Question 1

A florist who decides to budget five percent of last year's sales for promotional activities is using which of the following budgeting techniques?

Accepted Answer

The technique being used here is percentage-of-sales budgeting, as the florist is allocating a certain percentage (five percent) of last year's sales towards promotions.

Question 2

Glasis is a type of paint made specifically for use on cars. An ad in Motor Trend magazine advising consumers to request their body shops use Glasis paint is an example of how a company uses ________.

Accepted Answer

The ad in the magazine is aiming to persuade consumers to request a specific product, Glasis paint, from their body shops. This is an example of a pull strategy, as the company is trying to create demand for their product among consumers, who will then request it from the body shops.

Question 3

Which of the following is the type of advertising run by the media without charge?

Accepted Answer

Public service advertisements (PSAs) are the type of advertising run by the media without charge. They are typically used to promote public welfare, such as encouraging people to donate blood or to stop smoking. Unlike product advertisements, which promote specific goods or services, PSAs often focus on educating the public and raising awareness about important issues.

Question 4

An ad in a professional journal targeted to an audience of dentists asked dentists to recommend Crest toothpaste to their patients. It offered toothpaste samples that dentists could buy at cost to give to their patients to encourage patients to take better care of their teeth. The manufacturer of Crest toothpaste was using ________.

Accepted Answer

A push strategy is used when a manufacturer pushes the product through the marketing channel to the final consumer by promoting the product to wholesalers, retailers, or other intermediaries, such as dentists in this case, to encourage them to carry the product and promote it to the end consumers.

Question 5

In comparison to sales promotion activities, it is easier to determine the effectiveness of traditional advertising.

Accepted Answer

Measuring the effectiveness of traditional advertising can be more challenging than sales promotion activities because traditional advertising often aims at building brand awareness and image over time, making its impact harder to directly attribute to sales or immediate action compared to the more direct and immediate responses generated by sales promotions.

Question 6

Which of the following is true of advocacy advertising?

Accepted Answer

Advocacy advertising is intended to influence public opinion on a particular issue or cause. It is not necessarily focused on promoting a product or service, but rather promoting a particular stance or viewpoint related to a social or political issue.

Question 7

If the pull strategy is effective, consumers will then demand the product from channel members, who will, in turn, demand it from producers.

Accepted Answer

This is because the pull strategy is designed to create demand among consumers so that they will actively seek out the product from retail or other distribution channels, which will increase the demand for the product from the producers.

Question 8

Which of the following is true of institutional advertising?

Accepted Answer

Institutional advertising promotes the activities or point of view of an organization. It is used to build the reputation and image of a company or organization rather than promoting a specific product or service. It can be used by both profit and non-profit organizations.

Question 9

Toward the end of the fiscal year, the owner of a small company came back from lunch concerned because he had learned that a business targeting his same customer base was planning on spending $150,000 on promotion. As soon as he arrived at the office, he called his financial manager and said, "I want to budget $150,000 for next year's promotion." Which method of promotional budgeting did the owner want to use?

Accepted Answer

The owner wanted to use the competitive-parity method, as he was basing his budget on what his competitors were spending on promotion.

Question 10

Marketers can choose from two basic strategies: push or pull. Compare these two strategies.

Accepted Answer

The answer of Marketers can choose from two basic strategies:...

Question 11

The objective-and-task method of setting a promotion budget is the most logical method because it forces management to articulate assumptions about the relationship between dollars spent and promotion results.

Accepted Answer

The objective-and-task method requires management to identify specific objectives for the promotion campaign and then determine the tasks and costs necessary to achieve those objectives. This approach ensures that the budget is based on a clear understanding of what the promotion is expected to accomplish and how much it will cost to achieve those goals. It is considered the most logical method because it ties the budget directly to specific promotional objectives and results, rather than using arbitrary or historical spending levels.

Question 12

Through ________, viewers can watch their favorite television shows on mobile devices.

Accepted Answer

Authenticated streaming allows viewers to access their favorite television shows on mobile devices by logging in with their credentials from their cable or streaming service provider. This method ensures that the viewer is authorized to access the content and also helps to prevent piracy. Multichannel promotion, do-it-yourself ads, native advertising, and embedded marketing are all unrelated to the process of watching television shows on mobile devices.

Question 13

Which of the following is defined as nonpersonal communication paid for by an identified sponsor using mass media?

Accepted Answer

Advertising is defined as nonpersonal communication paid for by an identified sponsor using mass media. Public relations involves building relationships and improving the image of the company, while direct marketing involves direct communication with the customers. Direct selling refers to selling products directly to customers, without the involvement of any middlemen. Sales promotion involves short-term incentives to encourage purchase or sales of a product.

Question 14

What promotional efforts might a marketer be likely to employ if the communication objective was to create desire for the product?

Accepted Answer

The answer of What promotional efforts might a marketer be...

Question 15

What type of advertising delivers a message that focuses on a specific good or service?

Accepted Answer

Product advertising is specifically focused on promoting a particular good or service, highlighting its features and benefits. Retail advertising may also focus on a specific product, but it is aimed at promoting a store or chain as a whole. Institutional advertising promotes a company's overall image and reputation, rather than a specific product. Corporate advertising is similar to institutional advertising, but it may focus on specific initiatives or values of the company. Advocacy advertising is meant to promote a particular cause, rather than a product or service.

Question 16

Multichannel promotion strategies combine traditional advertising, sales promotion, public relations, and direct marketing activities with social media or other digital communication activities.

Accepted Answer

Multichannel promotion strategies utilize both traditional and digital communication activities to reach a wider audience and increase engagement.

Question 17

Allyson Godwin plans on setting up a small business where she will offer quilting lessons, sell material and quilting kits that she will create, and market her own creations. Last year her quilting skills earned her $2,000. She estimates that quilting as a full-time business will earn $10,000 during her first year. She has budgeted five percent of her sales estimate to be spent on promotion. What promotion method is Godwin using? What are the advantages and disadvantages of this method?

Accepted Answer

The answer of Allyson Godwin plans on setting up a...

Question 18

Coca-Cola's Minute Maid unit is introducing a new premium fruit beverage. The primary promotional objective of marketing communications for the new product should be to create awareness.

Accepted Answer

For a new product, especially in a competitive market like premium fruit beverages, the primary promotional objective is typically to create awareness among the target audience about the product's existence, benefits, and availability.

Question 19

Business-to-consumer companies are more likely to emphasize a ________ strategy, while business-to-business companies are more likely to emphasize a ________ strategy.

Accepted Answer

Business-to-consumer (B2C) companies often focus on a pull strategy, aiming to create demand directly from consumers, leading them to seek out the product or brand. Business-to-business (B2B) companies, on the other hand, are more likely to use a push strategy, focusing on building and maintaining relationships with other businesses directly, often through personal selling and trade promotions.

Question 20

What promotional efforts might a marketer be likely to employ if the communication objective was to encourage purchase of the product?

Accepted Answer