MRKTING EXAM 2, MKT EXMA 3 CH. 12 -16, MKT Exam 4 CH. 17 - 22
When advertisers buy newspaper space based on combination rates, it means the advertiser gets no discount for quantity or repeated space buys.
False
Which of the following is a federal agency that controls advertising?
Food and Drug Administration
Which of the following statements about companies using the Internet to achieve objectives is true?
For small companies with limited budgets, the Web offers an excellent opportunity to create awareness.
Which sales promotion technique is also known as a frequency program?
Loyalty program
Speed Inc. is a sports car manufacturer. Ron, a salesperson in a car dealership, makes $3,000 for every Speed Inc. car he sells. He receives this bonus from Speed Inc. along with his regular salary from the dealership at the end of each month. Which type of promotion is Speed Inc. using?
Spiff
Direct marketing is a form of advertising.
TRUE
One advantage of outdoor ads is that they offer timely exposures due to their proximity to shopping areas and vehicles on the way to shopping areas.
TRUE
One of the most important uses of sales promotion techniques is to encourage consumers to try a new product or service.
TRUE
Sales promotion can provide inducement to marketing intermediaries such as wholesalers and retailers.
TRUE
Specialty advertising is also known as promotional products marketing.
TRUE
When properly planned and executed to work together, advertising and sales promotion can have a synergistic effect much greater than that of either promotional mix element alone.
TRUE
Facebook Analytics and Google Analytics offer virtually identical web analytics services that track and report website traffic inside a marketing platform.
TRUE X
Which of the following statements is true of television as an advertising medium?
TV lets the marketers reach mass markets in a cost-efficient manner.
The Network Advertising Initiative (NAI) is a(n)
The Network Advertising Initiative (NAI) is a(n)
Declining advertising revenue and circulation has led some magazines, such as Cooking Light, ESPN The Magazine, and Glamour to shutter their print editions and offer their magazines solely online.
True
Marketing public relations helps in improving the overall ROI by reducing overall marketing costs.
True
One of the main advantages of using magazines as an advertising medium is their ability to reach a specific target audience.
True
Weekly newspapers usually do not cover national and world news.
True
When Domino's Pizza conceded to shortcomings of its product and explained what it was doing about them, it used a two-sided message.
True
All companies use direct marketing with an objective to seek a behavioral response.
True X
In response to the criticism that advertising makes people buy things they don't need, Shelby Hunt examined the ________ and pointed out that advertising that most observers would categorize as very informative is often very persuasive.
information-persuasion dichotomy
The DISCUS ban, which effectively banned hard liquor ads on national television for five decades, is an example of
industry self-regulation.
Which of the following is a qualitative measure that is used to evaluate sales-related activities of the sales force?
personal characteristics
When parents with children at different age levels can be approached with their child's name in the appeal, it is leveraging the ________ advantage of direct marketing.
personalization
Which of the following is a major disadvantage of personal selling?
poor reach in the target market
Which of the following is a disadvantage associated with using newspapers as an advertising medium?
poor reproduction quality
Whiz Soda tasked its marketing manager Ted with obtaining information about the popularity of Whiz Soda's new ad among teenagers in the United States. Ted used market surveys and interviews to obtain the relevant information. In this scenario, Ted was involved in
posttesting of the ad.
During a recent survey, Greg found that people remembered information presented at the beginning of an advertising message better than information presented in the middle. This finding could be explained by the
primacy effect.
Placing the strongest arguments in an advertising message at the beginning takes advantage of the
primacy effect.
One way to get a product in front of an audience without actual advertising is through
product placement.
The print ad of a communications network provider features a collage of people with smiling faces that reads "10 million happy customers around the world." This is an example of a(n)
product/service popularity appeal.
Jason gained responsibility for advertising at his firm. For which element of the marketing mix is he responsible?
promotion
The Promotional Products Association International (PPAI)
provides public relations support for specialty advertising.
Businesses use several criteria to evaluate personal selling. Which one concerns the ability of the sales force to report information regarding competitive programs, customer reactions, market trends, and other factors that may be important in the development of the promotional program?
provision of marketing intelligence
According to studies conducted by the Radio Advertising Bureau, consumers perceive radio advertising to be more personally relevant than ads on television or the Internet. This may be due to common traits of consumers who follow a radio station, including demographics and
psychographic characteristics.
Which of the following integrated marketing communications tools helps a firm operating in a foreign market present itself as a good corporate citizen concerned about the future of the country?
public relations
Ethnographic research is what type of research?
qualitative
When airlines, destination resorts, and travel-related services advertise in publications such as Travel + Leisure because the articles, pictures, and other ads help excite readers about travel, they are taking advantage of the ________ effect.
qualitative media
In the context of marketing analysis, RFM stands for
recency, frequency, monetary.
Studies have shown that combining advertising with personal selling results in
reduced costs.
Which of the following activities are involved in consumer-oriented sales promotions?
refunds and rebates
What is the term for the new version of personal selling?
relationship marketing
Sunshine Sundries has been working with Success Advertising to build brand awareness by keeping the Sunshine brand name in front of consumers. Success has set up a series of online banner ads to foster greater awareness. This type of appeal is called
reminder advertising.
