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Transcript
CONTENTS
Introduction
Part One: Foundations
Chapter One: Introduction to Advertising ...................................................................................................1
Chapter Two: Advertising’s Role in Marketing ........................................................................................34
Chapter Three: Advertising and Society ....................................................................................................68
Part Two: Planning and Strategy
Chapter Four: How Advertising Works ...................................................................................................103
Chapter Five: The Consumer Audience ...................................................................................................135
Chapter Six: Strategic Research...............................................................................................................169
Chapter Seven: Strategic Planning...........................................................................................................205
Part Three: Effective Advertising Media
Chapter Eight: Print and Out-of-Home Media.........................................................................................239
Chapter Nine: Broadcast Media ...............................................................................................................274
Chapter Ten: Interactive and Alternative Media .....................................................................................310
Chapter Eleven: Media Planning and Buying ..........................................................................................345
Part Four: Effective Advertising Messages
Chapter Twelve: The Creative Side and Message Strategy .....................................................................378
Chapter Thirteen: Copywriting ................................................................................................................411
Chapter Fourteen: Design and Production ..............................................................................................443
169
Part Two: Planning and Strategy
Part Five: Integration and Evaluation
Chapter Fifteen: Direct Response ...........................................................................................................476
Chapter Sixteen: Sales Promotion, Events, and Sponsorships ...............................................................508
Chapter Seventeen: Public Relations ......................................................................................................542
Chapter Eighteen: Special Advertising Situations ..................................................................................576
Chapter Nineteen: Evaluation of Effectiveness ......................................................................................610
170
Chapter Six: Strategic Research
INTRODUCTION
Welcome to the Test Item File for the Wells/Moriarty/Burnett Advertising: Principles and
Practice, 7th edition text. This test bank was designed with the student and instructor in mind. All
questions in this manual are drawn directly from the master text.
APPLICATION QUESTIONS: New to the seventh edition of the Test Item File is a
section dedicated entirely to application questions. This section, available in each chapter of the
test bank, offers real-life situations that take students beyond basic chapter concepts and
vocabulary covered in the General Content section, and asks them to apply concepts covered in
the chapters.
Each chapter in the Test Item File contains 150 questions, with the following breakdown:
110 General Content questions:
70 Multiple choice
35 True/false
5 Essay
40 Application questions:
20 Multiple choice
20 Short answer
Each question in the Test Item File is formatted with the question number, the question itself,
potential answers, the correct answer, a difficulty scale, and the page where the question and
answer may be found in the textbook. The page number suggests where the material for the
question begins, not necessarily where it ends. The question information may continue to other
pages, figures, or tables. For each chapter in the textbook, the questions within a given type of
question in the Test Item File begin at the first page of the chapter and follow a logical sequence
to the end of the chapter.
Answers to essay and short-answer questions are provided for the convenience of the instructor.
The answer provided in the Test Item File includes all of the information that was given in the
text for the instructor’s benefit. However, use discretion as to how much the student needs to
provide to answer the question adequately.
Before giving students examinations from the material contained in this Test Item File, the
students should be encouraged to read and question the material in the textbook. If there is a
term or concept in bold or italics, there is a question about it. They should also understand that a
“best answer” will always be available to a question. Careful reading of the question to
determine differences between potential answers would be prudent. In addition, students should
be encouraged to read the opening vignettes, tables, and figures provided in each chapter of the
textbook.
171
Part Two: Planning and Strategy
The Difficulty Scale
The instructor will notice the scale used at the end of each question. The scale is intended to aid
the instructor in determining the degree of difficulty of the question and answer. The degree of
difficulty scale appears as either “easy,” “moderate,” or “difficult.” Questions noted as “easy” do
not require detailed knowledge of the topic, require only a casual reading of the text, and have
rather obvious answers. The questions noted as “moderate” require the student to demonstrate
understanding and see distinctions in the material offered in the text, while the questions noted as
“difficult” require the student to synthesize and apply the information covered. Also, a question
is labeled as “difficult” if it covers very specific information from the applied material in the
chapter.
Good luck with your course preparation, instruction strategies, and examination of your students.
It is this author’s hope that this manual will help with your effort to conduct a successful and
meaningful learning experience for your students. Should you have any difficulty with any
questions or need assistance, please feel free to contact me. Thank you for using the
Wells/Moriarty/Burnett 7th edition text.
Laurie A. Babin, Ph.D.
Professor of Marketing
Department of Management and Marketing
118 College Drive, #5091
University of Southern Mississippi
Hattiesburg, MS 39406
(601) 266-4967
[email protected]
CHAPTER ONE
Introduction to Advertising
GENERAL CONTENT: MULTIPLE-CHOICE QUESTIONS
1.
What do critics of advertising say?
a.
Advertising is merely a fashion guide and not informative.
b.
Advertising is a waste of an organization’s resources.
c.
Advertising is merely entertaining and not informative.
d.
Advertising makes people do things they do not want to do.
e.
Advertising influences the editorial content or programming in which it is placed.
(d; moderate; p. 5)
172
Chapter Six: Strategic Research
2.
Which of the following is NOT a component of advertising?
a.
paid form of communication
b.
sponsor is identified
c.
usually personal in nature
d.
tries to inform, persuade, or influence the audience
e.
uses mass media
(c; easy; p. 5)
3.
Paid persuasive communication that uses nonpersonal mass media to reach broad
audiences—as well as other forms of interactive communication—to connect an
identified sponsor with a target audience is known as ________.
a.
advertising
b.
personal selling
c.
public relations
d.
sponsorship
e.
marketing communication
(a; easy; p. 5)
4.
Which of the following is considered to be a fundamental concept of advertising?
a.
strategy
b.
creative idea
c.
execution
d.
media
e.
all of the above
(e; easy; pp. 5–6)
173
Part Two: Planning and Strategy
5.
___________ is the logic and planning behind the advertisement that gives it direction
and focus.
a.
Creative idea
b.
Execution
c.
Media
d.
Strategy
e.
Idea generation
(d; easy; p. 5)
6.
Strategy, the creative idea, the advertising executions, and the media must work in
concert for an ad to be truly ________.
a.
efficient
b.
effective
c.
creative
d.
interesting
e.
entertaining
(b; moderate; p. 6 [Figure 1.1])
7.
In which fundamental concept of advertising does the advertiser develop the ad to meet
specific objectives, carefully direct it to a certain audience, create its message to speak to
that audience’s most important concerns, and run it in media that will reach its audience
most effectively?
a.
advertising strategy
b.
creative strategy
c.
execution strategy
d.
media strategy
e.
evaluation strategy
(a; easy; pp. 5–6)
8.
The ________ is the ad’s central idea that grabs your attention and sticks in your
memory.
a.
advertising strategy
b.
creative concept
c.
creative execution
d.
creative media
e.
tagline
(b; moderate; p. 6)
174
Chapter Six: Strategic Research
9.
Which best describes a critical aspect of advertising that drives the entire field of
advertising?
a.
strategic
b.
media
c.
nonpersonal
d.
mass
e.
creative
(e; moderate; p. 6)
10.
Which fundamental concept of advertising involves the details, the photography, the
writing, the acting, the setting, the printing, and the way the product is depicted all
reflecting the highest production values available to the industry?
a.
advertising strategy
b.
creative idea
c.
creative execution
d.
creative media
e.
creative strategy
(c; moderate; p. 6)
11.
Which advertising approach uses reasons to persuade consumers?
a.
mass-sell
b.
logical-sell
c.
hard-sell
d.
soft-sell
e.
informative-sell
(c; moderate; p. 6)
12.
Which advertising approach builds an image for a brand and attempts to touch
consumers’ emotions?
a.
mass-sell
b.
logical-sell
c.
hard-sell
d.
soft-sell
e.
emotional-sell
(d; moderate; p. 6)
13.
What is meant by the term effective with respect to advertising?
a.
The advertising delivers the results the marketer has specified for the advertising.
b.
The advertising wins creativity awards, such as the EFFIE or the CLIO.
c.
The advertising is remembered by at least 50 percent of the target audience.
d.
The advertising resulted in increased sales.
e.
The advertising media exposure was purchased at the lowest possible cost to
reach the target audience.
(a; difficult; p. 7)
175
Part Two: Planning and Strategy
14.
Which of the following is NOT a role that advertising plays in business and in society?
a.
marketing
b.
communication
c.
economic
d.
network
e.
all of the above
(d; moderate; p. 7)
15.
Which of the following is a role advertising plays in business and in society?
a.
marketing
b.
communication
c.
economic
d.
societal
e.
all of the above
(e; easy; p. 7)
16.
The process a business uses to satisfy consumer needs and wants by providing goods and
services is called ________.
a.
exchange
b.
economics
c.
marketing
d.
accounting
e.
value
(c; easy; p. 8)
17.
Computers, automobiles, and toothpaste are all examples of ________.
a.
services
b.
ideas
c.
exchanges
d.
goods
e.
markets
(d; easy; p. 8)
18.
The classification to which a product is assigned is known as the ________.
a.
product category
b.
good
c.
service
d.
product class
e.
product mix
(a; moderate; p. 8)
176
Chapter Six: Strategic Research
19.
The particular group of consumers thought to be potential customers for the goods and
services of an organization constitute the ________.
a.
product category
b.
demographic segment
c.
product use segment
d.
feasible market
e.
target market
(e; easy; p. 8)
20.
The target market of an organization is ________.
a.
demographically homogeneous
b.
the particular group of consumers thought to be potential customers for the
organization’s goods and services
c.
the largest market segment
d.
made up of services and ideas, as well as goods
e.
referred to as the marketing objective
(b; moderate; p. 8)
21.
Which of the following statements is true?
a.
Product category refers to whether the product is a good, a service, or an idea.
b.
The term product refers only to tangible goods, such as automobiles, clothing, or
soft drinks.
c.
A product can be services and ideas, as well as goods.
d.
Advertising is the process a business uses to satisfy consumer needs and wants by
providing goods and services to a target market.
e.
A tagline is the distinctive identity of a particular product that distinguishes it
from its competitors.
(c; moderate; p. 8)
22.
Which of the following is NOT considered a tool available in the marketing mix?
a.
product
b.
distribution
c.
price
d.
marketing communication
e.
all of the above
(e; easy; p. 8)
23.
The four tools of product, price, place (distribution), and promotion are collectively
referred to as the ________.
a.
product mix
b.
promotion mix
c.
marketing mix
d.
marketing elements
e.
exchange elements
(c; easy; p. 8)
177
Part Two: Planning and Strategy
24.
The marketing mix is also known as the ________.
a.
four Es
b.
PSI
c.
P matrix
d.
tangible/intangible continuum
e.
four Ps
(e; easy; p. 8)
25.
The distinctive identity of a particular product that distinguishes it from its competitors is
known as the ________.
a.
advertising
b.
brand
c.
tagline
d.
logo
e.
trademark
(b; moderate; p. 8)
26.
Coke and Pepsi are examples of different ________ of soft drinks.
a.
trademarks
b.
taglines
c.
products
d.
brands
e.
ideas
(d; easy; p. 8)
27.
The broad term, ________, includes advertising, but it also includes a number of related
communication techniques used in marketing, including sales promotion, public relations,
direct response, events and sponsorships, packaging, and personal selling.
a.
marketing communications
b.
communications
c.
integrated marketing communications
d.
integrated communications
e.
product
(a; moderate; p. 8)
28.
Which of the following is considered a strength of advertising as a marketing technique?
a.
directly affects sales
b.
best communication tool for persuading consumers
c.
it’s inexpensive
d.
can reach a mass audience
e.
all of the above
(d; moderate; p. 8 [Table 1.1])
178
Chapter Six: Strategic Research
29.
Which of the following is NOT considered a strength of advertising as a marketing
technique?
a.
persuades
b.
influences culture
c.
introduces products
d.
explains important changes
e.
reminds and reinforces
(b; difficult; p. 8 [Table 1.1])
30.
In which types of societies does advertising tend to flourish?
a.
ones where demand exceeds supply
b.
ones where there is little price competition
c.
ones where there are few distinguishing characteristics among product offerings
by competitors
d.
ones in which government does not regulate commercial speech
e.
ones where supply exceeds demand
(e; difficult; p. 8)
31.
Which of the following is considered a social role of advertising?
a.
creates a more rational economy
b.
can reach a mass audience
c.
plays an educational role
d.
makes consumers focus on nonprice benefits
e.
all of the above
(c; moderate; p. 10)
32.
Which of the following is NOT considered a social role of advertising?
a.
Advertising informs consumers about new and improved products.
b.
Advertising teaches consumers about new products and how to use to use them.
c.
Advertising helps consumers compare products and features, and generally keeps
consumers informed about innovations and issues.
d.
Advertising reinforces past purchases and brand experiences.
e.
Advertising mirrors fashion and design trends and adds to our aesthetic sense.
(d; difficult; p. 10)
33.
Builds awareness of products and brands, creates a brand image, provides product and
brand information, persuades people, provides incentives to take action, provides brand
reminders, and reinforces past purchases and brand experiences are all ________ of
advertising.
a.
criticisms
b.
strengths
c.
definitions
d.
roles
e.
functions
(e; moderate; p. 10)
179
Part Two: Planning and Strategy
Which of the following is considered a “key player” in advertising?
a.
media
b.
advertiser
c.
agency
d.
audience
e.
all of the above
(e; easy; p. 10)
34.
Which of the following is NOT considered a “key player” in advertising?
a.
media
b.
advertiser
c.
government
d.
agency
e.
suppliers (vendors)
(c; moderate; p. 10)
35.
36.
Advertising begins with the ________, the person or organization that uses advertising to
send out a message about its products.
a.
government
b.
media
c.
agency
d.
advertiser
e.
vendor
(d; easy; p. 11)
37.
The ________ initiates the advertising effort by identifying a marketing problem the
advertising can solve.
a.
government
b.
media
c.
agency
d.
advertiser
e.
vendor
(d; easy; p. 11)
38.
Which key player makes the final decisions about the target audience and the size of the
advertising budget and also approves the advertising plan?
a.
advertiser
b.
media
c.
agency
d.
vendor
e.
audience
(a; easy; p. 11)
180
Chapter Six: Strategic Research
39.
When an advertiser hires an advertising agency, the advertiser becomes the agency’s
________.
a.
customer
b.
client
c.
partner
d.
vendor
e.
supervisor
(b; moderate; p. 13)
40.
Who is ultimately responsible for monitoring the work and paying the bills on an
advertising account?
a.
agency
b.
vendor
c.
accountant
d.
traffic
e.
advertiser
(e; moderate; p. 13)
41.
Independent organizations that are hired by advertisers to plan and implement part or all
of their advertising efforts are known as ________.
a.
media
b.
professionals
c.
agencies
d.
externals
e.
clients
(c; easy; p. 13)
42.
The working relationship between an advertiser and an advertising agency is known as
the ________ partnership.
a.
agency-client
b.
professional-client
c.
advertising
d.
vendor-client
e.
strategic
(a; moderate; p. 13)
43.
Which of the following is NOT a reason why an outside agency would be more efficient
in creating an advertisement or a complete campaign for an advertiser rather than the
advertiser doing it in-house?
a.
Agencies typically have fewer restrictions getting ideas approved.
b.
Agencies have creative expertise.
c.
Agencies have media knowledge.
d.
Agencies have workforce talent.
e.
Agencies have the ability to negotiate good deals for clients.
(a; difficult; p. 13)
181
Part Two: Planning and Strategy
44.
The primary responsibility of this department is to act as a liaison between the marketing
department in large organizations and the advertising agency (or agencies) and other
vendors.
a.
accounting department
b.
traffic department
c.
advertising department
d.
brand manager
e.
communications department
(c; moderate; p. 13)
45.
Many companies may have hundreds of agencies working for them, but they normally
have a(n) ________, which does most of their business and may even manage the other
agencies.
a.
agency-of-record
b.
primary agency
c.
lead agency
d.
agency-of-importance
e.
agency manager
(a; moderate; p. 14)
46.
Which of the following is a task performed by an advertiser’s advertising department?
a.
creates the advertising
b.
coordinates activities with vendors, such as media, production, and photography
c.
determines the marketing objectives
d.
sets the price if it is included in an advertisement
e.
all of the above
(b; moderate; p. 14)
47.
Which of the following is NOT a task performed by an advertiser’s advertising
department?
a.
creates the advertising
b.
coordinates activities with vendors, such as media, production, and photography
c.
makes sure the work gets done as scheduled
d.
determines whether the work has achieved prescribed objectives
e.
all of the above
(a; moderate; p. 14)
48.
In which type of advertising agency does an advertiser produce its own advertising?
a.
home agency
b.
agency-of-record
c.
inhouse agency
d.
onsite agency
e.
advertising department
(c; moderate; p. 14)
182
Chapter Six: Strategic Research
49.
Companies that need closer control over their advertising usually ________ that performs
most, and sometime all, of the functions of advertising.
a.
hire an outside agency
b.
hire a vendor
c.
have their own advertising department
d.
have their own inhouse agency
e.
have their own agency-of-record
(d; difficult; p. 14)
Which “key player” is composed of the channels of communication that carry the
message from the advertiser to the audience?
a.
advertiser
b.
agency
c.
media
d.
vendor
e.
distributors
(c; easy; p. 15)
50.
51.
What is the biggest advantage of mass media advertising?
a.
provide specialized services regarding ad execution
b.
cost efficiency—because costs are spread over the large number of people
reached by the ad
c.
high level of effectiveness
d.
few restrictions
e.
unlimited inventory available for advertisers
(b; moderate; p. 15)
52.
Market researchers, artists, writers, songwriters, photographers, directors, producers, and
printers are all examples of which type of “key player” in advertising?
a.
advertiser
b.
agency
c.
media
d.
vendor
e.
audience
(d; moderate; p. 16)
53.
Which of the following is NOT a reason other advertising players hire a vendor?
a.
vendors are the only ones that can produce commercials
b.
may not have expertise in that area
c.
may be overloaded
d.
may want a fresh perspective
e.
may be cheaper to use a vendor than to use the services of someone inhouse
(a; difficult; p. 16)
183
Part Two: Planning and Strategy
54.
All advertising strategy starts with the identification of the ________.
a.
creative concept
b.
customer or prospective customer
c.
media vehicles to be used
d.
agency to be used
e.
outcomes to be gained by the advertising
(b; moderate; p. 16)
55.
Which of the following is NOT considered a major type of advertising?
a.
brand
b.
retail
c.
direct-response
d.
institutional
e.
informational
(e; moderate; pp. 17-18)
56.
________ advertising is the most visible type of advertising, and it focuses on the
development of a long-term brand identity or image.
a.
Retail
b.
Image
c.
Brand
d.
Institutional
e.
Public service
(c; easy; p. 17)
57.
The major type of advertising that announces facts about products that are available in
nearby stores and focuses on stimulating store traffic and creating a distinctive image for
a retailer is known as retail or ________ advertising.
a.
brand
b.
local
c.
direct-response
d.
institutional
e.
informational
(b; moderate; p. 17)
58.
________ advertising can use any advertising medium, but the message is different from
other types of advertising in that it tries to stimulate a sale directly.
a.
Brand
b.
Local
c.
Direct-response
d.
Institutional
e.
Public service
(c; easy; p. 17)
184
Chapter Six: Strategic Research
59.
________ advertising is sent from one business to another.
a.
Brand
b.
Retail
c.
Direct
d.
Institutional
e.
Business-to-business
(e; easy; p. 17)
60.
________ advertising focuses on establishing a corporate identity or winning the public
over to the organization’s point of view.
a.
Brand
b.
Organizational
c.
Informational
d.
Institutional
e.
Business-to-business
(d; easy; p. 18)
61.
Not-for-profit organizations, such as charities, foundations, associations, hospitals,
orchestras, museums, and religious entities, advertise for customers, members,
volunteers, and donations and other forms of program participation using which major
type of advertising?
a.
nonprofit
b.
local
c.
direct-response
d.
institutional
e.
business-to-business
(a; easy; p. 18)
62.
Which major type of advertising is used to communicate a message on behalf of some
good cause, such as stopping drug abuse, and is usually created by advertising
professionals free of charge and the necessary time and space is often donated by the
media?
a.
nonprofit
b.
social cause
c.
direct-response
d.
business-to-business
e.
public service
(e; easy; p. 18)
185
Part Two: Planning and Strategy
63.
Which major type of advertising demands creative, original messages that are
strategically sound and well executed?
a.
nonprofit
b.
brand
c.
direct-response
d.
business-to-business
e.
all of the above
(e; easy; p. 18)
64.
For an advertisement to be considered effective, what is the first thing it must do?
a.
hold consumers’ interest
b.
gain consumers’ attention
c.
convince consumers to change their purchasing behavior
d.
convince consumers to continue buying the brand
e.
remind consumers of the brand and their positive feelings about it
(b; moderate; p. 19)
65.
Which of the following is NOT a characteristic of effective ads?
a.
hold consumers’ interest
b.
gain consumers’ attention
c.
convince consumers to change their purchasing behavior
d.
convince consumers to continue buying the brand
e.
provides all the necessary information so that consumers can make a purchase
(e; difficult; p. 19)
66.
The advertisers’ desired impact on the target audience is formally stated as a(n)
________, which is the measurable goal or result that the advertising is intended to
achieve.
a.
objective
b.
outcome
c.
effect
d.
strategy
e.
image
(a; moderate; p. 19)
67.
On which level do ads and their goals work?
a.
satisfying consumers’ objectives by engaging them with a relevant message that
catches their attention, speaks to their interests, and remains in their memories
b.
achieves the company’s marketing objectives
c.
are recognized by peers in the industry for their creativity
d.
a and b
e.
a, b, and c
(d; difficult; p. 19)
186
Chapter Six: Strategic Research
68.
During which stage of the evolution of advertising did advertising grow in importance
and size because of numerous social and technological developments?
a.
Age of Print
b.
Industrial Revolution and Emergence of Consumer Society
c.
Modern Advertising Era
d.
Technology Era
e.
Accountability Era
(b; moderate; p. 21)
69.
________ is the practice of unifying all marketing communication tools so they send a
consistent, persuasive message promoting company goals.
a.
Marketing communications (MC)
b.
Integrated advertising execution (IAE)
c.
Integrated promotional activities (IPA)
d.
Integrated marketing communications (IMC)
e.
Global marketing communications (GMC)
(d; easy; p. 23)
70.
All groups of people who have an interest in the brand, including such groups as
employees, vendors and suppliers, distributors, investors, government and regulators, the
community, watchdog groups, the media, and so forth, are known as ________.
a.
constituencies
b.
interest groups
c.
stakeholders
d.
regulators
e.
social forces
(c; moderate; p. 23)
GENERAL CONTENT: TRUE/FALSE QUESTIONS
71.
The sponsor is identified in an advertising message.
(True; moderate; p. 5)
72.
In advertising, only the creative idea and execution require creative thinking.
(False; moderate; pp. 5–6)
73.
The logic and planning behind the advertisement that gives it direction and focus is
known as the creative idea.
(False; moderate; p. 5)
74.
The classification in which a product is assigned is known as a brand.
(False; easy; p. 8)
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75.
The particular group of consumers thought to be potential customers for the goods and
services constitute the target market.
(True; easy; p. 8)
76.
A product can be services and ideas, as well as goods.
(True; easy; p. 8)
77.
Advertising can be used to build a brand, which is the distinctive identity of a particular
product that distinguishes it from its competitors.
(True; moderate; p. 8)
78.
Advertising is effective only for informing consumers about products and services.
(False; moderate; p. 8)
79.
One point of view regarding advertising’s communication role believes that it is so
persuasive that it decreases the likelihood that a consumer will switch to an alternative
product.
(False; difficult; p. 8)
80.
Advertising has no redeeming social value.
(False; difficult; p. 10)
81.
Advertising helps us shape an image of ourselves by setting up role models that we can
identify with, and it gives us a way to express ourselves in terms of our personalities and
sense of style through the things we wear and use.
(True; moderate; p. 10)
82.
The key players in advertising are the advertiser, the agency, the media, the supplier, and
the audience.
(True; moderate; p. 10)
83.
Advertising begins with the agency.
(False; moderate; p. 11)
84.
The advertiser initiates the advertising effort by employing the services of an agency.
(False; moderate; p. 11)
The agency person in charge of an advertiser’s business is known as the “client
manager.”
(False; moderate; p. 13)
85.
86.
Most large businesses have an in-house agency.
(True; difficult; p. 13)
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87.
Most companies have only one advertising agency working for them, known as the
agency-of-record.
(False; difficult; p. 14)
88.
Companies that need close control over their advertising are likely to use an agency-ofrecord.
(False; moderate; p. 14)
89.
An in-house agency performs most, and sometimes all, of the functions of an outside
advertising agency.
(True; easy; p. 15)
90.
Newspapers, radio or TV stations, billboards, and so forth are known as media vehicles.
(True; easy; p. 15)
91.
The primary advantage of advertising’s use of mass media is that the costs are spread
over the large number of people that these media reach.
(True; moderate; p. 15)
92.
Freelance writers, lighting specialists, and printers are examples of vendors.
(True; moderate; p. 16)
93.
