Marketing Exam #3
There is a growing segment of people who want food that tastes good and is also good for them. This healthy-living segment represents which segmentation base?
Lifestyle
The longer a customer remains loyal to a company, the higher their _____ becomes.
Lifetime value
Customer churn rate is the percentage of customers _______ during a period of time.
Lost
________ retention rates or ________ churn rates signal an issue with customer experience.
Low; high
Which of the following does NOT impact search engine optimization?
Competitive keyword bids
Which of the following correctly lists actors in a company's microenvironment?
Competitors, marketing intermediaries, suppliers, publics
Which of the following tools can be used as both consumer and trade promotions?
Contests, premiums, and displays
Which of the following statements about personal selling is correct?
For many customers the salesperson is the company.
Which of the following is an objective for business promotions?
Generating business leads
One study found that the best salespersons have four traits in common: intrinsic motivation, a disciplined work style, the ability to close a sale, and the ability to build relationships with customers. Knowing this would be most useful at which stage of sales force management?
Recruiting and selecting salespeople
Search engine optimization is the practice of getting targeted traffic to a website from __________.
A search engine's organic rankings
How is customer retention defined?
A company's ability to turn customers into repeat buyers
Which marketing promotion tool is a hub for all offline and online promotions?
A company's website
What are the four elements of a compensation plan for salespeople?
A fixed amount, a variable amount, expenses, and fringe benefits
Which of the following is NOT one of the seven sources of website traffic that are tracked by analytics tools?
Apple iPads, Gillette razors, and Black & Decker tools are all sold successfully in about the same form around the world. This is an example of which global strategy?
A straight product extension
Which of the following statements regarding advertising in the new marketing communications model is correct?
Advertisers are shifting toward digital media.
What is positioning?
Arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers
Inbound marketing focuses on _____________________. Outbound marketing focuses on _____________________.
Attracting customers by creating valuable content; pushing messaging out to potential customers.
Which base of segmentation divides buyers into segments based on their knowledge, attitudes, uses, or responses to a product?
Behavioral
What are the three ways a company can organize its international operating units?
By geographical organizations, world product groups, and international subsidiaries
What are the two key links in a whole-channel view of international distribution?
Channels between nations and channels within nations
Which is NOT an element of inbound marketing?
Cold calling
Which of the following statements regarding demographic segmentation is correct?
Consumer needs, wants, and usage rates vary closely with demographic variables.
Understanding the buyer's journey is critical to content marketing because it enables marketers to _______.
Create content that resonates with buyers at each stage of their journey.
What are the four general characteristics that influence consumer purchases?
Cultural characteristics, social characteristics, personal characteristics, and psychological characteristics
What are the three cultural factors that influence consumer buyer behavior?
Culture, subculture, and social class
Procter & Gamble (P&G) organizes its sales reps into teams, and each team is assigned to a major account (such as Safeway or Walmart). Which type of sales force structure is P&G using in this example?
Customer
Which of the following is NOT correct about customer retention?
Customer retention is more expensive than customer acquisition.
What is the first decision made in sales force management?
Designing sales force strategy and structure
What is the first step in the media selection process?
Determining reach, frequency, impact, and engagement
Which public relations function is used to work with donors or members of nonprofit organizations to gain financial or volunteer support?
Development
Which of the following statements about segmentation is true?
Different segments might require different marketing strategies or mixes.
Influencer marketing, content marketing, and viral marketing are types of ______.
Digital marketing
Which market entry strategy has the greatest amount of commitment, risk, control, and profit potential?
Direct investment
What are the two main forms of online advertising?
Display ads and search-related ads
According to the text, what can be the ultimate direct marketing medium, assuming it is used correctly?
Delta Faucet partnered with Warrior Dash, which sponsored several 5k mud run races around the country over the summer. At each event, Delta built a huge custom shower station, complete with 184 Delta showerheads, where mud-soaked competitors could meet and wash off after the race. This is an example of which type of promotion?
Event marketing
When do buyers engage with content marketing?
Every stage of the buyers' journey
Which of the following statements is true regarding pricing in global markets?
For most companies, their foreign prices probably will be higher than their domestic prices for comparable products.
In which form of international organization are country managers responsible for salespeople, sales branches, distributors, and licensees in their respective countries?
Geographical organizations
What is the focus of the selling process?
Getting new customers
Which of the following is an objective for trade promotions?
Getting retailers to carry new items and more inventory
Which is NOT a goal of search engine optimization?
Having an attractive website
Which of the following would NOT be a consideration for decision making in designing the full sales promotion program?
