MKT 301 STUDY GUIDE

Which of the following is an example of an advertisement that was designed to create primary demand?

"Orange juice isn't just for breakfast anymore."

Tide laundry detergent is a well known brand that sells for approximately $8.00 for a 64 ounce bottle, and Procter & Gamble usually sells 2 million of these sizes each year. An average private label store brand costs $6.00 for the same size, and typically 1 million are sold each year. What is Tide's revenue premium?

10 million

Nonfamily households constitute approximately _____ percent of all households.

34

A U.S. copyright is usually granted for the life of the author plus how many years?

70 yrs

Which of the following is a factor accounting for the growth of sponsorships?

Avoid the clutter inherent in advertising media Helps companies respond to consumers' changing media habits Helps gain the approval of various constituencies Enables targeting efforts to specific geographic regions and/or to specific demographic and lifestyle groups ALL OF THESE ARE CORRECT

Harold is trying to determine the appropriate metric his company should use to gauge the effectiveness of its marcom efforts. Which of the following is a possible option?

Brand awareness, attitudes toward the brand, purchase intentions, sales volume

The concept of meaning transfer suggests that marketing communicators attempt to transfer meaning from the culturally constituted world to their brands. Which of the following is NOT a good illustration of meaning transfer?

Company D claims its automobile tires are the best because its technology is the most modern in the industry

Which of the following is a benefit of cause-related marketing?

Enhancing the corporate or brand image Thwarting negative publicity Generating incremental sales Increasing brand awareness ALL OF THESE ARE CORRECT

The mixture of communications elements and the determination of messages, media and momentum are all fundamental decisions in the marketing communications decision-making process

False

Which of the following agencies deals with consumers' privacy concerns for Facebook?

Federal Trade Commission

Which of the following questions should ad advertiser address when deciding whether or not to use a comparative advertisement?

How do comparative and noncomparative advertisements match up in terms of impact on brand awareness, consumer comprehension of ad claims, and credibility? Do comparative and noncomparative ads differ with regards to effects on brand preferences, buying intentions, and purchase behavior? How do factors such as consumer brand preference and the advertiser's market share influence the effectiveness of comparative advertising? Under what specific circumstances should an advertiser use comparative advertising? ALL OF THESE ARE CORRECT

Which of the following statements is FALSE regarding advertising research?

Measures of advertising effectiveness are standardized across the industry.

The central and peripheral paths represent endpoints on a continuum of persuasion strategies and are intended to imply that persuasion is a(n) _____.

None of these are correct.-- either-or propostion, an endpoint itself, unrelated activity, unnecessary activity

Which approach will best serve the customers' needs and motivate them to purchase the brand?

Outside-in

Which of the following statements reflects the cognitive attitude component

Playing tennis is a form of exercise.

Define the terms reach and frequency, and explain why an advertiser would be interested in maximizing reach at the expense of frequency.

Reach is defined as the percentage of the target audience that is exposed, at least once, during a specified time frame to the vehicles in which the advertising message is included.Frequency is defined as the number of times during a media-planning period that the target audience is exposed to the media vehicles that carry a brand's advertising message.

All of the following are examples of place advertising EXCEPT _____.

Shopping cart ads

Which of the following dimensions contains brands that are upscale and charming such as Cartier?

Sophistication

List the steps in the media strategy process, and briefly describe the first two.

The media strategy process consists of 4 steps: 1. Selecting the target audience 2. Specifying media objectives 3. Selecting media categories and vehicles 4. Buying Media Selecting the target audience refers to selecting the specific group of people that you want the advertisements to be exposed to. You want to reach the prime candidates that will purchase the product when you decide where to place the advertisements. Specifying the media objectives refers to specifying the objectives that an advertising schedule needs to accomplish. For instance this includes how much of the target audience you want to reach with the advertisement, how often do you want the target audience to see the advertisement (frequency), and other questions including the budget constraints, timing of the advertisements and much more.

A test commercial received an ARS score of 1.2. What does this mean?

This commercial is probably incapable of driving market-share gains.

