Scenario 17-4
Trapper’s Lake Lodge is a rustic hotel situated on a large lake in the Flat Tops
Wilderness Area. The lodge offers a relaxing getaway as well as guided fishing,
hunting, bicycling, and cross-country skiing trips from its remote location 250 miles
away from a major airport. Guests must travel the last 40 miles on a rough dirt road
during the summer months or ride a special snow car during the snow season. Trapper’s
Lake Lodge management has found that guests almost always have a wonderful
experience during their stay and swear they will visit again. Nonetheless, the biggest
problem is getting people to visit in the first place, probably due to the difficult travel
involved. So the lodge management has decided to mount an aggressive direct
marketing campaign to increase first-time guest visits as well as to nurture loyal
frequent visitors.
Guests at the lodge have always filled out a brief form with their name, address, phone
number, and email address. They will now be asked to complete a questionnaire that
collects more information such as their age, gender, education level, and occupation.
Also; their outdoor interests, recreational preferences, other hobbies, and comments
about their stay at Trapper’s Lake Lodge. This combination of new_____data will be
used to help build a marketing database for the lodge.
a. demographic and psychographic
b. personal and behavioral
c. behavioral and academic
d. demographic and geo-demographic
A manufacturer of a brand of high-end hiking boots and specialized athletic shoes has
hired your agency to run a print campaign. You tell the client that a full-page,
black-and-white ad in HikingandBikingmagazine will cost them $1,650 to run once.
You also remind the client that the circulation of the magazine is 42,000. To give the
client the cost per thousand for this media buy, which formula would you use?
a. Take 42,000 divided by 1,650 multiplied by 1,000.
b. Take 1,650 multiplied by 1,000 divided by 42,000.
c. Add 1,650 and 42,000 divided by 1,000.
d. Take 42,000 divided by 1,000 plus 1,650.
Passalong readership occurs when other people visit a magazine subscriber’s home or
professional office and look at magazines.
a. True
b. False
Magazines attract consumers because of their:
a. wide reach.
b. content.
c. short life.
d. low price.
Projective techniques test ads for consumer response with:
a. in-depth, one-on-one, open-ended discussions.
b. physiological techniques and brain scans.
c. fragments of pictures or words that need to be completed.
d. demographic profiles of market members.
Using events, product placement, and branded entertainment in an IBP makes the rules
for its success easy to pin down.
a. True
b. False
A consumer is shown a picture of a man looking into the oven while a woman sits at
desk nearby with her back to him. The consumer is then asked to suggest what is going
on in the picture, and to fill in blanks such as “The man is. . . ” and “The woman is . . . “
This method gathers consumer data through:
a. metaphors.
b. sentence and picture completion.
c. dialogue balloons.
d. field work.
The most common use of direct marketing is as a tool to close the sale with a customer.
a. True
b. False
A media planner is making placement decisions for a new line of cosmetics. She
focuses on ten different cities in the country where the purchase size of the products is
high. This is an example of:
a. geo-targeting.
b. media mix.
c. below-the-line promotions.
d. above-the-line promotions.
Since there has been little regulation of advertising and promotion on the Internet to
date, the industry itself has had to act as its main governing body.
a. True
b. False
Scenario3-1
In the early and mid-1800s, soaps were made from animal fats. The perishable quality
of the soap, however, allowed manufacturers to sell a product with only regional appeal.
This changed when soap makers began to use vegetable fats and perfume in the
soap-making process.
According to Procter & Gamble, one batch of this vegetable-based soap was left to mix
too long. The result was a product that floated in water due to an excess amount of air.
The company turned this into a selling point and, in 1882, launched one of the first
soaps with the potential for national salesIvory soapwith the slogans “It floats” and
“9944/100 percent pure.” (Stephen Fox, TheMirrorMakers,[New York: Random House,
1984], 24.)