Key players that provide specialized services that assist advertisers, advertising agencies,
and the media in creating and placing ads are known as suppliers or vendors.
(True; moderate; p. 16)
94.
Advertising strategy starts with the identification of the customer or prospective
customer.
(True; moderate; p. 16)
95.
Purchasers and product users are synonymous terms.
(False; moderate; p. 16)
96.
Integrated marketing communication (IMC) means that ads can now be customized to
individual consumers.
(False; difficult; p. 17)
97.
The major types of advertising include brand, retail/local, direct-response, directory,
political, business-to-business, institutional, nonprofit, and public service advertising.
(False; moderate; pp. 17–18)
98.
The objectives in local advertising tend to focus on stimulating store traffic and creating a
distinctive image for the retailer.
(True; moderate; p. 17)
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99.
Direct-response advertising tries to stimulate a sale directly.
(True; moderate; p. 17)
100. Advertising sent from one business to another is known as direct-response advertising.
(False; moderate; p. 17)
101. Award-winning ads are effective ads.
(False; difficult; p. 20)
During the “Age of Print” stage of advertising’s evolution, ads were primarily like
classified advertising in format, and print media carried them.
(True; easy; p. 21)
102.
The period when advertising grew in importance and size was the “Modern Advertising”
era.
(False; moderate; p. 21)
103.
104.
Synergistic marketing communication (SMC) is the practice of unifying all marketing
communication tools so they send a consistent, persuasive message promoting company
goals.
(False; moderate; p. 23)
105.
The advertising question with respect to globalization is whether to standardize ads or
advertising strategies across all cultures or to adapt ads and strategies to local markets.
(True; moderate; p. 24)
GENERAL CONTENT: ESSAY QUESTIONS
106.
Name and describe the four fundamental concepts of advertising and what makes an ad
truly effective.
Answer:
Strategy, creative idea, creative executions, and creative media must work in concert for
an ad to be truly effective:
(1)
Strategy—The logic and planning behind the advertisement that gives it direction
and focus.
(2)
Creative Idea—The ad’s central idea that grabs your attention and sticks in your
memory. Creative really describes the entire field of advertising from planning
the strategy, developing the research, and the buying and placing of ads in the
media.
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(3)
Creative Execution—Effective ads are well executed, which means that the
details, the photography, the writing, the acting, the setting, the printing, and the
way the product is depicted all reflect the highest production values available to
the industry.
(4)
Creative Media—Every message has to be delivered somehow.
(moderate; pp. 5–6)
107.
Name and describe the four roles advertising plays in business and in society.
Answer:
(1)
Marketing Role—Marketing is the process a business uses to satisfy consumer
needs and wants by providing goods and services. The tools available to
marketing include the product, as well as its price, distribution (place), and
marketing communication (promotion). Advertising is a tool used in the
promotion mix.
(2)
Communication Role—Advertising is a form of mass communication. It transmits
different types of market information to connect buyers and sellers in the
marketplace. Advertising is just one tool used in marketing communication;
others include sales promotion, public relations, direct response, events and
sponsorships, packaging, and personal selling.
(3)
Economic Role—In societies that have some level of economic abundance, in
which supply exceeds demand, advertising moves from being primarily
informational to creating demand for a particular brand. A positive economic
view of advertising sees it as a vehicle for helping consumers assess value
through price as well as other elements, such as quality, location, and reputation,
thereby viewing advertising as a means to objectively provide price/value
information, creating a more rational economy. In contrast, another point of view
sees advertising as so persuasive that it decreases the likelihood that a consumer
will switch to an alternative product, regardless of the price charged, because of
advertising that focuses consumers on nonprice benefits, such as psychological
appeal.
(4)
Societal Role—Advertising has a number of social roles. It informs consumers
about products, mirrors fashion design trends, and adds to consumers’ aesthetic
sense. It has an educational role in that it teaches about new products and how to
use them. It helps us shape an image of ourselves by setting up role models that
we can identify with and express ourselves.
(difficult; pp. 7–10)
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108.
Name and describe the five major players in advertising.
Answer:
(1)
Advertiser—The person or organization that uses advertising to send out a
message about its product. The advertiser initiates the advertising effort by
identifying a marketing problem that advertising can solve and makes the final
decisions about the target audience, the size of the advertising budget, and
approves the advertising plan. Finally, the advertiser hires the advertising agency,
becoming the agency’s client responsible for monitoring the work and paying the
bills for the agency’s work on its account.
(2)
Advertising Agency—Creates the advertising. Outside agencies are often more
efficient in creating an advertisement or a complete campaign than the advertiser
would be on its own. Large advertisers participate in the advertising process either
through their advertising departments or through their in-house agencies.
Advertising departments act as a liaison between the marketing department and
the advertising agency and other vendors. In-house agencies perform most, and
sometimes all, of the functions of an outside advertising agency.
(3)
Media—Composed of the channels of communication that carry the message
from the advertiser to the audience. Media are referred to as channels of
communication or media vehicles, with mass media being the most cost-efficient
form.
(4)
Suppliers (Vendors)—The group of service organizations that assist advertisers,
agencies, and the media in creating and placing the ads by providing specialized
services. Members of this group include artists, writers, photographers, directors,
and so on. The other players might hire a vendor because of his or her expertise,
they may be overloaded, they might want a fresh perspective, and/or cost
efficiency.
(5)
Target Audience—All advertising strategy starts with the identification of the
customer or prospective customer, the desired audience for the advertising
message.
(moderate; pp. 10–17)
109.
Name and describe the seven types of advertising.
Answer:
(1)
(2)
(3)
Brand Advertising—The most visible type of advertising is national consumer, or
brand, advertising. It focuses on the development of a long-term brand identity
and image.
Retail or Local Advertising—Message announces facts about products that are
available in nearby stores with the objective to focus on stimulating store traffic
and creating a distinctive image for the retailer. Local advertising can refer to a
retail or a manufacturer or distributor who offers products in a fairly restricted
geographic area.
Direct-Response Advertising—Can use any advertising medium, including direct
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mail, but the message is different from that of national and retail advertising in
that it tries to stimulate a sale directly.
(4)
Business-to-Business Advertising—Sent from one business to another and is not
directed at general consumers.
(5)
Institutional Advertising (a.k.a. Corporate Advertising)—Messages focus on
establishing a corporate identity or winning the public over to the organization’s
point of view.
(6)
Nonprofit Advertising—Not-for-profit organizations advertise for customers,
members, and volunteers, as well as for donations and other forms of program
participation.
(7)
Public Service Advertising—Communicates a message on behalf of some good
cause and is usually created by advertising professionals for free, and the media
often donate the time and space.
(moderate; pp. 17–18)
110.
Name and describe the four eras in the evolution of advertising.
Answer:
(1)
The Age of Print (1850s and prior)—Ads were primarily similar to classified
advertising in format, and print media, primarily newspaper, carried them. Their
objective was to deliver information.
(2)
The Industrial Revolution and Emergence of Consumer Society (1850–1900)—
A period when advertising grew in importance and size because of numerous
social and technological developments. The purpose of advertising was to devise
an effective, efficient communication system that could sell products to a widely
dispersed marketplace. National media developed as the country’s transportation
system grew.
(3)
Modern Advertising Era (1900–1970)—Advertising industry grew and
organizations specializing in modern professional advertising developed (i.e.,
agencies, established research techniques). New creative practices were developed
to build demand for brands competing in a crowded marketplace.
(4)
Accountability Era (1970–present)—Beginning of the industry-wide focus on
effectiveness. Clients wanted ads that produced sales, so the emphasis was on
research and measurement.
(moderate; p. 21)
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APPLICATION QUESTIONS: MULTIPLE-CHOICE QUESTIONS
111.
What were the marketing challenge and the advertising agency’s objective that resulted in
the “Pods unite” campaign for the Volkswagen Beetle?
a.
to enhance the image of iPods
b.
to sell more iPods
c.
to find a way to make the New Beetle hard-top seem fresh and more of a value
than the competition
d.
to develop a campaign that was consistent with traditional automotive marketing
e.
to win an EFFIE award
(c; moderate; pp. 3–4)
112.
Polo Ralph Lauren clothing is of high quality and style. Instead of stressing the quality of
their clothing, Polo Ralph Lauren does not even include copy (i.e., words) other than their
brand name in their print ads and merely shows beautiful people wearing their clothing
performing activities of the “rich,” such as attending a polo match, or merely depicting a
very well dressed, handsome man. What approach is Polo using?
a.
hard-sell
b.
soft-sell
c.
image-sell
d.
direct-sell
e.
creative-sell
(b; moderate; p. 6)
113.
In the 1990s, McCann-Erickson developed a television ad for Coke to kick off that year’s
summer campaign. The ad was trying to convey a father and son from another planet,
with the father explaining that, in the summer, earthlings worship something called the
“sun.” The camera zoomed in on a beach as though the two were flying in from outer
space when the picture showed a beautiful, young woman drinking a refreshing Coke in
front of a Coke vending machine on the beach, and the son asked his father, “Is that the
sun?” The agency struggled with the commercial to get the message across that they
wanted Coke to be perceived as the center of our universe, eventually coming up with a
new editing technique to convey the meaning they wanted. According to a McCannErickson professional working on the campaign, they wanted to do it because “it had
never been done before.” In spite of these creative efforts and the highly professional
execution, the ad was not effective and ran for only a short time on television. In terms of
the four fundamental concepts that must work in concert for an ad to be truly effective,
which one was deficient in this campaign that caused it to be ineffective?
a.
creative idea
b.
execution
c.
media
d.
strategy
e.
all of the above
(d; difficult; pp. 5–6)
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114.
Roach-B-Gone is a brand of bug spray available to consumers to combat pests in their
home. This brand has an ingredient that instantly kills roaches on contact, which is
superior to all the other competitive bug sprays available in the consumer market. Which
type of advertising approach should Roach-B-Gone use to persuade consumers that their
brand is superior to all others?
a.
hard-sell
b.
soft-sell
c.
image-sell
d.
direct-sell
e.
creative-sell
(a; moderate; p. 6)
115.
Based on research conducted in 1994, how did consumers perceive Volkswagen
automobiles?
a.
reliable and of high quality
b.
too expensive
c.
unreliable and of poor quality
d.
car with an “attitude”
e.
car for hippies
(c; moderate; p. 9)
116.
Pepsi-Cola is a brand of soft drink that has been around for a long time and has been
advertised continuously over the last 50 years. From Pepsi’s perspective, what is the most
likely strength of advertising for them?
a.
can reach a mass audience
b.
introduces products
c.
explains important changes
d.
reminds and reinforces
e.
persuades
(d; moderate; p. 8 [Table 1.1])
117.
In 2005, it cost advertisers more than $2 million to purchase a 30-second advertising spot
during the Super Bowl. From the advertiser’s perspective, what is the most important
strength of advertising if they decide to use this media vehicle?
a.
can reach a mass audience
b.
introduces products
c.
explains important changes
d.
reminds and reinforces
e.
persuades
(a; moderate; p. 8 [Table 1.1])
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118.
Some critics claim that advertising has a strong impact on how young women view
themselves, resulting in negative self-images. Some have even claimed that advertising is
a major cause of eating disorders for young women because ads targeted to this
demographic use unreasonably thin models. Which role of advertising does this
illustrate?
a.
marketing role
b.
economic role
c.
societal role
d.
communication role
e.
soft-sell role
(c; easy; p. 10)
119.
In which product category is the most spent on advertising in the United States?
a.
entertainment and events
b.
automotive
c.
airline travel, hotels, and resorts
d.
restaurants
e.
food, beverages, and confectionary
(b; difficult; p. 11 [Table 1.2])
How many times did the “1984” commercial for Apple computer run?
a.
1
b.
2
c.
20
d.
50
e.
more than 100
(a; easy; p. 12)
120.
121.
Which of the following was the top U.S. advertising agency with respect to gross income
in 2003?
a.
Leo Burnett
b.
McCann-Erickson Worldwide
c.
Dentsu, Inc
d.
Arnold Worldwide
e.
J. Walter Thompson
(e; difficult; p. 13)
122.
Which of the following is the largest media company in terms of revenue and employees?
a.
Viacom
b.
News Corp.
c.
Comcast
d.
Time Warner
e.
Disney
(d; difficult; p. 15 [Table 1.3])
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123.
Brad is a music industry major in college, and he wants to work in the advertising
industry writing and performing jingles for radio commercials. Which “key player” in the
advertising industry will Brad likely be associated with after he graduates?
a.
advertiser
b.
agency
c.
media
d.
vendor
e.
creative
(d; moderate; p. 16)
124.
Bolls and Associates is a full-service advertising agency that will develop a client’s
advertising campaign from strategy through execution and media exposure. However,
Bolls and Associates does not actually produce the television commercials or shoot the
photography for print ads, but rather, they hire outside experts to actually produce those
elements of the campaign for them because they don’t have that expertise and it is
actually more cost effective to pay others to do it for them. Which type of “key player” is
Bolls and Associates advertising agency using to produce the advertisements for their
client?
a.
advertiser
b.
agency
c.
media
d.
vendor
e.
creative
(d; moderate; p. 16)
125.
6SecondABS, an abdominal workout device, runs an infomercial that lasts 30 minutes and
demonstrates the benefits of their product. They claim that users of their product can
reduce their waist and lose one size in a week when following their workout plan.
Viewers can call the 1-800 number on the infomercial to purchase the product directly.
To stimulate a sale immediately, the infomercial offers several incentives, such as a lower
price and additional products, if consumers call in the “next 30 minutes.” Which type of
advertising is this?
a.
deceptive
b.
national
c.
retail
d.
direct response
e.
direct-to-consumer
(d; moderate; p. 17)
126.
The Effie award in advertising is given by which organization?
a.
New York Chapter of the American Marketing Association
b.
Institute of Practitioners
c.
New York Festivals Company
d.
Adweek
e.
Promotion Marketing Association
(a; moderate; p. 20)
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APPLICATION QUESTIONS: MINI-CASE MULTIPLE-CHOICE
Polo Ralph Lauren manufactures and sells high-quality, expensive brands of clothing as well as
accessories, cosmetics, and home products. They maintain complete control over the brand
image and all of the functions necessary to develop, execute, and deliver their advertising. They
appeal to consumers’ lifestyle aspirations even though their products are of high quality and
better than most competitors’ offerings. The objective in their advertising is to convey their
image and the fashion statement it makes.
127.
Mini-Case Question. What type of advertising approach would be the most appropriate
for Polo Ralph Lauren’s objectives?
a.
hard-sell
b.
soft-sell
c.
image-sell
d.
direct-sell
e.
creative-sell
(b; moderate; p. 6)
128.
Mini-Case Question. Since Because Polo Ralph Lauren wants to maintain close control
over its image and advertising, which of the following statements is most likely true?
a.
They will most likely use an outside advertising agency to develop and execute
their advertising.
b.
They will most likely use an agency-of-record to develop and execute their
advertising.
c.
They will most likely not use any outside resources, such as vendors, to assist in
developing and executing their advertising.
d.
They will get better media rates by not using an advertising agency to purchase
their advertising time and space.
e.
They will most likely use an in-house agency to develop and execute their
advertising.
(e; difficult; p. 14)
129.
Mini-Case Question. When Polo Ralph Lauren advertises in fashion magazines, they
focus on their brand identity and image by merely illustrating a beautiful, well-dressed
person without giving any information at all except the brand name. What type of
advertising is this?
a.
retail advertising
b.
image advertising
c.
brand advertising
d.
direct-response advertising
e.
indirect advertising
(c; moderate; p. 17)
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130.
Mini-Case Question. Several of Polo Ralph Lauren’s ads have won awards based solely
on their creative ideas. Of the following, what type of awards might these have been?
a.
EFFIE
b.
CLIOS
c.
Reggie
d.
Silver Anvil
e.
Halo
(b; difficult; p. 20)
APPLICATION QUESTIONS: SHORT-ANSWER
131.
Define advertising and discuss where it fits in the marketing process.
Answer:
Advertising is paid persuasive communication that uses nonpersonal mass media to reach
broad audiences—as well as other forms of interactive communication—to connect an
identified sponsor with a target audience. Marketing is the process a business uses to
satisfy consumer needs and wants by providing goods and services. Marketing does this
through the use of products, their price, their distribution, and their promotion.
Advertising is one tool used in the promotion mix.
(moderate; pp. 5 and 8)
132.
Compare and contrast hard-sell and soft-sell approaches and give an example of each.
Answer:
Hard-sell approaches use reasons to persuade consumers, and soft-sell approaches build
an image for a brand and touch consumers’ emotions. An example of a hard-sell
approach is an automobile ad emphasizing the attributes of the car and the lease-price
information. Just about any cosmetic or fashion ad uses a soft-sell approach.
(easy; p. 6)
133.
Explain why Volkswagen’s “Drivers Wanted” campaign was so successful.
Answer:
It appears that the four fundamental concepts that must work in concert for an ad to be
effective were, if fact, doing that. Although there is no information regarding the media
used and the actual execution, it would be safe to assume that these two concepts were
carried out effectively. The information provided in “A Matter of Practice” stresses how
the campaign was based on sound strategy and an effective creative idea. Research
indicated that consumers perceived the brand as unreliable and of poor quality, which
was contrary to Volkswagen’s heritage as an affordable, well-engineered car for people
with a unique attitude toward life. So their agency developed the “Drivers Wanted”
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campaign, which, in addition to being catchy, carved out a place in the market that
Volkswagen could own, as it defined a distinctive target audience. They targeted
younger, more educated, and more affluent-than-average consumers, with the key
distinction that they loved to drive. The campaign was successful because the advertising
strategy, creative idea, and presumably creative execution and media all worked in
concert to achieve Volkswagen’s stated objectives.
(moderate; p. 9)
134.
Ads during the 2005 Super Bowl cost an advertiser more than $2 million for 30 seconds
of time. Why would an advertiser pay this much for advertising time?
Answer:
This question is getting at the strengths of advertising, which are listed in Table 1.1. The
specific strength this question is targeting is the fact that advertising can reach a mass
audience. One of the big advantages of mass media advertising is that it can reach a lot of
people with a single message in a very cost-efficient manner.
(moderate; pp. 8 [Table 1.1] and 15)
135.
Compare and contrast the terms product category and brand, and give examples of each.
Answer:
Product category refers to the classification to which the product is assigned. A brand is
a distinctive identity of a particular product in a product category that distinguishes it
from its competitors. For example, Tide, Cheer, and Era are examples of different brand
offerings in the product category of laundry detergent. Brands may or may not be
produced by different companies (e.g., Procter & Gamble has several different brands of
laundry detergent), but brands compete with one another for consumers’ dollars in that
product category.
(moderate; p. 8)
136.
Critique the statement, “Advertising is the communications arm of the marketing
process.”
Answer:
Although it is true that advertising is part of the promotion “P” of marketing and
performs a communication function, other elements also communicate to consumers. The
broad term marketing communications includes advertising, but it also includes a number
of related communications techniques used in marketing, such as sales promotion, public
relations, direct responses, events and sponsorship, and personal selling. Other elements
of the marketing mix also perform a communication role. Characteristics of the product
offering, such as the packaging, color, size, brand name, and so forth communicate. Price
and place (distribution) also communicate information to consumers. To sum, advertising
is not the only communications arm of the marketing process, but it is one of the most
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important marketing communication tools in that it can reach a large audience in a costefficient manner.
(difficult; p. 8)
137.
Explain why advertising is criticized from an economic perspective and provide an
opposing argument.
Answer:
Some criticize advertising as being so persuasive that it decreases the likelihood that a
consumer will switch to an alternative product, regardless of the price charged.
Advertising focuses on other attributes so the consumer makes a decision on nonprice
benefits, such as psychological appeal. This leads to advertisers being able to charge
higher prices because consumers become less price-sensitive.
An opposing view sees advertising as a vehicle for helping consumers assess value,
through price as well as other elements, such as quality, location, and reputation. Rather
than diminishing the importance of price as a basis for comparison, supporters of this
school of thought view the role of advertising as a means to objectively provide
price/value information, thereby creating a more rational economy.
(moderate; pp. 8 and 10)
138.
Critique the statement, “Advertising has no redeeming social value.” Why do you think
some hold this view of advertising?
Answer:
Advertising has a number of positive social roles. It informs consumers about new and
improved products, helps them compare products and features, and generally keeps them
informed about innovations and issues. It has an educational role in that it teaches about
new products and how to use them. Advertising also mirrors fashion and design trends
and adds to our aesthetic sense and helps us shape an image of ourselves by setting up
role models that we can identify with; it also gives us a way to express ourselves in terms
of our personalities and sense of style through the things we wear and use. For this
reason, though, some view advertising as overly influential on consumers’ view of
themselves and may lead them to buy things they really don’t need or to develop negative
self-images based on what they see in advertising.
(moderate; p. 10)
139.
Why do businesses advertise?
Answer:
This question is getting at a discussion of either the strengths or functions of advertising.
The strengths of advertising are: (1) ability to reach a mass audience, (2) introduces
products, (3) explains important changes, (4) reminds and reinforces, and (5) persuades.
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The functions of advertising are: (1) builds awareness of products and brands, (2) creates
a brand image, (3) provides product and brand information, (4) persuades people, (5)
provides incentives to take action, (6) provides brand reminders, and (7) reinforces past
purchases and brand experiences.
(moderate; pp. 8 [Table 1.1] and 10)
140.
What message was Apple trying to convey with its “1984” advertisement, which aired
only once during the 1984 Super Bowl?
Answer:
Apple was targeting all those in the audience who were trying to decide whether they
should buy a personal computer (remember that not many households owned personal
computers at that time). The ad portrayed zombie-like, gray-skinned drones watching a
massive screen image of “big brother” when an athletic young woman in bright red shorts
runs in chased by helmeted storm-troopers and throws a large sledgehammer over the
open-mouthed drones as they “see the light.” The only words were “On January 24th,
Apple Computer will introduce Macintosh. And you’ll see why 1984 won’t be like
‘1984’.” Some feel the meaning was that IBM was “big brother” and those that follow
were merely mind-numbed drones. The ad cut through the clutter and stood out among all
the other ads during the Super Bowl, creating “buzz.” It was risky, but Apple easily
surpassed its sales goals.
(moderate; p. 12)
141.
Several large corporations have several brand offerings in several product categories.
How might they organize for advertising?
Answer:
Most large businesses have advertising departments, whose primary responsibility is to
act as a liaison between the marketing department and the advertising agency (or
agencies) and other vendors. Many companies may have hundreds of agencies working
for them, although they normally have an agency-of-record, which does most of their
business and may even manage other agencies.
(moderate; p. 13)
142.
Why might an advertiser use an in-house agency?
Answer:
Companies that need closer control over their advertising have their own in-house
agencies. Large retailers, for example, find that doing their own advertising provides cost
savings as well as the ability to meet deadlines. Some advertisers also create their own
advertising in-house to maintain complete control over the brand image.
(moderate; p. 14)
202
Chapter Six: Strategic Research
143.
In the 1990s, Calvin Klein used some very controversial ads depicting what looked like
drug-addicted teenagers posing in sexually suggestive poses. Calvin Klein claimed that
all the models in the ads were adults, but critics claimed that it did not look that way. It
was reported that the ads were produced “in-house.” Why do you think Calvin Klein used
an in-house agency to produce these ads instead of an outside agency?
Answer:
One reason advertisers use an in-house agency is so they can maintain complete creative
control over their advertising and brand image. Calvin Klein is no stranger to
controversial advertising. It would appear difficult to explain this creative idea to an
outside agency, and an independent agency might not have been willing to produce such
controversial advertising.
(difficult; p. 14)
144.
In 2005, a 30-second spot on Fox’s American Idol reportedly cost advertisers more than
$600,000. Why is mass media considered cost-effective when it costs so much?
Answer:
Although it’s true that mass media advertising, particularly on television, is very
expensive on an absolute basis, mass media advertising can be cost-effective because the
costs are spread over the large number of people reached by the ad. American Idol is one
of the most popular TV shows, which means that advertisers will reach millions of
viewers with one message.
(moderate; p. 15)
145.
What type of advertising is the “Pods unite” ad discussed in the chapter opener? Explain
your answer.
Answer:
That would be brand advertising, because it was advertising of a brand that has national
distribution and focused on the development of the brand’s identity and image.
Volkswagen wanted to tie its image with that of iPod users in that they are both unique
brands.
(moderate; pp. 3–4 and 17)
146.
Several ads for a company have won creativity awards. Does that mean the ads were
effective?
Answer:
Not necessarily. Creativity awards, such as the CLIOS, are based on an ad’s creativity
alone. While the creative idea and execution are two of the fundamental concepts
necessary for an ad to be effective, they are not necessarily sufficient. Effective ads are
203
Part Two: Planning and Strategy
ones that satisfy consumers’ objectives by engaging them with a relevant message that
catches their attention, speaks to their interests, and remains in their memories. From a
company’s perspective, the ads achieve the company’s marketing objectives, which are
usually related to growth and sales, and contribute to the success of the business.
(moderate; pp. 5–6 and 19)
147.
Explain what is meant by the phrase, the new advertising.
Answer:
There are several issues and trends that are leading to a new view of advertising.
