Deck 17: Direct and Online Marketing: Building Direct Customer Relationships

Question 1

Mega Music sells products to customers only through its website.Mega Music employs the direct model as its marketing approach.

Answer 1

True

Question 2

Do-not-call legislation has made telemarketing an ineffective form of direct marketing,especially for nonprofit groups.

Answer 2

False

Question 3

You receive a text message from Upscale Furnishings about an upcoming sale on custom furniture.Upscale Furnishings is developing a direct customer relationship with you through kiosk marketing.

Answer 3

False

Question 4

For customers,the benefits of direct marketing are that it is an easy,private,and convenient way to shop.

Question 5

The Shopping Channel,Canada's leading home-shopping channel with hundreds of thousands of customers,has a predominantly male audience.

Question 6

Companies such as GEICO have built their entire approach to the marketplace around direct marketing.

Question 7

Catalogue marketing has grown explosively during the past 25 years,and recently the Internet has helped boost its popularity even more.

Question 8

For sellers,the benefits of direct marketing are that it is a powerful tool for building partner relationships.

Question 9

Email,mobile,and other newer forms of direct mail deliver direct messages at incredible speeds and higher costs compared to the post office's "snail mail" pace.

Question 10

Today's marketers use database marketing to promote their offerings through personalized communications to small target groups or even individual customers.

Question 11

Database marketing requires little initial investment beyond training personnel to code and mine data.

Question 12

The marketing manager of Charlie's Car Parts uses a customer database to email promotional information to customers.The demographic information in the database provides the manager with the data he needs regarding his customers' buying preferences.

Question 13

Direct marketers offer only a limited selection to customers.

Question 14

Many marketers view mobile phones as the next big direct marketing medium.

Question 15

With inbound telephone marketing,the company provides a toll-free phone number to receive orders from television ads,print ads,direct mail,and catalogues.

Question 16

Because of its association with somewhat questionable pitches and get-rich-quick schemes,direct-response television is becoming less popular than traditional broadcast and cable advertising.

Question 17

Internet marketing is claiming a fast-growing share of direct-marketing spending and sales.

Question 18

Though direct-mail marketing permits high target-market selectivity and can be personalized,it does not allow easy measurement of results.

Question 19

Direct marketing rarely occurs on a one-to-one,interactive basis.

Question 20

Companies use databases to locate good potential customers and generate sales leads.

Question 21

New technology can easily sort through customer purchasing patterns to create personalized site content.This is called ______________ and Amazon.com was the first company to use it commercially.

Question 22

Natalie Brennan has been saving her money to buy a BMW convertible.Natalie has spent hours on the BMW website choosing the exterior and interior colours and studying the various options and models.Natalie has been using BMW''s marketing website.

Question 23

Consumer-to-business (C-to-B)online marketing often involves the interchange of information through Internet forums,including customers' praise for and complaints about products.

Question 24

One common form of Internet fraud is phishing,a type of identity theft that uses deceptive emails and fraudulent websites to fool users into divulging their personal data.

Question 25

All kinds of companies now market online.

Question 26

The popularity of the Internet has resulted in a rash of online social networks or web communities.

Question 27

Approximately 80 percent of Canadians are online,representing almost 27 million users.

Question 28

Sales via B-to-B online marketing are expected to decrease in the next decade.

Question 29

Today,many click-and-mortar companies are experiencing more online success than their click-only competitors.

Question 30

Business customers of Dell Computer have access to customized websites that include purchasing and asset management reports and system-specific technical information.Dell uses B-to-B online marketing.

Question 31

Permission-based email advertising allows marketers to send tailored messages to targeted customers who have chosen to receive them.

Question 32

Companies conduct online marketing by creating a website,placing ads and promotions online,setting up or participating in online social networks,or mailing catalogues to potential customers.

Question 33

Companies such as eBay and Kijiji facilitate consumer-to-consumer (C-to-C)online marketing.

Question 34

Unlike Internet consumers,traditional offline consumers initiate and control contact with marketers.

Question 35

A recent survey found that the TV is still surpassing Internet as the medium perceived as most essential in people's lives.

Question 36

B-to-C websites deal with exchanges between businesses and companies.

Question 37

Interactive TV gives marketers an opportunity to reach targeted audiences in an interactive,more involving way.

Question 38

Given its targeting effectiveness and low costs,online social networks can be an outstanding marketing investment.

