Deck 3: Selling on the Web

Question 1

Most successful advertising on the Web is targeted at specific groups.

Answer 1

True

Question 2

Many classified advertising sites generate substantial revenue, replacing newspapers' historical role as the primary carrier of classified ads.

Answer 2

True

Question 3

Publishers do not experience sales losses as a result of online distribution.

Answer 3

False

Question 4

Companies selling rights to access the information they own defines the digital content revenue model.

Question 5

No consensus has emerged on how to measure and charge for site visitor views.

Question 6

The advertising-supported revenue model is the one used by network television in the United States.

Question 7

Lands' End pioneered the idea of online Web shopping assistance.

Question 8

Most newspaper and magazine publishers have found that the cost of operating their Web sites cannot be covered by the revenue they generate from selling advertising on the sites.

Question 9

People spend less time at a sticky Web site and are thus exposed to very little advertising.

Question 10

A good Web site design can provide many image-creation and image-enhancing features very effectively-it can serve as a sales brochure, a product showroom, a financial report, an employment ad, and a customer contact point.

Question 11

Companies can take their catalog model online by replacing or supplementing their print catalogs with information on their Web sites.

Question 12

Most Web catalog retailers do not have return policies that allow customers to return unused merchandise regardless of the reason.

Question 13

Companies that have existing sales outlets and distribution networks often worry that their Web sites will take away sales from those outlets and networks.

Question 14

On Web sites that use the advertising-subscription revenue model, subscribers are typically subjected to much more advertising than they are on sites supported completely by advertising.

Question 15

In the physical world, most companies tend not to worry much about the image they project until they grow to a significant size.

Question 16

In the fee-for-service model, the fee is based on the number or size of transactions they process.

Question 17

Academic publishing has always been a relatively easy business in which to make a profit.

Question 18

Although online banks let customers pay their bills electronically, most customers still receive their bills in the mail.

Question 19

Advertisers pay less to have their ad appear near a discussion of a technology related to their product or on a page that reviews the product.

Question 20

All electronic commerce initiatives have the goal of providing revenue.

Question 21

____ began as a legal research tool, and it has been available as an online product for years.

A)ProQuest
B)LexisNexis
C)Lexis.com
D)EBSCO

Question 22

Even in the second wave of electronic commerce, e-mail responsiveness of electronic commerce sites is disappointing.

Question 23

The greatest concerns that most people have when they consider moving their financial transactions to the Web are ____ and reliability.

A)service
B)security
C)stickiness
D)control

Question 24

____ tend to have large up-front costs.Once those costs are incurred, additional units can be made at very low additional cost.

A)Appliances
B)Books
C)Automobiles
D)Digital products

Question 25

The New York Times and The Wall Street Journal use the ____ revenue model.

A)advertising-subscription mixed
B)advertising-supported
C)fee-for-service
D)information sales

Question 26

Many companies have adapted the ____ revenue model to the online world by replacing or supplementing their print catalogs with information on their Web sites.

A)Web catalog
B)fee-for-content
C)fee-for-transaction
D)fee-for-service

Question 27

The defining characteristic of the mass media promotion process is that the seller is active and the buyer is passive.

Question 28

____, which is owned by Sabre, was based on the Sabre computer system that traditional travel agencies used to book flights and hotel rooms.

A)Priceline
B)Travelocity
C)Expedia
D)Orbitz

Question 29

When customers buy a product, they are also buying the service element included with that product.

Question 30

The U.S.government deregulated the securities trading business in the early ____.

A)1960s
B)1970s
C)1980s
D)1990s

Question 31

____ revenue models range from games and entertainment to financial advice and the professional services of accountants, lawyers, and physicians.

A)Catalog
B)Fee-for-service
C)Fee-for-transaction
D)Mail order

Question 32

Channel conflict is also referred to as ____.

A)Web conflict
B)account aggregation
C)cannibalization
D)addressable media

Question 33

The ____ of a Web site is its ability to keep visitors at the site and attract repeat visitors.

A)image
B)presence
C)stickiness
D)usability

Question 34

An increasing number of businesses are forming ____ to sell on the Web.

A)strategic alliances
B)virtual partnerships
C)limited partnerships
D)flexible alliances

Question 35

____ have been one of the main forces preventing U.S.professionals from extending their practices on the Web.

A)Catalog models
B)State laws
C)Fulfillment managers
D)Stakeholders

Question 36

____ is an example of a company that operates as a Web-based deep discounter.

A)Lands' End
B)Eddie Bauer
C)Overstock.com
D)Sears

Question 37

A strength for many electronic commerce sites is the integration between the companies' call centers and their Web sites.

Question 38

Online stock brokerage firms use a(n)____ revenue model, which allows them to charge their customers a commission for each trade executed.

A)fee-for-service
B)fee-for-transaction
C)information sales
D)catalog

Question 39

The service element can be a powerful differentiating factor for which customers will pay extra.

Question 40

One problem that the Web presents for clothing retailers of all types is that ____.