Electronic media that allow for interactivity are changing the way advertising is
developed and used. Advertising now has the ability to be more personal and interactive
and more likely to employ creative new uses of communication opportunities beyond the
traditional mass media. The trend toward integrated marketing communications is also
requiring the unification of all marketing communications tools so they send a consistent,
persuasive message promoting company goals. Finally, globalization has raised the
question of practicing global or local advertising, making advertisers ask whether they
should standardize ads and/or strategies across all cultures or adapt them to local markets.
(moderate; pp. 21–24)
APPLICATION QUESTIONS: MINI-CASE SHORT ANSWER
Joan recently opened a store in her community that specializes in home decor, including some
furniture, such as sofas, chairs, and end tables, but mostly home-decorating accessories. She is
also a certified interior decorator, and she provides expertise in assisting do-it-yourself home
decorators in “putting it all together.” She has not been pleased with her sales so far, and she
decides she needs to promote her business.
148.
Mini-Case Question. If Joan decides to use advertising, what type of advertising will that
be and what should it emphasize?
Answer:
The type of advertising will be retail, or local, advertising, which is advertising that
announces facts about products that are available in nearby stores with the objective of
stimulating store traffic and creating a distinctive image for Joan’s store. The advertising
should emphasize the line of products offered in the retail store, but Joan should probably
also stress her expertise as many home decor stores for “do-it-yourselfers” do not provide
that expertise.
(moderate; p. 17)
204
Chapter Six: Strategic Research
149.
Mini-Case Question. What other communications tools besides advertising can Joan use?
Give some specific examples.
Answer:
There are several other marketing communications tools besides advertising that Joan can
use to promote her business, including sales promotion, public relations, direct response,
and events and sponsorships. Sales promotion could include providing an incentive for
repeat purchases through a loyalty buyer program, or she might offer a premium with the
purchase of a major item, such as providing accent pillows with the purchase of a sofa.
Joan could also attempt to get free publicity by getting interviewed by the local
newspaper or going on a local television program providing decorating tips for do-ityourself home decorators. She could also host free (or paid) home decorating seminars at
her store, which is a type of event. She might even consider sponsoring a local high
school’s club or class that focuses on home decorating. These are just a few of the many
possibilities students could discuss.
(moderate; p. 8)
150.
Mini-Case Question. Joan does not have a lot of resources to spend on promoting her
business. What key player in advertising is most likely to be of value to Joan in assisting
her in her advertising efforts?
Answer:
The key players in advertising are the advertiser (Joan), advertising agency, media,
vendors, and the target audience. Because Joan is a local retailer with limited geographic
reach and limited financial resources, she would benefit from using local media, such as
radio and newspapers. Many media organizations will assist advertisers in the design and
production of advertisements, such as a retailer preparing an ad for the local newspaper.
Some, such as radio or cable television, may even produce the advertisement for little or
no charge. Local media also assist advertisers in gaining a better understanding of their
target audience as well as setting reasonable objectives for their advertising. Vendors,
such as photographers and television production companies, may also be able to assist
Joan in producing her ads. Finally, Joan could use a full-service advertising agency that
will perform every function of advertising for her, but with her limited resources, this
may not be feasible, or even necessary.
(moderate; pp. 13–16)
CHAPTER TWO
Advertising’s Role in Marketing
GENERAL CONTENT: MULTIPLE-CHOICE QUESTIONS
205
Part Two: Planning and Strategy
151.
An organizational function and set of processes for creating, communicating, and
delivering value to customers and for managing customer relationships in ways that
benefit the organization and its stakeholders is known as ________.
a.
advertising
b.
promotion
c.
marketing
d.
management
e.
production
(c; easy; p. 31)
The goal of marketing is to match a product’s availability to ________.
a.
the competition’s availability
b.
the previous year’s level of sales
c.
the company’s production capabilities
d.
the consumers’ needs, desire, or demand for the product
e.
the legal limits with respect to productivity
(d; moderate; p. 31)
152.
153.
Which key concept in marketing suggests that marketing should focus first on identifying
the needs and wants of the customer?
a.
customer concept
b.
marketing concept
c.
product concept
d.
exchange
e.
production concept
(b; moderate; p. 31)
154.
In which situation is the product or corporate-focused approach to marketing still used?
a.
industries where product innovation is important, such as high technology
b.
highly regulated industries
c.
highly competitive markets
d.
homogeneous markets
e.
heterogeneous markets
(a; moderate; p. 31)
155.
The act of trading a desired product or service to receive something of value in return is
known as which key concept in marketing?
a.
marketing concept
b.
product concept
c.
exchange
d.
production concept
e.
customer concept
206
Chapter Six: Strategic Research
(c; easy; p. 32)
156.
What is exchanged in marketing?
a.
goods
b.
services
c.
money
d.
ideas
e.
all of the above
(e; easy; p. 32)
157.
________ is the process of creating a special meaning for a product, one that makes it
distinctive in the marketplace and in its product category.
a.
Advertising
b.
Branding
c.
Exchange
d.
Marketing
e.
Adding value
(b; moderate; p. 33)
158.
When a brand name or brand mark is legally protected through registration with the
Patent and Trademark Office of the Department of Commerce, it becomes a ________.
a.
known name
b.
generic name
c.
brand mark
d.
trademark
e.
brand identity
(d; easy; p. 35)
159.
Which government agency provides a brand name or brand mark trademark protection?
a.
Federal Trade Commission
b.
Department of Commerce
c.
Federal Communication Commission
d.
Justice Department
e.
Securities and Exchange Commission
(b; moderate; p. 35)
207
Part Two: Planning and Strategy
160.
________ is the reputation, meaning, and value that the brand name or symbol has
acquired over time.
a.
Trademark
b.
Copyright
c.
Brand image
d.
Brand identity
e.
Brand equity
(e; difficult; p. 35)
161.
Which of the following measures the financial value the brand contributes to a company?
a.
trademark
b.
copyright
c.
brand image
d.
brand identity
e.
brand equity
(e; moderate; p. 35)
162.
Which of the following does NOT add value to a product?
a.
advertising
b.
convenience
c.
useful features
d.
branding
e.
all of the above add value to a product
(e; moderate; pp. 35–36)
163.
Which of the following is NOT a way advertising adds value to a product?
a.
making the product appear more desirable
b.
making the product appear more of a status symbol
c.
making the product more convenient for consumers to buy
d.
providing news and useful information of interest to consumers
e.
all of the above are ways advertising adds value to a product
(c; difficult; p. 36)
164.
Which method of adding value to a product is purely psychological?
a.
branding
b.
quality
c.
features
d.
convenience
e.
service
(a; moderate; p. 36)
208
Chapter Six: Strategic Research
Which of the following is considered a “key player” in the marketing industry?
a.
marketer
b.
suppliers or vendors
c.
distributors or retailers
d.
agencies
e.
all of the above
(e; moderate; p. 37)
165.
166.
Which key player in marketing is the organization, company, or manufacturer producing
the product and offering it for sale?
a.
marketer
b.
supplier or vendor
c.
distributor or retailer
d.
agency
e.
brand manager
(a; easy; p. 37)
167.
In most companies of any size, the marketing function is handled by a(n) ________.
a.
agency
b.
consultant
c.
marketing department
d.
brand manager
e.
advertising department
(c; easy; p. 37)
Who is responsible for all the strategic decisions relating to a brand’s product design and
manufacture as well as the brand’s pricing, distribution, and marketing communications?
a.
marketing manager
b.
vice-president of marketing
c.
director of marketing
d.
brand manager
e.
advertising manager
(d; moderate; p. 37)
168.
169.
The materials and ingredients used in producing the product are obtained from other
companies who are referred to as ________.
a.
marketers
b.
suppliers or vendors
c.
distributors or retailers
d.
agencies
e.
supply chainers
(b; moderate; p. 38)
209
Part Two: Planning and Strategy
170.
The complex network of suppliers who produce components and ingredients that are then
sold to the manufacturer is known as the ________.
a.
network chain
b.
channel of distribution
c.
supply chain
d.
ingredient chain
e.
distribution chain
(c; easy; p. 38)
171.
In marketing theory, every contribution from the supply chain adds ________ to the
product.
a.
value
b.
costs
c.
complexity
d.
convenience
e.
ingredients
(a; moderate; p. 38)
________ means acknowledging a supplier’s brand as an important product feature.
a.
Co-branding
b.
Ingredient branding
c.
Inside branding
d.
Inclusive branding
e.
Shared branding
(b; moderate; p. 39)
172.
173.
The ________ refers to the various companies that are involved in moving a product
from its manufacturer into the hands of its buyer.
a.
network chain
b.
distribution chain
c.
supply chain
d.
ingredient chain
e.
promotion network
(b; easy; p. 39)
174.
Which of the following types of businesses is NOT considered part of the distribution
chain?
a.
dealers
b.
wholesalers
c.
brokers
d.
vendors
e.
retailers
(d; difficult; p. 39)
210
Chapter Six: Strategic Research
175.
Wholesalers primarily use which promotion tool?
a.
advertising
b.
public relations
c.
personal selling
d.
television
e.
all of the above
(c; moderate; p. 39)
176.
Which of the following is NOT a media vehicle typically used by wholesalers?
a.
television
b.
direct mail
c.
trade papers
d.
catalogs
e.
all of the above are typically used by wholesalers
(a; moderate; p. 39)
To whom is retailers’ advertising directed?
a.
their customers
b.
wholesalers
c.
brokers
d.
manufacturers
e.
customers of the manufacturers
(a; difficult; p. 39)
177.
178.
What term is used to mean a place or a particular type of buyer?
a.
market
b.
customer
c.
channel
d.
target
e.
segment
(a; moderate; p. 39)
179.
The percentage of the total market in a product category that buys a particular brand is
known as ________.
a.
share of voice
b.
market segment
c.
consumer market
d.
share of market
e.
industrial market
(d; moderate; p. 39)
211
Part Two: Planning and Strategy
180.
Which of the following is NOT considered a main type of market?
a.
consumer
b.
business-to-business (industrial)
c.
reseller
d.
institutional
e.
media
(e; moderate; p. 39)
181.
________ markets consist of people who buy products and services for personal or
household use.
a.
Consumer
b.
Business-to-business (industrial)
c.
Reseller
d.
Institutional
e.
Direct
(a; easy; p. 41)
182.
The multitude of products that consumers can purchase at drug and grocery stores are
known as ________ goods.
a.
shopping
b.
package
c.
end-user
d.
everyday
e.
inexpensive
(b; moderate; p. 41)
183.
________ markets consist of companies that buy products or services to use in their own
businesses or in making other products.
a.
Consumer
b.
Business-to-business (industrial)
c.
Reseller
d.
Institutional
e.
Indirect
(b; easy; p. 41)
184.
Ads targeting which type of market are usually heavier on factual content than on
emotional appeals?
a.
consumer
b.
business-to-business (industrial)
c.
international
d.
direct
e.
indirect
(b; moderate; p. 41)
212
Chapter Six: Strategic Research
185.
________ markets include a wide variety of profit and nonprofit organizations, such as
hospitals, government agencies, and schools, which provide goods and services for the
benefit of society.
a.
Consumer
b.
Business-to-business (industrial)
c.
Reseller
d.
Institutional
e.
Direct
(d; easy; p. 41)
186.
________ markets are made up of members of the distribution chain.
a.
Consumer
b.
Business-to-business (industrial)
c.
Channel
d.
Institutional
e.
Direct
(c; moderate; p. 41)
187.
Which of the following is NOT considered a type of reseller?
a.
wholesaler
b.
retailer
c.
manufacturer
d.
distributor
e.
all of the above are considered resellers
(c; moderate; p. 41)
188.
In which type of market do businesses spend most of their advertising dollars?
a.
consumer
b.
business-to-business (industrial)
c.
reseller
d.
channel
e.
institutional
(a; moderate; p. 41)
189.
What is the first step in the marketing process?
a.
Set objectives for the marketing effort.
b.
Research the consumer market and the competitive marketplace and develop a
situation analysis.
c.
Assess consumer needs and wants relative to the product, segment the market into
groups that are likely to respond, and target specific markets.
d.
Differentiate and position the product relative to the competition.
e.
Develop the marketing mix strategy.
(b; moderate; p. 41)
213
Part Two: Planning and Strategy
190.
What is the second step in the marketing process?
a.
Assess consumer needs and wants relative to the product, segment the market into
groups that are likely to respond, and target specific markets.
b.
Set objectives for the marketing effort.
c.
Research the consumer market and the competitive marketplace and develop a
situation analysis.
d.
Differentiate and position the product relative to the competition.
e.
Develop the marketing mix strategy.
(b; moderate; p. 41)
191.
Marketing research, which is original research undertaken to answer specific questions, is
known as ________ research.
a.
primary
b.
secondary
c.
non-original
d.
objective
e.
subjective
(a; moderate; p. 42)
192.
Which of the following is NOT considered a key strategic decision in marketing?
a.
SWOT analysis
b.
objectives
c.
segmenting and targeting
d.
differentiation and positioning
e.
all of the above are considered key strategic decisions in marketing
(a; moderate; p. 42)
193.
The process of identifying groups within the market whose needs and wants intersect
with the product and its features is known as ________.
a.
setting objectives
b.
research
c.
differentiation
d.
positioning
e.
segmentation
(e; easy; p. 42)
194.
________ refers to how consumers see a brand relative to the other brands in the
category.
a.
Segmentation
b.
Targeting
c.
Differentiating
d.
Positioning
e.
Perception
(d; moderate; p. 42)
214
Chapter Six: Strategic Research
195.
Which marketing element includes product design and development, product operation
and performance, branding, and the physical dimensions of packaging?
a.
packaging
b.
branding
c.
product
d.
place
e.
promotion
(c; easy; p. 42)
196.
Which marketing element includes personal selling, advertising, public relations, sales
promotion, direct marketing, events and sponsorships, point-of-sale and the
communication aspects of packaging?
a.
price
b.
branding
c.
product
d.
place
e.
promotion
(e; easy; p. 43)
The promotion “P” of marketing is also known as ________.
a.
product
b.
distribution
c.
price
d.
marketing communication
e.
differentiation
(d; easy; p. 43)
197.
198.
Which element of the marketing mix includes distribution channels, market coverage,
and storage?
a.
product
b.
promotion
c.
price
d.
communication
e.
place
(e; moderate; p. 43 [Figure 2.2])
199.
When a company distributes its products directly to buyers without the use of a reseller,
this is known as ________.
a.
indirect marketing
b.
no-channel marketing
c.
direct marketing
d.
indirect channel marketing
e.
integrated marketing
(c; moderate; p. 44)
215
Part Two: Planning and Strategy
200.
When a company distributes its products through a channel structure that includes one or
more resellers, this is known as ________.
a.
indirect marketing
b.
dual-channel marketing
c.
direct marketing
d.
multi-level marketing
e.
integrated marketing
(a; moderate; p. 44)
201.
In which type of allowance does the producer share with the reseller the cost of placing
an advertisement?
a.
off-invoice allowance
b.
buying allowance
c.
promotional allowance
d.
cooperative advertising allowance
e.
communication allowance
(d; moderate; p. 44)
202.
Which strategy directs marketing efforts at the consumer?
a.
push
b.
end-user
c.
pull
d.
coverage
e.
cooperative
(c; moderate; p. 44)
203.
A ________ strategy directs marketing efforts at resellers, and success depends on the
ability of these intermediaries to market the product, which they often do with
advertising.
a.
push
b.
pull
c.
coverage
d.
direct
e.
pulley
(a; moderate; p. 44)
204.
Which of the following is NOT a factor on which the price of a product is based?
a.
what the market will bear
b.
the amount of support provided by resellers
c.
economic well-being of the consumer
d.
the consumer’s ability to gauge the value
e.
the relative value of the product
(b; difficult; p. 44)
216
Chapter Six: Strategic Research
205.
Which pricing strategy uses a single, well-known price for a long period of time?
a.
psychological pricing
b.
cost-plus pricing
c.
customary pricing
d.
typical pricing
e.
normal pricing
(c; moderate; p. 45)
Which pricing strategy uses advertising to manipulate the customer’s judgment of value?
a.
psychological pricing
b.
deceptive pricing
c.
relative pricing
d.
comparative pricing
e.
customary pricing
(a; moderate; p. 45)
206.
207.
Which marketing communication tool uses face-to-face contact between the marketer and
a prospective customer?
a.
advertising
b.
sales promotion
c.
public relations
d.
personal sales
e.
customary marketing
(d; easy; p. 45)
208.
Which of the following is NOT considered a main benefit of hiring an advertising
agency?
a.
specialized services
b.
more creative advertising
c.
objective advice
d.
experienced staffing
e.
tailored management of all advertising activities and personnel
(b; difficult; p. 47)
209.
Which of the following is a function included in a full-service agency?
a.
account management
b.
creative services
c.
media planning and buying
d.
account planning
e.
all of the above
(e; easy; p. 47)
217
Part Two: Planning and Strategy
210.
Which department of a full-service advertising agency handles internal tracking on
completion of projects?
a.
account management
b.
creative services
c.
media planning and buying
d.
account planning
e.
traffic
(e; moderate; p. 47)
211.
________ are ad agencies, usually small, that concentrate entirely on preparing the
creative execution of client marketing communications.
a.
Creative freelancers
b.
Creative boutiques
c.
Specialized agencies
d.
Media-buying services
e.
Traffic coordinators
(b; moderate; p. 49)
212.
Which of the following is NOT a reason media-buying services agencies are in high
demand?
a.
Media has become more complex as the number of choices grows.
b.
Technology has made this function very complicated.
c.
The cost of maintaining a competent media department has escalated.
d.
Media-buying services often buy media at a low cost because they can group
several clients’ purchases together to develop substantial buying power.
e.
All of the above are reasons media-buying services agencies are in high demand.
(b; difficult; p. 49)
213.
Which department of an advertising agency acts as a liaison between the client and the
agency?
a.
account management
b.
creative services
c.
media planning and buying
d.
account planning
e.
traffic
(a; moderate; p. 49)
214.
Which level of account management in a major agency provides leadership on strategic
issues and looks for new business opportunities?
a.
account supervisor
b.
account executive
c.
account vice president
d.
management supervisor
e.
account director
(d; moderate; p. 49)
218
Chapter Six: Strategic Research
215.
The ________ is responsible for day-to-day activities and operates like a project manager
in an advertising agency.
a.
account supervisor
b.
account executive
c.
account vice president
d.
management supervisor
e.
account director
(b; moderate; p. 49)
216.
Who gathers all available intelligence on the market and consumers and acts as the voice
of the consumer, becoming the strategic specialist who prepares comprehensive
recommendations about consumers’ wants, needs, and relationship to the client’s brand
and how the advertising should work to satisfy those elements based on insights they
derive from consumer research?
a.
account manager
b.
copywriter
c.
account planner
d.
management supervisor
e.
account director
(c; moderate; p. 50)
217.
A ________ is the amount an ad agency charges the client as a percentage of the media
cost.
a.
fee
b.
retainer
c.
commission
d.
flat rate
e.
percentage rate
(c; easy; p. 51)
218.
A ________ brand is one marketed in a single country.
a.
national
b.
local
c.
regional
d.
limited
e.
minor
(b; moderate; p. 52)
219.
________ uses databases to drive communication with customers and keep track of their
interactions with a company.
a.
Integrated marketing
b.
Relationship marketing
c.
Permission marketing
d.
Customer relationship management
e.
International marketing
(d; difficult; p. 53)
219
Part Two: Planning and Strategy
220.
The practice of inviting prospective customers to sign up or self-select themselves into a
brand’s target market in order to receive marketing communications is referred to as
________.
a.
integrated marketing
b.
relationship marketing
c.
permission marketing
d.
customer relationship management
e.
selective marketing
(c; moderate; p. 53)
GENERAL CONTENT: TRUE/FALSE QUESTIONS
221.
Marketing is the way a product is designed, tested, produced, branded, packaged, priced,
distributed, and promoted.
(True; easy; p. 31)
222. The goal in marketing is to sell as many products as possible.
(False; moderate; p. 31)
223.
A company that operates with a marketing concept philosophy focuses on satisfying its
customers’ needs and wants.
(True; easy; p. 31)
224.
It is considered inappropriate to use a product or company-focused approach in
advertising.
(False; moderate; p. 31)
225.
Advertising is the process of creating a special meaning for a product, one that makes it
distinctive in the marketplace and in its product category.
(False; moderate; p. 33)
226.
Brand equity is the reputation, meaning, and value that the brand name or symbol has
acquired over time and measures the financial value the brand contributes to the
company.
(True; easy; p. 35)
227. Advertising can add value to a brand.
(True; moderate; p. 36)
228.
The key players in the marketing industry include the marketer, suppliers or vendors,
distributors and retailers, and agencies.
(True; moderate; p. 37)
220
Chapter Six: Strategic Research
The marketing manager is the person in the marketer’s organization responsible for all
the strategic decisions relating to the brand’s product design and manufacture as well as
the brand’s pricing, distribution, and marketing communications.
(False; difficult; p. 37)
229.
230.
The materials and ingredients used in producing the product are obtained from other
companies who are referred to as distributors.
(False; moderate; p. 38)
231.
The channel of distribution refers to the complex network of suppliers who produce
components and ingredients that are then sold to the manufacturer.
(False; moderate; p. 38)
232. Co-branding means acknowledging a supplier’s brand as an important product feature.
(False; moderate; p. 39)
233.
The supply chain refers to the various companies that are involved in moving a product
from its manufacturer into the hands of its buyer.
(False; moderate; p. 39)
234.
Resellers may actually take ownership of the product and participate in the marketing,
including the advertising.
(True; moderate; p. 39)
235. Only manufacturers advertise.
(False; moderate; p. 39)
Retailers’ main concern with respect to advertising is that it be directed at their customers
as opposed to the customers of the manufacturers.
(True; difficult; p. 39)
236.
237.
When marketing strategists speak of markets, they generally refer to groups of people or
organizations.
(True; moderate; p. 39)
238. Institutional markets consist of people who buy products and services for personal use.
(False; easy; p. 41)
239. Institutional markets are made up of nonprofit organizations only.
(False; moderate; p. 41)
240.
Institutional markets are wholesales, retailers, and distributors who buy finished or
semifinished products and resell them for a profit.
(False; moderate; p. 41)
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241. Businesses spend most of their advertising dollars on business-to-business markets.
(False; moderate; p. 41)
242. The first step in the marketing process is to set objectives for the marketing effort.
(False; difficult; p. 41)
243. The marketing process begins with the production of a product.
(False; moderate; p. 42)
244.
Gathering information from already existing and published sources is known as primary
research.
(False; moderate; p. 42)
Primary research identifies the brand’s strengths and weaknesses, as well as corporate
and market opportunities and threats.
(False; moderate; p. 42)
245.
246.
The process of assessing whether there are identifiable groups within the market whose
needs and wants intersect with the product and its features is known as targeting.
(False; moderate; p. 42)
247.
Positioning refers to how consumers view and compare competitive brands or types of
products—how they see a brand relative to other brands in the category.
(True; moderate; p. 42)
248. The product is both the object of the advertising and the reason for marketing.
(True; moderate; p. 43)
249.
A push strategy directs marketing efforts at the consumer in an attempt to stimulate
consumer demand.
(False; moderate; p. 44)
250.
Creative boutiques are ad agencies, usually small, that concentrate entirely on preparing
the creative execution of client marketing communications.
(True; easy; p. 49)
The management supervisor is the key executive on a client’s business and the primary
liaison between the client and the agency.
(False; moderate; p. 49)
251.
102.
A media planner is a type of planner who gathers all available intelligence on the market
and consumers and acts as the voice of the consumer.
(False; moderate; p. 50)
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Chapter Six: Strategic Research
103.
The traffic department in a full-service advertising agency acts as a liaison between the
client and the agency.
(False; moderate; p. 51)
104.
Integrated marketing (IM) is a recent trend that uses databases to drive communication
with customers and keep track of their interactions with a company.
(False; moderate; p. 53)
105.
The practice of inviting prospective customers to sign up or self-select themselves into a
brand’s target market in order to receive marketing communication is referred to as
permission marketing.
(True; easy; p. 53)
GENERAL CONTENT: ESSAY QUESTIONS
106.
Identify the four key concepts in marketing and explain how they relate to advertising.
Answer:
The four key concepts in marketing and how they relate to advertising:
(1)
Marketing Concept—An approach that suggests marketing should focus first on
identifying the needs and wants of the customer, rather than on finding ways to
sell products that may or may not meet customers’ needs. This concept suggests
that marketers must first determine the customers’ needs and wants and then
develop, manufacture, market, and service goods that fill those particular needs
and wants, thus creating solutions for customers’ problems. Both of these steps
are addressed in advertising planning through consumer research and the methods
used by planners to develop insight into consumer decision making.
(2)
Exchange—The act of trading a desired product or service to receive something
of value in return. Typically, money is exchanged for products, which can be
goods, services, or ideas. In addition to economic exchange, marketing also
facilitates communication exchange. Advertising provides information, as well as
the opportunity for customer-company interaction. So exchange has two meanings
in marketing with the communication meaning being particularly important to
advertising.
