Deck 1: Advertising and IMC Today

Question 1

High profit margins per customer suggest that the marketer should pursue basic transactional relationships augmented by brand image advertising.

Answer 1

False
Explanation: Low profit margins per customer suggest that the marketer should pursue basic transactional relationships augmented by brand image advertising.

Question 2

The sponsor does not usually produce the message.

Answer 2

True
Explanation: The sponsor does not usually produce the message. That is the typical role of the sponsor's ad agency.

Question 3

According to the interactive model of communication, marketers dominate the exchange of messages.

Answer 3

False
Explanation: According to the interactive model of communication, marketers no longer dominate the exchange of messages.

Question 4

Planned messages are "do" messages because they represent what a company does.

Question 5

Companies aim trade advertising at resellers to obtain greater distribution of their products.

Question 6

Most of the advertising we see in the mass media falls under the broad category of business advertising.

Question 7

Messages from the product, price, or distribution elements are typically referred to as inferred messages.

Question 8

Synergy is the principal benefit of IMC.

Question 9

IMC is both a concept and a process.

Question 10

B2B advertising rarely uses consumer mass media and is typically invisible to consumers.

Question 11

One of the basic differences between advertising and public relations is that many PR activities aren't openly sponsored.

Question 12

Integrated communications pertains to ensuring all elements of the marketing mix converge on a single idea.

Question 13

Of all the business functions, marketing is the only one whose primary role is to bring in revenue.

Question 14

In an accountable relationship, a salesperson phones customers shortly after the sale to check whether the product meets expectations and asks for product improvement suggestions and any specific disappointments.

Question 15

No amount of advertising can win back a customer lost from shoddy products or poor service.

Question 16

Planned messages often have the least impact because they are seen as self-serving.

Question 17

IMC helps companies adopt a consumer-centric, rather than marketer-centric, perspective in creating brand messages.

Question 18

The implied consumers are people in the real world who make up the ad's target audience and who critically evaluate the arguments made by the ad.

Question 19

In a basic transactional relationship, a company sells its product and encourages customers to call if they encounter any problems.

Question 20

Defensive marketing typically costs less than offensive marketing because it isn't easy to lure satisfied customers away from competitors.

Question 21

Companies that commit to relationship marketing are generally trying to:

A)win back customers lost from shoddy products or poor service.
B)make up for the cost of acquiring new customers.
C)develop a full view of the customer by compiling and analyzing customer data.
D)lure customers through offensive marketing.
E)adopt a marketer-centric perspective in creating brand messages.

Question 22

A(n) _____ is one in which the salesperson or company contacts customers from time to time with suggestions about improved product use or helpful new products.

A)reactive relationship
B)accountable relationship
C)partnership
D)basic transactional relationship
E)proactive relationship

Question 23

A company's first market should always be its _____.

A)new customers
B)sponsorial consumers
C)ideal consumers
D)implied consumers
E)current customers

Question 24

If two brands are equal in quality, the one with the highest price is the best value.

Question 25

Image advertising, which creates a perception of a company or a personality for a brand, is rarely explicit about price.

Question 26

The primary benefit of focusing on relationships is:

A)increased retention and optimized lifetime customer value.
B)improved basic transactional relationship.
C)enhanced offensive marketing.
D)diminished consumer defense.
E)controlled reactive relationships.

Question 27

Media advertising is the only promotional tool that companies use to communicate information about themselves and their brands.

Question 28

According to Nowak and Phelps, which of the following tactics does the IMC approach focus on?

A)Decreasing reliance on targeted messages
B)Reaching larger segments
C)Lower use of consumer data
D)Less emphasis on advertising via the mass media
E)Extensive use of electronic and mass media

Question 29

In a(n) _____, the company works continuously with customers (and other stakeholders) to discover ways to deliver better value.

A)partnership
B)proactive relationship
C)accountable relationship
D)reactive relationship
E)basic transactional relationship

Question 30

To succeed, companies must focus on managing loyalty among carefully chosen customers and stakeholders because:

A)it is easy to lure satisfied customers away from competitors.
B)90 percent of a manufacturer's profit comes from trial or sporadic purchasers.
C)offensive marketing typically costs less than defensive marketing.
D)no amount of advertising can win back a customer lost from shoddy products or poor service.
E)reducing customer defections by 25-85 percent can improve profit potential by about 5 percent.

Question 31

Ensuring the various marketing mix elements such as advertising direct-response, sales promotions, and the like, work together is referred to as _____.

A)viral marketing
B)one voice
C)advertising
D)partnership
E)coordinated marketing communications

Question 32

When a company deliberately coordinates and integrates messages from a variety of sources about its products or brands, it is practicing _____.

A)Integrated marketing communications
B)Sales promotion
C)Word-of-mouth advertising
D)Personal selling
E)Viral marketing When a company deliberately coordinates and integrates messages from a variety of sources about its products or brands, it is practicing integrated marketing communications, or IMC.

Question 33

When a company sells a product but does not follow up in any way is a(n) _____ relationship.

A)primary
B)basic transactional
C)reactive
D)accountable
E)proactive

Question 34

In global advertising, messages are rarely consistent in ads placed around the world.

