IMC Test 3

91) According to Shama Kabani of Marketing Zen, business-to-consumer firms who want to use social media and attract visitors to the social media page must offer:
A) coupons and premiums
B) valuable information
C) free stuff
D) expertise
C) free stuff
92) According to Shama Kabani of Marketing Zen, the biggest misconception about social media is that it:
A) creates a strong brand image
B) creates static communication
C) offers a magic bullet that solves marketing problems
D) reaches large segments of the population
C) offers a magic bullet that solves marketing problems
93) Which combines all of the elements of e-commerce, Internet marketing, and mobile marketing?
A) e-mail
B) Web 2.0
C) Web analytics
D) digital marketing
D) digital marketing
94) The Internet has changed the world. Web 1.0:
A) transformed traditional retailing by selling goods and services over the Internet
B) offered consumers a way to communicate with each other through e-mail
C) creates online communities that connect buyers and sellers in new ways
D) provided businesses with an opportunity to save money
A) transformed traditional retailing by selling goods and services over the Internet
96) Which statement below is true about Web 4.0?
A) it failed to offer a multichannel communication system that would allow businesses and customers to speak to each other
B) it included interactive company and brand websites, social media, blogs, and other communication formats
C) it created online communities that connected buyers and sellers in new ways
D) it allowed customers to visit bricks and mortar stores over the Internet in real time
B) it included interactive company and brand websites, social media, blogs, and other communication formats
97) The stage of Web development that pushed communication channels to real-time was:
A) Web 1.0
B) Web 2.0
C) Web 3.0
D) Web 4.0
C) Web 3.0
98) Web 3.0:
A) created static content that included customer involvement
B) generated instant communication that helped improve customer service
C) created online communities that connected buyers and sellers
D) featured brand engagement, social media, and customer-generated reviews
B) generated instant communication that helped improve customer service
100) Web 4.0 was the first to:
A) deliver static content to Internet users
B) add more socially-based sites such as Facebook
C) include cloud operations and Web participation
D) incorporate real-time communications
C) include cloud operations and web participation
101) When goods and services are sold on the Internet, the approach to marketing is known as:
A) retail by e-mail
B) viral marketing
C) e-commerce
D) vicarious shopping
C) e-commerce
102) E-commerce is:
A) retail by e-mail
B) viral marketing
C) selling goods and services on the Internet
D) vicarious shopping
C) selling goods and services on the internet
103) Which does not apply to a Web 4.0 type website?
A) real time communication
B) customer engagement
C) static content
D) cloud technology
C) static content
104) Making sure all channels work together when a company sells through additional channels beyond the Web is:
A) brand engagement
B) customer engagement
C) channel integration
D) cyber consistency
C) channel integration
105) Blogs, feedback applications, and customer reviews are all a part of:
A) Web 1.0
B) Web analytics
C) cyber security
D) brand engagement
D) brand engagement
106) Personalization and customization are part of:
A) Web 1.0
B) Web analytics
C) cyber security
D) brand engagement
D) brand engagement
107) Which is not part of a shopping cart abandonment program?
A) avoiding the use of cyberbait as a selling strategy
B) making checkout easy without requiring a user name or password
C) making it easy for customers to enter discount codes
D) providing a safe and trustworthy checkout procedure
A) avoiding the use of cyberbait as a selling strategy
108) Using a fantasy football league to attract individuals to a website is an example of:
A) financially-based incentive
B) viral marketing
C) cyberbait
D) convenience incentive
C) cyberbait
109) All of the following are types of cyberbait, except:
A) value-based incentives
B) financial incentives
C) convenience incentives
D) educational incentives
D) educational incentives
110) Incentives that can be used to encourage consumers to make online purchases include all of the following, except:
A) follow-up incentives
B) financial incentives
C) convenience incentives
D) value-based incentives
A) follow-up incentives
111) A reduced price, an introductory price, and e-coupons used to encourage someone to make an online purchase are:
A) quality incentives
B) financial incentives
C) convenience incentives
D) value-based incentives
B) financial incentives
112) A financial incentive to encourage someone to make a purchase online can include all of the following, except:
A) consumer promotion
B) introductory price
C) product personalization
D) e-coupon
C) product personalization
113) Free shipping, free freight, and dollar discounts are examples of which type of incentive that can be used to encourage online shopping?
A) financial
B) consumer
C) convenience
D) economic
A) financial
114) Persuading a first-time buyer to make an online purchase is best achieved using:
A) interstitial advertising
B) financial incentives
C) convenience incentives
D) value-based incentives
B) financial incentives
115) Firms can reduce costs when customers order over the Internet in the following ways, except:
A) lower production costs in manufacturing the product
B) reduced shipping costs since the customer pays for shipping
C) decreased labor costs in stocking or restocking shelves
D) lower sales costs since sales people are not used for the transaction
A) lower production costs in manufacturing the product
116) According to BizRateResearch, the most effective financial incentive is:
A) price discounts
B) contests and sweepstakes
C) free gifts
D) free shipping
D) free shipping
117) To be successful in using financially-based incentives to encourage online purchases, the incentives:
A) must match the target market of the website
B) should offer something free
C) apply all customers, not just first time purchasers
D) should be meaningful to those visiting the website and be changed periodically
D) should be meaningful to those visiting the website and be changed periodically
118) Access to a website 24 hours a day is an example of which type of incentive?
A) financial
B) cyberbait
C) convenience
D) value-added
C) convenience
119) Which type of incentive is designed to change purchasing habits over the long term?
A) financial
B) consumer
C) convenience
D) value-added
D) value-added
121) Value-added incentives are designed to:
A) attract attention
B) provide shipment information
C) change purchasing habits over the long term
D) change short-term buying decisions
C) change purchasing habits over the long term
122) Based on Web analytics, a hotel’s front desk staff knows a customer often stays for a week and offers that person a discount for booking online. This is an example of:
A) merchandising
B) a financial incentive
C) a convenience incentive
D) a value-added incentive
D) a value-added incentive
123) A financial incentive may cause a consumer to switch to e-commerce; a value-added incentive is designed to:
A) change purchasing habits more permanently
B) create brand awareness
C) substitute payment plans
D) find new buyers
A) change purchasing habits more permanently
124) All of the following are examples of value-added incentives designed to encourage web visitors, except:
A) offering merchandise on the website that is not available in a catalog or in retail stores
B) offering free shipping and handling
C) weekly or daily tips on a topic meaningful to the web visitor
D) personalizing products to individual consumers based on previous visits to the website and past purchases
B) offering free shipping and handling
125) When Tide offers tips on how to get tough stains out of clothes, which type of incentive is being used?
A) financial
B) convenience
C) value-added
D) supportive
C) value-added
126) Leah does not shop online because she is afraid that her identity will be stolen. This is an example of which e-commerce concern?
A) security concerns
B) seller opportunism concerns
C) cognitive dissonance
D) information privacy issues
A) security concerns
127) The e-commerce component most directly affected by security concerns is:
A) interstitial advertising
B) the catalog
C) the shopping cart
D) payment programs
D) Payment programs
128) Aubrey does not like to purchase anything online because she does not want cookies tracking her Web activity and then using it to market products to her. This is an example of which e-commerce concern?
A) seller opportunism
B) security issues
C) changing purchasing habits
D) privacy issues
D) privacy issues
129) Which is not a privacy or security issue for e-commerce?
A) fears of identity theft
B) worries a company will sell personal information
C) charging higher prices for some customers but not others
D) being defrauded
C) charging higher prices for some customers but not others
130) The key to allaying fears about privacy and security in e-commerce is:
A) empathy
B) convenience
C) trust
D) financial incentives
C) Trust
131) Business-to-business e-commerce requires an effective website and:
A) a strong brand name
B) financial incentives
C) bonus merchandise
D) cyberbait
A) a strong brand name
132) Business-to-business websites utilize all of the following incentives, except:
A) financial incentives
B) convenience incentives
C) value-added incentives
D) mark-up incentives
D) mark-up incentives
133) A growing form of e-commerce in the business-to-business sector is:
A) discount houses
B) financial institutions
C) online exchanges and auctions
D) insurance purchases
C) online exchanges and auctions
134) Marketing on cell phones and smartphones is:
A) passive marketing
B) active marketing
C) mobile marketing
D) customer-driven marketing
C) mobile marketing
135) The use of QR codes, watermarks, and 2D barcodes are all part of:
A) Web 1.0 marketing
B) direct marketing
C) mobile marketing
D) embedded marketing
C) mobile marketing
136) Interactive marketing is:
A) developing marketing messages that create two-way communication with customers
B) providing interactive games for customers to play
C) the ability of a website to visually display a product, such as clothes on a person
D) when customers give permission for marketers to send e-mails and other types of correspondence to them
A) developing marketing messages that create two-way communication with customers
137) The ideal medium for interactive marketing is:
A) television
B) e-mail
C) print media
D) the Internet
D) the Internet
138) The development of marketing programs that create interplay between consumers and businesses rather than simply sending messages to potential customers is:
A) direct marketing
B) interactive marketing
C) viral marketing
D) cross selling
B) interactive marketing
139) The following are online interactive tactics being used by companies, except:
A) banner ads
B) direct marketing
C) e-mail marketing
D) blogs
B) direct marketing
141) The following are online interactive tactics being used by companies, except:
A) social networks
B) search engines
C) viral marketing
D) advertising
D) advertising
142) Interactive marketing emphasizes two primary activities. First, it allows marketers to target individuals with personalized messages. Second, it:
A) permits direct marketing that has been customized
B) allows a company to personalize its website
C) engages the consumer with the company and product in some way
D) allows for modifying the product to fit the needs of the consumer
C) engages the consumer with the company and product in some way
143) Companies use interactive marketing to accomplish all of the following objectives, except:
A) generate sales
B) enhance brand loyalty
C) build an e-mail list
D) develop sponsorship programs
D) develop sponsorship programs
144) Companies use interactive marketing to accomplish all of the following objectives, except:
A) generate leads
B) collect personal data
C) award prizes
D) estimate target market size
D) estimate target market size
145) According to Marketing Zen’s Shama Kabani, the first step in developing an effective interactive marketing strategy is to:
A) identify the one word that describes the brand
B) gain customer trust
C) define your ultimate vision
D) cultivate an attitude of giving
D) cultivate an attitude of giving
146) According to Marketing Zen’s Shama Kabani, developing an effective interactive marketing strategy involves all of the following activities, except:
A) identify the one word that describes the brand
B) gain customer trust
C) create a social media site
D) cultivate an attitude of giving
C) create a social media site
147) According to Marketing Zen’s Shama Kabani, developing an effective interactive marketing strategy involves all of the following activities, except:
A) identify the one word that describes the brand
B) develop an SEO strategy
C) choose the best communication channels
D) cultivate an attitude of giving
B) develop an SEO strategy
149) The newest online technology for banner advertising is:
A) automated exchange systems that provide precise targeting of ads to specific consumers
B) embedded widgets that access dynamic content
C) media/video ads capable of being downloaded by consumers
D) search ads that can be displayed on cell phones
A) automated exchange systems that provide precise targeting of ads to specific consumers
150) Mini-applications embedded in banner ads that permit consumers access to dynamic content from external sources are called:
A) SEOs
B) widgets
C) automated exchange systems
D) personalized URLs
B) widgets
151) Widgets are:
A) automated exchange systems that provide precise targeting of ads to specific consumers
B) geo-targeted ads that result from search engine optimization programs
C) personalized URLs that are preloaded with a customer’s data
D) mini-applications embedded in banner ads that permit consumers access to dynamic content from external sources
D) mini-applications embedded in banner ads that permit consumers access to dynamic content from external sources
152) The fastest growing category of online advertising is:
A) spot search ads
B) media/video ads
C) display or banner ads
D) classified ads
B) media/video ads
153) In terms of online metrics, dwell rate measures:
A) the proportion of ad impressions that result in users clicking an advertisement
B) the proportion of ad impressions that result in users mousing over the ad
C) the proportion of ad impressions that result in users both clicking an advertisement or mousing over the ad
D) the amount of time individuals spend with an advertisement
C) the proportion of ad impressions that result in users both clicking an advertisement or mousing over the ad
155) The largest category of online advertising is:
A) spots on search ads
B) media/video ads
C) display or banner ads
D) classified ads
A) spots on search ads
156) Search engine optimization (SEO) is the process of:
A) increasing the probability of a particular company’s website emerging from a search
B) maximizing paid search advertising
C) finding the best words to maximize organic searches
D) using a search engine as the front door to a company’s website
A) increasing the probability of a particular company’s website emerging from a search
157) The majority of all Web traffic begins at a(n):
A) company’s front page
B) individuals e-mail site
C) neutral site
D) search engine
D) search engine
158) Search engine optimization (SEO) can be reached in the following ways, except:
A) paid search insertions on search engines
B) paid banner ads on other companies’ websites
C) increase identification through the natural, or organic, emergence of a site on a search engine
D) paid search ads
B) paid banner ads on other companies’ websites
159) The best and most effective search engine optimization (SEO) method is:
A) paid search insertions on search engines
B) paid banner ads on other companies’ websites
C) identification through the natural, or organic, emergence of a site on a search engine
D) paid search ads
C) identification through the natural, or organic, emergence of a site on a search engine
160) Companies can speed up the process of SEO with paid search insertions by:
A) placing the ads on the first page that comes up when a search is initiated
B) developing a cooperative program with the search engine companies
C) registering with various search engines in order to have the site indexed
D) developing key words and phrases that will increase organic search results
C) registering with various search engines in order to have the site indexed
161) Using traditional media to promote and attract customers to a website is:
A) cyberbranding
B) brand spiraling
C) off-line branding
D) viral marketing
B) brand spiraling
162) Brand spiraling is using:
A) various online advertising techniques to develop a brand
B) interactive marketing methods to build Web traffic
C) traditional media to promote and attract customers to a website
D) viral and permission marketing coupled with database technologies
C) traditional media to promote and attract customers to a website
163) Brand spiraling is a(n):
A) online advertising technique to attract individuals to a website
B) offline advertising technique to attract individuals to a website
C) manufacturing technique that reduces the cost of an online operation
D) branding campaign using both online and offline advertising techniques
B) offline advertising technique to attract individuals to a website
164) Posting a firm’s Web address on a shopping bag used to carry merchandise sold at a brick-and-mortar store is a form of:
A) brand reinforcement
B) brand spiraling
C) interactive marketing
D) virtual marketing
B) brand spiraling
165) All of the following are media that would be used in brand spiraling, except:
A) television
B) radio
C) out-of-home
D) website
D) website
166) The largest social media site with over 800 million users worldwide is:
A) mySpace
B) Twitter
C) Google
D) Facebook
D) Facebook
167) Which limits messages to 140 characters?
