Marketing 3013: Chapter 8
Sales Promotion
A set of nonpersonal communication tools designed to stimulate quicker and more frequent purchases of a product.
Public Relations (PR)
Communication focused on promoting positive relations between a firm and its stakeholders.
True or false: Once a promotion mix has been selected, a company should not change it.
False
Advertising
Paid, nonpersonal promotional communication about goods, services, or ideas Paid, nonpersonal promotional communication about goods, services, or ideas.
______ advertising seeks to keep the product before the public in an effort to reinforce previous promotional activity.
Reminder
True or false: While there are many positive aspects to the use of social media in public relations, it can also have negative effects for a firm.
True Reason: If a company fails to respond to negative feedback posted on social media sites, it could potentially harm the company's reputation.
Personal Selling
Two-way flow of communication between a salesperson and a customer that seeks to influence the customer's purchase decision Two-way flow of communication between a salesperson and a customer that seeks to influence the customer's purchase decision.
Which of the following is a nontraditional form of advertising? a. Advertisements that are embedded into a video game b. Advertisements that appear on the inside of subway trains c. Advertisements that are sent via snail-mail d. Advertisements that appear in student newspapers
a. Advertisements that are embedded into a video game
_______ is a nonpersonal promotional communication about goods, services, or ideas that is paid for by the organization identified in the communication. a. Advertising b. Publicity c. Test marketing d. Personal selling e. Sales promotion
a. Advertising
Of the following, which are public relations tools? (Check all that apply.) a. Blogs b. Speeches c. Newspaper advertisements d. Brochures e. Annual reports f. Loyalty programs
a. Blogs b. Speeches d. Brochures e. Annual reports
Which of the following are disadvantages of Internet advertising? (Check all that apply.) a. Consumers can ignore banner advertisements b. Online ads can delay customers from finding desired content c. Pop-up ads can be intrusive d. Internet advertising is expensive to produce e. Lack of tools to measure the success of Internet advertising
a. Consumers can ignore banner advertisements b. Online ads can delay customers from finding desired content c. Pop-up ads can be intrusive
Your text outlined the percentage of global advertising delivered by each major medium. Which one is projected to see an increase in use in the near future? a. Internet b. Television c. Radio d. Newspapers e. Magazines
a. Internet
Which of the following are the two major advantages of radio advertising? (Check all that apply.) a. It allows for effective market segmentation. b. It is cost-effective. c. It doesn't require marketers to segment an audience. d. It has a long exposure time. e. It is good for complex messages.
a. It allows for effective market segmentation. b. It is cost-effective.
While in the grocery store, a clerk entices customers to buy a new type of pizza by offering them a small taste. This is an example of which sales promotion technique? a. Sample b. Freebie c. Rebate d. Trade promotion e. Allowance
a. Sample
Which method to setting a promotion budget is particularly common in small businesses or when a firm does not view promotional strategies as an investment? a. The affordable method b. The objective-and-task method c. The return-on-investment method d. The cost-per-media method e. The percentage-of-sales method
a. The affordable method
Which of the following are disadvantages of television advertising? (Check all that apply.) a. The use of DVRs by potential viewers b. Inability to narrowcast c. Inability to tap into viewers senses d. High cost of creating television ads e. High cost of airing advertisements
a. The use of DVRs by potential viewers d. High cost of creating television ads e. High cost of airing advertisements
Which of the following are the three primary objectives marketers hope to achieve when utilizing an advertising campaign? (Check all that apply.) a. To inform b. To persuade c. To demonstrate d. To remind e. To challenge
a. To inform b. To persuade d. To remind
Which of the following are the three primary objectives marketers hope to achieve when utilizing an advertising campaign? (Check all that apply.) a. To remind b. To inform c. To demonstrate d. To persuade e. To challenge
a. To remind b. To inform d. To persuade
When a company promotes its product by having it make an appearance in a television show, movie, or other media, it is referred to as _______. a. product placement b. co-branding c. celebrity marketing d. indirect marketing e. entertainment marketing
a. product placement
Jared was shopping for a new lawnmower. One of the brands he was looking at would give him $25 back on his purchase if he mailed in a form with a copy of his receipt. This type of sales promotion is called a _______. a. rebate b. member perk c. coupon d. freebie e. sample
a. rebate
According to the data outlined in your text regarding the percentage share of global advertising expenditures, most advertising mediums are projected to _______, while _______ advertising is projected to double. a. remain relatively stable; Internet b. decline; television c. decline; Internet d. remain relatively stable; television e. grow slightly; Internet
a. remain relatively stable; Internet
According to your text, the element of the promotion mix that most consumers think of first is______.
