Ch14 Full Test Bank Promotion Essentials Legacy Approaches

Marketing Management, 3e (Marshall)

Chapter 14 Promotion Essentials: Legacy Approaches

1) Customers can quickly and easily become bored with any given advertising campaign, a concept referred to as advertising wearout.

2) There are two major types of advertising: product advertising and service advertising.

3) The goal of institutional advertising is to increase the purchase of a specific offering.

4) Institutional advertising is a particularly smart strategy during the early phases of the product life cycle and AIDA model in that it can enhance feelings of trust in potential customers.

5) Pioneering advertising tends to be used during the introductory and early growth stages of the product life cycle.

6) JK motors is the leader in the automobile industry, and so it should use comparative advertising to reach its audience.

7) Many people believe that advertising is synonymous with marketing.

8) The lower the reach and frequency, the higher the cost of an advertising campaign will be.

9) The way an advertisement communicates the information and image is called advertising results.

10) Sales promotion can be aimed directly at end-user consumers, or it can be targeted to members of a channel on which a firm relies to sell products.

11) A trade show is an industry- or company-sponsored event in which booths are set up for the dissemination of information about offerings to members of a channel.

12) Sales promotion is a promotion mix element that provides an inducement for an end-user consumer to buy a product or for a salesperson or someone else in the channel to sell it.

13) In a trade show, a manufacturer provides special incentive money to channel members for certain performances such as running advertisements for one of the manufacturer's brands or doing product demonstrations with potential customers.

14) Bonus payments, prizes, trips, and other incentives to induce a salesperson to push one product over another are forms of consumer sales promotion.

15) Public relations is a systematic approach to influencing attitudes, opinions, and behaviors of customers and others.

16) Public relations is a specialized field.

17) Salespeople and the personal selling function are the most effective approach for establishing and enhancing the personal relationship between company and customer.

18) Trade servicers take orders from customers directly and persuade customers to buy their firm's products from distributors or other suppliers.

19) Inbound telemarketing involves calling potential customers at their home or office.

20) The goal of sales presentation is not simply to make the sale but to create a strong value proposition that will lead to a mutually beneficial long-term relationship.

21) To communicate the message in a sales presentation, the first step is to set goals and objectives.

22) Salespeople consistently report that price is the most common customer apprehension.

23) One of the most critical aspects to the selling process is not what happens before the purchase decision but what happens after, the follow-up.

24) The primary advantage of a market organization is that individual salespeople can develop familiarity with the technical attributes, applications, and most effective selling methods associated with a single product.

25) A commission is a fixed sum of money paid at regular intervals.

26) Murphy Bros took out an ad in several local papers focusing on how the company was started and how it benefits the community. This is an example of ________ advertising.

A) product

B) pioneering

C) competitive

D) institutional

E) comparative

27) ________ advertising is one of the three principal types of product advertising.

A) Covert

B) Competitive

C) Institutional

D) Direct

E) Viral

28) A problem with advertising is that beyond a certain ad spending level, diminishing returns tend to set in. That is, market share stops growing—or even begins to decline—despite continued spending. This is known as ________.

A) the advertising market concept

B) the advertising response function

C) advertising wear out

D) advertising reach

E) advertising execution

29) What is an example of measured media?

A) newspaper

B) social media

C) direct marketing

D) promotion

E) e-mail marketing

30) Customers can quickly and easily become bored with any given advertising campaign, a concept referred to as advertising ________.

A) response function

B) tracking

C) wearout

D) persuading

E) illusion

31) The goal of ________ advertising is to promote an industry, company, family of brands, or some other issues broader than a specific product.

A) product

B) pioneering

C) competitive

D) comparative

E) institutional

32) California Milk Advisory Board has been running a national advertising campaign on television. The ad features "happy cows" and carries the tagline "Great cheese comes from happy cows. Happy cows come from California." The board developed a logo that is prominently displayed in the ads, and presumably the expectation is that a consumer would look for that logo on a wedge of cheese in the dairy case, selecting it over cheese from elsewhere. This is an example of ________ advertising.

A) institutional

B) product

C) comparative

D) competitive

E) pioneering

33) From an AIDA model perspective, ________ advertising seeks to gain awareness and initial interest and is used mostly in the early growth stages of a product.

A) institutional

B) competitive

C) covert

D) pioneering

E) comparative

34) ________ advertising is heavily used during the growth and early maturity stages of the product life cycle.

