Deck 1: An Introduction to Integrated Marketing Communications

Question 1

Digital/online advertising account for the majority of companies' marketing communications expenditures.
By 2016, $127 billion was being spent on traditional media advertising (television, radio, magazines, newspapers, outdoor, cinema), while only $68 billion was being spent on digital/online advertising.Total digital advertising is expected to reach $100 billion by 2020, at which point it will represent 45 percent of all media advertising spending.

Answer 1

False

Question 2

As marketers embraced the concept of integrated marketing communications, they began to rely primarily on media advertising.
As marketers embraced the concept of integrated marketing communications, they began asking their ad agencies to coordinate the use of a variety of promotional tools rather than relying primarily on media advertising.A number of companies also began to look beyond traditional advertising agencies and use other types of promotional specialists.

Answer 2

False

Question 3

The goal of integrated marketing communications (IMC) is to generate both short-term financial returns and build long-term brand and shareholder value.
Integrated marketing communications is a strategic business process used to plan, develop, execute, and evaluate coordinated, measurable, persuasive brand communications programs over time with consumers, customers, prospects, employees, associates, and other targeted relevant external and internal audiences.The goal is to generate both short-term financial returns and build long-term brand and shareholder value.

Answer 3

True

Question 4

Primary-demand advertising focuses on creating demand for a specific company's brands.
Primary-demand advertising is designed to stimulate demand for the general product class or entire industry.Selective-demand advertising focuses on creating demand for a specific company's brands.Most advertising for products and services is concerned with stimulating selective demand and emphasizes reasons for purchasing a particular brand.

Question 5

Not all marketing transactions involve the exchange of money for a product or service.
Not all marketing transactions involve the exchange of money for a product or service.Nonprofit organizations such as various causes, charities, religious groups, the arts, and colleges and universities receive millions of dollars in donations every year.Many nonprofit organizations use ads to solicit contributions from the public.

Question 6

Most consumers in the millennial generation age cohort are very receptive to traditional advertising.
Many consumers in in the millennial generation age cohort are very skeptical of traditional advertising.Having grown up in an even more media-saturated and brand-conscious world than their parents did, they respond to advertising differently and prefer to encounter marketing messages in different places and from different sources.

Question 7

Advertising targeted to professionals such as doctors, lawyers, dentists, engineers, or professors to encourage them to use a company's product in their business operations is referred to as trade advertising.
Advertising targeted to professionals such as doctors, lawyers, dentists, engineers, or professors to encourage them to use a company's product in their business operations is referred to as professional advertising.

Question 8

The integrated marketing communications approach calls for a centralized messaging function so that everything a company says and does communicates a common theme and positioning.
The integrated marketing communications approach seeks to have all of a company's marketing and promotional activities project a consistent, unified image to the marketplace.It recognizes that every customer interaction with a company or brand across a host of contact points represents an opportunity to deliver on the brand promise, strengthen customer relationships, and deepen loyalty.

Question 9

Implicit communication has been defined as the coordination of all seller-initiated efforts to set up channels of information and persuasion in order to sell goods and services or promote an idea.
Promotion has been defined as the coordination of all seller-initiated efforts to set up channels of information and persuasion in order to sell goods and services or promote an idea. Implicit communication occurs through the various elements of the marketing mix, but most of an organization's communications with the marketplace take place as part of a carefully planned and controlled promotional program.

Question 10

Omnichannel retailing involves using a combination of physical or offline channels as well as digital or online channels to influence a customer's shopping experience, including research before a purchase and service after a sale.
Companies that use an omnichannel retailing strategy sell their products through multiple distribution channels, including retail stores, online, catalogs, and mobile apps.These companies try to influence the customer's shopping experience throughout the purchase process.

Question 11

The nonpersonal nature of advertising means that there is generally ample opportunity for immediate feedback from the message recipient.
The nonpersonal nature of advertising means that there is generally no opportunity for immediate feedback from the message recipient (except in direct-response advertising).Therefore, before the message is sent, the advertiser must consider how the audience will interpret and respond to it.

Question 12

Traditionally, direct selling via independent contractors has been the primary medium for direct-response advertising.
Traditionally, direct mail has been the primary medium for direct-response advertising, although television and the Internet have become increasingly important media.

