Deck 12: Digital Marketing

Question 1

Which of the following is an e-marketing activity?

A) The texting of potential customers about a new offer.
B) A post-purchase customer satisfaction survey emailed to a customer.
C) The sale of products via an e-commerce website.
D) All of the options listed.
E) Both a and b.

Answer 1

All of the options listed.

Question 2

By definition, electronic marketing refers to:

A) all of the activities involved in planning and implementing marketing in the electronic environment.
B) the sale of products via an e-commerce website.
C) the texting of potential customers about a new offer or sale.
D) the inclusion of discount vouchers on takeaway food websites that encourage people to visit the website.

Answer 2

all of the activities involved in planning and implementing marketing in the electronic environment.

Question 3

An organisation places an advertisement in a magazine, encouraging consumers to subscribe to its SMS horoscope service. The e-marketing in this example involves:

A) the organisation's product.
B) the organisation's promotion.
C) the organisation's distribution.
D) All of the options listed.
E) both a and c.

Answer 3

both a and c.

Question 4

Which of the following is NOT an example of electronic marketing?

A) Discount vouchers on a website.
B) Emailing a customer to survey them with the opportunity to win a prize.
C) The texting of potential customers about a new offer or sale.
D) A mail order service.

Question 5

'Bricks and Mortar' retailers such as Gerry Harvey clam that they have been disadvantaged by the rise of e-marketing. Consumers however, have gained a number of advantages from e-marketing including:

A) increased competition.
B) convenience.
C) ability to access product information.
D) Options a, b and c.
E) Both a and c.

Question 6

From an organisation's perspective, which of the following is not a potential benefit of e-marketing activities?

A) Cost savings.
B) Distribution efficiencies.
C) Increased competition.
D) Access to international markets.
E) All of the options listed are potential benefits.

Question 7

The process of getting to know about potential customers before they make a purchase and to find out more about existing customers is known as:

A) surveying.
B) interaction.
C) profiling.
D) market research.

Question 8

Telstra's website offers a chat facility that allows customers, or potential customers, to ask questions and have basic changes made to their service, or apply for a new service. The actual response to the website visitor, in real time, comes from:

A) a virtual customer service officer.
B) a real customer service officer.
C) an RSS feed.
D) an online community.

Question 9

Which of the following statements regarding cookies is correct?

A) Cookies can be used by organisations to profile viewers to a website.
B) Cookies are small pieces of software written to a user's computer when they visit a website.
C) Cookies send information about a website viewer's access back to the website operator.
D) Cookies can respond to a web viewer's preferences by tailoring the content that appears on the site.
E) All of the options listed statements are correct.

Question 10

Advertising such as banner advertisements on websites, sent from the marketer to the customer, is known as:

A) pop-up advertising.
B) controlled advertising.
C) pull advertising.
D) push advertising.

Question 11

A subscription SMS service would be best described as an example of:

A) pull marketing.
B) profiling.
C) push marketing.
D) customer relationship management.
E) None of the options listed.

Question 12

Digitalisation is the ability to deliver a product as information or to present information about a product digitally. Which of the following is NOT an example of this?

A) An MP3file downloaded from the iTunes store.
B) A Flash presentation on a website.
C) A product delivered as information.
D) Delivery of a tangible product.

Question 13

Purchasing a song or movie from iTunes is an example of:

A) profiling.
B) interaction.
C) digitalisation.
D) comparability.
E) control.

Question 14

Traditionally, house hunting involved walking the streets of your chosen neighbourhood, visiting numerous 'open for inspections' and having lengthy discussions with real estate agents and local people to get information about property values in the area. Websites such as realestate.com.au are a good example of how individual consumers now have increased:

A) profiling.
B) interaction.
C) digitalisation.
D) comparability.
E) control.

Question 15

Interactive advertising is becoming commonplace for many brands. For example Sally Hansen allow customers to try on their nail polish colour within their banner advertisements. This is an example of_________.

A) image advertisements.
B) search advertising.
C) video advertisements.
D) rich media advertisements.

Question 16

Advertisements that open in a new web browser window are:

A) banner advertisements.
B) pop-up advertisements.
C) search advertisements.
D) targeted advertisements.

Question 17

The online Instagram campaign, launched by Addict Aide in France, achieved a global reach as it was primarily shared by the forwarding of email messages, links to websites, or word-of-mouth in online discussion groups and other communities. This was an example of a successful:

A) viral marketing.
B) societal marketing.
C) stealth marketing.
D) search engine marketing.

