Question 1

Which of the following promotion mix approaches involves a producer promoting a product to different channel members who in turn promote the product to customers?

Accepted Answer

A push strategy involves the producer promoting the product to intermediaries, who then promote the product to customers. This includes activities such as personal selling and trade shows, and can be effective in industries where consumers rely heavily on the advice of intermediaries. A pull strategy, on the other hand, involves the producer promoting the product directly to consumers in order to create demand and pull the product through the distribution channel.

Question 2

The objective of ________ advertising is to build primary demand.

Accepted Answer

The objective of informative advertising is to build primary demand, which means creating awareness and educating consumers about the benefits of a particular product or service. Reminder advertising aims to maintain awareness of a product that has already been introduced, whereas comparative advertising compares the features and benefits of competing products. Personal advertising is focused on promoting an individual rather than a product, and persuasive advertising aims to convince consumers to take a specific action, such as making a purchase or changing a behavior.

Question 3

The primary objective of ________ advertising is to build selective demand.

Accepted Answer

Persuasive advertising aims to build selective demand by persuading potential customers to choose a specific brand or product. This type of advertising uses emotional appeals, persuasive language, and attention-grabbing visuals to influence consumer behavior. Reminder advertising focuses on maintaining awareness of a brand or product, while informative advertising provides information about the features and benefits of a product or service. Classified advertising is typically used to advertise job openings or sell goods or services, and personal advertising is for non-commercial purposes such as personal announcements or dating.

Question 4

Which of the following is an example of a combination of sales promotions and direct marketing?

Accepted Answer

Sending an e-mail to a customer about a discount on a product during a holiday season is an example of a combination of sales promotions (the discount) and direct marketing (the email).

Question 5

A ________ strategy involves a company spending a lot of money on advertising and promotion to induce consumers into buying the product by creating a demand vacuum.

Accepted Answer

A pull strategy involves creating a demand for the product among consumers, which can be achieved through advertising and promotion. The goal is to pull the consumers towards the product, rather than pushing the product towards them. This strategy is often used for consumer goods and is effective in creating brand awareness and loyalty.

Question 6

A company which uses a press release to explain the resignation of a former CEO is using ________ to maintain its brand image.

Accepted Answer

The company is using a press release to communicate with the public and maintain its brand image, which falls under the realm of public relations. Personal selling, sales promotion, direct marketing, and advertising are all different methods of promoting and selling products, but they are not directly related to maintaining brand image in the same way as public relations.

Question 7

________ advertising is used heavily when introducing a new product category.

Accepted Answer

Informative advertising is used to introduce a new product category and educate consumers about the features, benefits, and uses of the product. This type of advertising aims to generate awareness and provide information to potential customers to help them make informed purchase decisions. Reminder advertising is used to reinforce brand awareness and recall, while comparative advertising compares a company's product with that of its competitors. Personal advertising focuses on the personal characteristics or identity of the product or brand, and persuasive advertising aims to change or reinforce attitudes and beliefs about a product or brand.

Question 8

Which of the following is true of public relations?

Accepted Answer

Public relations is not a sales-directed form of communication, but rather it is focused on building and maintaining relationships with stakeholders, including customers, investors, media, and the community. Its aim is to enhance the reputation of the company or brand through various tactics such as media placements, events, and sponsorships. It is different from advertising, which is a paid form of communication that aims to persuade customers to buy a product or service.

Question 9

Which of the following is true of personal selling?

Accepted Answer

Personal selling is the most expensive promotional tool for companies to utilize because it involves paying a salesforce to interact with customers on an individual level.

Question 10

Inglast,a chocolate producer,is faced with a class action suit when customers find pieces of plastic in boxes of cocoa powder.Inglast settles the case and then releases an advertising campaign to show the new and improved safety seals on all containers of cocoa powder.Which kind of advertisement has Inglast most likely used?

Accepted Answer

The advertisement campaign is informative, as it is aimed at informing customers about the improved safety seals on all containers of cocoa powder.

Question 11

Zephyr Inc.,an electronics manufacturer,wants to enter the commercial tracking device market with its latest product,FindIt.Unlike other tracking devices,FindIt is very small and relatively cheap,but it can be used only within small areas as it has a low detection-range.Which type of advertising would be best for FindIt?

