BA 370: Chapter 11
Which of the following is the best example of a convenience product/service?
Gasoline -When consumers need gasoline, they usually do not shop around or go out of their way to buy it.
Brand awareness is MOST likely to influence purchasing decisions for which type of product?
Goods purchased frequently habitually
_______products/services are those such as an Apple iPhone, a Harley-Davidson motorcycle, or a Starbucks latte for which the consumer shows a fairly strong preference and loyalty and will go out of the way to find that specific brand.
Specialty
When consumers experience brand loyalty, which feeling do they associate with the brand?
Trust
How do marketers begin the process of developing or changing a product?
Using the core customer value to determine customer interests
Brand-loyal consumers provide an important source of ______ for firms.
Value
Good marketing increases perceived_________by raising cutomers quality expectations related to price.
Value
When K-Mart paid Martha Stewart (famous for her business related to lifestyle and the home) a fee in return for permission to introduce a line of towels and other housewares bearing Stewart's name, it was an example of ______.
brand licensing
A strong brand protects firms from which of the following?
New products offering similar features or benefits An existing competitor lowering prices
What are the four aspects analysts examine to evaluate brand equity?
Perceived value Brand loyalty Brand awareness Brand associations
Firms decrease depth to do which of the following? (Choose every correct answer.)
Refocus marketing efforts on profitable items Eliminate unprofitable items
________products/services are typically consumer durables, such as a dryer or a refrigerator. Buyers spend a fair amount of effort and time to make the comparisons before purchasing and usually do not know which one or which brand they will buy in advance of the process.
Shopping
Which traits are true of ALL products? (Choose every correct answer.)
Something that a customer values Offered through a marketing exchange
Strong brand acceptance for Reese's peanut butter candies among consumers would probably ______ Reese's Peanut Butter when competing with Jif and Skippy.
be transferred to -Since consumers already know the Reese's brand, they would bring those associations to the new product.
Suppose that Toyota introduced a small, inexpensive car under its Lexus brand. This action might harm consumers' current luxury-oriented brand associations for the Lexus brand. This is an example of ______, a risk companies face when adding a new product to an existing brand.
brand dilution
When a brand extension adversely affects consumer perceptions about the core brand, it is known as ______.
brand dilution
When a firm sells all its products under one ______, such as Pepperidge Farm, the individual brands benefit from the overall brand awareness associated with it.
family brand
Because a brand name is already well established, a firm can spend ______ resources to develop consumer brand awareness when introducing a brand extension.
fewer
Since brands are easily recognized by consumers and signify a certain quality level to buyers, brands ______.
help consumers to make quick decisions
Firms add items to their product lines to address changing consumer preferences. For example, an ice cream company might add low-fat offerings to its existing ice cream flavors. This is an example of ______.
increasing depth -Adding new flavors or varieties of ice cream (product item) to its overall product line (ice cream) increases the product depth.
A firm's product line depth is the number of ______ within a product line, as opposed to the number of product lines a firm has.
items
The component of the product package that provides the information consumers need to make their purchase decisions and for proper consumption of the product is known as the ______.
label
The use of the same brand name within the same product line is called a(n) ______.
line extension
A product mix typically consists of product ______, or groups of associated items.
lines
The majority of the brands marketed in the United States are ______ brands.
manufacturer
Product lines are a part of a product ______.
mix
The complete set of all products and product lines offered by a firm is called its product assortment, or product
mix
The product ______ is the complete set of all products and services offered by a firm.
mix
Manufacturer brands such as Nike and Coca-Cola are also known as ______ brands.
national -Manufacturer brands and national brands are the same thing.
The element of a product that is used both to physically protect and to market the item is the ______.
packaging
From the customer's perspective, the relationship between a product's or service's benefits and costs is called ______.
perceived value
Geico Insurance uses characters like the gecko and humorous associations with ______ emotions to reinforce the brand.
positive
The packaging that the consumer uses is known as the ______ package. Multiple choice question.
primary
People prefer that the_____________package on their products is convenient in terms of storage, use, and consumption.
primmary
Another name for a store brand is a(n) ______ brand
private-label
A__________is something that a customer values and that can be bought or sold voluntarily.
product, good or service
Brand repositioning is also known as ______.
rebranding
A brand, such as T-Mobile, can build awareness through ______ exposure to the brand's logo, symbols, and slogans.
repeated
Manufacturers tend to manage their own brands because it allows them to ______.
retain control over their marketing strategies -Control is the main reason manufacturers own the brands they market.