Question 13

Media advertising is still the most cost-effective way to reach large numbers of consumers with an advertising message.
Advertising remains an important part of many marketers' IMC programs because it is an effective way to reach large numbers of consumers with an advertising message.Television, in particular, is an excellent way for marketers to reach mass markets.

Question 14

When Bumble Bee Tuna participates in a trade show to encourage retailers to stock and promote its products, it is engaged in a consumer-oriented sales promotion.
Consumer-oriented sales promotions are targeted to the ultimate user of the product or service-in this case, Bumble Bee Tuna.On the other hand, trade-oriented sales promotions are targeted to the marketing intermediaries, like wholesalers, distributors, and retailers.Trade shows, promotional and merchandising allowances, price deals, and sales contests are all examples of trade-oriented sales promotions, which are designed to encourage trade partners to stock and promote a company's products.

Question 15

There has been an evolution to micromarketing as the mass audience assembled by network television and augmented by other mass media is fragmenting at an accelerating rate.
Viewing audiences are moving from the traditional broadcast networks to more narrowly targeted programs on cable networks and to other forms of entertainment.

Question 16

Traditional print advertising is expected to increase by 45 percent from 2016 to 2020.
Traditional print advertising is expected to decline by 2 percent annually.

Question 17

An advantage of publicity over other forms of promotion is its credibility.
Consumers generally tend to be less skeptical toward favorable information about a product or service when it comes from a source they perceive as unbiased.

Question 18

One reason marketers are adopting the IMC approach is they understand the value of strategically integrating the various communications functions.
The IMC approach to marketing communications planning and strategy is being adopted by both large and small companies because they prefer to integrate communications functions instead of having them operate autonomously. By coordinating marketing communication efforts, companies can avoid duplication, take advantage of synergy among promotional tools, and develop more efficient and effective marketing communication programs.

Question 19

The status gained from owning a particular brand is an example of a functional benefit.
Value is the customer's perception of all of the benefits of a product or service weighed against all the costs of acquiring and consuming it.Benefits can be functional (the performance of the product), experiential (what it feels like to use the product), and/or psychological (feelings such as self-esteem or status that result from owning a particular brand).

Question 20

Business-to-business advertising is limited to industrial goods; services such as insurance and finance and banking are not included in this category.
Business-to-business advertising is targeted at individuals who buy or influence the purchase of industrial goods or services for their companies.Business services such as insurance, finance and banking, and telecommunications are also included in this category because they are marketed to both business customers and consumers.

Question 21

The process of assimilating mass-media advertisements with other promotional elements such as direct marketing, public relations, and sales promotion is known as

A)media fragmentation.
B)micromarketing.
C)integrated marketing communications.
D)social media.
E)digital advertising

Question 22

In the advertising industry, terms such as new advertising, orchestration, and seamless communication were used to describe the concept of

A)positioning.
B)integration.
C)channel conflict.
D)relationship marketing.
E)diffusion.

Question 23

Analysis of the communication process may involve preliminary discussions on media-mix options and their cost implications.
When a firm is in the stage of analyzing the communication process of the promotional planning process, it examines how effectively it can communicate with consumers in its target markets.Preliminary discussion of media-mix options (print, TV, radio, digital, direct marketing) and their cost implications might also occur at this stage.

Question 24

Price, product, place, and promotion together form the

A)points-of-parity.
B)promotional mix.
C)marketing mix.
D)supply chain components.
E)exchange mix.

Question 25

Which of the following is true of integrated marketing communication?

A)It does not include sales promotion.
B)It calls for a "big picture" approach to promotional activities.
C)It segregates and highlights various independent promotional activities.
D)It is also typically referred to as mobile marketing.
E)It relies on mass-media advertising.

Question 26

CL Inc., a new firm, used mass media to gain traction among customers.The company used sales promotions and public relations to achieve the long-term targets and goals identified by the top management.It also opted for direct marketing on a project-to-project basis.The assimilation of these various promotional tools is commonly referred to as

A)mobile marketing.
B)sales promotion activities.
C)integrated marketing communications.
D)omnichannel retailing.
E)search advertising

Question 27

Prior to the development of integrated marketing communications, the promotional function in most companies was dominated by

A)mass-media advertising.
B)sales promotion.
C)public relations.
D)publicity.
E)direct marketing.