A) Competitive

B) Comparative

C) Pioneering

D) Covert

E) Institutional

35) Marketing managers employ ________ advertising to build sales of a specific brand.

A) institutional

B) comparative

C) pioneering

D) covert

E) competitive

36) ________ advertising is common during the maturity stage of the product life cycle, but you should avoid this if your brand is the leader.

A) Pioneering

B) Comparative

C) Competitive

D) Institutional

E) Covert

37) Apple ran a series of humorous television ads in which two guys stood side by side while slinging barbs back and forth about features of the Mac versus the PC. This is an example of ________ advertising.

A) pioneering

B) competitive

C) institutional

D) comparative

E) covert

38) When two or more brands are reviewed against each other on certain attributes, it is considered ________ advertising.

A) pioneering

B) competitive

C) institutional

D) comparative

E) covert

39) The vast majority of advertising is ________ advertising.

A) institutional

B) product

C) virtual

D) nonprofit

E) research-based

40) Comparative advertising works well when a brand ________.

A) has a higher than average advertising budget

B) is not competing with a top brand

C) is not the leader in its product category

D) has higher sales than all of its competitors

E) has an inexperienced marketing team

41) Starbucks ran a new ad during the Super Bowl. It wanted to know the percentage of people who watched the ad during the event. Starbucks was measuring the ________ of the ad.

A) reach

B) frequency

C) relevancy

D) impact

E) noise

42) ________ measures the average number of times a person in a target market is exposed to the message.

A) Reach

B) Frequency

C) Relevancy

D) Impact

E) Noise

43) P&G often shows ads of people using its products, such as a family using a Swiffer to pick up dog hair. This approach to advertising execution is called ________.

A) mood/affect

B) humor

C) slice of life

D) demonstration

E) lifestyle

44) When actress Jennifer Aniston appears in an advertisement using and promoting a particular brand of body lotion, it is an example of the ________ approach to advertising execution.

A) demonstration

B) research-based

C) lifestyle

D) endorser

E) slice-of-life

45) A commercial that shows Dodge Ram pickup trucks navigating through the back roads of America is an example of the ________ approach to advertising execution.

A) lifestyle

B) fantasy creation

C) musical

D) slice-of-life

E) humor

46) ________, an approach to advertising execution, offers an imaginative look at how it might be if a customer purchases a product.

A) Fantasy creation

B) Endorser

C) Humor

D) Musical

E) Slice of life

47) An advertisement showing tiny aliens blasting cavities in a person's mouth is an example of the ________ approach to advertising execution.

A) fantasy creation

B) endorser

C) humor

D) slice-of-life

E) musical

48) Which of the following is one of the benefits of using television as an advertising medium?

A) It has a long shelf life.

B) It appeals to multiple senses.

C) It creates the feel of one-to-one marketing.

D) It offers lasting impressions.

E) It involves low cost.

49) Which advertising media offers the advantage of high audience selectivity?

A) online and social media

B) radio

C) direct mail

D) newspaper

E) television

50) Which advertising media offers the advantage of interactive capabilities?

A) online and social media

B) radio

C) direct mail

D) newspaper

E) television

51) Chen wants to opt for an advertising medium that is flexible and can create the feel of one-to-one marketing. Which of the following advertising media is she likely to choose?

A) direct mail

B) newspapers

C) outdoor

D) magazines

E) radio

52) Newspapers are effective as an advertising medium because they ________.

A) are a highly credible medium

B) appeal to a younger audience

C) have a very personal message

D) appeal to multiple senses

E) have a long shelf life

53) Marcia was describing a humorous ad to her friend, who asked her what product it was for. She said she didn't know because there were so many ads on TV that she got them all mixed up. This demonstrates the problem advertisers have with ________.

A) clutter

B) reach

C) frequency

D) impact

E) volume

54) ________ are a form of sales promotion to channel members.

A) Product samples

B) Multiple-purchase offers

C) Product placements

D) Trade shows

E) Loyalty programs

55) Which customer sales promotion refers to an instant price reduction at the point of sale, available in print media, online, or in-store, that encourages customers to "buy now?"

A) loyalty program

B) rebate

C) contest or sweepstake

D) premium

E) coupon

56) ________ refer to a price reduction for purchase of a specific product during a specific time period.

A) Loyalty programs

B) Rebates

C) Contests and sweepstakes

D) Premiums

E) Coupons

57) A car dealership receives a bonus from the manufacturer if it sells more hybrid cars than it did the previous year. This is called ________.