An example of usage expansion advertising is _____.

a manufacturer of baking soda promoting a new use for the product

Promotional and advertising activity that a manufacturer customizes to specific retail accounts is known as _____.

account specific marketing

What is the initial challenge for new brands?

achieving brand awareness

Which of the following is NOT a type of green advertising appeal?

ads that promote short filling, which is the use of less packaging

Facebook earns its revenue primarily from _____.

advertising

Regulators have been most active in the area of _____.

advertising

In the _____ method, only the funds that remain after budgeting for everything else are spent on advertising

affordability

Which budgeting method considers advertising along with other marcom elements as relatively unimportant to a brand's present success and future growth?

affordability method

Advertising that is designed to deliver coupons and sweepstakes is performing the function of _____.

assisting other company efforts

the theory of reasoned action proposes that all forms of planned and reasoned behavior have two primary determinants: _____ and _____.

attitudes; normative influences

Laddering is a marketing research technique that has been developed to identify links between _____.

attributes, consequences, and values

__ ads are typically small, static ads placed in frequently visited websites.

banner

When only those consumers known to be interested in a particular product or service receive an advertisement, _____ is being used

behavioral targeting

Which of the following is the major outdoor medium?

billboard advertising

A manufacturer who want to encourage repeat purchases and offer the consumer an immediate reward might consider what type of promotion?

bonus packs

Which of the following is a function direct mail can accomplish?

build traffic at a specific retailer or website generate leads for a sales force communicate with individuals in a relatively private manner sell products and services to new customers ALL OF THESE ARE CORRECT

The second step for calculating the return on investment for a sampling is _____.

calculating profit per unit

Which of the following explains why some argue that children should not be on Facebook before they are high-school age?

children lack logic and sophisticated reasoning

Which of the following is NOT a marcom budgeting method?

communication-based method

The practice in which advertisers directly or indirectly compare their products against competitive offerings, typically claiming that the promoted item is superior in one or several important purchase considerations, is called _____.

comparative advertising

Toyota automobiles are regarded by consumers as reliable, intelligent, and successful. The levels of satisfaction of Toyota owners is at or near the top of satisfaction ratings. Which brand-related personality dimension best describes Toyota?

competence

____ addresses the matter of whether an advertisement reflects empathy with the target audience's basic needs and wants as they relate to making a brand-choice decision in a particular product category.

connectedness

Harriett purchased a very expensive watch. The _____ of wearing the watch is the status that Harriett is seeking.

consequences

Which conditions and/or restrictions must be met for a consumer to be entitled to the coupon discount?

consumer must buy the merchandise specified on the coupon in the size, brand, and quantity directed only one coupon redeemed per item cash may not be given for the coupon coupons must be redeemed before the expiration date ALL OF THESE ARE CORRECT

Relative advantage is a function of _____.

consumer perception

Which of the following parties can be involved in coupon misredemption?

consumers store clerks store management Clearinghouses ALL OF THESE ARE CORRECT

Ramesh's Kitchen was a very successful restaurant until it was widely rumored that bugs infested the rice that it serves. Ramesh's Kitchen's popularity has been victimized by a _____.

contamination rumor

Dividing the total cost by the number of GRPs produces the _____.

cost per rating point

Letters, postcards, programs, calendars, folders, and catalogs are all examples of _____.

direct-mail advertising

all marketing communication should be___

directed to a particular target market, clearly positioned, created to achieve a specific objective, undertaken to accomplish the objective within a budget constraint

In finance terms, by making a brand more valuable, advertising generates incremental ______.

discounted cash flow

____ of a promotion represents the cost-per-unit moved.

efficiency

Which is NOT a technological development that has made single-source systems (SSSs) possible?

electronic funds transfer

Which philosophy implies that when a name does not have much preexisting meaning, subsequent marketing communications are able to create the exact meaning desired without contending with past associations already accumulated in people's memories?

empty-vessel philosophy

the objective of marketing communications is to __ as a means of moving customers to favorable action toward the brand

enhance brad equity

Julie and her department are responsible for making brand-level fundamental and implementation marcom decisions. What are the expected outcomes of these decisions?

enhancing brand equity and affecting behavior

A model such as (sum of E sub ij x W sub i) could be used to evaluate a completed promotional program. In this model the "Eij" represents the ____.

evaluative criteria

Which VALS™ segment is made up of young, enthusiastic, impulsive consumers?