Question 39

Search-related advertising can be an effective means of linking consumers to other forms of online promotion.

Question 40

Mobile phones and wireless devices have quietly become the hottest new frontier for marketers,especially those targeting the coveted 40- to 60-year-old set.

Question 41

For ________,direct marketing is convenient,easy,and private.

Question 42

The use of which of the new forms of direct-mail marketing is booming?

A) Fax mail
B) Email
C) Voice mail
D) Canada Post
E) Instant messages

Question 43

Financial services provider Clarica sends materials about teaching teenagers how to drive safely to Clarica customers who have children approaching driving eligibility age.Clarica is using ________ information from a customer database to determine which customers should receive the materials.

Question 44

Online marketing,fact-to-face selling,direct-mail marketing,and catalogue marketing are all forms of ________

Question 45

Vanessa has created a customer profile of her company's primary target market.She has collected information about a customer's age,income,and family make-up.These are examples of ________ data.

Question 46

Which of the following are realities of direct marketing for sellers?

A) Efficiency in reaching markets
B) Price and program rigidity
C) Limited reach and frequency
D) Lower profit-per-contact
E) Economies of ordering

Question 47

Jennifer uses databases for understanding her customers.How does database marketing benefit her consumers?

A) Companies make name-brand products and images readily available to customers.
B) Customers receive faster and more reliable service from companies.
C) Customers receive better prices on products and services that they need.
D) Companies match customer needs and interests with products and services.
E) Customers receive instant credit from more companies.

Question 48

Tom knows that for direct marketing to be effective it is essential that there is (are)_________

Question 49

Fiona Lambrech is the marketing director of a charity that raises funds to help provide educational services to children and families in developing countries.Fiona wants to reach a select market of individuals who have recently donated to international charities.Which of the following types of direct marketing will Fiona most likely use?

A) Direct-mail marketing
B) Catalogue marketing
C) Telephone marketing
D) Kiosk marketing
E) Direct-response television marketing

Question 50

________ data,along with geographic,demographic,psychographic,and data about individual customers or prospects all make up an organized customer database.

Question 51

Tom knows that a _______ oriented sales strategy will allow for more direct sales.

Question 52

Jennifer is interested in understanding her customers' ________ and ________.In this case,she should seek out psychographic data.

Question 53

Catalogues,brochures,CDs,and DVDs are all examples of which type of marketing?

A) Direct-response marketing
B) Direct-mail marketing
C) Digital direct marketing
D) Kiosk marketing
E) Online marketing

Question 54

The Internet allows companies to more efficiently use ________ as the only method of doing business with customers.Examples include Amazon.com,eBay,and GEICO.

Question 55

One of the advantages of direct marketing for sellers is that direct marketing ________.

Question 56

Historically,early direct marketers primarily used direct mailers,telemarketing,and ________.Modern direct marketers now rely heavily on database technologies and the Internet.

Question 57

Johnny just finished his schooling,where he learned that the two main goals of direct marketing are____________.

Question 58

Adams Cutlery has always relied upon advertising to market its products to final customers.However,the marketing team at Adams Cutlery now wants to begin a direct marketing campaign consisting of a company website,emails to current customers,and an online catalogue.Which of the following would the marketing team expect to gain as a result of implementing this direct marketing plan?

A) The ability to increase the range of products the company offers
B) A wealth of information about competitors and their products
C) More control over customers' interactions with the company
D) The ability to learn more about their customers and tailor offerings to fit their needs
E) A higher cost-per-contact that could prove to be more cost effective than advertising in mass media

Question 59

Which kind of marketing involves sending an offer,announcement,reminder,or other item to a person at a particular address?

A) Kiosk marketing
B) Digital direct marketing
C) Catalogue marketing
D) Direct-mail marketing
E) Telephone marketing

Question 60

Organic Designs is a small,successful chain of stores offering stylish clothes made of all-organic materials for infants,toddlers,and young children.Most of the Organic Designs stores are located in urban areas.Now Organic Designs is considering using direct marketing to reach potential customers who live outside of the company's existing markets,with the goal of creating emotional connections and long-term relationships with a new group of customers.Which of the following methods of direct marketing would most likely be effective in accomplishing this goal?

