Which of the following is true of Point-of-Purchase displays?
a. They are noticed only by a few consumers.
b. Many retailers ignore them or throw them out.
c. They rarely get shipped to stores.
d. They are poorly constructed and often unusable.
Scenario3-2
When referring to the period of advertising known as the creative revolution,
advertising pundit and practitioner Jerry Della Femina wrote, “Volkswagen was being
handled in the United States by Fuller & Smith & Ross. Doyle Dane took over the
account around 1959. One of the first ads that came out for Volkswagen was the first ad
that anyone can remember when the new agency style came through with an entirely
different look. The ad simply said, “Lemon.” The copy for “Lemon” said that once in a
while we turn out a car that’s a lemon, in which case we get rid of it. We don”t sell
them. And we are careful as hell with our cars, we test them before we sell them, so
the chances are you”ll never get one of our lemons.
“For the first time in history an advertiser said that he was capable, on rare occasions, of
turning out an inferior product . . . By today’s standards, of course, this is pretty tame
stuff.” (Jerry Della Femina, Those Wonderful Folks Who Gave You Pearl Harbor, [New
York: Simon and Schuster, 1970], 26-27.)
One notable characteristic of the creative revolution was that:
a. it immediately started responding to the massive social revolution.
b. advertising played a role in discouraging consumption.
c. art directors and copywriters began to have more say over how agencies were run.
d. advertising as an institution was unaware of its own role in consumer culture.
Scenario 17-2
AmericanProfile is an e-technology company. It allows companies to search and
navigate gigabytes of data, categorize disparate content, and gain secure access to
information regardless of where it residesall from its Web browser. Thus,
AmericanProfile can share content across connected servers with partners, suppliers,
customers, and employees to form an e-business content network. And it all happens in
real time.
The whole idea behind promoting AmericanProfile is to show companies that gathering
information about visitors’ households and lifestyles through its website is a crucial step
in building a:
a. selection of testimonials.
b. creative selling strategy.
c. marketing database.
d. core team of functional specialists.
Although, it may possess other positive aspects, a headline does no good unless it:
a. makes a strong emotional appeal.
b. conveys information not included in the body copy.
c. restates the ideas found in the visuals.
d. motivates readers to move on to the rest of the ad.
The advertising aimed at government officials and employees is dominated by:
a. local and regional television commercials.
b. point-of-purchase advertising and influencer marketing.
c. direct mails, catalogs, personal selling, and Web ads.
d. event sponsorships.
Which of the following is fundamental to achieve a high exposure rate, and to drive
interaction and engagement for advertisements through social media?
a. Having a large network and a scalable fan base for the brand page
b. Placing ads on websites that attract visitors from different market segments
c. Promoting sponsored stories on social networking sites
d. Setting up pay-per-click ads on social networking websites
Scenario 16-2
HollywoodBranding is a new promotions company formed by three former ad
executives who had illustrious careers in large multi-service advertising agencies. Over
their years, they developed close ties with a number of Hollywood movers and shakers.
Consequently, they feel poised to respond to the business world’s growing desire for
branded entertainment. But they are aware that they need to continually fight their old
school thoughts about branding forged in years of working solely with traditional
media.
HollywoodBranding promotes itself to prospective clients by saying that it is located at
Madison & Vine, and offers innovative brandertainment. This means that it will:
a. act as a full-service advertising agency.
b. invent humorous or imaginative brand logos and slogans.
c. place ads in appropriate media and track subsequent media impressions.
d. connect companies with consumers through entertainment venues.
A national merchandising company is a major distributor of grocery and beauty
products, and uses many tactics to get samples into the hands of consumers. The most
popular type of sampling for food and cosmetics products is ____ sampling.
a. on-package
b. door-to-door
c. mail
d. in-store
Integrated brand promotion (IBP) tools include various types of advertising, but does
not include traditional advertising forms.
a. True
b. False
Symbolic value differs from social meaning in that social meaning refers to what a
product or services means to an organization in a non-literal way.
a. True
b. False
Consumer groups have been just as successful as the FTC in restricting children’s
advertising.
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.
Which of the following is one critical item of information that Optima’s brand manager
should expect to see on the final creative brief to diminish conflicts in the future?
a. The creative team should avoid animation and cartoon graphics
b. The ad should be likeable without pushing for a particular belief about the brand
c. The music for the campaign should be oldies rock
d. The goal should be reaching the wives of retirees who play golf
Electronic data services provide standardized data, reports, and analyses that are
comparable across media categories.
a. True
b. False
Scenario 18-2
A young man decides to become a mass producer of T-shirts. His small factory located
in Oregon begins promoting itself by hiring excellent seamstresses, offering a pleasant
working environment, decent salaries, and giving the public an opportunity to buy
clothes that are truly “made in America.” The company eventually adds other clothing
items, opens three brick-and-mortar retail stores in several large cities, and expands to
online shopping. Over the years, the firm grows and prospers due to its reputation as an
American manufacturer, a fair employer, and an opponent of the traditional view of
‘sweatshops.” However, along the way, it deals with a few public relations
issues too.
