MKTG CH 7,8,12,13,14

Service Profit Chain 5 links

- Internal service quality - Satisfied and productive service employees - Great Service Value - Satisfied and Loyal Customers - Healthy service profits and growth

For most companies, the first step in conducting online marketing is to ________.

. create a website

The aim of ________ is to make ads and brand content so engaging or useful that people want to watch them.

Advertainment

Which of the following is true of advertising in the new marketing communications model?

Advertisers are increasingly shifting toward digital media

Which of the following is most likely a difference between advertising and sales promotion? A) Advertising is not as effective in building long-term brand preferences as sales promotions. B) Advertising can trigger quick sales, while sales promotions cannot. C) Advertising can be used to dramatize product offers, but sales promotion cannot be used for this purpose. D) Advertising is a sales-directed form of communication, while sales promotions are endorsed as company news. E) Advertising can be used to build up a long-term image for a product while sales promotion effects can be short lived.

Advertising can be used to build up a long-term image for a product while sales promotion effects can be short lived

If a product passes both the concept test and the product test, the next step is most likely to be ________. A) test marketing B) product development C) marketing strategy development D) concept development E) business analysis

B. test marketing.

Speciality Product

Consumer products and services with unique characteristics of brand identifications for which a significant group of buyers is willing to make a special purchase effort. Ex. specific brand cards, designer clothes, gourmet food

Rather than just creating and placing "TV ads" or "print ads" or "Snapchat branded story ads," many marketers now view themselves more broadly as ________ managers.

Content Marketing

Which of the following is most likely true about the digital age with regards to marketing? A) Most firms are shifting back to traditional marketing forms to build customer value. B) The number of businesses connecting people over digital networks is in decline. C) Digital networks allow marketers many ways to build customer relationships. D) The Internet has had little impact on the ways consumers purchase products. E) Online-only marketing is more commonly used by firms than multichannel marketing.

Digital networks allow marketers many ways to build customer relationships

3. Studio 19 is a dance studio geared to adults who want to learn ballroom and Latin dance. When individuals call the studio, they're encouraged to access the Web site to receive a $25 e-coupon entitling them to a free half hour of dance instruction. Once they become patrons, text messages are sent to share news about featured dance instructors and upcoming special events. Which of the following promotion mix tools does Studio 19 employ to reach target customers?

Direct Marketing

1. ColaBlue, a soft drink manufacturer, is sued by an environmental group for not meeting certain safety standards in its waste disposal. ColaBlue remedies the problem by adding higher-grade filters and purifiers. Which of the following actions by ColaBlue would constitute a public-relations effort to address the effects of the lawsuit and the consequent damage to its brand image?

Holding a press conference to explain the remedial steps that ColaBlue has taken

Supplies and Services

Include operating supplies and repair and maintenance Ex. lubricant, coal, paper, pencil, paint, nails, broom

Capital Items

Industrial products that aid in the buyers production or operations, including installations and accessory equipment Ex. factories, offices, generators

The objective of ________ advertising is to build primary demand.

Informative

35. Trendy Appliances has introduced a new product, Minute Yogurt, into the yogurt maker appliance market. Minute Yogurt differs from competitive offerings because it takes a minute to blend and a minute to clean. Which type of advertising would be best for promoting Minute Yogurt?

Informative advertising

Lush Lawns, a new landscaping company, uses the same logo and shade of green in all forms of communication including its online ads, truck signage, Web site, and business cards. Which technique is being used by Lush Lawns to promote its business?

Integrated marketing communications

Which of the following is true of direct and digital marketing?

It is suited for highly targeted marketing efforts and for building one-to-one customer relationships.

Which of the following is true of viral marketing? A) It is a system that allows a supplier to access a customer's inventory levels online. B) It is another term for the unethical invasion of online privacy. C) It refers to online marketing problems caused by technical glitches. D) It is an automated system that manages digital sales and marketing functions. E) It is the digital version of word-of-mouth marketing.

It is the digital version of word-of-mouth marketing

Which of the following is most likely true about email marketing?

It is used by marketers to send highly targeted messages

Which of the following is a shortcoming of advertising?

It only provides one-way communication with customers.

Shopping product

Less frequently purchased consumer products and services that customers compare carefully on suitability, quality, price and style. Ex. Furniture, clothing, hotel services

Which of the following is a disadvantage of viral marketing? A) Viral messages are blocked by most search engines. B) The costs of viral marketing are generally too high for most companies. C) Viral messages are less likely to be viewed than other types of online promotions. D) The brand associated with the viral message is usually forgotten. E) Marketers have little control over who receives a viral message.

Marketers have little control over who receives a viral message

Which of the following best describes the term "Madison and Vine"?