A)customers are unwilling to buy clothing on-line
B)color settings on computer monitors vary widely
C)the Web catalog revenue model is not flexible
D)online retail sales are not cost effective

Question 41

Visitors to Web sites are often reluctant to provide demographic information because of ____________________ concerns.

Question 42

In the ____ approach, firms prepare advertising and promotional materials about the firm and its products or services and broadcast them to potential customers.

A)mass media
B)reaching
C)prospecting
D)personal contact

Question 43

____ is an important element of creating an effective Web presence.

A)Usability
B)Cannibalization
C)Mass media
D)Disintermediation

Question 44

The removal of an intermediary, such as a human agent, from a value chain is called ____________________.

Question 45

____ are advertising efforts directed to a known addressee and include mail, telephone calls, and e-mail.

A)Mass media
B)Personal contact
C)Addressable media
D)Broadcast media

Question 46

In a(n)____________________ mixed revenue model, subscribers pay a fee, but also accept some level of advertising.

Question 47

A key goal for the Web sites of many not-for-profit organizations is ____.

A)account aggregation
B)information dissemination
C)bill presentment
D)cannibalization

Question 48

Personal contact and mass media approaches are often called ____.

A)communication modes
B)market strategies
C)marketing segments
D)media destination modes

Question 49

Two pioneers of usability testing are ____ and Jakob Nielsen.

A)Charles Smith
B)Ben Shneiderman
C)Christopher Locke
D)Aaron Montgomery

Question 50

Creating an effective ____ can be critical even for the smallest and newest firms operating on the Web.

A)E-zine
B)virtual model
C)disintermediation
D)Web presence

Question 51

A(n)____________________ model is a graphic image built from customer measurements on which the customer can try on clothes.

Question 52

A Web ____________________ is a listing of hyperlinks to Web pages.

Question 53

The set of characteristics that marketers use to group visitors is called ____________________ information.

Question 54

A(n)____________________ almost always includes a Web directory or search engine, but it also includes other features that help visitors find what they are looking for on the Web and thus make the Web more useful.

Question 55

____ refers to markets that are too small to justify a mass media campaign, yet too large to cover using personal contact.

A)The hard middle
B)Mass media
C)Address media
D)Usability testing

Question 56

The ____________________, used by Lands' End, is an intelligent agent program that learns the customer's preference and makes suggestions.

Question 57

One of the first academic organizations to make the transition to electronic distribution on the Web was the ____________________.

Question 58

One of the best ways to accommodate a broad range of visitor needs is to build ____ into the Web site's interface.

A)flexibility
B)virtual models
C)conflict
D)presence

Question 59

The word portal means ____________________.

Question 60

A seller can create value in a customer relationship by nurturing the customer's trust and developing it into ____.

A)an e-mail list
B)a chat room session
C)loyalty
D)a brief conversation

Question 61

The personal contact approach to identifying and reaching customers is sometimes called ____________________.

Question 62

A good site ____________________ lets visitors choose among information attributes, such as level of detail, forms of aggregation, viewing format, and downloading format.

Question 63

What are the guidelines that must be followed by Web designers when creating a Web site that is intended to meet the specific needs of customers?

Question 64

____________________ can occur whenever sales activities on a company's Web site interfere with its existing sales outlets.

Question 65

In the ____________________ communication model, both the buyer and the seller participate actively in the exchange of information.

Question 66

An effective site is one that creates an attractive presence that meets the objectives of the business or organization.List at least five of these objectives.

Question 67

An organization's ____________________ is the public image it conveys to its stakeholders.

Question 68

The defining characteristic of the ____________________ promotion process is that the seller is active and the buyer is passive.

Question 69

Personal contact and mass media are often called ____________________ because they each involve a characteristic way of conveying information from one person to another.

Question 70

List at least five reasons why people visit Web sites.

Question 71

Industry analysts agree that the cost of ____________________ is so low compared to the total cost of a Web site design or overhaul that it should almost always be included in such projects.

Question 72

Stock brokerage firms use a(n)____________________ revenue model.

Question 73

What is the difference between the personal contact model of communicating on the Web and the mass media approach?

Question 74

The ____________________ of a firm include its customers, suppliers, employees, stockholders, neighbors, and the general public.

Question 75

Account ____________________ is the ability to obtain bank, investment, loan, and other financial account information from multiple Web sites and display it all in one location at the bank's Web site.

Question 76

List five goals that businesses should meet when constructing a Web site, so that it successfully conveys an integrated image and offers information to potential customers.

Question 77

Businesses that are successful on the Web realize that every visitor to their Web site is a potential customer or ____________________.

Question 78

Even when products are commodity items, the ____________________ element can be a powerful differentiating factor for which a customer will pay extra.

Question 79

Putting the customer at the center of all site designs is called a customer- ____________________ approach to Web design.

Question 80

Two or more companies who have joined forces to undertake an activity over a long period of time are said to have created a(n)____________________ alliance.