a.
storyboard.
b.
artwork.
c.
copy.
d.
presentation.
e.
layout.
94. The effectiveness of an advertising campaign can be measured
a.
only after the campaign has been carried out completely and results have been tabulated.
b.
only before the campaign begins, to prevent unnecessary expenditures.
c.
during the campaign to determine whether more or less funds should be allocated, but not
after the campaign.
d.
several weeks after the beginning of the campaign to determine whether the campaign is
headed in the right direction.
e.
before, during, and after the campaign through the use of pretests, inquiries, and posttests.
95. An evaluation performed before an advertising campaign begins is a
a.
consumer exam.
b.
posttest.
c.
recognition test.
d.
pretest.
e.
recall test.
96. Mike Stevens wonders whether the creative idea of using the character “Tom T. Turtle” as an image
for marketing a new line of running shoes will be successful. He should suggest to his account
representative that a(n) ____ be used to pretest the campaign.
a.
storyboard
b.
survey
c.
experiment
d.
GSR test
e.
consumer jury
97. A consumer jury is a
a.
group of consumers who have purchased the product before that evaluate its effectiveness.
b.
panel of potential buyers of the advertised product brought together to pretest an
advertising message.
c.
panel of buyers who review and evaluate an advertising message after it has been
circulated in certain regions.
d.
group of consumers who determine whether or not other consumers have been treated
fairly by companies.
e.
panel of consumer experts who rank the effectiveness of advertisements.
98. General Mills used a panel of consumers to evaluate its Cheerios campaign featuring children who
read the cereal box and try to persuade their parents to watch their cholesterol. These consumers
judged the advertisements prior to the execution of the advertising campaign. This is an example of
a(n)
a.
pretest.
b.
inquiry.
c.
recognition test.
d.
recall test.
e.
posttest.
99. Matt was in a group considered to be actual or potential purchasers of a new mountain bike produced
by Specialized Sports. He and the other consumers were shown three different advertisements and
asked to judge several dimensions of each one. Matt participated in a(n)
a.
posttest consumer group.
b.
panel of advertising experts.
c.
consumer jury.
d.
customer ad panel.
e.
ad preview group.
100. Measuring effectiveness during a campaign is usually accomplished by using
a.
pretests.
b.
posttests.
c.
consumer juries.
d.
inquiries.
e.
sales force surveys.
101. Recognition and recall tests are posttest methods based on
a.
mail surveys.
b.
memory.
c.
inquiries.
d.
preferences.
e.
in-depth interviews.
102. Some of the posttest methods for measuring advertising effectiveness are based on how well
consumers remember advertising and include (1) recognition tests and (2) recall tests. What is the
basic difference between these two approaches?
a.
The actual ads are shown in the former but not in the latter.
b.
The former method relies on memory alone, and the latter shows the actual ads.
c.
One uses a consumer jury; the other uses random individuals.
d.
The respondents are given class clues in the latter but not in the former.
e.
One is used primarily by the government, and the other is used by private businesses.
103. While digital advertising is commonly used, many digital ads still fail to work. Which of the
following is not one of the reasons that digital ads fail?
a.
They are often difficult to read or decipher.
b.
They often use “flash” technology just for the sake of flash.
c.
They do not have enough details.
d.
The message is often unclear.
e.
It takes too long to get to the point.
104. Carla is stopped by a researcher at a shopping mall and asked what was last television commercial she
remembers seeing was. This is an example of a(n)
a.
unaided recall test.
b.
pretest.
c.
recognition test.
d.
aided recall test.
e.
memory test.
105. When respondents are shown a list of various products, brands, and company names and then asked
about advertisements they have seen lately, researchers are conducting a(n)
a.
unaided recall test.
b.
pretest.
c.
recognition test.
d.
aided recognition test.
e.
aided recall test.
106. What is the primary justification marketers use for conducting recognition and recall tests?
a.
Researchers find that recalling an advertisement has a strong link to purchasing a product.
b.
People have unfavorable views of advertising and are unlikely to purchase advertised
products.
c.
Consumers tend to enjoy participating in these tests and are likely to purchase the products
as a result.
d.
People are more likely to buy a product they have seen advertised than one they have not
seen advertised.
e.
