Question 1

Which of the following is a type of identity theft that uses deceptive e-mails and fraudulent Web sites to fool consumers into revealing their personal data?

Accepted Answer

Phishing is a type of identity theft that involves deception through e-mails and fraudulent websites to trick consumers into revealing their personal information.

Question 2

Online direct marketing results in higher costs and slower handling of channel and logistics functions.

Accepted Answer

Online direct marketing often results in lower costs and faster handling of channel and logistics functions, compared to traditional direct marketing methods.

Question 3

Fox Scully received an e-mail promoting a new financial services institution that offers surprisingly low mortgage rates.The e-mail simply asked customers to provide their address,date of birth,social security number,and current mortgage information in order to receive a free loan quote.Suspicious of the offer,Fox researched the company and discovered that the e-mail was a fraud.This is an example of ________.

Accepted Answer

This scenario describes a phishing scam, which involves using fraudulent emails or websites to obtain sensitive information from individuals. The email asks for personal information, such as social security and mortgage details, which should raise red flags for potential victims. Fox's research revealed that the financial services institution was not legitimate, emphasizing the importance of being vigilant and cautious when receiving unsolicited emails or requests for personal information.

Question 4

What happened in response to the FTC finding that many Web sites were collecting personal information from children without disclosure or parental permission?

Accepted Answer

In response to the FTC finding, Congress passed the Children's Online Privacy Protection Act (COPPA) in 1998, which requires websites to obtain parental consent before collecting personal information from children under 13 years old. COPPA also requires websites to provide clear and concise privacy policies that explain what type of information is being collected and how it will be used.

Question 5

Unsolicited and unwanted commercial e-mail is known as ________.

Accepted Answer

Unsolicited and unwanted commercial e-mail is commonly known as spam.

Question 6

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

Accepted Answer

The answer of Though direct mail permits high target-market selectivity...

Question 7

Telemarketing involves using the television to sell directly to consumers and business customers.

Accepted Answer

Telemarketing actually involves using the telephone to sell directly to consumers and business customers, not the television.

Question 8

Which of the following is a primary disadvantage of viral marketing?

Accepted Answer

Marketers have little control over who receives the viral message, which can result in the message being shared with an uninterested or irrelevant audience. This can lead to a lower success rate of the viral campaign compared to other types of online promotions.

Question 9

For inbound telephone marketing,the company provides a toll-free phone number so it can receive orders solicited by television and print ads,direct mail,and catalogs.

Accepted Answer

The statement accurately describes inbound telephone marketing and the provision of a toll-free phone number for receiving orders.

Question 10

Direct marketing is characterized by highly segmented target markets.

Accepted Answer

Direct marketing focuses on reaching specific, segmented target markets in order to personalize the message and increase the likelihood of a response or conversion.

Question 11

What characteristic of niche sites makes the medium most appealing to marketers?

Accepted Answer

Niche sites attract audiences with similar interests, making it easier for marketers to target specific groups with tailored content and advertisements.

Question 12

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

Accepted Answer

The bar at the bottom of the screen promoting a discount for Holiday Inn is a banner advertisement.

Question 13

________ is the largest online social network with great potential as an online marketing hub.

Accepted Answer

Facebook is currently the largest online social network with over 2 billion monthly active users. Its user base and engagement level make it an ideal platform for businesses to promote their products and services, connect with customers, and build brand awareness. Facebook also offers various advertising options and targeting capabilities, making it a great potential online marketing hub.

Question 14

Clenzo is a company that provides house cleaning services in major urban and suburban areas.Marketers at Clenzo developed a short,humorous video promoting the company's services and hope that customers who see the video will be so entertained that they will pass it on to their friends and colleagues.The marketers at Clenzo are using ________.

Accepted Answer

The marketers at Clenzo are using viral marketing, which involves creating content that is so engaging that people want to share it with others. The goal is for the content to spread like a virus, reaching a large audience without the need for traditional advertising.

Question 15

Creating a customer database requires minimal investment and effort.

Accepted Answer

Creating a customer database may require significant investment in terms of time, technology, and resources to ensure accuracy, privacy, and security of customer data. Additionally, regular maintenance and updates may be needed to keep the database relevant and useful.

Question 16

A good customer database contains only demographic data of long-term consumers.

Accepted Answer

A good customer database should contain not only demographic data, but also transactional data, interaction history, preferences, and other relevant information. Long-term consumers are a valuable segment to include, but the database should ideally cover all types of customers.

Question 17

Mass marketing consists of connecting directly with carefully targeted consumers,often on a one-to-one,interactive basis.

Accepted Answer

Mass marketing involves connecting with large groups of consumers rather than individualized marketing on a one-to-one basis.

Question 18

Whereas space is limited in an online catalog,print catalogs can offer an almost unlimited amount of merchandise.

Accepted Answer

Online catalogs can offer a virtually unlimited amount of merchandise due to the scalability of digital space, whereas print catalogs are limited by physical printing and mailing constraints.

Question 19

As the marketing manager at Secure Services,a home security systems company,you have been asked to devise a new sales and marketing strategy for a new line of sophisticated alerting systems called "Imperio." The two previous promotional ventures failed to elicit much consumer response because most people were unaware of the benefits of such devices except for those consumers who were specifically looking for them.Which of the following would be categorized as a viral marketing approach to sell its products by Secure Services?

Accepted Answer

A viral marketing approach involves creating content that is entertaining or thought-provoking enough to be shared widely on social media or through word of mouth. Option D depicts a promotional video that uses a combination of horror and humor to grab attention and generate interest in the product. This approach has the potential to go viral and reach a wider audience. The other options do not focus on creating content that is shareable or attention-grabbing enough to generate interest in the product.

Question 20

Direct mail programs are typically used as stand-alone programs and cannot be integrated with a broader marketing campaign.

Accepted Answer

Direct mail programs can be integrated with other marketing channels, such as email and social media, to create a cohesive and effective marketing campaign. This approach is often referred to as multi-channel marketing.

Quiz 14: Direct and Online Marketing: Building Direct Customer Relationships