How to set it apart from other promotion mix elements
Which of the following is NOT a goal of customer retention?
Increase the number of new customers
Which type of advertising is heavily used for new product category introductions?
Informative
According to the text, what is the toughest public policy issue now confronting the direct marketing industry?
Invasion of privacy
Inbound marketing is NOT _______.
Invasive
Which is correct about outbound marketing?
It promotes brand awareness.
How does Google determine the best organic search engine results?
It's based on three factors: relevancy, authority, and usefulness.
Which is INCORRECT about content marketing?
Its primary goal is to sell products or services
Many consumers today rent DVDs from a vending machine called Redbox that can be found in retail stores and other locations. Redbox is which type of direct marketing tool?
Kiosk
Which joint venturing method typically involves fees and royalty payments?
Licensing
What are the four types of joint venture entry strategies?
Licensing, contract manufacturing, management contracting, and joint ownership
Content marketing does NOT include ______.
Magazine ads
Which of the following descriptions best represents targeting a demographic segment?
Marketing prepackaged lunches for children
Which of the following would be best suited for marketers to engage customers anywhere and at any time during the buying and relationship-building processes?
Mobile marketing
What are the four major psychological factors that influence consumer buyer behavior?
Motivation, perception, learning, and beliefs and attitudes
Which of the following statements about setting an advertising budget is correct?
New products typically need relatively large advertising budgets to build awareness and to gain consumer trial.
Which of the following is a personal factor that influences a consumer's buying behavior?
Occupation
Which of the following is NOT a customer retention strategy?
Offering a discount to new customers
Which of the following correctly identifies forms of digital direct marketing?
Online marketing, social media marketing, and mobile marketing
Which promotion budgeting method wrongly views sales as the cause of promotion rather than as the result?
Percentage-of-sales
Which promotional tool includes presentations, trade shows, and incentive programs?
Personal selling
Customer retention rate is the percentage of _________.
Previous customers who remained loyal to a firm over a period of time
Which of the following statements regarding catalog marketing is correct?
Printed catalogs can drive online and mobile sales.
In the United States, Amazon's Echo-based virtual voice assistant Alexa speaks a soft but precise version of American English. But what happens when Alexa goes global? Amazon's Echo speakers and Alexa must be carefully adapted to the particulars of each new global culture. This represents which global product strategy?
Product adaptation
What are the 4 Ps of marketing?
Product, price, place, promotion
__________ identifies qualified potential customers and is the first step of the personal selling process.
Prospecting
Many manufacturers have to pay retailers to get shelf space. This is an example of which type of promotion?
Push money
Which type of advertising is important for mature, established brands?
Reminder
What are three metrics a company can use to observe customer retention?
Retention rate, churn rate, customer lifetime value
__________ is the promotion mix tool that consists of short-term incentives to encourage the purchase or sale of a product or service.
Sales promotion
What is the first decision advertisers need to make when developing an advertising program?
Setting advertising objectives
Once the company has set its structure, what is the next strategic decision it faces?
Sizing the sales force
Which execution style shows one or more "typical" people using the product in a normal setting?
Slice of life
Which of the following correctly identifies the social factors that influence consumer buyer behavior?
Small groups, social networks, family, and social roles and status
Which of the following statements regarding mobile marketing is correct?
Smartphones can be very useful in shopping situations.
Which of the following is a challenge to marketers regarding their use of social media?
Social networks are largely user controlled.
According to the text, what is the fastest-growing sales trend today?
Social selling
A company holds a news conference to announce a new product launch. Which PR tool are they using in this example?
Special events
During a sales presentation, which of the following would best fit a relationship marketing approach?
Tell a value story
Which of the following statements regarding the changing communications landscape is correct?
The dominance of television, magazines, newspapers, and other traditional mass media is declining.
The most important actors in the company's microenvironment are __________.
The most important actors in the company's microenvironment are __________.
Which method for setting the total promotion budget is the most difficult to use?
The objective-and-task method
What is the main disadvantage of direct investment?
The risks the firm faces
In marketing terms, what is a market?
The set of actual and potential buyers of a product or service
Which of the following is true of marketing strategies that are being developed in the new marketing communications model?
They are more targeted, social, and engaging
What is the simplest way to enter a foreign market?
Through exporting
What is the overall purpose of differentiation?
To create superior customer value
What is the goal of integrated marketing communications?
To deliver clear, consistent, and compelling company and brand messages
Advertising objectives can be classified based on their primary purpose. What are the three purposes?
To inform, persuade, or remind
What is the intent of advertainment?