experiencers

Lance Armstrong, an American who won seven straight Tour de France bicycling events, appeared in a television advertisement endorsing Trek bicycles claiming they are the best money can buy. Lance's ability to favorably influence the audience's perceptions of Trek bicycles is likely due to his _____ as it relates to this product.

expertise

The knowledge, expertise, or skills possessed by an endorser is referred to as _____.

expertise

All of the following are possible objectives of social media campaigns except _____.

explore social media

What usually accounts for the highest amount in the full cost of a coupon?

face value

Advertising spending as a percentage of total marketing communications expenditures has increased in recent years.

false

An allegory is a form of extended simile.

false

An up-to-date database provides firms with a number of assets, including the ability to calculate the lifetime value of a product.

false

As long as a celebrity is well known, advertising executives are generally not concerned about whether or not the celebrity's behavior, values, or appearance be compatible with the image desired for the advertised brand.

false

Behavior" means a change in attitude that doesn't require action.

false

Brands scoring high on the sophistication dimension are considered to be exciting, spirited, and intelligent.

false

Corporate image advertising involves a company taking a position on a controversial social issue of public importance with the intention of swaying public opinion.

false

Count a magazine's subscriptions to determine a magazine's readership.

false

Critics of the advertising = information view contend that a number of factors other than advertising also account for brand loyalty and prince insensitivity.

false

Customer lifetime value refers to all product category purchases that an individual will make during his or her lifetime.

false

Due to privacy laws, marketers are not able to obtain detailed consumer online behavior.

false

E-zines tend to focus on traditional issues, such as family and religion

false

Elaboration involves the matter of whether it is physically possible for a person to process a message.

false

Everyday low pricing (M) is a form of pricing whereby a manufacturer lowers the price at the end of every month.

false

For media planners, the choice of media and vehicles is, in many respects, the most straightforward of all marketing communications activities.

false

Google has a keyword advertising program called AdSearch.

false

In the modern selling practice, getting the order is the critical step in the selling process.

false

Measuring marcom effectiveness is relatively simple, and most organizations are currently doing a sophisticated job of doing so.

false

Most advertising is undertaken by companies that market their brands to other companies (B2B advertising).

false

No type of premium offer can serve to enhance a brand's image.

false

On a cost per thousand basis, direct mail is less expensive than other media.

false

One reason for increased budgetary allocations to promotions is the fact that consumers are less price sensitive.

false

Only B2B marketers have increased their usage of direct-mail advertising.

false

Over 60 percent of advertising is found to be deceptive.

false

Primary demand is defined as demand for a specific company's brand.

false

Public relations efforts should not be aimed at employees.

false

Social media requires more specialized skills to utilize than do traditional media.

false

Suggestive brand names provide consumers with the freedom to interpret benefit claims that best meet their needs.

false

The HEM perspective views consumers as pursuing objectives which allow them to get the most for their money.

false

The final marcom imperative for new or unestablished brands is to create expectations.

false

The first step of the package design process is to determine communication priorities.

false

The low cost and easy visibility of digital billboards have made them popular and encouraged their use.

false

The lower the relevance of an issue, the lower the threat intensity that is needed to activate a response.

false

The resonance creative style is most appropriate for a company that dominates a product category.

false

The time frame used by the majority of media planners for measuring reach is usually two weeks.

false

The word communication is derived from the Latin word communis, which means "communion."

false

There is no way to determine the demographic characteristics of outdoor audiences.

false

Unfair advertising is also deceptive advertising.

false

Wheaties' claim that it is the "cereal of everyday champions" exemplifies the use of a simile.

false

When a salesperson services an account, it means that she is handling shipment problems and handling back orders.

false

While manufacturers incur increased costs due to forward buying, their margins are increased to off-set the price discounts.

false

a push strategy is when a manufacturer directs personal selling, trade advertising, and trade-oriented sales promotion to wholesalers, retailers and consumers.

false

attitudes are constantly changing

false

sales promotion can permanently stop an established brand's declining sales trend.

false

Pretesting with copy tests would be conducted at what stage of ad message research?

final production stage

the final step in personal selling is _____.

follow up

Objective setting and budgeting decisions must be _____.

formal and systematic

Anita's is a local hair salon. During an established time frame, her target audience was exposed to three of her advertisements. The three represents _____.