A) Facebook posts
B) Bing search
C) Google inquiries
D) Twitter tweets
D) Twitter Tweets
168) All of the following statements are true about blogs, except:
A) blogs are often tied in with viral marketing campaigns
B) blogs have been created on a wide range of topics
C) some blogs permit visitors to post comments, others do not
D) blogs are a powerful means of spreading word-of-mouth communications about a product
A) blogs are often tied in with viral marketing campaigns
169) A company-sponsored blog can provide the following benefits, except:
A) it can ease a shopper’s fear about purchasing from a particular company
B) the comments on the blog give individuals an idea of how the company treats its customers
C) since it is controlled by the company, the company is able to censor negative comments
D) the blog can provide a means for the company to release information
C) since it is controlled by the company, the company is able to censor negative comments
170) The largest source of display ads on social media networks is with:
A) YouTube
B) micro-sites
C) niche social network sites
D) Facebook
D) Facebook
171) Of the consumers who follow a brand on Facebook, the highest percentage (over 1/3) cited ________ as the main reason for becoming fans.
A) special deals
B) content
C) information provided by the brand
D) interesting communication
A) special deals
173) The company at the forefront of consumer-generated reviews is:
A) Amazon.com
B) Circuit City
C) Barnes and Noble
D) Wal-Mart
A) Amazon.com
174) In terms of new product adoptions, consumer-generated reviews and discussions can be important vehicles for reaching:
A) innovators
B) early adopters
C) early majority
D) late majority
B) Early adopters
176) Customer-generated reviews are a valuable source of information for:
A) monitoring changes in governmental regulations
B) studying competitor actions
C) crowdsourcing
D) providing feedback for online retailing
B) studying competitor actions
177) Successful e-mail marketing campaigns must include the following, except:
A) search engine optimization to draw individuals to the website
B) integration with the other marketing channels
C) a basis from Web analytics
D) correlate with the firm’s website
A) search engine optimization to draw individuals to the website
178) An e-mail campaign works most effectively when:
A) consumers perceive it as “acceptable” spam
B) messages resemble the information on the company’s website and in company advertisements
C) it targets infrequent purchasers
D) it contains customer-generated reviews
B) messages resemble the information on the company’s website and in company advertisements
179) Web analytics is the process of analyzing the following, except:
A) where consumers went on a brand’s website
B) what consumers did within the website
C) how the individual feels about the website
D) what other sites were visited by the individual
C) how the individual feels about the website
180) The IT department can identify individuals who abandon the shopping cart just prior to checkout. An effective strategy for the marketing department would be to:
A) send an e-mail to these individuals offering free shipping, a discount, or a simple reminder that they have items in the shopping basket
B) turn the list of names over for a direct marketing campaign
C) develop a viral marketing campaign with these individuals
D) develop an interactive marketing campaign encouraging the individuals to generate customer reviews of the products placed in the shopping cart
A) send an e-mail to these individuals offering free shipping, a discount, or a simple reminder that they have items in the shopping basket
182) An e-mail newsletter can help:
A) early adopters of new products
B) move individuals from conviction to an actual purchase
C) create brand awareness and drive traffic to the website
D) develop product knowledge and liking for a particular brand
C) create brand awareness and drive traffic to the website
183) Marketing messages passed from one individual to another through some form of Internet technology is:
A) interactive marketing
B) cyberbranding
C) viral marketing
D) brand spiraling
C) viral marketing
184) Viral marketing is:
A) the use of non-traditional media to promote a company’s website
B) a form of database marketing
C) preparing a marketing message that is in some way passed on from one individual to another through digital means
D) using a virus to spread a marketing message
C) preparing a marketing message that is in some way passed on from one individual to another through digital means
185) Viral marketing relies on:
A) a series of click-throughs
B) use of search engine optimization
C) highly visible banners
D) word-of-mouth communications
D) word-of-mouth communications
186) The keys to successful viral marketing campaigns include the following, except:
A) use Web analytics to determine the best approach
B) focus on the product or business
C) offer an incentive
D) make it personal
A) use Web analytics to determine the best approach
187) While e-commerce can increase international orders, many are turned away primarily because the company:
A) does not understand the culture
B) is focused on domestic business
C) does not have a process in place to fill the order
D) does not have an established global brand name
C) does not have a process in place to fill the order
188) All of the following are problems faced in International e-commerce, except:
A) cultural differences
B) global shipping and infrastructure deficiencies
C) varying degree of Internet capabilities
D) population shifts within other countries
D) population shifts within other countries
189) In terms of international e-commerce, large merchandise is normally shipped by:
A) the company selling the merchandise
B) shipping companies such as DHL, FedEx, or UPS
C) freight forwarders
D) the company purchasing the merchandise
C) freight forwarders
190) Cultural adaptation software has been developed that:
A) performs a literal translation of an English website into other languages
B) adapts websites to new countries
C) cross sells merchandise to major customers
D) reduces international spam
A) performs a literal translation of an English website into other languages
91) In terms of the video game market, females:
A) tend to play the same type of games as males
B) offer an attractive and growing market
C) design a large percentage of video games sold today
D) constitute about 20% of the video game market
B) offer an attractive and growing market
92) Studies and sales data show that women are more likely to play:
A) fitness and beauty games
B) sports-related games
C) handheld casual games
D) violent shooting games
C) handheld casual games
93) All of the following statements are true, except:
A) advertisers are ready to abandon traditional media, such as radio, television, magazines, and newspapers
B) alternative marketing programs are on the rise
C) advertisers are using more alternative media
D) advertisers are spending more money on trying to reach potential customers in new and innovative ways
A) advertisers are ready to abandon traditional media, such as radio, television, magazines, and newspapers
94) Forms of alternative marketing include the following, except:
A) video game marketing
B) lifestyle marketing
C) experiential marketing
D) branded entertainment
A) video game marketing
95) Forms of alternative media programs include the following, except:
A) buzz marketing
B) online marketing
C) product placement
D) guerilla marketing
B) online marketing
96) Word-of-mouth marketing is also known as:
A) guerilla marketing
B) lifestyle marketing
C) buzz marketing
D) branded entertainment
C) buzz marketing
97) Buzz marketing is also known as:
A) guerilla marketing
B) lifestyle marketing
C) word-of-mouth marketing
D) branded entertainment
C) word-of-mouth marketing
98) The alternative marketing program that emphasizes consumers passing along information about a product to other consumers is:
A) guerilla marketing
B) lifestyle marketing
C) product placement
D) buzz marketing
D) buzz marketing
99) Buzz marketing:
A) emphasizes consumers passing along information about a product to other consumers
B) is designed to obtain instant results while using limited resources
C) is the planned insertion of a brand or product into a movie, television show, or some other media
D) is the integration of entertainment and advertising by embedding brands into the storyline of a movie, television show, or other entertainment medium
A) emphasizes consumers passing along information about a product to other consumers
100) Buzz marketing is attractive to marketers because:
A) it reaches consumers where they live and where they like to go
B) a recommendation by another person carries a higher level of credibility than does advertising
C) it reaches consumers in places that are not expected
D) it does not look like advertising
B) a recommendation by another person carries a higher level of credibility than does advertising
101) Buzz, or word-of-mouth, marketing can be generated in the following ways, except:
A) consumers who truly like a brand and tell others
B) consumers who like a brand and are sponsored by a company to tell others
C) companies developing user-generated ads or blogs
D) company or agency employees posing as customers of the company, telling others about the brand
C) companies developing user-generated ads or blogs
102) In terms of buzz marketing, the ideal situation occurs when:
A) consumers who truly like a brand tell others
B) consumers who like a brand and are sponsored by a company to tell others
C) a company creates a blog about a brand and invites consumers to participate
D) company or agency employees posing as customers of the company, telling others about the brand
A) consumers who truly like a brand tell others
103) Which of the following consumers creates the most ideal form of buzz marketing for Guess jeans?
A) Vanessa truly likes Guess jeans and tells others about how nice they are.
B) Trinity likes Guess jeans, which allowed Guess’ marketers to sponsor her to tell others about the brand.
C) Guess has created a blog about Guess jeans and invites consumers to participate and offer their opinions, good and bad.
D) Guess has one of its employees pose as a customer on her personal blog telling others about how great the jeans are.
A) Vanessa truly likes Guess jeans and tells others about how nice they are.