A product's exterior wrapper or exterior carton that contains additional product information is known as the ______ package.
secondary
The_________packaging is the exterior wrapper that contains the product as well as the UPC label used by retailers.
secondary
Jack and his wife were in need of a new a mattress. They compared mattresses at a few local stores, learning about different brands, before making a purchase. In Jack's case, a mattress is most likely a(n) ______ product.
shopping
Debbie is considering having Botox treatments and knows it is a very serious process. On the advice of three of her friends who have each visited Dr. Parsons several times in the past two years for Botox treatments, Debbie makes an appointment with Parsons. She considers the selection to be a(n) ______ good/service. Multiple choice question.
specialty
Brands are typically legally protected through ______.
trademarks and copyrights Trademarks and copyrights are the legal mechanisms used to protect brands.
Licensing is an effective way for a brand to improve its ______.
visibility Having other products emblazoned with a company's brand increases its exposure.
Which of the following are advantages to firms of owning their own brands?
-Ability to create brand equity -Choice of market segments and positioning -Control over marketing strategy
Manufacturer's Brand Retailer/Store Brand
-Also known as national brands, have famous manufacturers such as: Coca-Cola and Nike -Also known as private-label brands, sold exclusively by the retailer
Which products commonly use brand licensing?
-Apparel -Video games -Toys
Firms decrease depth to do which of the following?
-Eliminate unprofitable items -Refocus marketing efforts on profitable items
When Frito-Lay decided to introduce a salsa product line, it used the existing Tostitos brand (under which it sells taco chips). What advantages did this strategy provide Frito-Lay?
-The Tostitos brand already had brand associations that helped to sell salsa. -Frito-Lay could spend less on developing consumer brand awareness. -Frito-Lay could introduce the product to the market more quickly.
What are the common forms of royalty payments in brand licensing?
-Up-front, lump-sum licensing fees -Payments based on the value of licensed merchandise sales
Place these three steps marketers follow to develop or change a product into the correct order, with the first step at the top and the last step at the bottom.
1. using core customer value to determine what customers are seeking 2. making an actual physical product 3. adding associated services
What does a brand need in order to be somewhat protected from competition from other firms and price competition?
A loyal customer base An established track record in the market
Which of the following is an example of a brand extension?
Acme chips and Acme dips -If Acme is known for making chips, adding a dip under the same brand name is known as a brand extension.
If a firm decides to increase the depth of its offerings to address consumer preferences, what will it do?
Add items to its product line -The more items in a single product line, the more depth the product line has.
Which of the following are included in the ideas for sustainable packaging?
Adding recycled materials to packaging Using returnable packaging Using 3D printing
Which of the following are roles played by packaging?
Adjusting product sizes for different markets Differentiating a product from competitors Promoting product features or changes
Which of the following are examples of CRM programs?
Advance notice of sale items Invitations to the company's special events Points that can be turned in for discounts
Examples of communication media that firms use to create brand awareness include which of the following?
Advertising Publicity
What does a brand need in order to be somewhat protected from competition from other firms and price competition?
An established track record in the market A loyal customer base
Which of the following is NOT one of the categories of consumer products that buyers use for their personal use? -Specialty products -Shopping products -Convenience products -Associated products
Associated products
Marketers can assess the level of brand ______ by measuring the extent to which consumers in a market are familiar with a brand, know what it stands for, and have an opinion about it.
Awareness
If a brand has a high degree of brand_____________it means that most consumers are familiar with the brand and what it stands for even if they do not use the brand.
Awareness or recognition
The set of assets and liabilities linked to a brand that add to or subtract from the value provided by a product or service is________equity.
Brand
What can be determined by looking at brand awareness, perceived value, brand associations, and brand loyalty?
Brand Equity
Which of the following help to increase a brand's equity?
Brand awareness Customer loyalty Perceived value
Which branding strategy is popularly used with characters created in books and other media?
Brand licensing
A new clothing brand is struggling to gain market share due to consumers' lack of familiarity with the brand and concerns about the quality of its products. How could the company use co-branding to enhance consumers' perceptions?
By linking with a brand that is well known for its quality
Which of the following is a method firms use to create positive brand associations?
Catchy Jingles -Happy, catchy musical refrains help create positive associations with a brand.
