Deck 8: Promotional Strategies

Question 1

The advent of satellite radio has proven to be an advantage for radio advertising.

Answer 1

False

Question 2

Relationship selling is increasingly important since very few firms can survive on the profits generated from one-time transactional sales.

Answer 2

True

Question 3

Rebates work most effectively when offered in conjunction with a high-involvement purchase in which the perceived value of the rebate is magnified.

Answer 3

True

Question 4

Two advantages of outdoor advertising are its flexibility and reduced costs.

Question 5

Reminder advertising is most common in the growth stage of the product life cycle.

Question 6

A trade promotion that typically involve paying retailers for financial losses associated with consumer sales promotions or reimbursing a retailer for an in-store or local expense to promote a specific product are known as allowances.

Question 7

A premium is a promotional item that is given as an incentive for performing a particular act, typically buying a product.

Question 8

An advantage of Internet advertising is the use of banner ads on websites which allow consumers to click on the banner and immediately be able to view the advertisement.

Question 9

Sales promotion activities account for the bulk of most firms' promotional budgets.

Question 10

Annual reports, sponsorships, and company blogs and brochures are all forms of publicity.

Question 11

Placing an advertisement on only the three major television networks (ABC, CBS, and NBC)is called narrowcasting.

Question 12

When professional sports players are allowed to wear an advertisement on their jerseys, this is an example of product placement.

Question 13

Radio advertising is usually the most expensive medium available to a company.

Question 14

A firm that coordinates the use of advertising, sales promotion, personal selling, and public relations to deliver a clear and consistent message about its products is engaged in direct marketing.

Question 15

A local bakery sends coupons in the mail to homeowners that have ordered from the bakery in the past. This is a form of direct marketing.

Question 16

A disadvantage of outdoor advertising is its short exposure time.

Question 17

Advertising is a nonpaid form of personal communication about goods, services, or ideas.

Question 18

At a home and garden expo, a remodeling company offers one lucky winner the chance to win a kitchen remodel at no cost. No purchase is necessary and contestants can enter either by filling out a card at the expo or on the company's website. This is an example of a contest.

Question 19

Newspapers are an effective way for small businesses to advertise their goods or services to the local community.

Question 20

The promotion mix is all the activities that communicate the value of a product and persuade customers to buy it.

Question 21

A manufacturer of golf clubs has just come out with a revolutionary new putter. The company is advertising the golf club in magazines, has commercials airing on the Golf channel and has given samples of the club to pro shops around the country so potential customers can try the club out. All these actions taken together are part of the company's

A)promotion mix.
B)advertising campaign.
C)personal selling program.
D)marketing mix.
E)public relations.

Question 22

Think about the percentage of global advertising delivered by each major medium during the period from 2016 to 2019. Which advertising medium almost doubled during this timeframe?

A)television
B)outdoor
C)magazines
D)mobile Internet
E)radio

Question 23

The three primary objectives of an advertising campaign are

A)to promote goodwill, to arouse interest, and to sell.
B)to entertain, to remind, and to sell.
C)to inform, to entertain, and to influence.
D)to excite, to entice, and to engage.
E)to inform, to persuade, and to remind.

Question 24

Nonpersonal promotional communication about goods, services, or ideas that is paid for by the firm identified in the communication is referred to as

A)sales promotion.
B)direct marketing.
C)publicity.
D)personal selling.
E)advertising.

Question 25

Which element of the promotion mix refers to the set of nonpersonal communication tools designed to stimulate quicker and more frequent purchases of a product?

A)personal selling
B)advertising
C)Internet ordering
D)sales promotion
E)public relations

Question 26

A video game manufacturer has just come out with a new video game. The company wants to develop demand for the product before the holiday shopping season, so it is focusing on advertising the features of the game and how it is different from other games on the market. What type of advertising would be best for building demand for this product?

A)informative
B)persuasive
C)narrative
D)narrative
E)entertainment

Question 27

What two key words in the definition of advertising are crucial to understanding how advertising fits into the promotion mix?