Question 28

Publicity is always under the control of an organization, so the organization can make sure it is positive.
Publicity is not always under the control of an organization and is sometimes unfavorable.Negative stories about a company and/or its products can be very damaging.

Question 29

According to the American Association of Advertising Agencies, _____ is a concept of marketing communications planning that recognizes the added value of a comprehensive plan that evaluates the strategic role of a variety of communication disciplines and combines them to provide clarity, consistency, and maximum impact.

A)brand equity
B)local advertising
C)selective demand marketing communications
D)integrated marketing communications
E)professional advertising

Question 30

Earned media refers to channels of marketing communication that a company controls, such as its websites, blogs, and mobile apps as well as social media channels such as Facebook, Twitter, Instagram, and YouTube.
Earned media is exposure for a company or brand that it did not have to pay for and is generated by outside entities such as the media or the general public.On the other hand, owned media refers to channels of marketing communication that the company controls, such as its websites, blogs, and mobile apps as well as social media channels such as Facebook, Twitter, Instagram, and YouTube.

Question 31

According to the American Marketing Association's definition of marketing, which of the following statements is true?

A)Most marketers are seeking a one-time exchange or transaction with their customers.
B)The focus of production-driven companies is on developing and sustaining relationships with their customers.
C)Successful companies recognize that creating and delivering value to their customers is extremely important.
D)Though marketing plays an important role in developing relationships with customers, it does not help in maintaining them.
E)By definition, a marketing transaction has to involve the exchange of money.

Question 32

The central theme of the concept of _____ is that all of an organization's promotional elements and marketing activities reach out consistently and in a unified manner with its customers.

A)the marketing mix
B)exchange
C)integrated marketing communications
D)the promotional mix
E)cumulative prospect theory

Question 33

Which of the following is an example of a marketing exchange?

A)The waitress gave Cyrus a menu and he placed his food order.
B)Griffin helped Mandy replace the air filter in her lawn mower.
C)Ken and Maggie gave their son an MP3 player for his birthday.
D)Mrs.Maloney gave Larry a box of homemade fudge in return for painting her fence.
E)Jenny asked Melisa if she could borrow her pen for a while since her pen had stopped working.

Question 34

Which of the following best defines integrated marketing communications?

A)It is a term used in cause marketing that speaks about the degree of control customers hold over the cause they choose to support.
B)It involves coordinating the various promotional elements and other marketing activities that interact with a firm's customers.
C)It is software that gathers and analyzes information about customer interactions with all the employees of a company.
D)It is a collection of informational resources that describes a company's products and services and assists in marketing the same.
E)It involves dividing the customers into similar subgroups based on media usage, demographics, psychographics, and product usage.

Question 35

Which of the following statements best defines value?

A)the coordination of all seller-initiated efforts to set up channels of information and persuasion in order to sell goods and services or promote an idea
B)the combination of factors like name, logo, design, and packaging that comes to mind when consumers think about a brand
C)the desire and ability of two or more parties to exchange something of importance with one another
D)the customer's perception of all of the benefits of a product or service weighed against all the costs of acquiring and consuming it
E)the amount of funds invested by the shareholders of a company in promoting its product portfolio

Question 36

Unexpected touch points are unanticipated references or information about a company or brand that a customer or prospect receives that is beyond the control of the organization.
Unexpected touch points are unanticipated references or information about a company or brand that a customer or prospect receives that is beyond the control of the organization.Probably the most influential type of unexpected contact is a word-of-mouth message, which refers to a personal communication that comes from friends, associates, neighbors, co-workers, or family members.

Question 37

In the 4As' definition of integrated marketing communications, the focus is on

A)the organizations creating a sustainable supply chain for developing a socially responsible business.
B)the fact that nonpersonal communications must be totally avoided for a better communications impact.
C)the employees keeping track of future prospects by maintaining a customer interaction tracker.
D)the development of bait-and-switch marketing activities in all organizations.
E)the process of using all forms of promotion to achieve maximum communication impact.