Yummy Foods gave away 25-ounce packs from its range of oatmeal products to consumers, free of charge. The company distributed the packs to those who shopped at select grocery stores around the state of Pennsylvania. Which type of promotion did Yummy Foods employ?
sampling
Benjamin asks Jim to prepare a detailed description of the video and audio content for a television commercial. In other words, Jim has been asked to write a
script
Advertising plans are ________ in nature.
short term
The ________ method of measuring the effectiveness of ads uses optical scanning equipment that identifies the households of consumers who agree to participate and gives the research company their demographics, then records their purchases.
single-source tracking
The theme for the advertising campaign is usually expressed through a ________ that reduces the key idea into a few words or a brief statement.
slogan
Marketers use the company president or chief executive officer as spokesperson in the firm's advertising in order to increase
source credibility.
Print advertising space is generally sold on the basis of ________, such as full page, half page, and quarter page.
space units
Which type of promotion has grown substantially within IMC, although ways to measure its effectiveness are not always agreed upon by experts in the field?
sponsorships
Which of the following products is most likely to depend on personal selling?
steam turbines
StuffToBuy.com, an online retail store, offers electronic coupons to individuals. A consumer can select any coupon of interest, download it, and redeem it at the place of purchase. Such coupons are provided to
stimulate trial.
Independent local TV stations that send their signals nationally via satellite to cable operators to make their programs available to subscribers are known as
superstations
The Advertising Self-Regulatory Council's mission is to
sustain high standards of truth and accuracy in national advertising.
According to Matthew Cook, the Internet has changed the emphasis of sales through
targeted prospecting.
Many marketers have reduced the ever-higher costs of sales calls by combining the use of the Internet, sales efforts, and
telemarketing.
Because it is considered the ideal advertising medium, the first medium that comes to mind when developing a media strategy is
television.
Pluto Inc. interviewed a few of its customers regarding their experience of using Pluto shampoos and conditioners. These interviews were filmed and used in making its commercials. Which of the following advertising execution styles did Pluto use?
testimonial
When Jenny Craig uses television commercials and print ads featuring ordinary consumers and celebrities discussing how they have been able to lose weight using the company's programs, it is using a ________ execution.
testimonial
Traditionally, most of the prime-time commercial spots, especially on the popular shows, are sold during the
up-front market.
Focus groups are a quantitative method of testing ads.
false
In the business world, the only marketing-mix variable that impacts sales results is promotion.
false
Once an ad campaign has been implemented, there is no need for any further testing.
false
The advertising industry prefers government intervention to self-regulation for controlling advertising abuses.
false
The higher the index number of a particular segment of the population, the more attractive it is for targeting.
false
The sleeper effect states that the persuasiveness of a message decreases with the passage of time.
false
There is a general agreement that advertising contributes to society in positive ways.
false
Advertising is criticized for
perpetuating stereotypes.
If there are a total of 200 million households in the United States and 50 million households watch a specific sitcom, the national rating for that sitcom is
25%.
Over the past decade, newspapers have experienced a(n) ________ decline in their revenue from classified advertising.
80 percent
A study by FordDirect showed that ________ of auto shoppers used smartphones to research different autos.
81 percent
One of the greatest advantages of the Internet and new media for marketers is the reliability of the research numbers generated.
FALSE
Which of the following statements is true of the brand development index (BDI) and the category development index (CDI)?
A market with a high BDI and a low CDI is a good market for advertising.
Outdoor media tends to have a higher cost per thousand (CPM) rate when compared to other media.
FALSE
Overuse of sales promotion is always profitable to a brand.
FALSE
The Internet does not offer the opportunity to sell directly to customers in the business-to-business market.
FALSE
Which of the following are examples of mobile billboard advertising?
Ads painted on trucks
Alex works as a journalist at a news agency. Alex states that the organization's structure involves what media people refer to as "The Wall." Which of the following statements supports his claim?
Alex has no contact with the members of the advertising and circulation departments.
________ is a long commercial that is designed to fit into a 30-minute or one-hour time slot.
An infographic X
The sampling technique of promotion is less preferred by marketers and consumers as it entails a lot of risk.
FALSE
Which of the following statements is true of the essentials of effective testing?
Attainment of communications objectives leads to the accomplishment of marketing objectives.
The ________ is the division of the Federal Trade Commission (FTC) that analyzes the impact of government regulation on competition and consumers.
Bureau of Economics
The first step of a direct-marketing program is to determine which markets to target through the use of a mailing list or a marketing database.
FASLE
Return on investment (ROI) is an Internet-specific measure employed by marketers to determine the effectiveness of the Internet.
FLASE
Support media only support the primary media and cannot be used as a sole medium for promotion.
False
The Internet offers ease and flexibility to traditional marketers in creating a brand image.
False
Which of the following statements is true of the Children's Advertising Review Unit (CARU)?
CARU recognizes that the special nature and needs of a youthful audience require particular care and diligence on the part of advertisers.
________ refers to the number of individuals who receive a publication, either through subscription or store purchase.
Circulation
Which of the following statements is true of direct marketing?
Consumer credit cards have led to the increased attractiveness of direct marketing as a tool for promotion for both buyers and sellers.
Which of the following viewpoints is implicitly supported by the "advertising equals information" concept?
Consumers become more price-sensitive due to advertising.
One school of thought, "advertising equals information," suggests advertising has which of the following effects on industry structure and market power?
Consumers can compare competitive offerings easily and competitive rivalry increases.
Which term refers to the potential audience that might receive a message through a vehicle?