advertising
A collection of coordinated advertisements that share a single theme is called a(n) _____ ______.
advertising campaign
______ typically involve paying retailers for financial losses associated with consumer sales promotions or reimbursing a retailer for an in-store or local expense to promote a specific product.
allowances
Which of the following are advantages to television advertising? (Check all that apply.) a. Relatively low cost compared to other forms of advertising b. Ability to target specific markets c. Ability to work with DVR recorders d. Ability to combine various senses to appeal to consumers e. Ability to demonstrate a product in use
b. Ability to target specific markets d. Ability to combine various senses to appeal to consumers e. Ability to demonstrate a product in use
When done correctly, what is the major advantage of publicity as a promotion mix tool? a. It is long-term. b. It is low in cost. c. It offers the marketer the most control. d. It can be presented through multiple sources. e. It has a wide acceptance rate.
b. It is low in cost.
Which of the following tools are used specifically for measuring the effectiveness of social media? (Check all that apply.) a. Facebook b. Kred c. Buzzsumo d. LinkedIn e. Google Analytics
b. Kred c. Buzzsumo e. Google Analytics
Which of the following are disadvantages of magazine advertising? (Check all that apply.) a. Long shelf-life b. Long lead time necessary to place ads c. Inability to target specific audiences d. Lack of control marketers have in ad placement e. Turnaround time between ad creation and placement
b. Long lead time necessary to place ads d. Lack of control marketers have in ad placement e. Turnaround time between ad creation and placement
Which method takes a bottom-up approach to promotional budgeting? a. Percentage-of-sales b. Objective-and-task c. Cost-per-media d. Principal accounting e. Affordable
b. Objective-and-task
Which of the following are considered the major challenges of personal selling? (Check all that apply.) a. Having to attract customers b. Providing consistent messaging c. Difficulty in obtaining feedback d. The high cost involved e. Lack of relationship building
b. Providing consistent messaging d. The high cost involved
_______ selling involves building a trusting relationship with a customer over a long period of time. a. Transactional b. Relationship c. Commercial d. Retail e. Face-to-face
b. Relationship
Which of the following are disadvantages of outdoor advertising? (Check all that apply.) a. Inability to be placed effectively b. Short exposure time c. Wasted coverage d. High cost e. Limited number of words or images
b. Short exposure time c. Wasted coverage e. Limited number of words or images
Which of the following technological advances have created disadvantages for radio advertising? (Check all that apply.) a. GPS systems b. Smartphones c. MP3 players d. Satellite music radio stations e. Digital presets
b. Smartphones c. MP3 players d. Satellite music radio stations e. Digital presets
A firm that posts a video on Facebook showing how its product had a positive impact on someone's life is using _______ as a public relations tool. a. narrowcasting b. a case study c. relationship selling d. advertising
b. a case study
A good rule of thumb marketers should use when determining the optimal promotion mix is to _______. a. use as few elements as possible b. always consider the target market c. utilize the same mix year-after-year d. always use the least expensive option
b. always consider the target market
Because you have eaten at Red Lobster restaurants in the past and provided them with your e-mail address, you now get notifications from them of upcoming specials and coupons for discounted menu items. This is an example of _______. a. paid search advertising b. direct marketing c. informative advertising d. paid display advertising e. integrated marketing communications
b. direct marketing
Reminder advertising is most common in the _______ stages of the product life cycle. a. introduction and decline b. maturity and decline c. introduction and maturity d. growth and maturity e. introduction and growth
b. maturity and decline
As it pertains to marketing, all of the activities that communicate the value of a product and persuade consumers to buy it is referred to as _______. a. positioning b. promotion c. selling d. targeting e. advertising
b. promotion
Nonpersonal communication focused on promoting positive relations between a firm and its stakeholders is referred to as _______. a. publicity b. public relations c. customer service d. advertising e. personal selling
b. public relations
The strategy of cultivating high-frequency advertising at a low cost is aimed at improving _______. a. trade sales promotions b. revenue per ad dollar c. aided recall d. rate of trial
b. revenue per ad dollar
Marketers divide magazines into two categories: ______ magazines and ______ magazines.
