Question 1

A measure of website performance that enables a web developer to assess whether referring site payments provide a return on investment is:

Accepted Answer

Click stream analysis allows a web developer to track the path a user takes when navigating a website. This data can be used to determine if users coming from referring sites are converting into paying customers, and if the investment in those referral sites is providing a return. Total audience ratings points, page impressions, log files, and page views provide general website usage data but do not specifically measure ROI from referring site payments.

Question 2

Processes implemented by a company to manage customer contact points over time with a view to maximising the relationship benefit are known as:

Accepted Answer

The process described in the question is customer relationship management (CRM), which involves managing customer interactions and data to build and maintain long-term relationships with customers. Options B, C, D, and E all relate to specific tactics or strategies within CRM, but do not encompass the overall process.

Question 3

A(n)_________ is simply a set of customer names, addresses, and telephone numbers.

Accepted Answer

A customer mailing list is a collection of customer names, addresses, and telephone numbers used for communication and marketing purposes.

Question 4

It is important to evaluate the effectiveness of sales promotions. Which of the following research methods would NOT normally be used to evaluate a sales promotion?

Accepted Answer

Observation methods may provide information about consumer behavior during the promotion period, but they do not measure the effectiveness of the promotion in terms of sales or other specific metrics. The other options, consumer panels, experiments, aided recall tests, and unaided recall tests, are all commonly used methods for evaluating the effectiveness of sales promotions.

Question 5

Glen was thumbing through his wife's Craft magazine when he saw an ad for a musical collectible doll. Since the doll was dressed in green with red hair and played "That's an Irish Lullaby," Glen decided it would be a perfect gift for his wife who was born on St. Patrick's Day. He debated using the reply card that was a part of the ad, but then decided to use the toll- free number to place his order. Glen used_________ to buy his wife's birthday present.

Accepted Answer

Glen used the toll-free number provided in an ad to purchase the doll, which is a form of direct-response advertising, where consumers respond directly to the marketer through a provided mechanism such as a phone number or reply card.

Question 6

The act of cross- referencing data about a single individual from multiple sources such as online activity, credit card activity, loyalty scheme activity to build a richer picture of a buyer's purchasing habits is known as:

Accepted Answer

Data cross-referencing involves combining data from multiple sources to create a more comprehensive profile of an individual's purchasing habits.

Question 7

According to your text, telesales operators can make some __________ per day calls, whereas sales representatives can make some__________ per week.

Accepted Answer

Telesales operators typically make 30-40 calls per day, while sales representatives make around 30 calls per week.

Question 8

In ideal circumstances, the optimal way to track individual behaviour at a website thereby allowing a true picture of website usage and estimating return on investment is to:

Accepted Answer

The answer of In ideal circumstances, the optimal way to...

Question 9

According to research quoted in your text, __________per cent of teens have at least one social network account.

Accepted Answer

According to the text, 73% of teens have at least one social network account.

Question 10

Which of the following are types of direct marketing?

Accepted Answer

All of the above are types of direct marketing. Personal selling involves face-to-face communication with potential customers, while direct-response advertising involves ads that ask for an immediate response from the audience. Telemarketing involves using the phone to reach potential customers, and videotext and interactive TV use technology to allow customers to interact with ads directly.

Question 11

When a marketer uses the telephone to call consumers or businesses, this is known as_________ telemarketing.

Accepted Answer

Outbound telemarketing involves a marketer making calls to potential customers or clients. Inbound telemarketing, on the other hand, involves customers or clients calling the marketer for information or to make a purchase. Lateral, parallel, and casual are not terms often associated with telemarketing.

Question 12

Data mining involves searching for patterns or relationships within a database or set of records. Which of the following is NOT one of the relationships that an analyst should look for?

Accepted Answer

Structures are not typically categorized as a relationship that analysts look for in data mining. Data mining focuses on finding patterns such as associations (items that occur together), sequences (events that occur in a specific order), classes (predefined groups), and clusters (natural groupings). Structures, in the context of data mining, do not represent a specific type of relationship analysts seek.

Question 13

Luke D'Apice sells an online dating service. With the aid of a database, he is selecting young, single, professional people in the Sydney area and will offer them a free trial for one month. Luke is using his database to:

Accepted Answer

Luke is using the database to identify prospects for his dating service by selecting individuals who fit the criteria of young, single, professional people in the Sydney area.

Question 14

The major difference between telemarketing and telesales is:

Accepted Answer

The answer of The major difference between telemarketing and telesales...

Question 15

Which of the following statements about evaluating database marketing performance is NOT true?

Accepted Answer

Instead of directing marketing activities solely towards those who have made the most frequent purchases, marketers should also focus on those who have the potential to become high-value customers.

Question 16

Which of the following statements about database marketing is true?

Accepted Answer

A customer database can contain a variety of information beyond just names, addresses, and phone numbers. Database marketing is used by both consumer-packaged goods manufacturers and business-to-business marketers. Service retailers also use database marketing. A business-to-business customer database may contain different types of information than a customer database for sales to ultimate consumers. However, the statement that is true is that a marketing organization can use their database to reactivate customer purchases and for data mining purposes.

Question 17

A company that does not have a physical retail outlet, but sells exclusively over the Internet is popularly known as a __________ retailer.

Accepted Answer

A company that sells exclusively over the Internet without a physical retail outlet is known as a "click only" retailer.

Question 18

Approximately _________per cent of Australian households have broadband access.

Accepted Answer

Approximately 73 per cent of Australian households have broadband access.

Question 19

Direct marketers use three criteria to identify the characteristics of prospects and customers in an effective database. They are:

Accepted Answer

Recency (how recently a purchase was made), frequency (how often purchases are made) and monetary value (how much a customer spends) are the key criteria used by direct marketers to segment their database for effective targeting and communication.

Question 20

According to your text, profitable use of a database requires:

Accepted Answer

The text states that profitable use of a database requires keeping track of sales using at least three criteria, which are recency of purchase, frequency of purchase, and monetary value of purchase. None of the other options are mentioned in the text.

Quiz 17: Direct and Online Marketing