Question 38

Product, price, promotion, and _____ are the four Ps of the marketing mix.

A)people
B)place
C)package
D)print
E)privilege

Question 39

The first step in the IMC planning process is to review the marketing plan and objectives.
The first step in the IMC planning process is to review the marketing plan and objectives.Before developing a promotional plan, marketers must understand where the company (or the brand) has been, its current position in the market, where it intends to go, and how it plans to get there.

Question 40

Companies or brands that are new to the market or those for whom perceptions are negative should focus on the benefits or attributes of the specific product or service, and not on their image.
Companies or brands that are new to the market or those for whom perceptions are negative may have to concentrate on their images, not just the benefits or attributes of the specific product or service.On the other hand, a firm with a strong reputation and/or image is already a step ahead when it comes to marketing its products or services.

Question 41

Which of the following features of direct-response advertising differentiates it from other forms of advertising?

A)It provides for immediate feedback from the message recipient.
B)It makes use of only magazines as a primary medium of advertising.
C)It is a form of nonpersonal mass-media communication.
D)It is most widely used because of its pervasiveness.
E)It is a paid form of mass-media communication.

Question 42

Advertising is defined as any

A)paid form of nonpersonal communication about a product, service, or company.
B)form of media communication that provides an opportunity for immediate feedback.
C)communication that moves a product from one level to another level of the distribution channel.
D)personal communication from a company's representative to prospective buyers.
E)nonpersonal communication about a product or service that is not paid for or run under identified sponsorship.

Question 43

Clave Inc., a large soap manufacturing firm, has introduced a new soap known as Honeydew.It wants to promote the soap to broad audiences across various countries in a persuasive and cost-effective manner.At the same time, it also wants to enhance the overall company image.It has a promotional budget of about $1,000,000.Which of the following forms of promotion should Clave make use of for the promotion of Honeydew?

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

Question 44

Traditionally, which of the following has been considered an element of the promotional mix?

A)packaging
B)advertising
C)direct marketing
D)interactive media
E)branding

Question 45

Which of the following is true of advertising as a form of promotion?

A)low cost per contact
B)nonpaid form of promotion
C)sponsor or advertiser not identified
D)immediate feedback and capability to close sales
E)makes use of nontraditional media

Question 46

Which the following factors is generally neglected through the use of advertising?

A)ability to reach mass markets
B)low cost per contact
C)ability to create brand images and symbolism
D)immediate feedback
E)control of message content and media placement

Question 47

The best-known and most widely discussed form of promotion is

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

Question 48

_____ is the coordination of all seller-initiated efforts to set up channels of information and persuasion to sell goods and services.

A)Branding
B)Product distribution
C)Pricing
D)Promotion
E)Market segmentation

Question 49

The chief marketing officer who noted that "the future of marketing isn't about getting people to buy your brand, but to buy into your brand," recognized that marketing is now in the _____________ era, and companies must connect with consumers based on trust, transparency, engagement, and authenticity.

A)relationship
B)cynicism
C)promotion
D)mobile
E)sustainability

Question 50

To respond to media fragmentation, marketers are increasing their spending on

A)mass-media communication.
B)television advertising.
C)micromarketing.
D)mass production.
E)product packaging.

Question 51

_____ has been described as one of the "new-generation" marketing approaches being used by companies to better focus their efforts in acquiring, retaining, and developing relationships with customers and other stakeholders.

A)Decentralized communication systems
B)Bait-and-switch marketing approach
C)Integrated marketing communications
D)Mass-media advertising
E)Customer newsletter service

Question 52

According to the definition of integrated marketing communications (IMC) given by Don Schultz, which of the following is true of IMC?

A)It is a tactical separation of various communication activities.
B)It does not view the audience as an important part of the IMC process.
C)It does not view the employees as an important part of the IMC process.
D)It is viewed as an ongoing strategic business process.
E)It simply involves bundling promotional mix elements together.

Question 53

The basic elements that are used to accomplish an organization's marketing communication objectives are referred to as

A)the marketing mix.
B)marketing strategy tools.
C)the growth-share matrix.
D)the promotional mix.
E)the hype cycle.