104) Brand ambassadors or customer evangelists are typically individuals:
A) that have never used the product, but want to try it
B) who already like a brand and are asked by the company to be a sponsor
C) who are heavy users of a product
D) that work for the brand’s company
B) who already like a brand and are asked by the company to be a sponsor
105) Companies normally select brand ambassadors for the buzz marketing programs based on:
A) the age, income, and gender matching the brand’s target market
B) the level of acceptance of new products and new technologies
C) devotion to the brand and the size of their social circles, families, reference groups, and work associates
D) their knowledge and experience with the brand
C) devotion to the brand and the size of their social circles, families, reference groups, and work associates
106) In terms of generating buzz, brand evangelists are asked to:
A) conceal their identification with the company
B) reveal they are being sponsored by the company only when asked
C) identify they are sponsored by the brand, but not reveal the incentives and rewards they receive
D) be upfront and honest about their connections with the brand
D) be upfront and honest about their connections with the brand
107) Brand ambassadors can use which new tactic to market products?
A) sell directly to consumers
B) host house parties for family members and friends
C) write letters to the editor of the local newspaper
D) attend conferences and seminars about the products they enjoy
B) host house parties for family members and friends
108) In terms of buzz marketing, the most risky strategy is to use:
A) consumers who truly like a brand and tell others
B) consumers who like a brand and are sponsored by a company to tell others
C) company employees to create a blog on the company’s website about a brand and then invite consumers to participate
D) company or agency employees posing as customers of the company telling others about the brand
D) company or agency employees posing as customers of the company telling others about the brand
109) According to the Word of Mouth Marketing Association, when a company uses its employees or those of its agency as advocates or brand evangelists, then these individuals should:
A) be upfront and clearly identify themselves as being with the company
B) only identify they are with the company if a consumer asks
C) never reveal they are with the company or its agency
D) identify they are being sponsored by the company, but not say they are an employee
A) be upfront and clearly identify themselves as being with the company
110) The Word of Mouth Marketing Association provided the following guidelines for companies that want to generate word-of-mouth communications through its employees, agency employees, or brand sponsors, except:
A) be honest about the relationship the person has with the company, agency, and consumers
B) be honest about the type and level of compensation they are receiving
C) be honest in the opinion they present
D) be honest about identifying who they are
B) be honest about the type and level of compensation they are receiving
111) Buzz marketing can be compared to a virus. The inoculation stage:
A) involves the product being adopted by the early majority
B) involves the product being used by a few innovators or trendsetters
C) corresponds to the product being introduced
D) involves widespread use of the product
C) corresponds to the product being introduced
112) Buzz marketing can be compared to a virus. The incubation stage:
A) involves the product being adopted by the early majority
B) involves the product being used by a few innovators or trendsetters
C) corresponds to the product being introduced
D) involves widespread use of the product
B) involves the product being used by a few innovators or trendsetters
113) Buzz marketing can be compared to a virus. The infection stage:
A) involves the product being adopted by the early majority
B) involves the product being used by a few innovators or trendsetters
C) corresponds to the product being introduced
D) involves widespread use of the product
D) involves widespread use of the product
114) Buzz marketing can be compared to a virus. During the inoculation stage:
A) only a few companies have been successful
B) companies must rely on customers generating positive word-of-mouth communications
C) companies who use buzz marketing tend to be highly successful
D) companies must support the buzz marketing effort with a high volume of advertising
A) only a few companies have been successful
115) In terms of a company generating buzz about its product, research has indicated that to generate true word-of-mouth communications from actual customers they must be aware of the brand, which typically requires:
A) the use of alternative marketing programs
B) advertising through traditional channels
C) guerilla marketing efforts
D) a high level of brand equity
B) advertising through traditional channels
116) Preconditions of buzz marketing include the following, except:
A) the product must be unique, new, or perform better than current brands
B) the brand must stand out over current brands on the market
C) the brand must be well known and accepted by the majority of consumers
D) the brand must have distinct advantages over current brands on the market
C) the brand must be well known and accepted by the majority of consumers
117) Buzz marketing works because consumers:
A) receive information that is not paid for by the company
B) receive information when it is not expected
C) can choose if they want to listen or not to the recommendation
D) trust the opinions of other people and people like to give their opinions
D) trust the opinions of other people and people like to give their opinions
118) A special form of buzz marketing that uses surreptitious practices to introduce a product to individuals is:
A) guerrilla marketing
B) lifestyle marketing
C) experiential marketing
D) stealth marketing
D) stealth marketing
119) With stealth marketing, brand ambassadors show and talk about a product to others:
A) without disclosing their true relationship with the brand
B) and only disclose their relationship with the brand when asked
C) after revealing their relationship with the brand
D) only when they are asked by other individuals
A) without disclosing their true relationship with the brand
120) Guerilla marketing:
A) emphasizes consumers passing along information about a product to other consumers
B) is designed to obtain instant results while using limited resources
C) is the planned insertion of a brand or product into a movie, television show, or some other media
D) is the integration of entertainment and advertising by embedding brands into the storyline of a movie, television show, or other entertainment medium
B) is designed to obtain instant results while using limited resources
121) The concept of guerilla marketing was created by:
A) Jay Livingstone
B) Conrad Hilton
C) the Marlboro company and Philip Morris
D) Jay Conrad Levinson
D) Jay Conrad Levinson
122) A paintball “cat shoot” (at a painting of a cat) designed to raise funds for the local humane society while attracting attention and customers, is an example of:
A) guerilla marketing
B) lifestyle marketing
C) brand recognition development
D) poor marketing judgment due to alienating customers
A) guerilla marketing
123) Guerilla marketing would include all of the following characteristics, except:
A) a national campaign
B) interacting with consumers
C) personal communications
D) excitement that will spread to others
A) a national campaign
124) Guerilla marketing tactics include the following, except:
A) creativity
B) willingness to try something unusual
C) offering coupons and rebates
D) quality relationships
C) offering coupons and rebates
125) The following are reasons to use guerilla marketing, except:
A) to create buzz
B) to reach consumers that cannot be reached with traditional advertising
C) to interact with consumers
D) to build relationships with consumers
B) to reach consumers that cannot be reached with traditional advertising
126) The first step in guerilla marketing is to:
A) discover “touch points” with consumers
B) develop an alternative media campaign
C) choose the right people to head the guerilla marketing campaign
D) engage consumers in a dialogue about the best methods of reaching them
A) discover “touch points” with consumers
127) Which is associated with traditional marketing rather than guerilla marketing?
A) measure success by sales
B) measure success by profits
C) based on psychology and human behavior
D) aims messages at individuals and small groups
A) measure success by sales
128) Which is associated with guerilla marketing rather than traditional marketing?
A) measure success by sales
B) grows by adding customers
C) grows through existing customers and referrals
D) aims messages at large groups
C) grows through existing customers and referrals
129) All of the following concepts are associated with guerilla marketing, except:
A) requires energy and imagination
B) designed to obliterate the competition
C) aims messages at individuals and small groups
D) “you marketing,” based on how we can help “you”
B) designed to obliterate the competition
130) Lifestyle marketing:
A) emphasizes consumers passing along information about a product to other consumers
B) is designed to obtain instant results while using limited resources
C) is the planned insertion of a brand or product into a movie, television show, or some other media
D) involves identifying marketing methods associated with the hobbies and entertainment venues of a target market
D) involves identifying marketing methods associated with the hobbies and entertainment venues of a target market
131) Contacting consumers at places such as farmer’s markets, bluegrass festivals, city-wide garage sales, flea markets, craft shows, stock car races is:
A) alternative media venues
B) lifestyle marketing
C) branded entertainment
D) guerilla marketing
B) lifestyle marketing
132) Identifying marketing methods associated with the hobbies and entertainment venues of a target market is:
A) product placement
B) lifestyle marketing
C) branded entertainment
D) guerilla marketing
B) lifestyle marketing
133) Setting up a booth at a minor league baseball game or July 4th street celebration to sell a related product is an example of:
A) traditional advertising
B) lifestyle marketing
C) advocate programs
D) billboards
B) lifestyle marketing
134) When a new music store distributes literature and free key chains at a rock concert, the group is engaging in:
A) lifestyle marketing
B) an illegal act
C) a sponsorship program
D) public relations’ activities
A) lifestyle marketing
135) A furniture store setting up a special display of massage chairs at a children’s soccer tournament is an example of: ??
A) generating leads
B) developing a unique market niche
C) lifestyle marketing
D) creating a clearly defined product
C) lifestyle marketing
136) Experiential marketing combines the following, except:
A) direct marketing
B) guerilla marketing
C) field marketing
D) sales promotions
B) guerilla marketing
137) Experiential marketing typically involves:
A) providing samples to individuals through direct response tactics
B) a combination of guerrilla and buzz marketing tactics
C) generating buzz about a unique marketing event
D) direct marketing through interactive means, such as special events and free samples
D) direct marketing through interactive means, such as special events and free samples
138) Experiential marketing seeks to:
A) engage individuals with the brand rather than just provide free samples
B) generate buzz about a brand through stealth techniques
C) engage individuals in generating social media buzz
D) provide companies with a unique venue to reach consumers where they go for entertainment
A) engage individuals with the brand rather than just provide free samples
139) To increase the probability that a positive experience will occur from an experiential marketing event, companies should follow the following steps, except:
A) choose a clear, concise market segment to target
B) provide consumers an opportunity to generate buzz with other individuals
C) identify the right time and place to involve consumers with the brand
D) make sure the experience reveals clearly the brand’s promise
B) provide consumers an opportunity to generate buzz with other individuals
140) Product placement:
A) emphasizes consumers passing along information about a product to other consumers
B) is designed to obtain instant results while using limited resources
C) is the planned insertion of a brand or product into a movie, television show, or some other media
D) is the integration of entertainment and advertising by embedding brands into the storyline of a movie, television show, or other entertainment medium
C) is the planned insertion of a brand or product into a movie, television show, or some other media
141) The planned insertion of a brand or product into a movie, television show, or some other media program with the purpose of influencing viewers is:
A) branded entertainment
B) product placement
C) lifestyle marketing
D) guerilla marketing
B) product placement
142) Product placements have been a part of motion pictures since:
A) the turn of the 21st century
B) about 1990
C) the rise of the popularity of television in the 1950s
D) the beginning of motion pictures in the 1890s
D) the beginning of motion pictures in the 1890s
143) The biggest surge in the popularity of product placements occurred:
A) in 1982 when Reese’s Pieces were used to lure E.T. out of hiding
B) in the 1930s when Buick had a 10-picture deal with Warner Brothers for placement of cars in each of the movies
C) in 2007 when Tyson Foods sponsored ABC’s Extreme Makeover
D) when Colgate sponsored the Colgate Comedy Hour in the 1950s
A) in 1982 when Reese’s Pieces were used to lure E.T. out of hiding
144) Advertisers believe that product placements:
A) increase the brand’s equity and top choice scores
B) lead to increased awareness and more positive attitude toward the brand with only a few isolated cases of sales increases
C) lead to increased awareness and more positive attitude toward the brand with a corresponding increase in sales of the brand
D) work only if the product is related in some way to the theme of the television show or movie
B) lead to increased awareness and more positive attitude toward the brand with only a few isolated cases of sales increases
145) In most instances, the impact on sales of a product placement:
A) is immediate and large
B) is immediate, but small
C) is not immediate
D) seldom occurs at all
C) is not immediate
146) One key advantage of brand placement is:
A) the instant acceptance of the brand by viewers
B) the acceptance of the brand by the actors in the show or movie
C) the endorsement of the brand by the actors in the show or movie
D) the low cost-per-viewer
D) the low cost-per-viewer
147) Branded entertainment:
A) emphasizes consumers passing along information about a product to other consumers
B) is designed to obtain instant results while using limited resources
C) is the planned insertion of a brand or product into a movie, television show, or some other media
D) is the integration of entertainment and advertising by embedding brands into the storyline of a movie, television show, or other entertainment medium
D) is the integration of entertainment and advertising by embedding brands into the storyline of a movie, television show, or other entertainment medium
148) The integration of entertainment and advertising by embedding brands into the storyline of a movie, television show, or other entertainment medium is:
A) lifestyle marketing
B) product placement
C) branded entertainment
D) guerilla marketing
C) branded entertainment
149) Integrating a brand into the storyline of a movie, television show, or book is successful because:
A) the brand is more accepted by the viewing audience
B) the brand is much more noticeable to the viewing audience
C) it costs less than product placement
D) its extremely low cost-per-viewer
B) the brand is much more noticeable to the viewing audience
150) The use of branded entertainment increased sharply with the:
A) introduction of cable TV and the ability to target audience through specialty shows
B) increased interest in specialty shows like Extreme Makeover and Top Chef
C) rise of reality television shows where there is a lack of script and the focus is on the real world
D) popularity of the American Idol shows and fan voting
C) rise of reality television shows where there is a lack of script and the focus is on the real world
151) The key factors that influence the effectiveness of product placement and branded entertainment include the following, except:
A) media used
B) supporting promotional activities
C) consumer attitudes toward placements
D) costs
D) costs
152) The key factors that influence the effectiveness of product placement and branded entertainment include the following, except:
A) placement characteristics
B) supporting promotional activities
C) regulations
D) costs
d
153) Product placements and branded entertainment work because the primary goal is to:
A) increase brand awareness and liking
B) stimulate sales
C) build brand power
D) spur viewers to some type of action
A) increase brand awareness and liking
154) Of the following age groups, which one is most receptive to product placements and branded entertainment?
