Exam 4 - Chapter 16
Encoding is the process by which a receiver takes the coded message received from the source and converts it into ideas and concepts.
False
Product placement is illegal in all countries outside of the United States.
False
Viral marketing is an attempt to incite publicity and public excitement surrounding a product through a creative event.
False
While the specific communication vehicles employed in promotion have not changed, the fundamental role of promotion is changing.
False
You are meeting with the head of a consumer advocacy group that claims your firm's promotion activities are causing food prices to rise. Naturally, you disagree with this claim, and you are meeting with this individual to make your case. Which of the following statements would be a strong defense against this advocacy group's claim?
Promotion can help keep prices lower by facilitating price competition.
Which of the following is a major goal of integrated marketing communications?
To send a consistent message to consumers.
Which of the following is the best example of noise that originates with the receiver in the communication process?
Tony checks his e-mail when the television commercial break begins.
A promotion mix is a blend of four possible ingredients, which are advertising, personal selling, public relations, and sales promotion.
True
Firms that link the purchase of their product to philanthropic efforts practice cause-related marketing.
True
One reason that promotion suffers from widespread criticism is that promotional efforts are highly visible and affect our everyday lives.
True
Which of the following is the best example of the promotional objective of combating competitive promotional efforts?
When McDonald's advertises that it has the best fries based on the number of fries sold, Burger King advertises it has the best fries based on taste tests.
You are leading a meeting of your marketing team where you are deciding on the promotion mix for your flagship product. You are working your way through the various factors that should be considered when determining an appropriate promotion mix. You are currently focused on the characteristics of your target market. Because of the nature of your product, your target market represents millions of potential customers. Which of the following best describes the appropriate promotion mix for your product?
Your promotion mix should emphasize advertising and sales promotion.
Tombstone Pizza is planning on starting a new online advertising campaign to reach consumers where they will develop banner ads and increase their social media presence. They also plan on increasing their spending on personal selling with its wholesalers. Tombstone is using _____ with the online campaign and _____ with the increase in personal selling.
a pull policy; a push policy
Ralph Lauren is planning a promotion where it will showcase all of its clothing lines to buyers at retail stores. It also plans to develop a direct marketing campaign that will use social media to introduce its new seasonal styles. Ralph Lauren is using ___ with the retail showcase and ___ with the social media campaign.
a push policy; a pull policy.
Generally, companies whose customers are numerous and geographically dispersed will find promotion mixes featuring _____ to be more practical.
advertising
Leo is working on finalizing the promotion plan for his company's line of air fresheners. They plan on using a nonpersonal communication method that will use a mass medium for transmission to the target audience. Leo's company is using _____ as its promotion method.
advertising
One of the problems associated with _____ is that it is often difficult to measure its effect on sales.
advertising
Paula is working on a promotional program for her company's line of designer dog collars. Her company needs to promote the dog collars to pet owners, so she is likely to use _____ because it reaches a vast number of people at a low cost per person.
advertising
Promotions help consumers because they
allow customers to make more intelligent buying decisions
Kellogg's uses a promotional program that incorporates both pull and push policies. Kellogg's will most likely use _____ for the push policy and _____ for the pull policy.
an allowance to retailers for promoting the cereals; advertisements to the customer
In its commercials, the mattress company Sealy focuses on the comfort and quality of its brand of mattress. This advertisement is best described as being designed to
build selective demand
Target gives a portion of its profits to local organizations. This is an example of
cause-related marketing
Aaron is in charge of advertising for his company and he has designed a magazine ad to promote one of his company's new products. When he shares the ad with his manager, the manager tells him that the ad has too much visual information. The manager is concerned with the _____ of the receiver.
channel capacity
Mary is currently working on updating her company's website, incorporating signs and symbols that will help represent the ideas that the company is trying to express. Mary is most likely working on the _____ for the website.
coding process
ClearView Windows sends out postcards containing an advertisement and a coupon to potential residential customers. This is part of the _____ component of the communication process.
