Question 1

In terms of the hierarchy of effects model,ads targeted at which stage will have the least impact on consumers,in terms of generating sales revenues?

Accepted Answer

Awareness is the initial stage of the hierarchy of effects model where the focus is on creating brand awareness or introducing the product to the target audience. While it is crucial to create awareness, it may not directly lead to sales revenues as consumers may not have sufficient knowledge or interest in the product yet. Therefore, ads targeted at the awareness stage may have the least impact on consumers in terms of generating sales revenues.

Question 2

The following are methods of determining marketing communications budgets,except:

Accepted Answer

The answer of The following are methods of determining marketing...

Question 3

Even though Montgomery Wards went out of business,a few consumers still recall the company when thinking about making a new washing machine purchase due to:

Accepted Answer

Carryover effects of previous ads refer to the lasting impact that an advertisement can have on consumer behavior even after it has stopped running. In this case, even though Montgomery Wards went out of business, consumers may still remember the brand and consider purchasing their products because of the impact of previous advertisements on their memory and perception of the brand.

Question 4

When consumers begin to think of an advertisement as old or stale,the concept being illustrated is:

Accepted Answer

The wear out effect refers to the point at which an advertisement has been seen or heard by consumers too many times, leading to them becoming bored or disinterested in the message being conveyed. This can cause a decrease in the effectiveness of the advertisement and can result in it becoming viewed as old or stale.

Question 5

Which concept explains that consumers may recall an ad from the past and make a purchase because they have seen the ad several times?

Accepted Answer

Carryover effects refer to the impact that past advertising has on current behavior, such as recall of an ad leading to a purchase due to repeated exposure.

Question 6

The early effects of an advertising campaign may be minimal,but over time gain momentum.This phenomena is called:

Accepted Answer

Threshold effects refer to the phenomenon where the impact of advertising is not immediately apparent but becomes significant once a certain level of exposure is reached, leading to increased momentum over time.

Question 7

When BMW Motorcycles first began targeting some advertisements toward females,the impact was minimal at first,but after awhile began to have an impact on inquiries by females and later on sales revenue.This illustrates the concept of:

Accepted Answer

Threshold effects refer to the phenomenon where marketing efforts initially show little to no impact, but after reaching a certain level or threshold, they begin to produce noticeable results, as seen in the increase in inquiries and sales revenue from female customers.

Question 8

When consumers begin to forget a brand name because advertising messages have stopped,it is a sign of:

Accepted Answer

Decay effects refer to the gradual weakening of a brand's recognition and recall over time when advertising messages are not present. This can lead to consumers forgetting the brand name or losing interest in it, which can negatively impact sales. A sales-response curve refers to the relationship between sales and the level of advertising expenditure, wear out effects occur when an advertising message loses its effectiveness over time, and carryover effects refer to the impact of previous advertising messages on current sales. None of these options specifically address the issue of consumers forgetting a brand name due to lack of advertising.

Question 9

The following factors have an impact on the relationship between expenditures on marketing communications and sales revenue,except:

Accepted Answer

Marginal costs do not have an impact on the relationship between expenditures on marketing communications and sales revenue. Marginal costs refer to the additional cost of producing and selling one more unit and are not directly related to marketing communications. A, C, and D all have an impact on the relationship between expenditures on marketing communications and sales revenue. Goals of the promotion affect the type and amount of spending, threshold effects refer to minimum spending needed to achieve desired effects, and carryover effects refer to the delay between the start of a campaign and when it affects sales revenue.

Question 10

A communications budget is based on:

Accepted Answer

A communications budget should be based on both communication and marketing objectives, as communication is a subset of marketing. The budget should not only aim to achieve communication goals, but also contribute to the overall marketing objectives and the desired return on investment.

Question 11

S.O.S.soap pads were advertised on television for many years.When the company discontinued advertising,sales slowly began to decline and consumers gradually forgot the brand name.This illustrates the concept of:

Accepted Answer

Decay effects refer to the gradual decrease in the effectiveness of an advertising message over time, leading to a decline in sales or consumer interest. In this case, S.O.S. soap pads were advertised for many years, and when the advertising was discontinued, the message slowly faded from consumers' memories, resulting in a decline in sales. This is a clear example of decay effects.

Question 12

The sales-response function curve models the:

Accepted Answer

The answer of The sales-response function curve models the:
...

Question 13

Which is a model that shows that further advertising and promotion expenditures may result in adverse effects on profits?

Accepted Answer

The answer of Which is a model that shows that...