Question 54

_____ has long been the cornerstone of brand-building efforts for many companies.

A)Interactive media
B)Mass-media advertising
C)Online marketing
D)Product placement
E)Personal selling

Question 55

Which promotional mix element would best suit a firm that wants to reach a large consumer audience while keeping the cost per contact low and creating a symbolic image or appeal for a new brand?

A)advertising
B)personal selling
C)sampling
D)couponing
E)door-to-door selling

Question 56

Which of the following elements of the promotional mix is defined as a paid form of nonpersonal presentation of ideas, goods, or services by an identified sponsor using predominantly mass media?

A)advertising
B)branding
C)packaging
D)publicity
E)sales promotion

Question 57

_____ is the sum of all points of encounter or contact that consumers have with the brand, and it extends beyond the experience or outcome of using it.

A)Brand evangelism
B)Brand identity
C)Brand extension
D)Brand differentiation
E)Brand engagement

Question 58

Ultra-Long deodorant's tagline is "Timely strength for the match of life." Ads for the product feature a baseball star saying, "You need extra muscle when your day goes into extra time." These ads appear regularly on television and in print media.At the same time, Ultra-Long runs a sweepstakes contest for its customers.To enter the contest, customers have to fill out a $1-off coupon.Through the use of IMC, Ultra-Long is hoping to primarily create _____ for its new product, which is the combination of many factors, including the name, logo, symbols, design, packaging, and performance of the product.

A)brand evangelism
B)brand dilution
C)brand language
D)brand identity
E)brand repositioning

Question 59

The primary goal of an integrated marketing communications program is to

A)have a company's entire marketing and promotional activities project a consistent, unified image to its customers.
B)control all facets of a product's distribution.
C)communicate with customers primarily through mass-media advertising.
D)have complete control over all the channel partners in the distribution channel and to slow down the rate of diffusion of a new product among the customers.
E)create a strong distribution network, via marketing, that is capable of destabilizing any competition.

Question 60

Montblanc uses classic design, a distinctive brand name, a focused distribution strategy to exclusive retailers, and celebrities in its advertising to position its watches as high-quality, high-status products. This is an example of a(n) ______________________ approach.

A)direct marketing
B)mobile marketing
C)integrated marketing communications
D)old generation marketing
E)mass media

Question 61

A to Z, a supermarket in New Jersey, placed a weekly advertisement in the local newspapers.The advertisement stated that A to Z would provide its customers all vegetables at a flat rate of $5 from Monday to Wednesday between 1 p.m.and 3 p.m.at select locations in the state.A to Z most likely used

A)national advertising.
B)trade advertising.
C)retail advertising.
D)primary-demand advertising.
E)direct-response advertising.

Question 62

Which of the following is an example of trade advertising?

A)Mars Inc.is using print advertising to attract supply managers from other companies.
B)Pluto Inc., a toothpaste manufacturer, places an ad in Tooth Daily, a magazine frequently circulated among dentists.
C)CL Inc., a chocolate manufacturer, hopes to attract wholesalers and retailers by placing an ad in NextMag, a weekly hotel magazine.
D)James, a doctor, places an ad in a local newspaper to advertise his new clinic.
E)The State Egg Federation runs a series of television ads that educate people about the nutritional value of eggs.

Question 63

Advertisements for CL brake products, True spark plugs, AM chassis parts, and Stone wheels featured in Tire Review, a journal for owners/operators of auto shops, are examples of _____ advertising.

A)retail
B)direct-response
C)business-to-business
D)direct-mail
E)primary-demand

Question 64

Which of the following best describes selective-demand advertising?

A)It focuses on creating demand for a specific company's brands.
B)It is done by retailers or local merchants to encourage consumers to shop at a specific store, use a local service, or patronize a particular establishment.
C)It focuses on creating demand for an entire industry.
D)It focuses on targeting individuals who buy or influence the purchase of industrial goods or services for their companies.
E)It is one of the four Ps of the marketing mix.

Question 65

_____ advertising is targeted at individuals who influence the purchase of goods and services used to make other products.

A)Professional
B)Primary-demand
C)Retail
D)Business-to-business
E)Direct-response

Question 66

_____ advertising is targeted at marketing channel members such as wholesalers, distributors, and retailers in order to encourage them to stock more of a particular brand.