A) a rebate

B) an allowance

C) a contest

D) a point-of-purchase payment

E) a commission

58) Gillette sends out a free razor to induce switching from an older model. This is an example of using ________ as the sales promotion approach.

A) coupons

B) premiums

C) product sampling

D) comparative parity method

E) product placements

59) Apple products appeared in many films in 2016 and 2017. This demonstrates how Apple is using ________ as a sales promotion approach.

A) product placements

B) premiums

C) loyalty programs

D) point-of-purchase materials

E) multiple-purchase offers

60) Centrum Vitamin's offer to buy a bottle of 100 and get an extra mini-bottle of 20 free is an example of using ________ a sales promotion approach.

A) product placements

B) premiums

C) loyalty programs

D) point-of-purchase materials

E) multiple-purchase offers

61) McDonald's provides a free toy in every Happy Meal. This is an example of using ________ as a sales promotion approach.

A) product placements

B) premiums

C) loyalty programs

D) point-of-purchase materials

E) multiple-purchase offers

62) McDonald's famous Monopoly game—the more you eat, the more you play (and vice versa!)—is an example of using ________ as a sales promotion approach.

A) product placements

B) contests and sweepstakes

C) loyalty programs

D) point-of-purchase materials

E) multiple-purchase offers

63) When targeted to members of a channel on which a firm relies to sell a product, ________ is an important element of a push strategy.

A) consumer advertising

B) public relations

C) personal selling

D) sales promotion

E) institutional advertising

64) Coca-Cola bottles placed on the desks of judges of the show American Idol is an example of the sales promotion approach of ________.

A) rebates

B) product placements

C) product sampling

D) loyalty programs

E) premiums

65) "Buy 1, get 1 half price" is an example of the sales promotion approach of ________.

A) rebates

B) product placements

C) multiple-purchase offers

D) loyalty programs

E) premiums

66) When General Hospital was informed that a pile up on Highway 101 resulted in multiple injuries, the staff was informed to expect new patients arriving by ambulance and they followed standard procedure to prepare. This demonstrates ________.

A) direct marketing

B) advertising

C) interactive marketing

D) public relations

E) crisis management

67) What is one of the three core functions of public relations that are most closely aligned with the role of a marketing manager?

A) developing new products for new market segments

B) serving as organizational spokesperson

C) handling investor relations

D) attaining funds for marketing campaigns

E) gaining product publicity and buzz

68) Which of the following is a distinct advantage of personal selling over the other marketing communication methods?

A) ability to tailor the message

B) highly flexible

C) strategic relationship between company and customer

D) less time-consuming

E) highly cost effective

69) ________ is a distinct advantage that personal selling offers over other marketing communications methods.

A) Low transactional costs

B) Strategic flexibility

C) Geographic flexibility

D) Personal knowledge management

E) Personal relationship with a customer

70) Which of the following activities best describes a salesperson's job?

A) manage production of goods

B) devise marketing strategies

C) set prices

D) manage information

E) research on product development

71) ________ is a two-way communication process with the goal of securing, building, and maintaining long-term relationships with profitable customers.

A) Sales promotion

B) Direct marketing

C) Personal selling

D) Publicity

E) Advertising

72) ________ is one of the three distinct advantages of personal selling.

A) Large variety of media

B) Immediate feedback

C) Low cost per exposure

D) Consistent message

E) Elimination of noise

73) ________ is an example of a nontechnology communication selling activity.

A) Enhancing language and overall communication skills

B) Identifying and targeting key customer accounts

C) Creating useful company web page content

D) Developing database management skills

E) Leaving voice-mail messages

74) Which of the following best reflects a technology-oriented communication selling activity?

A) developing effective presentation skills

B) following up after customer contact

C) developing time management skills

D) listening effectively

E) leaving voice-mail messages

75) The main difference between B2C and B2B markets is ________.

A) good interpersonal and communication skills are more important for B2C than for B2B.

B) B2B requires more supervision and performance evaluation than B2C.

C) services sold by B2B salespeople are more expensive and technically complex than those in B2C.

D) B2B requires more knowledge of the products being sold than B2C.

E) B2C requires the ability to discover customer needs and solve their problems more than B2B.

76) ________ are those who are responsible for managing large accounts and are skilled in developing complex solutions to a particular customer problem.

A) Technical sellers

B) Key account salespeople

C) Missionary salespeople

D) Trade servicers

E) Telemarketers

77) The sales engineer from General Electric who calls on Boeing to sell the GE90 jet engine to be used in Boeing aircraft is an example of a ________.