Firms risk a significant amount of money when repositioning their products. Which of the following are expenses associated with repositioning?
Changing brand image through promotion Changing packaging
Which of the following is an example of product line extension?
Coke, in addition to its existing Diet Coke flavors, introduces chocolate-flavored Diet Coke. -Using the Coke name as part of the new product is a product line extension.
What are products that household buyers use for their own use called?
Consumer products
What makes the search for shopping goods different from the search for specialty goods?.
Consumers are willing to consider alternative brands and features with shopping goods.
What must occur for the perceived value of a cheaper product to be high?
Consumers must believe the quality of the cheaper product is about the same as that of a premium product. -When customers think they are getting similar quality to a premium brand for a lower price, the perceived value of the lower-priced product is high.
What must occur for the perceived value of a cheaper product to be high?
Consumers must believe the quality of the cheaper product is about the same as that of a premium product. Reason: -Correct. When customers think they are getting similar quality to a premium brand for a lower price, the perceived value of the lower-priced product is high.
What is a product or service for which consumers usually expend no effort toward decision making?
Convenience product/service
Typically, who determines the product's or service's value in relationship to that of its close competitors?
Customers
Which of the following are risks of co-branding?
Customers for the two brands being too different Conflicts of interest between the co-brands
A cosmetics company has decided to eliminate several of its underperforming products to focus its energies on its most profitable items. What has the firm decided to do?
Decrease depth
A mobile phone manufacturer decides to eliminate its flip phone product line to focus on the more popular touchscreen products. What is this an example of?
Decreasing breadth
The risks associated with brand licensing include which of the following?
Diluting brand equity
After signing a number of licensing agreements to allow their characters to appear on clothing, toys, and video games, the makers of a popular television show saw viewership decline and consumer perceptions of the show start to fall. What is the most likely reason for this phenomenon?
Dilution of brand equity through overexposure
The value of a brand can be calculated and compared to other brands in the form of brand ______.
Equity
Which of the following are components of the actual product? (Choose every correct answer.)
Features/design Brand name
Which government agency is responsible for enforcing product labeling laws in the United States for consumer products? Multiple choice question.
Food and Drug Administration
What are some of the benefits a brand can receive from a licensing agreement?
Increased brand equity Additional revenues
Labels must comply with laws and regulations and must include which of the following? (Choose every correct answer.) Multiple select question.
Ingredients contained in the product Safety precautions
Which of the following are examples of CRM programs?
Invitations to the company's special events Points that can be turned in for discounts Advance notice of sale items
Some brands become so predominant in a particular product market that they become synonymous with the product itself over time. Which of the following brands is an example of this situation? Microwave Reason: Incorrect. A microwave is a type of kitchen accessory, not a brand. Computer Reason: Incorrect. A computer is not a brand name. It is a type of consumer good. Toyota Reason: Incorrect. Toyota is a brand of car, but it is not synonymous with cars in general. Someone who drives a Mazda will not say they drive a Toyota. Kleenex Reason: Correct. Many people say "Hand me a Kleenex" when they ask for any kind of facial tissue.
Klenex
Which of the following is a risk associated with repositioning a product?
Loss of funds invested in the repositioning effort
Which of the following is a negative consequence that can occur as a result of a brand becoming synonymous with an entire category of products (such as Kleenex or Band-Aid)?
Loss of trademark status -Correct. Once a brand name becomes synonymous with the product category, a company can lose its trademark.
Which of the following is a negative consequence that can occur as a result of a brand becoming synonymous with an entire category of products (such as Kleenex or Band-Aid)?
Loss of trademark status -Once a brand name becomes synonymous with the product category, a company can lose its trademark.
A person who buys the same brand's product or service repeatedly over other options demonstrates what is known as brand ______.
Loyalty -known if you buy a product habitually over time
Branding enables a firm to do which of the following?
Make consumers aware of available products Differentiate its product offerings
The majority of the brands marketed in the United States are ______ brands.
Manufacture
What are the two basic types of brand ownership strategies?
Manufacturer brands Retailer/store brands
Specialty Good- Shopping Good-
Specialty Good - Consumer spends lots of time and effort involved in searching, may compare alternatives and options, and consumer has a good idea of the brand he or she will buy in advance Shopping Good - Compares alternatives and consumer spends moderate amounts of time and effort deciding among products, features, and brands
The physical item to which marketers assign such attributes as the brand name, features/design, quality level, and packaging is ______.
