Question 1

The vice president of marketing of Fabric Gallery has been told to invest the company's advertising dollars wisely.Which of the following measures could be used to compare the financial effectiveness of its advertising expenditures for different media?

Accepted Answer

CPM (Cost Per Thousand Impressions) is a measure used to evaluate the cost-effectiveness of advertising by calculating the cost per thousand views or impressions, allowing for comparison across different media.

Question 2

If you ordered a commercial to run on a local station that could reach 500,000 households for a cost of $1,000,what would your cost per thousand (CPM)be?

Accepted Answer

CPM is calculated by dividing the total cost by the number of households (in thousands). So, $1,000 / 500 = $2.00.

Question 3

Shur-Valu Supermarkets changes its ads constantly to describe new products it has for sale and different price specials it offers.Which medium would be the least logical choice for placement of its messages?

Accepted Answer

Magazines have longer lead times for publication and are not as flexible for frequent changes in ads compared to other media options like radio or direct mail.

Question 4

Each of the following statements about magazines as an advertising medium is true EXCEPT:

Accepted Answer

The statement that "magazines tend to be saved by the purchaser, so companies are generally limited to ads that call for an immediate customer response" is not entirely true. While magazines do tend to have a longer shelf life than other forms of advertising, companies can still use ads that build brand awareness and recognition, even if they do not call for an immediate response.

Question 5

One reason for using magazines as an advertising medium is:

Accepted Answer

Magazines have the advantage of targeting specific audiences through their content and readership demographics. This allows advertisers to reach their desired market with greater precision, compared to other mass media like television or radio, which may have a broader reach but less audience segmentation.

Question 6

Because consumers often do not pay close attention to advertising messages,advertisers want to reach the same audience more than once.The average number of times a person in the target audience is exposed to a message or advertisement is called:

Accepted Answer

Frequency is the average number of times a person in the target audience is exposed to a message or advertisement. Parity refers to the comparative status or value of advertisements in different media, reach measures the number of people in the target audience who have been exposed to the message or advertisement at least once, and rating is the percentage of the total relevant audience that is reached with a message or advertisement. Therefore, option C, frequency, is the best choice for the given question.

Question 7

Billboard advertising is most effective for _____ advertising.

Accepted Answer

Billboard advertising is most effective for reminder advertising because it reinforces brand awareness and keeps the brand top-of-mind for consumers as they pass by.

Question 8

One reason for NOT using newspapers as an advertising medium is its:

Accepted Answer

The short lifespan of newspapers is a disadvantage for advertising since the ad will only be seen for one day or a few days at most before being discarded. This limits the potential reach of the ad and makes it less effective compared to other advertising options that offer longer exposure periods.

Question 9

CPM with respect to advertising is defined as the:

Accepted Answer

CPM stands for cost per thousand impressions, where the "M" derives from the Roman numeral for 1,000. Therefore, option C is correct because it defines CPM as the cost of reaching 1,000 individuals or households with the advertising message. Options A and B imply certain factors such as media type, reach, and frequency, but they do not precisely define CPM. Option D refers to the cost per minute of television or radio time, which is not a complete definition of CPM.

Question 10

A two-hour-made-for-TV movie shows three advertisements for the new Ford Focus Hybrid at $10,000 per ad.The show is watched by 100,000 people across the country.The advertiser calculates the gross rating points and finds it is:

Accepted Answer

Gross rating points (GRPs) = Number of people watching the show x Number of ads x Cost per ad= 100,000 x 3 x $10,000= 300,000

Question 11

Program-length (30-minute)advertisements that take an educational approach to communication with potential customers are called:

Accepted Answer

Infomercials are 30-minute advertisements that take an educational approach to communication with potential customers. They are designed to inform potential customers about a product or service and its benefits, and typically include testimonials and demonstrations. Advertorials are written advertisements that appear in editorial format and mimic the editorial content of a publication. Intrusionaries are ads that are deemed intrusive, such as pop-up ads or auto-play videos. Advocacy ads are advertisements that aim to persuade people to support a particular cause or issue.

Question 12

A documentary on CBC is discussing the latest David Suzuki book on sustainability and green living.An advertisement for the new Hummer H4 comes on.The makers of Hummer would consider this ad:

Accepted Answer

The advertisement for a gas-guzzling vehicle like the Hummer H4 during a documentary on sustainability and green living would be considered wasted coverage because the target audience for the documentary is unlikely to be interested in purchasing such a vehicle, and the ad is not relevant to the program's theme.

Question 13

Reasons for using the Internet as an advertising medium include each of the following EXCEPT:

Accepted Answer

The statement "it reaches 99 percent of the homes in Canada" is false and therefore cannot be a reason for using the Internet as an advertising medium. The other three choices are valid reasons for using the Internet as an advertising medium.

Question 14

Which of the following statements about the Internet as an advertising medium is NOT true?

Accepted Answer

As of the latest data, Internet advertising is actually the fastest-growing advertising medium in many regions, including Canada, surpassing other traditional media.

Question 15

The owners of a small hardware store had a limited advertising budget.As such,the owners of the store were very concerned with spending their advertising dollars wisely.One of their primary advertising concerns was to expose customers in a limited market area to their advertising messages as often as possible.The owners of the hardware store were concerned with:

Accepted Answer

The owners' primary concern is exposing customers to their advertising messages as often as possible, indicating a need for high frequency. Reach (option A) refers to the total number of potential customers who see the advertising, which may not necessarily guarantee repeated exposure. Gross rating points and cost per thousand (options C and D) are measures used to evaluate the effectiveness and efficiency of advertising campaigns, but do not necessarily address the owners' specific concern of maximizing exposure within a limited market area.

Question 16

All of the following are true statements about print and digital magazines,EXCEPT:

Accepted Answer

Option C is false as printed magazines are still the number-one choice for magazine readers, although digital magazines are gaining popularity.

Question 17

One of the advantages associated with television as an advertising medium is that it:

Accepted Answer

Television has the advantage of being able to target specific demographics or audiences based on factors such as time of day, type of program, and location. This allows advertisers to reach their desired audience more effectively. The other options are not advantages associated with television advertising.

Question 18

Frequency is defined as the:

Accepted Answer

Frequency refers to the average number of times a person in the target audience is exposed to an advertisement. Option A is incorrect as it refers to the number of different promotional elements used in a campaign, not frequency. Option B is incorrect as it only refers to the number of times an advertisement is broadcasted and does not take into account the target audience's exposure. Option C is incorrect as it refers to the number of times an advertisement must be shown to achieve a particular level of audience recall, not frequency.

Question 19

One reason for using radio as an advertising medium is:

Accepted Answer

Radio offers distinctive formats such as talk shows, music programs, news broadcasts, and sports shows, which can help advertisers target specific audiences. This makes it a segmented medium, and one reason why it is a preferred choice for advertising. Radio can also be cost-effective and has a wide reach, making it a popular medium among advertisers.

Question 20

Which of the following statements about radio as an advertising medium is true?

Accepted Answer

The answer of Which of the following statements about radio...

Quiz 17: Advertising, Sales Promotion, and Public Relations