A) Mobile phone marketing
B) Interactive TV marketing
C) Catalogue marketing
D) Kiosk marketing
E) Direct-response television marketing

Question 61

Green Gardens is a click-and-mortar seller of gardening and landscaping goods and equipment,but the marketing department wants to promote the Green Gardens website.When customers are unable to find a product they need on the shelves of their local Green Gardens,the marketing department wants them to search for the product on the Green Gardens website.Which of the following marketing devices is the best match for this goal?

A) Kiosks
B) Email
C) Mobile phones
D) Telemarketing
E) Catalogue marketing

Question 62

Ring-tone giveaways,mobile games,and text-in contests are all examples of ________ marketing.

Question 63

A television program or entire channel dedicated to selling goods and services is known as a(n)________.

Question 64

________ catalogues are used to eliminate production,printing,and mailing costs.

Question 65

Mary has found that television ads and catalogues are especially effective when coupled with ________ telephone marketing to receive orders from customers

Question 66

While many companies did not like the introduction of the National Do Not Call List,there have been some benefits for the telemarketing industry.Which of the following is the main one?

A) Telemarketers are more effectively managing relationships with existing customers.
B) Telemarketing is no longer used by small and medium-sized companies.
C) Telemarketing has replaced direct mail and personal selling because of low costs.
D) Telemarketers are more effectively developing relationships with new customers.
E) Telemarketing for nonprofit groups has become nonexistent.

Question 67

You are looking up airline schedules on the Internet.A bar at the top of the screen reads,"Stay at Holiday Inn and get a 25 percent discount!" This is a(n)________.

Question 68

Firms such as Kodak and Fuji are placing ________ in stores,airports,and other locations to provide people with information about products and services or to enable customers to place orders.

Question 69

What is the fastest growing form of direct-marketing?

A) Mobile-phone marketing
B) Online marketing
C) Interactive TV
D) Direct-response television
E) Podcasts

Question 70

Neal Murphy sells his company's unique gift items on television programs and entire channels dedicated to selling goods and services.Neal is using ________.

Question 71

A producer of beverages and snack foods wants to market its products to the 18-to-34-year-old demographic by providing incentives to respond instantly to time-sensitive offers.Which of the following forms of direct marketing would this producer most likely choose?

A) Interactive TV
B) Direct-response TV
C) Mobile phone
D) Direct mail
E) Podcasting

Question 72

________ allows consumers to gain additional information about a product through the use of a remote control.

Question 73

The Internet gave birth to ________,which operate only on the Internet.

Question 74

Which of the following is an advantage of a well-designed and targeted telemarketing plan?

A) Real-time merchandising
B) High recruitment and referral rate
C) Purchasing convenience for customers
D) Emotional connections with customers
E) Limitless merchandise available to customers

Question 75

What are two major forms of direct-response television marketing?

A) Home television response and direct-response TV advertising
B) Home shopping channels and infomercials
C) Home-selling and toll-free response
D) Call-in response and website response
E) Home shopping channels and podcasts

Question 76

Janice is now in charge of cataloguing for her company.Her predecessor,before retirement,told her there is a real advantage of printed catalogues over digital catalogues.What is it?

A) The ability to offer an almost unlimited amount of merchandise
B) A stronger emotional connection with customers
C) Efficiencies in production, printing, and mailing costs
D) Less competition for customers' attention
E) Real-time merchandising

Question 77

Why have direct-response television commercials seen an increase in popularity in recent years?

A) It is has become simpler to replicate the success of classic direct-response TV ads that introduced items such as the Veg-O-Matic.
B) Traditional broadcast and cable advertising has become prohibitively expensive for many major corporations.
C) The ability to track phone calls and website hits makes it easy to measure the return on advertising investment.
D) The sophisticated image of home shopping channels has given direct-response commercials more credibility.
E) Consumers are more likely to respond to this type of marketing than to other forms of direct marketing.

Question 78

Which of the following is the most accurate name for a 30-minute television advertising program marketing a single product?

A) Direct-response TV advertisement
B) Home shopping channel
C) Integrated marketing
D) Direct-response commercial
E) Infomercial

Question 79

Direct-response advertisements always contain ________,making it easier for marketers to gauge the effectiveness of their sales pitches.

Question 80

Which of the following enables consumers to download files from the Internet to a handheld device?

A) Telemarketing
B) Interactive TV
C) Podcasting
D) Infomercials
E) Direct mail