Question 1

Inglast, a chocolate producer, is faced with a class action suit when customers found pieces of plastic in boxes of cocoa powder. Inglast settles the case and then releases an advertising campaign to show the new and improved safety seals on all containers of cocoa powder. Which kind of advertisement has Inglast most likely used?

Accepted Answer

Inglast has most likely used an informative advertisement to show the new safety seals on their containers of cocoa powder. This type of advertisement provides information to the customers about the safety measures taken by the company to avoid any future mishaps.

Question 2

Trendy Appliances has introduced a new product, Minute Yogurt, into the yogurt maker appliance market. Minute Yogurt differs from competitive offerings because it takes a minute to blend and a minute to clean. Which type of advertising would be best for promoting Minute Yogurt?

Accepted Answer

Informative advertising would highlight the unique selling point of Minute Yogurt, which is the fact that it only takes a minute to blend and clean. This type of advertising would provide consumers with the necessary information to make an informed decision about the product, and would likely be the most effective in promoting Minute Yogurt over its competitors.

Question 3

Which method of setting advertising budgets best helps management think about the relationship between promotion spending, selling price, and profit per unit?

Accepted Answer

The percentage-of-sales method ties the advertising budget to a certain percentage of past or anticipated sales, helping management to consider how promotion spending relates to selling price and profit per unit. This method inherently encourages reflection on the financial impact of advertising relative to sales revenue and profitability.

Question 4

How has the new communications model changed the face of today's marketing communications?

Accepted Answer

The answer of How has the new communications model changed...

Question 5

The primary objective of ________ advertising is to build selective demand.

Accepted Answer

The primary objective of persuasive advertising is to build selective demand, which means that the advertisement aims to persuade the target audience to choose a particular brand over its competitors. This type of advertising is focused on creating an emotional connection with the audience, highlighting the unique selling proposition of the brand, and creating a sense of urgency or need for the product or service being advertised. Reminder advertising aims to reinforce prior knowledge of a brand or product, informative advertising aims to educate the target audience about a product or service, personal advertising is focused on promoting individuals rather than products, and classified advertising is typically used for advertising goods or services for sale.

Question 6

"Informing the target market about a price change for a signature cookie dough product through a national TV campaign within three months" is an example of a(n)________ objective.

Accepted Answer

This is an advertising objective because it involves using a national TV campaign to communicate a specific message (price change) to the target market.

Question 7

________ advertising would most likely result in attack ads between competitors.

Accepted Answer

Comparative advertising involves directly comparing your product or service to your competitors', which can often result in attack ads. Reminder advertising simply reminds customers of the existence or benefits of a product, personal advertising focuses on a celebrity endorsement or spokesperson, informative advertising gives details about a product or service, and classified advertising is typically used for recruitment or sales.

Question 8

Watson Insurance is an insurance company that provides coverage for personal property and bodily injury. The company offers customized policy options for individual customers. High levels of interaction with customers are needed so that the company can provide the best customized service possible. What kind of promotional tool will best help Watson Insurance to sell its policies to its target customers?

Accepted Answer

The answer of Watson Insurance is an insurance company that...

Question 9

In the competitive-parity method of setting an advertising budget, the budget is set based on ________.

Accepted Answer

In the competitive-parity method, the advertising budget is set based on the amount spent by similar companies in the same industry. This approach assumes that competitors are facing similar market conditions and have similar marketing objectives. The goal of this method is to keep the company's advertising spending competitive with that of its rivals.

Question 10

Explain the use of sales promotions as a promotion mix tool.

Accepted Answer

The answer of Explain the use of sales promotions as...

Question 11

Why do today's firms need integrated marketing communications systems? How do firms benefit from such systems?

Accepted Answer

The answer of Why do today's firms need integrated marketing...

Question 12

The ________ method of setting an advertising budget typically overlooks how promotion affects sales.

Accepted Answer

The affordable method sets the budget based on what the company thinks it can afford, without considering the impact of promotion on sales.

Question 13

Contrast pull and push promotion mix strategies with suitable examples.

Accepted Answer

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Question 14

The objective of ________ advertising is to build primary demand.

Accepted Answer

The objective of informative advertising is to build primary demand by providing information about the products or services to educate the target audience about the offering and its features. This type of advertising is commonly used when introducing new products to the market. The other options, such as reminder, comparative, personal, and persuasive advertising, are used for different objectives, such as maintaining brand awareness, highlighting product benefits and superiority, developing a personal connection with the customer, and creating a sense of urgency in the buying decision.

Question 15

A consumer demanding a product from a retailer after watching an ad on television has responded to a pull promotional advertising strategy.

Accepted Answer

A pull promotional advertising strategy aims to draw the customer towards the product by creating demand through advertising or other promotional efforts, such as special offers, discounts or events. In this case, the consumer is responding to an ad on television, which represents a pull promotional strategy.

Question 16

John Deere's sales force working with Lowe's, Home Depot, independent dealers, and other channel members to promote their products to final consumers is an example of a push promotion strategy.

Accepted Answer

Push promotion strategy involves promoting products to channel members such as retailers, wholesalers, and distributors to push them into promoting and selling the product to final consumers. John Deere's sales force working with Lowe's, Home Depot, independent dealers, and other channel members is an example of push promotion strategy.

Question 17

Which statement is most likely true about the affordable method of setting an advertising budget?

Accepted Answer

The affordable method involves setting the advertising budget based on what a company can afford after covering operating expenses and capital outlays.

Question 18

Which of the following is the first step in developing an advertising program?

Accepted Answer

The first step in developing an advertising program is setting advertising objectives. This will help determine the goals of the advertising campaign and guide the development of the advertising strategy, budget, and brand message.

Question 19

________ advertising primarily maintains brand relationships and is important for mature products.

Accepted Answer

Reminder advertising is used to reinforce brand awareness and maintain relationships with existing customers. It is particularly important for mature products that are already well-established in the market.

Question 20

According to the text, the most logical budget-setting method in advertising is the ________ method.

Accepted Answer

The objective-and-task method is considered the most logical budget-setting method in advertising because it involves defining specific objectives, determining the tasks required to achieve those objectives, and then estimating the costs associated with those tasks. This approach ensures that the advertising budget is directly aligned with the marketing and promotional goals of the company.

Quiz 12: Engaging Consumers and Communicating Customer Value: Advertising and Public Relations