communication channel
In order to increase sales of its fishing poles, Corinthian Fishing Supplies launched a social media campaign. After the campaign ended, Corinthian learned through marketing research that most of its target market is not active on social media and instead visit fishing websites. The promotion program suffered from an error in the selection of
communication channel
The Barrister's Deli decides to run advertisements for its lunch specials on a local FM radio station. Marketing research later reveals that the restaurant's target market listens primarily to satellite radio stations. This promotion program suffered from an error in the selection of ____________.
communication channel
A minor league baseball team communicates to its target market by advertising on local television and radio stations, in local newspapers, on its own website, through postings on social media, and on banner ads. These vehicles through which the baseball team transmits its coded messages to potential customers are called
communication channels
The Internet, mobile apps, and billboards are all considered
communication channels
If Lay's introduces a new line extension of its famous potato chips, it is likely going to engage in promotions that focus on _____ in order to have customers start the product adoption process.
creating awareness
A commercial for a piece of exercise equipment says that customers can become fit like the models in the commercial if they use the equipment but does not disclose that the models were already in shape before using the equipment. This could be considered _____ advertising.
deceptive
In the ____, concepts and ideas are converted into signs or symbols by the source.
encoding process
You work for a company that has just launched a new line of juice drinks. Customers are aware of the product, but have not decided to purchase your company's brand of juice. You decide to give out free samples in grocery stores in an attempt to
encourage product trial
If children and teenagers are insisting on wearing expensive name-brand apparel, a criticism of promotion can be made that promotion __________.
encourages materialism
Various food products for sale at Costco are offered as small portions for consumers to taste while shopping in the store. These efforts have a primary promotional objective of
encouraging product trial
When Birds Eye introduced its Steamfresh line of microwaveable frozen vegetables, it likely gave incentives to grocery stores to purchase the product. This effort was primarily designed to
facilitate reseller support
When Kroger mails out a circular that advertises its upcoming sales, the cost of the circular is partially paid for by manufacturers that are included in the advertisements. The manufacturers are helping pay for the advertising expenses as a way to
facilitate reseller support
If a pull policy is used in promoting a product, the producer promotes the product only to the next marketing institution down the channel.
false
Which of the following is not one of the disadvantages of using advertising as a promotion method?
high cost per person reached
A contractor who specializes in upgrading kitchens has a table set up at the county fair where he offers people a free estimate in exchange for their contact information. This promotional effort is directed at
identifying products
A car dealership airs a television ad in which it tells customers to visit their website to sign up for special offers. This ad has the primary objective of
identifying prospects
Bowflex uses infomercials to demonstrate its fitness products and encourage customers to call and receive a free video with more information about its products. This promotional effort is directed at ____________.
identifying prospects
Promotions can lead to increased prices
if they do not stimulate demand
Effective management of integrated marketing communications is based upon ___________.
information about customers
Chris sees a television commercial for Arby's promoting its roast beef sandwiches at 5 for $5.95. Later that day he goes to the nearest Arby's for a roast beef feast, but is told that the special offer is not available at that location. Arby's seems to lack ___________.
integrated marketing communications
In an effort to practice _____, Gammons International is hiring an external marketing company to handle its marketing efforts. These efforts will include advertising, public relations, and sales promotions.
integrated marketing communications
The coordination of promotion and other marketing efforts for maximum informational and persuasive impact defines
integrated marketing communications
The use of advertising to create awareness for a product is most likely to occur in which stage of the product life cycle?
introduction
An advertisement is more likely to be unintentionally deceptive if it
is directed at children
As they walk to the car, Erin tells her sales representative, Joachin, that they may need to modify the price structure they just presented to the prospect. Erin bases her statement on the way the prospect folded his arms when Joachin quoted him the prices on the new system. Joachin says he didn't notice. Erin recommends a book on ____ communication to Joachin.
kinesic
Sam is meeting with a purchasing agent about an order for his company's forklifts. As he is describing the features of the newest version, the purchasing agent nods her head to signal that she understands the features. Sam does not notice the ____ communication the purchasing agent is sending and goes into more detail about the new features.