Coverage
________ popularized the idea of brand image in his book Confessions of an Advertising Man.
David Ogilvy
Which of the following are considered to be primary users of local display advertising?
Department stores
Which of the following correctly states an advantage of direct marketing?
Direct marketing allows for a strong ability to test the effectiveness of the overall program as well as specific elements.
Dependent variables of the persuasion matrix are the controllable components of the communication process.
False
Direct marketing and direct-response media are the same thing, and the terms can be used interchangeably.
False
In direct-mail advertising, mood creation is unlimited due to the selectivity of the lists.
False
Mobile billboards are not viable for small organizations owing to the huge costs of building and maintaining them.
False
Newspapers account for 50 percent of advertising expenditures for national advertisers.
False
Which of the following statements is true of direct mail?
Good mailing lists are the key to the success of direct mail.
Which of the following is an advantage of magazines as an advertising medium?
Greater creative flexibility
In which of the following markets is the retail industry highly fragmented, so there is less trade pressure for promotions?
Southern Europe
When SKYY Spirits extended its product line and chose to use ads that were consistent with the core brand equity base of SKYY, they were addressing which of the following basic questions for evaluating creative approaches?
Is the creative approach consistent with the brand's marketing and advertising objectives?
Which of the following statements is true of publicity?
It can make or break a product or even a company.
Which of the following statements about the focus-group method of concept testing is true?
It does not require quantitative analysis.
Which of the following correctly states a disadvantage associated with marketing public relations (MPRs)?
It is difficult to tie in slogans and other advertising devices.
Which of the following statements is true of the evaluation of creative output?
It is important that an ad communicate information, attributes, features, benefits, and/or images that give consumers a reason to buy the brand.
Which of the following statements is true of a campaign theme?
It is the central message that will be communicated in all advertising activities.
Which of the following statements is true of posttesting?
It is used to determine if the campaign is accomplishing the objectives sought.
Which of the following is cited as a reason for measuring the effectiveness of ads and other promotional activities?
It leads to evaluation of alternative strategies under consideration.
Which of the following statements is true of the inherent drama approach?
It revolves around finding the characteristic that makes the consumer purchase the product.
________ are often done in rough form and presented to the client for approval before the more costly stages of print production.
Layouts
________ are the goals for the media program and should be limited to those that can be accomplished through media strategies.
Media objectives
Which of the following statements is true of newspaper advertising?
Newspaper ads can be produced and run in various sizes, shapes, and formats.
Doodle Corporation, a manufacturer of safety pins, decided that the company had to increase the awareness of its glow-in-the-dark pins among children and mothers. It also wished to increase the sales of its basic steel pins by 10% in the current financial year. It was convinced that, in order to attain these goals, it had to spend $1.5 million, so it allocated this amount for promotional expenditure. Which of the following promotional budgeting methods was used by Doodle Corporation?
Objective and task method
In response to calls from the radio and advertising industries for Arbitron to provide more detailed measures of radio audiences, Arbitron introduced the ________. This wearable, page-size device electronically tracks what consumers listen to on the radio by detecting inaudible identification codes that are embedded in the programming.
PPM
While on a flight from San Francisco to New York City, James read several magazines offered by the airline. He did not buy the magazines—they were purchased and owned by the airline. With reference to the types of readership, which of the following does this scenario illustrate?
Pass-along readership
Which of the following is statements true of how adult men and women are portrayed on American television?
Portrayals of women emphasize their passivity.
Which of the following statements is true of PR and publicity?
Publicity is a short-term strategy, unlike public relations.
________ is a measure of the number of different audience members exposed at least once to a media vehicle in a given period of time.
Reach
________ and product integration valuation company iTVX have combined efforts to measure Results-Oriented-Integration for product placements.
Rentrak
Who among the following developed the concept of the unique selling proposition?
Rosser Reeves
Which of the following statements is true of sales objectives?
Sales are a function of many factors, not just advertising and promotion.
Which of the following is an example of a mobile billboard ad?
Samantha sees a truck painted with an ad for "Glory Jeans."
A national health-food company has assumed responsibility for the production and content of a new program called Master Quiz. Additionally, the company also takes responsibility for the advertising that appears within it. The company has adopted which of the following methods of media buying time?
Sponsorship
No commercial can run without approval from a network's ________ department.
Standards and Practices
Advertisements often surround consumers with images of the good life and suggest that the acquisition of wealth leads to contentment and happiness. Critics argue that this aspect of advertising has an adverse effect on human and societal values. Which of the following statements is the main reason for this criticism?
Such messages encourage materialism among people.
Which of the following statements correctly describes a potential problem in media planning?
The timing of measurements of the data is an issue since certain audience measures are taken only at specific times of the year.
Which of the following statements is true of the use of puffery?
The use of puffery in ads is common.
Which of the following statements is a correct conclusion based on research on advertising during a recession?
There is strong evidence that cutting back on advertising can hurt sales during and after a recession.
Which of the following statements is true of infomercials?
They are designed to be viewed as regular TV shows.
Which of the following statements is true of consumer magazines?
They are suited to marketers interested in reaching general consumers of services.
Which of the following statements is true of banner ads?
They are the most common form of advertising on the Web.
Which of the following statements is true of marketing goals that are defined in terms of sales, profit, or market share increases?
They are usually not appropriate promotional objectives.