business; consumer
Which public relations tool best allows a firm to highlight financial successes as well as charitable and philanthropic work that portray the organization in a positive light? a. Sales presentations b. Speeches c. Annual reports d. Brochures e. Blogs
c. Annual reports
What is a disadvantage of using banner ads in Internet advertising? a. They do not target specific consumer needs. b. They are expensive to produce. c. Consumers can simply ignore them. d. They are not placed where a consumer would naturally see them.
c. Consumers can simply ignore them.
_______ is defined as advertising that communicates directly with consumers and organizations in an effort to provoke a response. a. Publicity b. Public relations c. Direct marketing d. Indirect marketing e. Integrated marketing communications
c. Direct marketing
According to your text, which form of advertising is especially important in the introductory stage of the product life cycle? a. Reminder advertising b. Persuasive advertising c. Informative advertising d. Competitive advertising e. Recall advertising
c. Informative advertising
Overall, the biggest disadvantage of radio advertising is that radio ads are _______. a. too local in focus b. not able to be segmented c. audio-only d. subject to narrowcasting e. expensive
c. audio-only
A firm decides to coordinate the various promotion mix elements in order to provide its consumers with a clear and consistent message about it products. This firm is engaged in _______. a. an integrated promotion mix b. an integrated publicity campaign c. integrated marketing communications d. multi-level advertising e. a public relations campaign
c. integrated marketing communications
A firm engaged in a(n) _______ strategy will coordinate the various promotion mix elements to produce a clear and consistent message about its products that customers will understand. a. direct marketing b. direct promotion mix c. integrated marketing communications d. multi-level advertising campaign e. integrated advertising campaign
c. integrated marketing communications
Which of the following are elements of the promotion mix? (Check all that apply.) a. employee training b. delivery c. personal selling d. public relations e. sales promotion f. advertising
c. personal selling d. public relations e. sales promotion f. advertising
Posters that depict Uncle Sam pointing a finger at the reader with the wording "I want You for the U.S. Army" is a type of _______ advertisement. a. Internet b. reminder c. persuasive d. informative
c. persuasive
To measure the effectiveness of an advertising campaign, marketers typically conduct a(n) _______ before the ad campaign begins and a(n) _______ after the campaign. a. recognition test; recall test b. frequency test; reach test c. pretest; posttest d. aided recall test; unaided recall test e. benchmark test; recognition test
c. pretest; posttest
The major disadvantage of advertising in all types of print media is that _______. a. print media appeals to only one sense b. advertising costs for print media continue to increase c. print media is declining as a primary information source d. print media has a short shelf-life e. print media cannot target markets effectively
c. print media is declining as a primary information source
Fill in the blanks to complete the sentence. The major disadvantage of publicity is that organizations have less _______ over how the information is presented.
control
A manufacturer of yogurt found that its product was responsible for a breakout of E. coli. In response, the company issued refunds to consumers who bought its product, and immediately had all of its production plants cleaned and sanitized. In addition, the company donated money to help raise awareness of the disease as well as compensate those who became sick. This is an example of ______ management.