kinesic
Carlos is listening to the radio while driving with his kids in the back seat. During the commercial break, one of the children repeatedly asks Carlos if they have arrived at their destination. The child's questions would be considered _____ in the communication process.
noise
While watching a television commercial, Chloe receives a text message from her friend and responds immediately. This is an example of _____ in the communication process.
noise
Proxemic communication is an element of which form of promotion method?
personal selling
The use of a push policy may require heavy expenditures for
personal selling
Tiffany is planning a promotion plan for Owens Corning, which manufactures fiberglass insulation. Her company is trying to promote the insulation to home builders to use in the building of new residential homes. She is most likely to recommend _____ because it allows marketers to adjust their message to improve communication. One downside is that it costs _____ than advertising to reach one customer.
personal selling; more
Michael is planning a promotional program for AirFam. AirFam is a supplier of new energy-saving engines used to produce air conditioners. His company needs to promote these engines to manufacturers of air conditioners, so he is most likely to use ___, because it provides immediate feedback. The disadvantage is that it is _____ than advertising to reach one customer.
personal selling; more costly
Word-of-mouth communications are most effective for _______________ products.
personal services
Rob is working on the promotional plan for a new bicycle helmet that has added technology to sense when a bicycler has fallen and has a head injury. The technology then releases an audible signal that will help others know that there is an injury that needs treatment. This is considered to be a new product that is in the introduction stage of the product life cycle. Which type of promotion should Rob focus on?
pioneer
Tony is on the marketing team for a new line of self-heating soups designed for mountain climbers. The soups come in a convenient pouch that hooks on to a mountain climber's gear and collapses for easy storage when empty. The product is considered a new product in the introductory stage of the product life cycle. What type of promotion should the marketing team focus on?
pioneer
When tablet computers were first introduced to the market, which of the following would have been the logical choice for promotion?
pioneer promotion
When flat-screen televisions were first introduced, manufacturers tried to increase customer awareness of the new product by using _____ to build _____.
pioneer promotion; primary demand
The strategic location of products or product promotions within entertainment media content to reach the product's target market.
placement
Government officials and consumer groups suggest products that ______ should not be promoted.
potentially have harmful effects
The National Cattlemen's Beef Association tries to generate _____ by airing advertisements with the slogan "Beef: It's What's for Dinner."
primary demand
In episodes of American Idol, the judges drink out of cups featuring the Coca-Cola logo. The promotion strategy being used by Coca-Cola.
product placement
In many television shows and movies, you will see characters using Apple computers and laptops during the show. This promotion strategy is called _________.
product placement
Suppose that Samsung has decided to contract with the producers of The Avengers to have characters in the movie exclusively use Samsung tablets and smartphones. This would best be an example of
product placement
You are the marketing manager for a soft drink manufacturer. You recommend that the company should try to get the actors and actresses in television shows to drink its products. What type of promotion activity are you suggesting with your idea?
product placement
For her sixteenth birthday, Josie has asked her parents for a new handbag from Coach. She insists that she must have a Coach bag, which has a high price and recognizable brand name. This insistence on the Coach brand supports the criticism of promotion that
promotion encourages materialism
While in a sales meeting, Andre notices that the customer he is speaking to takes a step backward during the conversation. Feeling that the customer is disinterested in his sales pitch, Andre changes his approach to make the conversation more interesting to the customer. Andre is paying attention to ____ communication from the customer.
proxemic
Apple regularly holds events where the company CEO announces the latest products in front of a large group of stakeholders. This type of event is best categorized under which of the following types of promotion?
public relations
When a company is trying to communicate with its suppliers, employees, stockholders, the media, potential investors, government officials, and society in general, it is important to use
public relations
When Glade introduced its Wax Melts line of air fresheners, if it offered coupons available in the newspaper that consumers would then take to their favorite stores, this would be an example of a _____ policy.
pull
Jack is watching television when an infomercial for a vacuum cleaner begins. As he watches the infomercial, he sees the power of the vacuum being demonstrated. In this case, Jack is the _____ and the company selling the vacuum cleaner is the _____.