There is a strong link between advertisement recall/recognition and word-of-mouth
communication.
107. When individuals’ behaviors are tracked from television sets to checkout counters using equipment
provided by the marketer, this is known as
a.
family behavior recording.
b.
single-source data.
c.
individual consumer jury.
d.
advertisement exposure data.
e.
detailed market research.
108. Darcy presents an identification card at the supermarket checkout and has a microcomputer attached to
her TV. Information from both of these is sent to a research facility. Darcy is providing
a.
family behavior recording.
b.
individual consumer jury.
c.
single-source data.
d.
advertisement exposure data.
e.
detailed market research.
109. An advertising campaign is typically developed by an individual or a few persons within the firm, an
advertising department within the organization, or
a.
an advertising agency.
b.
a group of media specialists.
c.
a group of multiskilled managers.
d.
a “special projects” group.
e.
freelance advertising consultants.
110. Grant is responsible for the marketing promotions of a small firm of consultants. It is most likely that
his firm will use ____ to create and implement its advertising campaigns.
a.
an advertising agency
b.
a group of multiskilled managers
c.
an advertising department
d.
a freelance specialist
e.
one or two individuals
111. When an organization uses an advertising agency, who usually develops the advertising campaign?
a.
The agency’s specialists
b.
The firm and the agency working jointly
c.
The agency suggests ideas and the firm chooses among them
d.
The advertising department within an organization
e.
An individual or a few persons within the firm
112. ____ provide businesses with copywriters, artists, production coordinators, media experts, researchers,
and other highly skilled specialists.
a.
Public relation firms
b.
Media companies
c.
Advertising agencies
d.
Production companies
e.
Promotion experts
113. Advertising agencies typically receive
a.
large fees from the companies whose ads they develop and place.
b.
a 15 percent commission from the company whose product they are helping advertise.
c.
a 10 percent commission from the advertising company and 10 percent from the media
they use.
d.
a 25 percent commission paid by the media from which it makes purchases.
e.
a 15 percent commission paid by the media from which it makes purchases.
114. The Bentley Agency places $2,500 in radio spots and $17,500 in television spots for Darnell Insurance
in June. For its efforts this month, the agency “traditionally” would receive ____ in compensation.
a.
$2,500
b.
$10,000
c.
$1,000
d.
$5,500
e.
$3,000
115. ____ is a broad set of communication activities used to create and maintain favorable relations
between the organization and its stakeholders.
a.
Advertising
b.
Selling
c.
A press strategy
d.
Public relations
e.
Publicity
116. Monroe works for NASCAR where his responsibilities include maintaining favorable relationships
between the organization and its stakeholders. Monroe is most likely employed in ________.
a.
sales.
b.
advertising.
c.
human resources.
d.
public relations.
e.
digital media marketing.
117. Which of the following is not a public relations tool?
a.
Feature article
b.
Company magazine
c.
News release
d.
Annual report
e.
Product sample
118. Toyota’s sponsorship of a major Professional Golf Association tournament would be an example of
a(n) ____ tool.
a.
advertising
b.
public relations
c.
sales promotion
d.
publicity
e.
personal selling
119. A major benefit of using event sponsorship is that it
a.
enhances personal selling efforts.
b.
provides excellent support for advertisements.
c.
can provide large amounts of free media coverage.
d.
is cost-free.
e.
neutralizes the effects of unfavorable public relations.
120. Which of the following is the most important consideration when choosing an event to sponsor?
a.
Reasonable association between the event and the company’s product
b.
The length of the event
c.
When the event occurs
d.
Whether or not the event is a national event
e.
The specific name of the event
121. Recently the local television station communicated a news story about the new specialized medical
mart opened by Cleveland Clinic. The story provided information about the various services that the
new medical mart would offer and how to get in touch with the service providers. This story is most
likely an example of
a.
Institutional advertising.
b.
Publicity.
c.
Public relations.
d.
Sales promotion.
e.
Direct marketing.
122. Kohl’s, a department store featuring clothing and housewares, communicates in news story form about
its organization and its efforts to support local children’s hospitals. This information is transmitted
through mass media at no charge and is therefore called
a.
news reporting.
b.
public relations.
c.
mass communications.
d.
free advertising.
e.
publicity.
