known in the business as a ________?

markup

If the company Target is marketing the same way to an entire market, trying to reach the largest audience possible, which targeting strategy is it using?

mass marketing

If a business discovered that changing the price of its muffins created an absolute value of .35 < 1, what did its price change mean?

muffin demand is inelastic

The correct equation to calculate the break-even quantity, which includes fixed and variable costs, is expressed as:

n = FC / (p - V)

AnyBots offers a small camera/scooter device that lets you remotely drive around an office without physically being there. It focuses specifically on business travelers who need to be everywhere at once. AnyBots' marketing strategy is called:

niche marketing

If you own a small company with a small budget and limited financial resources, which marketing strategy would be best to try first??

niche marketing

Which pricing strategy assumes customers will switch to a new product because of the lower pricing and has the purpose of increasing its market share by taking advantage of economies of scale?

penetration pricing

A mattress manufacture paid its retailer, Bed Head, a sum of money to have Bed Head feature its mattresses in its weekly advertising flyers, radio spots, newspaper ads, and email campaigns. This is an example of a manufacturer giving ________ to its retailer.

personal allowances

If a company uses in-person interactions to sell a product or service through sales representatives, which this type of communication method is it using?

personal selling

Which type of common marketing communication method uses the development of face-to-face interaction and relationships with the target audience in order to sell products or services?

personal selling

Which two additional marketing Ps help retailers deliver the best retail experience?

presentation and personnel

Which pricing strategy is often used when a company wishes to compete by capturing a larger sales volume and is willing to deal with lower profit margins per unit?

pricing below competitors

Which pricing strategy is used when a company wishes to match its competitors' prices?

pricing to meet competitors

An offering by an organization that provides tangible or intangible customer satisfaction is the definition of a:

product

Which channel flow areas from the perspective of a channel manager are included in a flow framework?

product flow, negotiation flow, ownership flow, information flow, and promotion flow

A group of products in an organization that has some common elements and that is marketed to one general market is the definition of a:

product line

A company is trying to figure out what products to offer, when to add new products, and when current products should be discontinued. What tool will assist the company in answering all of those questions?

product portfolio management

Which two stages are included in the competitive bidding procurement process for a B2B scenario?

proposal solicitation and supplier selection processes

Segmentation of a market according to the customers' thoughts and values as well as how they live their lives describes ________.

psychographic segmentation

A medicinal product needs a new packaging design. What attributes do marketers need to ensure are built into the packaging for this product

quality, safety, instructions, legal compliance

A pet supply company offers a base price reduction for a retail buyer who purchases a prearranged amount of pet merchandise. This deal aids the pet supply company to keep the retail buyer as a repeat customer. Which type of discounting strategy did the pet supply company use?

quantity discounting strategy

If a company needs to stimulate revenue or provide extra value or incentives to its customers or distributors for a short period of time, which marketing tool would be best for the company to use?

sales promotions

A company has just finished brainstorming around fifty names for its new product line. What are the next two steps it needs to take in the name development process?

screen out problematic names and check for domain and social media availability

A small business launched its new website, which complements the business's other marketing efforts, but does not have many visitors or interaction with it. Which digital marketing tool did the business likely not employ or utilize for its website?

search engine optimization

How does a brand create value for the consumer?

simplifies the choices a consumer has to make

A company introduces a new technology product to the market. It sets the product's price at the highest price it thinks customers will pay. Which type of pricing strategy is the company using?

skim pricing

What are the classification groups for consumer products?

speciality, shopping, unsought, convenience

Public relations uses a variety of techniques to manage the perceptions of the public. Which of the following techniques are used?

sponsorships, award programs, influencer relations

When considering the presentation of a retail store, which elements largely contribute to the visual experience for a consumer?

store layout and atmosphere

An organization groups together similar products into product lines. What is it called when an organization groups those product lines into specific market-targeting strategy groups?

strategic business unit (SBU)

Which of the following is the primary purpose of any channel of distribution?

to bridge the gap between a product's producer and a product's user

What is a marketer's specific goal when creating a competitive bid proposal?

to minimize the role of price in the proposal

A company chooses to price its products by value-based pricing. In order for this type of pricing to be most effective, what additional tactics should be included with the price?

use a value-based price in conjunction with all elements of the marketing mix communicating value to the customer

One of the disadvantages of personal selling is the high cost to maintain good salespeople. How can companies reduce the cost but still maintain that personal touch?

use complementary techniques like telemarketing, direct mailings, and toll-free numbers for prospective customers

The Banana Boat sunscreen company offers children's sunscreen and a variety of sunscreens at varying intensities. For its marketing mix it uses a multisegment marketing strategy, which means that it:

uses separate offerings for each different segment it targets

Which pricing process is based primarily on a customer's idea of value rather than on a competitor's pricing or production costs of a product or service?

value-based pricing

A company decided to price its product with the penetration strategy. What advantage does the company potentially create by selecting this type of pricing strategy?

