Deck 13: Promotion I: Advertising and Sales Promotion

Question 1

The coordination of marketing communication efforts to influence attitudes or behavior is known as ________.

A) promotion
B) advertising
C) marketing
D) public relations
E) the communication model

Answer 1

A

Question 2

The communication model acknowledges that messages can be blocked by ________, which is anything that interferes with effective communication.

A) media
B) feedback
C) noise
D) encoding
E) decoding

Answer 2

C

Question 3

With which type of marketing communication does the marketer have the greatest level of control over the message?

A) word-of-mouth communication
B) advertising
C) public relations
D) direct marketing
E) personal selling

Answer 3

B

Question 4

Which of the following statements about advertising is true?

A) Advertising is personal communication from an identified sponsor using the mass media.
B) Consumers perceive advertising as always having a high level of credibility.
C) Advertising can be used to establish and reinforce a distinctive brand identity.
D) Advertising tends to be comparatively inexpensive.
E) Advertising always relies on factual information.

Question 5

In the communication model, the ________ can be any organization or individual that intercepts and interprets a message.

A) medium
B) receiver
C) source
D) encoder
E) noise source

Question 6

________ is a strategic business process that marketers use to plan, develop, execute, and evaluate coordinated, measurable, persuasive brand communication programs over time to targeted audiences.

A) Integrated marketing communications (IMC)
B) A push strategy
C) A pull strategy
D) Database marketing
E) Experiential marketing

Question 7

A company is implementing ________ when it airs a television commercial to millions.

A) interactive marketing
B) viral marketing
C) mass communication
D) personal communication
E) buzz

Question 8

Which of the following is NOT one of the four main roles performed by marketing communication?

A) to inform
B) to entertain
C) to persuade
D) to remind
E) to build relationships

Question 9

The use of short-term incentives to encourage the immediate purchase or sale of a product or service is called ________.

A) indirect marketing
B) sales promotion
C) personal selling
D) public relations
E) advertising

Question 10

In terms of the communication model, ________ is the process whereby a receiver assigns meaning to a message.

A) sourcing
B) encoding
C) decoding
D) feedback
E) receiving

Question 11

With which type of marketing communication does the marketer have the lowest level of control over the message?

A) word-of-mouth communication
B) advertising
C) public relations
D) direct marketing
E) personal selling

Question 12

A company's total marketing communications mix consists of a special blend of advertising, sales promotion, public relations, personal selling, and direct-marketing tools that the company uses to communicate customer value and build customer relationships. This is also called ________.

A) direct marketing
B) integrated marketing
C) competitive marketing
D) the promotion mix
E) target marketing

Question 13

According to the communication model, ________ is the process of translating an idea into a form of communication that will convey the desired meaning.

A) sourcing
B) messaging
C) encoding
D) signifying
E) sending

Question 14

Advertising, sales promotion, public relations, and buzz building activities are all ________.

A) channels that should be integrated under the concept of integrated marketing communications
B) channels focused more on interactive marketing than traditional marketing
C) promotional tools used for push strategies but not pull strategies
D) promotional tools used for pull strategies but not push strategies
E) promotional tools adapted for use in mass marketing

Question 15

________ is the element of the promotion mix that involves direct interaction between a company representative and a customer.

A) Word-of-mouth communication
B) Public relations
C) Advertising
D) Personal selling
E) Sales promotion

Question 16

Which of the following is NOT true about the message in the communication model?

A) It may include both verbal and nonverbal elements.
B) It is the actual communication going from sender to receiver.
C) It must be carefully crafted to connect with a variety of people when it is delivered through advertising.
D) It will be understood in the same way by all receivers.
E) It is often individualized when it is delivered by a salesperson.

Question 17

________ components of the promotion mix do not seek a short-term increase in sales. Instead, with these communication activities, the company tries to maintain a positive image of an organization and its products.

A) Personal selling
B) Sales promotion
C) Public relations
D) Word-of-mouth
E) Direct marketing

Question 18

Which of the following is NOT a form of one-to-one marketing?