receiver ; source
A bed and breakfast inn holds crafting getaways where all of the people staying at the property are interested in the same activity. These getaways are typically done during the fall when fewer people typically visit. These getaways are designed to
reduce sales fluctuations
Promotional efforts designed to allow a manufacturer of a seasonal product to operate at peak efficiency year-round seek to
reduce sales fluctuations
The Colorado Tourism Office advertises that people can visit Colorado ski slopes and mountains for hiking, ziplining, and horseback riding during the summertime in an effort to
reduce sales fluctuations
What is the primary motivation when a retailer such as Home Depot offers a discount on lawn mowers in September and October?
reduce sales fluctuations
ValueCut has a Haircut Club that gives customers their eighth haircut for free after they have bought seven at regular price. The primary objective of this type of program is
retaining loyal customers
If an auto manufacturer creates an ad showing that the people in the car can feel secure in case of an accident, it is attempting to influence the customer's _____ need.
safety
You are working with a sales management consultant to improve your company's sales performance of its line of juices. You and the consultant agree your promotional activities should include a greater attempt at inducing trial of the products being sold. Based on this information, which of the elements of promotion should you emphasize more?
sales promotion
Each year, Doritos holds a contest for customers to create a commercial. The winning commercial, as decided by internet voters, airs during the Super Bowl. This contest is an example of Doritos using _____ for its promotion strategy.
sales promotions
In the weeks leading up to Thanksgiving, Butterball turkey may allocate more of its promotion budget to _____ in order to account for the coupons it will be issuing to consumers.
sales promotions
Valpak is a company that mails out packets of coupons to consumers. These coupons mostly include discounts for local and regional businesses. Valpak is helping these companies with their
sales promotions
When a soft drink manufacturer offers digital coupons that customers can use in retail stores, it is using
sales promotions
When sales representatives for Owens Corning meet potential customers, they offer stuffed pink panthers to promote their insulation. This example illustrates Owens Corning's use of which of the following elements of the promotion mix?
sales promotions
When Lean Cuisine promotes the quality, taste, and calorie contents of its line of frozen meals, it is attempting to develop
selective demand
In the McDonald's advertisements that state, "I'm lovin' it," McDonald's is the communication
source
Gordon is driving on the highway and sees a billboard for a local auto dealership. On the billboard he sees pictures of three of the dealership's cars and an announcement of a current promotion. In this situation, the auto dealership is a _____, which is one who _____.
source ; encodes
When a salesperson shakes a potential customer's hand, she is using
tactile communication
Ashley is currently working on a video to introduce a new line of athletic wear for women. She is using signs and symbols to represent the concept and meaning of the new athletic wear. Ashley is most likely working on the ____ for this promotional video.
the coding process
All of the following are reasons a company would likely emphasize personal selling in its promotion mix except
the company's products are seasonal in nature
Consumers are increasingly going online for information and opinions about goods and services as well as about companies. Research has shown that _____ is the most important attribute about a ratings website.
the site's credibility
If a manufacturer decides to use a pull policy to promote its products, it is likely to focus its efforts on
ultimate consumers
Andrea receives an e-mail from her sister-in-law that is actually a recommendation for a website with a demonstration of a new home hair-coloring system. She later discovers that her sister-in-law received a free trial kit for passing Andrea's and four other friends' e-mail addresses along to the marketer. This is known as ____________.
viral marketing
Kmart's "Ship My Pants" online commercial was shared by thousands of people through social media and watched millions of times on YouTube. This is an example of
viral marketing
Kristen received an e-mail from a friend that linked to a video of a funny commercial made by Old Spice. Kristen thought it was so funny that she shared the video on her Facebook page and on Twitter so that all of her friends and followers could see the video as well. This is an example of
viral marketing
Which of the following is a strategy to get consumers to share a marketer's message in a way that spreads dramatically and quickly?
viral marketing
If Honda gives one of its new motorcycles to a popular blogger so that the blogger would share information on the blog, this is best described as an example of
word-of-mouth communication