YouStock, an online broker, pays for a 60-second television commercial to be telecast
during the Football World Cup. The commercial promotes the reliability of YouStock’s
advice, expertise, and personal attention in assisting online customers with stock
portfolio creation and management. The spot created by YouStock is:
a. a public service announcement.
b. a point-of-purchase advertisement.
c. representative of personal selling.
d. an advertisement promoting a service.
The concepts of need recognition, information search and alternative evaluation,
purchase, and postpurchase use and evaluation represent the four stages of the:
a. creation of brands.
b. integrated brand promotion process.
c. consumer decision-making process.
d. cultural branding method.
Off-network syndication refers to television shows that have been developed
specifically for sale to individual stations.
a. True
b. False
Scenario5-6
Voice-It Technologies produces inexpensive personal voice recording devices that serve
as a substitute for message pads in the home or office. Their recording time is limited to
120 seconds and the devices sell for less than $20. VoiceIt’s products are about the size
of four credit cards stacked on top of one another and have a life of about a year. The
slogan the firm uses on its packaging and advertising is “Don’t Write It, VoiceIt!”
The management of Voice-It Technologies believes in retaining their customer base and
provide customers at their stores attractive offers which will help create brand loyalty
and repeat purchases. This is an example of _______.
a. predecsional distortion
b. cognitive dissonance
c. limited problem solving
d. conversion
A relatively new federal agency is the National Advertising Division (NAD),
empowered to create and enforce strict standards for packaging, labeling, distribution,
and merchandising through its National Advertising Review Board (NARB).
a. True
b. False
The text stresses that for research methods to be truly useful to the client, they need to
be trustworthy and meaningful.
a. True
b. False
Scenario 9-2
The Optima Bike Company manufactures broad-tire, three-wheeled, and two-wheeled
bicycles mostly for the retirement market. Its primary market is seniors, usually those
who live in retirement communities where there are clearly designated and safe bike
paths. Seniorsand especially the younger baby boomerslike these recreational vehicles
because they are easy and safe to ride. The company has had some early successes in
Florida, Arizona, and California, where such communities began. Optima now wants to
expand to other retirement enclaves. It has learned from two well-conducted consumer
research studies that the main way that male retirees buy the Optima line is through the
urging of wives who want to exercise in some way other than playing golf.
Optima decides to engage an ad agency to capitalize on this consumer insight and
promote its bikes to newer golf communities. It asks two agencies to pitch for its
business and gives each a meeting in which it conveys the information above.
AlphaAgency is based in Miami and insists that its creative team is best suited to
promote Optima. Its managers tell the prospective client that this team is well versed in
advanced animation techniques and can dramatize the features of Optima’s two and
threewheeled bikes in a dynamic way. They”ll focus on how fast they can go and how
they can “transform the ride” into an adventurethis has worked in other ads, and this
will appeal to the male consumers who need to be lured away from the golf course.
Following this initial display of product prowess, they suggest a campaign that
demonstrates how the bikes can be customized to be more “comfortable and attractive
for the ladies,” including pink seat options. They finish by asking whether the brand
name can be changed to ‘something more exciting.”
BetaAgency is based in Los Angeles and promises to serve as Optima’s branding
partner. It asserts that its creative philosophy is centered on long-term brand building.
Its managers propose that they will develop the right message by applying the
research-based consumer insight that women want to use the bikes to entice their
husbands to leave the golf course once in a while. They suggest that their successful
work in building regional appreciation for brands, such as Sea-Doo water vehicles and
Ski-Doo snowmobiles, indicates their prowess in branding similar but not directly
competitive brands. They emphasize the difference that Optima offers in the
recreational-ride category, and the consumer targets that differ from other brands. They
close by complimenting this prospective client on how appropriate the brand name is,
given its customer base and likely target consumer.
As often happens in new client-agency relationships, Beta Agency and Optima Bike
Company conduct a joint brainstorming session prior to finalizing the IBP campaign
strategy. Sam Spokes, head engineer and designer for Optima, interrupts the session
frequently, refuting agency staffers’ spontaneous suggestions that women love bikes, a
bike is like a golf club, and the bike will sell itself. He also labels them as uninformed
about various technical aspects of the bicycle mechanisms. How has the behavior of
Spokes influenced the brainstorming session?
a. Positively, by winnowing out the bad campaign ideas from the good ones
b. Negatively, by diminishing its purpose in inhibiting others from offering ideas freely
c. Positively, by pointing out important aspects of product design and showing expertise
d. Neutrally, by making irrelevant and immaterial comments
Scenario 10-5
In 2007, the Michigan-based Ford Motor Company fell from second to third in the U.S.
annual vehicle sales for the first time in 56 years. Facing stiff competition from foreign
auto-makers and brand indifference amongst U.S. consumers, Ford appeared to be
headed towards turbulent times. However, when marketing and advertising guru Jim
Farley joined Ford in November 2007, he brought with him a number of fresh ideas that
helped turn the company toward the right direction. Farley quickly found that
Americans had become indifferent to the Ford brand, which in his opinion, was worse
than disliking the brand. So, Farley, along with the rest of the marketing team at Ford,
created a campaign that used catchy songs and cheerful images to accompany its line of
automobiles. The marketing team at Ford is now heavily utilizing the Internet to
promote the new Ford Fiesta, which is the focus of a campaign that has greatly
increased the awareness of the Ford brand. The company has also been stressing the
value of buying environment-friendly cars, a move it hopes will improve the brand’s
image throughout the world. So far, these moves appear to be workingin late 2010, Ford
was once again named the second leading automotive company in the United States, as
well as the fourth largest in the world.
