Chapter 9: Advertising
Chapter 9: Advertising
Multiple Choice Single Select
1) Bob Greenberg, who might be called an advertising guru, operates on a philosophy that
a) ads are best used sandwiched into entertainment products.
b) ads should be entertainment themselves.
c) traditional advertising will rise again.
d) new ad strategies are fads that will fade quickly.
2) When ad guru Bob Greenberg talks about advertising on the “third screen,” he’s referring to
a) cell phones.
b) computer monitors.
c) laptops, iPads, and other tablets.
d) televisions.
3) Advertising contributes to prosperity by
a) discouraging consumption.
b) discouraging product innovation.
c) encouraging wasteful purchases.
d) inspiring people to greater productivity.
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4) Advertising as a modern phenomenon first took off in
a) Sweden.
b) France.
c) Japan.
d) the United States.
5) What was the first form of printed advertisement?
a) books
b) flyers
c) newspapers
d) magazines
6) __________ was a British printer who is credited with printing the first advertisement to
promote one of his books.
a) William Caxton
b) John Campbell
c) Benjamin Day
d) Wayland Ayer
7) Benjamin Day’s newspaper, the __________, was the first penny newspaper that brought
advertising to a new level within its pages.
a) Washington Post
b) Chicago Tribune
c) Boston Globe
d) New York Sun
8) National advertising took root in the United States with
a) John Campbell’s newsletter ads in the 18th century.
b) political pamphlets in the 1770s.
c) the railroads’ simplification of mass distribution in the 1840s.
d) the yellow journalism of the late 1800s.
9) The first advertising agency was founded by
a) Wayland Ayer.
b) Benjamin Day.
c) William Caxton.
d) John Campbell.
10) Which of these services was among those provided by the firm of N.W. Ayer & Son?
a) product research
b) psycho-demographics research
c) expertise on placing advertisements in advantageous media
d) in-house newsletters for companies
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11) Most ad agencies offer advertisers all of the following services EXCEPT
a) counsel on selling their products and services.
b) design services to create the actual ads.
c) expertise in placing the ads in the most advantageous media.
d) recommending product improvements and updates.
12) Using traditional models, an ad agency’s commission was derived by totaling the
advertiser’s outlay for time and space and paying the agency _______ of the total.
a) 6.5%
b) 13%
c) 15%
d) 30%
13) Advertising agency compensation has shifted from commission contracts to
a) equitable contracts.
b) equity contracts.
c) variable annuities.
d) performance contracts.
14) In advertising, the performance contract system of payment entails
a) billing clients a certain percentage above the media charge for time and space.
b) billing for expenses and modest profit with extra compensation for successful campaigns.
c) a fee arrangement where agencies bill clients for expenses as they are incurred.
d) cash up front but with a guaranteed refund if goals aren’t met.
15) When an advertising agency takes its compensation as an ownership share in a client’s
company, the deal is called a(n) _________ contract.
a) equity
b) commission
c) performance
d) common-law
16) Which is the chanciest type of contract for an advertising agency?
a) commission contracts
b) equitable contracts
c) equity contracts
d) variable performance
17) The systematic outline of where ads will be placed to reach the right target audiences is
called the
a) advertisement.
b) reproduction.
c) media plan.
d) placement key.
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18) Most media plans begin with an examination of
a) potential product placements.
b) the exact audience or circulation of the prospective media.
c) the creative concept of the ad.
d) the cost per thousand (CPM) of possible media.
19) Media buyers verify circulation claims of printed mass media with
a) Nielsen Online Campaign Ratings.
b) Arbitron surveys.
c) the Audit Bureau of Circulations.
d) BookScan.
20) Studies show that readers of newspapers
a) pay little attention to advertisements.
b) are predisposed to seriously consider advertisements because reading requires focus.
c) rarely recall advertisements because the news consumes attention.
d) have short attention spans.
21) What is a disadvantage of newspaper advertising?
a) An advertiser can usually reserve space for ads as late as 48 hours ahead
b) Newspaper readers are predisposed to consider information seriously
c) The particular level of income and education of most newspaper readers
d) The declining readership among young adults
22) What is a disadvantage of magazines for advertising?
a) Ads must be placed up to three months in advance.
b) Magazines have a long shelf life.
c) Magazines have a high pass-along circulation.
d) There are narrowly defined audiences.
23) Among the advantages that magazines offer over newspapers are better printing, a longer
shelf life, and
a) higher subscriptions.
b) a less demassified audience.
c) more flexibility in reservation and printing time.
d) high pass-along circulation.