(3)
Branding—The process of creating a special meaning for a product, one that
makes it distinctive in the marketplace and in its product category. That special
meaning, or brand image, is the result of communication, as well as consumers’
own personal experiences with the product. A brand, and the advertising behind
it, creates familiarity, and a familiar brand is important when consumers make
major purchases.
(4)
Added Value—Marketing and advertising activities add value to a product.
Advertising not only can showcase the product’s value but also may add value by
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making the product appear more desirable or more of a status symbol. Providing
news and useful information of interest to consumers is another way that
advertising adds value.
(moderate; pp. 31–36)
107.
Identify the four important categories of key players in marketing and how the
organization of the industry affects advertising.
Answer:
(1)
Marketer (a.k.a. Advertiser or Client)—Any company or organization behind the
product (i.e., the organization, company, or manufacturer producing the product
and offering it for sale). This organization performs all the functions of marketing,
and advertising is part of the communication function.
(2)
Suppliers and Vendors—Supply the materials and ingredients used in producing
the product. In marketing practice these suppliers and vendors are partners in the
creation of a successful product. They are also partners in the communication
process and their marketing communication may relate to the brand, particularly
in the practice called ingredient branding, which means acknowledging a
supplier’s brand as an important product feature.
(3)
Distributors and Retailers—Companies that are involved in moving a product
from its manufacturer into the hands of its buyer. Wholesalers and retailers are
important parts of the channel and each is capable of influencing, supporting, and
delivering advertising messages. Retailers are especially good at local advertising,
but their main concern is that the advertising be directed at their customers as
opposed to the customers of the manufacturers.
(4)
Agencies—Do all or part of the work of advertising, implementing the creative
vision of the client (marketer), and helping it to reach its advertising goals.
(moderate; pp. 37–39 and 45)
108.
Name and describe the four main types of markets, and discuss characteristics of
advertising targeted toward each market, respectively.
Answer:
(1)
Consumer Markets—Consist of people who buy products and services for
personal or household use. Just about any product an individual purchases
including clothing, food, books, health and beauty aids, and so forth can be
advertised to consumers through mass media such as radio, television,
newspapers, general consumer magazines, and direct-response media, such as
direct mail. Businesses spend most of their advertising dollars on this market.
(2)
Business-to-Business (Industrial) Markets—Consist of companies that buy
products or services to use in their own businesses or in making other products.
Ads in this category usually are heavier on factual content than on emotional
appeals. This market is typically reached through trade and professional
advertising in specialized media, such as trade journals, professional magazines,
and direct mail.
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(3)
Institutional Markets—Include a wide variety of profit and nonprofit
organizations, such as hospitals, government agencies, and schools, which
provide goods and services for the benefit of society. Such ads are very similar to
business-to-business ads in that they are heavy on copy and light on visuals and
emotional appeal. This market is typically reached through the same means as
industrial markets.
(4)
Channel Markets—Made up of members of the distribution chain, also known as
resellers or intermediaries. Resellers are wholesalers, retailers, and distributors
who buy finished or semifinished products and resell them for a profit.
Manufacturers often expect channel members to participate in advertising
programs through cooperative (or co-op) advertising allowances in which
producers share with the reseller the cost of placing the advertisement. This
market is also typically reached through the same means as industrial and
institutional markets.
(moderate; pp. 39–41)
109.
Compare and contrast push and pull strategies and explain the role of advertising in each.
Answer:
A pull strategy directs marketing efforts at the consumer and attempts to pull the product
through the channel by intensifying consumer demand. Marketers using this strategy
emphasize consumer advertising. In contrast, a push strategy directs marketing efforts at
resellers, and success depends on the ability of these intermediaries to market the
product, which they often do with advertising. Advertising may be targeted first at
resellers to gain their acceptance, then at consumers through joint manufacturer-reseller
advertising (i.e., co-op advertising).
(moderate; p. 44)
110.
Explain why a company would use an advertising agency and describe the major
functions performed by a full-service agency.
Answer:
A company might use an advertising agency because an agency provides specialized
services, objective advice, experienced staffing, and tailored management of all
advertising activities and personnel. Ultimately, the primary benefit of hiring an ad
agency is that it can implement the creative vision of the client and help it to reach its
advertising goals.
A full-service agency is one that includes the four major staff functions—account
management, creative services, media planning and buying, and account planning (a.k.a.
research). A full-service agency will also have its own accounting department, a traffic
department to handle internal tracking on completion of projects, a department for
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broadcast and print production (usually organized within the creative department), and a
human resources department.
(easy; pp. 45–47)
APPLICATION QUESTIONS: MULTIPLE-CHOICE QUESTIONS
111.
In the chapter opening vignette, Puma CEO, Jochen Zeitz, explained why individualism
is so important to the shoe company saying, “Like the puma as an animal is not a herd
animal, we also want people and our brand to stand for individuality . . .” Puma shoes
stay hip through design innovation and also by linking up with other hot icons, such as
outfitting the tennis great Serena Williams. Which basic concept of marketing does this
illustrate?
a.
exchange
b.
branding
c.
added value
d.
marketing concept
e.
distribution
(b; moderate; pp. 29–31 and 33)
112.
Puma sells its edgy designs to trendy retailers but also sells its more mainstream products
in stores such as Foot Locker. Which marketing mix element does this strategy illustrate?
a.
product
b.
price
c.
place
d.
promotion
e.
branding
(c; easy; pp. 29–31 and 42)
113.
During the 2003 World Cup, which was held in Japan and South Korea, Puma got a wellknown sushi chef to create a special Puma sushi roll that was served in select Japanese
restaurants in cities around the world. Puma also discretely announced the sponsorship in
its company-branded chopsticks, sake cups, and napkins. At the same time, Puma
partnered with the Terence Conran design shop to sell an exclusive version of its World
Cup soccer boot, holding weekend sushi-making events at the home furnishings store.
Which marketing mix element does this strategy illustrate?
a.
product
b.
price
c.
place
d.
promotion
e.
branding
(d; moderate; pp. 29–31 and 43)
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Chapter Six: Strategic Research
114.
Sam is a brand manager for a manufacturer of consumer package goods. Part of his job
entails launching new products into the marketplace. Before he launches a new product,
however, Sam’s department conducts extensive research to identify the needs and wants
of the customer, rather than finding ways to sell products that may or may not meet
customers’ needs. Which key concept of marketing is Sam implementing?
a.
exchange
b.
branding
c.
added value
d.
marketing concept
e.
customer concept
(d; moderate; p. 31)
115.
Peter purchased an inexpensive necklace from a department store to give to his
sweetheart, Julie, on Valentine’s Day. He didn’t want her to know that he did not spend
very much for the jewelry, so he put it in a box he had from an upscale jewelry store that
sells only expensive items. When Julie unwrapped her gift, she was excited to see that it
came from this store and absolutely loved the necklace Peter gave her. Which key
concept of marketing does this illustrate?
a.
exchange
b.
branding
c.
added value
d.
marketing concept
e.
distribution
(b; difficult; p. 33)
116.
Laurie owns a 2002 Honda Accord, which is the third Honda vehicle that she and her
husband have owned. They describe themselves as a “Honda” family and intend to
purchase another Honda automobile when their daughter gets her driver’s license because
they know and trust Hondas. The purchase decision is made much easier by the trust they
place in Honda. Which key concept of marketing does this illustrate?
a.
exchange
b.
branding
c.
added value
d.
marketing concept
e.
distribution
(b; moderate; p. 33)
117.
According to a 2004 Forbes article, which company represents the top U.S. corporate
brand in terms of corporate brand value?
a.
Kellogg
b.
Aflac
c.
Procter & Gamble
d.
UPS
e.
Eli Lilly
(c; moderate; p. 35 [Table 2.1])
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118.
When Tylenol brand of pain relief capsules were tampered with in the 1980s resulting in
the death of several consumers, the manufacturer pulled all of its products from store
shelves, redesigned packaging to resist tampering, and reintroduced noncapsule forms of
the product. This was very expensive for Tylenol to do, but they knew that the reputation,
meaning, and value that their brand name had acquired over time provide financial value
to the company. Today, Tylenol brand medications have the reputation of being highquality products even though the public knows that consumers have died from using one
of their products in the past. The reputation, meaning, and value that the Tylenol brand
name has acquired over time in known as ___________.
a.
brand image
b.
trademark
c.
branding
d.
added value
e.
brand equity
(e; moderate; p. 35)
119.
Procter & Gamble has sales of almost $50 billion and spends more than $4 billion on
advertising every year. Their corporate brand value is estimated to be more than $107
billion. In terms of key players in marketing, which one does Procter & Gamble
represent?
a.
marketer
b.
supplier or vendor
c.
distributor
d.
agency
e.
media
(a; easy; p. 37)
120.
What company ranked number one in total advertising spending in 2001 and 2002?
a.
Sony
b.
Toyota
c.
General Motors
d.
Procter & Gamble
e.
Time Warner
(d; difficult; p. 37 [Table 2.2])
121.
Tammy works at Procter & Gamble and is responsible for all the strategic decisions
relating to P&G’s Tide brand of laundry detergent’s design and manufacturer as well as
the brand’s pricing, distribution, and marketing communications. What is most likely
Tammy’s job title?
a.
account supervisor
b.
product or brand manager
c.
marketing manager
d.
account executive
e.
product champion
(b; moderate; p. 37)
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Chapter Six: Strategic Research
122.
Amco, Inc. manufactures small electronic components that become integral parts of the
electronic systems in automobiles. Amco does not sell directly to auto manufacturers, but
rather through brokers that are involved in selling the components to the auto
manufacturers. Additionally, another company is employed to deliver the goods. All of
these organizations are part of the ___________ in getting electronic component parts to
the automobile manufacturers.
a.
distribution network
b.
supply chain
c.
marketing network
d.
marketing chain
e.
logistics chain
(b; moderate; p. 38)
123.
Intel manufactures computer chips that are part of several personal computer
manufacturers’ finished product. Intel and the computer manufacturers realized that
customers valued Intel computer chips due to their superior quality and reliability and
began asking whether or not the computer they were considering purchasing contained an
Intel computer chip. As a result, Intel and computer manufacturers started
communicating in their marketing communications that there’s “Intel Inside.” This is an
example of ________.
a.
primary branding
b.
secondary branding
c.
supply chain branding
d.
component branding
e.
ingredient branding
(e; moderate; p. 39)
124.
Your parents own a small business and have asked for your assistance in advertising.
Your father has done some advertising on local television that was not very effective, but
he doesn’t want to spend money on someone to “tell me what I already know.” You
know there are benefits to hiring an agency, and you are trying to convince your father
that he should hire an advertising agency to assist in his advertising efforts. You tell your
father several benefits. Which of the following is NOT a benefit of hiring an agency?
a.
Agencies provide specialized services.
b.
Agencies provide objective advice.
c.
Agencies will charge you only for the work based on the increase in sales you
experience.
d.
Agencies can provide tailored management of all advertising activities and
personnel.
e.
Agencies have experienced staffing.
(c; moderate; p. 47)
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Part Two: Planning and Strategy
What is the world’s top advertising agency, ranking number one in worldwide gross
income in both 2002 and 2003?
a.
Dentsu
b.
BBDO Worldwide
c.
McCann-Erickson Worldwide
d.
J. Walter Thompson Company
e.
Publicis Worldwide Communications
(a; difficult; p. 47, Table 2.3)
125.
126.
Juan works at BBDO Worldwide advertising agency, and his responsibilities include
providing leadership on strategic issues and looking for new business opportunities. He
doesn’t actually work on any of BBDO’s client accounts. What is Juan’s job title?
a.
account manager
b.
management supervisor
c.
account supervisor
d.
account executive
e.
account director
(b; moderate; p. 49)
APPLICATION QUESTIONS: MINI-CASE MULTIPLE-CHOICE
Johnson & Johnson manufactures health and beauty aid products under several brand names.
They sell their products to ultimate consumers through retail stores such as grocery, drug, and
discount stores. J&J employs a sales force that calls on intermediaries, such as wholesalers and
retailers, and spends part of their promotion budget on trade deals to influence intermediaries to
carry their brands. The remainder of J&J’s promotion budget is spent on mass advertising and
sales promotions, such as coupons, targeted toward consumers.
127.
Mini-Case Question. Which promotion strategy is J&J pursuing primarily?
a.
push
b.
indirect
c.
direct
d.
pull
e.
combination
(e; difficult; p. 44 [Figure 2.3])
128.
Mini-Case Question. J&J also markets their Tylenol brand of pain relievers to hospitals.
What type of market is that?
a.
consumer
b.
primary
c.
institutional
d.
reseller
e.
secondary
(c; easy; p. 41)
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Chapter Six: Strategic Research
129.
Mini-Case Question. J&J is interested in launching a new line of skin care products for
the female “tween” market, that is, girls between eight and twelve years of age. They
decided to use U.S. Census data to help them determine the absolute size of this market.
What type of research is this?
a.
primary
b.
direct
c.
indirect
d.
secondary
e.
public
(d; moderate; p. 42)
Mini-Case Question. Bob works at one of the advertising agencies that do J&J’s
advertising for skin care products. J&J has decided that this agency will also be the
agency that will develop and execute the advertising for their new line of skin care
products for the female “tween” market. Bob is the key executive working on J&J’s
business and the primary liaison between J&J and the agency. What is most likely Bob’s
job title?
a.
management supervisor
b.
account supervisor
c.
account executive
d.
account director
e.
manager-of-record
(b; moderate; p. 49)
130.
APPLICATION QUESTIONS: SHORT-ANSWER
131.
Define the marketing concept and when it is used.
Answer:
The marketing concept is an approach that suggests marketing should focus first on
identifying the needs and wants of the customer, rather than on finding ways to sell
products that may or may not meet customers’ needs. It should be used in all marketing
situations, except perhaps where product innovation is important, such as high
technology. In that case, the product or corporate-focused approach might still be used.
(easy; p. 31)
132.
Explain how Puma communicates its brand image to consumers.
Answer:
Puma wants its brand to stand for individuality and as such, positions the brand so it
blends sports, lifestyle, and fashion in a unique way. The brand stays hip through design
innovation and also by linking up with other hot icons, such as Serena Williams. Puma
also marketed a driving shoe called the “Mini Motion” shoe, which is marketed as an
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Part Two: Planning and Strategy
accessory to the BMW Mini car. Elements of the shoe’s identity were also used for the
car’s seats and exterior. Another new line features boots inspired by 1950s boxing shoes,
as well as black shoes stitched to look like old-time hockey skates, and Puma’s apparel is
equally fashionable with a line of unisex garments patterned after martial-arts robes. To
reach the mainstream market, Puma advertised during the Athens Olympics. Its channel
strategy delivers both exclusivity and a mass-market audience, selling its edgy designs to
trendy retailers and then placing its more mainstream products in stores such as Foot
Locker. Puma uses eye-catching in-store merchandising and viral marketing to spread the
word about new products through an online network. Other clever ideas include
promotions at sushi restaurants during the 2003 World Cup, which was held in Japan and
South Korea. A well-known sushi chef created a special Puma sushi roll that was served
at select restaurants around the world. The company also discretely announced the
sponsorship of Puma-branded chopsticks, sake cups, and napkins.
(moderate; pp. 29–31)
133.
Explain why someone would rather have a Rolex watch than a Timex watch, which is as
reliable as a Rolex but considerably less expensive?
Answer:
Although both are well-known brands, Rolex has built its brand image on quality and
luxury. It’s a status symbol to own a Rolex, and the watch is perceived more as a piece of
jewelry than merely a timepiece. Timex is known as an inexpensive, reliable timepiece.
Through effective branding, Rolex has transformed this product by creating a special
meaning for it, and the meaning of the brand also tells something about the person
wearing that brand.
(moderate; p. 33)
134.
Nike is an international brand with a distinctive brand image. Name and describe the four
important categories of key players involved in the marketing of this brand.
Answer:
The four important categories of key players are the marketer, suppliers or vendors,
distributors and retailers, and agencies. Nike is the marketer of the Nike brand, that is, it’s
the company behind the product that produces the product and offers it for sale. The
materials and ingredients used in producing the Nike products are obtained from other
companies who are referred to as suppliers and vendors. Their work also determines the
quality of the final product, and the ingredients they provide, as well as the cost of their
materials, are a big factor in determining Nike’s price. The distribution chain or channel
refers to the various companies that are involved in moving Nike products from its
manufacturer to the consumer. These resellers, or intermediaries, may actually take
ownership of the product and participate in the marketing, including the advertising.
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Finally, agencies provide specialized marketing communication services (i.e.,
advertising, public relations, sales promotion, direct marketing, etc.).
(moderate; pp. 37–39 and 45)
135.
Describe the evolution of Procter & Gamble’s Ivory soap.
Answer:
P&G created identity elements for its brand Ivory before anyone had thought of making a
bar of soap a distinctive product. The Ivory brand identity system also called attention to
innovative features of the product. In the old days, soap wasn’t like it is today; indeed, it
was homemade from lye, fats, and fireplace ashes. It was a soft jelly-like yellowish soap
that would clean, but if it fell to the bottom of a pail, it dissolved into mush. The Castile
bar, which was a pure white soap imported from the Mediterranean and made from the
finest olive oil, was considered the benchmark for quality soap and highly expensive.
P&G discovered a formula that produced a uniform, predictable bar soap, which they
provided in wooden boxes to both armies during the Civil War, introducing the concept
of mass production, and created a huge market when returning soldiers demanded the
bars for home use. But these bars were still yellow and sunk to the bottom. So P&G
created a white bar equivalent to the Castile bar, becoming the “soap that floats” by
accidentally whipping in too much air, which made the bar lighter. This claim—”It
floats”—became one of the world’s greatest statements of a product benefit. The soap
was named “Ivory soap,” resulting in consumers asking for it by name. P&G also learned
that Ivory had only 0.56 percent impurities, leading to the claim that it was “99 and
44/100 percent pure,” which is one of the most famous slogans in brand history.
(moderate; p. 34)
136.
Bob is a brand manager at a large consumer packaged goods company. Describe his
responsibilities.
Answer:
A product or brand manager is the person responsible for all the strategic decisions
relating to the brand’s product design and manufacture as well as the brand’s pricing,
distribution, and marketing communication. Basically, the brand manager is responsible
for the marketing of the brand.
(easy; pp. 37)
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137.
When Dell computer indicates in its ads and on its computer boxes “Intel inside,” what
type of branding is this, and why does Dell do this?
Answer:
This is called ingredient branding, which means acknowledging a supplier’s brand as an
important product feature. Dell knows that the quality and reputation of the Intel brand of
computer chips adds value to its product and wants to communicate that to buyers.
(easy; p. 39)
138.
Compare and contrast an advertisement for Neutrogena brand of skin care products
developed by the manufacturer and one developed by a retailer that sells these products.
Answer:
Neutrogena is a nationally distributed brand that can be purchased through a variety of
retail outlets, such as drug, discount, and grocery stores. An ad for Neutrogena developed
by the manufacturer would feature only that brand, and perhaps only one product in the
Neutrogena line, and would attempt to develop and enhance the image of the brand.
Retailers’ main concern is that the advertising be directed at their customers as opposed
to the customers of the manufacturers, and the ads would feature several product
categories and brands. The focus of the retail ad that features Neutrogena products would
be to inform the consumer of the availability, and most likely, the price of the product at
their store.
(moderate; p. 39)
139.
You just graduated from college and started working at a consumer packaged goods
manufacturer. Your first assignment is to develop the marketing strategy for a new
product extension of an existing brand. Where do you begin?
Answer:
You begin at the first step of the marketing process, which is to research the market,
consumers, and the competitive marketplace, and develop a situation analysis. The
objective is to know as much as you can about the marketplace so that you can make
informed and insightful strategic decisions. You should do secondary research, which is
gathering information from already existing and published sources, and perhaps conduct
primary research, which is original research undertaken to answer specific questions. The
second part of research is the situation analysis, which identifies the brand’s strengths and
weaknesses, as well as corporate and market opportunities and threats. The goal of
marketing research is both information and insight.
(moderate; pp. 41–42)
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Chapter Six: Strategic Research
140.
Blenco. Inc. is a manufacturer of frozen breakfast products, such as biscuits, pancakes,
and waffles. Blenco does not spend any money on consumer advertising or promotions,
but rather concentrates its promotion budget on intermediaries in the channel of
distribution. What promotion strategy is Blenco pursuing and which promotion tools are
most appropriate for implementing this strategy?
Answer:
Blenco is pursing a push promotion strategy that concentrates the flow of marketing
communication on the members of the channel of distribution rather than on end
consumers. Blenco is most likely utilizing trade deals, trade advertising, and personal
selling to get its products in the channel of distribution.
(moderate; p. 44 [Figure 2.3])
141.
Andy has conducted extensive research in the marketing process, and now he has some
key strategic decisions to make. Name and describe these decisions.
Answer:
The key strategic decisions in the marketing process include setting objectives,
segmenting and targeting, and differentiation and positioning. The marketer’s first step
after research is done is to set objectives for the marketing effort, which usually are
business measures, such as increased sales levels or share of market. The next step is to
assess whether there are identifiable groups within the market whose needs and wants
intersect with the product and its features—called segmentation. Finally, planners also
assess the competition and decide where their product’s point of differentiation lies and
then make some decisions about how to present or position the product within this
competitive environment relative to consumers’ needs. Positioning refers to how
consumers view and compare competitive brands or types of products—how they see a
brand relative to the other brands in the category.
(moderate; p. 42)
142.
You just interviewed for a job with Dial, Inc. and learned that they are looking for
someone who will call on grocery, drug, and convenience stores to sell and service Dial’s
health and beauty aid items to these types of retailers. What type of personal selling does
this represent?
Answer:
Field sales. Field sales are a type of personal selling that includes calls at the place of
business by a field representative. (Note: This type of personal selling is also called trade
selling.)
(moderate; p. 45)
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Part Two: Planning and Strategy
143.
What makes Krispy Kreme such a hit with its customers?
Answer:
The proprietary recipe for the yeast dough and glazing, along with the company-designed
equipment that produces a perfect doughnut shape and cooks it to the perfect point of
softness is at the heart Krispy Kreme’s success. Their stores are another element that
attracts Krispy Kreme fanatics with its trademark glass and chrome architecture, which is
actually a doughnut bakery with a retail unit added in front, and customers can view the
doughnuts being made. Customers are also alerted when hot doughnuts are available
through the neon signs proclaiming that message. Krispy Kreme also has expanded
distribution through grocery, convenience, and even department stores. You can even buy
a Krispy Kreme doughnut from a specially designed mobile store, which is a truck with
viewing windows to bring the hot, fresh doughnuts to fairs and other major events. For
many years, Krispy Kreme’s success was due to word-of-mouth by customers who were
passionate about its doughnuts, and its primary marketing communication was with
nonprofit organizations who sold the doughnuts in their fund-raising efforts.
(moderate; p. 46)
144.
Carol is a management supervisor for AMM&N, Inc. advertising agency. She is meeting
with a small manufacturer of a frozen line of Mexican dinners who wants to start
advertising their products but is not sure that they should hire an advertising agency to
assist them. What should Carol tell them to convince them that hiring an advertising
agency would be beneficial for them?
Answer:
Hiring an agency has several benefits. Agencies provide specialized services, objective
advice, experienced staffing, and tailored management of all advertising activities and
personnel. Ultimately, the primary benefit of hiring an ad agency is that it can implement
the creative vision of the client and help it to reach its advertising goals.
(easy; pp. 45 and 47)
145.
Frank is a partner in a media-buying service, which is a type of advertising agency that
specializes in the purchase of media for clients. Frank contacts major national advertisers
and tries to convince them to separate the media planning and buying function from the
other functions performed by their full-service advertising agencies and is having quite a
bit of success. Several of his clients include manufacturers of multiple brands that have
“unbundled” the media function from their various agencies-of-record and pooled the
media planning and buying function together as well as several full-service advertising
agencies that contract out this function to Frank’s agency. Why do you think Frank’s
media-buying service is in high demand?
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Chapter Six: Strategic Research
Answer:
Media-buying services are in high demand for three important reasons. First, media has
become more complex as the number of choices grows with the proliferation of new
cable television channels, magazines, radio stations, and newer, alternative media, such
as the Internet. Second, the cost of maintaining a competent media department has
escalated. Third, media-buying services often buy media at a low cost because they can
group several clients’ purchases together to develop substantial buying power.
(moderate; p. 49)
146.
Maria started working at a large advertising agency after graduating with a degree in
advertising. Her job title is assistant account executive. Describe what she does.
Answer:
An account executive is one level of the account management function of an advertising
agency. The account executive, which Maria assists, is responsible for day-to-day
activities and operates like a project manager.
(moderate; p. 49)
147.
Amanda is a marketing major interested in a career in advertising and wants to work at an
advertising agency. She does not have any aptitude, talent, skill, or training to be
involved in the creative aspects of advertising, but she feels she can still work in this
business. Name and describe the functions of a full-service agency in which Amanda
could apply her marketing knowledge and skills.
Answer:
A full-service agency is one that includes four major staff functions—account
management, creative services, media planning and buying, and account planning. A fullservice agency will also have its own accounting department, a traffic department to
handle internal tracking on completion of projects, a department for broadcast and print
production (usually organized within the creative department), and a human resources
department. With her educational background, Amanda could become an expert in
account management, which involves developing and maintaining client relationships;
media planning and/or buying, which involves planning and negotiating skills; and
account management, which is basically consumer research.
(difficult; pp. 47 and 49–51)
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Part Two: Planning and Strategy
APPLICATION QUESTIONS: MINI-CASE SHORT ANSWER
Gore-tex is a revolutionary material that is used in several types of outer- and athletic-wear that
can keep consumers warm and dry in the winter but also cool in the summer. It is lighter and
stronger than other types of materials, such as wool or cotton, and costs more. However, many
consumers of these products were not aware of the advantages of Gore-tex when comparing
products and were put off by the very high price. To change this, Gore-tex hired an advertising
agency to assist them in creating a special meaning for their brand and to communicate the
advantages to end-user consumers. They also worked with the manufacturers of the products into
which Gore-tex was incorporated to encourage them to call attention to the fact that Gore-tex is
used in their products.
148.
Mini-Case Question. Which key concept in marketing is illustrated by Gore-tex’s desire
to create a special meaning for it, and how can advertising help accomplish this?
Answer:
Branding is the process of creating a special meaning for a product, one that makes it
distinctive in the marketplace and in its product category. Brand image is the result of
communication as well as consumers’ own personal experiences with the product. A
brand, and the advertising behind it, creates familiarity. Advertising can also be used to
communicate the distinctive advantage of Gore-tex over other types of material.
(moderate; p. 33)
149.
Mini-Case Question. Manufacturers of apparel products using Gore-tex include that
information on their product labels as well as in their advertising. What is this known as,
and why do these manufacturers do this?
Answer:
This is known as ingredient branding, which means acknowledging a supplier’s brand as
an important product feature. Every contribution from the supply chain adds value to the
product, and in practice, suppliers and vendors are partners in the creation of a successful
product. The quality of the Gore-tex brand of material enhances the quality of the
finished products that it goes into.
(moderate; p. 39)
150.
Mini-Case Question. Gore-tex hired an advertising agency to assist the company in its
efforts. The agency purchased $100,000 in media for Gore-tex and was compensated
through the standard media commission rate. How much did the agency bill Gore-tex for
this work?
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Chapter Six: Strategic Research
Answer:
The standard media commission is considered to be 15 percent of all media purchased,
which in this case equals $15,000. Thus, the agency added $15,000 to the $100,000 when
billing Gore-tex, which comes to a total of $115,000.
(difficult; p. 51)
CHAPTER THREE
Advertising and Society
GENERAL CONTENT: MULTIPLE-CHOICE QUESTIONS
252.
The excessive, misleading, and false claims made by patent medicine makers in the early
20th century generated the first regulation of advertising through the ___________.
a.
formation of the Federal Trade Commission
b.
Wheeler-Lea Amendment
c.
formation of the National Advertising Review Council
d.
Pure Food and Drug Act
e.
formation of the Bureau of Alcohol, Tobacco, and Firearms
(d; moderate; p. 61)
253.
________ is when an external message drives people to feel a need or want to buy a
product.
a.
Demand creation
b.
Manipulation
c.
Indirect advertising
d.
Want creation
e.
Need creation
(a; easy; p. 61)
Advertising’s economic role has been criticized in the way it creates ________, which
means people want or feel a need to buy and use a product.
a.
desires
b.
demand
c.
motives
d.
markets
e.
profit
(b; moderate; p. 61)
254.
255.
The question of whether advertising creates social values rather than merely reflecting
them is known as ________.
a.
the social-versus-economic debate
b.
the competitive-versus-market power debate
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Part Two: Planning and Strategy
c.
the personal-versus-cumulative debate
d.
the personal-versus-social debate
e.
the shape-versus-mirror debate
(e; easy; p. 61)
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Chapter Six: Strategic Research
256.
A term used to describe what happens when Western culture is imposed on others is
known as ________.
a.
marketing imposition
b.
cultural imposition
c.
marketing imperialism
d.
demand creation
e.
marketing elitism
(c; easy; p. 62)
257.
Marketing imperialism, or cultural imperialism, are terms used to describe ________.
a.
what happens when advertising is effective in creating demand
b.
how an external message drives people to feel a need or want for a product
c.
what happens when people in other cultures adopt Western culture
d.
how marketers attempt to be ethical
e.
what happens when Western culture is imposed on others
(e; easy; p. 62)
258.
Which of the following is true regarding customs?
a.
Customs are often subtle and, as a result, are easier to violate than laws.
b.
Customs are easily discerned.
c.
Customs are basically the same around the world.
d.
Customs have little impact on the effectiveness of advertising.
e.
Only natives of a culture can ever understand local customs.
(a; moderate; p. 62)
259.
Which is NOT an organization with oversight responsibility for advertising?
a.
government
b.
media
c.
competition
d.
public or community groups
e.
all of the above have oversight responsibility for advertising
(e; difficult; p. 62)
260.
Government oversight responsibility with respect to advertising includes ________.
a.
standards and reviews
b.
self-regulation
c.
laws and regulations
d.
complaints and punishment
e.
trademarks and copyrights
(c; moderate; p. 62)
241
Part Two: Planning and Strategy
261.
________ legislate(s) laws while ________ interpret(s) those laws in specific situations.
a.
Courts; Congress
b.
Congress; courts
c.
The president; courts
d.
The president; Congress
e.
Congress; the FTC
(b; moderate; p. 62)
262.
Which arm of the federal government legislates laws regarding advertising?
a.
executive (the president)
b.
courts
c.
Federal Communications Commission
d.
Congress
e.
Federal Trade Commission
(d; moderate; p. 62)
263.
Which arm of the federal government interprets laws regarding advertising?
a.
executive (the president)
b.
courts
c.
Federal Communications Commission
d.
Congress
e.
Federal Trade Commission
(b; moderate; p. 62)
A brand, corporate, or store name or a distinctive symbol that identifies the seller’s brand
and thus differentiates it from the brands of other sellers in known as a ________.
a.
trademark
b.
copyright
c.
logo
d.
trade dress
e.
brand name
(a; easy; p. 63)
264.
265.
Which of the following is true regarding a trademark?
a.
It gives an organization the exclusive right to use or reproduce original work such
as an advertisement or package design for a period of time.
b.
Controls for protection are provided by the Library of Congress.
c.
Audio trademarks are protected in the United States.
d.
It identifies the seller’s brand and differentiates it from the brands of other sellers.
e.
It must be registered with the Federal Trade Commission, which gives the
organization exclusive use of the mark, as long as the trademark is maintained as
an identification for a specific product.
(d; difficult; p. 63)
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Chapter Six: Strategic Research
266.
Under which amendment or act are unique trademarks protected from infringement by
competitors?
a.
Pure Food and Drug Act
b.
Wheeler-Lea Amendment
c.
Lanham Act
d.
Federal Trade Commission Act
e.
FTC Improvement Act
(c; difficult; p. 63)
267.
A ________ gives an organization the exclusive right to use or reproduce original work
such as an advertisement or package design for a period of time.
a.
trademark
b.
servicemark
c.
copyright
d.
constitutional amendment
e.
brand name
(c; easy; p. 63)
268.
Controls for copyright protection are provided by the ________.
a.
Supreme Court
b.
Federal Trade Commission
c.
Patent and Trademark Office
d.
Department of Commerce
e.
Library of Congress
(e; difficult; p. 63)
269.
The most basic federal law that governs advertising is the ________ Amendment to the
U.S. Constitution.
a.
First
b.
Second
c.
Third
d.
Fourth
e.
Fifth
(a; easy; p. 64)
270.
Which Amendment to the U.S. Constitution states that Congress shall make no law
“abridging the freedom of speech, or of the press”?
a.
First
b.
Second
c.
Third
d.
Fourth
e.
Fifth
(a; easy; p. 64)
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Part Two: Planning and Strategy
271.
________ speech is speech that promotes a commercial activity.
a.
Political
b.
Free
c.
Unregulated
d.
Commercial
e.
Regulated
(d; easy; p. 64)
272.
Which of the following statements is false regarding commercial speech?
a.
It is speech that promotes commercial activity.
b.
It is often restricted.
c.
Its protection under the U.S. Constitution is absolute.
d.
It is legal to ban false or misleading commercial speech.
e.
It is legal to ban truthful commercial speech.
(c; moderate; pp. 64–65)
273.
In which case did the Supreme Court establish a test that determines to what extent the
government can restrict advertising?
a.
Valentine v. Christensen (1942)
b.
Virginia State Board of Pharmacy v. Virginia Citizens Consumer Council (1976)
c.
Central Hudson Gas & Electric Corporation v. Public Service Commission of
New York (1980)
d.
Cincinnati v. Discovery Network (1993)
e.
44 Liquormart, Inc. v. Rhode Island (1995)
(c; difficult; p. 64)
The Supreme Court’s ruling in Central Hudson Gas & Electric Corporation v. Public
Service Commission of New York is significant because ________.
a.
it’s the first commercial speech case heard by the Supreme Court
b.
the Supreme Court decided that the First Amendment does not protect purely
commercial advertising because that type of advertising does not contribute to
decision-making in a democracy
c.
the Supreme Court ruled that states cannot prohibit businesses from advertising
prices
d.
the Supreme Court signaled strong protection for companies under the First
Amendment
e.
the Supreme Court established a test that determines to what extent the
government can restrict advertising
(e; difficult; p. 64)
274.
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Chapter Six: Strategic Research
275.
In which case did the Supreme Court signal strong protection for commercial speech
under the First Amendment?
a.
Valentine v. Christensen (1942)
b.
Virginia State Board of Pharmacy v. Virginia Citizens Consumer Council (1976)
c.
Central Hudson Gas & Electric Corporation v. Public Service Commission of
New York (1980)
d.
Cincinnati v. Discovery Network (1993)
e.
44 Liquormart, Inc. v. Rhode Island (1995)
(e; difficult; p. 64)
276.
What is the primary agency governing the advertising industry?
a.
Federal Communications Commission
b.
Federal Trade Commission
c.
Food and Drug Administration
d.
National Advertising Review Council
e.
National Advertising Division
(b; easy; p. 66)
277.
Which is NOT a responsibility of the Federal Trade Commission?
a.
fine people or companies that violate either a trade regulation rule or a cease-anddesist order given to any other firm in the industry
b.
fund participation of consumer groups and other interest groups in rule-making
proceedings
c.
oversee package labeling and ingredient listings for food and drugs
d.
regulate acts and practices that deceive businesses or consumers and issue ceaseand-desist orders where such practices exist
e.
all of the above are responsibilities of the Federal Trade Commission
(c; moderate; p. 66)
278.
Advertising intended to mislead consumers by making claims that are false or by failure
to make full disclosure of important facts, or both, is known as ________.
a.
misleading advertising
b.
indirect advertising
c.
deceptive advertising
d.
unsubstantiated advertising
e.
injurious advertising
(c; moderate; p. 66)
279.
Which is NOT a basic element of the current FTC policy on deception?
a.
preventable
b.
misleading
c.
reasonableness
d.
injurious
e.
all of the above are basic elements of the current FTC policy on deception
(a; moderate; pp. 66–67)
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Part Two: Planning and Strategy
For an advertisement to be ruled deceptive, the deception must influence consumers’
decision making about products and services, which is known as ________.
a.
misleading
b.
puffery
c.
material injury
d.
influence
e.
double jeopardy
(c; moderate; pp. 66–67)
280.
281.
What is NOT considered by the FTC when determining the reasonableness of a claim in
an advertisement?
a.
type and specificity of claim made
b.
type of product
c.
possible consequences of a false claim
d.
degree of reliance on the claims by consumers
e.
all of the above can be considered by the FTC when determining the
reasonableness of a claim
(e; moderate; pp. 67–68)
282.
A ________ is the first step in the regulation process after the FTC determines that an ad
is deceptive.
a.
consent decree
b.
cease-and-desist order
c.
corrective advertising campaign
d.
consumer redress order
e.
industry trade rule
(a; moderate; p. 68)
283.
All EXCEPT which of the following are FTC remedies for deception and unfair
advertising?
a.
consent decrees
b.
cease-and-desist orders
c.
incarceration
d.
corrective advertising
e.
consumer redress
(c; moderate; pp. 68–69)
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Chapter Six: Strategic Research
284.
Which of the following statements regarding cease-and-desist orders issued by the
Federal Trade Commission is false?
a.
They require that the deceptive or unfair practice by a business be stopped within
30 days of issuance of the order.
b.
A cease-and-desist order given to one firm is applicable to all firms in an industry.
c.
An advertiser can appeal the order to the full five-member commission.
d.
A cease-and-desist order is the first step in the regulation process after the FTC
determines that an ad is deceptive.
e.
The process leading to the issuance of a cease-and-desist order is similar to a
court trial.
(d; moderate; pp. 68–69)
285.
Which of the following is the landmark corrective advertising case?
a.
Valentine v. Christensen
b.
Warner-Lambert v. FTC
c.
44 Liquormart, Inc. v FTC
d.
Nike v. FTC
e.
Cincinnati v. Discovery Network
(b; moderate; p. 69)
286.
A relatively new remedy for deceptive and unfair advertising taken by the FTC is to
________.
a.
make the deceptive advertiser spend time in prison
b.
fine a deceptive advertiser $10,000 per day for every day the deceptive ad ran
c.
require corrective advertising to correct the false impressions a deceptive ad made
d.
make the advertising agency liable for deceptive advertising along with the
advertiser when the agency is an active participant in the preparation of the ad and
knows or has reason to know that it is false or deceptive
e.
make public specific information about a deceptive advertising case
(d; difficult; p. 69)
287.
Which federal agency oversees package labeling, ingredient listing, and advertising for
food and drugs?
a.
Federal Trade Commission
b.
Food and Drug Administration
c.
Federal Communications Commission
d.
Bureau of Alcohol, Tobacco, and Firearms
e.
National Advertising Division
(b; easy; p. 70)
247
Part Two: Planning and Strategy
288.
Which federal agency was formed to protect the pubic interest in radio and television
broadcast communications?
a.
Federal Trade Commission
b.
Food and Drug Administration
c.
Federal Communications Commission
d.
Bureau of Alcohol, Tobacco, and Firearms
e.
National Advertising Division
(c; easy; p. 70)
289.
The Federal Communications Commission (FCC) can take action against ________.
a.
the media
b.
advertisers
c.
advertising agencies
d.
a, b, and c
e.
b and c
(a; moderate; p. 70)
290.
All EXCEPT which of the following have regulatory authority over advertising in some
way?
a.
Bureau of Alcohol, Tobacco, and Firearms
b.
Federal Communications Commission
c.
U.S. Postal Service
d.
National Advertising Division
e.
Food and Drug Administration
(d; moderate; pp. 70 and 73–74)
291.
________ advertising is advertising that features a product other than the primary, and
usually controversial, product.
a.
Deceptive
b.
Unfair
c.
Stealth
d.
Injurious
e.
Indirect
(e; moderate; p. 71)
292.
Which type of self-regulation occurs when an organization, such as an advertising
agency, develops, uses, and enforces norms within its own practices?
a.
industry self-regulation
b.
self-discipline
c.
social ethic
d.
self-regulation with outside help
e.
personal ethic
(b; moderate; p. 72)
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Chapter Six: Strategic Research
293.
When an industry develops, uses, and enforces norms, this is known as which type of
self-regulation?
a.
industry self-regulation
b.
self-discipline
c.
social ethic
d.
professional ethic
e.
personal ethic
(a; moderate; p. 72)
294.
In 1971, what organization did several professional advertising associations in
conjunction with the Council of Better Business Bureaus establish to negotiate voluntary
withdrawal of national advertising that professionals consider deceptive?
a.
National Advertising Division (NAD)
b.
National Advertising Review Board (NARB)
c.
American Association of Advertising Agencies (4As)
d.
National Advertising Review Council (NARC)
e.
American Advertising Federation (AAF)
(d; moderate; p. 73)
295.
The two operating arms of the National Advertising Review Council are the ________.
a.
NAD and the NARB
b.
NAD and the AAAA
c.
AAF and the AAAA
d.
FTC and the FCC
e.
FTC and the NAD
(a; moderate; p. 73)
296.
Which arm of the National Advertising Review Council is a full-time agency made up of
people from the field of advertising; evaluates complaints submitted by consumers,
consumer groups, industrial organizations, and advertising firms; and does its own
industry monitoring of national advertisements?
a.
National Advertising Division (NAD)
b.
National Advertising Review Board (NARB)
c.
American Association of Advertising Agencies (4As)
d.
Federal Trade Commission (FTC)
e.
American Advertising Federation (AAF)
(a; moderate; pp. 73–74)
297.
If the National Advertising Division (NAD) and the allegedly deceptive advertiser cannot
reach a satisfactory resolution, the case is referred to the ________.
a.
National Advertising Review Board (NARB)
b.
American Association of Advertising Agencies (4As)
c.
Federal Trade Commission (FTC)
d.
American Advertising Federation (AAF)
e.
appropriate government agency
(a; moderate; p. 74)
249
Part Two: Planning and Strategy
298.
If the National Advertising Review Board (NARB) and the allegedly deceptive advertiser
cannot reach a satisfactory resolution, the case might be referred to the ________.
a.
National Advertising Division (NAD)
b.
American Association of Advertising Agencies (4As)
c.
Advertising Review Council (ARC)
d.
American Advertising Federation (AAF)
e.
appropriate government agency, such as the FTC
(e; moderate; p. 74)
299.
________ is a set of moral principles that guide actions and create a sense of responsible
behavior.
a.
Social responsibility
b.
Ethics
c.
Self-regulation
d.
Taste
e.
Self-discipline
(b; easy; p. 75)
300.
All EXCEPT which of the following are key ethical issues discussed in this chapter?
a.
targeting strategies
b.
problems with advertising claims and other message strategies
c.
taste and offensive advertising
d.
unfair acts and practices
e.
stereotyping
(d; moderate; p. 75)
301.
A ________ is a representation of a cultural group that emphasizes a trait or group of
traits that may or may not communicate an accurate representation of the group.
a.
norm
b.
reference group
c.
caricature
d.
mean
e.
stereotype
(e; easy; p. 76)
Which is false regarding the Children’s Television Advertising Practice Act of 1990?
a.
It placed a 10.5-minute-per-hour ceiling for commercials in children’s weekend
television programming.
b.
All TV stations must air three hours of children’s educational shows a week.
c.
Commercial breaks must be clearly distinguished from programming.
d.
It bars the use of program characters to promote products.
e.
It placed a 12-minute-per-hour limit for commercials in children’s weekday
television programming.
(b; difficult; p. 80)
302.
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Chapter Six: Strategic Research
What agreement was reached in 1996 between broadcasters, children’s advocates, and the
federal government?
a.
limiting advertising to 10 minutes per hour in children’s weekend television
programming
b.
limiting advertising to 12.5 minutes per hour in children’s weekday television
programming
c.
limiting advertising to 10 minutes per hour in all children’s television
programming
d.
requiring all TV stations to air three hours of children’s educational shows a week
e.
banning all advertising during children’s television programming
(d; difficult; p. 80)
303.
304.
________ is advertising or other sales representations that praise the item to be sold with
subjective opinions, superlatives, or exaggerations, vaguely and generally, stating no
specific facts.
a.
Puffery
b.
Manipulative advertising
c.
Deceptive advertising
d.
Comparative advertising
e.
Indirect advertising
(a; easy; p. 81)
305.
Which set of laws governing sales and other commercial matters distinguishes between
mere “puffing” and statements about a product’s performance or qualities that create an
“express warranty”?
a.
Uniform Commercial Code
b.
Pure Food and Drug Act
c.
Wheeler-Lea Amendment
d.
Lanham Act
e.
Magnuson-Moss Warranty Act
(a; moderate; p. 81)
Businesses can seek damages from an advertiser who “misrepresents the nature,
characteristics, qualities, or geographic origin in comparative advertising” under the
________.
a.
Uniform Commercial Code
b.
Pure Food and Drug Act
c.
Wheeler-Lea Amendment
d.
Lanham Act
e.
Magnuson-Moss Warranty Act
307.(d; moderate; p. 82)
306.
251
Part Two: Planning and Strategy
56.
Under the Lanham Act, which of the following is NOT an element a company/plaintiff is
required to prove to win a false advertising lawsuit about an ad containing a comparative
claim?
a.
False statements have been made about either product.
b.
The ads actually deceived or had the tendency to deceive a substantial
segment of the audience.
c.
The offending advertiser intended to damage the complaining company’s
business.
d.
The deception was “material” and likely to influence purchasing decisions.
e.
Falsely advertised goods are sold in interstate commerce.
(c; difficult; p. 82)
57.
A(n) ________ is any advertising message that consumers believe reflects the opinions,
beliefs, or experiences of an individual, group, or institution.
a.
endorsement
b.
comparative ad
c.
puffed ad
d.
one-sided message
e.
two-sided message
(a; easy; p. 83)
58.
Verbal or written words in an advertisement that indicate exceptions to the advertising
claim made are known as ________.
a.
comparative ads
b.
puffery
c.
endorsements
d.
small print
e.
disclaimers
(e; moderate; p. 83)
59.
The main concern the FTC has when an advertiser substitutes for products during a
demonstration (i.e., using a mixture of glue and water instead of ice cream) is ________.
a.
whether the demonstration exaggerates the qualities of the product being
demonstrated
b.
whether the demonstration is realistic
c.
whether the advertiser indicates that substitutes are used in the
demonstration
d.
whether the consumer knows substitutes are used in the demonstration
e.
whether the demonstration falsely upgrades the consumers’ perception of
the advertised brand
(e; difficult; p. 83)
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60.
The ethical responsibility for selling a controversial or unsafe product lies with the
________.
a.
CEO of the organization
b.
marketing department
c.
advertising director
d.
Federal Trade Commission
e.
advertising agency
(b; moderate; p. 84)
61.
Before an advertising agency can create an ad for a client, it must consider which of the
following concerning the client company?
a.
the nature of the client company and its mission
b.
its available resources
c.
its reputation
d.
its product line
e.
all of the above
(e; moderate; p. 84)
62.
Cigarette advertising on television and radio has been banned since ________.
a.
1961
b.
1971
c.
1981
d.
1991
e.
2001
(b; moderate; p. 84)
Which is NOT an element of the FDA’s 1996 restrictions with regard to tobacco
advertising?
a.
a ban on all in-store advertising inside of stores that are located within 1,000 feet
of a school or playground
b.
a ban on outdoor ads within 1,000 feet of a school or playground
c.
ads limited to black-and-white, text only, in magazines with 55 percent readership
under the age of 18
d.
$150 million be provided to fund antismoking ads targeting children
e.
all of the above were included in the FDAs restrictions
(a; difficult; p. 85)
63.
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64.
Why has the amount of prescription drug advertising skyrocketed in the past few years?
a.
The FTC loosened its controls on pharmaceutical companies.
b.
The FCC loosened its controls on pharmaceutical companies.
c.
Demographic shift in U.S. population reflects an aging population, and they tend
to be heavy users of prescription drugs causing more competition in the industry
and thus more advertising.
d.
The FDA loosened its controls on pharmaceutical companies.
e.
Patents held by many pharmaceutical companies expired, resulting in price
competition and heavy advertising.
(d; moderate; p. 85)
65.
With respect to guidelines for determining what is ethical, which is NOT one of the types
of criteria needed to be considered when making an advertising decision?
a.
social ethic
b.
self-discipline
c.
professional ethic
d.
personal ethic
e.
all of the above are criteria needed to be considered
(b; moderate; p. 86)
“Do unto others as you would have them do unto you” is a cardinal principle of ethics
known as ________.
a.
The Golden Rule
b.
The Social Ethic
c.
The Personal Rule
d.
The Golden Ethic
e.
The Responsible Rule
(a; easy; p. 86)
66.
67.
________ motivates a business to perform a useful function within society and to make
its impact on society positive rather than negative.
a.
Moral compass
b.
Social ethics
c.
Social responsibility
d.
Professional standards
e.
Personal ethics
(c; moderate; 87)
68.
Which is NOT included in the concept of social responsibility?
a.
treating employees and other stakeholders with sensitivity
b.
avoiding practices that hurt the environment
c.
avoiding practices that hurt the community
d.
avoiding practices that hurt society
e.
treating foreigners in our country as though they are Americans
(e; moderate; p. 87)
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69.
A ________ identifies how professionals in the industry should respond when faced with
ethical questions.
a.
code of behavior
b.
code of standards
c.
code of laws
d.
code of responsibility
e.
code of discipline
(b; moderate; p. 87)
70.
Personal judgment and moral reasoning rest on ________.
a.
explicit laws governing practice
b.
membership in a professional association
c.
an understanding of the law
d.
intuition and a sense of right and wrong
e.
a code of standards
(d; moderate; p. 88)
GENERAL CONTENT: TRUE/FALSE QUESTIONS
71.
Critics of advertising tend to believe that advertising has power to shape social trends and
the way people think and act.
(True; easy; p. 61)
72.