crisis
The maker of Lays potato chips wanted its customers to choose the next new flavor of its chips. Contestants would submit their ideas along with an idea for an advertising jingle and the winner would receive a cash prize and have their chip idea placed into production. This is an example of which sales promotion technique? a. Sweepstakes b. Rebate c. Promotion d. Contest e. Sample
d. Contest
Of the following, what two words are key to understanding how advertising fits into the promotion mix? (Check all that apply.) a. Face-to-face b. Personal c. Unique d. Paid e. Nonpersonal f. Informative
d. Paid e. Nonpersonal
While browsing online, Lizzie noticed a graphic display advertising shoes at low prices. When she clicked on the advertisement, it took her to a website where she could view and purchase the shoes. This is an example of what type of Internet advertising? a. Paid search b. Reminder advertising c. Direct marketing d. Paid display e. Recall advertising
d. Paid display
What type of advertising is common during the growth stage of the product life cycle as firms compete directly and attempt to take market share away from competitors? a. Demonstrative b. Informative c. Recall d. Persuasive e. Reminder
d. Persuasive
Ted's Taco Bar is opening a new location on campus. The first 100 customers to visit the new location will receive a free taco with their order. This is an example of which sales promotion tool? a. Loyalty program b. Contest c. Rebate d. Premium e. Coupon
d. Premium
While checking her e-mail, Stacey noticed that Groupon was offering a deal where she could buy one meal, and get another one free at her favorite restaurant. This is an example of a(n) _______. a. contest b. rebate c. sweepstakes d. coupon e. sample
d. coupon
At one time, Nike's product was targeted mainly to marathon runners. When Nike sought to capitalize on the fitness craze, it launched its Just Do It campaign. The company used television commercials and print advertisements showcasing athletes of all types attaining their fitness goals. It sponsored local sporting events and secured celebrity spokespersons to promote its products. This exemplifies the promotional strategy referred to as _______. a. an integrated promotion mix b. integrated advertising communications c. a multi-level advertising campaign d. integrated marketing communications e. an integrated marketing concept
d. integrated marketing communications
Walgreens offers its customers the opportunity to sign up for its Balance Rewards card, which allows them to earn points on purchases. After a certain number of points are earned, the customer receives a cash reward that can be used on future purchases. This is an example of a(n) _______ program. a. purchase b. allowance c. sweepstakes d. loyalty e. rebate
d. loyalty
When the detectives in a television crime show stop each morning at a Dunkin' Donuts to get coffee, it is an example of _______. a. direct marketing b. joint marketing c. entertainment marketing d. product placement e. narrowcasting
d. product placement
During its annual Black Friday sale, a local electronics store gave customers a chance to win a new laptop computer. Customers only had to fill out a card with their name and address and drop it into a box. One winner would be chosen at random. This is an example of a _______. a. rebate b. coupon c. premium d. sweepstakes e. contest
d. sweepstakes
Which of the following is a form of advertising that exemplifies narrowcasting? a. A commercial for Doritos shown during the Superbowl game b. An advertisement for Black Friday sales in the Thanksgiving Day newspaper c. a billboard advertisement for Budweiser beer d. A radio broadcast for a sale at Target e. A commercial for Barilla pasta shown on the Food Network
e. A commercial for Barilla pasta shown on the Food Network
Now widely available on smartphones, _______ are documents that entitle the holder to a discount on a product. a. samples b. rebates c. contests d. sweepstakes e. coupons
e. coupons
A measure of how often the audience is exposed to a promotional message during a specific time period is referred to as _______. a. reach b. depth c. duration d. breadth e. frequency
e. frequency
According to your text, one of the most widely used budgeting approaches is the _______ method. a. objective-and-task b. principal accounting c. cost-per-media d. affordable e. percentage of sales
e. percentage of sales
An unaided recall test is a performance metric that _______. a. requires consumers to recall advertisements with help to stimulate their memory b. allows marketers to measure how often the target market has been exposed to an advertisement c. allows marketers to evaluate personal selling techniques of a sales force d. allows marketers to measure the percentage of the target market that has been exposed to a promotional message e. requires consumers to recall advertisements from memory without any clues
e. requires consumers to recall advertisements from memory without any clues
Your text defines _______ as the set of nonpersonal communication tools designed to stimulate quicker and more frequent purchases of a product. a. publicity b. public relations c. personal selling d. advertising e. sales promotion
e. sales promotion
According to your text, perhaps the biggest disadvantage of _______ advertising is its high cost. a. radio b. outdoor c. Internet d. magazine e. television
e. television
An advantage of _______ is that this is often what people think of first when they hear the term marketing. a. sales promotion b. radio advertising c. public relations d. newspaper advertising e. television advertising
e. television advertising
Rebates work most effectively when offered in conjunction with a(n) ______ involvement purchase in which the perceived value of the rebate is magnified.(Low/High)
