Social meaning refers to what a product or service means in a societal context.
a. True
b. False
Public relations is the only tool that can provide damage control in the face of negative
publicity.
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.)
A new business owner is looking into various forms of advertising. Of all the different
forms, he seems to be most interested in advertising through interactive media. This
may be because:
a. consumers no longer pay attention to advertising on television.
b. interactive media is more beneficial to small business owners.
c. traditional forms of advertising provide inaccurate information to consumers.
d. two-way communication has an important effect on click-through and sales potential.
During the National Basketball Championship, a national sports equipment
manufacturer runs an edgy, fast-paced commercial featuring a well-known hip hop
artist. A group of university students watching the ad in a fraternity house interprets the
commercial in roughly the same way. Which of the following is a reason why audience
members share a similar interpretation of the ad?
a. The backgrounds and value systems of audience members are similar.
b. The interpretation of an ad is a function of an isolated solitary thinker.
c. Ads contain a single meaning for all members of a target audience.
d. Communication is inherently an individual process and not a social process.
Scenario 15-1
One of the nation’s most popular times for sales promotions was a great deal longer than
usual in 2010. Black Friday, which typically takes place the Friday following
Thanksgiving, started in October for a number of retailers and was also scheduled to
occur throughout the month of November. Sears and Walmart, who had been
experiencing a continuous decline in sales recently, were the biggest names behind the
move. Executives from a number of companies began to realize that consumers respond
to the word ‘sale,” regardless of the time of year, so they decided to simply stretch the
period of time in which their biggest sales ran. Companies designed new sale flyers and
circulars, and began to promote the various sales on their websites. Other companies
such as Target were also implementing a similar strategyby emphasizing savings earlier
in the season and for a longer period of time, company executives hoped their brand
would be the first, second, and last choice for consumers during the holiday season.
(Stephanie Clifford, “Stores Push Black Friday Into October.” The New York Times,
October 28, 2010.)
During the holiday season, Snuggles, a winter clothing retail store, offers its employees
$10 for every additional sweater that they sell. This is an example of:
a. a free premium.
b. a merchandise allowance.
c. push money.
d. a slotting fee.
A brand that does not meet customer needs can still be very successful if it advertises its
products extensively.
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.
In its sales promotions, Exodus Moving uses the slogan “Swift, Yet Gentler.” This
process of creating a distinct place in the customer’s mind which is relative to other
movers in the market is known as:
a. positioning.
b. co-op advertising.
c. advocacy advertising.
d. product standardization.
Some airlines ran into big trouble when they tried to increase the mileage levels needed
to earn awards in their frequent-flyer programs. Which of the follwoing risks associated
with promotions have their actions demonstrated?
a. The risk of having a product or service perceived as cheap
b. The risk of alienating customers
c. The risk of putting in too much time
d. The risk of an increase in expenses over incomes
To survive as a viable advertising medium, newspapers will have to:
a. replace headlines with photos and announcements.
b. meet the demands of both audiences and advertisers.
c. make sure that manufacturers and local merchants share the media bill.
d. become broader in geographic reach.
It is possible to make a reasonable argument that the massive consumption that
advertising upholds and glorifies is actually quite good for American society, and for
other cultures around the world.
a. True
b. False
Scenario 17-3
As the number of firms utilizing direct marketing continues to grow, so does the
number of consumers opposed to the methods often described as “intrusive.” To combat
the growing number of opposed consumers, marketers need to find creative new ways
to optimize their direct marketing campaigns. One such outlet that firms are beginning
to experiment with is social media. Executives understand that many consumers view a
company’s Facebook page more often than the company’s home page, so they”ve grown
to realize that setting up some form of an email optin on social media sites is a great
way to build marketing databases. In addition to opt-in sections, social media allows
businesses to interact with consumers, which may make them less inclined to respond
negatively to a company’s direct marketing efforts. By utilizing social media more often
in the future, a number of U.S. companies hope to build stronger and more useful
marketing databases.
What effect has the Internet had on the privacy concerns regarding direct marketing?
a. It has caused consumers to feel safer because they know marketers are acting
responsibly.
b. It has amplified privacy concerns as it makes it easier for marketers to access
personal information.
c. It has had no effect on consumer’s feelings towards direct marketing.
d. It has greatly reduced the direct marketing efforts of companies across the world.
An elderly woman has always been happy with Ivory soap and does not believe in
trying out another brand. In such a scenario, what type of an obstacle would a new
brand experience in order to reach her and be effective?
a. A consumer who is not exposed to massive volumes of ads
b. A consumer who seeks variety
c. A consumer who is resistant to changing rituals
d. A consumer who misinterprets messages
When ad agency professionals are creating a campaign for a huge global retail firm
with complex value propositions, in all likelihood, no single ad can be expected to
reflect all aspects of the brand’s value.
a. True
b. False
Social networking sites are not only used for personal networking with friends and
relatives, but also for business and professional networking.
a. True
b. False
When considering what is truly wanted from advertising research, the answer depends
on whom you ask. If so, which of the following can be generally accepted as true?
a. The ad agency wants numbers.
b. The account team wants to know if the ad works.
c. The client wants awards for creativity.
d. The creatives want account planning.
A feature story allows a firm to write an exclusive story about the company in a
newspaper or any other medium.
a. True
b. False
Scenario 10-1
During tough economic times, many companies rely on the memories of “the good old
days” to help advertise their products. Looking for a bit of a jump-start itself, PepsiCo
turned to nostalgia-heavy advertisements late in 2009, which were then carried into
2010. The company introduced “throwback” versions of a number of its soft drinks, and
created an ad campaign that included new logos and a series of commercials intended to
generate feelings of happiness from prior decades. The company had hoped that any
warm, fuzzy feelings about the past would make people feel better about the company’s
present and future.
Emotional appeals in advertising are most effective when time is an insignificant
element in achieving an objective. As opposed to this, which method is most
appropriate when the goal involves creating a sense of urgency to purchase?
a. Slice-of-life
b. Fear appeal
c. Hard-sell
d. Anxiety
Scenario2-3
Axel Corp., a new clothing line manufacturer, plans to reach out to the local fashion
stores and wholesale distributors around the country. It also plans to offer a discount on
its products for the first 100 customers and establish a coupon system for the first six
months of sales. The marketing team is looking to create a television advertisement and
is looking for ways to improve on the ideas that they have come up with for the ad.
A(n) ____ can help Axel Corp. in designing and executing direct response advertising
campaigns using traditional media.
a. database consultant
b. public relations firm
c. fulfillment center
d. interactive agency
Marketers have to be particularly cautious about using ____as a form of promotion,
because fraud abounds in this area.
a. coupons
b. telemarketing
c. premiums
d. trade allowances
The oldest form of advertising is the_____ .
a. coupon
b. dailie
c. directory
d. billboard
Media buying involves securing electronic media time as well as print media space, as
depicted in a schedule.
a. True
b. False
Which of the following has been found regarding advertising and gender?
a. Advertisers have been reluctant to communicate to men and women in different
ways.
b. Advertisers have no definitive list of gender differences as the expression of gender
depends on situational factors.
c. Advertisers often find gender issues overly sensitive and tend to avoid them.
d. There are no differences between men and women if they are the products of
differential socialization.
Advertisers of “controversial products” are in danger of deceiving the public when they
attempt to show social responsibility, such as beer companies spending millions a year
promoting responsible drinking.
a. True
b. False
Of all types of support media, directory advertising offers a unique advantage by:
a. offering technologically advanced and innovative options.
b. enhancing brand awareness and recall.
c. stressing on the brand name and keeping the message within six words.
d. helping consumers follow through on purchases.
A pharmaceutical company manufactures several antidepressant and anti-anxiety
medications that are widely prescribed by physicians. Its executives know that among
the millions of consumers using their medication, one or two adverse reactions by the
media can have a very damaging effect on its reputation. In public relations, this is
called____.
a. a proactive situation
b. the identification of vulnerabilities
c. a synergistic opportunity
d. influencer marketing
Scenario 6-1
Headquartered in Boston, The Gillette Company is the world leader in male grooming,
a category that includes blades, razors, and shaving preparations. Several years ago,
Gillette announced the launch of two new high- performance women’s razors,
broadening the portfolio of the top-selling Venus brand, the world’s most successful
franchise in female shaving. The two new razors were Venus Vibrance the first power
wet shaving system for women, and Venus Disposable, a premium-performing
disposable razor. Both razors incorporated technological and design enhancements to
better address the specific shaving needs of women, and will build on current market
segments. More recently the company has launched Venus Embrace, the first fiveblade
women’s razor, with the tagline, “Reveal the Goddess in You.” According to its website,
nearly 40 million women now use Venus products.
(http://www.gillettevenus.com/en_US/products/index.jsp)
____is a tool more likely employed by Gillette to supplement the use of demographic
data by providing information about consumers’ activities, interests, and opinions.
a. Psychographics
b. PRIZM
c. STP
d. Bass diffusion
The biggest concern over the future of behavioral targeting involves its growing ability
to:
a. tap into confidential credit card databanks.
b. jam global traffic with billions of unwanted emails.
c. hack into sensitive government websites.
d. track a person’s movement on the Internet.
Which of the following is a characteristic of feel-good ads?
a. They work through affective association or predecision distortion.
b. They have the advantage of looking like an entertainment show.
c. They create and then offer solutions for feelings of anxiety.
d. They have significant legal/regulatory exposure.
The marketers at Kraft are currently focusing on building brand loyalty and considering
a number of consumer- market sales promotion techniques. Which of the following
would work best at encouraging brand loyalty toward Kraft Macaroni and Cheese?
a. Offering a 50-cent rebate on the purchase of a box of Kraft Macaroni and Cheese
b. Offering an additional case of Kraft Macaroni and Cheese half-price
c. Saving George Clooney eat Kraft Macaroni and Cheese in his next movie
d. Placing a $1 off coupon for Kraft Macaroni and Cheese in the Redbook magazine for
a month.
A fast-food restaurant is attempting to position itself as the best choice when you’re in a
hurry because it serves all customers within 90 seconds. To maintain internal
consistency, the firm might take all of the following steps below, EXCEPT for which
one?
a. expanding on its menu
b. adding extra drive-up windows
c. hiring more order-takers
d. hanging up digital timers behind the counter
Trial offers have the same goal as samples, except that trial offers:
a. are less expensive to utilize.
b. are handed out in malls, retail stores, and other public places.
c. involve more expensive items.
d. arrive through mail or newspaper delivery.
Which of the following is a reason for advertisers to pay extra to be featured on
NASCAR?
a. Featuring products on NASCAR builds authenticity like no other event
b. Success with product placements is fostered through developing deep relationships
with key players in advertising
c. NASCAR has huge television audiences which will yield hundreds of media
impressions
d. Brands want to be fitted into the entertainment of the race, not detract from it