Question 35

In a(n) _____, the salesperson phones customers shortly after the sale to check whether the product meets expectations and asks for product improvement suggestions and any specific disappointments.

A)secondary relationship
B)proactive relationship
C)basic transactional relationship
D)accountable relationship
E)reactive relationship

Question 36

In a(n) _____, a salesperson sells products and encourages customers to call if they encounter any problems.

A)accountable relationship
B)proactive relationship
C)reactive relationship
D)basic transactional relationship
E)partnership

Question 37

Which of the following is true about a company's stakeholders?

A)An employee cannot be a stockholder.
B)There is often significant overlap in stakeholder roles.
C)Stakeholders uniformly require reactive relationships.
D)The number of stakeholders is unimportant in marketing.
E)Product messages have negligible influence on a stakeholder's relationship decision.

Question 38

_____ is creating, maintaining, and enhancing long-term bonds with customers and other stakeholders that result in exchanges of information and other things of mutual value.

A)Transactional marketing
B)Relationship marketing
C)Mass customization
D)Branding
E)Social marketing

Question 39

Which of the following is the principal benefit of IMC?

A)High profit
B)Accountability
C)Synergy
D)Customer retention
E)Partnership

Question 40

The objectives of awareness advertising are to create an image for a product and to position it competitively with the goal of getting readers or viewers to select the brand the next time they shop.

Question 41

The _____ are the gatekeepers who decide if the ad will run or not.

A)authors
B)actual consumers
C)implied consumers
D)personas
E)sponsorial consumers

Question 42

A firm's marketing activities are always aimed at a particular segment of the population called the _____.

A)niche market
B)objective market
C)target market
D)implied market
E)concentrated market

Question 43

The hundreds of other commercial and noncommercial messages a sponsor's advertising message must compete with every day is known as _____.

A)noise
B)clout
C)jargon
D)feedback
E)cue

Question 44

A restaurant owner, who, in a magazine, came across an ad for an international trade show for people in the hospitality business, decided to request for further information on the show together with a registration form. In the context of advertising, this is a form of _____.

A)noise
B)word-of-mouth communication
C)social media marketing
D)feedback
E)relationship marketing

Question 45

The _____, who are addressed by the ad's spokesperson, are not real.

A)sponsorial consumers
B)actual consumers
C)gatekeepers
D)implied consumers
E)personas

Question 46

A firm's advertising is always aimed at a particular segment of the population referred to as the _____.

A)implied consumers
B)target audience
C)sponsorial consumers
D)niche market
E)concentrated market

Question 47

Which of the following is the most likely to be the potential target market for a clothes manufacturer who is licensed by a wrestling entertainment company to make Halloween costumes based on characters seen in its matches?

A)Sports enthusiasts, who enjoy Olympic wrestling
B)Pre-teen males who wish to emulate their favorite wrestlers
C)Authors and researchers, who have published extensively on wrestling
D)Parents who are wrestling enthusiasts and want their children to pursue the sport seriously
E)Retired wrestlers

Question 48

According to the integration triangle, which of the following are "say" messages ?

A)Service messages
B)Inferred messages
C)Planned messages
D)Product messages
E)Unplanned messages

Question 49

In _____, a third-person persona tells a story about others to an imagined audience.

A)autobiographical messages
B)feedback messages
C)drama messages
D)narrative messages
E)personal messages

Question 50

According to the integration triangle, which of the following are "do" messages?

A)Planned messages
B)Event sponsorships
C)Publicity releases
D)Unplanned messages
E)Service messages

Question 51

Of all the business functions, _____ is the only one whose primary role is to bring in revenue.

A)marketing
B)research and development
C)human relations management
D)information management
E)accounting

Question 52

A horse stable operator comes across an ad for a worming medicine in the local newspaper. He decides to call the toll-free number provided in the ad to see if the company can deliver 40 doses of its worming medicine before Saturday morning. In the context of the advertising, this is a form of _____.

A)gatekeeping
B)noise
C)feedback
D)cue
E)relationship marketing

Question 53

Which of the following refer to traditional promotional messages?

A)Planned messages
B)Product messages
C)Inferred messages
D)Service messages
E)Unplanned messages

Question 54

According to the integration triangle, which of the following are "confirm" messages?

A)Planned messages
B)Inferred messages
C)Product messages
D)Unplanned messages
E)Service messages

Question 55

The company that is advertising a product or idea is known as the _____.

A)author
B)sponsor
C)persona
D)actor
E)player

Question 56

_____ messages often have the least impact because they are seen as self-serving.

A)Product
B)Planned
C)Inferred
D)Service
E)Unplanned

Question 57

A bargain barn in the suburbs of Philadelphia placed an ad in the local newspaper to attract consumers with heavy discounts over the Thanksgiving weekend. But, most people missed the ad owing to a spate of promotional ads placed by a newly-opened pizzeria in the same locality. The ads of the pizzeria were colorful and attractive which distracted many potential consumers of the bargain barn. Consequently, there was much less footfall over the Thanksgiving weekend in the bargain barn than expected. The ads of the local pizzeria served as _____ for the bargain barn.

