Deck 17: Managing Personal Communications: Direct and Interactive Marketing, Word of Mouth, and Personal Selling

Question 1

Of the seven key design elements of an effective Web site,________ refers to layout and design.

A) character
B) capability
C) context
D) customization
E) connection

Answer 1

C

Question 2

Which of the following is a disadvantage of using Web for interactive marketing?

A) Consumers can effectively screen out most messages.
B) An average customer spends very little time on the Internet.
C) Internet selling and advertising is costlier than other advertising media.
D) It is unable to create long-term marketing assets.
E) Online marketing limits the possibilities of personalization.

Answer 2

A

Question 3

Which of the following is a major advantage of using direct mails?

A) Direct mails permit target market selectivity.
B) It is the best suited tool for selling complex products.
C) Campaign testing is not needed for direct mails.
D) Direct mails have very high conversion rates.
E) It is the best method to sell industrial products.

Answer 3

A

Question 4

Which of the following channels is best suited for interactive marketing?

A) television
B) newspapers
C) Internet
D) hoardings
E) magazines

Question 5

A salesperson sends e-mails to persuade prospects to buy the products of his company.This is a type of ________ marketing.

A) buzz
B) virtual
C) word of mouth
D) direct
E) viral

Question 6

Individual Web pages or clusters of pages that function as supplements to a primary Web site are called ________.

A) banners
B) pop-ups
C) interstitials
D) microsite
E) home pages

Question 7

Small Web pages of DTH Bank appear in the Web site of an online property brokerage firm.The pages provide tips to home buyers and publishes its new home loan offerings.These Web pages are examples of ________.

A) microsites
B) online banners
C) interstitials
D) paid advices
E) display advertisements

Question 8

The Internet provides marketers and consumers with opportunities for much greater interaction and ________ than other marketing channels.

A) control
B) data security
C) high involvement selling
D) order conversion
E) individualization

Question 9

Companies design ________ to embody or express their purpose,history,products,and vision and that are attractive on first viewing and interesting enough to encourage repeat visits.

A) Web sites
B) microblogs
C) banner ads
D) operating programs
E) social network pages

Question 10

Which of the following is an example of contextual ad placement?

A) advertisements that appear when a consumer types in the term "baby" in Google
B) dynamic advertisements of an automobile company appear in a newspaper's Web site
C) descriptive listings of products and services in an online shopping Web site
D) "buy now" tags that appear near the product description in a company's Web site
E) advertisement of a new movie that appears at the background of a news Web page

Question 11

In outbound telemarketing,the call center employees ________.

A) sell high-involvement products
B) initiate calls from a location closer to prospects
C) offer huge discounts to customers
D) initiate calls to prospects and customers
E) answer the queries of consumers who call for information

Question 12

You are visiting FIFA's Web site to know the schedule of the football World cup.On the top of the Web page showing the schedule,a small picture displays the official mascot and the text "Buy tickets for the World Cup now." This static exhibit provides the link to the official ticket booking Web site.Identify the type of advertisement used here.

A) pay-per-click ad
B) floating ad
C) wallpaper ad
D) superstitial
E) banner ad

Question 13

A banner ad is a(n)________.

A) large ad shown on the screen for complementary products
B) advertisement that appears before displaying a Web page
C) advertisement that comes up when viewing a Web site
D) small, rectangular box containing text and perhaps a picture
E) advertisement that is put up on hoardings

Question 14

In ________,marketers bid in a continuous auction on search terms that serve as a proxy for the consumer's product or consumption interests.

A) paid searches
B) pop-up advertising
C) display advertising
D) banner marketing
E) micro-advertising

Question 15

Which of the following is a factor considered when a customer is evaluated based on RFM formula?

A) the amount of time passed after the customer's last visit
B) the product categories purchased by the customer
C) the mode of payment used by the customer
D) the location from which the customer has bought goods
E) the type of feedback provided by the customer

Question 16

The catalog you receive from a large apparel store,displaying their new summer collection,is an example of ________ marketing.

A) buzz
B) direct
C) virtual
D) word of mouth
E) interactive

Question 17

Which of the following is an element of an offer strategy?