A) 15-34
B) 35-49
C) 50-64
D) 65+
A) 15-34
155) Budgets for product placements and branded entertainment have increased for the following reasons, except:
A) a brand’s appeal is stronger when it is shown in a nonadvertising context
B) the perception of what others think of a brand is important to consumers
C) seeing brands used in movies and television shows intensifies the desire to purchase the brand
D) seeing the brand used by other people provides postpurchase reassurance for individuals who have already purchased the brand
C) seeing brands used in movies and television shows intensifies the desire to purchase the brand
156) For moviemakers and television producers, the primary motivation behind product placements and branded entertainment is:
A) it increases interest in the show or movie
B) it makes the show or movie more realistic
C) feelings toward the brands used will transfer to the show or movie
D) money
D) money
157) The future use of product placements and branded entertainment will depend on: ??
A) the level of clutter in the placements
B) the costs
C) viewer acceptance
D) the measured impact on sales
A) the level of clutter in the placements
158) In-game brand placement in video games has all of the advantages of product placement and branded entertainment. In addition, it has the added benefit of:
A) being online
B) reaching females
C) reaching young males
D) interactivity
D) interactivity
159) All of the following are forms of video game advertising, except:
A) in-game advertisements
B) promogames
C) rotating in-game advertising
D) interactive ads
B) promogames
160) The original and most widespread form of video game advertising is:
A) advergames
B) rotating in-game advertisements
C) to have a brand placement in the game
D) interactive ads
C) to have a brand placement in the game
161) Examples of brand placements in video games would include the following, except:
A) a billboard for Goodyear tires in a racing game
B) a Pepsi vending machine in a war game
C) a Burger King restaurant society-building game
D) a General Motors racing car in a racing game
C) a Burger King restaurant society-building game
162) Advergames are:
A) video games built around a brand
B) interactive ads placed within a video game
C) rotating ads placed within a video game
D) branded video games
D) branded video games
163) Advergames are:
A) very popular and are often played more than 500,000 times per day
B) the most popular if they are placed on the brand’s website
C) played more if they are at a neutral site, such as Kewlbox.com
D) gaining in popularity with companies because the cost to advertise a brand on the game is free
A) very popular and are often played more than 500,000 times per day
164) Advertising in online video games offers the following benefits, except:
A) Web metrics that are not available with other forms of product placements
B) measures of the attitude of the game player towards the ads
C) ability to track length of ad exposure in the game
D) how long and how often an individual plays a game
B) measures of the attitude of the game player towards the ads
165) The primary disadvantage of video game advertising or product placement is:
A) the difficulty of convincing game makers to put in the ads and product placements
B) the low response rate of game players
C) the ad or product placement becomes static and is no longer noticed
D) the high cost of developing ads for games
C) the ad or product placement becomes static and is no longer noticed
166) The primary disadvantage of product placements within online video games is it will become static and the players will no longer notice it. To combat this problem, a company called Massive developed technology:
A) that allows players to choose the ad they want to see
B) that allows players to interact with the ad during the game
C) that allows players to use sponsored downloads, such as a particular brand of car in a racing game
D) to change ads in the online game in real time as individuals play or each time they play
D) to change ads in the online game in real time as individuals play or each time they play
167) An advantage to cinema advertising is:
A) the ads are being shown to a captive audience
B) there is very little clutter
C) the ads promote products that relate to the movie
D) movie goers pay more attention to the ads since they are waiting for the movie to start
A) the ads are being shown to a captive audience
169) In selecting alternative media to place advertisements, the goal is to:
A) find low-cost alternatives to replace traditional advertising
B) provide more opportunities for consumers to see an ad
C) find ways to either cut through ad clutter or go around clutter to reach people with a message
D) enhance traditional marketing efforts
C) find ways to either cut through ad clutter or go around clutter to reach people with a message
170) The majority of purchase decisions are made:
A) in the retail store
B) after seeing an advertisement
C) at lifestyle marketing events
D) online
A) in the retail store
171) Funds devoted to in-store marketing is:
A) a very small percentage of the total advertising and marketing budget
B) a significant percentage of the total advertising and marketing budget
C) based on the expected increase in sales
D) determined by how much retailers use the point-of-purchase displays furnished by the manufacturer
A) a very small percentage of the total advertising and marketing budget
172) In a survey of 600 consumers regarding clothing purchases, the type of advertising that had the most influence was:
A) print ads
B) in-store advertising
C) word-of-mouth communications
D) television ads
B) in-store advertising
173) The newest and most expensive in-store marketing tactic is:
A) end-of-aisle caps that are tied into the brand’s marketing effort
B) electronic, automated shopping carts
C) carefully placing and using video screens and television monitors
D) digital point-of-purchase displays
C) carefully placing and using video screens and television monitors
174) Digital media within a retail store offers retailers the opportunity to:
A) target specific consumers with specific products
B) sell advertising to manufacturers
C) increase the size of the shopping basket
D) customize messages to fit the particular retail store and even the aisle where the display is located
D) customize messages to fit the particular retail store and even the aisle where the display is located
175) POP stands for:
A) print-offer proposal
B) publicity over protocol
C) point-of-purchase
D) place of publication
C) point-of-purchase
176) Point-of-purchase displays are highly effective means for:
A) pull-demand strategies
B) brand parity situations
C) increasing sales
D) reciprocation tactics
C) increasing sales
177) Retailers want point-of-purchase displays that will:
A) boost sales for the store or draw customers into the store
B) boost sales for a particular brand
C) generate additional prospects
D) increase profit for the manufacturer
A) boost sales for the store or draw customers into the store
178) To be effective, point-of-purchase displays must:
A) clearly communicate the product’s attributes
B) offer a reduced price
C) match the store’s advertising theme
D) utilize digital or LED displays
A) clearly communicate the product’s attributes
180) The best, most effective point-of-purchase displays utilize the following techniques, except:
A) integrate the brand’s image into the display
B) integrate the display with current advertising and promotions
C) offers some type of price discount or promotional incentive
D) make the display dramatic to get attention
C) offers some type of price discount or promotional incentive
181) The best, most effective point-of-purchase displays utilize the following techniques, except:
A) keep the color of the display down so the product and signage stand out
B) make the display versatile so it can be easily adapted by retailers
C) make the display reusable and easy to assemble
D) use corrugated cardboard for the display
D) use corrugated cardboard for the display
182) The best, most effective point-of-purchase displays utilize the following techniques, except:
A) integrate the brand’s image with the retailer’s branding theme
B) integrate the display with current advertising and promotions
C) customize the display to fit the retailer’s store
D) make the display easy to stock
A) integrate the brand’s image with the retailer’s branding theme
183) An effective way of measuring the impact of point-of-purchase displays is to use:
A) day-after redemption rates
B) Internet focus groups
C) point-of-sale (POS) cash register data
D) behavioral observation studies
C) point-of-sale (POS) cash register data
184) The benefits to retailers of measuring the impact of POP displays with POS data include all of the following, except:
A) helps retailers decide when to withdraw a particular POP display
B) allows retailers to identify the POP displays with the largest impact on sales
C) allows retailers to compare different POP displays in different stores
D) allows retailers to know which POP displays are effective in attracting customers into the store
D) allows retailers to know which POP displays are effective in attracting customers into the store
185) The benefits to manufacturers for measuring the impact of point-of-purchase displays with point-of-sale data obtained from retailers include all of the following, except:
A) helps manufacturers to know where to locate a POP display within a retail store
B) allows manufacturers to measure the sales impact of different POP display
C) can be used to strengthen relationships with retailers
D) provides information so manufacturers can improve POP displays
A) helps manufacturers to know where to locate a POP display within a retail store
186) The ultimate demonstration of brand loyalty and brand devotion is:
A) a branded entertainment
B) guerilla marketing
C) a branded community
D) brand equity
C) a branded community
187) A company or brand with a strong brand community displays the following characteristics, except:
A) rich and long tradition
B) a unique position in the marketplace
C) a positive image
D) a high market share
D) a high market share
188) The following are reasons brand communities exist, except:
A) strong brand support
B) affirmation of the buying decision
C) social identity and bonding
D) swap stories
A) strong brand support
189) Companies can enhance a brand community spirit in the following ways, except:
A) create member benefits to encourage new customers to join the group
B) offer group members discounts on company merchandise
C) provide materials to the group that are not available anywhere else
D) involve firm employees in the group
B) offer group members discounts on company merchandise
190) Companies can enhance a brand community spirit in the following ways, except:
A) sponsor special events and regular meetings
B) promote communications among members of the group
C) build a strong brand reputation
D) offer memberships to individuals who have not purchased the particular brand
D) offer memberships to individuals who have not purchased the particular brand
To generate sales for 1400 Words, Paula Ramirez follows the classic selling steps of generating prospects, collecting information, qualifying prospects, making the sales call, and:

A) Creating a database
B) Following up
C) Collecting referrals for the future
D) referring clients to other companies when they do not fit th company

B) Following up
2. Successful database marketing emphasizes two things:

A) sales and contribution margin
B)Identifying customers and building relationship
C) Lifetime value of customers and data mining
D) datia mining and data coding

B)Identifying customers and building relationship
3. The primary benefit of database marketing is:
A) The enhancement of customer loyalty
B) Higher sales
C) Greater profits
D) greater brand parity
A) The enhancement of customer loyalty
4. An operational database contains:
A) transactions individuals have with a firm and the interactions as individual has with the firm
B) Information about current customers and customers of the competition
C) the transaction individuals have with a firm and follows accounting principles
D) Information about current customers, former customers, and prospects
C) the transaction individuals have with a firm and follows accounting principles
5. A marketing database contains:
A) transactions individuals have with a firm and the interactions an individual has with the firm
B) information about current customers, and customers of the competition
C) the transactions individuals have with a firm and ollows accounting principles
D) information about current customers, former customers, and prospects
D) information about current customers, former customers, and prospects
6. The easiest part of building a data warehouse is:
A) data coding through customer cluster analysis and lifetime value calculations
B) the appended demographic and psychographic information
C) obtaining the history of customer interactions and contact with a firm
D) collecting customer names and addresses
D) collecting customer names and addresses
7. The most cost-effective means of communicating with customers and in building a data warehouse is:
A) the telephone
B) computer cookies
C) the mail
D) the internet and email
D) the internet and email
8. An effective database contains:
A) all transactions a customer has with a firm and interactions that result in purchases
B) all transactions and all interactions a customer has with a firm
C) transaction, and interactions of customers that have a high lifetime value
D) all transaction of customers
B) all transactions and all interactions a customer has with a firm
9. Many times demographic and psychographic information about customers are not available through internal company records. In these situations:
A) the information can be purchased from external marketing research firms
B) a company can offer customers an incentive to provide the necessary information