Which of the following statements is true of exposure methods?
They can estimate direct as well as indirect audiences of a sponsored event.
What is a benefit of using direct communication techniques instead of personal selling?
They help reduce selling costs.
Which of the following statements about coupons is true?
They help to induce price-sensitive customers to purchase a product or a service.
An important reason for setting specific objectives is that they provide a benchmark against which the success or failure of the promotional campaign can be measured.
True
The ________ empowers the Federal Trade Commission (FTC) to issue a cease-and-desist order.
Wheeler-Lea Amendment
Which of the following is an advantage of couponing?
Which of the following is an advantage of couponing?
Which of the following statements is true of radio advertising?
Which of the following statements is true of radio advertising?
One of the advantages of television is it offers a fleeting message, with nothing tangible for the viewer to examine or consider.
false
A promotion is considered a lottery if
a consideration, such as making a purchase, is present.
The NsDaily, a newspaper, charges $50 per square inch of its advertisement space. Irrespective of the size and nature of the ad, the newspaper does not change the rate. In this scenario, The NsDaily is offering
a flat rate.
After finishing lunch at a local cafe, Clara used her smartphone to get a discount on the bill. She is most likely using
a mobile coupon.
Darryl sees a television commercial for Praxis treadmill. The commercial announces that the first 200 callers to place an order will receive Praxis treadmill accessories at no additional cost. Darryl immediately dials the toll-free number displayed on his television screen to place an order. In this scenario, Praxis is utilizing
a one-step approach to direct marketing.
Ben, a sales assistant at The Electronic Store, surveyed 500 customers to find out what issues they encountered when using the company's laptops. He also asked the customers to rate the brands they used on the basis of these issues. In this scenario, Ben was involved in
a problem detection study.
CL Inc. printed two versions of the same ad in order to test the effectiveness of each individual ad. One ad contained an image of a popular female celebrity while the other contained a lesser-known model on the front cover. In this scenario, the company is using
a split run.
A publicity piece designed to be aired as a news story is known as
a video news release.
One of the main disadvantages of radio as an advertising medium is its high cost.
false
One-sided messages work better when the target audience is highly educated.
false
Publicity ensures accuracy of information because the company controls the message.
false
Which of the following traits of personal selling can be both advantageous and disadvantageous?
ability to personalize the sales message
Advertisers of Hexagon smartphones placed a full-page color ad in Tech Widget magazine, which cost them $165,000. This amount refers to the
absolute cost.
Using artists from famous rock bands in ads that are targeted at teens is an example of
ad-to-consumer relevance.
Which of the following is the most suitable classification for advertisements that are offensive, irritating, and boring?
advertising in bad taste
A decentralized organizational structure must be used for international advertising when
advertising must be tailored to the local market.
Auto Inc. has come up with a new series of ads to promote the use of seat belts. It has also invested in various billboards across New York City and Chicago for the same purpose. This campaign is an example of
advocacy advertising.
Pizza Vertex, a chain of fast-food restaurants, paid $1 million to have its new logo embossed on a blimp. What form of advertising did Pizza Vertex make use of?
aerial advertising
In her office parking lot, Rhonda noticed that two of her colleagues' personal cars had small stickers from McFrank's, a multinational fast food chain, on their windows. Which type of advertising do the stickers represent?
aerial advertising X
Blimps are a form of
aerial advertising.
Ads that appear on store floors, gas pumps, washrooms stalls, elevator walls, park benches, and telephones are examples of
aerial advertising. X
Mars Inc. includes the disclaimer "Warning! This product has not been pasteurized and must be used with caution" on all its juice products. This inclusion is an example of
affirmative disclosures.
Timber-On, a furniture-manufacturing company, has a total budget of $3 million for all its expenses in the current year. It has determined from the previous years that it will require about $2.5 million for production and operational purposes. The balance of $0.5 million has been allocated for advertising and promotion. Which of the following budgeting approaches is the firm following?
affordable method
The Internet is known as a direct-response medium because it
allows users to both purchase and sell products through e-commerce.
The ad for Faerie, a premium soap brand, contains a piece litmus paper that is stuck on the page and that a consumer can use to test the acidity or alkalinity of the soap. This is an example of
an insert.
Typically, customers of a given salesperson buy the same quantity from him. In some purchases, the buyer could change his requirements slightly. This salesperson can be classified as
an order taker.
Sum Company's new board realized that the purpose of their advertising and promotion has been ignored for a period of time. Innovation Marketers was hired to conduct an analysis and concluded there is a lack of systematic planning to create communication objectives tied to the budget. Sum Company has been practicing
arbitrary allocation.
According to the concept of marginal analysis,
as advertising expenses increase, sales and gross margins also increase to a point, but then they level off.
According to the persuasion matrix, which of the following is a dependent variable in consumers' response process?
attention
Which of the following attributes would be reported in persuasive advertising rather than information advertising?
attractiveness of the brand
Radio offers a very low degree of geographic selectivity.
false
Regulatory concerns do not play a major role in the advertising decision-making process.
false
Slice-of-life ads make use of more excitement and suspense in telling a story when compared to the dramatization style of execution.
false
U.S. corporations defend against foreign inroads into the domestic market as well as learn how to market their products and services to other countries in order to
be part of an interdependent global economy.