A) the medium used for delivery
B) the number of customers in the locality
C) the vision of the company
D) the skills required for production
E) the details of customer order received

Question 18

OrdOnline,a pure click company offering online auctioning,decides to launch a promotional program to increase its sales.The company identifies customers who have made at least three purchases and spent at least $150 in the past six months and offers discount coupons to these customers.Which of the following strategies is used here for targeting the customers?

A) viral marketing
B) objective screening
C) internal targeting
D) catalog marketing
E) RFM formula targeting

Question 19

The practice of using call centers,where employees receive calls from customers and provide service by taking orders and answering queries,is called ________.

A) customer response marketing
B) guerilla marketing
C) rective marketing
D) internal marketing
E) inbound telemarketing

Question 20

The management of Raleigh Bicycles observes that the company's selling costs are affected by the increased number of visits that the salespeople make to meet dealers.The company decides to reduce its personal selling costs by making sales calls to dealers via the telephone.This marketing strategy used by Raleigh is an example of ________.

A) inbound telemarketing
B) search marketing
C) internal marketing
D) outbound telemarketing
E) paid-search marketing

Question 21

Which of the following is an example of marketing through social media?

A) a leading brand of sports shoes sponsors the soccer world cup
B) a software company organizes a cancer awareness camp free for all
C) a new department store in your neighborhood that relies on people to spread the word
D) a newspaper article talks about the pollution control processes put in place by a steel manufacturing giant
E) a leading car manufacturer advertises the new model on facebook

Question 22

________ is another form of word of mouth that encourages consumers to pass along company-developed products and services or audio,video,or written information to others online.

A) Buzz marketing
B) Viral marketing
C) Guerrilla marketing
D) Motivational marketing
E) Internal marketing

Question 23

Which of the following is a valid observation about word of mouth advertisements?

A) It is the one form of advertisement that cannot be controlled by companies becasue it occurs naturally.
B) Social media can be used as a tool to generate positive word of mouth.
C) Word of mouth strategy will be less effective for smaller organziations.
D) Attempts to manage word of mouth would lead to negative consequences.
E) Organic word of mouth is always positive whereas facilitated word of mouth is negative.

Question 24

All the PR benefits a firm receives without having directly paid for anything is called ________ media.

A) earned
B) open
C) passive
D) inherent
E) internal

Question 25

Altruron Technologies creates a Facebook page for its new brand of LED television,Sparta.The Facebook page provides latest updates on Sparta and key service issues of the product.It also encourages user comments on the page and users share the information and pictures with their contacts in Facebook.The company has been marketing the page aggressively and has been encouraging users to "like" the product in Facebook.This social networking page and related efforts help the company attract prospective customers.The situation discussed here is an example of ________ marketing.

A) viral
B) deceptive
C) stealth
D) direct
E) guerilla

Question 26

Andrew is a post graduate student in Oxford University.He is also a member of the group of engineering professionals.The membership was issued to him when he worked as an engineer before joining the school.Andrew is called a(n)________ connecting the oxford student community and group of engineering professionals.

A) bridge
B) maven
C) buzzer
D) intuiter
E) external

Question 27

________ are regularly updated online journals or diaries.

A) Cliques
B) Podcasts
C) Interstitials
D) Blogs
E) Forums

Question 28

You are browsing through an entertainment Web site.When you click on one of the links,the screen turns grey and displays the advertisement of an automobile manufacturer.Clicking on the advertisement leads to the automobile manufacturer's Web site.This advertisement is an example of a(n)________.

A) interstitial
B) superstitial
C) floating ad
D) pay-per-click ad
E) wallpaper ad

Question 29

Which of the following statements is true about mobile apps?

A) They are advertisements that avoid the use of animations.
B) They are text messages sent in response to promotions.
C) They are softwares used to control basic functions such as texting.
D) They are programs designed to enhance the performance of a cell phone's processor.
E) They are software programs that can be loaded on to smart phones.

Question 30

Apple created a lot of publicity before the release of its tablet computer,iPad.The product was discussed in online communities and social networks.Many booked the product in advance,ensuring good initial revenues for Apple.The company published periodic updates of the product creating huge expectation in the minds of customers.This pre-launch publicity can be viewed as ________ marketing.

A) buzz
B) stealth
C) ambush
D) undercover
E) direct

Question 31

________ are advertisements,often with video or animation,which pop up between changes on a Web site.

A) Interstitials
B) Pay-per click ads
C) Podcasts
D) Wallpaper ads
E) Floating ads

Question 32

Buzz and viral marketing both try to ________.