The conflict passes, things settle down, and he goes on to build his businessknowing
that a rash of bad publicity could have done him wrong even before he got started.
Now, he knows that he is part of an industry with many questionable players. He is also
aware that the chance of being associated with sweatshops, illegal hiring, or other
unsavory aspects of business is high. Therefore, he prepares a____ in order to be in
a better position to issue public statements based on current and accurate data.
a. reactive strategy
b. press conference
c. publicity stunt
d. public relations audit
Scenario 10-4
In the “Chicago Shopping” section of the ChicagoTribunewebsite, the following ads
were listed:
1) An ad for the last day to save 10 percent on all purchases at Target.com. Readers are
urged to act quickly because the deadline for the deal, which is boldly listed in red ink,
is today. The ad also features a picture of a 40″ LCD television showing the company’s
name and “bullseye” logo on the screen.
2) An ad for a pair of basketball shoes accompanied by a positive endorsement from a
satisfied customer. The customer stated, “I have never had a shoe like this one. I jump
higher and run faster, and I am able to play longer than I ever have in the past.” The ad
offers a $15 coupon for use at participating FootLocker stores.
3) An ad encouraging consumers to shop at Adidas because of its low sale prices. The
ad reads, “Adidas brand apparel will increase your athletic performance. Give yourself
the competitive advantage you’ve always wanted and shop our selection of running,
soccer, basketball and golf apparel.”
4) An ad listing a limited time offer for a pair of expensive jeans. The ad shows a
fictional character being laughed at by an attractive female because of his old, raggedy
jeans. The man being laughed at appears incredibly embarrassed. Marketers want
consumers to feel more accepted in society when they wear this particular pair of jeans.
(ChicagoTribune.com, October 26, 2010)
In ad #3, marketers list a number of product benefits intended to persuade consumers to
buy Adidas products. This is an example of:
a. reason-why advertising.
b. social anxiety advertising.
c. transformational advertising.
d. top-of-mind advertising.
A slogan is a short identifying phrase written for multiple forms of media. It is repeated
in print and broadcast ads, through salespeople and promotional events, and on
company websites.
a. True
b. False
Scenario 6-4
Jay and Carrie Garrett operate a small retail store in a college town that sells only house
plants and accessories, which they named The Plantatarium. Their initial feeling when
they went into business was that virtually everyone was a potential customer for house
plants. Subsequent market research conducted for them painted a different picture. This
research identified three particularly strong market segments. The first was college
students ages 18-24. The next segment was retired seniors ages 65-80. The third
segment was professional offices for doctors, accountants, and lawyers. The college
students liked houseplants because they dressed up their living spaces. The seniors liked
them because they became the focus of a hobby. The professionals did not buy them for
any reason other than décor.
To attract the ____ in the market, the Plantatarium offers a punch card that rewards
buyers with a $10 discount each time they purchase $150 worth of plants and other
goods from the store.
a. emergent consumers
b. demographic segment
c. variety seekers
d. heavy users
In the context of photo-sharing websites, which of the following is more likely to attract
the attention of a viewer?
a. A photo that looks natural and authentic
b. A photo that has been digitally enhanced
c. A photo that was captured using professional equipment
d. A photo that was captured by a professional photographer
Scenario 8-4
American Express is dissatisfied with the degree of penetration of its Gold Rewards
Plus card in the U.S. market. Marketing managers at American Express feel that the
firm needs to increase advertising to small entrepreneurial businesses to encourage
more acceptance of the card for use in purchasing office supplies and durable goods like
computers and office furniture. American Express feels that to accomplish the goal of
increased penetration in this sector, the budget should be based on communications
objectives aimed at certain target markets.
Within various sections of the ___ portion of its advertising plan, American Express
explains how and why Visa has been more successful at penetrating the small business
market because of lower fees.
a. evaluation
b. execution
c. strategy
d. situation analysis
The development of a marketing database commonly leads to interdepartmental
rivalries and can create major conflicts between a company and its advertising agency.
a. True
b. False
A latenight television commercial for kitchen appliances urges viewers to respond to the
ad. It states, “Call this tollfree number in the next 30 minutes to receive a free cutting
board” and assures them that “Operators are on duty.” This is an example of direct
response advertising.
a. True
b. False
Scenario 7-3
After filing for bankruptcy in 2009 and requiring nearly $58 billion in governmental
funding simply to stay afloat, General Motors realized it had to undergo major changes
in order to compete with more successful automakers. The company began designing
questionnaires and focus groups in order to gain a better understanding of what its cars
had been lacking, and perhaps probe for specific improvements consumers may have
been looking for. The company recorded its research findings and began to apply them
to its product line. A little over a year later, Consumer Reports stated that 83 percent of
Chevrolets, GM’s top brand, had an average or better score in terms of predicted
reliability, an increase from 50 percent the year before. Apparently, the company’s
efforts have helped turn the company in the right direction.