Advertising professionals tend to believe that advertising has the power to shape social
trends and the way people think and act.
(False; moderate; p. 61)
73.
Marketing imperialism is a term used to describe what happens when Western culture is
imposed on others.
(True; easy; p. 62)
74.
Customs can be even stronger than laws.
(True; moderate; p. 62)
75.
A copyright is a brand, corporate, or store name or a distinctive symbol that identifies the
seller’s brand and thus differentiates it from the brands of others sellers.
(False; moderate; p. 63)
76.
A trademark must be registered with the Library of Congress.
(False; easy; p. 63)
77.
A copyright gives an organization the exclusive right to use or reproduce original work
such as an advertisement or package design indefinitely.
(False; difficult; p. 63)
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78.
Common designs or symbols can be copyrighted.
(False; moderate; p. 63)
79.
Under the First Amendment to the U.S. Constitution, protection of commercial speech is
absolute.
(False; moderate; p. 64)
80.
The government can ban truthful commercial speech.
(True; difficult; p. 64)
81.
The Federal Trade Commission (FTC) is the primary agency governing the advertising
industry.
(True; easy; p. 66)
82.
A cease-and-desist order given to any firm in an industry applies to all firms in that
industry.
(True; difficult; p. 66)
83.
To be considered deceptive, a false or misleading advertisement must influence
consumers’ decision making about the product or service advertised.
(True; moderate; p. 67)
84.
The current FTC policy on deception is clear and easy for advertisers to measure.
(False; moderate; p. 67)
85.
An advertiser must have data on file to substantiate any claims it makes in its
advertisements.
(False; difficult; p. 67)
86.
The FTC accepts only research conducted by an independent research firm when
questioning an advertiser’s claim substantiation.
(False; difficult; p. 67)
87.
Advertisers must comply with a consent decree.
(False; moderate; p. 68)
88.
The first step in the regulation process after the FTC determines that an ad is deceptive is
the issuance of a cease-and-desist order.
(False; moderate; p. 68)
89.
The process leading to the issuance of a cease-and-desist order is similar to a court trial.
(True; moderate; p. 68)
90.
An advertising agency can be held liable along with the advertiser for deceptive
advertising.
(True; moderate; p. 69)
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With respect to prescription drugs, the Food and Drug Administration’s primary job is to
determine whether the drugs are marketed in a responsible way.
(False; moderate; p. 70)
91.
92.
The Federal Communications Commission (FCC) has the power to ban messages,
including ads appearing in any medium, that are deceptive or in poor taste.
(False; moderate; p. 70)
93.
The Federal Communications Commission (FCC) has the authority to take legal actions
against advertisers and advertising agencies.
(False; difficult; p. 70)
94.
Indirect advertising that features a product other than the primary, and usually
controversial, product is illegal in most countries.
(False; moderate; p. 71)
95.
International advertisers do not fear actual laws; they fear not knowing those laws.
(True; moderate; p. 71)
96.
The media can reject ads that violate their standards of truth and good taste.
(True; easy; p. 72)
97.
Virtually all major advertisers and advertising agencies have in-house ad review
procedures including reviews by agency and client attorneys.
(True; moderate; p. 73)
98.
The National Advertising Division (NAD) and the National Advertising Review Board
(NARB) are government agencies that negotiate the voluntary withdrawal of national
advertising that professionals consider deceptive.
(False; moderate; p. 73)
99.
The Better Business Bureau is a government agency with the power to oversee
advertising, particularly local advertising.
(False; moderate; p. 73)
100. Advertising that is in poor taste and offensive is easily identified.
(False; moderate; pp. 75–76)
101.
Stereotypes can be useful and aid communication by using easily understood symbolic
meanings.
(True; moderate; p. 76)
102.
A subliminal message is transmitted in such a way that the receiver is not consciously
aware of receiving it.
(True; easy; p. 81)
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103. “Puffing” claims are illegal.
(False; moderate; p. 81)
104.
A spokesperson who endorses a brand must actually use the product for this to be a legal
message strategy.
(True; moderate; p. 83)
105.
A code of standards identifies how a professional in the industry must respond when
faced with ethical questions.
(False; difficult; p. 87)
GENERAL CONTENT: ESSAY QUESTIONS
106.
Compare and contrast a trademark and a copyright. Explain the importance of each and
how each is protected.
Answer:
A trademark is a brand, corporate, or store name or a distinctive symbol that identifies the
seller’s brand and thus differentiates it from the brands of other sellers. A trademark that
is registered through the Patent and Trademark Office of the Department of Commerce
gives the organization exclusive use of the mark, as long as the trademark is maintained
as an identification for a specific product. Because trademarks are critical communication
devices for products and services, they are important to advertising.
A copyright gives an organization the exclusive right to use or reproduce original work
such as an advertisement or package design for a period of time. Controls for copyright
protection are provided by the Library of Congress. Advertising is a competitive business
in which me-too ads abound, and copyrighting of coined words, phrases, illustrations,
characters, and photographs can offer some protection from other advertisers who borrow
too heavily from their competitors.
(moderate; p. 63)
107.
Describe the four specific responsibilities of the Federal Trade Commission.
Answer:
The four specific FTC responsibilities are the following:
(1) Initiate investigations against companies that engage in unfair competition or
deceptive practices.
(2) Regulate acts and practices that deceive businesses or consumers and issue cease-anddesist orders where such practices exist.
(3) Issue fines to violators of either a trade regulation rule or a cease-and-desist order
given to any other firm in the industry.
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(4) Fund the participation of consumer groups and other interest groups in rule-making
proceedings.
(moderate; p. 66)
108.
Define deceptive advertising and explain the three basic elements of the current FTC
policy on deception.
Answer:
Deceptive advertising is advertising intended to mislead consumers by making claims
that are false or by failure to make full disclosure of important facts, or both. The current
FTC policy on deception contains three basic elements:
(1)
Misleading—Where there is a representation, omission, or practice, there must be
a high probability that it will mislead the consumer.
(2)
Reasonableness—The perspective of the “reasonable consumer” is used to judge
deception. The FTC tests reasonableness by looking at whether the consumer’s
interpretation or reaction to an advertisement is reasonable.
(3)
Injurious—The deception must lead to material injury. That is, it must influence
consumers’ decision making about products and services.
(moderate; pp. 66–67)
109.
Name and describe the five FTC remedies for deception and unfair advertising.
Answer:
The FTC can follow several courses of actions:
(1)
Consent Decrees—The first step in the regulation process after the FTC
determines that an ad is deceptive. The FTC notifies the advertiser of its finding
and asks the advertiser to sign a consent decree agreeing to stop the deceptive
practice. Most advertisers do sign the decree to avoid bad publicity and the
possible $10,000-per-day fine for refusing to do so.
(2)
Cease-and-Desist Orders—Issued when the advertiser refuses to sign the consent
decree and the deception is determined to be substantial. The process leading to
the issuance of a cease-and-desist order is similar to a court trial, in which an
administrative law judge presides and lawyers represent both parties.
(3)
Corrective Advertising—May be required when consumer research determines
that an advertising campaign has perpetuated lasting false beliefs. The FTC orders
the offending advertiser to produce messages for consumers that correct the false
impressions the ad made.
(4)
Consumer Redress—The FTC can order cancellation or reformation of contracts,
refund of money or return of property, payment of damages, and/or public
notification.
(5)
Advertising Agency Legal Responsibility—The FTC can hold the ad agency
liable instead of, or along with, the advertiser.
(moderate; pp. 68–69)
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110.
Discuss three types of ethical criteria that need to be considered when making an
advertising decision.
Answer:
Three types of criteria need to be considered when making an advertising decision:
(1)
The Social Ethic—The Golden Rule (Do unto others as you would have them do
unto you.). Social responsibility motivates a business to perform a useful function
within society and to make its impact on society positive rather than negative—
and that includes its advertising, as well as other business practices.
(2)
The Professional Ethic—What would be viewed as proper by an objective panel
of my professional colleagues? Professional ethics are often expressed in a code
of standards that identifies how professionals in the industry should respond when
faced with ethical standards (e.g., the 4 As “Standards of Practice”).
(3)
The Personal Ethic—Would I feel comfortable explaining this action to the
general public on TV? to my mother? Personal judgment and moral reasoning rest
on an intuitive sense of right and wrong.
(moderate; pp. 86–88)
ADDITIONAL CONTENT: MULTIPLE-CHOICE QUESTIONS
In 2003 Adweek ran a feature on what it described as “the lowest moments in advertising”
during the previous decade. Many of the ads were on the list because ________.
a.
they were examples of deceptive advertisements
b.
they violated another company’s trademark
c.
they challenged the ethical standards of the industry
d.
they were the least expensive ads to produce
e.
they were ineffective advertisements
(c; easy; pp. 59–60)
111.
What company was at the top of Adweek’s 2003 list of ads that represented “the lowest
moments in advertising” during the previous decade because it used a style of lighting
and staging reminiscent of a porn movie to show prepubescent teens in their underwear?
a.
Calvin Klein
b.
Nike
c.
Benetton
d.
Kenneth Cole
e.
Victoria’s Secret
(a; moderate; pp. 59–60)
112.
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113.
Why did Adweek include a Super Bowl spot for Just for Feet that showed a barefoot black
man running through the wilderness tracked by a patrol in a Humvee on its 2003 list of
ads that represented “the lowest moments in advertising” during the previous decade?
a.
because it was offensive and in bad taste
b.
because it made viewers feel inferior about their body and self-image
c.
because it was a misleading advertisement
d.
because it was targeting African Americans
e.
because it played with stereotypes
(e; moderate; p. 60)
114.
Some claim advertising has created a society that is obsessed with personal hygiene
because consumers are bombarded with ads for products that remove our body odors,
make our teeth white, make our hair shine, allow us to fit in with our peers, and make our
family love us more. On what side of the social debate on advertising do believers of this
statement reside?
a.
advertising mirrors social values
b.
advertising mimics social values
c.
advertising shapes social values
d.
advertising manipulates social values
e.
advertising is offensive
(c; moderate; p. 61)
Some Asian and Middle Eastern countries are critical of what they see as America’s
materialism and disrespectful behavior toward women and elders and are worried that
advertising will encourage their young people to adopt these viewpoints. The term to
describe this phenomenon is ________.
a.
marketing ethics
b.
deceptive advertising
c.
social decline
d.
social responsibility
e.
marketing imperialism
(e; moderate; p. 62)
115.
Nike’s longtime symbol on its products and in its ads is the Nike “Swoosh,” which looks
like a curved checkmark. If another athletic shoemaker used that symbol on its products
or in its ads, the company would most likely be guilty of ________.
a.
comparative advertising
b.
competitive infringement
c.
misleading advertising
d.
trademark infringement
e.
deceptive advertising
(d; easy; p. 63)
116.
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117.
When Kraft foods made a claim that their processed cheese slices contained as much
calcium as that contained in 5 ounces of milk, the Federal Trade Commission pursued it
as a deceptive claim. Although Kraft admitted that a cheese slice did not actually contain
as much calcium as claimed due to processing, the company claimed that its ad was not
deceptive because consumer research indicated that calcium content was not important to
consumers when deciding among brands of cheese. Basically, Kraft’s defense was based
on its belief that the misleading claim ________.
a.
did not lead to material injury to consumers, and thus it was not deceptive
b.
did not claim anything different from other cheese manufacturers
c.
was not technically misleading if consumers didn’t think it was
d.
was not reasonable from the consumers’ point of view
e.
was not deceptive because the claim was merely false but did not omit any
important information
(a; difficult; p. 67)
118.
The Federal Trade Commission investigated a claim made in an ad for Ultra Slimfast and
determined that the ad is deceptive. What’s the first remedy that will be taken by the
FTC?
a.
issue a cease-and-desist order
b.
fine the advertiser $10,000 for every day the ad has run
c.
require the advertiser to run corrective advertising
d.
order the advertiser to refund consumers’ money
e.
issue a consent decree
(e; moderate; p. 68)
119.
Several countries have banned many forms of tobacco advertising. However, the Salem,
Benson & Hedges, and Winston names can found on billboards in one of these countries,
but they are not advertising cigarettes. They are advertising their travel, clothing, and
restaurant businesses. What type of advertising are these companies using to undermine
these tobacco-advertising bans?
a.
stealth advertising
b.
deceptive advertising
c.
indirect advertising
d.
unfair advertising
e.
imperialistic advertising
(c; moderate; p. 71)
120.
Several companies, such as Procter & Gamble, General Foods, and Colgate-Palmolive,
have their own codes of behavior and criteria that determine whether advertisements are
acceptable. Which type of self-regulation is this?
a.
industry self-regulation
b.
self-discipline
c.
self-regulation with outside help
d.
personal ethic
e.
social ethic
(b; moderate; p. 72)
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Chapter Six: Strategic Research
121.
John works for an advertising agency whose client wants to reach Hispanic consumers
living in Florida and Texas. He decides that one ad execution is sufficient because he
believes that all Hispanics are the same. John is using a(n) _________________ to make
his decision.
a.
heuristic
b.
shortcut
c.
unethical basis
d.
stereotype
e.
decision-making process
(d; easy; p. 76)
122.
What is the strategy called when women are presented as sexual objects?
a.
offensive
b.
cheesecake
c.
sexist
d.
sweetcake
e.
sleazy
(b; moderate; p. 77)
Charley’s Fish Fry restaurant claims it has the “best seafood in town.” What type of claim
does the Federal Trade Commission consider this to be?
a.
deceptive
b.
comparative
c.
puffery
d.
subliminal
e.
indirect
(c; moderate; p. 81)
123.
124.
Bayer Aspirin claims that it relieves headache pain three times faster than does Tylenol,
but this is not true. Under which law can Tylenol file a false advertising lawsuit about
this false claim?
a.
Lanham Act
b.
Pure Food and Drug Act
c.
Wheeler-Lea Amendment
d.
FTC Improvement Act
e.
Magnuson-Moss Warranty Act
(a; moderate; p. 82)
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125.
Which of the following is NOT one of the American Association of Advertising
Agencies’ Ten Guidelines for Comparative Advertising?
a.
The intent and connotation of the ad should be to inform and never to discredit or
unfairly attack competitors, or competing products or services.
b.
Should not include statements, suggestions, or pictures offensive to public
decency or minority segments of the population if they do not use the competitive
product.
c.
When a competitive product is named, it should be one that exists in the
marketplace as significant competition.
d.
The identification should be for honest comparison purposes and not simply to
upgrade by association.
e.
The property being compared should be significant in terms of value or usefulness
of the product to the consumer.
(b; difficult; p. 83 [Table 3.4])
As described in the “The Inside Story” box, what did research confirm for IBM regarding
the gay, lesbian, bisexual, and transgender (GLBT) market?
a.
that the GLBT market was substantial enough to pursue with a separate marketing
mix
b.
that IBM’s efforts to support diversity were not important to GLBT business
owners
c.
that IBM had the most progressive record among its competitors with regard to its
GLBT employees and customers
d.
GLBT business owners were aware that IBM supported GLBT nonprofit
organizations but they believed that IBM did so only to avoid protests from this
group
e.
GLBT business owners generally perceived IBM as unapproachable and
conservative
(e; moderate; p. 89)
126.
APPLICATION QUESTIONS: MINI-CASE MULTIPLE-CHOICE
Prior to 1997, broadcast ads for prescription drugs could not mention the ailment for which the
drug received FDA approval for and the name of the drug in the same advertisement. That is,
only one or the other could be mentioned, which led to much confusion on the part of consumers.
In 1997, the Food and Drug Administration loosened its controls on pharmaceutical companies,
and as a result, the amount of prescription drug advertising on television has skyrocketed. Now
both the ailment and the name of the drug can be mentioned, but major side effects must also be
mentioned and there must be an indication where the consumer can get more information, such
as from a magazine ad or a web site. Some have been quite critical of this direct-to-consumer
prescription advertising, claiming it has led to an increase in requests for costlier drugs, when the
less expensive generic drug would be just as effective.
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127.
Mini-Case Question. Although some doctors appreciate that the advertising has caused
consumers to become more active in managing their own health and more informed about
their drug options, some claim that they are being pressured to write inappropriate
prescriptions because their patients are influenced by the drug ad claims. What is this
called when an external message, like an advertisement, causes people to feel a need to
buy and use a product?
a.
demand creation
b.
manipulation
c.
indirect advertising
d.
want creation
e.
need creation
(a; moderate; p. 61)
128.
Mini-Case Question. One ad for a drug used to overcome male erectile dysfunction
depicted an old man in a nursing home acting like a young gigolo chasing after several
women at once and was not allowed to air on the major television networks of NBC,
CBS, and ABC. The ad did not contain any deceptive or unsubstantiated claims, so there
was nothing untruthful in the ad. Furthermore, the ad followed the guidelines given by
the FDA regarding broadcast advertising by indicating the major side effects and
referring to a magazine ad for more information. How can this happen in the United
States if this is legal advertising of a legal product?
a.
Stereotypes of “dirty old men” are not allowed in any advertising.
b.
The National Advertising Division determined the ad was distasteful and
disallowed it from being aired on television.
c.
Not all advertising is given the same protection under the First Amendment of the
Constitution.
d.
The media can reject ads that violate their standards of good taste.
e.
The behavior portrayed by the old man did not reflect the real behavior of the
individual involved.
(d; difficult; p. 72)
129.
Mini-Case Question. Pfizer is a large pharmaceutical company that has dramatically
increased its direct-to-consumer television advertising of prescription drugs. However,
Pfizer has stringent in-house ad review procedures, including reviews by agency and
client attorneys. Pfizer is concerned that any claim made in an ad is verifiable and that the
ad is executed in good taste. What type of self-regulation does this illustrate?
a.
industry self-regulation
b.
self-discipline
c.
self-regulation with outside help
d.
mandatory self-regulation
e.
voluntary self-regulation
(b; moderate; p. 73)
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130.
Mini-Case Question. An advertisement by the manufacturer of Flonase, a prescription
allergy nasal spray, compared its product with another nasal spray on the market,
Nasonex, and claimed that it controlled allergy symptoms for a longer period of time. The
ad was effective, resulting in a 2 percent increase in market share for Flonase.
Manufacturers of Nasonex claimed that the advertisement misrepresented their product
and basically made a false comparison. Under which law, can the manufacturer of
Nasonex seek damages from the manufacturer of Flonase?
a.
Federal Trade Commission Act
b.
Pure Food and Drug Act
c.
FTC Improvement Act
d.
Wheeler-Lea Amendment
e.
Lanham Act
(e; difficult; p. 82)
APPLICATION QUESTIONS: SHORT-ANSWER
131.
Discuss three of the advertisements that were included in Adweek’s 2003 list of ads it
described as “the lowest moments in advertising” during the previous decade.
Answer:
Students can discuss any three of the following:
(1)
Calvin Klein ads for its CK jeans used a style of lighting and staging reminiscent
of a porn movie to show prepubescent teens in their underwear.
(2)
Kenneth Cole created a billboard that proclaimed “God Dress America!” in the
emotional days after 9/11.
(3)
Fox Sports Net had to pull an ad for its Best Damn Sports Show Period that
featured heavyweight boxer Mike Tyson as a babysitter. He is a convicted rapist,
is known for biting off part of the ear of Evander Holyfield, and has threatened to
“eat the children” of another rival.
(4)
Benetton ads featured death-row prisoners, using celebrity-style photos and a
sympathetic interview style that seemed to glamorize its subjects, even as it
exploited them, not even mentioning the victims.
(5)
Just for Feet showed a barefoot black man running through the wilderness tracked
by a patrol in a Humvee. This client sued its agency for malpractice.
(6)
Toyota RAV4 showed a male, African American mouth, exaggerated lips, white
pearly teeth, and a gold Toyota RAV4 emblazoned on one of the teeth.
(7)
Nike ACG Air Goat made fun of the handicapped by promising the shoe would
help the runner avoid running into trees and becoming a “drooling, misshapen
non-extreme trail-running husk of my former self.”
(moderate; pp. 59–60)
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Chapter Six: Strategic Research
132.
You, as a consumer, think that an advertisement you saw on television for a national
brand is making a false claim. What can you do about it?
Answer:
Consumers can:
(1)
Contact the allegedly offending advertiser (choice not discussed in book)
(2)
File a complaint with the appropriate federal regulating agency (i.e., the Federal
Trade Commission)
(3)
File a complaint with the National Advertising Review Council through the
Council of Better Business Bureaus
(moderate; pp. 68 and 73)
133.
Procter & Gamble is concerned about a claim made in a rival’s advertisement. P&G
thinks that their claim is deceptive. If P&G does not want to get the government involved
in this dispute, what course of action can P&G take to resolve this issue and what process
will be followed?
Answer:
P&G can file a complaint with the National Advertising Division (NAD), which is the
investigative arm of the National Advertising Review Council (NARC). This
organization is an industry self-regulatory body and has no legal authority over
advertisers, but it negotiates voluntary withdrawal of national advertising that
professionals consider deceptive. The NAD will evaluate the complaint submitted by
P&G and may ask the allegedly deceptive advertiser to substantiate the claim in question
made in the advertisement. If such substantiation is deemed inadequate, the NAD will ask
the advertiser to change or withdraw the offending ad. When a satisfactory resolution
cannot be found, NAD refers the case to the National Advertising Review Board
(NARB), which is the appellate arm of the NARC. The NARB will form a panel of five
people to review the case (three advertisers, one agency person, and one public
representative). This NARB panel reviews the complaint and the NAD staff findings and
holds hearings to let the advertiser present its case. If the case remains unresolved after
the process, the NARB can publicly identify the advertiser and the facts about the case
and possibly refer the complaint to the appropriate government agency (usually the FTC).
(moderate; pp. 73–74)
134.
Belinda has been invited to speak to an advertising trade group about key ethical issues
facing advertising decision makers. List four key ethical issues that challenge the
standards of advertising professionals.
Answer:
Students can list any four of the six key ethical issues discussed in this chapter:
(1)
Taste and offensive advertising
(2)
Stereotyping
(3)
Body and self-image problems
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Part Two: Planning and Strategy
(4)
(5)
Targeting strategies, particularly targeting children
Problems with advertising claims and other message strategies, such as puffery,
comparative advertising, endorsement, and demonstrations
(6)
Marketing of controversial products, such as unhealthy or dangerous products
(tobacco, alcohol, prescription drugs)
(moderate; p. 75)
135.
Kim and her boyfriend were watching a movie on television when a commercial for a
feminine hygiene product came on. Kim was actually interested in this product, but being
a teenager, she was mortified that her boyfriend was there when this ad came on, so she
quickly changed the channel. What key ethical issue challenging the standards of
advertising professionals does this best portray?
Answer:
This example is a good illustration of the “poor taste and offensive advertising” key
ethical issue facing advertising professionals. This ad might not be considered offensive
or in poor taste by Kim if her boyfriend was not present, but it made her uncomfortable
because he was there when it came on the television.
(easy; pp. 75–76)
136.
OfficeMax has an advertisement that shows an African American with a bushy, 1970sera Afro hairdo dancing among office cubicles when he dispenses office supplies to
fellow employees. The music he is dancing to is a famous song, “Rubberband Man,”
recorded by an African American singer. While OfficeMax claims this ad has been
received favorably by consumers, it seems as though the response could have gone the
other way. Explain why.
Answer:
This ad illustrates one of the key ethical issues facing advertising professionals:
stereotyping. Some could argue that OfficeMax is using a racial and ethnic stereotype of
an African American dancing around in a low-level position in an organization. The
stereotype is further exaggerated with the 1970s Afro hairdo.
(moderate; p. 76)
137.
When an advertisement aimed at males portrays females as sexual objects, is it
“cheesecake” or good targeting? This issue was discussed in the “A Matter of Principle”
box.
Answer:
This ethical dilemma continues to challenge the industry because the technique tends to
succeed at getting the attention of men who are the target for these ads. The issue is
whether the sex appeal is gratuitous, in other words, is it relevant to the product? Even if
it is relevant, does it degrade women? Because what’s degrading to one person may not
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Chapter Six: Strategic Research
be offensive to another, this decision needs to be made based on research that determines
whether most people believe it to be degrading or offensive. Finally, the advertiser needs
to consider whether the brand meaning is sullied when the advertising uses cheesecake.
(easy; p. 77)
138.
Todd just took a job as the manager of a television station. What legal concerns must he
know about advertising to children?
Answer:
In 1990 Congress passed the Children’s Television Advertising Practice Act, which
placed 10.5-minute-per-hour ceilings for commercials in children’s weekend television
programming and 12-minute-per-hour limits for weekday programs. The act also set rules
requiring that commercial breaks be clearly distinguished from programming, barring the
use of program characters to promote products. He should also know that in 1996, the
Federal Communications Commission began to require all TV stations to air three hours
of children’s educational shows a week.
(difficult; p. 80)
139.
Bob is a brand manager for a national brand laundry detergent and noticed a claim made
in a competitor’s advertisement that falsely indicates that its brand performed better than
his company’s brand. What must Bob’s company prove to win a false advertising lawsuit
under the Lanham Act against the competitor?