A)National
B)Selective-demand
C)Professional
D)Trade
E)Retail

Question 67

Stylo, a perfume manufacturing company, spends about $1,000,000 annually on advertising.The company seeks to remind its customers in the United States about the brand and its features, benefits, and uses.It primarily strives to reinforce its image and initiate product purchase.In the context of the types of advertising to consumer markets, Stylo is using\

A)national advertising.
B)primary demand advertising.
C)trade advertising.
D)business-to-business advertising.
E)professional advertising

Question 68

Which of the following statements is true of direct marketing?

A)Traditionally, it has not been considered an element of the promotional mix.
B)It is synonymous with direct mail.
C)The rapid growth of the Internet is discouraging the growth of direct marketing.
D)It is seldom, if ever, used by companies that have an external sales force.
E)It is less direct when compared to mail-order catalogs.

Question 69

Munroe Dairy, Inc., a manufacturer of dairy products, has come up with new global ads that promote the benefits of drinking milk as well as demonstrate the various uses of milk.This is an example of

A)trade advertising.
B)primary-demand advertising.
C)secondary-demand advertising.
D)retail advertising.
E)professional advertising.

Question 70

The National Egg Association has been promoting the benefits of eggs for many years.It aims to educate customers about the nutritional values of eggs through ads which are aired in several states.It is making use of

A)direct-response advertising.
B)professional advertising.
C)primary-demand advertising.
D)selective-demand advertising.
E)trade advertising.

Question 71

DocStock Inc., a company that manufactures stethoscopes, has placed an ad in MediMag, a magazine primarily read by doctors.The company is trying to improve sales by directly reaching out to its primary market segment.This is an example of\

A)business-to-business advertising.
B)trade advertising.
C)professional advertising.
D)primary-demand advertising.
E)direct-action advertising.

Question 72

Which of the following is true of advertising?

A)Advertising attempts to create a personal relationship with the consumers.
B)The nature and purpose of advertising is usually the same across various industries.
C)Advertising is a valuable tool for building brand and company equity.
D)Advertising is used only for the promotion of mass consumer products.
E)One disadvantage of advertising is that it is extremely personal to consumers.

Question 73

Which of the following is true of retail advertising?

A)It is done by large companies on a nationwide basis or in most regions of the country.
B)It takes the form of direct-response advertising.
C)It is done to build store traffic and sales.
D)It is designed to stimulate demand for the general product class or an entire industry.
E)It is targeted at marketing channel members such as wholesalers, distributors, and suppliers.

Question 74

In the context of advertising for consumer markets, _____ advertising focuses on creating demand for a specific company's brand.

A)primary-demand
B)selective-demand
C)trade
D)professional
E)industrial

Question 75

With respect to consumer markets, advertising done by manufacturers of well-known brands on a countrywide basis or in most regions of the country is known as _____ advertising.

A)professional
B)trade
C)business-to-business
D)national
E)direct-response

Question 76

Which of the following is an example of retail advertising?

A)Advertisement of a health drink that compares its benefits to its competitor's
B)Advertising done by the Beef Council to stimulate the demand for beef
C)Advertisement for Fizzy Cola placed in a trade magazine to promote it to food store managers
D)Advertisement for Pink Airlines that appears in newspapers all across the country
E)Newspaper advertisement for a discount at a restaurant located on the outskirts of San Diego

Question 77

Primary-demand advertising is designed to

A)influence the purchase of only industrial goods and services.
B)stimulate demand for a general product class or entire industry.
C)help launch a specific line extension.
D)stimulate demand for existing products that are "dying."
E)create a market share gain for the industry leader.

Question 78

Retail or local advertising often takes the form of

A)trade advertising.
B)selective-demand advertising.
C)bait-and-switch advertising.
D)direct-action advertising.
E)indirect-response advertising.

Question 79

Advertising done for the purpose of building store traffic and encouraging consumers to make a purchase takes the form of _____ advertising.

A)trade
B)facultative
C)professional
D)direct-action
E)B2B

Question 80

_____ advertising is done by local merchants to encourage consumers to shop at a specific store, use a local service, or patronize a particular establishment.

A)Trade
B)Professional
C)Direct-response
D)Retail
E)National