(Scenario 14-2) You open up your laptop to begin writing a term paper for your English
literature class. You do a quick Google search on a few key phrases involving
Shakespeare, Dickens, and Hemingway. But before you go further, you play a few
video games, check your email, visit a couple music websites, take a cybertour of a new
sports stadium, go to a coupon site, solve a murder mystery, go back to Google to check
out a big name in the news, submit a slogan for a new local restaurant, and read a
couple editorials on a magazine site. Then, you figure it’s time to get down to work.
When you clicked off the coupon site, an ad remained on the screen, with bright colors,
large lettering, and a $2 coupon for a frozen pizza. What kind of ad appeared?
a. direct email
b. pop-under
c. pop-up
d. splash screen
Radio offers potential advertisers the ____ of all media.
a. simplest buying system
b. most well-defined audience segments
c. widest exposure
d. strongest audience attentiveness
Following the announcement that the world’s largest e-tailer, Amazon.com, made a
profit for the first time since it started business in the early 1990s, the company saw
more than 90 percent of its market value disappear as part of the dot-com collapse. It is
questionable whether or not Amazon figured out a profitable business model after
changing its tune several times over those early years. Then it began circling back
somewhat to an earlier focus on becoming the Walmart of the Internet. It said it wanted
to sell huge volumes of merchandise cheaply, and in the process eke out enough of a
profit to satisfy Wall Street.Although investors had to wait some time for the e-tailer to
work out the kinks, and it’s uncertain how much longer they’ll remain patient, Amazon’s
mainstay retail business may see further improvements as it grows. As we all have now
witnessed, unlike brick-and-mortar retailers who must build new stores, stock them, and
hire people to staff them, Amazon has been able to open new stores with minimal
additional cost. Some years ago, it reported turning over its inventory 17 times a
year-close to double that of traditional retailers at the time. And on average, it reported
having gotten paid 32 days before it must pay its suppliers-in essence, providing
millions of dollars in cash flow.Information updated for 2011, based on the following
initial articles:
(David Shook, “Can Amazon Turn Baby Steps Into Strides?,” Businessweek Online,
February 13, 2002.)
(Rob Hof, “Why Amazon Could Keep Flowing,” Businessweek Online, January 5,
2005.)In the early days of Internet shopping, people were skeptical about the idea of
buying things over the computer, largely due to their worries about privacy issues
combined with their habitual patterns of purchasing at retail outlets. Some concerns
remain today. But many years after the shake-out of companies in the dot-com world,
players that survived have come back stronger. And new players have come onto the
scene. The demand is there, and this has instilled a feeling of trust in millions of
customers who make purchases online. The concept of customers having enhanced trust
in e-tailing would most likely be contained in the ____ section of the advertising plan.
a. historical context
b. market analysis
c. industry analysis
d. competitor analysis
A key advantage of using print recognition to test an ad is that it
a. demonstrates whether or not a consumer will buy the brand being advertised.
b. allows for comparison with the performance of other ads from past years.
c. tells whether consumers will remember the brand when they are in the store.
d. reassures the client that the ad agency knows what it is doing.
Scenario 1-4
At Target, a global discount retailer, sales are around $65 billion a year and rising. In
addition, the company employs more than 360,000 people worldwide. Target stores
carry just about every major brand imaginable. In addition, Target carries a number of
its own brands including Market Pantry, Archer Farms, and Up and Up. Each of the
brand labels appears on different products throughout the store-for example, The Archer
Farms label appears on the retailer’s highest quality foods. The Market Pantry label
appears on food items as well, however these items are often sold at a significantly
lower price. The Up and Up label is on a large range of products ranging from paper
products to household cleaning supplies.
In one city, Walmart, a competing retail outlet, opens a store across the street from
Target and a battle for business ensues. To distinguish their stores from one another,
both retailers create a series of new commercials to help promote their brand. Target’s
commercials stress the fast, fun and friendly service it provides all of its guests, and
uses several celebrity endorsements. Meanwhile,Walmart runs three different
commercials that stress the point that it has very low prices. This is an example of
a. corporate advertising.
b. internal positioning.
c. external positioning.
d. product placement.
In Mobil’s positioning as the “Friendly Serve” station, it had many good reasons to
select the particular target market that it did. But one issue that was NOT a factor was
that the segment
a. spent the largest amount of money at service stations.
b. had the greatest number of consumers in sheer numbers.
c. had potential for growth.
d. bought little extras besides just gas.
What type of advertising communicates the specific features, values, and benefits of a
product offered by a particular company?
a. internal advertising
b. corporate advertising
c. brand advertising
d. institutional advertising
The owners of Bud’s Greenery, a small local chain of five garden and floral supply
stores, handle most of their own marketing and promotion services. All they want from
an outside agency is a lot of ideas to choose from, not a lot of services that they can
handle themselves. Therefore, they are in need of a
a. consultation firm.
b. creative boutique.
c. digital/interactive agency.
d. full-service agency.
(Scenario 14-2) You open up your laptop to begin writing a term paper for your English
literature class. You do a quick Google search on a few key phrases involving
Shakespeare, Dickens, and Hemingway. But before you go further, you play a few
video games, check your email, visit a couple music websites, take a cybertour of a new
sports stadium, go to a coupon site, solve a murder mystery, go back to Google to check
out a big name in the news, submit a slogan for a new local restaurant, and read a
couple editorials on a magazine site. Then, you figure it’s time to get down to work.
When you visited the restaurant site, the marketers were able to collect some
information about you and your buying habits. How were they doing this?
a. by counting the number of hits you made on the site
b. by using software to monitor your activity on the site
c. by considering you a unique visitor determined by your email registration at the site
d. by counting keystrokes as you moved through the site
Which of the following is accurate concerning click fraud?
a. It involves the illegal generation of clicks on ads that have nothing to do with
consumer interest.
b. It has been reported by more than 70 percent of Web advertisers.
c. It occurs when the advertiser negotiates for a flat fee with the site provider.
d. It is annoying and costly, but it is not yet illegal in the U.S.
Stephen Fox, chronicler of advertising history, maintains that America’s materialistic
consumption culture
a. is a direct result of our society’s rush toward progress with massive amounts of
advertising.
b. is a healthy situation and a positive economic phenomenon thanks to decades of
advertising.
c. is the work of hidden persuaders who create artificial symbols of success and push
our buttons to aspire toward these.
d. is reflected by advertising in its visual manifestation of that culture, not caused by
advertising.
The selection of key themes or concepts that the organization will feature when
communicating with customers about their brand is known as
a. market segmentation.
b. marketing mix.
c. positioning strategy.
d. STP marketing.
Vertical cooperative advertising is usually legal, except when
a. unquantifiable emotional appeals are involved.
b. a representation, omission, or practice is misleading.
c. large corporations and mega-retailers create monopolies in this way.
d. bogus advertising allowances are given in the form of hidden price concessions.
An advertiser for a local retail chain wants to know the costs, closing times, and special
features of the city newspaper selected as its main vehicle. The advertiser can find all of
this by consulting the newspaper’s paid advertising model.
In making direct comparisons to traditional media, it becomes apparent that the
advantages of event sponsorship are fundamentally the same as those that traditional
media can provide.
As an advertiser, what tools can you use to make your home page as popular as
possible?
An ad for microwave popcorn appears next to your email messages. This is a banner ad,
and there is a good chance you won’t click on it because click-through rates for banner
ads are now only 0.1 percent.
A website is a collection of Web pages, images, videos, and other digital content hosted
on a Web server.