Question 1

In the IMC planning process, a review of ________ allows the marketing team to identify potential target markets and positioning strategies.

Accepted Answer

The company's context includes the marketing environment, which provides information about potential target markets and positioning strategies.

Question 2

Many marketers believe that the objective and task method of developing marketing communications budgets is the best method of budgeting.

Accepted Answer

Many marketers believe that the objective and task method of developing marketing communications budgets is the best method because it involves setting specific objectives for the communication campaign and then determining the tasks and costs required to achieve those objectives. This method allows for more precise budgeting and ensures that each element of the communication campaign supports the overall objectives.

Question 3

The first step in the IMC planning process is:

Accepted Answer

The first step in the IMC planning process is to analyze the company's context, which includes an analysis of the internal and external factors that can affect the effectiveness of the marketing communication strategies. This step helps to identify the strengths and weaknesses of the company, as well as the opportunities and threats in the market, which can inform the development of the overall IMC plan. Defining the target market, analyzing product positioning, and developing communication objectives come after this initial analysis.

Question 4

In examining customers during the IMC planning context analysis, the reason for studying former customers is to:

Accepted Answer

Studying former customers can provide insights into why they stopped doing business with the company. This information can be used to improve the firm's products or services and potentially win back those former customers. It may also help the company understand what characteristics or behaviors lead to customer defection, which can inform future customer acquisition and retention strategies.

Question 5

A key to a successful global integrated marketing communications campaign is developing local partnerships that are familiar with the local language and customs.

Accepted Answer

Developing local partnerships can help ensure that marketing messages are culturally appropriate and effectively communicated in the local language. This promotes engagement with the target audience and can lead to the success of the campaign.

Question 6

In using the payout planning method of developing a marketing communications budget, a higher percentage is allocated to marketing communications in the products early years when the goal is building brand awareness and brand equity.

Accepted Answer

This statement is true. The payout planning method allocates a higher percentage of the budget towards marketing communications in the early years of a product's life cycle, when the goal is to build brand awareness and equity. As the product matures, the percentage of the budget allocated to marketing communications often decreases.

Question 7

The objective and task method of budgeting marketing communications links dollars to specific marketing or communication goals.

Accepted Answer

The objective and task method of budgeting marketing communications is a goal-oriented approach that ties spending to specific objectives, such as increasing brand awareness or driving sales. This approach helps ensure that marketing communications spending is aligned with business goals and provides a clear picture of the expected return on investment.

Question 8

In examining customers during the IMC planning context analysis, the easiest group to study is:

Accepted Answer

Current customers are the easiest group to study as their information is readily available through purchase history, surveys, feedback, and social media interactions. It is important to understand their needs, preferences, and behaviors to tailor the IMC message to their interests and retain their loyalty. Studying former customers may also provide insights into what led to their defection, but reaching out to them requires more effort and resources. Potential new customers and competitors' customers may require more extensive research and analysis to understand their needs and motivations.

Question 9

Developing an integrated marketing communications plan requires the analysis of the 3 C's, which consist of:

Accepted Answer

The 3 C's of developing an integrated marketing communications plan are customers, competitors, and communications. This involves analyzing the target customers, understanding the competition, and identifying the most effective communication channels to reach the customers. Option A is incorrect as former customers are a part of the target audience, and not a separate category to analyze. Option C is incorrect as it does not include customers and competitors as specific factors to evaluate. Option D is incorrect as coupons are not necessarily a key component of an integrated marketing communications plan.

Question 10

The primary reason for the success of PetSmart may be that the company has:

Accepted Answer

PetSmart has adapted to changing trends in the pet industry and modified their products and services accordingly. This has helped them stay relevant and attract customers who are looking for new and innovative pet-related products and services. Additionally, they have also expanded their retail operations, offering a wide range of products and multiple brands, further increasing their appeal to customers. While they do offer pet hotels, this is not the primary reason for their success.

Question 11

The payout planning method of developing a marketing communications budget establishes a ratio of advertising to sales or market share, and then reduces the ratio as the product reaches the threshold level and diminishing returns begin occurring.

Accepted Answer

This is a correct statement about the payout planning method of developing a marketing communications budget.

Question 12

A set of businesses or groups of individual consumers with distinct characteristics is a:

Accepted Answer

A market segment is a group of businesses or individual consumers with unique characteristics, such as age, interests, and behavior, which allow marketers to target their marketing efforts more effectively.

Question 13

While a market communication analysis is beneficial in international markets, successful marketing programs are usually built without the analysis as long as the company understands the local culture.

Accepted Answer

While understanding local culture is important, a market communication analysis can provide crucial insights into consumer behavior, language preferences, and media consumption habits that can help companies tailor their marketing messages for maximum effectiveness. It is always recommended to conduct a market communication analysis in international markets to avoid costly mistakes and increase the chances of success.

Question 14

Market segments should be internally:

Accepted Answer

The answer of Market segments should be internally:
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Question 15

Payout planning is a form of consumer market segmentation.

Accepted Answer

Payout planning is not a form of consumer market segmentation; it refers to strategies for distributing earnings or profits, not to dividing consumers into segments based on characteristics like demographics or behavior.

Question 16

In examining the IMC planning context, the following customers are analyzed, except:

Accepted Answer

The IMC planning context typically includes the analysis of current customers, potential new customers, and competitors' customers. However, foreign customers are not always relevant in every IMC planning context, especially if the company only operates domestically. Therefore, the correct answer is C.

Question 17

Quantitative methods of developing a marketing communications budget rely on computer models or simulations.

Accepted Answer

Quantitative methods involve mathematical and statistical analysis, which can be easily done with computer models or simulations.

Question 18

Consumer product manufacturers spend more money on trade promotions directed towards retailers while service companies spend more money on media advertising.

Accepted Answer

The answer of Consumer product manufacturers spend more money on...

Question 19

In terms of marketing communication expenditures, the fastest growing media outlet is the Internet.

Accepted Answer

According to various industry reports, the Internet has been the fastest growing media outlet in terms of marketing communication expenditures in recent years, surpassing traditional media forms such as television, print, and radio.

Question 20

A successful GIMC program utilizes market segmentation adapted to countries and cultures.

Accepted Answer

Market segmentation helps to target specific groups of consumers in different countries and cultures, which is crucial for a successful GIMC program. Adapting the messaging and advertising to suit the local culture can greatly enhance the effectiveness of the campaign.

Quiz 4: The IMC Planning Process