(“Ford Can Fiesta Again.” TheEconomist, October 28, 2010)
Ford is using a number of catchy songs in its advertisements. One advantage of using
jingles in advertising is:
a. it gives consumers something fun to listen to.
b. it promotes brand recall.
c. it makes consumers think before purchasing a particular product.
d. consumers respond better to sounds than they do to images.
Despite being registered under the Do Not Call Registry, a person can receive calls
from:
a. businesses they’ve contacted in the last six months.
b. politicians and pollsters.
c. companies that have delivered something to the person in the last 24 months.
d. co-operatives and insurance firms.
Scenario 7-4
You are the director of advertising research at a large Minneapolis ad agency. Due to
employee turnover and budget cuts, you’re currently staffed with too many entry-level
research assistants and too few management-level research group leaders. To make
matters worse, one of the group heads is on vacation and another is out sick. Of course,
your clients still expect their research to be done in a timely, professional manner.
Therefore, you have gathered your department together and announced that your door is
always open if anyone has any questions about any phase of any project. As a result,
your entire day has been filled with questions.
One assistant comes in to show you the results of some recognition tests that have been
run on a magazine advertisement. She is really excited by the high levels of recognition.
You caution her not to get too excited, because high levels of recognition:
a. rarely be judged by normative data.
b. don”t always correlate to higher product sales.
c. can be inaccurate since respondents don’t get to see the ad beforehand.
d. calculate feelings about an ad rather than thoughts about an ad.
Focus groups are for generating statistics and making scientific generalizations, not for
gaining any real understanding or insight.
a. True
b. False
Scenario 15-1
One of the nation’s most popular times for sales promotions was a great deal longer than
usual in 2010. Black Friday, which typically takes place the Friday following
Thanksgiving, started in October for a number of retailers and was also scheduled to
occur throughout the month of November. Sears and Walmart, who had been
experiencing a continuous decline in sales recently, were the biggest names behind the
move. Executives from a number of companies began to realize that consumers respond
to the word ‘sale,” regardless of the time of year, so they decided to simply stretch the
period of time in which their biggest sales ran. Companies designed new sale flyers and
circulars, and began to promote the various sales on their websites. Other companies
such as Target were also implementing a similar strategyby emphasizing savings earlier
in the season and for a longer period of time, company executives hoped their brand
would be the first, second, and last choice for consumers during the holiday season.
(Stephanie Clifford, “Stores Push Black Friday Into October.” The New York Times,
October 28, 2010.)
Implementing contests and sweepstakes can be a challenging task. One of the
difficulties in implementing an effective sweepstakes is:
a. generating interest in the brand, not just in the sweepstakes.
b. choosing a winner in a manner which keeps everyone happy.
c. The entire implementation could falter and leave consumers disappointed.
d. notifying the winner when the sweepstakes is over.
Scenario 8-1
You are owner of a 15-person advertising agency in a major market. You’ve been
invited to pitch the Girl Powerz account, the largest female-only fitness center chain in
the region, one that could quickly grow into a national franchise. If you land the
account, it will be your biggest revenue producer by far. You’ll be able to staff up, move
to a nicer space, and buy some decent office furniture. It also will put you, personally,
in a position to make a ton of money by selling out to a larger agency some day.
Considering the importance of the pitch to Girl Powerz execs, you have decided to
spearhead the pitch yourself.
One of the main tasks will be to work with the marketing director at Girl Powerz to
determine exactly what she wants from its new advertising campaign. Which elements
identify the specific goals that you will ask her to provide in concrete terms?
a. strategies
b. tactics
c. objectives
d. executions
The copy approval process usually begins with the advertiser’s senior executives.
a. True
b. False
Under the commission system, the rate of commission is raised to 25 percent for
outdoor media.
a. True
b. False
CoolNature, a manufacturer of mineral water, has recently launched its product in the
market. It starts a rigorous advertising campaign to highlight the benefits of its product.
This is an example of___ .
a. selective demand stimulation
b. economies of scale
c. market segmentation
d. primary demand stimulation
Scenario 11-5
A hospital is attempting to change its image. In the past, the hospital has been perceived
as having a high degree of expertise across all medical services, but also as having a
cold and unfeeling atmosphere. This has resulted in the hospital losing business in
situations where patients feel that a procedure is simple enough that any hospital can
perform it equally well. The decision is made to hire a local advertising agency. The
agency’s creative director meets with the hospital marketing director to develop a
creative brief. It focuses on print ads for local newspapers and regional magazines, and
states that the advertising for the hospital must create feelings of caring and warmth,
without explicitly stating that the hospital “cares”a tactic that has been used again and
again by other medical institutions.