Question 14

Automobile manufacturer ads result in about 15 percent of all magazine advertising revenue.One reason auto manufacturers spend so much on advertising is that consumers do not purchase vehicles on a regular basis.When they do make decisions to purchase new cars,the auto companies want to make sure consumers remember the right brand.This illustrates the concept of:

Accepted Answer

Carryover effects refer to the impact of previous marketing efforts on current and future sales. In the case of automobile manufacturers, the goal of advertising is to create brand awareness and recognition that will stay with the consumer until the next time they are ready to purchase a car. As a result, auto companies invest significant resources in advertising to ensure that their brand is still top-of-mind when the consumer is ready to buy.

Question 15

Manufacturers of appliances,such as GE and Whirlpool,advertise on a continuous basis since appliances are purchased infrequently and only when they are needed.To ensure the brand name is remembered when the need arises,these manufacturers are relying on:

Accepted Answer

Carryover effects refer to the impact of past advertising on future sales. In this case, manufacturers of appliances are continuously advertising to ensure that their brand name is remembered when the consumer needs to make a purchase, thereby relying on carryover effects.

Question 16

In terms of the relationship between expenditures on advertising communications and subsequent sales revenues,too many marketing managers assume that there is:

Accepted Answer

Many marketing managers often assume a direct relationship, believing that increased advertising will directly lead to increased sales revenues.

Question 17

When a concave downward function is present,increasing advertising expenditures result in:

Accepted Answer

A concave downward function represents diminishing marginal returns. This means that initially, increasing advertising expenditures result in greater sales. However, after a certain point, each additional dollar spent on advertising results in smaller and smaller increases in sales, eventually leading to a point where further advertising expenditures are no longer profitable.

Question 18

As consumers see advertisements over time they become more likely to recall a message and purchase a product.This demonstrates:

Accepted Answer

Threshold effects occur when a certain level of advertising is necessary to capture the attention of consumers and lead to increased recall and purchase behavior. This phenomenon is also known as the minimum effective frequency.

Question 19

The following factors have an impact on the relationship between expenditures on marketing communications and sales revenue,except:

Accepted Answer

Moderating events, such as changes in the competitive environment or economic conditions, can have an impact on the relationship between expenditures on marketing communications and sales revenue. Decay effects, wear out effects, and random events can also impact this relationship.

Question 20

Pepsi and Coke both have reached the point that investing more dollars in advertising yields lower and lower increases in sales.The model used to illustrate this concept is:

Accepted Answer

The sales-response function curve model is used to show the point at which additional advertising spending no longer results in a proportional increase in sales. This is also known as the point of diminishing returns. This concept is applicable to both Pepsi and Coke as they have both reached a point of saturation in the market where additional advertising spending will not produce much impact on sales.

Quiz 4: Promotions Opportunity Analysis

In terms of the hierarchy of effects model,ads targeted at which stage will have the least impact on consumers,in terms of generating sales revenues?

The following are methods of determining marketing communications budgets,except:

Even though Montgomery Wards went out of business,a few consumers still recall the company when thinking about making a new washing machine purchase due to:

When consumers begin to think of an advertisement as old or stale,the concept being illustrated is:

Which concept explains that consumers may recall an ad from the past and make a purchase because they have seen the ad several times?

The early effects of an advertising campaign may be minimal,but over time gain momentum.This phenomena is called:

When BMW Motorcycles first began targeting some advertisements toward females,the impact was minimal at first,but after awhile began to have an impact on inquiries by females and later on sales revenue.This illustrates the concept of:

When consumers begin to forget a brand name because advertising messages have stopped,it is a sign of:

The following factors have an impact on the relationship between expenditures on marketing communications and sales revenue,except:

A communications budget is based on:

S.O.S.soap pads were advertised on television for many years.When the company discontinued advertising,sales slowly began to decline and consumers gradually forgot the brand name.This illustrates the concept of:

The sales-response function curve models the:

Which is a model that shows that further advertising and promotion expenditures may result in adverse effects on profits?

Manufacturers of appliances,such as GE and Whirlpool,advertise on a continuous basis since appliances are purchased infrequently and only when they are needed.To ensure the brand name is remembered when the need arises,these manufacturers are relying on:

In terms of the relationship between expenditures on advertising communications and subsequent sales revenues,too many marketing managers assume that there is:

When a concave downward function is present,increasing advertising expenditures result in:

As consumers see advertisements over time they become more likely to recall a message and purchase a product.This demonstrates:

The following factors have an impact on the relationship between expenditures on marketing communications and sales revenue,except:

Pepsi and Coke both have reached the point that investing more dollars in advertising yields lower and lower increases in sales.The model used to illustrate this concept is: