Deck 16: IMC: Direct Marketing, Personal Selling, Packaging, and Sales Promotion

Question 1

Within the communications process,the task of personal selling is to make a sale.

Answer 1

False
Explanation: The task of personal selling is to build a relationship,a partnership that will provide long-term benefits to both buyer and seller.

Question 2

Databases help companies choose the prospects they can serve most effectively and profitably.

Answer 2

True
Explanation: With a database,companies can choose the prospects they can serve most effectively and profitably-the purpose of all marketing.

Question 3

One of the drawbacks to direct marketing is the fact that such efforts must often stand on their own without the content support of the media that advertising offers.

Answer 3

True
Explanation: Direct marketing efforts often have to stand on their own without the content support of the media that advertising enjoys.

Question 4

Personal selling is one of the most expensive medium of promotion.

Question 5

The construction of trade-show booths and exhibits has become a major factor in sales promotion plans.

Question 6

Direct marketing is a newly developed tool of marketing and promotion.

Question 7

Consumer sales promotions are examples of push strategies.

Question 8

Telemarketing costs a lot less money that personal selling.

Question 9

Direct marketing interaction can take place at any location.

Question 10

Salespeople perform four distinct communications functions: information gathering,information providing,order fulfillment and relationship building.

Question 11

Because the commercial for Bow-Flex exercise equipment asked readers to phone for a CD on how the exercise system could help them strengthen their muscles,it would be characterized as direct-response advertising.

Question 12

By providing a tangible response,direct marketing offers accountability.

Question 13

Direct marketing is the best way to develop a good database.

Question 14

Any media can be used for direct-response advertising.

Question 15

While the boom in telecommunications and computer technology is spurring the growth of direct marketing in the United States.However,it has not had the same effect worldwide.

Question 16

The direct marketing database is a company's primary tool to initiate,build,cultivate and measure the effectiveness of its loyalty efforts.

Question 17

One of the major advantages of sales promotion is that it is inexpensive.

Question 18

Telemarketing should never be used if the objective of the sales call is to develop long-term relationships with customers.

Question 19

Personal selling is very labor-intensive.

Question 20

Direct marketing efforts are always aimed at stimulating some action or response on the part of the customer or prospect.

Question 21

The trend toward self-service retailing is increasing the importance of point-of-purchase POP material.

Question 22

What are the various challenges that direct marketers have to face in foreign markets that limit the growth of direct marketing efforts?

Question 23

The excessive use of trade deals will threaten brand loyalty.

Question 24

Slippage is the term used to describe a phenomenon where customers buy a product because of a rebate offer and then never redeem the rebate because it is too much trouble.

Question 25

What are the functions of direct marketing?

Question 26

How have the social changes and changing lifestyles of the people in America led to an increase in direct marketing?

Question 27

Explain the main function of loyalty programs.

Question 28

List three factors that make sales promotions a unique communication form.

Question 29

What advantages does direct marketing enjoy over mass advertising?

Question 30

Both games and sweepstakes encourage consumption of the product by creating consumer involvement.

Question 31

What is a premium? Why do marketers offer premiums?

Question 32

List three reasons why a marketer might be at a disadvantage if it used personal selling as a marketing communications tool.

Question 33

Differentiate between a push and a pull strategy.

Question 34

Why are manufacturers opposed to paying slotting allowances?

Question 35

What benefits would a convenience store retailer realize if it offered its customers an opportunity to participate in some type of game?

Question 36

List and describe the two direct selling strategies.

Question 37

What is the primary reason for the tremendous growth of direct marketing in recent years?

Question 38

Spiffs are an allowance paid to retailers for handling manufacturer point-of-purchase displays.

Question 39

What are the two basic strategy decisions faced by all direct marketers?

Question 40

How are forward buying and diverting different? How are they similar?

Question 41

Sierra South sells whitewater ratting and kayaking trips and related merchandise.Sierra South uses the Internet as its _____ to connect its customers and prospects with the company to provide them with information on upcoming trips,new gear and sales.

A)linkage media
B)interactive communication capability
C)indirect-response advertising device
D)interstitial
E)feedback encoding device

Question 42

Planners for a trade show booth or exhibit have to be particularly concerned with four major areas.List them.

Question 43

What are the two primary methods for implementing a direct-sales strategy?

A)Person-to-person and group sales
B)Personal selling and telemarketing
C)Direct-response selling and telemarketing
D)Internet and telemarketing
E)Order-taker and order-filler

Question 44

The growth of direct marketing has been fueled by:

A)the development of kiosks.
B)the increase in cultural diversity.
C)the expanding use of credit cards.
D)the aging of the baby boomer generation.
E)the development of remote controls.

Question 45

Why are trade shows very important to global marketers?