C) the database can be appended with interaction and history information
D) geocoding can be appended to each customer’s record
A) the information can be purchased from external marketing research firms
10. Adding geographic codes to customer records to plot them on a map is called:
A) geoidentification
B) geocoding
C) finding neighborhood lifestyle clusters
D) commercial database service analysis
B) geocoding
11. Using geocoding, a company’s marketing department can add which to each customer’s record?
A) demographic information and lifestyle data as well as the geographical codes
B) total purchases made at each retail outlet in the area
C) demographic and political information
D) a composite analysis of his or her neighbors
A) demographic information and lifestyle data as well as the geographical codes
12. Two common forms of database coding are:
A) data mining and cluster customer analysis
B) lifetime value analysis and customer cluster analysis
C) lifetime value analysis and data mining
D) geocoding and data mining
B) lifetime value analysis and customer cluster analysis
13. A lifetime value analysis creates a figure that represents the:
A) sales revenue generated by a customer throughout his or her lifetime with a brand or company
B) present value of the profit revenue generated by a customer in a particular product category
C) present value of the profit revenue of a customer throughout the lifetime of a
relationship with a brand or company
D) profit revenue of a customer throughout his or her lifetime
C) present value of the profit revenue of a customer throughout the lifetime of a
relationship with a brand or company
14. Many marketing experts believe calculating the lifetime value of a market segment is superior to calculating the value for a single individual because it:
A) is a larger number
B) is more stable than an individual
C) adds costs that cannot be allocated per individual
D) sums costs across a market segment
D) sums costs across a market segment
15. In calculating the lifetime value of a market segment, the database are: figures that require an accurate
A) retention rates
B) fixed and variable costs
C) database costs and acquisition costs
D) marketing and advertising costs
A) retention rates
16. In determining lifetime value for individual customers, customer acquisition costs are determined by:
A) dividing advertising costs by the number of customer transactions
B) dividing the total marketing and advertising costs by the number of new customers
C) dividing the total marketing and advertising costs by the number of total customers
D) dividing the advertising costs associated with acquiring new customers by the number of new
customers
B) dividing the total marketing and advertising costs by the number of new customers
17. The process of building profiles of customers from a firm’s database is:
A) data warehousing
B) direct marketing
C) a commercial database service
D) data mining
D) data mining
18. Data mining is:
A) collecting addresses and zip codes of customers
B) reviewing past purchases of a product by customers
C) building profiles of customer segments and preparing models that predict their future
purchase behavior
D) selecting cities for data analysis
C) building profiles of customer segments and preparing models that predict their future
purchase behavior
19. The following are examples of data mining, except:
A) American Eagle studying how consumers respond to price markdowns
B) Goody’s analyzing baskets of merchandise purchased by individual consumers
C) Target identifying what other retail stores customers use for particular products
D) First Horizon Bank expanding its wealth management business by studying profiles of its best
customers
C) Target identifying what other retail stores customers use for particular products
20. Data mining can be used for each of the following purposes, except:
A) develop profiles of a firm’s best customers
B) develop profiles of customers who tend to purchase competing brands
C) identify current customers who fit the profile of a firm’s best customers
D) identify current customers who would be good prospects for crossselling other products
B) develop profiles of customers who tend to purchase competing brands
21. The primary reason for building a database, coding the information, and mining the data is to use the output to:
A) develop marketing programs customized for each customer
B) place customers into segments for the purpose of datadriven marketing programs
C) customize marketing programs to fit each market segment’s profile
D) establish oneonone communications with each customer
D) establish oneonone communications with each customer
22. A database-driven marketing program starts with assigning individual Internet customers IDs and passwords that:
A) allow them to access components of the company’s website that are not available to those
who are simply browsing the website
B) engage cookies to record personal information from the customer’s computer
C) allow a firm to customize the products it sells to fit the profile of each customer
D) allow a company to engage in an email marketing campaign
A) allow them to access components of the company’s website that are not available to those
23. Using identification IDs and passwords on a website for customers allow for each of the following benefits, except:
A) the customer can be greeted personally, by name
B) provides data for a customer cluster analysis
C) the content of the Web pages can be customized to fit the customer’s past browsing behavior
D) when an order is placed, the customer doesn’t have to type in his/her address and credit card
information
B) provides data for a customer cluster analysis
24. Many companies that sell clothes over the Internet will send e-mail messages or an e-mail newsletter to customers who are interested in keeping up with the latest fashion news. This strategy is most successful if it is based on:
A) lifetime value and customer cluster analysis
B) data mining
C) customer profile information the customer has provided to the company
D) customer profile information obtained through cookies
C) customer profile information the customer has provided to the company
25. The process of searching a database for a specific piece of information, such as a birthday, for marketing purposes is:
A) data mining
B) customer cluster analysis
C) data coding
D) trawling
D) trawling
26. Haley often purchases clothes from the VF Corporation online. On her birthday, the VF Corporation sends her an e-mail birthday card with a free voucher for $20 for her next online purchase. This is an example of:
A) data mining
B) customer cluster analysis
C) data coding
D) trawling
D) trawling
27. When promotional materials are only sent to customers who have given their approval, the program is called:
A) direct mail
B) Internet marketing
C) permission marketing
D) a frequency program
C) permission marketing
28. Response rates are often higher for permissions marketing programs because:
A) consumers are receiving marketing material they have given permission for
B) consumers are highfrequency purchasers
C) consumers can reject any offer that is made
D) consumers are contacted only by mail
A) consumers are receiving marketing material they have given permission for
29. With a permission marketing program, customer permission is normally obtained:
A) through thirdparty marketing research firms
B) when customers make an online purchase
C) by providing an incentive, such as a free gift, a coupon, or entry into a sweepstakes
D) by using cookies obtained from the individual’s visit to the website
C) by providing an incentive, such as a free gift, a coupon, or entry into a sweepstakes
30. Consumers often ignore marketing information sent to them after joining a permissions marketing program because:
A) the products are too costly
B) the marketing pieces are not relevant any more
C) they can no longer win prizes or receive free gifts
D) the person has moved and did not leave a forwarding address or email
B) the marketing pieces are not relevant any more
31. According to Direct Marketing, the number one reason consumers remain in a permission marketing program is:
A) they receive account status updates
B) contests and sweepstakes being offered
C) price bargains offered
D) the content is interesting
D) the content is interesting
32. To optimize permission marketing programs, firms must feature:
A) prizes and price discounts
B) regular newsletters
C) entertaining content and account information
D) empowerment and reciprocity
D) empowerment and reciprocity
33. To optimize permission marketing, firms must grant customers empowerment, which means customers:
A) have power to choose why they want grant permission
B) have control over when and what material is sent to them
C) control when they optin and when they optout of the program
D) believe they have power throughout the entire relationship, not just at the beginning
D) believe they have power throughout the entire relationship, not just at the beginning
34. To maintain positive attitudes in a permission marketing program, consumers must be given rewards along the way, not just at the beginning. Doing so creates the feeling of:
A) empowerment
B) reciprocity
C) loyalty
D) satisfaction
B) Reciprocity
35. Frequent flier miles in airline travel are a form of:
A) direct marketing
B) permission marketing
C) frequency program
D) ridealong program
C) frequency program
36. Typical goals for frequency or loyalty programs include all of the following, except:
A) build brand parity
B) induce cross-selling to existing customers
C) differentiate a parity brand
D) preempt the entry of a new brand
A) build brand parity
37. Customers cite the following benefits to be a member of frequency or loyalty programs, except:
A) better deals and offers
B) entertaining content
C) discounts and savings
D) recognition and appreciation
B) entertaining content
38. The following are principles for building a successful frequency or loyalty program, except:
A) exclude less valuable customers through data mining
B) design the program to enhance the value of the product
C) calculate the full cost of the program
D) design a program that maximizes the customer’s motivation to make the next purchase
A) exclude less valuable customers through data mining
39. The most likely individuals to be enticed to join a
frequency or loyalty program are:
A) light users
B) moderate users
C) heavy users
D) new users
B) moderate users
40. In terms of providing members of a frequency program with rewards, research indicates the best method is to provide rewards:
A) only when requested
B) with every person
C) using a fixed ratio schedule
D) using a variable ratio schedule
D) using a variable ratio schedule
41. The program designed to build long-term loyalty and bonds with customers that are facilitated by technology is:
A) permission marketing
B) direct marketing
C) customer relationship management
D) frequency marketing
C) customer relationship managemen
42. The key reason many CRM programs failed was:
A) failure to differentiate customer profiles
B) firms did not understand customers…
C) a focus on technology rather than people
D) a focus on sales rather than enhancing relationships with customers
D) a focus on sales rather than enhancing relationships with customers
43. The two primary metrics of CRM are:
A) datadriven communications and datadriven marketing programs
B) lifetime value and customer cluster analysis
C) data mining and data coding
D) lifetime value of customers and share of customer
D) lifetime value of customers and share of customer
44. If Amelia spends $300 per year at The Gap and spends an average of $1500 per year on clothes, then the share of customer for The Gap:
A) is 20 percent
B) is 50 percent
C) is $300
D) cannot be determined with the information provided
A) is 20 percent
45. In developing a CRM program, the “share” of customer term refers to:
A) the potential value that could be added to a given customer’s lifetime value
B) the lifelong earnings of a customer
C) the share of a customer’s income that is spent on a particular product
D) the percentage of time spent on acquiring the customer’s loyalty
A) the potential value that could be added to a given customer’s lifetime value
46. Vending products to customers without the use of other channel members is:
A) database marketing
B) direct marketing or direct response marketing
C) indirect marketing
D) bypass marketing
B) direct marketing or direct response marketing
47. The most common method of direct-marketing is:
A) direct mail
B) telemarketing
C) direct response mass media
D) emails
A) direct mail
48. The most common approach to direct mail is to:
A) use the firm’s database list
B) purchase a mailing list
C) mass mail everyone within specific geocodes
D) use trawling to parse the mailing list
B) purchase a mailing list
49. In purchasing a direct mailing list, a response list consists of individuals who have:
A) met a specific demographic profile
B) responded to previous direct mail offers made by the company purchasing the list
C) made purchases or responded to direct mail offers in the past
D) responded to a direct mail offer within the last 30 days
C) made purchases or responded to direct mail offers in the past
50. In purchasing a direct mailing list, a “hot” list consists of individuals who have:
A) met a specific demographic profile
B) responded to previous direct mail offers made by the company purchasing the listC) made purchases or responded to direct mail offers in the past
D) responded to a direct mail offer within the last 30 days
D) responded to a direct mail offer within the last 30 days
51. In purchasing a direct mailing list, a compiled list consists of individuals who have:
A) met a specific demographic profile
B) responded to previous direct mail offers made by the company purchasing the list
C) made purchases or responded to direct mail offers in the past
D) responded to a direct mail offer within the last 30 days
A) met a specific demographic profile
52. The direct marketing technology that allows for customized printing of material is called:
A) data mining
B) digital directtopress
C) digital computerization
D) direct press
B) digital direct-to-press
53. In terms of online sales, in many cases, receiving which of the following is the first step in the buying process?
A) direct mail flyer
B) email
C) catalog
D) telemarketing call
C) catalog
54. Successful cataloging today requires:
A) a companion website to facilitate purchasing
B) an enhanced database for better targeting of catalogs
C) data mining to determine best profiles of high catalog purchasers
D) digital directtopress technology
B) an enhanced database for better targeting of catalogs
55. When Carrie hosts a party for Mark cosmetics and invites her friends and relatives in an effort to encourage them to purchase some Mark products, it is which method of direct response marketing?