Merging advertising with entertainment

8. Window Concepts has introduced a new line of windows that offer the same benefits as solar panels in reducing heating and cooling costs in homes. The state-of-the-art windows will also contribute to the slowing of global warming while providing energy reliability. The company sends a team of representatives to the National Doors and Windows Trade Show to promote the new line of windows. Which promotion mix tool has Window Concepts used in this scenario?

Personal Selling

In a promotion mix, ________ occurs when a firm's sales force makes individual presentations to consumers for the purpose of promoting sales and building customer

Personal selling

12. Starbucks has signed a contract with a television production company to have its brand featured prominently in a new situation comedy about empty nesters. The conditions of the agreement state that the situation comedy will feature only the Starbucks brand of coffee. What kind of advertising technique is being used in this example?

Product Placement

Industrial Product

Products purchased for further processing or for use in conducting a business 3 Categories: Materials and Parts, Capital Items, Supplies and services

Unsought product

Products that the consumer either does not know about or knows about but does not normally consider buying Ex. life insurance, funeral service, blood donations

Chic Eyewear, a producer of designer eyeglass frames, promotes their new line in national fashion magazines. Chic Eyewear lists the select optical retailers that carry their line at the bottom of their ads. This is an example of a ________ strategy.

Pull

Which of the following promotion mix approaches involves a producer promoting a product to different channel members who in turn promote the product to customers?

Push Strategy

________ advertising primarily maintains brand relationships and is important for mature products.

Reminder

In a marketing communications mix, ________ refers to any short-term incentive that encourages the purchase or sale of a product or service.

Sales Promotion

Which of the following is true of the growth stage of the product life cycle? A) Early adopters stop buying the product. B) Prices tend to increase significantly. C) Profits are nonexistent at this stage. D) Sales start climbing quickly. E) New competitors avoid the market.

Sales start climbing quickly

Crest toothpaste has used a ________ style of advertising to convince buyers that Crest is better than other brands at fighting cavities.

Scientific Evidence

Service Intangibility

Services cannot be seen, tasted, felt, heard or smelled before they are bought Ex. Airline passenger, cosmetic surgery

Which of the following is the first step in developing an advertising program?

Setting Advertising Objectives

20. Which of the following media is most suitable for having consumers provide input on product design or features?

Social media

Which of the following is most likely an advantage of social media marketing? A) Social media campaigns are simply implemented and rarely backfire. B) Social media are targeted and personal. C) Social media allow marketers to engage in multichannel sales. D) Social media campaign results are easily measured. E) Social networks are largely marketer controlled.

Social media are targeted and personal

Which statement is most likely true about the affordable method of setting an advertising budget?

Spending on advertising is calculated after operating expenses and capital outlays are deducted from total revenues

Idea Generation

Systematic search for new product ideas

Which of the following media is most suitable for advertising a product that needs to be demonstrated?

Television

________ tends to legitimize products, is very expressive, allows brand or company dramatization, and can build up a long-term image for a product.

Television Advertising

2. A TV ad promoting how an ordinary person's life has changed due to considerable weight loss is an example of the ________ style of advertising.

Testimonial evidence

In the competitive-parity method of setting an advertising budget, the budget is set based on ________.

The amount spent by similar companies in the same industry

How has the Internet most likely affected direct and digital marketing?

The expenditures on direct and digital marketing have increased

Which aspect of social media sites makes the medium most appealing to niche marketers? A) They cater to the needs of small communities of like-minded people. B) They allow marketers to control the conversations on the network. C) They help marketers target the best undifferentiated market segment. D) They are used by a majority of Internet users in the United States and overseas. E) They guide organizations on how to set up social media networks.

They cater to the needs of small communities of like-minded people

Which of the following statements is true of consumer promotions? A) They include the use of conventions and trade shows. B) They include a wide range of tools like samples, coupons, and refunds. C) They include the use of display allowances. D) They are primarily used to generate business leads and reward customers. E) Their primary objective is to persuade resellers to carry a brand.

They include a wide range of tools like samples, coupons, and refunds

Elise Philips, a leading fashion designer, connects with her followers through a strong online presence, promoting her brand and discussing fashion tips through articles and videos on her personal fan page. In this case, which of the following marketing forms does Elise use?

a blog

Which of the following is an example of a combination of sales promotions and direct marketing?

a company sending an e-mail to a customer about a discount on a product during a holiday season

Which of the following is an example of a firm utilizing public relations as a promotion tool? A) a firm informing customers of special discounts on its website B) a firm using a celebrity to endorse a product in a television commercial C) a firm sending its catalog directly to customers through e-mail D) a firm providing interesting information about a product to the news media E) a firm using its personal sales force at an expo to sell its products

a firm providing interesting information about a product to the news media

6. Greentech is launching a line of miniature solar chargers for laptops, cellphones, and other electronic devices. The chargers are compact, affordable and the green energy technology is a value-added benefit for both the company and consumers. Which of the following would qualify as an advertisement for Greentech's new solar chargers?