high
______ advertising attempts to develop initial demand for a product.
informative
By allowing customers to accumulate points or other benefits for doing business with the same company, the goal behind the use of ______ programs is to strengthen customer relationships.
loyalty
One advantage of advertisements printed in _______ is that they have a longer shelf life than daily newspaper advertisements.
magazines
Print advertising in _______ allows firms the ability to reach very precise target markets based on a variety of demographic, geographic, and behavioral variables.
magazines
The nontraditional form of advertising that is communicated to the consumer via a handheld device is referred to as ______ advertising.
mobile
Often used in television advertising, ________ is described as the dissemination of information to a fairly small, select audience that is defined by its shared values, preferences, or demographic attributes.
narrowcasting
When KitchenAid advertises its stand mixers on the Food Network, it is an example of____.
narrowcasting
Being able to locate the ad close to where it will most likely be seen is an advantage of _______ advertising.
outdoor
Fill in the blanks to complete the sentence. Billboards, signs in sports arenas, and ads on the sides of buildings are all forms of ______ advertising.
outdoor
While sitting at a baseball game, Kendra notices that the area near the scoreboard periodically changes to display advertisements for various things. This is a type of advertising known as ______ advertising.
outdoor
______ ads can be located where they will most likely be seen, are one of the most cost-efficient ways to reach potential customers, and are generally cheaper than other types of advertising.
outdoor
Since very few firms can survive on the profits generated from one-time transactional sales, ______ selling has become an increasingly important way for firms to develop personal relationships with their customers.
personal
______ ______ differs from the other tools of the promotion mix because communication with the customer in this approach is two-way, often face-to-face.
personal selling
A(n) ______ is a promotional item that is given as an incentive for performing a particular act, typically buying a product.
premium
Advertisements that are placed in newspapers and magazines fall under the category of _______ advertising.
Because of advances in technology that cause information to spread faster than ever before, _______ ______ is now a 24-hours-a-day, 7-days-a-week job for marketers across government entities, for-profit industries, and nonprofit organizations.
public relations
______ ______strategies provide information and build a firm's image with the public, including customers, employees, stockholders, and communities.
public relations
Along with being one of the most cost-effective media available, another major advantage of ______ advertising is the ability to market to small geographic regions including very small or rural communities.
radio
The goal of ______ ______ is to stimulate quicker and more frequent purchases of a product.
sales promotion
Even though it is an expensive sales promotion technique, the use of ______ can be a powerful tool for getting customers to actually buy the product after they have tried it.
sampling
Paid Internet advertising can be broken down into paid ______ advertising and paid ______ advertising.
search; display
Sales promotions directed to B2B firms including wholesalers and retailers are called ______.
trades
One of the major disadvantages of outdoor advertising is that the viewers of the advertisement may not be part of the target market. This is a situation known as _____ coverage.
wasted