A) trawling
B) direct sales
C) permission marketing
D) a frequency program
B) direct sales
56. The least popular form of direct marketing is:
A) email
B) direct mail
C) inbound telemarketing
D) outbound telemarketing
D) outbound telemarketing
57. Outbound direct response telemarketing is most successful when:
A) it is tied into a database and either customers or prospects are being called
B) the calls are made from a compiled list
C) individuals who have visited the company’s website are called
D) it is used for crossselling
A) it is tied into a database and either customers or prospects are being called
58. The first step in the selling process is:
A) generating leads
B) sales presentation
C) knowledge acquisition
D) qualifying prospects
A) generating leads
59. The second step in the selling process, after
generating leads, is:
A) handling objections
B) sales presentation
C) knowledge acquisition
D) qualifying prospects
D) qualifying prospects
60. The third step in the selling process, after qualifying prospects, is:
A) handling objections
B) sales presentation
C) knowledge acquisition
D) identifying prospects
C) knowledge acquisition
61. The fourth step in the selling process, after knowledge acquisition, is:
A) handling objections
B) sales presentation
C) followup
D) qualifying prospects
B) sales presentation
62. In the selling process, ________ follows the sales presentation.
A) handling objections
B) knowledge acquisition
C) sales closing
D) followup
A) handling objections
63. Jennifer is a salesperson and has just finished answering objections of a client. The next step in the selling process for Jennifer is:
A) to make the sales presentation
B) acquire knowledge of the client
C) the sales closing
D) the followup
C) the sales closing
64. In terms of generating leads for personal selling, the
best method is:
A) networking
B) referrals
C) databasegenerated leads
D) directories
B) referrals
65. In terms of generating leads for personal selling, the best referrals are from:
A) channel members
B) vendors
C) other salespeople
D) current customers
D) current customers
66. In terms of generating leads for personal selling, the worst method is:
A) networking
B) directories
C) databasegenerated leads
D) cold calls
D) cold calls
67. Sales leads should be qualified and placed into categories based on:
A) sales potential and probability of acquisition
B) profit potential and probability of acquisition
C) sales potential and profit potential
D) the share of the customer currently held and the potential for increasing the share
A) sales potential and probability of acquisition
68. When qualifying sales prospects, Jason places each lead in one of four baskets ranging from A to D with A leads the best and D leads the worst. Using this method of categorization, the appropriate strategy for “A” leads would be:
A) do nothing currently, but monitor the lead for possible future changes
B) contact the lead using telemarketers
C) receive a sales call from one of the firm’s salespeople
D) send the lead marketing materials and encourage them to make inquiries if they are interested
C) receive a sales call from one of the firm’s salespeople
69. When qualifying sales prospects, Jason places each lead in one of four baskets ranging from A to D with A leads the best and D leads the worst. Using this method of categorization, the appropriate strategy for “B” leads would be:
A) do nothing currently, but monitor the lead for possible future changes
B) contact the lead using telemarketers
C) receive a sales call from one of the firm’s salespeople
D) send the lead marketing materials and encourage them to make inquiries if they are interested
B) contact the lead using telemarketers
70. When qualifying sales prospects, Jason places each lead in one of four baskets ranging from A to D with A leads the best and D leads the worst. Using this method of categorization, the appropriate strategy for “C” leads would be:
A) do nothing currently, but monitor the lead for possible future changes
B) contact the lead using telemarketers
C) receive a sales call from one of the firm’s salespeople
D) send the lead marketing materials and encourage them to make inquiries if they are interested
D) send the lead marketing materials and encourage them to make inquiries if they are interested
71. During the knowledge acquisition stage of the selling process, a salesperson should gather all the following information, except:
A) identify the current price that the prospect is paying
B) know and understand the prospect’s customers
C) identify the prospect’s needs
D) understand the prospect’s business
A) identify the current price that the prospect is paying
72. During the knowledge acquisition stage of the selling process, a salesperson should gather all the following information, except:
A) evaluate the risk factors
B) identify the product users
C) evaluate the switching costs
D) identify the decision makers and influencers
B) identify the product users
73. The stimulus-response
sales approach:
A) strives to discover a customer’s needs during the first part of the sales call and then provide
solutions to those needs
B) requires the two organizations to develop a common mission
C) requires employees from the selling organization to analyze the buyer’s business
D) uses specific statements (stimuli) to elicit specific responses from customers
D) uses specific statements (stimuli) to elicit specific responses from customers
74. The need-satisfaction sales approach:
A) strives to discover a customer’s needs during the first part of the sales call and then provide
solutions to those needs
B) requires the two organizations to develop a common mission
C) requires employees from the selling organization to analyze the buyer’s business
D) uses specific statements (stimuli) to elicit specific responses from customers
A) strives to discover a customer’s needs during the first part of the sales call and then provide
75. In terms of the sales presentation, the ________ approach uses specific statements, or stimuli, to elicit specific responses from customers.
A) missionsharing
B) need-satisfaction
C) problem-solution
D) stimulus-response
D) stimulus-response
76. In terms of the sales presentation, the ________ approach is often used by telemarketers, retail sales clerks, and new field salespeople.
A) mission-sharing
B) need-satisfaction
C) problem-solution
D) stimulus-response
D) stimulus-response
77. In terms of the sales presentation, the ________ approach strives to discover customer needs during the first part of the sales presentation and then provides solutions to those needs during the second part of the sales call.
A) missionsharing
B) needsatisfaction
C) problemsolution
D) stimulusresponse
B) needsatisfaction
78. The problem-solution sales approach:
A) strives to discover a customer’s needs during the first part of the sales call and then provide
solutions to those needs
B) requires the two organizations to develop a common mission
C) requires employees from the selling organization to analyze the buyer’s business
D) uses specific statements (stimuli) to elicit specific responses from customers
C) requires employees from the selling organization to analyze the buyer’s business
79. The mission-sharing sales approach:
A) strives to discover a customer’s needs during the first part of the sales call and then provide
solutions to those needs
B) requires the two organizations to develop a common mission
C) requires employees from the selling organization to analyze the buyer’s business
D) uses specific statements (stimuli) to elicit specific responses from customers
B) requires the two organizations to develop a common mission
80. In terms of the sales presentation, the ________ approach requires salespeople from the selling organization to analyze the buyer’s business.
A) missionsharing
B) needsatisfaction
C) problemsolution
D) stimulusresponse
C) problemsolution
81. In handling objections during the sales call, Brandon (the salesperson) normally answers the objection directly. This approach is called the:
A) compensation method
B) “feel, felt, found” method
C) headon method
D) indirect method
C) headon method
82. In handling objections during the sales call, Nevaeh (the salesperson) tries to avoid confrontation and never wants to tell the customer he or she is wrong. Instead, Nevaeh will sympathize with the customer and then provide the correct information. This approach is called the:
A) compensation method
B) “feel, felt, found” method
C) headon method
D) indirect method
D) indirect method
83. In handling objections during the sales call, Gavin (the salesperson) normally will say “yes, but …” then proceed to explain his brand’s benefits or features that will address the objection raised. This approach is called the:
A) compensation method
B) “feel, felt, found” method
C) headon method
D) indirect method
A) compensation method
84. In handling objections during the sales call, Jasmine (the salesperson) will let the customer talk about his or her fears or worries, then relate the experience of a similar customer and how the brand Jasmine is selling met those worries. This approach is called the:
A) compensation method
B) “feel, felt, found” method
C) headon method
D) indirect method
B) “feel, felt, found” method
85. With the head-on approach to handling objections, the salesperson:
A) will allow the customer to talk about his or her fears and worries, then relate how another
customer had similar fears and how the product being sold met those fears or worries
B) answers the objection directly
C) will reply “yes, but …” and then explain how the product’s benefits will answer the customer’s
objection
D) avoids confrontation by sympathizing with the customer, then provides the correct
information
B) answers the objection directly
86. With the indirect approach to handling objections, the salesperson:
A) will allow the customer to talk about his or her fears and worries, then relate how another
customer had similar fears and how the product being sold met those fears or worries
B) answers the objection directly
C) will reply “yes, but …” and then explain how the product’s benefits will answer the customer’s
objection
D) avoids confrontation by sympathizing with the customer, then provides the correct
information
D) avoids confrontation by sympathizing with the customer, then provides the correct
information
87. With the compensation approach to handling objections, the salesperson:
A) will allow the customer to talk about his or her fears and worries, then relate how another
customer had similar fears and how the product being sold met those fears or worries
B) answers the objection directly
C) will reply “yes, but …” and then explain how the product’s benefits will answer the customer’s objection
D) avoids confrontation by sympathizing with the customer, then provides the correct
information
C) will reply “yes, but …” and then explain how the product’s benefits will answer the customer’s objection
88. With the “feel, felt, found” approach to handling objections, the salesperson:
A) will allow the customer to talk about his or her fears and worries, then relate how another
customer had similar fears and how the product being sold met those fears or worries
B) answers the objection directly
C) will reply “yes, but …” and then explain how the product’s benefits will answer the customer’s
objection
D) avoids confrontation by sympathizing with the customer, then provides the correct
information
A) will allow the customer to talk about his or her fears and worries, then relate how another
customer had similar fears and how the product being sold met those fears or worries
89. Kaylee is getting ready to close her sales call. She feels she has answered all of the prospects objections and feels confident that the prospect is ready to buy. The best close for her would be the:
A) continuous “yes” close
B) direct close
C) summarization close
D) assumptive close
B) direct close
90. Gabriella is getting ready to close her sales call. She asks for the order outright. This would be a(n):
A) continuous “yes” close
B) direct close
C) summarization close
D) assumptive close
B) direct close
91. Sydney is getting ready to close her sales call. She is not sure the prospect is quite ready so she solicits feedback that provides information regarding the customer’s reaction, without asking directly for the order. This is an example of the
A) continuous “yes” close
B) trial method close
C) summarization close
D) assumptive close
B) trial method close
92. Kathy is getting ready to close her sales call. She is not sure the prospect is quite ready so she goes over the benefits of the product and how it meets the customer’s needs prior to asking for the order. This is an example of the:
A) continuous “yes” close
B) trial method close
C) summarization close
D) assumptive close
C) summarization close
93. Destiny is getting ready to close her sales call. She assumes the customer will say “yes” so she just asks how many cases they would like shipped. This is an example of the:
A) continuous “yes” close
B) trial method close
C) summarization close
D) assumptive close
D) assumptive close
87) When a manufacturer offers a special promotion to other companies for their use and not for
resale, it is a:
A) consumer promotion
B) bonus program
C) trade promotion
D) brand awareness program
A) consumer promotion
88) The primary vehicle for distributing print coupons and coupons in general is:
A) magazines
B) newspapers
C) direct mail
D) free standing inserts (FSI)
B) Newspapers
89) Free Standing Inserts (FSI) are found primarily in:
A) magazines
B) newspapers
C) shopping malls
D) catalogs
B) Newspapers
90) A coupon placed on a package to be used during the purchase is called a(n):
A) freestanding coupon
B) bounceback coupon
C) instantredemption coupon
D) rebate coupon
C) instant-redemption coupon
91) Vanish has a $1.00off coupon attached to the container that can be easily removed, which is
an example of a(n):
A) instantredemption coupon
B) bounceback coupon
C) crossruffing coupon
D) responseoffer coupon
A) Instant-redemption coupon
92) A bounceback coupon is:
A) not immediately redeemable
B) not normally distributed by a manufacturer
C) a form of premium
D) used at the time the product is purchased
A) not immediately redeemable
93) Bounceback coupons are used to encourage:
A) brand switching
B) repeat purchases
C) trial purchases
D) brand loyalty
B) repeat purchases
94) A $1.00 coupon is placed inside a box of Quaker Oats. This is an example of a(n):
A) instantredemption coupon
B) bounceback coupon
C) crossruffing coupon
D) response offer coupon
B) bounce-back coupon
95) When a cash register triggers a coupon for a product, it is called a:
A) bounceback coupon
B) scanner-delivered coupon
C) cross-ruffing coupon
D) response offer coupon
B) scanner-delivered coupon
96) Scannerdelivered coupons encourage:
A) brand switching
B) repeat purchases
C) trial purchases
D) brand loyalty
A) brand switching
97) A coupon on a 2liter bottle of Pepsi, offering $1.00 off on a bag of potato chips, is which
type of coupon?