Question 46

_____ is defined as an interactive process of addressable communication that uses one or more advertising media to effect,at any location,a measurable sale,lead,retail purchase,or charitable donation,with this activity analyzed on a database for the development of ongoing mutually beneficial relationships between marketers and customers,prospects,or donors.

A)Mass advertising
B)Sales promotion
C)Direct marketing
D)Personal selling
E)Network marketing

Question 47

Which of the following statements about direct marketing is true?

A)Direct marketing is a measurable system of marketing.
B)Direct marketing is static.
C)Direct marketing is often called reminder advertising.
D)Direct marketing does not typically produce feedback.
E)Direct marketing as a form of promotion is ineffective in generating immediate sales.

Question 48

_____ advertising is always aimed at stimulating some action or response from its recipient.

A)Radio
B)Viral
C)Direct-response
D)Mass
E)Aerial

Question 49

_____ is face-to-face selling away from a fixed retail location.

A)Interactive commerce
B)Direct selling
C)Telemarketing
D)Direct-response marketing
E)Relationship marketing

Question 50

Sierra South sells whitewater ratting and kayaking trips and related merchandise.The company uses a Web site to gather information from potential customers of its products.This information is entered into the company's database.Names and information in this database are used to determine who should receive a personalized sales e-mail from the company.Sierra South is using:

A)mail-order advertising.
B)database marketing.
C)direct selling.
D)direct-mail advertising.
E)interactive advertising.

Question 51

Advertising that asks the reader,viewer or listener to provide feedback straight to the sender is called:

A)unduplicated marketing.
B)customized marketing.
C)direct-response advertising.
D)advocacy selling.
E)direct-sales advertising.

Question 52

Which of the following statements describes a reason why an advertiser might decide against using direct marketing?

A)Direct marketing efforts provide its users with the prestigious affiliation offered by some media.
B)Many customers like to be able to use more than their visual senses when they are buying.
C)In the past,direct marketers were excessively relationship-oriented;and this gave direct marketers a bad reputation.
D)Direct marketing suffers from lack of sufficient clutter.
E)Direct marketing is not measurable and accountable.

Question 53

_____ includes selling and prospecting by telephone,answering phone inquires and providing sales-related services to callers.

A)Data mining
B)Direct response marketing
C)Direct response advertising
D)Relationship marketing
E)Telemarketing

Question 54

Rite Aid announced the launch of a _____ called Living More that provides benefits and savings to customers at least 60 years of age.Every time members use their card they are automatically entered into a quarterly sweepstakes plus getting a ten percent discount off all cash prescriptions as well as a ten percent discount off Rite Aid-brand products.

A)trade promotion
B)direct sales promotion
C)interactive program
D)loyalty program
E)push strategy

Question 55

_____ is a form of direct marketing that uses a database of current and prospective customers to generate personalized communications.

A)Mass advertising
B)Sales promotion
C)Multilevel marketing
D)Database marketing
E)Personal selling

Question 56

In 2005,the airwaves of KFFI-AM were saturated with commercials that asked listeners to dial advertisers' toll-free numbers or visit their Web sites.The approach accounted for nearly half the advertising on KFFI and it's a big reason why the station has climbed nearly to the top of the Los Angeles market in revenues and to No.4 nationwide.In this example,a broadcast medium is prospering from the use of:

A)unduplicated marketing.
B)customized marketing.
C)direct-response advertising.
D)advocacy selling.
E)direct-sales advertising.

Question 57

_____ is the oldest marketing method and it is growing incredibly fast today as a result of social and technological changes.

A)Direct marketing
B)Relationship marketing
C)Advertising
D)Interactive marketing
E)Direct selling

Question 58

What are the four most significant roles personal selling plays in IMC?

Question 59

What communications medium can be used for direct-response advertising?

Question 60

What advantages do print catalogs provide over other marketing tools?

Question 61

To create effective sales promotions,a company should:

A)use non-specific objectives to give its marketing a desirable level of flexibility.
B)avoid any promotion pretesting because of its inherent costs.
C)make sure the sales promotion reinforces the brand's advertising message.
D)involve itself in either the trade or consumer promotions-but not both.
E)use complex,attention-getting copy so the consumer will understand the message.

Question 62

Procter & Gamble created one of the most outrageous promotions in marketing history.Nobody blinked when some unknown brand assistant suggested giving away free goldfish in stores with the purchase of any king-size box of Spic and Span cleaner.The offer itself was the soul of simplicity: Buy one giant-size box of Spic and Span and you can fill a clear plastic container with two free goldfish.The display even had its own net for scooping the little fish out.This promotion was intended to be an example of a _____ strategy.

A)push
B)pull
C)parallel
D)cohort
E)horizontal

Question 63

Rather than ultimately building a new power plant,which costs hundreds of millions of dollars,a Texas-based energy company is offering customers a rebate of up to $15,000 to install home solar energy systems.This would be an example of a _____ strategy.