A)personal and communication
B)nonpaid and nonpersonal
C)paid and communication
D)paid and nonpersonal
E)nonpaid and personal

Question 28

As a promotion mix element, public relations refers to

A)the two-way flow of personal communication between the firm and its customers.
B)advertising focused on promoting the company's image with its customers.
C)communication focused on promoting positive relations between a firm and its stakeholders.
D)nonpersonal promotional communication about a firm's goods and services.
E)a set of nonpersonal communication tools designed to stimulate more frequent purchases of a product.

Question 29

The goal of an integrated marketing communications strategy is to coordinate the various promotion mix elements to

A)discover the firm's strengths, weaknesses, opportunities and threats.
B)identify which potential customers in the target market have the desire and ability to purchase the firm's products.
C)determine the target market for a firm's products.
D)find the least expensive alternative to promoting a firm's products.
E)provide consumers with a clear and consistent message about the firm's products.

Question 30

What type of advertising is common during the growth stage of the product life cycle as firms compete directly and attempt to take market share from one another?

A)reminder
B)informative
C)persuasive
D)entertainment
E)narrative

Question 31

Companies employing qualitative research tools may use focus groups and consumer interviews to generate in-depth responses from consumers regarding their likes and dislikes of a promotional program.

Question 32

Mars, Inc., makers of Snickers candy bars launched its You're Not You When You're Hungry promotion campaign. The company's television commercials portrayed regular people disguised as celebrities behaving badly because they were hungry. Along with the commercials, print ads were released featuring inversion illusions showing the difference between someone whose hunger is satisfied and someone whose hunger is clearly not. In addition, the print ads included a coupon for a Snickers candy bar. This type of promotional strategy is referred to as

A)integrated promotion communications.
B)an integrated promotion mix.
C)an integrated marketing concept.
D)an integrated advertising mix.
E)integrated marketing communications.

Question 33

The marketing mix element where most of an organization's communications with the marketplace occurs is

A)price.
B)product.
C)position.
D)promotion.
E)place.

Question 34

Kred is the most popular social media evaluation tool for analyzing content on Facebook.

Question 35

Reminder advertising is most common during which stage of the product life cycle?

A)maturity
B)introductory
C)growth
D)repositioning
E)conceptual

Question 36

A collection of coordinated advertisements that share a single theme is called

A)a marketing mix.
B)an advertising campaign.
C)an advertising mix.
D)an advertising concept.
E)a promotion mix.

Question 37

What is the name of the promotional strategy that involves coordinating the various promotion mix elements to provide consumers with a clear and consistent message about a firm's products?

A)integrated advertising mix
B)integrated marketing communications
C)integrated promotion mix
D)integrated marketing concept
E)integrated promotion concept

Question 38

Revenue per ad dollar is calculated by comparing total revenue to the amount of money spent on advertising.

Question 39

What type of advertising attempts to increase demand for an existing product?

A)entertainment
B)reminder
C)narrative
D)informative
E)persuasive

Question 40

Frequency is the percentage of the target market that has been exposed to a promotional message at least once during a specific time period.

Question 41

While viewing a webpage for outdoor gear, Drake noticed a graphic display advertising kayaks at low prices. When he clicked on the ad, it took him to a different website where the kayaks were listed for sale. This is an example of what type of Internet advertising?

A)paid search
B)linked advertising
C)paid display
D)reminder advertising
E)direct marketing

Question 42

Nellie takes the bus to the train station every day. There are advertisements posted on the outside of the bus that change periodically. This is an example of

A)outdoor advertising.
B)print advertising.
C)direct marketing.
D)social media advertising.
E)mobile advertising.

Question 43

In an episode of the Big Bang Theory, the main character, Sheldon, can be seen sitting on the floor of a store with two video game systems in front of him-a PS4 and an Xbox One; he is trying to make a decision on which one to buy. This is an example of

A)joint marketing.
B)co-branding.
C)media marketing.
D)product placement.
E)direct marketing.

Question 44

You placed an order online at Target.com for a set of towels. As part of the checkout process, you were asked to provide your e-mail address. Now you receive e-mails from Target.com regarding products you might like. This is an example of

A)a paid display ad.
B)sales promotion.
C)an informative advertisement.
D)direct marketing.
E)integrated marketing communications.

Question 45

The dissemination of information to a fairly small, select audience that is defined by its shared values, preferences, or demographic attributes is referred to as

A)prospecting.
B)broadcasting.
C)narrowcasting.
D)relationship selling.
E)personal selling.