A) crossruffing
B) scannerdelivered
C) responseoffer
D) instantredemption
A) cross-ruffing
98) A coupon for $3.00 off on a package of six golf balls placed on a golf club cover is a:
A) response offer coupon
B) crossruffing coupon
C) premium
D) bonus offer
B) cross-ruffing coupon
99) Prizes or gifts that consumers receive when purchasing products are called:
A) addins
B) premiums
C) purchase incentives
D) giveaways
B) premiums
100) Some marketing experts believe that the overuse of coupons can damage a brand’s image,
while the use of which of the following can actually enhance a brand’s image?
A) contests and sweepstakes
B) bonus packs
C) sampling
D) premiums
D) premiums
101) A gift sent by mail to a customer, based on a proof-of-purchase receipt, is which type of
premium?
A) free-in-the-mail
B) self-liquidating
C) bounceback
D) instant-redemption
A) free-in-the-mail
102) A toy placed inside a box of cereal is an example of a(n):
A) bonus pack
B) in-package premium
C) store premium
D) self-liquidating premium
B) in-package premium
103) A Star Wars action figure given when a customer buys a Whopper meal at Burger King
would be a(n):
A) bounceback premium
B) in or onpackage premium
C) store or manufacturer premium
D) selfliquidating premium
C) store or manufacturer premium
104) Consumers must pay a small amount of money for a(n):
A) in or onpackage premium
B) crossruffing premium
C) store premium
D) selfliquidating premium
D) self-liquidating premium
105) Each of the following are important keys to building a successful premium program, except:
A) match the premium to the target market
B) select premiums that are highly popular and current fads
C) select premiums that reinforce the firm’s product and image
D) integrate the premium with other IMC tools
B) select premiums that are highly popular and current fad
106) In which of the following may participants win a prize without performing any type of
activity?
A) contest
B) sweepstakes
C) premium
D) priceoff program
B) sweepstakes
107) A “write our new slogan” event that awards a prize to the winning slogan is a(n):
A) contest
B) sweepstakes
C) premium
D) illegal activity
A) contest
108) Which is related to the actual attractiveness of a prize in a contest?
A) intrinsic value
B) extrinsic value
C) redemption rates
D) Internet inquiries
B) extrinsic value
109) For most people, a free trip to Hawaii is an example of a prize with high:
A) intrinsic value
B) extrinsic value
C) redemption rates
D) Internet inquiries
B) extrinsic value
110) The enjoyment of playing or participating in a contest is called:
A) intrinsic value
B) extrinsic value
C) redemption value
D) historic value
A) intrinsic value
111) Which type of contest or sweepstakes has grown in usage during the past decade?
A) scanner delivered
B) newspaper and magazine
C) television through infomercials
D) Internet and social media
D) internet and social media
112) Cash returns on soft goods, such as food or clothing, are called:
A) refunds
B) rebates
C) billback programs
D) premiums
A) refunds
113) Cash returns on hard goods, such as appliances and electronics, are:
A) refunds
B) rebates
C) bounceback couponsD) premiums
B) rebates
114) Andy will not purchase a computer unless the manufacturer offers a rebate. This is an
example of which of the following problems associated with refund and rebate programs?
A) fraud and misredemption
B) costs
C) paperwork to process the refund or rebate
D) diminished effectiveness
D) diminished effectiveness
115) The delivery of a product to consumers for their use or consumption for free is a:
A) coupon program
B) premium
C) bonus pack
D) sampling program
D) sampling program
116) When timeshare properties offer to let you stay for a night or weekend on the condition you
listen to a sales pitch, they are using which consumer promotion technique?
A) sampling
B) a premium
C) priceoff
D) coupon
A) sampling
117) Of the following consumer promotions, the best for encouraging consumers to try a new
product is:
A) coupons
B) sampling
C) premiums
D) contests or sweepstakes
B) sampling
118) Cooking food in a grocery store and giving small pieces of the food to consumers who pass
by is which form of sampling?
A) instore distribution
B) direct
C) response
D) crossruffing
A) in-store distribution
119) When samples are mailed or delivered doortodoor, which form of sampling is being used?
A) instore distribution
B) direct
C) bonus pack
D) cross ruffing
B) direct
120) Placing a sample bar of soap in every mail box within a 10block area is an example of:
A) direct sampling
B) crossruff sampling
C) selective sampling
D) response sampling
A) direct sampling
121) Providing a small sample of laundry detergent with the purchase of dryer sheets is called:
A) direct sampling
B) response sampling
C) crossruff sampling
D) media sampling
C) cross-ruff sampling
122) A small perfume sample placed in a magazine is a:
A) direct sampling program
B) response sampling program
C) media sampling program
D) selective sample program
C) media sampling program
123) A pharmaceutical company giving free samples of medicine to a physician is:
A) unethical influence
B) professional sampling
C) selective sampling
D) media sampling
B) professional sampling
124) Giving out samples at a site such as a state fair, parade, or sporting event is:
A) direct sampling
B) response sampling
C) crossruff sampling
D) selective sampling
D) selective sampling
125) In recent years, marketers have increased the use of which medium for distributing samples?
A) broadcast media
B) free standing inserts (FSI)
C) magazines
D) direct mail
B) free standing inserts (FSI)
126) The primary advantage of Internet sampling to the firm providing the sample is that:
A) it is cheaper than the other methods of distribution
B) more expensive samples can be provided
C) only individuals who request the sample will receive it
D) the target market of the sample tends to have a higher educational level and higher income
C) only individuals who request the sample will receive it
127) The primary disadvantage of sampling is:
A) inability to target the sample effectively
B) diminished effectiveness
C) lack of visibility
D) cost of producing and distributing the sample
A) inability to target the sample effectively
128) The key to a successful sampling program is:
A) targeting the right audience
B) reducing the costs of distribution
C) gaining visibility prior to the sampling program
D) the cooperation of retailers and other channel members
A) targeting the right audience
129) Adding an extra bar of soap to a three pack and offering it at a special price is a:
A) rebate pack
B) prize package
C) bonus pack
D) selective sample
C) bonus pack
130) If Colgate packages two tubes of toothpaste together to sell at a special price, it is an
example of a:
A) crossruffing premium
B) rebate
C) bonus pack
D) selfliquidating premium
C) bonus pack
131) Each of the following is a reason to offer a bonus pack, except:
A) increase usage of the product
B) stimulate trial purchase
C) match or preempt competitive actions
D) stockpile the product
B) stimulate trial purchase
132) The following are reasons to use a bonus pack, except:
A) develop customer loyalty
B) attract new users
C) enhance brand parity
D) encourage brand switching
C) enhance brand parity
133) Bonus packs can lead to brand switching if the consumer:
A) is price-sensitive
B) is promotion-sensitive
C) believes the bonus exceeds 30 percent
D) has purchased the brand previously
D) has purchased the brand previously
134) One method of maintaining brand loyalty and reducing brand switching at a minimal cost is:
A) coupons
B) bonus packs
C) contests and sweepstakes
D) sampling
B) bonus packs
135) A temporary price reduction that is marked on the product’s package is a:
A) bonus offer
B) priceoff
C) premium
D) bad idea, because the retailer may not honor the price
B) price off
136) Folks Southern Kitchen advertises in the local newspaper a special $7.99 lunch special at
any of its outlets during March. What type of promotion is being used?
A) coupon
B) sampling
C) premium
D) priceoff
D) price of
137) A priceoff program:
A) is effective for individuals that have a high degree of brand loyalty to a competing brand
B) has little impact on sales
C) usually boosts sales, but it can hurt profits
D) decreases price sensitivity over time
C) usually boosts sales, but it can hurt profits
138) Two or more consumer promotional activities combined into a single campaign is a(n):
A) intercompany tiein
B) intracompany tiein
C) overlay
D) premium
C) overlay
139) Fisher Boy has both a 55 centsoff coupon and an entry form for a sweepstakes in an
advertisement, which is an example of a(n):
A) intercompany tiein
B) intracompany tiein
C) overlay
D) bonus pack
C) overlay
141) When two products from different companies are promoted together, using one consumer
promotion, it is a(n):
A) intracompany tiein
B) intercompany tiein
C) overlay
D) premium
B) intercompany tie-in
142) Tyson and General Foods developed a joint consumer promotion, which is an example of
a(n):
A) intracompany tie-in
B) intercompany tie-in
C) overlay
D) premium
B) intercompany tie-in
143) Which category best responds to coupons and premiums?
A) promotionprone consumers
B) brandloyal consumers
C) brandimage consumers
D) pricesensitive consumers
A) promotion-prone consumers
144) A consumer who only purchases his or her favorite brand is:
A) promotion prone
B) brand loyal
C) brand responsive
D) price sensitive
B) brand loyal
145) In terms of planning promotions, consumers can be divided into the following categories,
except:
A) promotion prone
B) brand loyal
C) price sensitive
D) casual purchasers
D) casual purchasers
146) A consumer who makes the purchase decision based on price is:
A) promotion prone
B) brand loyal
C) a repeat buyer
D) price sensitive
D) price sensitive
147) Britney likes to use coupons and tends to purchase whichever brand of food has the best
coupon offer. Britney is which type of consumer?
A) promotion prone
B) brand loyal
C) price sensitive
D) shopper prone
A) promotion prone
148) Trey likes to drink Pepsi and will use a consumer promotion, such as a coupon or premium,
only if it is for Pepsi. Trey is which type of consumer?
A) promotion prone
B) brand loyal
C) price sensitive
D) shopper prone
B) brand loyal
149) Oscar is on a tight budget so he uses the consumer promotions that will give him the best price for products he buys. Oscar is which type of consumer?
