Question 1

Primary purposes of co-op advertising, include all of the following EXCEPT:

Accepted Answer

The primary purposes of co-op advertising include benefiting retailers by helping them stretch their advertising budgets, allowing national manufacturers to build goodwill with retailers, and qualifying national manufacturers for local advertising rates, especially in newspapers. Building better relationships with the media who strongly support the concept is also a potential benefit, but not one of the primary purposes. Ensuring that retailers pay at least 60 percent of local advertising costs is also not a primary purpose, as the percentage of costs paid by the retailer can vary depending on the agreement between the manufacturer and the retailer.

Question 2

A sales promotion is more effective when its message is closely related to themes being used in the product's or service's advertising campaigns.

Accepted Answer

If the sales promotion message is closely related to the themes being used in the product's or service's advertising campaigns, it will create a more coherent and impactful message for the consumers. This will help in reinforcing the brand message and also improving the effectiveness of the promotion.

Question 3

Any sweepstakes that requires a purchase by an entrant is illegal and considered:

Accepted Answer

A sweepstakes that requires a purchase is considered an illegal lottery because it involves the exchange of money for a chance to win a prize, which meets the definition of a lottery. Lotteries are highly regulated and often illegal outside of specific circumstances, such as state-run lotteries.

Question 4

Which would NOT be a characteristic of trade shows?

Accepted Answer

Sponsorship may be used in conjunction with trade shows as one component of integrated marketing, but it is not a characteristic of trade shows on its own. The other options are all correct characteristics of trade shows.

Question 5

The key to successful marketing communication is determining the purposes and objectives of advertising, sales promotion, and other components and how best to coordinate and integrate these objectives.

Accepted Answer

This statement is true. Successful marketing communication requires a clear understanding of the objectives of different promotional components and how to effectively integrate them to achieve the desired outcomes.

Question 6

Merchandising, dealer promotion, and trade promotion are all names for one of the three categories in a total promotion budget.

Accepted Answer

Merchandising, dealer promotion, and trade promotion are all names for one category of promotional activities aimed at stimulating sales through intermediaries. This category is called trade promotion, and it is one of the three major categories of a total promotion budget, the other two being consumer promotion and personal selling.

Question 7

Event marketing is most effective when it involves a long-term relationship that offers advertisers the opportunity to develop a continuing relationship with a loyal audience.

Accepted Answer

Event marketing involves creating a connection with the audience through a shared experience, and building a long-term relationship can lead to increased brand loyalty and customer retention. Therefore, event marketing is most effective when there is a chance for advertisers to interact with their audience over time and cultivate a strong relationship.

Question 8

Which of the following is a type of co-op fraud?

Accepted Answer

The answer of Which of the following is a type...

Question 9

In a total promotion budget, the long-term trend is that almost half of the dollars allocated go to consumer advertising and only about 25 percent goes to both trade promotions and consumer sales promotions.

Accepted Answer

The allocation of a promotion budget can vary widely depending on the industry, company strategy, and market conditions. There is no fixed trend that dictates specific percentages for consumer advertising, trade promotions, and consumer sales promotions.

Question 10

The regulation that is likely having an effect on marketers who use sweepstakes because of its provision for a national opt-out list is the:

Accepted Answer

The Deceptive Mail Prevention and Enforcement Act includes provisions that affect marketers who use sweepstakes by setting rules on how these promotions can be conducted, including disclosure requirements and other consumer protections, which could include mechanisms like an opt-out list for consumers who do not wish to receive such mailings.

Question 11

All of the following are true of directories, including the Yellow Pages, EXCEPT:

Accepted Answer

Most companies recognize the value of directory advertising, including the Yellow Pages, as part of their marketing strategy, contrary to the statement that few companies bother to include some directory advertising in their marketing plans.

Question 12

Traditionally, the major marketers of contests and sweepstakes include:

Accepted Answer

The answer of Traditionally, the major marketers of contests and...

Question 13

Transactional promotions focus on the long-term connection between marketer and consumer.

Accepted Answer

Transactional promotions focus on short-term sales and transactions, rather than building a long-term connection between marketer and consumer.

Question 14

Each year, the percentage of the public who enter either a sweepstakes or contest is:

Accepted Answer

The correct answer is 30 percent, as this is the percentage of the public who enter either a sweepstakes or contest each year.

Question 15

When it comes to promotion strategy, in-depth situation analyses and strategy development can help determine the incentive needed, the type of promotion likely to have the greatest appeal, and the media required to reach the desired audience.

Accepted Answer

In-depth situation analysis and strategy development are important steps in determining the most effective promotion strategy, including the incentive, type of promotion, and media needed to reach the desired audience.

Question 16

Trade incentives are a category of sales promotions that can include incentives directed all of the following EXCEPT:

Accepted Answer

Trade incentives are directed towards businesses, such as wholesalers and retailers, as well as sales people and employees. They are not typically targeted towards consumers, who are the end-users of the product or service.

Question 17

If not executed properly, sales promotion can damage brand equity by replacing the image of a product with price competition.

Accepted Answer

Sales promotion can lead to a focus on price rather than the benefits and qualities of the product, which can damage the overall image and reputation of the brand.

Question 18

Your company provides a component for another company's end product. If you want to bring attention to your role in the manufacturing of the product, you can participate in the co-op program called:

Accepted Answer

The "ingredient manufacturer co-op" program is designed for companies that supply components or ingredients to other companies, allowing them to highlight their role in the final product.

Question 19

A surprising aspect of co-op advertising is the amount of money that is:

Accepted Answer

According to the passage, "a surprising aspect of co-op advertising is the amount of money that is available but goes unspent." This suggests that there is money available for co-op advertising, but not all of it is being used.

Question 20

Promotions work best when the objectives are based on short-term sales increases.

Accepted Answer

Promotions can have long-term effects on brand loyalty and customer retention, so objectives should not be solely focused on short-term sales increases.

Quiz 14: Sales Promotion