frequency

A(n) _____ represents the percentage of audience members who are exposed f times (where f = 0, 1, 2, 3, 4, ...) to a specific media vehicle.

frequency distribution

The period preceding and following prime time in television is known as _____.

fringe time

Facebook's earliest days were highlighted by asking members to choose between photos of two people to distinguish who was the _____ among the two at Harvard University.

hottest

In deciding among the four general targeting methods, a marketer must consider two factors. These factors are _____.

how easy or difficult is it to collect data, and how predictive the characteristic is of consumer choice behavior

Which of the following is the first step Facebook recommends for promoting a business with ads on Facebook?

identify objective

Two distinct forms of corporate advertising are _____.

image and issue

In a sales presentation, Jerry asks the prospect, "How does this problem affect your firm's return on investment (ROI)"? Jerry is using a _____ question in the SPIN method.

implication question

One limitation of outdoor advertising is _____.

inability to pinpoint specific market segments

Joan has a strong self-esteem and abundant resources. Friends and colleagues look to her for new ideas and trends. In terms of the VALS™ framework, Joan is a(n) _____.

innovator

The degree of honesty or trustworthiness of a source depends primarily on the audience's perception of the source's ______.

intent

___ refers to two or more brands from different companies promoted in a single promotional effort.

intercompany tie-in

When the receiver accepts the endorser's position on an issue as his or her own, _____ has occurred.

internalization

Which of the following is a major problem with direct mail?

intrusive and invasive of privacy

Search engine advertising rests on the concept of _____, which are specific words and short phrases that describe the nature, attributes, and benefits of a marketer's offering.

keywords

Which of following qualities is the least valued in a salesperson?

knowledge of competitor products

Changes in the context or organization of information in consumers' long-term memories is known as _____.

learning

A TV commercial for a sports car marketed to young people emphasizes pleasure and freedom as end levels. The advertised car is shown delivering these end levels when the car is transformed into a magic chariot and its young driver is carried away into a fantasyland. In terms of the MECCAS model, the magic chariot technique represents the commercial's _____.

leverage point

Brand associations can be shaped and equity enhanced through marketing communications that associate the brand with people, places, and "things" that are available to consumers. This approach is known as the _____.

leveraging approach

Which of the following would be the closest to a finished commercial?

liveamatic

What method of coupon distribution has the lowest redemption rate?

magazine (on page)

Which type of coupons achieve the highest household penetration?

mail-delivered coupons

an example of the most common form of cause related marketing is an automobile company _____.

making a contribution to the American cancer society every time someone purchases a new automobile

____ are involved in getting new business for the agency and working with clients at a strategic level.

management supervisors

An advertiser who is interested in advertising in a specific magazine would want to obtain a(n) _____ to learn about the demographic and lifestyle profiles of the readers.

media kit

Which of the following types of salespeople are employees of manufacturers?

missionary sales

Compaq, Acura, and Lexus are names created from _____, which are the semantic kernels of words.

morphemes

Which type of premium can build sales volume in stores that put up displays and participate fully?

near-pack premium

When using a pupillometer, a response of a smaller relative dilation would indicate what?

negative reaction

Many critics consider it unethical to market food products to children, especially through practices using cartoon characters to sell sugared cereals and non-nutritious snacks because _____.

obesity is a major problem with America's children

General Mills periodically offers a deal to the trade that permits retailers to deduct 15 percent from the invoice merely by placing an order during the period which General Mills is "dealing" a brand. This is an example of which type of trade promotion?

off-invoice allowance

_____ are located on or near retail stores and are considered the most cost-effective and efficient form of communication available to retail businesses.

on-premise signs

The use of two or more sales promotion techniques in combination with one another is called a(n) _____.

overlay

TV program ratings in local markets primarily use _____ to collect information regarding audience viewing habits and the composition of households that view particular programs.

paper diaries

A _____ permits an author or a firm to secure a monopoly or exclusive rights to use an invention for a period of 20 years.

patent

A TV set-top box that requires consumers to punch a button to record their television viewing is known as a _____.

people meter

According to the theory of psychological reactance, _____.

people react against any efforts to reduce their freedom or choices

Which of the points of comparison considers the ability to make changes after creation?

permanence

Which of the following has the most effect on the popularity of tweets about brands on Twitter?