A) social networking
B) direct marketing
C) database marketing
D) trade sales promotion activities
E) personal selling

Question 19

In terms of the communication model, ________ is a reaction to a message that helps the source gauge the effectiveness of the message.

A) looping
B) feedback
C) translating
D) encoding
E) decoding

Question 20

According to the communication model, the ________ is an organization or individual that sends a message.

A) medium
B) source
C) messenger
D) feedback
E) decoder

Question 21

Tara Keegan owns Live Well, a small chain of health stores offering a variety of natural health products and related services. In order to implement integrated marketing communications, Tara has hired a marketing communications director, whose job it will be to ensure that each ________ will deliver a consistent and positive message to consumers about the company.

A) public relations message
B) touchpoint
C) advertisement
D) logo
E) media vehicle

Question 22

A new pizza restaurant is opening in town. The owners of this restaurant decide to place an advertisement in the town newspaper announcing the date of their big opening. The owners of the restaurant are using ________.

A) mass communications
B) a push strategy
C) word-of-mouth communications
D) public relations
E) one-to-one marketing

Question 23

By definition, personal selling takes place in person.

Question 24

In terms of the communication model, the animated M&M candies in television commercials ________.

A) are representatives of the source
B) are feedback mechanisms
C) are the medium
D) introduce noise
E) encode the message

Question 25

Like sales promotion, public relations components of the promotion mix are used to create short-term increases in sales.

Question 26

Delia's is a clothing retailer that targets teenage girls. It runs coordinated promotions for its catalogs, its website, and its retail outlets. Delia's works to make sure its public relations activities as well as its sales promotions harmonize with its advertising in all venues. From this information, you can infer that Delia's is using ________.

A) viral marketing
B) stealth marketing
C) integrated marketing communication
D) word-of-mouth marketing
E) database marketing

Question 27

An ad for a new Dior fragrance featuring Natalie Portman appeared in Vogue magazine. In terms of the communication model, the medium of this ad is ________.

A) Natalie Portman
B) Vogue
C) Vogue readers who purchase Dior products
D) Dior
E) the target market to whom Natalie Portman appeals

Question 28

The decision to use a genie to communicate the strength and power of Mr. Clean cleaning liquid is representative of the ________ process of the communication model.

A) sourcing
B) encoding
C) feedback
D) decoding
E) messaging

Question 29

Chevrolet runs a promotion whereby consumers can redeem two free ski lift tickets at their local dealer through a test-drive promotion. According to the communication model, the people coming into the dealership to test-drive a vehicle are the ________.

A) encoders
B) message
C) source
D) medium
E) feedback

Question 30

The communications model is an effective way to look at traditional marketing communications, but not new word-of-mouth communications.

Question 31

Virtually everything an organization says and does is a form of marketing communication.

Question 32

In the communication model, the message is the actual communication that bounces back from the receiver to the sender.

Question 33

An ad for a new Dior fragrance featuring Natalie Portman appeared in Vogue magazine. In terms of the communication model, the source of this ad is ________.

A) Natalie Portman
B) Vogue
C) Vogue readers who purchase Dior products
D) Dior
E) the target market to whom Natalie Portman appeals

Question 34

Personal selling is less effective but more cost-efficient than advertising.

Question 35

An email from Amazon.com offers free shipping on your next purchase of more than $35. This is an example of ________.

A) sales promotion
B) personal selling
C) public relations
D) stealth marketing
E) viral marketing

Question 36

Through word-of-mouth communication, consumers look to each other for product information and recommendations.

Question 37

In the communication model, noise is anything that interferes with effective communication.

Question 38

Which of the following best explains why a 40-year-old woman and a 15-year-old boy would interpret an ad for an age-minimizing makeup differently?

A) They respond in contrasting ways to different media.
B) They are not equally susceptible to noise.
C) They follow different communication models.
D) They have different frames of reference.
E) One is not as likely as the other to provide feedback.

Question 39

A newspaper article reported on a lawsuit in which independent coffee shops accused a national chain of coffee shops of engaging in an illegal conspiracy to drive them out of business. What promotion element would the national chain of coffee shops most likely use to improve its corporate image, which has been tarnished by these accusations?