By 1900, shortly after Ivory soaps were originally branded, _____ .
a. advertising was generally distrusted and looked at with suspicion
b. the consumer culture was replaced by minimalist lifestyles
c. the branding of products became the norm
d. the period was marked by the advent of dailies
____ is the trail of social media and online information on a person, organization, or
brand.
a. Virtual identity
b. I-Traffic Index
c. Digital footprint
d. Web 2.0
The consumers termed ____ turn out to be a costly target segment; much can be spent
in getting their business merely to have it disappear just as quickly as it was won.
a. brand freaks
b. lead users
c. switchers
d. heavy users
A leading car company pays to have its cars prominently featured in an upcoming
movie. The advertising method used here is ____.
a. product placement
b. an infomercial
c. an advertorial
d. social disruption
Scenario 14-4
Optima Artistic Tools has been manufacturing art supplies, in Boston, for almost 100
years. It is a successful business that works with art stores around the nation. Optima
produces materials for different varieties of media such as paints, pencils, charcoals,
clays, brushes, papers, canvases; and also equipment such as palettes, easels, drawing
tables, etc. Optima is ready to market these products online and has just hired an
Internet advertising consultant, Visualizers Inc. It has aimed for a 9 percent profit from
Internet sales by the end of next year.
The researchers at Visualizers determine that many art supply stores and galleries have
websites for local customers to learn more about creating art through various media.
They suggest that Optima should provide free tips and demonstrations related to
producing art that would encourage potential buyers and current customers to try new
techniques, and add their own suggestions. Generating this type of social interaction
around Optima products will involve creating:
a. an Internet presence.
b. integration with television marketing campaigns.
c. a mobile marketing plan.
d. consumer engagement through interactivity.
In the world of advertising, culture is seen as:
a. people’s rules and regulations.
b. the way things are done.
c. a sense of morality in society.
d. the spiritual beliefs of people.
Those who really understand creativity and the world of advertising know that good
ideas can come from anywhere the managers, the accountants, even the clients.
a. True
b. False
As a promotional tool and an industry, advertising gets a lot of attention, scrutiny, and
criticism today because it is so conspicuous and has established a global presence.
a. True
b. False
P-O-P promotion can aid manufacturers not only by attracting consumers, but also by
securing relationships within trade and business markets. For instance, it can encourage
buyers to support their brand over another with more exposure and shelf space.
a. True
b. False
Which term refers to the mix of advertising and entertainment, the umbrella covering
the increasingly broad spectrum of integrated ads and nontraditional IBP?
a. Procter & Gamble approach
b. Populist consumption
c. Consumer integration
d. Madison & Vine approach
In the context of corporate advertising, the green movement looks sustainable for some
time because:
a. it helps companies focus on their bottom-line.
b. companies no longer engage in greenwashing.
c. environmental issues are of major concern to consumers.
d. it allows companies to overpromise and underdeliver.
Recall measurements make the most sense when the goal of the commercial is to make
consumers:
a. visualize a picture or image of the brand.
b. feel an emotion connected to the brand.
c. remember the brand name.
d. think of a time when the brand can be used.
The financial advantages of flighting are that discounts might be gained by
concentrating media buys in larger blocks.
a. True
b. False
Product placements in movies, television shows and other forms of branded
entertainment can bring about a transformation in the actual future consumption
experiences.
a. True
b. False
In the preindustrialization era, the expansion of newspaper circulation was fostered by
the railroads and growing urban centers.
a. True
b. False
____ refers to a huge volume of structured and unstructured data that is much too large
to analyze or process using traditional ways.
a. RDBMS
b. Ordinal data
c. Big data
d. Metadata
Critics of advertising claim that advertising carries little of any good product
information and that most advertising is biased, limited, and inherently deceptive.
a. True
b. False
External lists are the starting point for developing better relations with current
customers.
a. True
b. False
It is believed that advertisers deceive via subliminal advertising by:
a. influencing people to buy things via word of mouth advertisement.
b. providing offers to the public that would stimulate them to buy their products.
c. exaggerating the features of a product and providing assurances to stimulate people
to buy a product.
d. embedding hidden messages or images within an advertisement.
