Unlock document.
This document is partially blurred.
Unlock all pages and 1 million more documents.
Get Access
41) In recent years, marketers have increased the use of which medium for distributing samples?
A) broadcast media
B) freestanding inserts
C) magazines
D) direct mail
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
42) The primary company advantage of internet sampling is that:
A) it is cheaper than the other methods of sampling distribution.
B) more expensive samples can be provided.
C) only individuals who request the sample will receive it.
D) the target market of the sampling program tends to have a higher educational level and higher
income.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
43) The primary disadvantage of sampling is:
A) the inability to target a specific consumer segment.
B) diminished effectiveness.
C) the lack of visibility.
D) the cost of producing and distributing the sample.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
44) The key to a successful sampling program is:
A) targeting the right audience.
B) reducing the costs of distribution.
C) gaining visibility prior to the sampling program.
D) gaining the cooperation of retailers and other channel members.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
11
45) Adding an extra bar of soap to a three pack and offering it at a special price is a:
A) rebate pack.
B) prize package.
C) bonus pack.
D) selective sample.
Question Tag: Application
AACSB Category: Application of knowledge
Objective: 12-2
46) With a bonus pack, a ________ percent bonus is the most common.
A) 15
B) 30
C) 50
D) 65
Question Tag: Application
AACSB Category: Application of knowledge
Objective: 12-2
47) Each of the following is a reason to offer a bonus pack except:
A) increase usage of the product.
B) stimulate trial purchase.
C) match or preempt competitive actions.
D) stockpile the product.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
48) All of the following are reasons to use a bonus pack except:
A) develop customer loyalty.
B) attract new users.
C) enhance brand parity.
D) encourage brand switching.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
12
49) Bonus packs can lead to brand switching if the consumer:
A) is price-sensitive.
B) is promotion-sensitive.
C) believes the bonus exceeds 30 percent.
D) has purchased the brand previously.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
50) One method of maintaining brand loyalty and reducing brand switching at a minimal cost is
to use:
A) coupons.
B) bonus packs.
C) contests and sweepstakes.
D) sampling.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
51) A temporary price reduction that is marked on the package of a product is a:
A) bonus offer.
B) price-off.
C) premium.
D) bad idea, because the retailer may not honor the price.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
52) Folks Southern Kitchen advertises an $8.99 lunch special in the local newspaper for a meal
that normally costs $10.99 during March. What type of promotion is being used?
A) Coupon
B) Sampling
C) Premium
D) Price-off
Question Tag: Application
AACSB Category: Application of knowledge
Objective: 12-2
13
53) A price-off program:
A) is effective for individuals that have a high degree of brand loyalty to a competing brand.
B) has little impact on sales.
C) usually boosts sales, but it can hurt profits.
D) decreases price sensitivity over time.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
54) Two or more consumer promotional activities combined into a single campaign is a(n):
A) intercompany tie-in.
B) intracompany tie-in.
C) overlay.
D) premium.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
55) Hershey has both a coupon and an entry form for a sweepstakes in an advertisement. This is
an example of a(n):
A) intercompany tie-in.
B) intracompany tie-in.
C) overlay.
D) bonus pack.
Question Tag: Application
AACSB Category: Application of knowledge
Objective: 12-2
56) When two products from the same company are promoted together within one consumer
promotion, it is a(n):
A) intracompany tie-in.
B) intercompany tie-in.
C) overlay.
D) bonus pack.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
14
57) When two products from different companies are promoted together within one consumer
promotion, it is a(n):
A) intracompany tie-in.
B) intercompany tie-in.
C) overlay.
D) trade incentive.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
58) Tyson and General Foods developed a joint consumer promotion. This is an example of a(n):
A) intracompany tie-in.
B) intercompany tie-in.
C) overlay.
D) premium.
Question Tag: Application
AACSB Category: Application of knowledge
Objective: 12-2
59) The primary reasons retailers give for supporting a manufacturer's consumer promotions
program include each of the following, except:
A) increase store traffic.
B) increase store sales.
C) increase sales of the manufacturer's brand.
D) attract new customers.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
60) A coupon is a price reduction offer to a consumer.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
15
61) The majority of coupons are sent out through digital media.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
62) FSIs, freestanding inserts, are the most common method used to deliver coupons to
consumers.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
63) An instant redemption coupon may lead to a trial purchase because the customer has
immediate access to the discount.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
64) Bounce-back coupons tend to encourage trial purchases of products.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
65) A scanner-delivered coupon is sent out by the internet.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
66) A scanner-delivered coupon is often given for a competing brand to encourage brand-
switching.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
16
67) A cross-ruffing coupon is placing a coupon inside a product's package with a specific
expiration date.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
68) A coupon for peanut butter on a jar of jelly is a cross-ruff coupon.
Question Tag: Application
AACSB Category: Application of knowledge
Objective: 12-2
69) Customers who already have a preference for a brand redeem the majority of all coupons.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
70) Premiums are prizes or gifts consumers receive when purchasing products.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
71) When a company offers a premium, consumers receive a discount for the good or service and
receive some type of special offer or free merchandise.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
72) A free toy placed inside a package of cereal is an example of an in- or on-package premium.
Question Tag: Application
AACSB Category: Application of knowledge
Objective: 12-2
17
73) A sporting goods store offering a free golf bag with the purchase of three or more golf clubs
is an example of a self-liquidating premium.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
74) A self-liquidating premium is one in which the consumer pays a small amount money for the
gift or item.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
75) Some marketing experts believe overuse of premiums can damage a brand's image.
Question Tag: Definition (Concept)
AACSB Category: Reflective thinking
Objective: 12-2
76) Premiums are normally much more successful than coupons in increasing sales and profits.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
77) A consumer is typically required to make a purchase when entering a sweepstakes.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
78) A contest requires the use of a skill while a sweepstakes relies on random chance.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
18
79) In a contest or sweepstakes, extrinsic value is determined by the value of the prize to the
consumer.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
80) In a contest or sweepstakes, intrinsic value is the perceived value the consumer places on the
prizes offered.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
81) A major advantage of using the internet for a contest is that individuals can participate in the
contest for its intrinsic value.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
82) To encourage consumers to continue playing a contest, the intrinsic value of prizes can be
steadily increased by allowing small, incremental rewards.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
83) The primary goal of contests and sweepstakes is to encourage brand switching behavior.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
84) The internet and social media have not been effective venues for contests and sweepstakes.
Question Tag: Definition (Concept)
AACSB Category: Reflective thinking
Objective: 12-2
19
85) Refunds and rebates suffer the disadvantages of cost and diminished effectiveness.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
86) Rebate programs tend to be more effective than other promotions because consumers get
excited about them and this leads consumers to wait patiently until one is offered before making
a purchase.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
87) For some products, such as automobiles, increasing the amount of a rebate no longer seems
to spur additional sales activity, but discontinuing or reducing the rebate level tends to have an
immediate negative impact on sales.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
88) In-store sampling is a program in which samples are given directly to consumers in a retail
store.
Question Tag: Definition (Concept)
AACSB Category: Application of knowledge
Objective: 12-2
89) Putting a sample of a dryer sheet in a box of laundry detergent is a form of response
sampling.
Question Tag: Application
AACSB Category: Application of knowledge
Objective: 12-2
90) Instant redemption coupons are a form of direct sampling.
Question Tag: Critical Thinking
AACSB Category: Reflective thinking
Objective: 12-2
20