Question 46

When marketers segment consumers by the type of radio station they listen to and then air their advertisements accordingly, it is a form of

A)simulcasting.
B)prospecting.
C)concentrating.
D)podcasting.
E)narrowcasting.

Question 47

According to your text, what do people think of first when they hear the term marketing?

A)radio advertising
B)newspaper advertising
C)sales promotion
D)public relations
E)television advertising

Question 48

What is offered by your text as a reason for the decreased viewership of top-rated TV programs?

A)the greater number of channels available to consumers
B)the greater number of advertisements consumers have to watch
C)the increased use of sexual innuendo in the programs
D)the overall decline in the subject matter and acting talent in the programs
E)the increased use of profanity and violence in the programs

Question 49

High cost is the biggest disadvantage to which form of advertising?

A)Internet
B)radio
C)television
D)magazine
E)billboard

Question 50

One of the advantages of radio as an advertising medium is that it

A)is audio-only.
B)is cost-effective.
C)doesn't require marketers to segment an audience.
D)is good for complex messages.
E)has a long exposure time.

Question 51

A disadvantage of print advertising is that

A)it does not allow for narrowcasting.
B)it is too general and cannot target specific audiences.
C)it is ineffective for high-involvement consumer products.
D)consumers do not use print as their primary information source.
E)it rarely helps small businesses advertise their goods to the local community.

Question 52

Marketers divide magazines into which two types of categories?

A)general-interest and specific-interest
B)business and consumer
C)informative and entertainment
D)men's and women's
E)trade publications and general-interest publications

Question 53

The advertising technique in which a company promotes its products through appearances on television shows, movies, or other media is called

A)co-branding.
B)product placement.
C)media marketing.
D)indirect marketing.
E)joint marketing.

Question 54

High-involvement consumer products, such as a house or a car, benefit most from which form of advertising?

A)print
B)radio
C)mobile
D)television
E)outdoor

Question 55

One advantage to using magazines as an advertising medium is

A)the relatively short timeframe necessary to place an ad.
B)the control marketers have over ad placement.
C)the quick turnaround between ad creation and ad placement.
D)its ability to target specific audiences.
E)its use as a primary information source.

Question 56

Traditionally, the biggest disadvantage of radio advertising has been that radio ads

A)have a long exposure time.
B)are expensive.
C)are audio-only.
D)have a narrow transmission.
E)don't allow marketers to segment audiences.

Question 57

The ability to plug in an MP3 player or a smartphone into your car has proved to be a disadvantage to what form of advertising?

A)radio
B)television
C)outdoor
D)print
E)mobile

Question 58

Compare the following forms of advertising to determine which one is an example of narrowcasting.

A)Coca-Cola sponsoring a regional music festival
B)a billboard advertisement for Verizon Wireless
C)a TV commercial for Budweiser beer broadcast during the Super Bowl
D)a circular promoting a sale on Christmas trees in the Sunday newspaper
E)an advertisement for Barilla pasta shown on the Food network

Question 59

Compare the following forms of advertising and select the medium that is generally the cheapest form.

A)magazine advertising
B)newspaper advertising
C)television advertising
D)outdoor advertising
E)radio advertising

Question 60

Direct marketing refers to advertising that

A)seeks to keep the product before the public in an effort to reinforce previous promotional activity.
B)attempts to increase demand for an existing product when competition is at its highest.
C)combines various forms of promotion strategies into a coordinated collection sharing a single theme.
D)is used in the introductory stage of the product life cycle to attempt to develop initial demand for a product.
E)communicates directly with consumers and organizations in an effort to provoke a response.

Question 61

From a publicity standpoint, marketers can use social media to

A)keep customers from engaging with its competitors.
B)address any negative feedback that may be posted about the company.
C)to advertise the company's products.
D)secure sponsorships for events.
E)reduce the amount of money the firm pays for publicity.

Question 62

Which public relations tool provides a forum for the organization to share with its stakeholders what it has achieved over the past year?

A)sales presentations
B)media kits
C)annual reports
D)brochures
E)blogs

Question 63

Which is a tool used in public relations?

A)sponsorships
B)sales presentations
C)allowances
D)trade shows
E)sales promotions

Question 64

What is the major disadvantage of publicity as a promotion mix tool?