To make ads and brand content into something that people actually want to watch
Annual reports, brochures, articles, and company newsletters all represent which type of PR tool?
Written materials
Fitbit makes health and fitness tracking devices. Some buyers want very basic fitness tracking such as steps taken and calories consumed. Others are focused on high performance and want heart rate and sleep monitoring, text notification, and wireless sync to their smart phone. In serving these two very different groups, Fitbit is using __________ segmentation.
benefits sought
Many company websites are now designed to do more than just sell product. These websites, known as __________ websites, attempt to build closer customer relationships and generate engagement with and between the brand and its customers.
brand community
It is common to see product placements—embedding brands as props within other programming, such as TV shows or movies. Product placements are a form of __________.
branded entertainment
Using a push strategy, a firm directs its promotional efforts toward __________.
channel members
Regardless of the size of the budget, to succeed, advertising must engage consumers and __________.
communicate well
When a company directly or indirectly compares its brand with one or more other brands in an advertisement, they are using __________.
comparative advertising
One reason there is a need for integrated marketing communications is that __________.
consumers don't distinguish between content sources the way marketers do
One market entry strategy is __________, in which the company makes agreements with companies in the foreign market to produce its product or provide its service.
contract manufacturing
Logos, stationery, brochures, signs, business cards, buildings, and uniforms are all types of __________.
corporate identity materials
In selecting a media vehicle, media planners need to determine the cost of the vehicle's reach. To measure this, they use a method known as __________.
cost per 1,000
The key element of successful marketing today is too __________.
create value
To bring the message strategy to life in a distinctive and memorable way, advertisers develop what is known as the "big idea". This big idea becomes the __________.
creative concept
When segmenting international markets, markets can be grouped according to language, religion, customs, and values. This type of segmentation is based on __________ factors.
cultural
The concept of salesperson-owned loyalty means that __________.
customers become loyal to salespeople as well as the companies they represent
Some companies still treat sales and marketing as separate functions. One effect this can have is to __________.
damage customer relationships
One primary PR responsibility is to create content that __________.
draws consumers to a brand
In the content of a message, marketers often use __________ appeals such as joy, love, humor, fear, and guilt.
emotional
In the communication process, putting thought into symbolic form is called __________.
encoding
A firm normally gets into international marketing by simply shipping out its goods. If its international sales expand, most companies then organize by __________.
establishing an export department
Sales reports, call reports, and expense reports are all used in the process of __________ salespeople.
evaluating
After the presentation and demonstration step in the sales process, a salesperson should next be prepared to __________.
handle objections
Developing effective marketing communications starts with __________.
identifying the target audience
Social media is ideal for starting and participating in customer conversations and listening to customer feedback. This is because social media is __________.
interactive
In complex selling situations, personal selling can be very effective because it is __________.
interpersonal
One factor that makes management contracting an attractive entry strategy is that __________.
it yields immediate income
Psychographic segmentation divides buyers into different segments based on __________.
lifestyle and personality
The __________ consists of larger societal forces that affect how a company engages and serves its customers.
macroenvironment
The process of evaluating each market segment's attractiveness and selecting one or more market segments to enter is called __________.
market targeting
One drawback to viral marketing is that __________.
marketers cannot control where users pass along the message
Engaging customers and managing profitable customer relationships is the simplest definition of ________.
marketing
To avoid being intrusive and annoying, most legitimate email marketers practice __________, which means sending email pitches only to customers who "opt in."
permission-based email marketing
Consumers may receive an email, supposedly from their bank or credit card company, saying that their account's security has been compromised. The sender asks them to log on to a provided web address and confirm their account and other personal information and then steals this private information. This is a fraudulent practice called __________.
phishing
One consumer promotion tool is __________, which are goods offered free or at a low cost as an incentive to buy a product.
premiums
When using the global product strategy of __________, companies create something new to meet the needs of consumers in a given country.
product invention
The public relations function of __________ is used to build and maintain national or local community relationships.
public affairs
Specific promotional tools used in __________ include stories, sponsorships, events, and web pages.
public relations
Helping salespeople to "work smart" by doing the right things in the right ways is the goal of __________, whereas getting them to work hard is the goal of __________.
supervision; motivation
In balancing standardization and adaptation, one common suggestion from international marketers is too __________.
think globally but act locally
Advertising appeals should have three characteristics. These characteristics are __________.
to be meaningful, to be believable, and to be distinctive
When the only goal of personal selling is to close a sale, a company is using a(n) __________ approach.
transaction-oriented
A marketing website should be easy to use and visually appealing. To be effective, these websites must also be __________.
useful