a front-page notice of the release of Greentech's solar chargers in all leading newspapers

Which of the following is most likely an example of a business promotion tool?

a trade fair showcasing a new audio system developed by an electronics firm

Millie Foods, producers of baby food, offers a monetary sum to retailers who agree to feature its new products on their shelves for a considerable time period. In this case, the promotion tool used by the company is referred to as a(n) ________.

allowance

Which of the following is a promotion tool used for trade promotions? A) rebates B) price packs C) allowances D) conventions E) sweepstakes

allowance

Convenience Product

are consumer products and services that customers usually buy frequently, immediately, and with minimal comparison and buying effort. Ex. Laundry detergent, candy, fast food

An innovation management system would most likely be used by ________. A) suppliers to access inventory information B) brand managers to collect, review, and evaluate new product ideas C) human resource managers to update information on employee incentives D) managers to update details about customer information E) product managers to track logistics of a new product

brand managers to collect, review, and evaluate new product ideas

Which of the following is an example of branded entertainment? A) a company using a celebrity to endorse a product B) a company using an acclaimed movie director to film an advertisement C) a company placing its product in a movie scene D) a company using a famous song in its advertisement E) a company airing its advertisements in movie theaters

company placing its product in a movie scene

Every time a search is made using keywords related to construction, search engines display text-based advertisements and links to Regan Builders, a construction firm. The marketing tool used by Regan Builders is best referred to as a ________.

contextual advertisement

Evans and Hills, a beverages manufacturing company, has developed a new line of specialty teas and is seeking regular input from the test marketing process. To facilitate this process, the firm uses BuyerScan, a software that generates store-by-store, week-by-week reports on the actual sales of tested products and the impact of in-store and in-home marketing efforts. Which of the following approaches does this scenario illustrate?

controlled test markets

Kallton is a multinational communications and information technology corporation. Its principal products are mobile telephones and tablets. It recently announced on its website that customers can suggest ideas for its upcoming product model. Contributors of short-listed ideas will be adequately rewarded. In this case, Kallton is using ________ to generate new product ideas.

crowdsourcing

Sleek Designs Inc. is producing its first eReader. The company is striving to overcome some of the issues communicated by customers about competitive products including screen glare and product bulkiness. Sleek Designs Inc. is using a ________ approach in their new product development process. A) systematic B) team-based C) sequential D) customer-centered E) supply/demand

customer-centered

Which of the following are the fastest-growing forms of marketing? A) standardized and customized B) direct and digital C) undifferentiated and differentiated D) internal and external E) mass and targeted

direct and digital

A company that uses telephone marketing to sell its products to customers is most likely using the promotion tool of ________.

direct and digital marketing

In a promotion mix, ________ involve(s) personally connecting with carefully targeted individual consumers to both obtain an immediate response and cultivate lasting customer relationships. A) direct marketing B) public relations C) predictive analyticals D) advertising E) indirect procurement

direct marketing

Amazon.com and Expedia.com are best described as ________ that sell products and services directly to final buyers via the Internet.

e-tailers

A freestanding insert in the Sunday newspaper for a local restaurant that contains a $5 off coupon for any meal over $20 is an example of a promotion targeted at ________.

final buyers

Parvon, a cleaning product, is in the maturity stage of the product life cycle, and Parvon managers have decided to modify the market. Which of the following steps should Parvon managers most likely take to achieve this goal?

find new market segments for the brand

Safari Unlimited recently conducted national research to generate ideas for a new line of fatigues geared to women. The company uncovered a number of ideas about clothing and accessory preferences as well as important benefits such as built-in sunblock and durability. The Safari Unlimited product development team will most likely use ________ next to arrive at a realistic number of products for the new fatigues line.

idea screening

Inglast, a chocolate producer, is faced with a class action suit when customers found pieces of plastic in boxes of cocoa powder. Inglast settles the case and then releases an advertising campaign to show the new and improved safety seals on all containers of cocoa powder. Which kind of advertisement has Inglast most likely used?

informative

Which of the following is true of public relations? A) It provides quick incentives to make product purchases. B) It cannot be used to dramatize a product or company. C) It involves training a dedicated sales force to meet customers. D) It is the most widely used promotional tool. E) It emphasizes news and events rather than sales.

it emphasizes news and events rather than sales

Service Profit Chain

link between firm's service profits and employee customer satisfaction

Backpacks Galore has an online tool that offers a wide variety of backpacks for direct purchase. The tool even allows customers to select an option to monogram their backpacks. Which of the following has Backpacks Galore most likely used?

marketing website

Which of the following is an online tool designed to engage customers and move them closer to a direct purchase or other marketing outcome?