A) use unethical methods to popularize a brand
B) market products by providing free samples to customers
C) create a splash in the marketplace to showcase a brand
D) induce impulse sales by displaying products close to the pay counters
E) market products to customers without their knowledge

Question 33

________ marketing generates excitement,creates publicity,and conveys new relevant brand-related information through unexpected or even outrageous means.

A) Live-in
B) Buzz
C) Viral
D) Guerrilla
E) Experimental

Question 34

According to communication researchers,the society consists of ________,small groups whose members interact frequently.

A) intuiters
B) buzzers
C) cliques
D) informants
E) campaigners

Question 35

Identify a social network that majorly targets career-minded professionals.

A) LinkedIn
B) Facebook
C) MySpace
D) Twitter
E) Orkut

Question 36

Which of the following is a disadvantage of using e-mails in marketing?

A) Non-technical products cannot be promoted using e-mails.
B) E-mails are not a cost-effctive alternative.
C) Customers can filter the e-mails and many won't reach them.
D) E-mails cannot be used for prospecting.
E) Customer feedback cannot be sought when using e-mails.

Question 37

Inception,a recent Hollywood blockbuster,had created a lot of interest among the viewers even before its release due to the credentials of its makers.The movie was discussed in social network pages and discussion forums.The discussions increased after its release and it helped the movie do good business.Which of the following most closely describes the type of marketing discussed in this example?

A) personalized marketing
B) direct marketing
C) interactive marketing
D) word of mouth marketing
E) technology marketing

Question 38

Albert Hawkins is a famous writer.He has authored more than fifteen books in Spanish.He publishes his thoughts online and updates the pages periodically.This online account has generated much public interest in Spain and has many readers.Hawkins's online journal is an example of a(n)________.

A) blog
B) interstitial
C) online magazine
D) buzz spot
E) microsite

Question 39

People who know and communicate with a great number of other people are called ________.

A) buzzers
B) connectors
C) informants
D) stickers
E) bridges

Question 40

Aldoor,a smart phone manufacturer,understands that word of mouth marketing is an important aspect in the success of a product.It promotes discussions about the product both online and offline.Certain loyalists,who have good knowledge about smart phones,act as key participants in such discussions.They help others sort out the problems and provide suggestions to those who want to buy smart phones.These individuals can be called ________.

A) intuiters
B) buzzers
C) bridges
D) connectors
E) mavens

Question 41

Catalog marketing and telemarketing are examples of indirect marketing.

Question 42

Fixed compensation receives more emphasis in sales rep jobs with ________.

A) a high ratio of selling to nonselling duties
B) a high requirement for individual initiatives
C) an intensive focus on selling activities
D) very little need for teamwork
E) technical complexities

Question 43

In which of the following stages of personal selling does a salesperson tell the product story to the buyer?

A) preapproach
B) prospecting
C) presentation
D) closing
E) objection handling

Question 44

Microsites are versions of Web sites designed for access from mobile devices.

Question 45

Paid search refers to the practice of charging Internet users a small premium for obtaining individualized search results.

Question 46

Which of the following is the first step in the process of personal selling?

A) prospecting and qualifying
B) sales preapproach
C) sales presentation
D) unearthing objections
E) demonstrating advantages

Question 47

Direct marketing has the ability to test different elements of an offer strategy under real marketplace conditions.

Question 48

________ consists of manufacturers' reps,sales agents,and brokers who earn a commission based on sales.

A) Virtual salesforce
B) Domestic salesforce
C) Contingent salesforce
D) Contractual salesforce
E) Decentralized salesforce

Question 49

A salesperson who relies on creative methods for selling a company's tangible or intangible offerings is called a(n)________.

A) demand creator
B) deliverer
C) order taker
D) missionary
E) solution vendor

Question 50

Identify the first step in the workload approach to establish sales force size.

A) grouping customers into size classes according to annual sales volume
B) establishing desirable call frequencies for each customer class
C) determining the total workload for the country in terms of sales calls per year
D) determining the average number of calls a sales representative can make per year
E) calculating the total number of sales reps needed

Question 51

Alduro Chemicals,a manufacturer of detergents,delivers chemicals used for commercial washing to various hoteliers in the United States.Most of the company's revenue comes from routine orders from its existing customers and the company uses unskilled salespeople to collect requirements from its customers.These unskilled customers are known as ________.