123. Which of the following is the most commonly used type of publicity-based public relations tool?
a.
News release
b.
Captioned photograph
c.
Feature article
d.
Press conference
e.
Letter to the editor
124. A single page of typewritten copy that has 300 words or less and describes a company event or product
is called a
a.
press story.
b.
feature article.
c.
captioned paragraph.
d.
news release.
e.
publicity bulletin.
125. The public relations department at Lowe’s Home Improvement submits one page of typewritten copy
to national newspapers and news web sites to announce its one-day, nationwide clean-up-local-parks
event. This is an example of a
a.
feature article.
b.
public update.
c.
news release.
d.
media bulletin.
e.
publicity stunt.
126. If a company calls a meeting to announce a major news event, this is known as a
a.
media call.
b.
press conference.
c.
news release.
d.
press release.
e.
public service announcement.
127. To announce its development of a solid fuel titanium rocket for the U.S. missile defense system, Unijet
management feels it needs to get wide media coverage. Under these circumstances, which of the
following would be its best alternative?
a.
Captioned photograph
b.
Feature article
c.
Editorial letters
d.
Television advertisement
e.
Press conference
128. If researchers at Merck Pharmaceuticals develop a cure for prostate cancer, the best way to announce
this to the public and get wide media coverage would be through a
a.
captioned paragraph.
b.
press release.
c.
feature article.
d.
sponsorship.
e.
press conference.
129. Brian is responsible for the promotions and public relations of his firm, which produces rubber tires.
A recent development in technology may change the way in which the rubber for tires is produced,
allowing it to be sourced from the roots of dandelion plants. Brian would like to have a story run on
the evening news or in the local newspaper about this development, but he knows that this story is
likely to be rejected by media personnel because the material is
a.
too long.
b.
written at too high a reading level.
c.
submitted by an organization that the media does not like.
d.
not persuasive enough.
e.
not newsworthy.
130. The limitations in using publicity-based public relations tools stem primarily from the fact that
a.
marketers alter the length of publicity releases.
b.
publicity is never properly managed by media personnel.
c.
media personnel consider only unfavorable messages as newsworthy.
d.
it is time-consuming to convince media personnel that the information is newsworthy.
e.
media personnel control the content of the communication.
131. Which of the following is not an advantage of using publicity-based public relations tools?
a.
Control by media personnel of the content and timing of messages
b.
Credibility
c.
Strong news value
d.
Follow-up word-of-mouth communications
e.
A favorable perception of being endorsed by the media
132. A firm can identify changes in public opinion that affect it by conducting
a.
environmental monitoring.
b.
consumer polling.
c.
a consumer jury.
d.
a communications audit.
e.
press conferences.
133. A content analysis of an organization’s messages, readability studies, and readership surveys are all
tools used to conduct a(n)
a.
consumer survey.
b.
public relations audit.
c.
environmental audit.
d.
communications audit.
e.
social audit.
134. Home Depot is interested in knowing how its efforts to act in a socially responsible manner through its
Habitat for Humanity and disaster relief efforts have affected stakeholders’ views of the company.
Home Depot should conduct a(n)
a.
social audit.
b.
publicity audit.
c.
environmental audit.
d.
communications audit.
e.
environmental impact study.
135. One way for a company to measure the effectiveness of its publicity-based public relations efforts is to
a.
tabulate the equivalent in advertising dollars if the time and space were purchased.
b.
ask for return of reply cards.
c.
calculate market share increase.
d.
count the number of exposures in the media.
e.
conduct an environmental audit of media alternatives.
136. In many instances the most appropriate way for a firm to cope with an event that leads to negative
public relations is to
a.
discourage news coverage of the event.
b.
deny that the event occurred.
c.
facilitate news coverage of the event.
d.
hire a public relations firm.
e.
refrain from publicity that reports the event.
Scenario 18.1
Use the following to answer the questions.
The Toyota Corporation is developing its promotional plan for the coming year and is considering
several types of advertising to communicate its messages. Toyota will likely advertise its new vehicle,
the Venza, on TV, on its website, in major national magazines, and through Facebook. It is possible
that the ads could focus on the features of the Venza and its most likely competitor, the Ford Edge.