personal pronouns

The major reason manufacturers are using rebates more now than ever is that many consumers never bother to redeem them. Thus, when using rebates, manufacturers get the best of both worlds—they stimulate consumer purchases of rebated items without having to pay out the rebated amount because most consumers do not undertake the effort to mail in rebate forms. Hence, rebates can be thought of as a form of _____.

phantom discount

Which of the following would be a typical element of a trademark?

phrase

The name chosen for a brand does three things. It affects the speed with which consumers become aware of the brand, influences the brand's image, and ______.

plays a major role in brand equity formation

_____ is a way of publishing sound files online, allowing users to subscribe to a feed and receive new audio files automatically.

podcasting

which of the following encapsulates what a brand is intended to stand for in its target market's mind and then consistently delivers the same idea across all media channels

positioning statement

Which step requires the salesperson to arrange a meeting with the prospective customer and to acquire more specific about him or her and his or her business needs?

preapproach

Kellogg's, a manufacturer of breakfast cereals, wants to help educate children about healthy lifestyles. The company has developed a teaching resource for elementary school teachers to use in their classrooms to help children learn the basics of a healthy diet and how breakfast (which includes cereal, of course) fits into that lifestyle. This is an example of _____ marketing public relations.

proactive

In general, the most dramatic factors underlying the need for reactive MPR are _____.

product defects and failures

The judges on the reality TV show American Idol drink out of large Coca-Cola cups during the show. This is an example of _____.

product placement

Marketing communicators can most effectively gain the consumers' attention by creating messages that truly appeal to their needs for _____.

product-relevant information

Joan works at a major advertising agency and uses the code of ethical standards promulgated by the American Association of Advertising Agencies to guide her in making ethical decisions when developing ads for her agency's clients. What test is she applying to guide her behavior?

professional ethics test

"Shouldn't ads actually work once a viewer sees them?" This is an argument against

programmatic ad buys

Which step in personal selling refers to identifying potential buyers who have the need, willingness, ability, and authority to buy?

prospecting and qualifying

Which of the following is NOT a measure of communications outcomes

purchase intentions, brand awareness, message comprehension, attitude toward the brand

Harold wants to gain insights into and interpretations of those advertising elements that influence people's responses to his company's advertisements and is planning on conducting a focus group. Which form of message research does this represent?

qualitative

The best medium to leverage television advertising through the transfer of images is _____.

radio

Magazine media kits provide prospective advertisers with pertinent cost information in the form of _____.

rate cards

Which of the following is NOT a VALS™ segment?

realists

The FTC's policy on deception is that the act or practice must be considered from the perspective of a _____.

reasonable consumer

A copy test that yields consistent results each time an advertisement is tested is said to be ______.

reliable

Which of the following channel member benefits the least from a scan-verified trade promotion?

retailer

Which marcom tool is best at encouraging trial purchases?

sales promotion

Media-planning software is used by advertisers to _____.

select media to optimize a specific objective within given constraints

Larkin Manufacturing wishes to reinforce their brand's image. It would be most effective for them to use _____.

self-liquidating offers

A brand lift index of 35 for a specific product category means _____.

shoppers are 35 percent more likely to make in-store purchase decisions for these products when advertised with displays than if there were no displays

In what way are Asian Americans unlike other ethnic groups?

speak a variety of languages

Messages about new products that are attention-catching and memorable enable more rapid diffusion because they possess the _____ factor.

stickiness

Which of the following is NOT a communications activity?

stimuli

Which PRIZM NE cluster includes neighborhoods where occupants live eclectic lifestyles and includes a mix of singles, recently divorced and single parents who have moved into older, inner-ring suburbs?

suburban pioneers

Barry was looking for golfers' scores at the recent PGA championship on the PGA's Web page when an animated ad for Calloway golf clubs appeared on top of the PGA's Web page. What type of online advertisement is this?

superstitial

Which VALS™ group has the fewest resources with which to cope with a changing world?

survivors

In the question "what is your attitude toward obtaining a college degree" a college degree is the ______.

target

The encoding variability hypothesis contends that people's memories for information are enhanced when _____.

the brand is advertised with varied messages or in multiple media

Telemarketing uses outbound calls from salespeople for what purpose?

to open new accounts to qualify advertising leads to service existing business ALL OF THESE ARE CORRECT