The actual product
Which of the following describes the core customer value of a product?
The basic benefits consumers are seeking
If the makers of a luxury good with high consumer acceptance extend their brand name to a line of less expensive products such as clothing featuring the brand logo, what is the most likely result?
The brand acceptance will carry over to the new product.
Which of the following refers to the basic problem-solving benefits that consumers seek in a product?
The core customer value -Core customer refers to the aspects of a product that provide problem-solving benefits.
What is the most likely result of a co-branding effort between two brands that have completely different customers?
The entire effort will fail for both brands.
How does brand licensing work?
The licensee pays a royalty to the licensor in exchange for being able to use the licensor's brand.
How do brands improve consumers' shopping experience? (Choose every correct answer.)
They help shoppers distinguish between similar products. They indicate a certain level of quality. They make it easier to decide which products to buy.
True or False: Brands are sold either under a common/family name or as an individual brand.
True
True or False: Trademarks and copyrights are legal ways to protect brands from being used by others.
True
When can brand extensions increase overall sales for a firm?
When the original brand and the extension are complementary products
Co-branding can enhance consumer perceptions of product quality by linking ______.
a brand to an existing well-known quality brand
The mental link customers make between a brand and its key product attributes is known as brand ______.
association
The mental link customers make between a brand and its key product attributes is known as brand ______.
association -This refers to how consumers perceive a brand and the emotions they associate with it.
One consumer research exercise asks consumers to say the first things that occur to them when they hear a brand name. For example, for the brand "Coca-Cola," someone might respond, "Red and white cans, sweet, carbonated." These are examples of brand ______.
associations -Correct. The qualities and characteristics consumers associate with brands are known as brand associations.
A contractual arrangement between firms where one firm allows another to use its brand name, logo, symbols, and/or characters in exchange for a negotiated fee is called ______.
brand licensing -Brand licensing occurs when one company pays another for the right to use its brand name or logo.
The strategy in which marketers change a brand's focus to target new markets, or realign the brand with changing market preferences, is known as ______.
brand repositioning
Consumer packaged goods companies sell products across many different product lines. These companies have significant ______ in their product mixes.
breadth
A firm's product mix _____ represents the number of product lines offered by the firm.
breadth Breadth refers to the number of product lines contained in the product mix.
Firms are willing to spend lots of money, such as on very expensive Super Bowl ads, to market a brand in order to ______.
build brand awareness -Super Bowl ads reach many millions of viewers, and as such they contribute greatly to brand awareness.
Marketers invest in developing a strong brand identity to help establish ______.
buyer loyalty -Over time, consumers learn to trust brands that deliver consistent quality.
if a company's products are too closely related, sales of one brand may___________or take away sales from the other brand, with no net sales, profit, or market share increase.
cannablize
What is the term used when a company's products are so closely related that sales of one brand take away sales from the other brand?
cannibalization
The practice of marketing two or more brands together on the same package or promotion is known as ______.
co-branding -Promoting two brands together at the same time is known as co-branding.
One of Taco Bell's most successful new products has been its "Doritos Locos Tacos," tacos with shells in the flavors of Doritos taco chip varieties. This is an example of ______.
co-branding -The use of two brands, Doritos and Taco Bell, to create an enhanced product is an example of co-branding.
Because they include information such as ingredients, nutrition, and the product benefits to a consumer, labels can be considered ______ tools.
communication
Brand extensions for _____ products, such as the Barbie car sold to be used with a Barbie doll, can increase sales.
complementary
Firms reward loyal customers through ______ programs.
customer relationship management
A firm can delete entire product lines to address changing market conditions; this is also known as ______.
decreasing breadth
A firm can delete entire product lines to address changing market conditions; this is also known as ______.
decreasing breadth -Decreasing breadth would mean eliminating entire product lines.
The number of products within a product line is a firm's product line ______.
depth
Branding provides a way for a firm to ______ its product offerings from those of its competitors.
differentiate
Brands are assets that a firm can build and harness over time to increase its ______.
equity -Brand equity functions as an asset for a firm.
The use of an existing brand name in a different product line is called brand ______.
extension
Apple sells the majority of products under its Apple name brand. This is known as a(n)______ brand.
family
Kellogg's sells a variety of products under its Kellogg's name brand then identifies groups of products with a secondary name such as Raisin Bran or Froot Loops, each in several sizes and versions. Froot Loops is known as a(n) ______ brand.
family