Answer:
Under the Lanham Act, companies/plaintiffs are required to prove five elements to win a
false advertising lawsuit about an ad containing a comparative claim:
(1)
False statements have been made about either product
(2)
The ads actually deceived or had the tendency to deceive a substantial segment of
the audience
(3)
The deception was “material” or meaningful (i.e., likely to influence purchasing
intentions)
(4)
Falsely advertised goods are sold in interstate commerce
(5)
The suing company has been or likely will be injured as a result of the false
statements, either by loss of sales or loss of goodwill
(difficult; p. 82)
140.
Many advertisements for weight-loss products feature before-and-after photos of
individuals who have lost an astonishing amount of weight. While these products may
work for some people, the results shown in the ads may not be typical. What are
regulators’ concerns regarding these ads, and how do advertisers of these products get
away with showing such demonstrations?
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Part Two: Planning and Strategy
Answer:
The concern regarding demonstrations is whether the demonstration falsely upgrades the
consumers’ perception of the advertised brand. One technique some advertisers use to
sidestep restrictions on demonstrations is to insert disclaimers or “supers,” verbal or
written words in the ad that indicate exceptions to the advertising claim made. Notice that
on most weight-loss product advertisements they indicate “results are not typical” or
“results might vary.”
(moderate; p. 83)
141.
List five of the ten American Association of Advertising Agencies’ Ten Guidelines for
Comparative Advertising.
Answer:
Students can list any five of the following:
(1)
The intent and connotation of the ad should be to inform and never to discredit or
unfairly attack competing products or services.
(2)
When a competitive product is named, it should be one that exists in the
marketplace as significant competition.
(3)
The competition should be fairly and properly identified but never in a manner or
tone of voice that degrades the competitive product or service.
(4)
The advertising should compare related or similar properties or ingredients of the
product dimension to dimension, feature to feature.
(5)
The identification should be for honest comparison purposes and not simply to
upgrade by association.
(6)
If a competitive test is conducted, it should be done by an objective testing
service.
(7)
In all cases the test should be supportive of all claims made in the advertising that
are based on the test.
(8)
The advertising should never use partial results or stress insignificant differences
to cause the consumer to draw an improper conclusion.
(9)
The property being compared should be significant in terms of value or usefulness
of the product to the consumer.
(10) Comparisons delivered through the use of testimonials should not imply that the
testimonial is more than one individual’s unless that individual represents a
sample of the majority viewpoint.
(difficult; p. 83 [Table 3.4])
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Chapter Six: Strategic Research
142.
In 1997, the Food and Drug Administration loosened its controls on pharmaceutical
companies, and as a result, the amount of prescription drug advertising has skyrocketed.
Discuss some pros and cons regarding this growth in prescription drug advertising.
Answer:
Pros: Some doctors appreciate that the advertising has caused consumers to become more
active in managing their own health and more informed about their drug options.
Cons: One study found that direct-to-consumer prescription drug advertising has led to an
increase in requests for costlier drugs, when the less expensive generic drug would be just
as effective. For this reason, consumer groups, government agencies, and insurance
companies have been quite critical of this advertising. Some doctors also claim that they
are being pressured to write inappropriate prescriptions because their patients are
influenced by the drug ad claims. These arguments tend to support the demand creation
criticism of advertising.
(moderate; p. 85)
143.
You are just starting out in an advertising career and are concerned about making ethical
decisions. What resources are available to help guide you to a “right” decision, and what
type of criteria might you consider when making an advertising decision?
Answer:
There are laws and regulations governing the practice of advertising, but there are also
codes of conduct, as well as personal and professional decision-making guidelines. Three
types of criteria need to be considered when making an advertising decision:
(1)
The Social Ethic—The Golden Rule (Do unto others as you would have them do
unto you.). Social responsibility motivates a business to perform a useful function
within society and to make its impact on society positive rather than negative—
and that includes its advertising as well as other business practices.
(2)
The Professional Ethic—What would be viewed as proper by an objective panel
of my professional colleagues? Professional ethics are often expressed in a code
of standards that identifies how professionals in the industry should respond when
faced with ethical standards (e.g., the 4 As “Standards of Practice”).
(3)
The Personal Ethic—Would I feel comfortable explaining this action to the
general public on TV? to my mother? Personal judgment and moral reasoning rest
on an intuitive sense of right and wrong.
(moderate; pp. 86–88)
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Part Two: Planning and Strategy
144.
List the five specific statements of the American Association of Advertising Agencies’
Creative Code.
Answer:
Specifically, we will not knowingly create advertising that contains:
(1)
False, or misleading statements or exaggerations, visual or verbal
(2)
Testimonials that do not reflect the real opinion of the individuals involved,
(3)
Price claims that are misleading
(4)
Claims insufficiently supported or that distort the true meaning or practicable
application of statements made by professional or scientific authority
(5)
Statements, suggestions, or pictures offensive to public decency or minority
segments of the population
(difficult; p. 87 [Figure 3.3])
145.
List three ethical questions, given in the “Practical Tips” box, in terms of the social
impact advertising professionals can ask themselves as they confront ethical dilemmas.
Answer:
The “Practical Tips” box provides seven questions regarding advertising’s social impact,
only three of which are necessary to correctly answer this question:
In terms of its social impact, does advertising ________?
(1)
violate public standards of good taste
(2)
reinforce negative stereotypes
(3)
damage people’s self-image and create insecurities
(4)
promote materialism
(5)
create false wants and false hopes
(6)
contribute to cultural pollution
(7)
market dangerous products
(difficult; p. 88)
146.
Discuss what “Bringing Deeper Dimensions to Established Brands” in the “The Inside
Story” by Jake Stafford was about.
Answer:
IBM contacted Jake Stafford’s firm to execute an innovative and unprecedented
marketing endeavor for IBM in the gay, lesbian, bisexual, and transgender (GLBT)
market. His firm first conducted research on information technology consumption
attributes among GLBT business-owners and GLBT influencers in large corporations and
found that they generally perceived IBM as unapproachable and conservative. His firm
developed a comprehensive approach to convey IBM’s GLBT history and friendliness, as
well as IBM’s product and service superiority.
(moderate; p. 89)
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Chapter Six: Strategic Research
APPLICATION QUESTIONS: MINI-CASE SHORT ANSWER
Amy is seven years old and loves to play with dolls. In fact, she has more than 20 Barbie dolls
and lots of clothes and accessories, including three cars, a house with furniture, and an airplane.
Mattel, the manufacturer of Barbie, also sells many other products with the Barbie brand, such as
games, notebooks, and girls’ clothing to name a few.
147.
Mini-Case Question. Amy saw a commercial on television for a newer Barbie house than
the one she currently has, and of course, she wanted it. Advertising has been criticized
because it is used to drive people to feel a need or want. What is this called and why is
advertising criticized?
Answer:
Demand creation means using an external message to drive people to feel a need or want.
Demand creation becomes a question of ethics when social critics charge that the demand
is artificial and the products really aren’t needed—that people’s wants are being
manipulated unnecessarily.
(moderate; p. 61)
148.
Mini-Case Question. One ad for Barbie showed an animated Barbie character diving off
of a diving board doing flips and twists before landing in a pool. The ad was advertising a
Barbie doll with a diving board that can be attached to the side of a bathtub, and Amy
begged her mother for the doll and got it, but she was very disappointed when the doll did
not perform like she saw in the commercial. She realized she had to hold on to the doll to
make it flip around and dive into the water. What was wrong with this ad?
Answer:
This scenario is getting at the issue of deceptive advertising. The FTC’s policy on
deception contains three basic elements:
(1)
Misleading—Where there is representation, omission, or practice, there must be a
high probability that it will mislead the consumer. In this example, the animated
Barbie character could be construed as misleading because the doll could not
actually do what was shown in the advertisement.
(2)
Reasonableness—The perspective of the “reasonable consumer” is used to judge
deception, and in this case, a young girl would be considered the “reasonable
consumer.”
(3)
Injurious—The deception must lead to material injury. That is, it must influence
consumers’ decision making about products and services. In this case, Amy saw
the ad and thought the doll could do the stunts depicted and begged her mother to
buy it for her.
(moderate; pp. 66–67)
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Part Two: Planning and Strategy
149.
Mini-Case Question. What self-regulatory agency monitors national advertising targeted
at children?
Answer:
The Children’s Advertising Review Unit (CARU), which is a subgroup of the National
Advertising Division (NAD) of the Council of Better Business Bureaus.
(moderate; p. 80)
150.
Mini-Case Question. Amy’s mother limits Amy’s television viewing time because she
feels there is just too much advertising influencing her child to want more stuff.
However, there are restrictions regarding advertising toward children. Name and describe
the laws and regulations specific to television advertising targeted at children.
Answer:
In 1990 Congress passed the Children’s Television Advertising Practice Act, which
placed 10.5-minute-per-hour ceilings for commercials in children’s weekend television
programming and 12-minute-per-hour limits for weekday programs. The act also set rules
requiring that commercial breaks be clearly distinguished from programming, barring the
use of program characters to promote products.
(moderate; p. 80)
CHAPTER FOUR
How Advertising Works
GENERAL CONTENT: MULTIPLE-CHOICE QUESTIONS
308.
Great advertising is advertising that ___________.
a.
is creative
b.
is meaningful
c.
has impact
d.
wins awards
e.
cuts through the clutter
(c; moderate; p. 98)
309.
Advertising, first of all, is a form of ________.
a.
communication
b.
marketing
c.
artistic expression
d.
interactive communication
e.
message
(a; moderate; p. 99)
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Chapter Six: Strategic Research
310.
Which of the following is NOT an element of the basic communication model?
a.
channel
b.
message
c.
source
d.
advertisement
e.
receiver
(d; easy; p. 99)
311.
The basic communication model begins with ________.
a.
the source
b.
the receiver
c.
the message
d.
the channel
e.
the target audience
(a; easy; p. 99)
312.
Who encodes the message in the basic communication model?
a.
the receiver
b.
the channel
c.
the media
d.
the source
e.
the encoder
(d; moderate; p. 99)
313. Newspaper, radio, and television are all examples of which element of the basic
communication model?
a.
the receiver
b.
the channel
c.
the source
d.
the encoder
e.
the decoder
(b; moderate; p. 99–100)
314.
When a message is interpreted by the receiver, it means it has been ________.
a.
encoded
b.
delivered
c.
decoded
d.
persuasive
e.
accepted
(c; moderate; p. 100)
315.
________ is obtained in the basic communication model by monitoring the response of
the receiver to the message.
a.
Noise
b.
Feedback
c.
Acceptance
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Part Two: Planning and Strategy
d.
Persuasion
e.
Awareness
(b; moderate; p. 100)
316.
Things that interrupt the sending as well as the receiving of the message are known as
________ in the basic communication model.
a.
encoders
b.
decoders
c.
feedback
d.
interference
e.
noise
(e; moderate; p. 100)
317.
________ communication is a form of two-way communication, a dialogue.
a.
Mass
b.
Marketing
c.
Interactive
d.
Integrative
e.
Advertising
(c; moderate; p. 100)
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Chapter Six: Strategic Research
318.
Who determines the objectives for the advertising message?
a.
the advertiser
b.
the agency
c.
the media
d.
the advertiser assisted by its agency
e.
the advertiser assisted by its agency and the media
(d; moderate; p. 100)
319.
In customer-focused marketing, all communication should be evaluated in terms of
________.
a.
consumer response
b.
sales
c.
market share
d.
creative awards
e.
media efficiency
(a; moderate; p. 100)
320.
Which of the following is an example of external noise at the macro level that could
hinder the consumer’s reception of the message?
a.
problems with the product’s marketing mix
b.
perceived needs
c.
information processing
d.
attitudes and opinions
e.
all of the above
(a; difficult; p. 100)
________ is the multitude of messages all competing to get consumers’ attention.
a.
Noise
b.
Feedback
c.
Clutter
d.
Channel
e.
Encoding
(c; moderate; p. 101)
321.
322.
Turning the page in the newspaper or a magazine, hitting the mute button on the
television, tossing unopened mail that looks like an ad, and deleting spam without
looking at it are all examples of consumers ________ the message.
a.
decoding
b.
encoding
c.
perceiving
d.
filtering
e.
accepting
(d; moderate; p. 101)
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Part Two: Planning and Strategy
323.
________ relies on consumers to pass messages about products among themselves,
typically through e-mail.
a.
Mass communication
b.
Viral marketing
c.
Opinion marketing
d.
Interactive marketing
e.
Clutterless marketing
(b; easy; p. 101)
324.
Which of the following is NOT an element of the AIDA hierarchy-of-effects model?
a.
attention
b.
action
c.
attitude
d.
desire
e.
interest
(c; moderate; p. 102)
325.
Because AIDA assumes that consumers start with attention and wind up with a decision,
it is referred to as a(n) ________ model.
a.
hierarchy-of-effects
b.
communication
c.
think-feel-do
d.
advertising
e.
stepwise
(a; moderate; p. 102)
326.
What is the problem with hierarchical models that advertisers use to plan their
advertising?
a.
They are technically complex and difficult to use.
b.
They are not complex enough.
c.
The models do not take into account the rational, information-driven process
consumers use to make a decision.
d.
Advertisers now know that people don’t always proceed through steps in a
predictable fashion.
e.
The models do not take into account consumers’ perceptions.
(d; difficult; p. 102)
327.
Which model works on the idea that advertising motivates people to think about the
message, feel something about the product, and do something, such as try it or buy it?
a.
AIDA model
b.
basic communication model
c.
Facets model
d.
think-feel-do model
e.
feel-do-think model
(d; moderate; p. 103)
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Chapter Six: Strategic Research
328.
According to the Facets model, which of the following is considered a consumer
response?
a.
perception
b.
cognition
c.
affect/emotion
d.
association
e.
all of the above
(e; easy; p. 103)
329.
According to the Facets model, all EXCEPT which of the following are effects that
describe how advertising works?
a.
perception
b.
filtering
c.
affect/emotion
d.
association
e.
cognition
(b; moderate; pp. 103–104 [Figure 4.3])
330.
________ is the process by which we receive information through our five senses and
assign meaning to it.
a.
Cognition
b.
Behavior
c.
Exposure
d.
Awareness
e.
Perception
(e; moderate; p. 104)
331.
________ is a process by which consumers respond by selecting messages to which they
pay attention.
a.
Cognition
b.
Perception
c.
Selective perception
d.
Exposure
e.
Awareness
(c; moderate; p. 104)
332.
Which key component of perception means being seen or heard?
a.
selection and attention
b.
exposure
c.
interest and relevance
d.
awareness
e.
recognition
(b; moderate; p. 104)
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Part Two: Planning and Strategy
333.
________ means the receiver of the message has become mentally engaged in some way
with the ad and the product.
a.
Attention
b.
Perception
c.
Selection
d.
Interest
e.
Awareness
(d; moderate; p. 105)
334.
________ means the message connects on some personal level with the receiver.
a.
Attention
b.
Perception
c.
Selection
d.
Interest
e.
Relevance
(e; moderate; p. 105)
335.
________ results when an advertisement initially makes an impression.
a.
Attention
b.
Perception
c.
Selection
d.
Interest
e.
Awareness
(e; moderate; p. 105)
336.
________ means people remember seeing the ad, and ________ means they remember
what the ad said.
a.
Recall; recognition
b.
Recognition; recall
c.
Aided recognition; unaided recognition
d.
Unaided recognition; aided recognition
e.
Aided recall; unaided recognition
(b; moderate; p. 106)
337.
________ is a measure of perception; ________ is a measure of understanding.
a.
Recall; recognition
b.
Recognition; recall
c.
Aided recognition; unaided recognition
d.
Unaided recognition; aided recognition
e.
Aided recall; unaided recognition
(b; moderate; p. 106)
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Chapter Six: Strategic Research
338.
________ recognition or recall means respondents are asked to tell what they remember
without being prompted by seeing the advertisement to refresh their memories.
a.
Aided
b.
Unaided
c.
Spontaneous
d.
Unscripted
e.
Free
(b; moderate; p. 106)
339.
________ recognition or recall means respondents are shown a magazine, for example,
and asked whether they remember seeing a particular ad.
a.
Aided
b.
Unaided
c.
Spontaneous
d.
Assisted
e.
Free
(b; moderate; p. 106)
340.
Subliminal advertising is a(n) ________ issue.
a.
perceptual
b.
affective
c.
cognitive
d.
behavioral
e.
association
(a; moderate; p. 106)
341.
________ effects are messages cues given below the threshold of perception; in other
words, you can’t easily perceive them because they are too brief to see or they are
disguised in some way.
a.
Subversive
b.
Subliminal
c.
Cognitive
d.
Unaided
e.
Sub-perceptual
(b; easy; p. 106)
342.
What is the first effect of an advertising message and occurs before any of the other
effects can happen?
a.
cognition
b.
affect
c.
perception
d.
association
e.
persuasion
(c; moderate; p. 106)
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Part Two: Planning and Strategy
343.
________ refers to how consumers respond to information, learn, and understand
something.
a.
Cognition
b.
Affect
c.
Perception
d.
Association
e.
Persuasion
(a; moderate; p. 106)
344.
Which of the following is a key component of cognition?
a.
exposure
b.
needs
c.
selection and attention
d.
emotions
e.
resonance
(b; moderate; p. 108)
345.
Which of the following is NOT a key component of cognition?
a.
needs
b.
information
c.
resonance
d.
learning
e.
differentiation
(c; moderate; p. 108)
346.
________ are something you think about and ________ are based on feelings and desires.
a.
Wants; needs
b.
Learning; emotions
c.
Thoughts; emotions
d.
Recall; recognition
e.
Needs; wants
(e; moderate; p. 108)
347.
________ occurs when a presentation of facts, information, and explanations leads to
understanding.
a.
Resonance
b.
Conditioned learning
c.
Differentiation
d.
Memory
e.
Cognitive learning
(e; moderate; p. 108)
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Chapter Six: Strategic Research
348.
________ takes place when the learner links one thing with another.
a.
Resonance
b.
Conditioned learning
c.
Differentiation
d.
Memory
e.
Cognitive learning
(b; moderate; p. 108)
349.
Which type of memory means that the memory trace goes deeper than perception with a
cognitive response to an advertisement and you remember the ad message as well as
seeing the ad?
a.
resonance
b.
recognition
c.
working memory
d.
long-term memory
e.
recall
(e; moderate; p. 108)
350.
What causes consumers to NOT act on a message they may have seen or heard until later
when they are in a store?
a.
subliminal effects
b.
cognitive effects
c.
delayed effects
d.
association effects
e.
conditioned learning
(c; moderate; p. 109)
351.
________ describes something that stimulates wants, touches the emotions, and creates
feelings.
a.
Cognition
b.
Resonance
c.
Liking
d.
Affective
e.
Transformation
(d; moderate; p. 109)
352.
Which of the following is a component of the affective response?
a.
wants
b.
symbolism
c.
brand transformation
d.
needs
e.
differentiation
(a; moderate; p. 109)
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Part Two: Planning and Strategy
353.
Which of the following is NOT a component of the affective response?
a.
wants
b.
needs
c.
emotions
d.
liking
e.
resonance
(b; moderate; p. 109–110)
354.
Ads that rely on arousing feelings such as humor, love, or fear are referred to as
________ appeals.
a.
resonant
b.
symbolic
c.
emotional
d.
cognitive
e.
transformational
(c; moderate; pp. 109–110)
________ means the advertising message “rings true” and helps the consumer identify
with the brand on a personal level.
a.
Resonance
b.
Emotions
c.
Transformation
d.
Symbolism
e.
Conditioned learning
(a; moderate; p. 110)
355.
356.
________ is stronger than liking because it involves an element of self-identification.
a.
Resonance
b.
Cognitive learning
c.
Transformation
d.
Symbolism
e.
Conditioned learning
(a; moderate; p. 110)
357.
________ is the process of making symbolic connections between a brand and
characteristics, qualities, or lifestyles that represent the brand’s image and personality.
a.
Resonance
b.
Association
c.
Transformation
d.
Symbolism
e.
Cognitive learning
(b; moderate; p. 110)
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Chapter Six: Strategic Research
358.
Which of the following is a component of association?
a.
resonance
b.
liking
c.
conditioned learning
d.
perception
e.
emotions
(c; moderate; p. 110)
359.
Which of the following is NOT a component of association?
a.
symbolism
b.
conditioned learning
c.
brand transformation
d.
liking
e.
all of the above are components of association
(d; difficult; p. 110)
360.
________ means something that stands for something else, such as a quality or value.
a.
Resonance
b.
Symbolism
c.
Conditioned learning
d.
Brand transformation
e.
Affect
(b; moderate; p. 110)
361.
________ means a brand takes on meaning when it is transformed from a mere product
into something special, something that is differentiated from other products in the
category by virtue of its brand identity and image.
a.
Resonance
b.
Symbolism
c.
Conditioned learning
d.
Brand transformation
e.
Affect
(d; moderate; p. 111)
362.
Brand identity is associated with which communication dimension of branding?
a.
perceive
b.
understand
c.
feel
d.
connect
e.
believe
(a; difficult; p. 111)
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Part Two: Planning and Strategy
363.
Brand position is associated with which communication dimension of branding?
a.
perceive
b.
understand
c.
feel
d.
connect
e.
believe
(b; difficult; p. 111)
364.
Brand personality is associated with which communication dimension of branding?
a.
perceive
b.
understand
c.
feel
d.
connect
e.
believe
(c; difficult; p. 111)
365.
Brand image is associated with which communication dimension of branding?
a.
perceive
b.
understand
c.
feel
d.
connect
e.
believe
(d; difficult; p. 111)
366.
Brand promise is associated with which communication dimension of branding?
a.
perceive
b.
understand
c.
feel
d.
connect
e.
believe
(e; difficult; p. 111)
367.
Brand loyalty is associated with which communication dimension of branding?
a.
perceive
b.
understand
c.
act
d.
connect
e.
believe
(c; difficult; p. 111)
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Chapter Six: Strategic Research
368.
The ________ states what the brand is all about, its essence.
a.
brand position
b.
brand image
c.
brand promise
d.
brand loyalty
e.
brand personality
(a; moderate; p. 113)
369.
________ is the idea that a brand takes on familiar human characteristics, such as
friendliness, trustworthiness, or snobbery, and contributes an effective dimension to the
meaning of a brand.
a.
Brand position
b.
Brand image
c.
Brand promise
d.
Brand loyalty
e.
Brand personality
(e; moderate; p. 113)
370.
________ is the mental impression consumers construct for a product.
a.
Brand position
b.
Brand image
c.
Brand promise
d.
Brand loyalty
e.
Brand personality
(b; moderate; p. 113)
371.
When a brand establishes a familiar image and an expectation level based on familiarity,
consistency, and predictability, this is known as the ________.
a.
brand position
b.
brand image
c.
brand promise
d.
brand loyalty
e.
brand personality
(c; moderate; p. 113)
372.
________ is the conscious intent on the part of the source to influence or motivate the
receiver of a message to believe or do something.
a.
Argument
b.
Involvement
c.
Persuasion
d.
Association
e.
Cognition
(c; moderate; p. 113)
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Part Two: Planning and Strategy
373.
Which of the following is a component of persuasion?
a.
attitudes
b.
symbolism
c.
emotion
d.
want
e.
need
(a; moderate; p. 113)
374.
Which of the following is NOT a component of persuasion?
a.
attitudes
b.
argument
c.
involvement
d.
motivation
e.
symbolism
(e; moderate; pp. 113–114)
375.
A(n) ________ is mental readiness to react to a situation in a given way, is seen by many
scholars as the most central factor in persuasion, and can be positive, negative, or neutral.
a.
attitude
b.
argument
c.
conviction
d.
preference
e.
association network
(a; moderate; p. 114)
376.
________ means consumers believe something to be true.
a.
Attitude
b.
Preference
c.
Conviction
d.
Loyalty
e.
Credibility
(c; moderate; p. 114)
377.
Which of the following is a component of the behavior response?
a.
try
b.
buy
c.
contact
d.
prevention
e.
all of the above
(e; moderate; p. 116)
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Chapter Six: Strategic Research
GENERAL CONTENT: TRUE/FALSE QUESTIONS
378. Advertising is, first of all, a form of communication.
(True; easy; p. 99)
379.
Mass communication is a conversation or dialogue, and the source and receiver change
positions as the message bounces back and forth between them.
(False; easy; p. 99)
380. Feedback interrupts the sending as well as the receiving of the message.
(False; moderate; p. 100)
381. The advertiser’s objectives are focused on the message.
(False; difficult; p. 100)
382.
Viral marketing relies on consumers to pass messages about products among themselves,
typically through e-mail.
(True; easy; p. 101)
383.
The most common and long-standing explanation of advertising effects is one referred to
as AIDA, which stands for attitude, interest, decision, and action.
(False; moderate; p. 102)
384. The hierarchy-of-effects models adequately explain how advertising works.
(False; difficult; p. 102)
385.
The Facets model posits that effective advertising can create six types of consumer
responses: perception, cognition, affective/emotion, association, persuasion, and
behavior.
(True; moderate; p. 103)
386. The affective/emotion consumer response refers to understanding.
(False; moderate; p. 103)
387.
Cognition is the process by which we receive information through our five senses and
assign meaning to it.