A) technical seller

B) solutions servicer

C) missionary salesperson

D) trade servicer

E) telemarketer

78) ________ is the last stage of the personal selling process.

A) Prospecting for customers

B) Handling customer objections

C) Following up with customers

D) Qualifying prospects

E) Opening the relationships

79) Prospective customers call a toll-free number for more information. This is used to identify and qualify prospects and is considered ________.

A) outbound telemarketing

B) database management

C) closing of the sale

D) follow-up

E) inbound telemarketing

80) The delivery of information relevant to meet the customer's needs is called a ________.

A) customer needs summary

B) value proposition

C) customer touch point

D) sales presentation

E) transactional analysis

81) One of five principal goals for a sales presentation is to ________.

A) fulfill the customer's need for affiliation

B) enable evaluation of product alternatives

C) build impersonal relationships with customers

D) build product interest

E) agree on a price

82) ________ is one of the four characteristics of a great sales presentation.

A) Explaining the value proposition

B) Maximizing change conflict

C) Developing competitive pricing

D) Focusing on technology

E) Emphasizing features over benefits

83) ________ is obtaining commitment from the customer to make the purchase.

A) Following up after the sale

B) Closing the sale

C) Handling objections

D) Qualifying the prospect

E) Opening the relationship

84) Which of the following questions are addressed by an effective sales presentation?

A) What is the shareholding pattern of the board of directors of the organization?

B) What is the estimated growth in sales of a product in the next quarter?

C) What is the sales turnover ratio of the organization?

D) What are the marketing strategies adopted by the company to ensure its sales?

E) What is the value-added of the product?

85) The decision to use independent agents or a company sales is determined based on  ________.

A) psychographic segmentation

B) database mining

C) organizational learning

D) institutional cost

E) strategic flexibility

86) Using independent sales agents is referred to as ________.

A) inbounding the sales force

B) out bounding the sales force

C) using the company sales force

D) transferring sales agents

E) outsourcing the sales force

87) ________ is one of the critical mistakes made in closing a sale.

A) Adopting a flippant approach

B) Excessive marketing

C) Standardized presentation

D) Too much talking

E) Geographic segmentation

88) ________ is one of the four factors used when deciding whether to use independent sales people.

A) Legal resources

B) Risk tolerance

C) Geographic flexibility

D) Transaction cost

E) Psychographic segmentation

89) The simplest method of sales force organization is ________.

A) geographic orientation

B) product organization

C) customer type

D) market organization

E) workload method

90) ________ takes advantage of a salesperson's technical knowledge.

A) Geographic orientation

B) Product organization

C) Customer type

D) Market organization

E) Workload method

91) The disadvantage of geographic sales orientation is ________.

A) it does not support specialization of labor

B) it tends to have the highest cost

C) its large territories involve maximized travel time

D) its complicated structure maximizes customer confusion

E) it requires additional managerial levels for coordination

92) ________ is one of the three organizational factors that influence a salesperson's performance.

A) Job experience

B) Career stage

C) Sales aptitude

D) Company marketing budget

E) Education

93) The individual's learned proficiency at performing necessary sales tasks is called ________.

A) sales aptitude

B) motivation

C) reward

D) sales skill level

E) satisfaction

94) Bart was awarded sales person of the year and was given a cruise for two by his company. This is an example of a(n) ________ reward.

A) intrinsic

B) bonus

C) contest

D) extrinsic

E) subjective

95) Feelings of accomplishment, personal growth, and self-worth are examples of ________ rewards.

A) intrinsic

B) transactional

C) objective

D) extrinsic

E) subjective

96) Carlo receives a paycheck every other Friday for the same amount. Carlos receives ________.

A) a salary

B) a stipend

C) an intrinsic reward

D) an output measure

E) incentive pay

97) Which of the following is an intrinsic reward?

A) pay

B) security

C) personal growth

D) promotion

E) recognition

98) Compare and contrast the two major types of advertising and give an example of each.

99) Choose four of the consumer sales promotion options and provide a description and an example of each.

100) Explain the three core functions of public relations that are most closely aligned with the role of the marketing manager.

101) Name the three advantages that personal selling has over other forms of marketing communications, and explain why they are advantages.

102) What are the six stages of the personal selling process?

103) Explain three types of financial compensation and rewards given to salespeople. Give one example of a nonfinancial reward.