Question 18

Which of the following statements is incorrect?

A) Banner advertisements open in a new web browser window.
B) Pop-up advertisements open in a new web browser window.
C) Pop-up advertisements can often be disabled by a web user with their web browser software.
D) Both a and c.
E) Both b and c.

Question 19

Paid advertising that appears similarly to a search result on a search engine page is:

A) viral marketing.
B) societal marketing.
C) stealth marketing.
D) search engine marketing.

Question 20

Companies such as Google an eBay can charge higher advertising rates for banner advertisements than other online companies. The advertising rates are most likely be influenced by:

A) the time of day that the web user views the advertisement.
B) the size and colour of the advertisement.
C) the number of viewer 'hits' that a website attracts.
D) the subsequent level of sales of the product/service being advertised.
E) None of the options listed.

Question 21

A university student is trying to earn some extra money on the side by offering some tuition help for specific topics. They advertise this on local pages like Gumtree and Facebook Marketplace. This is an example of:

A) classified advertising.
B) search advertising
C) display advertising.
D) None of the above.

Question 22

Which of the following statements best describes Web 2.0?

A) Online communities where members contribute to and build the community and content.
B) Online communities where users can substantially control their own online experience through customisation and interactivity.
C) A website that is designed to act as a gateway to other related sites
D) All of the options listed.
E) Both a and b.

Question 23

Search engine optimisation (SEO) aims to:

A) achieve the best possible ranking in search results.
B) build loyalty among existing customers.
C) facilitate the building of online communities.
D) reduce the cost of web advertising.
E) offer discounts to frequent web users.

Question 24

Which of the following statements is incorrect?

A) Facebook and Twitter are examples of websites that utilise Web 2.0 technologies.
B) Viral marketing utilises social networks to spread a marketing message.
C) In e-marketing, 'SEO' stands for 'securely entered order'.
D) Both a and b.
E) Both a and c.

Question 25

Sponsored links on a web page are:

A) advertisements that appear above the results returned by a search engine.
B) key words entered into a search engine.
C) pop-up advertisements.
D) user generated content.
E) None of the options listed.

Question 26

Coca Cola is an example of a company that uses e-commerce. The exchanges that occur between Coca Cola and their consumers always require:

A) the internet.
B) an intangible product.
C) a credit card.
D) an exchange to take place via a form of telecommunications technology.
E) All of the options listed.

Question 27

Privacy is a big concern for online consumers. Which of the following activities does NOT leave a digital footprint?

A) Cookies.
B) Transaction records.
C) Registering for any online service.
D) None of the options listed.

Question 28

The use of an official-looking email which then tries to elicit the visitor's financial details or other information is a form of:

A) phishing.
B) Nigerian scam.
C) pump 'n' dump stock scam.
D) pharmaceutical scam.

Question 29

Napster, Facebook, and Wiki-leaks have all brought to our attention privacy issues involving commercial web sites. These issues are:

A) relatively easily settled by court decisions.
B) issues that web users need no longer be concerned about due to laws that have been enacted.
C) constantly evolving as technology develops and web use changes.
D) problems that cannot be solved due to the international and pervasive nature of the internet.
E) None of the options listed.

Question 30

Customer relationship management is using information about __________ to produce e-marketing experiences that create, build and sustain long-term relationships.

A) segments
B) markets
C) customers
D) services

Question 31

The percentage of people who actually clicked on an advertisement appearing on a web page is a marketing metric for:

A) click-through rate.
B) cost per thousand views.
C) cost per click.
D) conversion rate.

Question 32

The number of people who clicked through an advertisement and actually completed a marketing transaction determines the:

A) click-through rate.
B) cost per thousand views.
C) cost per click.
D) conversion rate.

Question 33

A large organisation sets up a private web site for sharing information securely with its suppliers. This web site is an example of an:

A) internet.
B) extranet.
C) intranet.
D) outernet.

Question 34

As the marketing manager for Pepsi, you decided to run an online competition for consumers. One of your tasks in the set-up process is to write a privacy policy for the competition. Ethically, this policy should detail:

A) whether the information provided by a user will be used to market the Pepsi's products to them in the future.
B) whether the information provided by the user may be shared with other organisations.
C) information about Pepsi's promotional strategy.
D) Options a, b and c.
E) Both a and b.