A)It is not helpful in crisis management situations.
B)There is less control over how the information is presented.
C)It is time-consuming for the marketer to prepare.
D)It cannot be presented through multiple media sources.
E)It is a very costly option.

Question 65

At a local fair, Toyota hosted a booth and brought several models of its SUVs for customers to sit in to get a close-up view of the various models. Customers were then encouraged to fill out a comment card letting Toyota know what their favorite model SUV was. At the end of the fair, one comment card would be chosen by the company and that person would win the SUV of their choice. This is an example of

A)a deal.
B)a contest.
C)a sweepstakes.
D)a coupon.
E)a premium.

Question 66

Felix has been calling on the same customer for years. He handles all of the company's orders and quickly resolves any issues that may come up. On occasion, Felix takes some of the company employees out to dinner and has even given them tickets to local sporting events. Felix is involved in

A)public relations.
B)publicity.
C)multi-level marketing.
D)relationship selling.
E)loyalty selling.

Question 67

The single most effective approach for establishing and developing a personal relationship with the customer is through

A)publicity.
B)personal selling.
C)public relations.
D)advertising.
E)sales promotion.

Question 68

A trade sales promotion that typically involves paying retailers for financial losses associated with consumer sales promotions or reimbursing a retailer for an in-store or local expense to promote a specific product is known as

A)a loyalty program.
B)an allowance.
C)a contest.
D)a rebate.
E)a premium program.

Question 69

What is the aim of a public relations campaign?

A)to promote positive relations between a firm and its stakeholders
B)to coordinate promotion mix elements to provide a consistent message about the firm
C)to keep the product before the public in an effort to reinforce previous promotional activity
D)to communicate directly with the consumer in an effort to provoke a response
E)to stimulate quicker and more frequent purchases of a product

Question 70

As a sales promotion tactic, why do marketers prefer using rebates?

A)because customers often fail to redeem them
B)because they offer the customer a chance to actually try the product
C)because they offer incentives that encourage satisfied customers to become repeat customers
D)because they are most effective on everyday purchases
E)because they are easy for the customer to use

Question 71

What is the most common type of sales promotion?

A)rebates
B)coupons
C)samples
D)contests and sweepstakes
E)loyalty programs

Question 72

What is a nontraditional form of advertising?

A)advertisements that are embedded within a video game
B)advertisements that show up on web pages
C)advertisements that are painted on the side of a building
D)advertisements that are placed on the top of taxi cabs
E)advertisements that are flown from the back of an airplane

Question 73

Disseminating unpaid news items through some form of media to gain attention or support is referred to as

A)free advertising.
B)public relations.
C)sales promotion.
D)publicity.
E)media-controlled content.

Question 74

A new specialty spice shop opened up in town. In order to lure customers into the store, the owners sent a packet of its most popular spice mix to 3,000 potential customers. This is an example of

A)an allowance.
B)a sample.
C)a rebate.
D)a coupon.
E)a loyalty program.

Question 75

Sales promotions that allow consumers to accumulate points or other benefits for doing business with the same company are known as

A)rebate programs.
B)allowances.
C)premium programs.
D)contests.
E)loyalty programs.

Question 76

Which public relations tool is typically intended to inform and engage the public?

A)speeches
B)blogs
C)sales presentations
D)annual reports
E)brochures

Question 77

The two-way flow of communication between a salesperson and a customer that is paid for by the firm and seeks to influence the customer's purchase decision is referred to as

A)public relations.
B)advertising.
C)personal selling.
D)sales promotion.
E)publicity.

Question 78

The bulk of a firm's promotion budget is allocated to

A)publicity.
B)sales promotion activities.
C)public relations.
D)advertising.
E)personal selling activities.

Question 79

The goal of sales promotion is to

A)promote goodwill with customers and the community at large.
B)promote positive relations between a firm and its stakeholders.
C)build a trusting relationship with a customer over a long period of time.
D)inform the consumer of the product's benefits.
E)stimulate quicker and more frequent purchases of a product.

Question 80

Outdoor advertising is characterized by its

A)ability to make the message easy to read.
B)limited placement options.
C)short exposure time.
D)effective coverage.
E)relatively high cost.