It can generate demand from word of mouth by the goodwill created among innovators and early adopters

Sam, a buyer for a small warehouse company, is looking to purchase a forklift from Caterpillar or Komatsu. He is looking for a reliable, narrow forklift to fit between the warehouses' smaller aisles and that is a lower price. Sam doesn't need added-on services; he is well-versed in using and maintaining large equipment. He evaluates the forklift types and decides on a Komatsu. Sam chooses the Komatsu for its perceived reliability and it is $1500 less than the Caterpillar forklift. Which approach that Komatsu took was a success for Sam as a customer?

Komatsu reduced its perceived costs enough to undercut its competitors perceived values

________ places an emphasis on the finances of the product and business

Profit-oriented pricing

What are some of the possible pitfalls of a co-branding strategy approach for a company?

The companies involved in the co-branding may be unevenly matched.

The direct marketing method of using databases, email, and mobile campaigns is a prevalent and effective marketing tool today. These type of marketing tools provide personalization and powerful predictions of customers needs and behaviors. With all the benefits of these tools, what are some of its disadvantages?

The concern for people's privacy and information security is a major concern.

For a business-to-business competitive bid process, which type of opportunity is created that is different than a business-to-consumer competitive pricing process?

There will be specifically tailored pricing for a specific business customer's needs rather than a generic competitive pricing.

What are the components of the Price-Value Equation

Value = Perceived Benefits - Perceived Costs

Eric, a ghost writer, conducted market research and discovered a niche market in writing scripts for corporate online videos. He also knows now the market will bear $250 per script. What question should he ask next about placement of his marketing mix?

What is the best way to get his service to his target customers?

There are four considerations for channel alternatives that need to be determined: number of levels, intensity at each level, specific types of intermediaries, and the application of selection criteria to channel alternatives. Which other questions about channel alternatives should be answered?

Who will be in charge of the selected channels?

The Mailgorilla email marketing company increases its membership prices by $5.00 a month. The original price was $10.00 and is now $15.00. Mailgorilla's email account members drop from 5000 members to 1500 member in one month. This is a 70% change in demand from a 33% price increase. What is the correct answer as to its customer's price sensitivity?

2.12 > 1 customers price sensitivity is elastic

Roto Rooter is discussing measuring its brand equity. What reasons could the marketing team use to support why brand equity must be measured?

Brand equity is strategically important and correlates directly to Roto Rooter's profitability.

Which of the following is an example of a wholesaler?

Costco

Why does an organization tackle stage four in the product development process, business case analysis?

To be sure a product will bring enough financial returns to justify its significant development costs

A company is deciding whether to allocate more of its budget toward product packaging. To justify this budgetary change, the marketing team must present compelling reasons to the management team. What is the most compelling reason they could present?

Packaging is the main tangible element for creating brand positioning associations in a potential consumer's mind and in underscoring a brand's values and qualities in their products.

Which of the following is an example of a department store?

Sears

Why are personnel an important element of the retail marketing mix?

They are the interface between the brand and the shopper.

What are service outputs in a marketing channel?

They are the productive outputs in a marketing channel that consumers value and desire.

How is the marketing department involved in the technical and marketing development stage of the product development process?

They test product prototypes with target customers and identify the most effective marketing mix for the new product.

If a marketing team successfully defines a product's market requirements, what is an additional benefit of that process?

Those market requirement definitions will drive the the marketing plan.

Digital marketing tools provide which type of support for a company or organization's marketing messages?

Through digital communications, they support wider IMC activities by targeting and reinforcing campaign messages and activities in other media.

Which strategic steps should be determined before brainstorming on a brand name?

decide whether the name is for the company's own brand, for private-labeling, or for a mixed brand

How does a brand create value for an organization or company?

decreases the loss of market share to competitors by communicating competitive advantages

What is considered an example of a brand as an identifier for a company or organization?

design, term, name, sign, symbol

What are the first three planning steps for marketers to define what they want to accomplish and with whom?

determine the target market, purpose and objectives for IMC campaign, set S.M.A.R.T. goals