Accepted Answer

Since FindIt is a new product with unique features, informative advertising would be the most suitable option. This type of advertising aims to educate consumers about the product's features and benefits, which would help them understand how FindIt could fit their needs. The advertising could also highlight the device's size and affordability while explaining its limited range of use. This would help consumers make an informed decision about whether or not to buy FindIt.

Question 12

Pearl Sands is a resort in the town of Willington.It attracts the maximum number of customers in the summer.In the spring,Pearl Sands sponsors shows on TV and puts up billboards in Willington and the surrounding towns.The billboards advertise Pearl Sands as an ideal holiday spot,whether for a weekend getaway in the summer heat or for a family vacation.This is an example of a ________ strategy.

Accepted Answer

This is a pull strategy, as Pearl Sands is attempting to create demand for their resort by promoting it to potential customers through advertising and other forms of promotion. This is in contrast to a push strategy, where a company would focus on getting their product into retail locations and relying on those retailers to promote the product to customers. Vertical integration, publish-subscribe, and direct marketing are not relevant to this scenario.

Question 13

Which of the following promotion tools will most likely make a consumer feel the need to listen and immediately respond to a seller?

Accepted Answer

Personal selling involves direct interaction between the seller and the buyer. This allows for a personalized and persuasive approach, which can make the consumer feel the need to listen and respond immediately. Other promotion tools may not be as direct or persuasive.

Question 14

Which of the following is most likely a difference between advertising and sales promotions?

Accepted Answer

Advertising aims to create awareness and interest in the product or service, while sales promotions aim to encourage immediate purchase. Sales promotions may include offers such as discounts, coupons, and free samples, whereas advertising may simply inform consumers about the product or service. Therefore, B is the best choice as it describes the main difference between the two forms of promotion.

Question 15

A company that uses telephone marketing to sell its products to customers is most likely using the promotion tool of ________.

Accepted Answer

Telephone marketing is a form of direct marketing where companies directly reach out to customers to sell their products or services. This differs from advertising, which involves mass communication through various mediums such as TV, radio, or billboards. Public relations focuses on managing a company's reputation and building relationships with stakeholders, while retailing and merchandising involve the selling of products through physical or online stores. Therefore, the correct answer is C) direct marketing.

Question 16

________ advertising would most likely result in advertising wars between competitors.

Accepted Answer

Comparative advertising directly compares a product or service with its competitors, which can lead to advertising wars as companies try to one-up each other. Reminder advertising simply reminds customers about a brand or product, personal advertising focuses on a specific individual or company, informative advertising provides information about a product or service, and classified advertising typically consists of small ads in newspapers or online listings.

Question 17

Which of the following is the first step in developing an advertising program?

Accepted Answer

Setting advertising objectives is the first step in developing an advertising program. Before any advertising strategy or message can be created, clear objectives must be established to define what the advertising program is meant to achieve. These objectives can include increasing brand awareness, driving sales, or promoting a new product or service. Once the objectives have been established, a budget can be set, a strategy can be developed, and a brand message can be crafted. Finally, the success of the campaign can be evaluated.

Question 18

A company that offers an early bird discount to the first fifty purchasers of a new product is using the promotional tool of ________.

Accepted Answer

The promotional tool being used is sales promotion, specifically an early bird discount. This type of promotion is meant to encourage quick purchases and create a sense of urgency among potential customers.

Question 19

Which of the following is true of direct marketing?

Accepted Answer

Direct marketing is a type of marketing that involves communicating directly with customers through various channels such as email, direct mail, telemarketing etc. It is highly targeted and personalized in nature, making it suitable for building one-to-one customer relationships. This allows for more effective communication and better understanding of the customer's needs and preferences, leading to higher conversion rates and customer retention.

Question 20

________ advertising primarily maintains brand relationships and is important for mature products.

Accepted Answer

Reminder advertising is designed to remind customers about an existing product or brand and to reinforce the ideas or image that have been established. This type of advertising is particularly important for mature products that already have established brand relationships with customers. It serves the purpose of maintaining existing customer loyalty and promoting repeat purchases.

Quiz 12: Engaging Consumers and Communicating Customer Value: Advertising and Public Relations