A) sales promotion
B) personal selling
C) public relations
D) direct marketing
E) word-of-mouth communication

Question 40

A.Y. McDonald, a manufacturer of pumps and plumbing valves, employs regional salespeople to sell its products to wholesalers and cities. This is an example of ________.

A) sales promotion
B) personal selling
C) public relations
D) direct marketing
E) advertising

Question 41

The series of steps through which a marketer attempts to guide a consumer is called the ________.

A) promotional mix
B) marketing mix
C) hierarchy of effects
D) AIDA model
E) push-pull model

Question 42

Which of the following is the last step in the hierarchy of effects?

A) create demand
B) create desire
C) encourage purchase
D) build loyalty
E) inform the market

Question 43

Why might a company address the issue of noise, as defined in the communication model, by purchasing a block of pages in a magazine to advertise its brand?

Question 44

Unlike direct marketing, personal selling focuses on direct communication with a consumer or business customer.

Question 45

The background for a Benadryl allergy medication ad appearing in the magazine Better Homes and Gardens shows green grass and lovely flowers. The headline states "Benadryl is 54 percent more effective than the leading prescription." At the bottom of the ad, in small print, is an explanation of how the effectiveness of Benadryl was determined. The ad also shows a package of Benadryl so consumers can easily recognize it at the store. Identify the different components of the communication model for this advertisement.

Question 46

Which of the following is an example of a top-down budgeting technique used to determine how much a firm will allocate to its promotional activities?

A) the objective-task method
B) the percentage-of-sales method
C) the push-pull method
D) the AIDA method
E) the price lining method

Question 47

Which method of setting an advertising budget is based on analyzing competitors' spending?

A) the percentage-of-sales method
B) the top-down method
C) the bottom-up method
D) the objective-task method
E) the competitive-parity method

Question 48

Which of the following is NOT a step in the hierarchy of effects?

A) create awareness
B) inform the market
C) create demand
D) create desire
E) build loyalty

Question 49

The ________ step in the hierarchy of effects calls for marketers to inform the target market that there is a new brand on the market, often by using simple, repetitive advertising in a variety of media.

A) awareness
B) knowledge
C) demand
D) desire
E) purchase

Question 50

In one section of the Sunday newspaper there are four-color, magazine-style advertisements for different stores. Each of these advertisements informs consumers of the products being marketed at sale prices during the coming week. How are these magazine-style advertisements examples of the implementation of sale promotions?

Question 51

What is integrated marketing communication (IMC)? Explain how it differs from more traditional marketing communication approaches.

Question 52

In which step of the hierarchy of effects would a marketer most likely use celebrity endorsements and status appeals?

A) create awareness
B) inform the market
C) create desire
D) encourage purchase
E) build loyalty

Question 53

In which step of the hierarchy of effects would a marketer most likely rely on samples and coupons?

A) create awareness
B) inform the market
C) create desire
D) encourage purchase
E) build loyalty

Question 54

Explain why effective communication occurs only when the source and the receiver have a mutual frame of reference.

Question 55

The process of developing the Nike logo "Just Do It" as a way to communicate the power and capability of people who wear Nike shoes is an example of encoding, as defined by the communication model.

Question 56

Why should a company be concerned about integrating communications from different sources within the company?

Question 57

The ________ method of promotional budgeting is based on determining the level of spending necessary to accomplish specific promotion goals.

A) percentage-of-sales
B) competitive-parity
C) top-down
D) pull-push
E) objective-task

Question 58

After determining its communication objectives, the company's next step in developing a promotional plan is to ________.

A) identify the target audiences
B) determine its marketing communication budget
C) design the promotion mix
D) decide on a push or pull strategy
E) identify its product's phase in the product life cycle

Question 59

Which of the following is an example of a bottom-up technique for developing promotional budgets?

A) the competitive-parity method
B) the objective-task method
C) the percentage-of-sales method
D) the pull-push method
E) the AIDA method

Question 60

Though the ________ method of setting an advertising budget is simple to use and helps management think about the relationships among promotion spending, selling price, and profit per unit, it wrongly views sales as the cause of promotion rather than the result.