Amber observed that she received e-mails containing ads that were often related to websites she had visited recently or topics she had browsed on the Internet. The various ads were related to her previous searches. These e-mails are an example of
behavioral targeting.
Support media are also known as
below-the-line media.
Beauty Care's 2-oz. bottle of sunscreen lotion is priced at $3. However, while at the supermarket, Emma found that Beauty Care was offering a 5-oz. bottle at the same price, so she bought two. Which type of promotional method was Beauty Care using?
bonus pack
Before shipping its new tablet, Samsung created a great deal of anticipation through public relations. Upon the release of the Samsung tablet, consumers stood waiting in lines for hours to own the next Samsung innovation. In which of the following ways did marketing public relations (MPR) add value to the integrated marketing program?
by building marketplace excitement before media advertising breaks
Techniques for writing direct headlines include using questions, provocations, how-to statements, and challenges.
false
Fulcrum Inc., an FMCG company, has purchased the time slot between 8:15 p.m. and 8:18 p.m. every day on an entertainment channel to advertise Whizz Soda, one of its brands. In the context of scheduling methods in advertising, this is an example of
continuity.
The Internet allows for immediate feedback and two-way interaction, so it is as effective as a face-to-face situation.
false
Which of the following is an example of an independent variable in the persuasion matrix?
channel
Advertising practices considered unfair include
claims that might exploit children and older adults.
General preplanning input includes
clipping services.
Under the DAGMAR approach, an advertising goal involves a ________ task that is specific and measurable.
communications
One of the foundational methods for setting objectives Innovation Marketers often uses is the DAGMAR approach. Working with Sum Company to measure advertising effectiveness, they are using this approach to guide Sum Company, focusing their attention on
communications-based rather than sales-based objectives.
Alice knew that her boss was a huge fan of Sharon Styles, a professional tennis player. Alice also noticed that her colleagues who were fond of Styles shared a good rapport with her boss. In order to impress her boss, Alice gave her a perfume endorsed by Styles as a birthday present. She also bought magazines featuring Styles in order to project that she, too, was fond of Sharon Styles. In this case, the influence process occurs through a process known as
compliance
The marketing team of Ben & Jen, a leading global fashion brand, has just started working on its new ad. It is in the stage of preparing a positioning statement for its new winter collection. However, it wants to ascertain the opinion of certain experts about the layout and other basic elements of the ad. In other words, it wants to undertake
concept testing.
Which of the following is classified as a pretest laboratory method for conducting research to measure advertising effectiveness?
consumer juries
A global consumer culture is one in which many consumers share ________, regardless of the countries in which they reside.
consumption values
Economic censorship occurs when advertisers have a limited budget to spend on media.
false
Lin, a student, is of the opinion that German beer is superior to American beer. He believes that Germans' knowledge of beer and the quality of the ingredients used by German alcohol manufacturers are better than that of their American counterparts. This scenario is an example of the ________ effect.
country-of-origin
Which of the following is an objective of corporate advertising?
creating a positive image for the firm
A recent study found that print ads that used red backgrounds were highly rated in China but were not well received in other countries. This finding was attributed to the fact that red signifies good fortune and joy for the Chinese, but it is a symbol of misfortune in many other nations. This variation is an example of the prevalence of ________ differences among nations.
cultural
Gareth's Grill, a global fast-food chain, does not offer beef burgers in India, while it offers only kosher foods in Israel. The company has considered religious differences and attitudes while making these decisions. In this scenario, the company is taking into account each market's ________ variables.
cultural
The Nielsen Audio report for station KCBQ gives the ________ audience of people 18 to 49, or the estimated total number of different people who listened to a station for at least five minutes in a quarter-hour period, during the weekday morning daypart as 26,300.
cume
An automobile company creates an ad to launch a new bike. The ad makes claims that mislead viewers about product performance and durability. Based on the fact that the ad is untruthful, critics will classify this as ________ advertising.
deceptive
When a brand enters the ________ stage of the product life cycle, most of the promotional support will probably be removed and expenditures on sales promotion are unlikely.
decline
Income levels and employment rates of a country's population are determinants of its ________ environment.
demographic
Media objectives are
designed to lead to the attainment of communications and marketing goals.
International marketers consolidate their advertising with one agency in order to
develop a consistent global image for their company and/or its brands.
Which of the following is a major factor in the globalization of markets?
development of faster communication
A new form of public relations has evolved as the intersection between functions like social media and influencer marketing with traditional public relations activities. It is called
digital public relations.
Jacques received a letter from a charity organization seeking donations. The letter contained details about the charity organization, the benefits of donating, and a self-addressed envelope in which a check could be sent to the organization. Various toll-free numbers of the charitable organization were also provided for Jacques to seek further information. This scenario illustrates which of the following promotion techniques?
direct marketing
The various phone calls that consumers receive from credit card companies trying to market their credit cards are examples of a combination of
direct marketing and personal selling.
Michelle received mail from a fashion store announcing the launch of the end-of-season sale. The mail began with the headline, "Flat 50% off all merchandise," and subsequently invited her to participate in the "Fly to Paris for free" contest. This scenario illustrates which combination of promotional activities?
direct marketing and sales promotion
Which of the following is an advantage associated with digital/interactive advertising?
direct selling potential
Katherine saw a television commercial for a juicer. The commercial contained all essential details about product usage and flashed a toll-free number that viewers could call to order the product. This commercial is an example of
direct-response advertising.