A) promotion prone
B) brand loyal
C) price sensitive
D) shopper prone
C) price sensitive
150) The primary reasons retailers give for supporting a manufacturer’s consumer promotions
program include each of the following, except:
A) increase store traffic
B) increase store sales
C) increase sales of the manufacturer’s brand
D) attract new customers
C) increase sales of the manufacturer’s brand
151) Trade promotions are distinguished from other marketing and IMC tools in that they:
A) involve extensive advertising
B) are offered to consumers
C) are used to entice other members of the marketing channel to make purchases
D) are limited to activities by manufacturers
C) are used to entice other members of the marketing channel to make purchase
152) The primary role of trade promotions is to:
A) build brand equity
B) encourage trial purchases
C) pull products through the channel
D) push products through the channel
D) push products through the channel
153) Offering financial incentives to channel members in order to motivate them to make a
purchase is a:
A) trade allowance
B) trade incentive
C) trade contest
D) vendor support program
A) trade allowance
154) Trade allowances include all of the following, except:
A) offinvoice allowance
B) exit fees
C) trade shows
D) slotting fees
C) trade shows
155) Financial discounts on cases or pallets of merchandise ordered are called:
A) consumer promotions
B) off-in-voice allowances
C) cooperative advertising
D) spiff money
B) off-invoice allowance
156) Funds paid to retailers to stock new products are:
A) prepaid off-in-voice allowances
B) dropship allowances
C) quantity discounts
D) slotting fees
D) slotting fees
157) A retailer stands to gain a direct payment from:
A) an offinvoice allowance
B) a dropship allowance
C) slotting fees
D) forward buying
C) slotting fees
158) Manufacturers use each of the following arguments against paying slotting fees, except:
A) they are a form of extortion
B) the fees favor new companies
C) manufacturers are forced to pay millions of dollars that could be used for advertising, sales
promotions, and other marketing efforts
D) the fees favor large manufacturers over small manufacturers
B) the fees favor new companies
159) Monies paid to remove an item from a retailer’s inventory are:
A) reverse slotting fees
B) brokerage allowances
C) exit fees
D) cooperative merchandising agreements
C) exit fees
160) Exit fees are paid for:
A) covering the cost of removing unsuccessful products from inventory
B) getting a retailer to agree to limit purchases from another vendor
C) shipping costs
D) cooperative advertising programs
A) covering the cost of removing unsuccessful products from inventory
161) Retailers use each of the following reasons to justify slotting fees, except:
A) retailers must invest time and money in new products
B) the fees help retailers finalize decisions about carrying new products
C) the fees reduce the number of new products that are introduced each year
D) the fees level the playing field between small and large retail outlets
D) the fees level the playing field between small and large retail outlet
162) When the price of product is reduced through a trade allowance, it is referred to as being:
A) on-deal
B) off-deal
C) a side deal
D) a slotting fee
A) on-deal
163) When a retailer purchases excess inventory of a product while it is on-deal to sell later when
it is off-deal, the process is:
A) a diversion
B) quantity-seeking
C) forward buying
D) a slotting fee
C) forward buying
164) When a retailer stocks up on Maxwell House coffee while it is ondeal to sell them later when they are offdeal, it is:
A) a diversion
B) quantityseeking
C) forward buying
D) a slotting fee
C) forward buying
165) When provided with an offer of a 10% discount to purchase 10,000 electronic calculators within the next 30 days, Target buys 30,000 instead to take advantage of the price discount. Target will offer the calculator to consumers at a discount during the special sale, but then have additional calculators to sell when the sale is over. This is an example of:
A) an offinvoice allowance
B) slotting fee
C) forward buying
D) diversion
C) forward buying
166) When a retailer purchases a product ondeal in one location and ships it to another where it
is offdeal, the process is:
A) exit forwarding
B) a diversion
C) a transaction alteration
D) forward buying
B) a diversion
167) In terms of trade allowances, extra shipping costs occur when a retailer engages in:
A) slotting fees
B) exit fees
C) forward buying
D) diversion
D) diversion
168) The primary disadvantage to a retailer in using diversion is:
A) additional shipping costs
B) additional carrying costs
C) exit fees
D) slotting fees
A) additional shipping costs
169) Rewards given as contest prizes to brokers, retail salespeople, retail stores, wholesalers, or
agents would be considered a:
A) trade allowance
B) trade contest
C) cooperative merchandise agreement
D) dropship allowance
B) trade contest
170) Rewards given to channel members such as brokers, retail salespeople, and others as prizes
for winning a contest are known as:
A) slotting fees
B) volume incentives
C) spiff money
D) pay for play
C) spiff money
171) The primary difference between trade incentives and trade allowances is that for the trade
incentive:
A) the retailer must perform some type of function in order to receive the trade incentive
B) the manufacturer must perform some type of function to encourage the retailer to accept the
merchandise
C) the retailer receives a price break if they order a specific quantity
D) involves a price reduction being passed on to consumers by retailers
A) the retailer must perform some type of function in order to receive the trade incentive
172) A formal agreement between a retailer and a manufacturer to undertake a twoway
marketing effort is:
A) alliance of capital
B) cooperative merchandising agreement
C) venture agreement
D) sales promotion
B) cooperative merchandising agreement
173) A retailer agrees to display a particular brand of shoes in the front of the store and on a
special endofaisle display in exchange for a price discount by the manufacturer. This is an
example of a:
A) trade allowance
B) corporate sales program
C) cooperative merchandising agreement
D) vendor support program
C) cooperative merchandising agreement
174) Promotional campaigns the retailer plans for customers through manufacturer trade
incentives are:
A) slotting fee programs
B) merchandising management programs
C) spiff money allocations
D) calendar promotions
D) calendar promotion
175) Which of these can be used by retailers to always have one brand on sale while others are offdeal?
A) forward buying
B) calendar promotions
C) corporate sales programs
D) trade allowances
B) calendar promotion
176) A calendar promotion may result in a retailer using:
A) forward buying
B) slotting fees
C) exit fees
D) cooperative advertisements
A) forward buying
177) In terms of trade promotions, offering additional free merchandise for placing an order is:
A) a slotting fee
B) a discount invoice
C) spiff money
D) a premium or bonus pack
D) a premium or bonus pack
178) Sony is promoting a special coupon and sale on its stereos. Retail stores that purchase at least 1,000 stereos during the next 30 days will receive an extra stereo, free, for each 50 they purchase over a 1,000 minimum. This is an example of a:
A) CMA
B) calendar promotion
C) corporate sales program
D) premium or bonus pack
D) premium or bonus pack
179) When a manufacturer offers to pay part of the costs of a retail advertising campaign, it is:
A) incentive marketing
B) target market advertising
C) cooperative advertising
D) specialty advertising
C) cooperative advertising
180) The “Intel inside” tag line seen in advertisements by a retail computer store or by a
computer manufacturer such as Compaq is a form of:
A) direct marketing
B) cooperative advertising
C) producer markup combined with retailer passalongs
D) manufacturer’s prerogative
B) cooperative advertising
181) Coop advertising programs often stipulate each of the following items, except:
A) monies are accrued for purchases over time
B) no competing products can be advertised
C) the manufacturer’s product must be displayed prominently in the ad
D) retailers must pay the agency fees
D) retailers must pay the agency fees
182) Retailers benefit from coop advertising in all of the following ways, except:
A) they can expand their advertising program at a low cost
B) benefit from the image of promoting a national brand
C) attract new and additional customers to their store because of national brands
D) receive money in advance to cover the costs of advertising
D) receive money in advance to over the costs of advertising
183) Manufacturers benefit from coop advertising in all of the following ways, except:
A) gain additional advertising exposure at reduced costs
B) reimbursed by retailers for their share of the ad costs
C) coop dollars are directly tied to retail sales
D) gain prominent exposure in an ad since no other competing brands can also be displayed
B) reimbursed by retailers for their share of the ad costs
184) In a trade show, a buyer browsing and trying to learn about products from a series of
competitors is a(n):
A) education seeker
B) reinforcement seeker
C) solution seeker
D) power buyer
A) education seeker
185) In a trade show, a buyer who is trying to solve a specific problem with a product choice is
a(n):
A) information seeker
B) reinforcement seeker
C) solution seeker
D) education seeker
C) solution seeker
186) Manufacturers should concentrate their efforts at trade shows on each of the following buyer
groups, except:
A) solution seekers
B) buying teams
C) power buyers
D) education seekers
D) education seekers
187) At a trade show, manufacturers should weed out which type of buyer group because they are
not interested in buying and would take up too much of the vendor’s time?
A) solution seekers
B) buying teams
C) education seekers
D) reinforcement seekers
C) education seekers
188) At a trade show, the most difficult buyer group for manufacturers to identify would be which
group, because they don’t want to be identified yet they are a very important group in terms of
ability to make purchase decisions?
A) solution seekers
B) buying teams
C) power buyers
D) reinforcement seekers
C) power buyers
189) Several differences exist when international companies attend trade shows. These
differences include each of the following, except:
A) international attendees tend to be senior executives with authority to make purchases
B) international attendees want a followup after the trade show by a senior executive
C) international attendees spend more time at each exhibitor’s booth
D) international attendees tend to make purchase decisions during the trade show
B) international attendees want a follow-up after the trade show by a senior executive
190) Large national and international trade shows are being replaced by:
A) Internet advertising
B) niche and regional shows
C) promotional videos
D) corporate trade shows
B) niche and regional shows
191) Regional or specialty trade shows would be better than a large, national trade show for all of
the following goals, except:
A) provide higher quality prospects
B) more quality oneonone time with customers
C) enhance a firm’s brand or corporate name
D) opportunities to bond with customers
C) enhance a firm’s brand or corporate name
Ch 10:
All of the following would be considered alternative media, except:
A) local and state government facilities
B) billboards
C) escalators
D) shopping bags
B) Billboards
Ch 10:
In most cases, a point-of-purchase display has ________ to capture a customer’s
attention.
A) three-tenths of a second
B) one second
C) three seconds
D) five seconds
C) three seconds
Ch 9:The Internet has changed the world. Web 2.0:
A) transformed traditional retailing by selling goods and services over the Internet
B) offered consumers a way to communicate with each other through email
C) creates online communities that connect buyers and sellers in new ways
D) provided businesses with an opportunity to advertise effectively on the Internet
C) creates online communities that connect buyers and sellers in new ways
Ch 9
The Web phase of Internet and social media, customer engagement, cloud operations, and
Web participation was:
A) Web 1.0
B) Web 2.0
C) Web 3.0
D) Web 4.0
D) Web 4.0
Ch 9
J. Crew offering an easy “how to measure” chart is an example of a website using which type of incentive to encourage online purchases?
A) financial
B) convenience
C) value-adde
D) cyberbait
C) Value-Added
Ch 9: Q58: Online advertising involves the following categories, except:
A) targeted ads
B) banner ads
C) classified ads
D) search ads
A) targeted ads
CH 9:
In terms of online metrics, dwell time measures the amount of time individuals spend:
A) searching for a particular product using a search engine B) clicking or mousing over a link
C) on a website
D) with an advertisement
D) with an advertisement
Q: 82 Which of the following statements about consumer-generated ads placed on social networks is not true?
A) Consumer-generated ads are viewed as more genuine than company-generated ads
B) Some advertising experts believe the future of advertising is in user-generated ads rather than agency-produced ads
C) Encouraging consumers to generate ads for a product is a creative form of interactive marketing
D) Most ads on social networks are produced by consumers
D) Most ads on social networks are produced by consumers
Key implications of customer-generated reviews include the following, except: A) too many negative reviews and low-star ratings will be harmful to a company B) reviews stress the importance of consistent high-quality customer products and services C) positive reviews will have a positive impact on sales D) reviews provide information on how a company’s product is being evaluated by customers and how the brand compares to competing brands
B) Receives stress the importance of consistent high quality customer products and services