Question 1

Mega Music sells products to customers only through its website.Mega Music employs the direct model as its marketing approach.

Accepted Answer

The statement mentions that Mega Music sells products only through its website, indicating a direct model approach. Therefore, the statement is true.

Question 2

Do-not-call legislation has made telemarketing an ineffective form of direct marketing,especially for nonprofit groups.

Accepted Answer

Do-not-call legislation primarily targets commercial telemarketers and often includes exemptions for nonprofit organizations, allowing them to continue using telemarketing as an effective direct marketing tool.

Question 3

You receive a text message from Upscale Furnishings about an upcoming sale on custom furniture.Upscale Furnishings is developing a direct customer relationship with you through kiosk marketing.

Accepted Answer

The scenario describes direct marketing through text messaging, not kiosk marketing, which involves physical stands or booths.

Question 4

For customers,the benefits of direct marketing are that it is an easy,private,and convenient way to shop.

Accepted Answer

Direct marketing allows customers to shop from the comfort of their own homes, without any pressure from salespeople. It also provides a certain level of privacy as customers can choose to not share personal information. Overall, it is a convenient shopping experience for customers.

Question 5

The Shopping Channel,Canada's leading home-shopping channel with hundreds of thousands of customers,has a predominantly male audience.

Accepted Answer

This statement is incorrect. The Shopping Channel actually has a predominantly female audience.

Question 6

Companies such as GEICO have built their entire approach to the marketplace around direct marketing.

Accepted Answer

GEICO's business model relies heavily on direct marketing through advertisements and online offerings.

Question 7

Catalogue marketing has grown explosively during the past 25 years,and recently the Internet has helped boost its popularity even more.

Accepted Answer

The statement accurately reflects the growth of catalogue marketing over the past 25 years and its continued popularity with the help of the internet.

Question 8

For sellers,the benefits of direct marketing are that it is a powerful tool for building partner relationships.

Accepted Answer

Direct marketing primarily focuses on direct communication with consumers to generate sales or leads, rather than building partner relationships, which involves interactions between businesses.

Question 9

Email,mobile,and other newer forms of direct mail deliver direct messages at incredible speeds and higher costs compared to the post office's "snail mail" pace.

Accepted Answer

Email and mobile messaging typically offer much lower costs for sending messages compared to traditional postal services, which are often referred to as "snail mail" due to their slower delivery speeds.

Question 10

Today's marketers use database marketing to promote their offerings through personalized communications to small target groups or even individual customers.

Accepted Answer

Database marketing involves using customer data to create targeted and personalized marketing communications, often to small groups or individual customers. This approach is commonly used by modern marketers to improve the effectiveness of their marketing efforts.

Question 11

Database marketing requires little initial investment beyond training personnel to code and mine data.

Accepted Answer

While coding and mining data are important aspects of database marketing, an initial investment is required for technology and software to collect and store the data, along with personnel to manage and analyze it.

Question 12

The marketing manager of Charlie's Car Parts uses a customer database to email promotional information to customers.The demographic information in the database provides the manager with the data he needs regarding his customers' buying preferences.

Accepted Answer

Demographic information typically includes age, gender, income, etc., but does not directly provide data on buying preferences, which are more related to behavioral data.

Question 13

Direct marketers offer only a limited selection to customers.

Accepted Answer

Direct marketers can offer a wide selection to customers, especially with the rise of e-commerce and online shopping. Direct marketing can also involve personalized recommendations based on customer preferences and behavior.

Question 14

Many marketers view mobile phones as the next big direct marketing medium.

Accepted Answer

Many marketers believe that mobile phones provide a highly personal and targeted advertising channel that can have a significant impact on consumers' purchase decisions. As a result, they are increasingly investing in mobile marketing campaigns to engage with customers and drive sales.

Question 15

With inbound telephone marketing,the company provides a toll-free phone number to receive orders from television ads,print ads,direct mail,and catalogues.

Accepted Answer

Inbound telephone marketing is a strategy in which the company provides a toll-free phone number to receive orders from various marketing channels such as television ads, print ads, direct mail, and catalogs.

Question 16

Because of its association with somewhat questionable pitches and get-rich-quick schemes,direct-response television is becoming less popular than traditional broadcast and cable advertising.

Accepted Answer

Direct-response television (DRTV) remains popular due to its effectiveness in generating immediate responses from viewers, often leading to direct sales, despite its association with questionable pitches. It has adapted to new technologies and continues to be a significant part of advertising strategies alongside traditional and digital advertising methods.

Question 17

Internet marketing is claiming a fast-growing share of direct-marketing spending and sales.

Accepted Answer

According to various sources, including Forrester Research, the Direct Marketing Association, and eMarketer, internet marketing has been consistently growing and claiming a larger share of direct-marketing spending and sales in recent years.

Question 18

Though direct-mail marketing permits high target-market selectivity and can be personalized,it does not allow easy measurement of results.

Accepted Answer

Direct-mail marketing can be measured through response rates and return on investment (ROI) analysis.

Question 19

Direct marketing rarely occurs on a one-to-one,interactive basis.

Accepted Answer

Direct marketing often occurs on a one-to-one, interactive basis through various channels such as email, social media, or telemarketing.

Question 20

Companies use databases to locate good potential customers and generate sales leads.

Accepted Answer

Databases allow companies to store, update, and analyze customer information, enabling them to identify and target potential customers who are more likely to make a purchase or show interest in their products or services. This process is known as lead generation, which is a crucial aspect of sales and marketing.

Quiz 17: Direct and Online Marketing: Building Direct Customer Relationships