The marginal analysis method is most suitable as a basis of budgeting for
direct-response advertising.
Customer Lifetime Value (CLTV) is a formula that is used to determine the ________ associated with a long-term customer.
dollar value
Which of the following allows for more specific tailoring of the message and more personal communications than most other media?
dyadic communication
The largest radio audiences (and thus the highest advertising rates) occur during the
early morning and late-afternoon drive times.
A large, well-known company influences a newspaper to publish articles that favor the use of its sugar-free products. This behavior is an example of ________.
economic censorship
In its advertising campaign, a charitable organization uses a photo of a small, malnourished child whose bones are clearly visible under his skin. In the photo, the child sits huddled in a fetal position. A vulture sits, waiting, in the background. Which of the following kinds of advertising appeal is the organization using?
emotional appeal
The bulletin board of Tales and You, a children's publishing company, contained an article that congratulated the organization for achieving 1 million sales and appreciated everyone for their efforts. This piece of public relations targeted the
employees of the firm.
A balance-of-trade deficit occurs when the monetary value of a country's exports exceeds that of its imports.
false
A disadvantage associated with a global marketing strategy is that it incurs high marketing costs for a company as a result of increases in planning and control.
false
According to David Ogilvy, two or more brands that are similar should indulge in preparation of elaborate ads explaining the differences between them in order to increase brand selection.
false
Advertising can always make consumers buy a particular brand, even if it is priced higher than a competing brand.
false
All ads that use sexual appeals in the form of suggestiveness and/or nudity are considered deceptive advertising.
false
An advantage associated with magazine advertising is the short lead time for placing ads.
false
By combining media, marketers decrease the likelihood of achieving overall communications and marketing goals.
false
Combining personal selling and direct marketing results in increased costs for the seller.
false
Complete decentralization of the international advertising and promotion functions is suitable when a company desires a consistent image worldwide.
false
Data on a country's economic environment can help companies plan ad campaigns by providing insight into the living standards and lifestyles of its people.
false
Direct-response advertising is one type of advertising that evaluates its effectiveness on the basis of sales.
false
Jane was asked to survey 10,000 people in Chicago in order to find out how many of them liked Dwayne Carter's performance in the movie Fatal Upheaval. After the study, she concluded that only 33 percent of the people knew who Dwayne Carter was. Here, the 33 percent indicates the
familiarity score.
An ad campaign for road safety showed a coconut being crushed severely after being struck by a hammer. It aims to emphasize the importance of wearing a helmet while riding a motorcycle. Which of the following was used in the ad in order to evoke a favorable response?
fear appeal
Customers often perceive ads of certain types to be distasteful or irritating. According to surveys, which of the following products' advertisements would most likely be irritating to viewers?
feminine hygiene products
Salespeople are taking on more roles in their efforts to drive sales and a deeper relationship with their clients. Which role involves engaging customers and driving them to commit to a solution?
fire starting
TellMe, a marketing research organization, conducted a study on a group of 10 customers, all of whom had used Shield refrigerators. Through this study, the company found out that Shield refrigerators were thought to be overpriced but gave excellent service. Some customers felt that the cooling system could be improved. Which type of study did TellMe conduct?
focus group study
Which of the following is a reason for the increase in the importance of sales promotion?
fragmentation of consumer market
Cheery Inc. offers a free toy inside every $1 pack of Cheery Creamy Chips. Which promotional method is the company using in this scenario?
free premium
Billy is watching the live broadcast of a tennis match on cable television. In a span of three hours, an ad for Argon shoes is aired eight times during the commercial breaks. The number of times Billy views the ad for Argon shoes denotes the
frequency
Zest & Taste Corp. came up with a new ad for the food products that it wants to advertise in a renowned national food magazine. However, the ad created by its creative team was way larger than the normal page size specified by the magazine publisher. Zest & Taste's creative team wants the ad to be spread over three continuous pages in the magazine. This could be done with the use of
gatefolds.
Most companies prepare annual reports to
generate more investments.
One of the advantages of outdoor media is its
geographic flexibility.
Mars Inc., a premium cosmetics company, takes out ads in the Philadelphia, Boston, and Seattle editions of PlutoMag, a national magazine. With these ads, Mars is trying to achieve
geographic selectivity.
Pree uses sales promotions and promotional dollars to stress how her brand is different from competitive brands and to keep her brand in consumers' minds. Based on her approach, at what stage of the product life cycle is Pree's brand?
growth
Among the new sales force roles described by Hoffberg and Corcoran, in which role do salespeople identify problems and opportunities for customers, offering options and solutions?
guiding
Jim is asked to view an ad and rate it according to its creativity, effectiveness, and information dissemination capability. Jim rates the ad as good based on its creativity alone, while ignoring the effectiveness and information dissemination components. However, the ad is considered to be ineffective due to its poor information dissemination capability. This scenario is an illustration of the
halo effect.