Other forms of advertising that can be considered are ads that feature all of the Toyota brands in a
single ad, while mentioning only the Toyota brand and its company’s strengths. Finally, Toyota will
probably continue to advertise updates of its cash cow brands, the Camry and the hybrid versions of its
SUVs.
137. Refer to Scenario 18.1. Toyota’s television advertisements for the new Venza are examples of
_______, while its Facebook ads are examples of ______ advertising.
a.
publicity; product advertising.
b.
institutional advertising; publicity.
c.
product advertising; social media.
d.
comparative advertising; social media.
e.
pioneer advertising; social media.
138. Refer to Scenario 18.1. If the ads include both the Venza and the Ford Edge, they would be examples
of
a.
institutional advertising.
b.
public relations.
c.
product advertising.
d.
comparative advertising.
e.
competitive advertising.
139. Refer to Scenario 18.1. Advertisements such as the one proposed above for the Camry and hybrid
SUVs, are most likely an example of
a.
product advertising.
b.
comparative advertising.
c.
competitive advertising.
d.
institutional advertising.
e.
reminder advertising.
140. Refer to Scenario 18.1. The advertising mentioned above in which Toyota features all brands of the
company would be an example of
a.
competitive advertising.
b.
institutional advertising.
c.
comparative advertising.
d.
pioneer advertising.
e.
product advertising.
Scenario 18.2
Use the following to answer the questions.
The State Farm Group includes several companies. Probably the most well-known company in the
group is the State Farm Insurance company, the largest auto and home insurer in the United States.
State Farm Insurance provides protection for approximately 78 million policies on auto, fire, life, and
health services. It is also a leading insurer of homes and autos in Canada. Another company in the
State Farm group is the State Farm Bank, which was opened in 2000, beginning State Farm’s entry into
the financial services field. However, the State Farm Bank is not a traditional bank, in that it has no
branch offices and its services are provided through State Farm agents, a call center, the mail, and on
the Internet. It currently serves over 1.9 million bank accounts.
141. Refer to Scenario 18.2. In 2008, Cal Ripken, Jr. and State Farm teamed up to promote State Farm’s
national teen driver safety program. The marketing division at State Farm produced a one-page
document that described the partnership, which was then published in several national newspapers and
on the Internet. The document from State Farm is an example of ____, while the publication in the
newspapers is an example of ____.
a.
public relations; publicity
b.
public relations; a news release
c.
publicity; advocacy advertising
d.
a news release; publicity
e.
publicity; a news release
142. Refer to Scenario 18.2. When deciding on its advertising allocation for the coming year, State Farm
Insurance could choose to spend the same amount as Safe Auto, another auto insurance company, or it
could allocate an amount that is 10% of last year’s premiums. If State Farm uses the same amount as
Safe Auto, this method of advertising appropriation is known as the ____ approach; if State Farm uses
the amount based on last year’s premiums, the method would be _____.
a.
competition-matching; percent-of-sales.
b.
arbitrary; competition-matching.
c.
competition-matching; objective-and-task
d.
arbitrary; objective-and-task
e.
objective-and-task; percent-of-sales
143. Refer to Scenario 18.2. If State Farm were to decide that its previous method of appropriating the
advertising budget was ineffective, it could decide to allocate 2 percent of its total annual sales to
advertising. However, one problem with this method is that
a.
it makes the bookkeeping too difficult.
b.
it is tied too closely to sales forecasts.
c.
a sales decline leads to an increase in the advertising appropriation.
d.
a drop in sales would cause a drop in the advertising budget.
e.
competitors may have different advertising objectives.
144. Refer to Scenario 18.2. If State Farm Bank decided that it wanted to increase its number of bank
customers by 10% in the coming year, it would most likely use the ____ approach to advertising
allocation.
a.
arbitrary
b.
competition-matching
c.
objective-and-task
d.
percent-of-sales
e.
percent-of-customer
TRUE/FALSE
145. Advertising is paid nonpersonal communication transmitted through mass media.
146. Business organizations are the only major users of advertising.
147. Institutional advertising and promotional advertising are the two basic categories of advertising.
148. Advertisements that promote goods and services are called advocacy advertisements.
149. Product advertising is often used to stimulate demand directly.
150. If a commercial advertisement compares one brand of laundry detergent to another brand, this is a type
of competitive advertising.