24) Which of these traits can be both an advantage and a disadvantage of radio for advertising?
a) Radio offers no opportunity for visual displays
b) Radio time can be bought on short notice.
c) Radio ad time is comparatively inexpensive.
d) Radio is a mobile medium.
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25) Radio stations with narrow formats offer advertisers
a) lower prices than those with broad and diversified formats.
b) fewer competing advertisers and therefore more visibility.
c) better listener receptiveness.
d) easily identified target audiences.
26) Which is a major advantage of television advertising?
a) production costs
b) placing advertisements
c) targeting potential customers
d) impact through a moving and visual medium
27) Which of the following is NOT an advantage of Internet advertising?
a) People can print the ads.
b) There is less waste from reaching disinterested consumers than in other media.
c) Advertisers can easily reach niche audiences.
d) Advertisers have less competition.
28) A consumer follows the hyperlinks in an email to arrive at an advertisement, and Google
thus collects money from the advertiser. This situation is an example of a ____________ fee.
a) link sponsorship
b) hit
c) click-through
d) traffic
29) Which of the following is a successful brand name?
a) Flashlight
b) Croissant
c) Latte
d) Kleenex
30) Who championed the concept of brand imaging when he said, “give your product a first–
class ticket through life?”
a) Sam Walton
b) David Ogilvy
c) Jack Trout
d) Donald Trump
31) Brand-name advertising is losing ground to
a) viral advertising.
b) store brands.
c) agency-produced advertising.
d) redundancy techniques.
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32) A shampoo company links Jennifer Aniston’s name to its latest product. This situation is an
example of
a) bunching.
b) positioning.
c) branding.
d) glitzing.
33) Which of the following advertising techniques is a lowest common denominator approach?
a) unique selling proposition
b) positioning
c) stealth
d) infomercial
34) Who championed positioning?
a) David Ogilvy
b) Wayland Ayer
c) Jack Trout
d) Jim Vicary
35) Targeting ads for specific consumer groups is called
a) positioning.
b) lowest common denominator.
c) unique selling proposition.
d) viral advertising.
36) Which of the following is NOT a redundancy technique in advertising?
a) barrages
b) bunching
c) positioning
d) multimedia trailing
37) Bunching is
a) running multiple condensed versions of an ad after the original has been introduced.
b) using less-expensive media to promote a campaign that’s already run.
c) scheduling ads in intensive bursts.
d) promoting a product during a specific, limited period.
38) Running a condensed version of an ad after the original has been introduced is a practice
called
a) trailing.
b) barraging.
c) bunching.
d) waving.
39) Clutter in advertising is defined as
a) too many visual elements competing for attention within an ad.
b) an unhealthy mix of competing advertisers pitching the same product.
c) too many ads running one after another in a television commercial break.
d) too many agencies competing for the same advertising business.
40) Television commercials have been shortened from 60 seconds in the early days of television
to _________ seconds.
a) 45
b) 30
c) 15
d) 10
41) Several shorter ads competing against one another during the same commercial break on
television is known as
a) subliminal messaging.
b) ad clutter.
c) subception.
d) saturation advertising.
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42) Word-of-mouth testimonials, friends talking to friends, is known as
a) traditional advertising.
b) media advertising.
c) brand watch.
d) buzz advertising.
43) What is viral advertising?
a) pastel messages from the Viral & Hjelmberg shop in the 1920s
b) advertising produced by Magnus Viral in the 1990s
c) short action stories on the web that friends pass on to friends
d) advertisements about cold cures and healthcare products
44) Which of the following is an example of stealth advertising?
a) “R-O-L-A-I-D-S spells relief”
b) the Marlboro Man
c) positioning Johnson & Johnson’s baby shampoo as an adult product by using athletes
d) FedEx Field, a sports stadium outside of Washington, D.C.
45) The practice of product placement first began and became popular in
a) motion pictures, especially in the 1980s.
b) radio during the early years of rock ‘n’ roll.
c) television when advertisers sponsored entire programs.
d) women’s magazines with small packets of perfume.
46) Dave Balter specializes in what type of marketing?
a) television commercials
b) word-of-mouth
c) sales promotion
d) radio commercials
47) The term applied to extensive use of word-of-mouth advertising is
a) blitzing.
b) buzz marketing.
c) gossip riding.
d) stealth selling.
48) What is a program-length commercial disguised as a newscast or entertainment called?
a) product placement
b) branding effort
c) infomercial
d) stealth ad
49) Paulette picks up a magazine from her mailbox, intrigued by the title. She opens it up and
finds articles and ads promoting a local health center. This magazine is known as a
a) viral mag.
b) ’zine.
c) product placement.
d) blog.