Brand Development Index (BDI)
helps marketers factor the rate of product usage by geographic area into the decision process BDI = % OF BRAND TO TOTAL USE SALES / % OF TOTAL US POP X 100
Newspapers and magazines are often referred to as ________ media.
high-involvement
Anne, a student, purchases most products endorsed by Reese Perry, a popular celebrity. She had also adopted the way Reese dresses and styles her own image after Reese. However, Anne developed a negative feeling toward Reese after learning that she has been involved in an insurance scam. Subsequently, she also stopped purchasing any products endorsed by Reese. Which of the following persuasion processes is indicative of Anne's behavior?
identification
After working through the night on their client's challenge, Marla and her team have a "Eureka!" moment that births an idea. They are in the ________ stage of the creative process.
illumination
Mars Inc., a tobacco company, popularized the idea of smoking cigarettes by using the image of a biker in its ads. Subsequently, the company created a "macho-man" image and launched ads that featured slogans such as "Only real men smoke Mars cigarettes." In this scenario, Mars Inc. used a(n)
image advertising strategy.
A long-running television ad for Bedazzle Mascara is aired on various radio channels in the United States. The radio ad makes use of the audio portion of the television commercial. This process of converting a television commercial into a radio ad is known as
image transfer.
A recent print ad for Venus Shoes featured pictures of sports shoes in various colors along with the tagline "Let's run." Which of the following advertising execution styles did Venus use?
imagery
Tia sees ads for "Betty's Butter" on the shopping carts at Windford, a retail outlet. This is an example of ________ advertising.
in-store
Which of the following is an argument for measuring the effectiveness of a promotional program?
increased efficiency
Successful public relations efforts may indirectly lead to
increased friendliness.
Which of the following is a disadvantage of the Internet?
increased user irritation due to clutter
A brand manager views the purpose of advertising as __________, whereas a copyeditor views the purpose of advertising to be ______________
increasing sales, winning awards.
After watching an ad in which Dean Douglas, a popular movie actor, endorses Scandium laptops, Leslie, a big fan, believes that Dean endorse only reliable products. She immediately purchases a Scandium laptop and is confident that Scandium is the world's number one laptop manufacturer, as Dean had claimed in the ad. Her purchase is the result of a process known as
internalization.
Macy noticed that each time she began downloading videos of Tunnel Vision, a TV soap opera, ads would appear on her computer screen. These ads are examples of
interstitials.
Category Development Index (CDI)
is computed in the same manner as the BDI, except it uses information regarding the product category CDI = % OF PRODUCT TOTAL SALES IN MARKET / % OF TOTAL US POP X 100
An advantage of the Internet is
its availability as an information source.
Which term means a catchy song about a product or service that usually carries the advertising theme and a simple message?
jingle
Sunshine Sundries is working with Success Advertising to consider adding television commercials to their integrated marketing communication plan. One of the board members is skeptical, as recording devices have made it easier for audiences to skip the commercials. Success Advertising acknowledged this concern, but also emphasized that the remaining audience may be affected by heavy repetition as well as the catchy slogans and
jingles.
A small-town automobile dealer wants to market and advertise its deals in the neighborhoods within a 20-mile radius. The dealer has a limited advertising budget. Which of the following types of advertisings would best suit the dealer's purpose?
local advertising
Which of the following is a disadvantage associated with using an outdoor advertising medium?
local restrictions
Pacifix Inc., a cell phone manufacturer, has launched a new smartphone. The company wants to communicate detailed information about the smartphone's specifications to its target audience. It also wishes to enable the audience to process the ad information at their own rate. Which of the following media should Pacifix use to convey the desired information?
magazines
A budgeting technique used by Sum Company is profits equal gross margin minus advertising expenditures. This method is known as
marginal analysis.
One of the objectives set by Halo, a manufacturer of food products, was "to introduce our new flavored milk, Milkola, and capture 10 percent of the total demand within one year." This is an example of a ________ objective.
marketing
An important function in an IMC program may include public relations for corporate image advertising or publicity management. Public relations is designed to promote the organization as well as products and services; it is less philanthropic and more
marketing oriented.
Mary was asked to go through the press releases and other PR activities related to the launch of Pluto Corporation's new phone. She was then asked to determine the trends and perceptions relating to the product. Which of the following methods of measuring the effectiveness of marketing public relations is being employed here?
media content analysis
Bridge Link Inc., a telecommunications corporation, relies heavily on broadcast media for conveying its messages to specific target audiences. It can be said that Bridge Link uses broadcast media as its ________ for delivering its messages to the audience.
medium
The two-step approach may involve more than one _______ and has a separate screening/qualifying step.
medium
Success Advertising is creating a radio commercial for Sunshine Sundries. Because the commercial will run several times a day and to stay in budget, they selected music from a prefabricated, multipurpose play list that will be paid for on a one-time basis. Success Advertising has chosen to use a
needledrop.
Bea Inc. manufactures a new soap called "Honeydew," targeted specially toward people with sensitive skin. Which of the following types of advertising appeals should Bea use to announce the launch of the soap?
news appeal
The Internet is an interactive medium. This means that consumers can
not only control the content they are exposed to but also provide their own content.
Jezebel is running a consumer-oriented sales promotion that provides free access to her company's razors, as well as a coupon for a discount off of the cartridges. What is the goal of this promotion?
obtaining trial and repurchase
After it attained commercial success, the popular network sitcom HouseFull was purchased by individual stations to be rerun in Harrisburg, New York, and San Diego. This is an example of
off-network syndication.
An Acura ILX advertisement focuses on the positive attributes and benefits associated with the car. This is an example of a
one-sided message.
