Chapter 12: Advertising
Chapter 12: Advertising
1. ______________refers toautomated, data-driven buying of online advertising.
a. Search marketing
b. Ambient advertising
c. Rich media
d. Programmatic buying
2. ____________ refers to sophisticated, interactive Web advertising, usually employing sound
and video.
a. Search marketing
b. Ambient advertising
c. Rich media
d. Programmatic buying
3. Common fifteenth-century European pinup want ads for all sorts of products and services
were called
a. siquis.
b. shopbills.
c. newsbooks.
d. heralds.
4. In the fifteenth century, European tradespeople promoted themselves with attractive, artful
business cards called
a. siquis.
b. shopbills.
c. newsbooks.
d. heralds.
5. Advertising in the United States was a small business until the mid-1800s, when
industrialization and _____________ combined to alter the social and cultural landscape,
bringing about advertising’s expansion.
a. the Spanish-American War
b. the introduction of radio
c. the Civil War
d. the freeing of the slaves
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whole or part.
6. Advertising copywriter _____________ recognized in 1841 that there were merchants who
needed to reach consumers other than their local newspaper readership. He contacted
several Philadelphia newspapers and agreed to broker the sale of space between them and
interested advertisers, thus inventing the advertising agency.
a. Volney B. Palmer
b. Cyrus Curtis
c. F. Wayland Ayer
d. J. Walter Thompson
7. With the rapid industrialization and improved transportation of the 1880s, more product
producers were chasing the growing purchasing power of more consumers. As a result, they
were forced to differentiate their products, resulting in the development of
a. slogans.
b. advertising campaigns.
c. public relations.
d. brands.
8. The first full-service ad agency was begun in 1869 by
a. Volney B. Palmer.
b. Cyrus Curtis.
c. F. Wayland Ayer.
d. J. Walter Thompson.
9. In the span between the Civil War and the First World War, several factors combined to move
the advertising industry to establish professional standards and regulate itself, including
abuses by patent medicine advertisers; the examination of most of the country’s important
institutions, led by the muckrakers; and in 1914
a. the establishment of the Federal Trade Commission.
b. falling profits.
c. demands from magazines for more ethical operation.
d. demands from consumers.
10. Near the turn of the twentieth century, the _____________ was established to verify
magazine circulation claims.
a. Advertising Federation of America
b. American Association of Advertising Agencies
c. Association of National Advertisers
d. Audit Bureau of Circulations
11. In the early days of radio—the 1920s until well after World War II—programming was
a. subject to advertiser approval.
Chapter 12: Advertising
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whole or part.
b. paid for by advertisers.
c. produced by ad agencies for their clients.
d. free of advertising.
12. The first regularly broadcast radio series sponsored by a single company, _____________,
premiered in 1923, bearing the name of its battery-making sponsor.
a. The Rayovac Amateur Hour
b. The Eveready Hour
c. Sears Presents
d. The Duracell Hour
13. When the Great Depression was eating into the income of the advertising industry, many
advertisements began making direct claims about why consumers needed the products, a
technique called
a. puffery.
b. the hard sell.
c. psychographics.
d. polygraphics.
14. At the outbreak of World War II, several national advertising and media associations joined to
develop the _____________, using their expertise to promote numerous government
programs.
a. Consumer Union
b. National Advertising War Council
c. Better Business Bureau
d. War Advertising Council
15. To ensure that they did not profit unduly from the death and destruction caused by World War
II, manufacturers were subjected to
a. a high excess-profits tax.
b. additional FTC scrutiny.
c. greater internal efforts to strengthen ethics.
d. strict limits on the amount of product they could produce.
16. A product’s _____________ is what sets it apart from other brands in the same product
category.
a. return on investment
b. accountability metrics
c. unique selling proposition
d. forced exposure
Chapter 12: Advertising
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© 2017 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or
distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in
whole or part.
Answer: c
Bloom’s level: Remember
17. ________reject most traditional advertising and use multiple sources—traditional media, the
Internet, product-rating magazines, recommendations from friends in-the-know—to not only
research a product, but to negotiate price and other benefits.
a. Proactive consumers
b. Up-scale consumers
c. Niche buyers
d. Teenagers
18. Reacting to increasing public criticism and FTC scrutiny in the 1970s, the ad industry
established the _____________ to monitor potentially deceptive advertising, still the
industry’s most important self-regulatory body.
a. Advertising Federation of America
b. American Association of Advertising Agencies
c. Association of National Advertisers
d. National Advertising Review Board
19. When most brands in a given product category are essentially the same, they are called
_____________ products.
a. parity
b. USP
c. niche
d. familial
20. Many in the advertising industry are calling for a new way to measure a commercial’s
effectiveness, _____________, an accountability-based measure of success.
a. engagement
b. ROI
c. creativity
d. USP
21. New media technologies are forcing advertising professionals to reconsider all aspects of how
they do business, including the industry’s economics, creativity, and
a. fee structure.
b. research approach.
c. relationship with consumers.
d. demographic makeup.
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whole or part.
22. New, interactive technologies give consumers two choices when making a purchasing
decision: exit, that is they simply do not buy the product, or ____, that is they explain exactly
why they are not buying.
a. parity
b. feedback
c. voice
d. trailing
23. Economists call the process of proactive consumers either chosing to exit from a sale or to
voice their dissatisfaction with a product
a. parity.
b. market segmentation.
c. brand awareness.
d. expressing disapproval.
24. _____________ is mediated messages paid for by and identified with a business or institution
that seeks to increase the likelihood that those who consume those messages will act or think
as the advertiser wishes.
a. Public relations
b. Promotion
c. Advertising
d. Puffery
25. _________ refers to advertising sold next to or in search results produced by users’ key word
searches.
a. Search marketing
b. Ambient advertising
c. Rich media
d. Permission marketing
26. Ad production is billed at an agreed-upon price called a
a. retainer.
b. commission.
c. percentage.
d. per diem.
27. Placement of advertising in media is compensated through a _____________, typically 15%
of the cost of the time or space.
a. retainer
Chapter 12: Advertising
b. commission
c. percentage
d. per diem
28. The _____________ department is typically headed by an account executive, who serves as
liaison between agency and client, keeping communication flowing between the two and
heading the team of specialists assigned by the agency to the client.
a. creative
b. administration
c. account management
d. account relations
29. The _____________ department is where the advertising is developed from idea to ad. It
involves copywriting, graphic design, and often the actual production of the piece, for
example, radio, television, and Web spots.
a. creative
b. administration
c. media
d. account relations
30. The _____________ department makes the decisions about where and when to place ads
and then buys the appropriate time or space.
a. creative
b. administration
c. media
d. account relations
31. The effectiveness of an ad’s placement is often judged by its cost per thousand (CPM), or the
cost of reaching 1,000 audience members. For example, an ad that costs $20,000 to place in
a major newspaper that is read by 1 million people has a CPM of
a. $2.00.
b. $20.00.
c. $200.00.
d. $1,000.00.
32. _____________ advertising employs messages aimed at retailers, and does not necessarily