151. Pioneer advertising involves describing the features and benefits of a product in contrast to a direct
competitor.
152. If a restaurant, known for its delicious food and fun entertainment, does not serve alcohol, it is
displaying advocacy advertising.
153. In a comparative advertisement, advertisers point out that their brand has characteristics that are
superior to those of competing brands, but they do not actually mention the brand names of
competitors.
154. Comparative advertisements mention the actual names of competing brands.
155. Reinforcement advertising tells current users how to get the most satisfaction from the brand they have
chosen.
156. Reminder advertising is not applicable to new products.
157. Almost all advertising campaigns are aimed at producing immediate sales.
158. Advertising objectives should be stated in clear, precise, and measurable terms.
159. The statement of advertising objectives should include a benchmark⎯such as the current sales
level⎯and indicate how much improvement is sought.
160. A marketer’s advertising platform should consist of issues that are important to consumers.
161. The advertising platform consists of the basic issues and selling points that an advertiser wishes to
include in the campaign.
162. The advertising platform is the foundation on which campaign messages are built.
163. Most often, the opinions of a firm’s personnel are used to develop the advertising platform.
164. The advertising budgets for industrial products are usually large relative to the sales of the products.
165. When sales go up, advertising should be increased; when sales decline, advertising should be
decreased.
166. To assume that sales create advertising is incorrect.
167. The arbitrary approach to setting an advertising budget often results in inappropriate spending of the
firm’s resources.
168. The choice of media influences the content and form of the message.
169. A cost comparison indicator (such as CPM) should not be used to compare the cost and impact of a
television commercial with the cost and impact of a newspaper advertisement.
170. The signature is not part of the verbal portion of an advertisement.
171. Radio copy should consist of short, familiar terms.
172. A layout includes only the illustrations used in an advertisement.
173. To be unbiased, a member of a consumer jury should not be a present user of the advertised product.
174. The effectiveness of an advertising campaign can be measured only after the completion of the
campaign, when results are tabulated.
175. The type of posttest an advertiser uses is affected by the type of advertising objectives set by the
advertiser.
176. In recall posttesting, respondents are shown the actual advertisement and are asked whether they
recognize it.
177. Small firms generally depend on local newspapers and radio stations for assistance with advertising
efforts.
178. Advertising departments may use independent research organizations or freelance specialists for some
of their projects.
179. Ad agencies work jointly with their client firms to develop the ad campaigns.
180. Because ad agency personnel are outsiders to their client firms, they may not judge the firm’s product
objectively.
181. Ad agencies and firms usually work together when creating an ad campaign because the agencies
would act too subjectively on their own.
182. Because ad agencies often get commissions on media purchases, firms can obtain some agency
services at moderate prices.
183. Jobs such as specialists, copywriters, artists, media buyers, and technical production coordinators are
included in the public relations department of a large organization.
184. One way an advertising agency assists a firm is that it takes care of all the grunt work in order to give
its clients time to do the creative work on the campaign.
185. Advertising agencies often have more highly skilled people than the advertising departments of firms.
186. Small and medium-sized firms never use advertising agencies to produce campaigns for them.
187. Public relations, unlike advertising, is not particularly useful for promoting an organization’s image.
188. If a company is perceived positively by the public, employee morale is often higher.
189. Public relations is communication in news story form about an organization, its products, or both that
is transmitted through a mass medium at no charge.
190. Event sponsorship can provide companies with a considerable amount of advertising.
191. Publicity is a subset or part of public relations.
192. To announce a major news event, an organization should use a news release.
193. A feature article is longer than a news release and is written for a particular publication.
194. Lack of control over the content and timing of public relations is a limitation in using publicity-based
public relations tools.
195. A public relations audit is used to assess an organization’s image among its publics or to evaluate the
effect of a specific public relations program.
196. The effectiveness of a public relations program is usually measured in terms of sales.
197. A major way to reduce unfavorable public relations is to reduce the number of negative events.
198. An effective approach for dealing with potential unfavorable public relations resulting from a negative
event is to discourage news coverage.