Marketing Chapter 8 The public relations tool that provides a forum for the organization to share with its stakeholders

98. The public relations tool that provides a forum for the organization to share with its stakeholders what it has achieved over

the past year is the _____ _____.

99. The major advantage of _______ is that, when done well, it allows marketers to communicate with consumers at an

extremely low cost.

100. In the early 1980s, seven people died after taking cyanide-laced Tylenol capsules. The makers of Tylenol quickly

responded by pulling the product from the shelves, working with law enforcement to find the killer and offering a $100,000

reward. This is an example of _______ management.

101. Jeremy wants to measure whether a print ad has caught the attention of the target market, so he performs a ______ test by

showing consumers a copy of the ad and asking if they recognize it.

102. In a(n) _____ test, consumers recall ads from memory.

103. The percentage of the target market that has been exposed to a promotional message at least once during a specific time

period is referred to as _______.

104. _______ measures how often the audience is exposed to a promotional message during a specific time period.

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Blooms: Remember

Difficulty: 1 Easy

Learning Objective: 08-06 Describe the metrics that measure the effectiveness of an organization’s promotional strategy.

Topic: Marketing Metrics

105. A marketer that compares total revenue to the amount of money spent on _____ is calculating revenue per ad dollar.

106. A major disadvantage of the _______ approach to budgeting is that firms who allocate a random dollar amount to the

promotion mix guarantee virtually nothing except that the money will be spent.

107. The _______ approach is typically considered the best of the budgeting methods because it incorporates many of the

strengths of the other budgeting methods without falling prey to their weaknesses.

108. The promotion mix is all the activities that communicate the value of a product and persuade customers to buy it.

109. A firm that coordinates the use of advertising, sales promotion, personal selling, and public relations to deliver a clear and

consistent message about its products is engaged in integrated marketing communications.

110. Advertising is a nonpaid form of personal communication about goods, services, or ideas.

111. Reminder advertising is most common in the maturity and decline stages of the product life cycle.

112. Placing an advertisement on only the three major television networks (ABC, CBS, and NBC) is called narrowcasting.

113. When professional sports players are allowed to wear an advertisement on their jerseys, this is an example of product

placement.

114. A local pizza parlor sends coupons in the mail to homeowners that have ordered from them in the past. This is a form of

direct marketing.

115. An advantage of Internet advertising is the use of banner ads on websites which allow consumers to click on the banner

and immediately be able to view the advertisement.

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Topic: Advertising Media

116. Magazines allow firms to segment based on a variety of demographic, geographic, and behavior variables to reach their

target audience.

117. Radio advertising is usually the most expensive medium available to a company.

118. The advent of satellite radio has proven to be an advantage for radio advertising.

119. Two advantages of outdoor advertising are its flexibility and reduced costs.

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Topic: Advertising Media

120. An advantage of outdoor advertising is in its ability to reach a wide, targeted audience.

121. Sales promotion activities account for the bulk of most firms’ promotional budgets.

122. Rebates work most effectively when offered in conjunction with a high-involvement purchase in which the perceived value

of the rebate is magnified.

123. Pepsi and Family Dollar, sponsors of the National Football League, have teamed up to offer one lucky winner the chance to

win a trip to attend the Super Bowl. No purchase is necessary and contestants can enter either by mail or on the website. This is

an example of a contest.

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Accessibility: Keyboard Navigation

Blooms: Apply

Difficulty: 3 Hard

Learning Objective: 08-03 Summarize the various types of sales promotion.

Topic: Sales Promotions

124. A premium is a promotional item that is given as an incentive for performing a particular act, typically buying a product.

125. A trade promotion that typically involve paying retailers for financial losses associated with consumer sales promotions or

reimbursing a retailer for an in-store or local expense to promote a specific product are known as allowances.

126. Relationship selling is increasingly important since very few firms can survive on the profits generated from one-time

transactional sales.

127. Annual reports, speeches, blogs and brochures are all forms of public relations.

128. Frequency is the percentage of the target market that has been exposed to a promotional message at least once during a

specific time period.

129. Revenue per ad dollar is calculated by comparing total revenue to the amount of money spent on advertising.

130. Companies employing qualitative research tools may use focus groups and consumer interviews to generate in–depth

responses from consumers regarding their likes and dislikes of a promotional program.

131. Wildfire’s Social Media Monitor measures a person’s influence on social media by calculating that person’s ability to drive

action on social networks.

132. A major disadvantage of the percentage-of-sales method to budgeting is that firms who allocate a random dollar amount to

the promotion mix guarantee virtually nothing except that the money will be spent.

133. What are the four elements of the promotion mix?

134. What are some of the tools used in sales promotion?

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Topic: Sales Promotions

135. What are the advantages of personal selling?

136. You are developing your annual promotion plan and are trying to budget how much money you need to meet your goals of

capturing new customers and selling more to your present customer base. What strategies could you use in the development of

your promotion budget?

137. How does a McDonald’s television ad for a Big Mac meet the three primary objectives of an advertising campaign to inform,

persuade and remind?

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Chapter 08 Test Bank Summary