A)push
B)pull
C)parallel
D)cohort
E)horizontal

Question 64

_____ is a direct inducement offering extra incentives anywhere along the marketing route to enhance the movement or accelerate the product's movement from producer to consumer.

A)Direct selling
B)Direct marketing
C)Sales promotion
D)Public relations
E)Direct-response advertising

Question 65

Which of the following statements about sales promotion is true?

A)Sales promotion is a deceleration tool.
B)Sales promotion normally involves an indirect inducement.
C)Sales promotion is usually considered to be complementary.
D)Sales promotion may be used anywhere along the marketing route.
E)Sales promotion adds intangible immediate value to the brand.

Question 66

While sales promotions play an important part in the marketing mix,they also:

A)typically stimulate repeat purchases.
B)are poor sources of primary research data.
C)are relatively inexpensive when compared to the CPM cost of media vehicles.
D)tend to draw the competition into a price wars.
E)are ineffective if the advertiser sets its budget using the objective-and-task method.

Question 67

_____ encompasses the physical appearance of the container and includes design,color,shape,labeling,and materials.

A)Trade show
B)Sales promotion
C)Packaging
D)Network marketing
E)Trade promotion

Question 68

_____ are exhibitions where manufacturers,dealers and buyers get together for demonstration and discussion.

A)Product expositions
B)Trade shows
C)Distribution shows
D)Distribution fairs
E)Product retrospectives

Question 69

A _____ strategy is primarily designed to secure the cooperation of retailers.

A)push
B)pull
C)parallel
D)cohort
E)vertical

Question 70

Trade concentration refers to:

A)more products going through fewer retailers.
B)a type of promotion commonly used by service providers.
C)the ability to perform comparitive advertising within the same store.
D)a marketplace that supports multiple retailers of the same or similar products.
E)the consolidation of advertising rates for various trade magazines into one generic rate card.

Question 71

_____ is the interpersonal communications process by which a seller ascertains and then satisfies the needs of the buyer,to the mutual,long-term benefit of both parties.

A)Direct marketing
B)Relationship marketing
C)Transactional marketing
D)Personal selling
E)Viral marketing

Question 72

A sales promotion aimed at members of the distribution channel is called a:

A)spiff.
B)diverting promotion.
C)promotional inducement.
D)trade promotion.
E)logistical activity.

Question 73

A marketer can reduce the cost of personal selling by:

A)eliminating the need for database management.
B)communicating relevant information about the company and its product before the sales call.
C)providing proof that what the salesperson says is true.
D)reminding the prospect to close the sale.
E)avoiding the use of trial closes that may delay the actual sale.

Question 74

Which of the following is the best example of direct-response broadcast advertising?

A)A CD offering you a trial subscription to an online music review magazine.
B)A catalog featuring children's clothing.
C)A TV infomercial for exercise equipment.
D)A telemarketing call selling investment opportunities.
E)A commercial before a movie in a theater that asks you to shop at Friedman's Furniture Store.

Question 75

Which of the following is the best example of direct-response print advertising?

A)An advertorial.
B)A mailing from a travel agency that asks you to explain why your spouse deserves a dream vacation.
C)The opening Web page for ebates.com.
D)A magazine ad that asks you to call a toll-free number for more information.
E)An unsolicited e-mail that asks you to buy the services of a company that creates web pages.

Question 76

Barton Beers invited its retailers to celebrate "Fiestas Patrias",a traditional Mexican holiday that celebrates the country's independence from Spain.The marketing vice president for Barton announced that the company has developed posters,displays and banners for retailers to use during the celebration period.Barton Beers is using a:

A)spiff.
B)diverting promotion.
C)promotional inducement.
D)trade promotion.
E)logistical activity.

Question 77

Barton Beers invited its retailers to celebrate "Fiestas Patrias",a traditional Mexican holiday that celebrates the country's independence from Spain.The marketing vice president for Barton announced that the company has developed posters,displays and banners for retailers to use during the celebration period.The purpose of this _____ is to encourage Mexican customers to buy Barton beer.

A)viral marketing program
B)direct marketing activity
C)sales promotion
D)publicity
E)advertorial

Question 78

What is the greatest strength of personal selling?

A)Its low cost
B)Its historically positive reputation
C)The fact that it is labor intensive
D)Its personal nature
E)The immediacy of the sale

Question 79

Which of the following is the best marketing communication tool for relationship building?

A)Infomercials
B)Word-of-mouth
C)Personal selling
D)Direct-response marketing
E)Interactive broadcast advertising

Question 80

Personal selling is the most costly way to communicate with prospects because:

A)it is very labor intensive.
B)sales cannot occur without advertising.
C)it has an inflexible methodology.
D)sales quotas force the salesperson to use unethical means to close a sale.
E)it cannot be integrated easily into a company's marketing communications strategy.