Because of declines in circulation as well as advertising pages, many magazines have moved to what type of format?
online
When Robert includes elements in his clients' advertising campaigns that are rare, surprising, or move away from the obvious or commonplace, he is changing the ________ factor of divergence.
originality
Camilla is a consultant at Mesmeric Inc., a cosmetics manufacturer. She frequently hosts social events at her friends' homes where she invites groups of people and demonstrates the uses of Mesmeric's products. She explains the proper product usage by applying it on herself. Which form of direct marketing is illustrated in this scenario?
party plan
Isabella Cosmetics, a global cosmetics brand, uses the same ad copy and tagline for its ads across various countries but changes the models used for different countries to appeal to the women in those countries. This is an example of ________ advertising.
pattern
A media planner wants to determine the percentage of the total sales of peanuts in the South Atlantic region relative to the total population in the market in order to determine the market potential for peanuts. Which of the following indices can best serve the media planner's purpose?
the category development index
A particular advertisement for a men's cologne was found to be more effective as a magazine ad than as a TV commercial when it was exposed to a group of 10 people. This phenomenon is explained by
the vehicle option source effect.
For e-commerce marketers, a prime indicator of the Internet's effectiveness is
the volume of sales generated.
GC Inc., a toothpaste manufacturer, launches an ad campaign that portrays the idea that using GC's CloseUp toothpaste increases a person's attractiveness and he/she becomes more "kissable." In this ad, GC uses
transformational advertising.
One of the main disadvantages of the percentage-of-sales method of promotional budgeting is that it
treats advertising as an expense.
A major selling idea should emerge as the strongest singular thing you can say about your product or service and should stand strong enough to remain the central issue in every ad and commercial in the campaign.
true
A minute on network radio may cost only $5,000, which translates into a cost per thousand of only $3 or $4.
true
A poor creative strategy could lead to the marketing failure of an excellent product.
true
A print ad that appears in Car and Driver magazine contains details of the advertised car's body, structure, mileage, etc. It employs a rational appeal.
true
Advertising appeals and executions are usually independent of each other.
true
Both the message and the means by which it is communicated are bases for evaluation.
true
Companies sponsor programs to gain more control over the shows carrying their commercials.
true
In a split-run test, ads are printed in alternate copies of the same issue of a magazine and then the response to each is measured to see which one generates more inquiries.
true
In personal selling, salespeople may alter the marketing message in ways the marketer did not intend.
true
PACT Principle 3, providing multiple measurements, can often be done by budgeting to make sure more than one test is conducted.
true
Personal selling differs from other forms of communication in that messages flow from a sender to a receiver directly.
true
Public relations is concerned with people's attitudes toward a firm or specific issues beyond those directed at a product or service.
true
Survey research involves quantitatively assessing consumers' attitudes toward the product or brand.
true
The NAD, CARU, ERSP, and the Online Interest-Based Advertising Accountability Program are staffed primarily by attorneys.
true
The Protestant ethic views the accumulation of material possessions as evidence of success.
true
The U.S. Postal Service has control over advertising involving the use of the mail and ads that involve lotteries, obscenity, or fraud.
true
The ad for the Mach3 Sensitive razor that suggests it will make your lady love your face even more is an example of a straight-sell advertising execution.
true
The belief that advertising equals market power views advertising as a way to change consumers' tastes, lower their sensitivity to price, and build brand loyalty among buyers of advertised brands.
true
The media situation analysis should lead to determination of specific media objectives.
true
The press forms a part of the external audience for all the public relations activities of a manufacturing firm.
true
The spread of cable and satellite TV has led to the growth of sales promotion activities in international markets.
true
To be effective, marketing objectives must be quantifiable, realistic, and attainable.
true
When Dell uses advertising, direct marketing, sales promotion, and the Internet to create awareness that Dell is interested in companies' business, it is positioning the company as a solutions provider to assist and enhance the sales force's efforts.
true
A celebrity endorser of a car states in the ad, "I can tell you that there is a strong likelihood that our product will cost more than our competitors' products. Our costs are high because we ensure that our parts are of the highest quality and this guarantees a superior driving experience." This is an example of a
two-sided message.
Innovation Marketers is helping Sum Company in their planning process by establishing communication objectives. Sum Company wants to make sure the budget limitations are also included, showing ________ between the communication analysis and determining the budget.
two-way interaction
An ad for Rochelle Cilium mascara has been placed on two prime-time shows—Blurred Lines and The Other Side. The total number of TV audience viewers exposed once to the ad in this case is referred to as
unduplicated reach.
Intel recently approached many customers and individuals chosen at random to participate in making its ads. People were asked to sing the Intel jingle in their own unique style. Those interested could also create their ads personally and post them on the Intel website, some of which were also aired on television. In this scenario, Intel used
user-generated advertising.
The creative department of Beautiful You, a cosmetic company, directed its research organization to conduct a focus group study to determine the "likability" of its creative ideas and themes. It also requested empirical data on customer attitudes toward its recently developed slogan, "Love the skin you are in" that was developed by the company. In which stage of the creative process is Beautiful You likely to be?
verification
Which of the following is an advantage of outdoor advertising?
wide coverage of local markets
Alice regularly watches a TV show that airs between 8:00 and 9:00 P.M. During the commercial breaks, she switches channels in order to watch music videos. This practice is known as
zapping
Henry records all the episodes of a well-known soap opera because the show airs while he is at work. When he watches the recorded episodes, he usually fast-forwards through the commercials. This practice is known as
zipping.
