Ch7 Measuring Digital Marketing Effectiveness Exam Questions

Chapter 7: Measuring Digital Marketing Effectiveness

1. Digital marketing spending is continuing to go up. A recent study by Forbes indicated that digital marketing spend in the U.S. will be close to what figure by 2021?
   1. $120 billion
   2. $200 billion
   3. $150 billion
   4. $75 billion
   5. $300 billion
2. Return on investment (ROI) is one of the most common financial metrics that companies use to evaluate marketing effectiveness. How is ROI calculated?
   1. By calculating the amount of money spent and dividing it by total engagement
   2. By calculating the amount of money spent and dividing it by the total number of people you have reached
   3. By calculating the amount of money spent and dividing it by the number of people who have come to your website
   4. By calculating the gain from any spending minus the cost of the investment divided by the cost.
3. Return on engagement is one measure that was devised as social media became increasingly more popular. There are many issues with return on engagement as a measure. Please select the response below that represents a challenge with measuring return on engagement
   1. Return on engagement doesn’t factor in reach
   2. Return on engagement doesn’t factor in search volume
   3. Return on engagement assumes that there is a connection between engagement and sales
   4. Return on engagement doesn’t factor in how many people have come to your website
4. There are several potential approaches to capturing return on investment. One of those models is using the top-down revenue approach. Which of the following is not part of the top-down revenue measurement approach?
   1. Anecdote
   2. Direct link to sales
   3. Correlation
   4. A/B, multivariate testing
5. Another approach to measuring return on investment is utilizing the bottom-up approach to measurement. Choose the three components to the bottom-up measurement approach from the list below.
   1. Linking and tagging
   2. Calculating total campaign reach
   3. Calculating total campaign engagement
   4. Integrated
   5. Direct commerce
6. Bob Pearson, President of W2O Group, captures how many dimensions to social commerce?
   1. 5
   2. 7
   3. 10
   4. 4
   5. 8
7. Return on investment is only one part of a digital marketing scorecard. Beyond ROI, there are three critical components to any digital marketing scorecard. Please select the response below that most accurately captures those three components.
   1. Effectiveness, efficiency and effect
   2. Reach, engagement and impact
   3. Paid, earned, shared metrics
   4. Owned, shared and paid metrics
8. One approach that many organizations can take to measuring effectiveness is return on media investment, or ROMI. There are several factors that go into a successful ROMI model. Please select the factor that does not belong in a ROMI model from the options below.
   1. Reach
   2. Website Traffic
   3. Engagement
   4. Publishers in the media plan
   5. Search Volume
9. When an organization engages in digital marketing, the only thing that matters is capturing return on investment. Please select whether this statement is true or false.
   1. True
   2. False
10. The subject of digital marketing measurement is still under great discussion and debate, particularly among senior executives in most organizations. Is this statement true or false?
    1. True
    2. False