Question 35

The Trade Practices Act (Australia) and the Fair Trading Act and Commerce Act (New Zealand):

A) all prohibit misleading or deceptive conduct in business dealings.
B) provide ethical guidelines for e-marketing activity.
C) provide ethical guidelines for all marketing activity.
D) are predominantly concerned with consumer privacy issues
E) None of the options listed.

Question 36

While setting up the Myer website for online purchases, the Myer online-marketing department manager learned that:

A) spam is the term given to unsolicited electronic messages.
B) modern information and communication technologies have led to an increase in intellectual property theft.
C) the borderless, international nature of much e-marketing activity can make it difficult to determine which country's laws apply.
D) Options a, b and c.
E) Only options a and b.

Question 37

Hanna made a lot of money in the early days of the internet through cyber-squatting. For Hanna, cyber-squatting involved being:

A) a high-volume user of the internet.
B) a user who frequently visited a company's web site.
C) an organisation that hasn't updated its web site for at least a year.
D) someone who registers a domain name that is the same or similar to the name of a company or a celebrity.
E) none of the options listed.

Question 38

Ruth has decided to advertise her macaroon business using Facebook. After a few weeks of developing the site, she realises that an important potential privacy concern for businesses operating online is:

A) losing control of the customer experience.
B) unsolicited emails from customers.
C) the potential theft of logos and other branding materials.
D) confusion with other web sites.
E) customers forwarding information about their products.

Question 39

The GDPR was legislation passed in the European Union (EU) in 2018, aiming to address the transfer of personal data of EU citizens, and its use by organisations. This is a measure to address:

A) losing control of the customer experience.
B) unsolicited emails from customers.
C) consumer privacy.
D) confusion with other web sites.
E) customers forwarding information about their products.

Question 40

Privacy laws and policies are governed by:

A) treaties between national governments.
B) the International Cyberlaw Association (ICA).
C) the laws, policies and regulations of individual nations.
D) the United Nations (UN).
E) None of the options listed.

Question 41

An internal website for the use of staff is known as an:

A) internet.
B) extranet.
C) intranet.
D) outernet.

Question 42

As your business grows from small to medium sized, your boss suggests investing in a CRM (customer relationship management) software package. Some of the pitfalls you warn your boss about include:

A) clumsy interfaces.
B) numerous screens.
C) over-reliance on them.
D) all of the options listed.

Question 43

You spend a large sum of money advertising your new business. Taking this sum and dividing it by the number of new customers you have acquired gives you the:

A) click-through rate.
B) number of unique visitors.
C) customer acquisition cost.
D) conversion rate.

Question 44

Which of the following statements is incorrect?

A) For some products, many consumers now do product research online prior to making a purchase at a physical store.
B) Developing an online marketing mix is based on the same fundamental principles as the development of the overall marketing mix.
C) Some products are better suited to an online marketing environment than others.
D) Quantitative consumer information can be obtained in an online marketing environment, but not qualitative information.
E) All of the options listed.

Question 45

Which of the following statements in relation to e-marketing is incorrect?

A) Profiling information can be used to identify target markets in an online environment.
B) The 'click-through rate' as an online marketing metric is the percentage of people who visited a web page on which an advertisement appears, who actually clicked on the advertisement.
C) Customer relationship management is not possible in an online environment.
D) For some products, the internet and other communication technologies can be the means by which the actual product is distributed by the organisation to a customer.
E) one of the above statements is incorrect.

Question 46

Which of the following statements regarding the online marketing mix is correct?

A) Measuring the effectiveness of online 'click through' advertising is likely to be easier than measuring the effectiveness of traditional advertising.
B) The need to deliver physical products to customers can lead to price disadvantages for an online retailer as opposed to a traditional retailer.
C) Consumers can generally compare prices more readily in an online environment.
D) All of the options listed.
E) Both a and c are correct.

Question 47

Which of the following would be the most effective online marketing metric to measure the proportion of people who completed an online purchase of concert tickets for 'One Direction' after clicking on an online advertisement for their concert tour?

A) Cost per view.
B) Click-through rate.
C) Cost per click.
D) Conversion rate.
E) Revenue per click.

Question 48

An organisation that shares relevant marketing information securely among other organisations in its supply chain is most likely using:

A) an intranet.
B) an extranet.
C) profiling software.
D) a portal.
E) viral marketing techniques.