marketing website

Craft Inc.'s Krayons is a multi-color chalk material that was released in the market over a century ago. Since the release, the company has had remarkable sales and Krayons has remained unchanged. However, over the last few years, sales of Krayons have been stagnant. Competitors have begun marking prices down, and increasing their advertising and sales promotions. Craft's Krayons is most likely in the ________ stage of the product life cycle. A) decline B) maturity C) incubation D) growth

maturity

When a product is in the ________ stage, profits level off or decline because of increased marketing outlays to defend the product against competition.

maturity

Marketers need to know how customers connect with an ad and brand idea as a part of the broader brand relationship. This can be achieved by measuring ________ levels.

media engagement

Appliances Galore is continually updating its line of refrigerators to reflect market trends and customer needs. Although the product class is in the maturity stage of the product life cycle, they maintain healthy sales of their line of refrigerators by continually ________.

modifying the product

According to the text, the most logical budget-setting method in advertising is the ________ method.

objective-and-task

Posting digital content on brand websites or on social media sites such as YouTube, Facebook, Vine, and others are forms of ________ marketing.

online video

As a result of ________, a company cannot make its product illegally similar to a competitor's already established product. A) product liability B) patent laws C) anti-monopoly laws D) antitrust laws E) product warranties

patent laws

Which method of setting advertising budgets best helps management think about the relationship between promotion spending, selling price, and profit per unit?

percentage-of-sales method

Which of the following types of promotion tools requires a considerable degree of personal interaction with a customer? A) sales promotion B) television advertising C) digital advertising D) personal selling E) public relations

personal selling

The primary objective of ________ advertising is to build selective demand.

persuasive

Taco Bell test marketed Doritos Locos Tacos for three years and developed 45 prototypes. Once the decision was made to launch the new taco shell, it moved into the ________ stage of the new product development process. A) concept development B) test marketing C) product development D) strategy development E) commercialization

product development

The style, ease of use, and multi-blade technology of Gillette's Fusion razor system is a ________ that has favorably impacted consumer perceptions about other new products sold by the company. A) product framework B) product image C) product audit D) product concept E) product feature

product image

Some companies are now appointing ________, whose job is to protect consumers from harm and the company from liability by proactively ferreting out potential product problems. A) listening officers B) idea generation teams C) product audit committees D) product stewards E) intradepartmental teams

product stewards

When a company issues a press release to announce a sizable donation to a national charity, it is using ________ to generate goodwill and maintain a positive corporate image.

public relations

A pharmaceutical manufacturer offers monetary incentives to its sales representatives to promote a new drug to the medical professionals in their respective geographic territories. This is an example of a ________ strategy.

pull

Service Variability

quality of service depends on who provides them as well as when where and how they are provided with the service

Materials

raw manufactured parts such as wheat, cotton, livestock

Power Pro, a leading manufacturer of lawn and garden equipment, releases a new line of cordless, lightweight, electric weed trimmers. To boost sales, Power Pro issues a 50 percent off coupon to the first 100 buyers at all Home Depot stores in the Northeast. Which element of the promotion mix has Power Pro used in this scenario?

sales promotion

Service Inseparability

services cannot be separated from their providers, whether the providers are people or machines

The ________ style of advertising shows ordinary people clearly using a product in a normal setting.

slice of life

The first part of a marketing strategy statement describes the ________ of a new product.

target market, planned value proposition, and sales goals

Under a ________ new product development approach, company departments work closely together in cross-functional groups, overlapping the steps in the product development process to save time and increase effectiveness. A) cross-sectional B) sequential C) team-based D) systematic E) simultaneous

team-based

Foods International is developing a new gluten-free, chili-flavored pretzel. The marketing strategy for the product has already been developed and presented to top management. Several prototypes were also formulated by the company's R&D team. The final prototype is now being tested rigorously to ensure that it passes FDA standards. Once approved, the next step will most likely be ________.

test marketing

A TV ad promoting how an ordinary person's life has changed due to considerable weight loss is an example of the ________ style of advertising.

testimonial evidence

Fads are characterized by their ________.

unusually high sales and rapid decline

A product is in the maturity stage of the product life cycle, and the company decides to modify the marketing mix. Which of the following steps is the company most likely to take? A) explore new market segments B) use aggressive sales promotions C) improve product quality D) find new uses for the product E) change features of the product

use aggressive sales promotions

Which of the following best describes the personality symbol style of advertising? A) using an animated character or mascot to represent a product in an advertisement B) using a celebrity to endorse a product in an advertisement C) using ordinary people to show how a product affects them in their daily lives D) using scientific evidence to support claims about a product in an advertisement E) using a technical expert to recommend a product in an advertisement

using an animated character or mascot to represent a product in an advertisement