E-Commerce 2014, 10e (Laudon/Traver) Chapter 6 - E-commerce Marketing and Advertising Concepts

Dove's Real Beauty Sketches video ad is an example of which of the following? A) viral marketing B) local marketing C) affiliate marketing D) lead generation marketing

A) viral marketing

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

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.

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.

For a Web site that has 10 million visitors a month, and where on average, a visitor makes 10 page requests per visit, there will be ________ entries in the transaction log each month. A) 100,000 B) 1 million C) 10 million D) 100 million

D) 100 million

View-through rate measures the ________ response rate to an ad. A) 30-minute B) 24-hour C) 7-day D) 30-day

D) 30-day

Which of the following forms of online advertising is expected to grow the fastest between 2014 and 2018? A) paid search B) sponsorships C) search engines D) rich media

D) rich media

"Shoppers" constitute approximately ________ % of the online Internet audience. A) 60 B) 70 C) 80 D) 90

D) 90

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 offline data D) clickstream data

A) Nielsen ratings

________ is an industry-standard database query and manipulation language. A) SQL B) PHP C) DBMS D) JSP

A) SQL

Which of the following is the most important tool in establishing a relationship with the customer? A) company Web site B) company CRM system C) Facebook D) search engine display ads

A) company Web site

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

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.

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

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).

A ________ is a repository of customer information that records all of the 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

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.

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.

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.

Which of the following measures the average length of stay at a Web site? A) loyalty B) stickiness C) recency D) retention rate

B) stickiness

All of the following statements about cookies are true except: A) cookies can be used with Web bugs 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.

If you want to determine the size of your Web site'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.

Around ________ % of households in the United States have broadband access to the Internet. A) 45 B) 55 C) 75 D) 85

C) 75

In 2014, what was the approximate Internet penetration rate for individuals that have attained less than a high-school education? A) 45% B) 60% C) 75% D) 90%

C) 75%

Which of the following search engine algorithm updates enables Google's search engine to evaluate an entire sentence rather than just a keyword? A) Panda B) Penguin C) Hummingbird D) Graph Search

C) Hummingbird#https://farm8.staticflickr.com/7707/16751746104_9061f29cf4_m.jpg

Google introduced which of the following changes to its search algorithm in 2011 to weed out low quality sites from search results? A) Penguin B) Hummingbird C) Panda D) Knowledge Graph

C) Panda#https://farm6.staticflickr.com/5200/14402019231_2b8eb4ec63_m.jpg

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

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.

Which of the following is the top reason why consumers choose the online channel? A) availability of a wider variety of products B) social media influence C) lower prices D) the ability to shop 24/7

C) lower prices

Which of the following is not true about search engine advertising? A) Spending on search engine advertising constitutes over 40% 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.

Which of the following is not a feature that is driving the growth of social marketing and advertising? A) social sign-on B) network notification C) collaborative shopping D) affiliate programs

D) affiliate programs

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) evaluation D) conversation

D) conversation

Which of the following online advertising formats attracted the least amount of spending in 2014? A) search B) classifieds C) rich media D) e-mail

D) e-mail

Which of the following is not a primary source of ad fraud? A) browser extensions that insert ads into a premium publisher's Web site 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

All of the following are online communications that are used to support the evaluation of alternatives stage of the consumer decision process except: A) search engines. B) online catalogs. C) social networks. D) targeted banner ads.

D) targeted banner ads.

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) interactivity D) universal standards

D) universal standards

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.

65) All of the following are fixed price strategies except: A) bundling. B) versioning. C) free pricing. D) yield management.

D) yield management.

In the United States today, single, white, young college-educated males with high income dominate the Internet in terms of percentage of Internet usage.

FALSE

The marketing technique known as ________ involves merchants offering products or services for a very low price for a short period of time. A) search engine marketing B) flash marketing C) yield management D) bait-and-switch

B) flash marketing

Which of the following features of e-commerce technology allows fine-grained, highly detailed information on consumers' real-time behavior to be gathered and analyzed? A) personalization/customization B) information density C) social technology D) interactivity

B) information density

Impressions are a measure of the: A) number of times an ad is clicked. B) number of times an ad is served. C) number of http requests. D) number of pages viewed.

B) number of times an ad is served.

In the first 8 months of 2014, the percentage of all e-mail that is spam averaged around ________ %. A) 50 B) 60 C) 70 D) 80

B) 60

Conversion 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.

B) percentage of visitors who become customers.

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 action taken 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 action taken by a customer.

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.

Which of the following examples illustrates the "Long Tail" phenomenon? A) Rhapsody music streaming service reported that its no play rate had increased to over 20%. B) The number of blockbuster "winner take all" video titles is declining. C) Over 50% of Netflix's 100,000 titles are rented at least once a day by someone. D) The average blog has a readership of slightly more than 1.

C) Over 50% of Netflix's 100,000 titles are rented at least once a day by someone.

Hits are a measure of the: A) number of times an ad is clicked. B) number of times an ad is served. C) number of http requests. D) number of pages viewed.

C) number of http requests.

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.

Uber has been criticized for using which of the following? A) flash marketing B) bundling C) surge pricing D) freemium

C) surge pricing

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.

Research has found that of all the standard formats of display ads, wide skyscraper ads are the most effective at holding a user's attention.

FALSE