(“Consumer Reports: GM Reliability Makes Great Strides.” MSNBC.com, October 26,
2010.)
In its research, GM hoped to find why consumers liked certain features in their cars and
disliked others. GM inquired about consumer wants and needs, and then looked to
apply its findings to product development. This process is called:
a. developmental advertising.
b. design thinking.
c. concept testing.
d. audience profiling.
Which of the following are properties of emotions that make them potentially more
important than thoughts in assessing ad reactions?
a. They are good predictors of thoughts.
b. They are hard to understand but indicative of eventual purchase behavior.
c. They are easy to define and describe.
d. They are clear indicators of subliminal reactions.
One drawback of reason-why ads is that they have a potential for counter-arguments,
which may ultimately convince the customer why notto buy the advertised brand.
a. True
b. False
Scenario1-5
Exodus Moving is a small business that was created to serve local furniture stores’
delivery needs in the Boulder Colorado area. They have specialized equipment that
allows them to lift and transfer large, bulky pieces of furniture with less risk of damage
than most traditional movers. Many of these furniture stores do not sell enough volume
to keep their own trucks and drivers busy all of the time, so Exodus fills a real market
need. As a result, most such stores are very interested in outsourcing delivery service
needs. Exodus has attracted many customers from these stores by guaranteeing 48 hour
delivery within a 50 mile radius of any of the stores they serve. Eventually, Exodus
hopes to attract the business of other retailers who might require delivery services.
Exodus has launched a new camping equipment line which it has promoted on local
television networks and magazines. This is an example of:
a. corporate advertising.
b. a primary demand stimulation.
c. direct response advertising.
d. a selective demand stimulation.
Consumers’ perceptions can be based on tangible differences or on image and style
factors.
a. True
b. False
Scenario 14-3
With social media websites such as Facebook and Twitter garnering so much attention
from consumers and businesses alike, it is hard to believe that only 20 percent of small
businesses are utilizing the sites to help promote their products and services. But this
figure is precisely what was reported in a 2009 study conducted by MerchantCircle, a
social network for small businesses. When the survey results were released in 2010,
experts were not surprised to see the percentage of social media users increase to nearly
50 percent. According to Darren Waddell, vice president of marketing at
MerchantCircle, companies are turning to social media for advertising because it is
relevant and an inexpensive way to reach target consumers. Rather than pouring large
sums of money into traditional marketing, business owners are finding more creative
ways to promote their brand. One of the more common practices for small business
owners utilizing social media is including URLs on business cardsof all sites, Facebook
(no surprise) was the most common site to make it onto business cards.
(Jon Swartz, “More Small Businesses Use Facebook, Twitter to Promote.” USA Today,
July 21, 2010.)
The owner of a new athletic-training facility decided to pay to have its ads appear on
athletics and training-related search results on Google. This kind of advertising is
known as _____ .
a. sponsorship
b. paid search
c. search engine optimization
d. corporate home page
CPM (cost per million) is a measure of the dollar cost of reaching a million audience
members with a particular medium.
a. True
b. False
Psychologist Robert Sternberg, an expert on creativity and intelligence, advises that if
you want to be more creative, you should:
a. do something you love.
b. learn from the pros.
c. expect to be disliked.
d. head up a team.
Which of the following should be adopted when conducting brainstorming?
a. Generating new ideas rather than building on each others’ ideas
b. Encouraging individuals to learn about the problem before and after the group
session
c. Focussing on generating ideas rather than putting them to use
d. Forming an appropriate team with no conflicts in cognitive styles
Retailers that sell in national or global markets are the most visible reseller advertisers
and promotion users.
a. True
b. False
A ____ specifies which media will be utilized for advertising messages so that the
desired target audience can be reached.
a. media class
b. media plan
c. media vehicle
d. media mix
Scenario2-2
Brush Strokes is an art supply store located in a town with a population of about
100,000 people. The town is also home to a major State University. Brush Strokes gets
a majority of its business from the student population. It uses the services of a local
full-service advertising agency to promote themselves. A large part of its marketing
budget has been used in running small advertisements in the local and school
newspapers at the beginning of each term. The advertising agency is now
recommending that Brush Strokes devote a majority of its budget to running television
spots during broadcasts of the University’s football and basketball games. While the
owners of Brush Strokes agree that they could be doing a better job of reaching a larger
portion of the student population, they have not come to any conclusions about the best
way to accomplish this.
Which one of the following would Brush Strokes’s fullservice agency be least qualified
to handle?
a. Researching about the buying trends of the company’s customers
b. Creating a 30-second television commercial
c. Forecasting dividend earnings of stockholders
d. Generating awareness about the brand