Once she has a rough draft, the art director has to admit it’s a really great-looking ad.
All the elements hang together and work with each other, and the overall feel is
harmonious and peaceful. She clearly understands the principle of _____.
a. balance
b. unity
c. order
d. proportion
____ is the development and delivery of specialized television programming for a
particular audience.
a. Display advertising
b. Narrowcasting
c. Spot advertising
d. Channel grazing
Scenario 11-1
After a series of public relations setbacks, Japanese automaker Toyota unveiled a new
company slogan in 2010. The slogan read, “Drive a Toyota. You’ll never stop.” The
company hopes the new slogan can once again instill confidence into a number of
consumers who grew weary of the brand after a number of massive recalls in recent
years. The company chose to go with the slogan after turning down a number of others,
including, “Toyota Puts the Pedal to the Metal. And keeps it there,” and “Toyota. The
Last Car You’ll Ever Drive.” The new slogan will be featured in all of the company’s
future advertisements.
(Andy Borowitz, “Toyota Unveils New Slogan: “Drive a Toyota. You”ll Never Stop”.”
TheHuffingtonPost, February 6, 2010.)
The account executive for a campaign such as this is adamant that the copy be tested
before he even submits it to the client. He is looking for audience reaction and
interpretation of the proposed copy known as _____ copy research.
a. illustrative
b. developmental
c. continual
d. evaluative
Scenario1-6
Gillette M3Powera MACH3 razor innovationis a groundbreaking, powered wet shaving
system for men that delivers a totally new shaving experience resulting in Gillette’s best
shave. M3Power builds on the heritage of MACH3 and combines Gillette’s latest and
best razor and blade technologies. M3Power outperforms all other blades and razors in
closeness, comfort, and safety during and after the shave. Gillette M3Power features
other innovations beyond power: new blades featuring PowerGlide™an enhanced blade
coating for incredible glide and maximum comfort, a moisturizing Indicator Lubrastrip
and a technologically-advanced handle (www.Gillette.com). Recently, Gillette Co. sent
direct mailers to users of competing male products, throughout the United States, a free
MACH3Power razor with blades and a coupon offer. In addition, a series of coordinated
advertisements to male customers were developed to increase awareness of this
product. Gillette said that its goal was to have a market awareness rate of 70 percent
within four months.
Gillette advertises its razors at every popular sports event that takes place in the
country. It also uses billboard ads and television commercials to display a person using
a multi-blade razor with the slogan “the best a man can get”. This is an example
of____ .
a. integrated brand promotion
b. direct response advertising
c. institutional advertising
d. mobile marketing
A(n) ____ advergame brand integration, integrates a brand spokesperson or personality
as a main character within the game.
a. associative
b. collaborative
c. demonstrative
d. illustrative
Scenario5-5
Jerome was preparing to host a graduation party for his friends and relatives when he
suddenly realized that he did not have a blender to mix the beverages that he knew his
guests would like. Having never purchased a blender before, Jerome felt that he needed
to shop carefully and take his friends’ suggestions on which brand to buy. After visiting
several stores and examining numerous models and brands, Jerome settled on a
Kitchen-Aid model that cost $100.
Jerome realized that he did not have a blender for the party. This is an example of
_____.
a. an information search
b. an alternative evaluation
c. cognitive dissonance
d. a need state
A coffee retailer runs ads and posts signs in his coffee shops to notify that the cups are
made from recyclable material, and the coffee is organically grown by free-market
producers. In this case, the retailer is using _____.
a. green marketing
b. influencer advertising
c. viral marketing
d. advocacy advertising
The only budgeting method that specifically relates spending to goals is the:
a. share-of-market approach.
b. percentage-of-sales approach.
c. objective-and-task approach.
d. share-of-voice approach.
In the context of video games, which of the following is true of advergames?
a. There are two levels of brand promotion within an advergame.
b. The advergame content centers around a brand.
c. It is the concept of showing ads at the end of a video game.
d. Repeated display of advergames has a positive effect on players’ attitudes toward a
brand.
Who is the liaison between the two main parties involved in promotionthe client and the
agency?
a. The agency owner
b. The research department
c. The creative director
d. The account executive
Public service announcements (PSAs):
a. are a type of advertising that are run by nonprofit organizations.
b. are commercial they way that ads are.
c. attempt only persuade and not to inform.
d. are not paid for like an ad.
The lowest level at which advergaming brand integration can occur is known as a(n)
___ level.
a. collaborative
b. associative
c. illustrative
d. demonstrative
During the 1970s, the ____demanded a higher standard of honesty and disclosure from
the advertising industry.
a. National Security Council
b. Federal Reserve Board
c. Action for Children’s Television
d. Federal Trade Commission
There two types of personal selling are order taking and creative selling.
a. True
b. False