A) percentage-of-sales
B) competitive-parity
C) bottom-up
D) objective-task
E) push-pull

Question 61

What promotional efforts would a marketer be likely to use if the communication objective was to increase awareness of the brand?

Question 62

A florist who decides to budget five percent of last year's sales for promotional activities is using which of the following budgeting techniques?

A) bottom-up
B) objective-task
C) competitive-parity
D) percentage-of-sales
E) push-pull

Question 63

An ad in a professional journal targeted to an audience of dentists asked dentists to recommend Crest toothpaste to their patients. It offered toothpaste samples that dentists could buy at cost to give to their patients to encourage patients to take better care of their teeth. The manufacturer of Crest toothpaste was using ________.

A) viral marketing
B) stealth marketing
C) a push strategy
D) a pull strategy
E) public relations

Question 64

Which promotional mix strategy directs marketing efforts toward market channel members?

A) push
B) pull
C) hierarchy of effects
D) permission marketing
E) crowdsourcing

Question 65

Which of the following is defined as nonpersonal communication paid for by an identified sponsor using mass media?

A) public relations
B) direct marketing
C) direct selling
D) advertising
E) sales promotion

Question 66

If the pull strategy is effective, consumers will then demand the product from channel members, who will, in turn, demand it from producers.

Question 67

Glasis is a type of paint made specifically for use on cars. An ad in Motor Trend magazine advising consumers to request their body shops use Glasis paint is an example of how a company uses ________.

A) viral marketing
B) stealth marketing
C) buzz marketing
D) a push strategy
E) a pull strategy

Question 68

Coca-Cola's Minute Maid unit is introducing a new premium fruit beverage. The primary promotional objective of marketing communications for the new product should be to create awareness.

Question 69

What promotional efforts would a marketer be likely to employ if the communication objective was to encourage purchase of the product?

Question 70

The percentage-of-sales method of setting a communication budget wrongly treats sales as a cause of promotion rather than a result.

Question 71

What promotional efforts would a marketer be likely to employ if the communication objective was to create desire for the product?

Question 72

Which of the following is true of institutional advertising?

A) It is also known as public-service advertising.
B) It describes products as customer services.
C) It is primarily used to support sales promotion activities.
D) It promotes the activities or point of view of an organization.
E) It is used only by non-profit and government organizations.

Question 73

Toward the end of the fiscal year, the owner of a small company came back from lunch concerned because he had learned that a business targeting his same customer base was planning on spending $150,000 on promotion. As soon as he arrived at the office, he called his financial manager and said, "I want to budget $150,000 for next year's promotion." Which method of promotional budgeting did the owner want to use?

A) the objective-task method
B) the percentage-of-sales method
C) the competitive-parity method
D) the bottom-up method
E) the pull-push method

Question 74

In comparison to sales promotion activities, it is easier to determine the effectiveness of traditional advertising.

Question 75

Which promotional mix strategy directs marketing efforts toward final consumers?

A) push
B) pull
C) hierarchy of effects
D) permission marketing
E) crowdsourcing

Question 76

What type of advertising delivers a message that focuses on a specific good or service?

A) retail advertising
B) product advertising
C) institutional advertising
D) corporate advertising
E) advocacy advertising

Question 77

The objective-and-task method of setting a promotion budget is the most logical method because it forces management to articulate assumptions about the relationship between dollars spent and promotion results.

Question 78

Allyson Godwin plans on setting up a small business where she will offer quilting lessons, sell material and quilting kits that she will create, and market her own creations. Last year her quilting skills earned her $2,000. She estimates that quilting as a full-time business will earn $10,000 during her first year. She has budgeted five percent of her sales estimate to be spent on promotion. What promotion method is Godwin using? What are the advantages and disadvantages of this method?

Question 79

Marketers can choose from two basic strategies: push or pull. Compare these two strategies.

Question 80

Business-to-consumer companies are more likely to emphasize a ________ strategy, while business-to-business companies are more likely to emphasize a ________ strategy.

A) pull; push
B) push; pull
C) push; pulse
D) pulse; pull
E) pulse; push