Question 1

Mobile marketing is a term used to describe marketing messages sent via wireless technology.

Accepted Answer

Mobile marketing involves sending marketing messages through text messages, push notifications, mobile apps, and other wireless technologies.

Question 2

In today's competitive environment, attracting new customers is important but maintaining loyal customers is even more critical.

Accepted Answer

Maintaining loyal customers is crucial because it costs less to retain existing customers than to acquire new ones, and loyal customers often make repeat purchases and can become brand advocates, leading to increased revenue and a stronger brand reputation over time.

Question 3

Under the relationship marketing concept, employees within a firm need not apply the same high standards of customer satisfaction to internal relationships at they do to external customer relationships.

Accepted Answer

The relationship marketing concept emphasizes the importance of maintaining good relationships not only with external customers but also within the organization among employees, as internal satisfaction is crucial for delivering high-quality service to external customers.

Question 4

Marketing of sporting, cultural, and recreational activities to selected target markets is known as cause marketing.

Accepted Answer

Cause marketing is a type of marketing that promotes a social or environmental cause while also promoting a product or service. Marketing of sporting, cultural, and recreational activities to selected target markets is known as sports or event marketing.

Question 5

Relationship marketing broadens the scope of external marketing relationships to include suppliers, customers, and referral sources.

Accepted Answer

Relationship marketing indeed broadens the scope of marketing efforts to foster long-term engagement with not just customers but also suppliers, referral sources, and other external partners, aiming to build mutually beneficial relationships.

Question 6

The Canadian Armed Forces sending military personnel out to make a public appearance at the Grey Cup is an example of organization marketing.

Accepted Answer

The answer of The Canadian Armed Forces sending military personnel...

Question 7

The traditional view of marketing can be described as transaction-based marketing.

Accepted Answer

The traditional view of marketing has been focused on transactions and sales, hence it is known as transaction-based marketing.

Question 8

A theatre group promoting a performance to raise funds in the fight against cancer is an example of both cause marketing and event marketing.

Accepted Answer

This scenario involves cause marketing because the theatre group is promoting a performance to support a charitable cause (fight against cancer). It also involves event marketing because the group is promoting a specific event (the performance) to engage an audience and achieve their marketing goals.

Question 9

Relationship marketing moves customers up a loyalty ladder-from new customers to regular purchasers, then to loyal supporters of the firm and its goods and services, and finally to advocates who not only buy its products but recommend them to others.

Accepted Answer

This statement accurately describes the concept of relationship marketing, which focuses on building long-term loyalty and advocacy among customers.

Question 10

The cost of finding new customers is far less than the cost of keeping old ones.

Accepted Answer

It is generally more expensive to acquire new customers than it is to retain existing ones, as retaining customers typically involves maintaining relationships and encouraging repeat business, which is often less costly than the marketing and sales efforts required to attract new customers.

Question 11

In relationship marketing, employees serve customers within an organization as well as outside it.

Accepted Answer

Relationship marketing emphasizes building and maintaining strong relationships between a business and its customers, which involves all employees within the organization working to serve those customers in a personalized and attentive way. This applies not only to external customers but also to internal ones, such as colleagues and other departments within the company.

Question 12

The Gap's sponsorship of the "Product Red" campaign to combat AIDS in Africa is an example of a for-profit organization linking its products to a social objective in cause marketing.

Accepted Answer

The Gap's involvement in the "Product Red" campaign, which donates a portion of proceeds from specific products to the Global Fund to fight AIDS, tuberculosis, and malaria in Africa, is a classic example of cause marketing, where a for-profit company supports a social cause to achieve mutual benefits.

Question 13

Interactive marketing refers to buyer-seller communication in which the customer controls the amount and type of information received from a marketer.

Accepted Answer

Interactive marketing is characterized by a two-way dialogue between the buyer and seller, with the customer having control over the information they receive. This includes various forms of personalized communication such as social media, email and live chat, allowing customers to engage with brands in a more meaningful way.

Question 14

Virtually all colleges and universities have alumni associations that publish magazines, hold reunions, and try to raise funds. These activities constitute organization marketing.

Accepted Answer

This statement is true, as alumni associations engage in various activities to maintain relationships with former students and raise funds for the organization. These activities can be considered part of organization marketing, which involves promoting and showcasing the goals, values, and services of an organization to its target audience.

Question 15

Marketing efforts designed to attract visitors to a particular area or to improve the image of a city, province, or country would be examples of cause marketing.

Accepted Answer

Cause marketing refers to marketing efforts that aim to promote a social cause or charity, often in partnership between a nonprofit and a for-profit business, rather than efforts to attract visitors or improve the image of a geographical area, which would be more accurately described as destination marketing or place branding.

Question 16

According to relationship marketing, the lifetime value of a customer should exceed the investment made by the firm to attract and keep the customer.

Accepted Answer

According to relationship marketing, the goal is to maintain long-term relationships with customers, where the revenue generated from repeat business and referrals outweighs the costs involved in acquiring and retaining the customer. Therefore, the lifetime value of a customer should exceed the investment made by the firm.

Question 17

Interactive marketing allows marketers and consumers to customize their communication.

Accepted Answer

Interactive marketing is a type of marketing that allows two-way communication between marketers and consumers, allowing for customization and personalization of communication. This can include online interactions and personalized promotions. Therefore, the statement is true.

Question 18

Surveys have shown that marketers overestimate the impact that cause marketing has on how the customer views the company. Sales will not increase because a company is linked to a cause.

Accepted Answer

While it's true that some marketers might overestimate the impact of cause marketing, numerous studies and surveys have shown that cause marketing can positively influence customer perception and can lead to increased sales. Consumers are often more loyal to brands that demonstrate social responsibility and are linked to a cause they care about.

Question 19

Interactive promotions put customers in control because they can gain immediate access to key product information when they want it.

Accepted Answer

Interactive promotions allow customers to actively engage with product information and have control over when and how they access it. This puts them in a position to make informed decisions about their purchases, leading to a more positive experience overall.

Question 20

Programs that improve customer service inside a company raise productivity and staff morale, resulting in better customer relationships outside the firm.

Accepted Answer

Programs that focus on improving customer service within a company can have a positive impact on productivity and staff morale, which in turn can lead to better customer relationships outside the firm. Happy employees who feel supported and valued are more likely to go above and beyond to provide exceptional customer service. Additionally, when employees are well-trained and have the tools they need to do their jobs effectively, they are better equipped to resolve customer issues quickly and efficiently, resulting in increased customer satisfaction.

Quiz 1: Marketing: the Art and Science of Satisfying Customers