In a print ad, the subhead serves basically the same purpose as the headline.
a. True
b. False
Scenario 18-4
In the summer of 2010, basketball star LeBron James found himself in the middle of a
PR nightmare when he decided to turn his decision regarding his future team into an
hourlong spot on ESPN, which was entitled, “The Decision.” Almost immediately, fans
and critics alike began to express their distaste for the way the multi millionaire handled
the situation. Many fans’ opinions of the star were greatly altered and James’ positive
public image appeared to be shattered. Perhaps, even worse than the damage to his
image, the Lebron James “brand” began to take a hit when his jerseys were pulled from
many stores and websites, and thousands of fans vowed they would never buy James’
line of shoes ever again. Several months later, James began repairing his public image.
James, who endorses Nike products, came out with a controversial commercial that was
believed to evoke sympathy. However, many others felt the commercial mocked the
negative reaction expressed over “The Decision,” and was intended to rebrand the star
as a rebel. Either way, LeBron James has a long way to go before he can re-again his
title as one of the most beloved players in the NBA.
Judging by his recent apology and television commercial, LeBron James is apparently
trying to repair his image. This effort is known as:
a. damage control.
b. situation analysis.
c. proactive strategy.
d. public relations audit.
Scenario 12-1
Appleberry Farms Organic Jam has been the number one jam in the jam and jelly
category for several years. Although still a number two in this category, Blackberry
Valley Organic Jam is gaining a strong foothold. Appleberry had $39,466,000 in sales
last year, while Blackberry had only $16,301,000, but that was 11 percent higher than
its 2008 sales.
Organic jams and jellies are important to marketers because they appeal to
health-conscious consumers and have a fresh taste that many consider superior to
traditional fruit spreads.
Appleberry Farm has been put on notice. Blackberry Valley Jam’s move up came
despite lower ad spending than Appleberry Farm Jam. The Blackberry brand spent
about $972,000 in measured media during 2010, compared to $1,553,000 spent by
Appleberry. Blackberry also underwent an aggressive re-launch last year with
reformulated flavors, revamped packaging, new ads, and additional media.
Money spent on advertising jam and jelly products in 2010, by brand:
Appleberry Farm Jam $ 1,553,000
Blackberry Valley Jam $ 972,000
total for product category $ 3,714,000
Approximate 2010 Jam and Jelly category sales, by brand:
Appleberry Farm Jam $ 39,466,000
Blackberry Valley Jam $ 16,301,000
total for product category $ 81,732,000
Blackberry Valley’s ad agency has come up with a series of ideas through which they
are planning to target people who are health-conscious and are looking for organic
options. The agency has decided to use the social media to find out detailed behavioral
information about customers. The agency also plans to turn these individuals into
advocates of their brand. Which of the following is the company using?
a. Continuous scheduling
b. Media mix
c. Below-the-line promotions
d. Big Data
Product placement involves advertisers finding shows where the product might fit.
Branded entertainment involves advertisers creating shows so the product will star.
a. True
b. False
A company sells exotic herbs and spices for cooking and wants to use television to
reach a narrowly defined market of people interested in the culinary arts. The company
would be best advised to use:
a. cable television.
b. local television.
c. off-network syndicated television.
d. first-run syndicated television.
Scenario5-2
Since its introduction to the market in 2007, Apple Inc.’s iPhone dominated other
smartphones in terms of units activated per year. However, several years later, Apple
faced stiff competition from Google’s Android software and Research in Motion, the
maker of the Blackberry. The problem for Apple is that its competition, primarily
phones powered by Android operating systems, largely outnumber the iPhone in terms
of available options. In the U.S. alone, there are over twenty smartphones that run on
the Android operating system, compared to Apple’s one iPhone. Americans are now
buying more Android phones than iPhones. Experts claim that if the trend
continues, Android will have erased the iPhone’s once enormous lead in the high-end
smartphone market in a little over a year. Now more than ever, Apple, which insists on
tight control of its devices, must find a way to win in an intensely competitive market
against rivals that are openly licensing their software to scores of companies.
While deciding on what brand of cell phone he should buy, Mark, a university student,
asks his friend for suggestions on different models of cell phones. His friend
immediately says that the iphone and Blackberry are good options. This is an example
of_____ .
a. a need state
b. stratification
c. an evoked set
d. cognitive dissonance