A) demand creators
B) deliverers
C) missionaries
D) order takers
E) solution vendors

Question 52

Today's customers expect a salesperson to have extensive product knowledge,to be efficient and reliable,and to provide ideas to improve the customer's operations.These demands are forcing companies to make higher investments in ________.

A) sales training
B) internal selling
C) management controls
D) advertising
E) sales promotions

Question 53

Part-time paid employees who work exclusively for the company are a part of the ________ salesforce.

A) direct
B) virtual
C) contractual
D) implicit
E) brokered

Question 54

The original and oldest form of direct marketing are ________.

A) billboards
B) banner advertising
C) mail campaigns
D) outbound telemarketing calls
E) field sales calls

Question 55

Robert is hired as a sales representative for a company that manufactures fire extinguishers.His job description reads as follows: "The key duty of the sales representative is to unravel the customer's problems using the company's products." Which of the following positions would best describe Robert's profile?

A) deliverer
B) technical salesperson
C) missionary salesperson
D) order taker
E) solution vendor

Question 56

Which of the following softwares allow Internet firms to monitor when customers blog,comment,post,share,link,upload,friend,stream,write on a wall,or update a profile?

A) cookies
B) caches
C) bridges
D) cliques
E) buzzers

Question 57

Gordron Inc.manufactures and markets medical equipment.To ensure that its salespeople are knowledgeable enough to answer all product queries,the company hires only those individuals who have a good understanding of both the medicine profession and the mechanics of the equipment used.Which of the following is the most accurate classification of Gordron's salesforce?

A) technicians
B) demand creators
C) deliverers
D) order takers
E) missionaries

Question 58

One of the shortcomings of direct marketing is that the firms cannot easily measure its response.

Question 59

A salesperson performing over the counter sales in a medical store can be referred to as a(n)________.

A) order taker
B) demand creator
C) solution vendor
D) phisher
E) missionary

Question 60

A salesperson who is contacting possible buyers by mail or phone to assess their level of interest and financial capacity is in the ________ step in the selling process.

A) preapproach
B) prospecting
C) qualifying
D) following up
E) objection handling

Question 61

Which type of questions allow salespeople to understand facts or explore the buyer's present state of affairs?

Question 62

The first step in the workload approach for designing salesforce size is to establish desirable call frequencies for each customer class.

Question 63

Earned media refers to the various paid advertising channels used by companies to obtain visibility on the Internet.

Question 64

Blogs cannot be used for word of mouth advertising as they are not updated on a regular basis.

Question 65

Viral and buzz campaigns are performed with minimal involvement of consumers and prospects.

Question 66

A manager is using feed-forward sales supervision when he communicates what the sales reps should be doing and motivates them to do it.

Question 67

What is the major difference between earned media and paid media?

Question 68

A contractual sales force consists of part-time employees who work exclusively for the company.

Question 69

An important characteristic of online communities and forums is the two-way information flow.

Question 70

A salesperson calling on supermarkets to take repeat orders is called an order taker.

Question 71

A company that sells one product line to one end-using industry with customers in many locations would use product or market structure for its salesforce.

Question 72

Most industrial companies rely heavily on Internet selling and buzz marketing to promote their products.

Question 73

Most direct marketers apply the RFM formula to select customers.Explain this formula and how it is used to select customers.

Question 74

A clique is a small group whose members interact frequently.

Question 75

Roler Telecom,a leading mobile telephone operator in Asia,engages in aggressive marketing promotions.The company sends promotional messages to customers and makes promotional calls on a regular basis.However,these aggressive promotion efforts often irritate its customers.What could be the likely outcome of this?

Question 76

Interstitials are advertisements that pop up between changes on a Web site.

Question 77

Explain the importance of word of mouth marketing.Briefly describe some of the channels that customers use to spread word of mouth.

Question 78

Proxies and cookies can be used by firms to monitor customers when they are blogging,commenting,or posting in social networks.

Question 79

Sales representatives who are paid mostly in commissions require more supervision than other salespeople.

Question 80

The fixed amount in a salesperson's salary is majorly designed to stimulate and reward efforts from salespeople.