A)feedback
B)noise
C)information overload
D)a source maze
E)a grapevine

Question 58

_____ is the structured and composed nonpersonal communication of information, usually paid for and usually persuasive in nature, about products by identified sponsors through various media.

A)Advertising
B)Word-of-mouth publicity
C)Sales promotion
D)Direct marketing
E)Public relations

Question 59

A real or imaginary spokesperson who lends some voice or tone to the ad within the text of the ad is known as a(n) _____.

A)composer
B)benefactor
C)persona
D)author
E)source

Question 60

_____ is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.

A)Advertising
B)Market research
C)Profit planning
D)Distribution
E)Marketing

Question 61

Companies aim _____ at resellers to obtain greater distribution of their products.

A)in-store advertising
B)professional advertising
C)public service advertising
D)trade advertising
E)consumer advertising

Question 62

Which of the following types of advertising is considered good at creating awareness and credibility for a business firm at relatively low cost?

A)Covert advertising
B)Public relations advertising
C)Direct-response advertising
D)Nonproduct advertising
E)Professional advertising

Question 63

A direct-mail ad exemplifies _____.

A)covert advertising
B)public service advertising
C)awareness advertising
D)noncommercial advertising
E)action advertising

Question 64

A TV ad for a soft drink falls under the category of _____ advertising.

A)business
B)professional
C)farm
D)corporate
E)consumer

Question 65

At the reception of a hotel, Tom came across a brochure on the hotel's multi-cuisine restaurant. Which of the following has the hotel used to disseminate information about one of its services?

A)Personal selling
B)Public relations
C)Trade fair
D)Collateral materials
E)Sales promotion

Question 66

When an American fast-food chain entered the Chinese market in the 1990s, childhood obesity was threatening to become a major problem in the urban areas. As part of its responsibility for managing its relationships with its customers, the fast-food chain teamed with the Chinese education system and developed a program on nutrition for elementary school students featuring its mascot, Willy the clown. This helped in creating awareness and credibility for the firm at a relatively low cost and is an example of _____.

A)direct selling
B)public relations
C)noncommercial advertising
D)direct-response advertising
E)personal selling

Question 67

The type of advertising published in psychiatry journals aimed at practicing psychiatrists is referred to as _____.

A)trade advertising
B)professional advertising
C)consumer advertising
D)noncommercial advertising
E)retail advertising

Question 68

A car dealer's advertisement inviting people for a test drive is an example of the use of _____.

A)collateral material
B)public relations
C)personal selling
D)sales promotion
E)awareness advertising

Question 69

The drawback to personal selling is _____.

A)its low frequency and reach
B)its high cost
C)its inability to convey information
D)its inability to consummate sale
E)its inability to give demonstrations

Question 70

Retailers that sell within one small trading area typically use _____ advertising often placed in direct mail.

A)national
B)peripheral
C)local
D)regional
E)global

Question 71

_____ advertising is aimed at people who buy the product for their own or someone else's use.

A)Business
B)Trade
C)Consumer
D)Professional
E)Farm

Question 72

An ad promoting a company's mission or philosophy is called _____.

A)awareness advertising
B)product advertising
C)nonproduct advertising
D)noncommercial advertising
E)action advertising

Question 73

In 2002, a Swedish home electrical appliance manufacturer decided to use the same advertising message wherever it advertised around the world. In other words, the company decided to use _____.

A)national advertising
B)international advertising
C)global advertising
D)regional advertising
E)local advertising

Question 74

Some products are publicized using _____, in which an ad claims the product is equal in quality to higher priced brands.

A)image advertising
B)price advertising
C)sale advertising
D)trade advertising
E)professional advertising

Question 75

Advertising targeted at pet-care stores to increase the distribution of pet food is an example of _____.

A)trade advertising
B)professional advertising
C)consumer advertising
D)noncommercial advertising
E)farm advertising

Question 76

Fresh Zone is a supermarket based in New York that has branches in two other states, Ohio and Illinois. It uses _____, in which ads are placed in the local media or territorial editions of the national media.

A)international advertising
B)local advertising
C)regional advertising
D)national advertising
E)global advertising

Question 77

A brochure about a ceiling fan, a pamphlet of recipes from the producers of cranberry juice products, and instructions that come with telephone systems are examples of _____.

A)sales gimmicks
B)premiums
C)noise
D)bonus goods
E)collateral materials

Question 78

_____ tends to appear in specialized trade publications or professional journals, in direct-mail pieces sent to businesses, or in trade shows.

A)Public service advertising
B)Business advertising
C)Consumer advertising
D)Retail advertising
E)Covert advertising

Question 79

_____ is used around the world by governments and nonprofit organizations to seek donations, volunteer support, or changes in consumer behavior.

A)Trade advertising
B)Product advertising
C)Nonproduct advertising
D)Noncommercial advertising
E)Professional advertising

Question 80

In order to convey the benefits of sponsorship to a potential sponsor, a rodeo show would most likely use _____. This enables the marketer to answer the prospect's questions on the spot.

A)personal selling
B)social media marketing
C)cold calling
D)professional advertising
E)public service advertising