_____ advertising associates the experience of using an advertised brand with a unique set of psychological characteristics that typically would not be associated with the brand experience to the same degree without exposure to the advertisement.

transformational

A creative brief is a document designed to channel copywriters' and other creatives' efforts toward a solution that will serve the interests of the client.

true

A high proportion of purchases in supermarkets are unplanned purchases.

true

A rebate is the practice where manufacturers give cash discounts or reimbursements to consumers who submit proofs of purchase.

true

According to the ELM theory, people experience only temporary attitude changes when persuaded via the peripheral route.

true

According to the text, placing an ad on Facebook is more cost effective than placing an ad on television.

true

According to the traditional view, a brand's sales volume during any given period is the consequence of a host of factors in addition to marcom efforts.

true

An advantage of using a full-service advertising agency is the ability to obtain negotiating leverage with the media.

true

An attribute for a brand of automobiles might be engine performance.

true

Attention has the same basic meaning for psychologists and advertisers.

true

Brands may not benefit from CRM efforts if their support is perceived as having an ulterior motive rather than authentic concern about the sponsored cause.

true

Central to the definition of marketing communications is the notion that all marketing mix variables, and not just promotion alone, can communicate with customers.

true

Cold calling is primary a tool used among salespeople in new-business selling.

true

Critics of couponing claim that coupons are wasteful and may actually increase prices of consumer goods

true

Executive-statement releases may address such topics as forecasts of future sales or views on the economy.

true

Exposing consumers to the marketing communicator's message does not ensure that the message will have an impact.

true

For marketing communicators, ethics involves matters of right and wrong, or moral, conduct pertaining to any aspect of marketing communications.

true

Green Seal, a Washington, D.C., nonprofit organization, has developed standards and awarded seals to companies that meet environmental standards.

true

In legal terms, brand names and logos are referred to as trademarks.

true

Marketing-mix modeling employs multivariate regression analysis to estimate the effects that the various advertising and promotion elements have in driving sales volume.

true

Motivation is reciprocally related to performance, meaning that it is a determinant of performance and is also determined by performance.

true

One reason for the growth of direct mail is the rising cost of television advertising and increasing audience fragmentation.

true

One type of banner ad is called a wide skyscraper.

true

Opt-in e-mailing is the practice of marketers asking for and receiving consumers' permission to send them messages on particular topics.

true

POP displays serve as the capstone for an integrated marketing communications program.

true

Painted bulletins are hand painted directly on the billboard by artists hired by the billboard owner.

true

Persuasion is an effort by a marketing communicator to influence the consumer's attitude and behavior in a manner that benefits the communicator.

true

Promotions are used because they accomplish goals that advertising by itself cannot.

true

Research has shown that effective television advertising must possess a strong selling proposition.

true

Sales promotion can be used to offset competitors' advertising and sales-promotion efforts.

true

Sales promotion is the marcom tool most capable of directly affecting consumer behavior

true

Simmons and MRI produce annual reports of product and brand usage data and provide detailed media information.

true

Singles and unrelated couples or friends living together represent a large, and growing, group of American households.

true

The best medium for demonstrating product features is television.

true

The degree to which an innovation is perceived to fit into a person's way of doing things is termed compatibility.

true

The difference between advertising and public relations is that, for advertising, media exposure is paid for by the advertiser, and for public relations it is not.

true

The major green communications efforts involve advertisements that promote green products, environmentally friendly packaging, seal-of-approval programs that promote green products, cause-oriented communication efforts that support green products, and point-of-purchase display materials that are environmentally efficient.

true

The percentage of a target audience that is exposed, at least once, during a specified time frame to the vehicles in which an advertising message is inserted represents reach.

true

Video games provide an excellent advertising medium for reaching millenials.

true

attitudes are learned

true

price-off promotions are also called cents-off.

true

BBDO's emotional measurement system is based on ______.

using photos that depict emotion

Kenner, Inc. manufactures paper products and has decided to offer coupons in freestanding inserts. What company could distribute these coupons for this manufacturer?

valassis

Which of the following is an online advertising format?

websites search engine advertising superstitials e-mail advertising

The objective for a brand's marcom program at any point in time depends on _____.

where on the hierarchy most consumers are located