(False; moderate; p. 104)
388.
Advertising creates visibility for a product or brand through exposure, and consumers
respond by selecting messages to which they pay attention, a process called selective
perception.
(True; moderate; p. 104)
389. Interest and relevance create stopping power.
(False; moderate; p. 104)
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Part Two: Planning and Strategy
390.
A critical factor in interest is relevance, which means the message connects on some
personal level.
(True; moderate; p. 105)
391. Relevance results when an advertisement initially makes an impression.
(False; moderate; p. 105)
392.
Recognition means people remember seeing the ad, and recall means they remember
what the ad said.
(True; moderate; p. 106)
393.
Subliminal effects are message cues given below the threshold of perception, meaning
you cannot easily perceive them because they are too brief to see or they are disguised in
some way.
(True; easy; p. 106)
394.
Behavior refers to how consumers respond to information, learn, and understand
something.
(False; moderate; p. 106)
395. Wants are something you think about and needs are based on feelings and desires.
(False; moderate; p. 108)
396. Cognitive learning occurs when the learner links one thing with another.
(False; difficult; p. 108)
397.
The components of the affective response are needs, wants, emotion, liking, and
resonance.
(False; difficult; p. 109)
Advertisements that create resonance where the message “rings true” help the consumer
identify with the brand on a personal level.
(True; moderate; p. 110)
398.
399.
Association is the process of making symbolic connections between a brand and
characteristics, qualities, or lifestyles that represent the brand’s image and personality.
(True; moderate; p. 110)
400.
The components of association are symbolism, conditioned learning, and brand
transformation.
(True; moderate; p. 110)
401.
Symbolism means a brand takes on meaning when it is transformed from a mere product
into something special, something that is differentiated from other products in the
category by virtue of its brand identity and image.
(False; difficult; p. 111)
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Chapter Six: Strategic Research
402.
The communication dimensions of branding can be outlined using the same six effects
presented in the Facets model.
(True; moderate; p. 111)
403. The brand personality states what the brand is all about, its essence.
(False; moderate; p. 113)
404. The brand image is the mental impression consumers construct for a product.
(True; moderate; p. 113)
405.
Persuasion is the conscious intent on the part of the source to influence or motivate the
receiver of a message to believe or do something.
(True; easy; p. 113)
406. An argument is a mental readiness to react to a situation in a given way.
(False; moderate; p. 114)
407. Conviction means an intention to try or buy a product.
(False; moderate; p. 114)
408.
Source credibility means that the person delivering the message, such as a doctor, is
respected and believed.
(True; easy; p. 114)
409. Preference is measured both as an attitude and by repeat purchases.
(False; difficult; p. 114)
410.
Conviction refers to the degree to which you are engrossed in attending to an ad or
making a product decision.
(False; moderate; p. 116)
411. The components of the behavioral response are try, buy, contact, and prevention.
(True; moderate; p. 116)
412. There are some situations where advertising messages are designed to deter behaviors.
(True; moderate; p. 118)
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Part Two: Planning and Strategy
GENERAL CONTENT: ESSAY QUESTIONS
413.
Describe the basic communication model, and compare and contrast that model with the
interactive communication model.
Answer:
The basic communication model begins with a source, a sender who encodes a message
(puts it in words and pictures). The message is presented through channels of
communication, such as a newspaper, radio, or TV. The message is decoded, or
interpreted, by the receiver, who is the reader, viewer, or listener. Feedback is obtained
by monitoring the response of the receiver to the message. The entire process is
complicated by noise, that which interrupts the sending as well as the receiving of the
message, such as a bad connection. The basic communication model is a model of mass
communication and is generally a one-way process with the message depicted as moving
from the source to the receiver. However, interactive communication, while containing
the same elements as the basic communication model, is a form of two-way
communication, a dialogue. The difference between one-way and two-way
communication is that the latter communication process is interactive and the source and
receiver change positions as the message bounces back and forth between them.
(moderate; pp. 99–100)
414.
Name and describe the most common hierarchy-of-effects model that has been used to
explain advertising effects as well as the problems with these types of models.
Answer:
The most common and long-standing explanation of advertising effects is one referred to
as AIDA, which stands for attention, interest, desire, and action. The idea is that first an
ad gets attention, then it creates interest, then desire, and it finally stimulates action. It’s a
simple model that identifies four effects and makes a prediction about how they are
related in a hierarchy of steps. Because AIDA assumes that consumers start with attention
and wind up with a decision, it is referred to as a hierarchy-of-effects model. The
problem with these models is that advertisers now know that people don’t always proceed
through steps in this predictable fashion. The rational, information-driven process is what
the AIDA model describes. However, with impulse purchases, you almost work the
AIDA model backward. So AIDA isn’t adequate as a model of the various types of
effects advertising can create.
(moderate; p. 102)
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Chapter Six: Strategic Research
415.
Briefly describe the purpose of Facets Model of Effective Advertising and the six types
of consumer responses the model posits.
Answer:
The Facets Model posits that effective advertising creates six types of consumer
responses: (1) perception, (2) cognition, (3) affective/emotion, (4) association, (5)
persuasion, and (6) behavior. Within each type of response, factors, or aspects, give
definition to the way that facet is constructed. According to this model, these are facets,
polished surfaces like those of a diamond, that come together to make up the unique
consumer response to an advertising message. The effects are holistic, leading to an
impression or an “integrated perception.” An effective message, then, has a diamondlike
quality that represents how the message effects work together to create the desired
consumer response. According to this model, that impact can be created in a number of
different ways, meaning one brand message may get attention, explain new information,
and convince consumers to try the brand and another message might create awareness,
stir up an emotion, and link a product to a lifestyle. Both can be equally effective; they
just touched the consumer in entirely different ways.
(moderate; pp. 103–104)
416.
Compare and contrast the Cognition and the Affective (or Emotional) Responses in the
Facets Model.
Answer:
Cognition refers to how consumers respond to information, learn, and understand
something. It’s a rational response to a message. The key components of cognition and
their roles in effectiveness are:
(1)
Needs—Matching product features to consumer needs.
(2)
Information—Facts about products and their features.
(3)
Learning—Creating understanding. Cognitive learning occurs when a
presentation of facts, information, and explanation leads to understanding.
(4)
Differentiation—Understanding the differences between competitive products.
(5)
Recall—Locking information in memory.
Affective responses mirror our feelings about something. Affective describes something
that stimulates wants, touches the emotions, and creates feelings. The components of the
affective response and their roles in effectiveness are:
(1)
Wants—Creating desire.
(2)
Emotions—Affecting feelings.
(3)
Liking—Creating positive feelings for the ad and the brand.
(4)
Resonance—Appealing to self-interest.
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Part Two: Planning and Strategy
Although both mechanisms can explain how advertising works, each works through
different mechanisms. Cognitive responses are more rational and work on consumers’
needs. The affective responses are more emotional and work on consumers’ wants.
(moderate; pp. 106–110)
417.
Name and describe the components of persuasion and how they work in advertising.
Answer:
Persuasion is designed to change attitudes and behavior and build beliefs. There are many
dimensions of persuasion and advertisers identify the following components to explain
how persuasion works in advertising:
(1)
Attitude—A state of mind, tendency, propensity, position, inclination. An attitude
is a mental readiness to react to a situation in a given way and is seen by many as
the most central factor in persuasion. Attitudes can be positive, negative, or
neutral. Both positive and negative attitudes, particularly those that are embedded
in strong emotions, can motivate people to action—or to lack of action. Marketing
communication is used to establish, change, or reinforce attitudes.
(2)
Argument—Reasons, proof. An argument is based on a cognitive strategy. It uses
logic, reasons, and proof to make a point and build conviction. Advertising that
deals with problems and their solutions often relies on argument, as does
advocacy advertising that presents a company’s point of view.
(3)
Involvement—Engagement, intensifies brand relationships. Involvement refers to
the degree to which you are engrossed in attending to an ad or making a product
decision. Creating a sense of involvement in a marketing communication program
is a persuasive tactic because it gets people engaged with a message about a
brand. Involvement is built on relevance—on how much a product message
connects with your life and interests.
(4)
Motivation—Incentive or reason to respond. The idea is that something prompts a
person to act in a certain way. To intensify the consumer’s level of motivation,
advertising and other marketing communications such as sales promotion use
incentives, such as gifts, prizes, and contests, to encourage people to respond.
(5)
Influence—External people or events that shape attitudes and behavior.
(6)
Conviction and Preference—Creating agreement and consideration (intend to try
or buy). Conviction means consumers believe something to be true. In terms of
advertising effects, belief is indicated when consumers develop a preference for,
or an intention to, try or buy a product.
(7)
Loyalty—Repeat purchase, satisfaction, advocate. Brand loyalty, which is
measured both as an attitude (preference) and by repeat purchases, is an important
response that crosses over between thinking, feeling, and doing. It is a response
that is built on customer satisfaction. Loyalty programs are designed to retain
customers, as well as increase their business. Loyalty is of value because it can
lead to other behavioral responses, such as advocacy for the brand and referrals.
(difficult; pp. 113–115)
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Chapter Six: Strategic Research
APPLICATION QUESTIONS: MULTIPLE-CHOICE QUESTIONS
418.
Who manufactures the leading golf shoe on the market and is the subject of the chapter
opening vignette?
a.
Nike
b.
FootJoy
c.
Callaway
d.
Titleist
e.
Tiger
(b; easy; p. 97)
112.
How did FootJoy meet its challenge to retain its position as the shoe of choice for the
world’s best golfers while creating a new image of being young, cool, and with-it?
a.
FootJoy created the SignBoy character to present the FootJoy message in an
entertaining and fun manner.
b.
FootJoy created a different line of shoes to compete directly with Nike’s cool and
stylish line of footwear.
c.
FootJoy engaged Tiger Woods as an endorser.
d.
FootJoy ran a series of ads featuring several well-known golfers testifying to the
quality of their shoes.
e.
FootJoy created a massive event sponsorship and sales promotion integrated
campaign to regain lost customers.
(a; moderate; pp. 97–98)
113.
Which major player in the advertising industry assists the advertiser in encoding their
messages into words and pictures?
a.
media
b.
target audience
c.
agency
d.
sender
e.
vendor
(c; easy; p. 99)
114.
Jacob has voted Republican his entire life. No matter how many times he sees a television
commercial for the Democratic candidate, he is not going to process the message and be
influenced by it. What is hindering Jacob’s reception of the message?
a.
external noise
b.
feedback
c.
bias
d.
internal noise
e.
encoding deficiency
(d; difficult; p. 101)
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Part Two: Planning and Strategy
115.
Procter & Gamble encourages a few teenagers to discuss its new products in chat rooms
and to send messages to friends via instant messenger and e-mail. P&G has found this to
be an effective means of getting the message about a new product out among this age
group. What is this technique called?
a.
opinion leader marketing
b.
viral marketing
c.
interactive marketing
d.
electronic marketing
e.
e-commerce
(b; moderate; p. 101)
116.
Many soft drink television commercials use song-and-dance routines to create brand
familiarity. The ads also often show consumers grabbing the soft drink similar to an
impulse purchase at the store where consumers can purchase a single drink from a cooler
near the checkout. Impulse purchases tend to follow which path of the think-feel-do
model?
a.
think-feel-do
b.
think-do-feel
c.
feel-do-think
d.
do-think-feel
e.
do-feel-think
(e; difficult; p. 103 [Table 4.1])
117.
Advertisers spend millions of dollars each year in media time and space. Which
component of perception are advertisers attempting to accomplish?
a.
exposure
b.
selection and attention
c.
interest and relevance
d.
awareness
e.
recognition
(a; easy; p. 104)
118.
The Canned Food Association of America wanted consumers to appreciate the benefits of
canned foods. The magazine ad used depicted a rather shapely robotic-looking woman
who was very shiny and contrasted with the dark background in the ad. One had to look
closely to learn that the ad was touting the benefits of food in cans, but research indicated
that consumers did that because the unusual nature of the ad got them to look closer to
figure what it was about. Which component of perception was this unusual ad attempting
to accomplish?
a.
exposure
b.
selection and attention
c.
awareness
d.
recognition
e.
memory
(b; difficult; p. 105)
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Chapter Six: Strategic Research
119.
Mary will not purchase the Disney movie Lion King for her children because she heard
that the word sex was airbrushed in the dust rising from an animal stampede and she
doesn’t want her children to be influenced by this. While some claim to have seen it, the
word cannot be seen, and if it is there at all, it is below the threshold of perception. What
type of effect is this?
a.
sub-perceptual
b.
sub-exposure
c.
subversive
d.
subliminal
e.
sub-cognitive
(d; moderate; p. 106)
120.
John saw an ad for flowers that included the phone number 1-800-FLOWERS. Two
months later, John wanted to send his mother some flowers for Mother’s Day and
remembered the phone number from the ad. Which component of cognition is this?
a.
needs
b.
information
c.
learning
d.
differentiation
e.
recall
(e; moderate; p. 108)
121.
John saw an ad for flowers that included the phone number 1-800-FLOWERS. Two
months later, John wanted to send his mother some flowers for Mother’s Day and
remembered the phone number from the ad, so he called and ordered flowers. What type
of effect is this?
a.
subliminal
b.
hiatus
c.
delayed
d.
emotional
e.
affective
(c; moderate; p. 109)
122.
Lauren is very particular about her coffee in the morning, using bottled water because the
tap water in her community smells like chlorine and makes her coffee taste funny. She
saw an ad for a coffeemaker that had a filter to filter out impurities from the water used to
make the coffee. The ad had the headline, “Come on, this is your coffee we’re talking
about!” When Lauren saw that, she exclaimed, “Yes!” because she could identify with it
on a personal level. What component of the affect response appeals to self-interest like
this ad does?
a.
wants
b.
emotions
c.
liking
d.
resonance
e.
needs
(d; moderate; p. 110)
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Part Two: Planning and Strategy
What was the California Avocado Commission’s main purpose for advertising?
a.
to increase consumption of avocados in general
b.
to increase consumption of California avocados
c.
to combat lost market share to foreign avocados
d.
to increase awareness of the health benefits of avocados
e.
to get more retailers to sell California avocados
(b; moderate; p. 112)
123.
124.
An ad for CLR bathroom cleaner shows soap scum and grime on a shower wall. One
spray is all it takes for CLR to restore everything to a shiny clean luster. Which
component of persuasion is CLR using in its ad?
a.
attitudes
b.
argument
c.
involvement
d.
motivation
e.
influence
(b; moderate; p. 114)
What did Carson B. Wagner’s research, showcased in “The Inside Story,” show?
a.
Advertising must be novel to catch attention.
b.
People will be better influenced by ads with rational appeals rather than emotional
appeals.
c.
Subliminal effects are real and can influence peoples’ behavior.
d.
Widespread antidrug ads can make people think drug use is widespread, and they
become curious about experimenting themselves.
e.
People will be better influenced by ads with emotional appeals rather than rational
appeals.
(d; moderate; p. 118)
125.
126.
In the case at the end of the chapter, it noted that the AFLAC duck had a higher Q score
than both Ronald McDonald and the Energizer Bunny. What is a Q score?
a.
a measure of a character’s longevity
b.
a measure of efficiency in developing a character
c.
a measure of how much is spent to develop a character
d.
a measure of a character’s believability
e.
a measure of a character’s familiarity and appeal
(e; moderate; p. 123)
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Chapter Six: Strategic Research
APPLICATION QUESTIONS: MINI-CASE MULTIPLE-CHOICE
Just For Me is a line of hair care products for pre-teenage girls, that is, girls between the ages of
eight and thirteen. This is the age in which young girls start to care about their looks and want to
make their own decisions regarding their grooming. The manufacturer of this brand decided to
use television advertising to inform and persuade girls about this line of products.
127.
Mini-Case Question. The young girls to whom the advertising is targeted represent
which element of the basic communication model?
a.
source
b.
sender
c.
encoder
d.
channel
e.
receiver
(e; easy; p. 99)
128.
Mini-Case Question. The manufacturer of this line of products used an advertising
agency to assist in developing the commercial so that it would communicate the desired
meaning to the preteenage girl. Which element of the basic communication model does
this represent?
a.
source
b.
sender
c.
encoding
d.
channel
e.
decoding
(c; moderate; p. 99)
129.
Mini-Case Question. The commercial developed went through extensive testing because
the advertiser and their agency know that this audience is very fickle when it comes to
which commercials they will attend to. This process in which consumers respond by
selecting messages to which they pay attention is called ________.
a.
selective exposure
b.
selective perception
c.
selective attention
d.
selective interest
e.
selective relevance
(b; moderate; p. 104)
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Part Two: Planning and Strategy
130.
Mini-Case Question. Hilary Duff, a singer and actress popular with the target market,
appears in the commercial claiming the benefits of the product. Because she is well liked,
respected, and believable to this target market, the ads were very successful. What is the
most likely reason for the success of this campaign?
a.
The target market needed this product.
b.
The target market wanted this product.
c.
Hilary Duff was a credible source to deliver this message to this target audience.
d.
This was a high-involvement product.
e.
This was a low-involvement product.
(c; moderate; p. 114)
APPLICATION QUESTIONS: SHORT-ANSWER
131.
Briefly explain how FootJoy successfully regained market share in the golf shoe market.
Answer:
FootJoy created the SignBoy character to present the FootJoy message in an entertaining
and fun manner. In a golf tournament, the sign boy is the standard bearer who carries the
sign with the scores behind the group of pros playing together. FootJoy’s character also
represented an overly enthusiastic fan who aspires to be a sign boy on Tour someday. He
was funny, lovable, silly, and a little naive, drove a beat-up car, and lived in a room
decorated with golf posters, photos of professional players, and memorabilia. He knew
the FootJoy products and the pros who wear them, and he made up nicknames for them,
making him loved by FootJoy pros and other golf enthusiasts. He provided opportunities
to talk about the product features and benefits in an entertaining, even funny, manner.
(moderate; pp. 97–98)
132.
What is the major difference between the basic communication model and an interactive
communication model?
Answer:
The basic communication model is a mass communication model in which
communication is a one-way process with the message depicted as moving from the
source to the receiver. However, interactive communication is a form of two-way
communication, a dialogue. The difference between one-way and two-way
communication is that the latter is interactive, and the source and receiver change
positions as the message bounces back and forth between them.
(moderate; pp. 99–100)
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Chapter Six: Strategic Research
133.
Describe the AIDA model and what it is used for.
Answer:
The most common and long-standing explanation of advertising effects is one referred to
as AIDA, which stands for attention, interest, desire, and action. The idea is that first an
ad gets attention, then it creates interest, then desire, and finally it stimulates action.
Because it assumes that consumers start with attention and wind up with a decision, it is
referred to as a hierarchy-of-effects model.
(moderate; p. 102)
134.
List the five key components of perception and their roles in effectiveness.
Answer:
(1)
Exposure—Making contact
(2)
Selection and Attention—Creating stopping power
(3)
Interest and Relevance—Creating pulling power
(4)
Awareness—Making an impression
(5)
Recognition—Making a mental note
(easy; pp. 104–105)
135.
Most evaluations of advertising effectiveness will include a measure of awareness as an
indicator of perception, but these evaluations usually include other measures beyond
simple awareness. Explain why this is done.
Answer:
Although awareness is important, it is considered to be a relatively low level of response,
or a weak response, in comparison to behavioral responses, such as trying or buying a
product.
(moderate; p. 105)
136.
A researcher is paging through a magazine and asking respondents whether they
remember seeing a particular ad. Explain which component of perception this is
assessing.
Answer:
The factor of perception this is assessing is memory, specifically aided recognition. This
is aided recognition because the researcher is prompting respondents by showing them a
magazine ad to refresh their memories.
(moderate; p. 106)
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Part Two: Planning and Strategy
137.
Why did the advertising industry sponsor an ad that had the headline, “People Have Been
Trying to Find the Breasts in These Cubes Since 1957”?
Answer:
The advertising industry has been criticized by some who claim that subliminal “embeds”
are placed in ads to manipulate purchase behavior, most often through appeals to
sexuality. Author Wilson Key maintains in his book, Subliminal Seduction, that 99
percent of ads for alcohol use subliminal embeds that are buried so skillfully that the
average person does not consciously notice them unless they are pointed out. Experts in
the ad industry contend that it’s silly to think such techniques would work because they
are below the perceptual threshold, and this ad was an attempt to tell the industry’s view
on this issue. The advertising industry considers accusations of subliminal advertising to
be both damaging and untrue.
(moderate; p. 107)
138.
Compare and contrast needs and wants.
Answer:
Needs are something you think about and wants are based on feelings and desires. So
when we refer to needs, we are usually talking about the cognitive impact of an
advertising message. Wants are depicted as influenced more by emotion or desire.
(moderate; pp. 108–109)
139.
Explain how liking is measured in terms of responses and why it is done that way.
Answer:
Liking is measured in terms of two responses: liking the ad or liking the brand. The
assumption is that if you like the ad, then that positive feeling will transfer to the brand. It
is possible, however, for consumers to like the ad and not even be able to remember the
brand, so the positive feeling generated by the ad may not always transfer to the brand.
(moderate; p. 110)
140.
What was the main objective of the California Avocado Commission’s advertising
campaign, and what types of consumer responses were they attempting to generate?
Answer:
The commission was not only trying to convince people to buy and eat avocados, it also
was trying to convince us that the California version is “unlike anything else.” The
overall campaign objective was to increase consumption of California avocados. To do
that, the campaign sought to maintain the level of use by heavy users, as well as move
light and medium users up into the heavy user category using the key message of
reminding consumers that avocados are “versatile, and they’re good for you.” The
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campaign was designed to create various types of consumer responses. The list of desired
consumer responses included exposure, attention, interest, understanding, liking, brand
associations, recognition, recall, and trying and buying the product.
(moderate; p. 112)
141.
Researchers were planning brand and positioning strategies by asking respondents what
they think of when they hear the brand name “iPod.” Jan responded that she thought of
“cool,” “music,” “freedom,” “cutting edge technology,” “hip,” and “young.” What are the
researchers doing in this research?
Answer:
All these terms that came to Jan’s mind form her network of association when she thinks
of this brand. This is one way to test brand perceptions to map the structure and logic of
these association networks, which lead to message strategies.
(moderate; p. 113)
142.
Explain how advertising employs both rational arguments and compelling emotions to
create persuasive messages.
Answer:
There are many dimensions to persuasion and advertisers identify the following
components to explain how persuasion works in advertising:
(1)
Attitudes—A state of mind, tendency, propensity, position, inclination
(2)
Argument—Reasons, proof
(3)
Involvement—Engagement, intensifies brand relationships
(4)
Motivation—Incentive, reason to respond
(5)
Influence—External people or events that shape attitudes and behavior
(6)
Conviction and Preference—Creating agreement and consideration (intend to try
or buy)
(7)
Loyalty—Repeat purchases, satisfaction, advocate
(difficult; pp. 113–114)
143.
Mitch is very interested in all electronic devices from computers to stereos and pays
attention to all advertisements related to these types of products, even if he is not
purchasing one of these products. Why does he do this?
Answer:
Mitch is highly involved in these types of product categories. Involvement refers to the
degree to which you are engrossed in attending to an ad or making a product decision.
Although electronic products are typically considered high-involvement products, Mitch
attends to these messages merely because he cares a lot about these types of products.
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Perhaps others ask him for assistance when making a purchase decision, and he uses
advertisements as a source of information to feed his interest and knowledge regarding
these types of products.
(moderate; p. 116)
144.
Explain what Carson Wagner found in his research that is highlighted in “The Inside
Story.”
Answer:
Dr. Wagner tested the idea that antidrug ads might actually result in increased drug use.
He based his research on the psychology of curiosity literature, which suggested that if
antidrug ads make people think drug use is widespread, they might become curious about
experimenting themselves. His study supported this hypothesis.
(moderate; p. 118)
145.
Anheuser-Busch, a beer manufacturer, sponsors an advertising campaign to curb drunk
driving, using the tagline “Friends Don’t Let Friends Drive Drunk.” They’ve also shown
a burning automobile with the headline, “Ever Toast a Friend?” Which component of the
behavioral response are these ads attempting to stimulate?
Answer:
They are attempting to stimulate the prevention response, which means to discourage
unwanted behaviors. In this case, drunk driving is a social action situation where the
advertising messages are designed to deter this behavior.
(easy; p. 118)
146.
Why was the market share increase from 46 percent in 1998 to 58 percent in 2003 for
FootJoy as a result of the SignBoy campaign significant?
Answer:
For one, it’s difficult for a market leader to increase share very much, particularly when
the market is getting more crowded with competitors. Another reason is that FootJoy is a
relatively small company, compared with big marketers like Nike who have more
visibility and much larger advertising budgets. It takes a breakthrough message to make
an impact for a smaller, less-well-known company.
(moderate; pp. 119–120)
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APPLICATION QUESTIONS: MINI-CASE SHORT ANSWER
Oust, a brand of air freshener, advertises how its product will get the odor out, not merely cover
it up. The advertisement provides facts, information, and an explanation of how Oust can kill
bacteria in the air that cause odors.
147.
Mini-Case Question. What type of response is Oust attempting to generate among
consumers?
Answer:
Cognitive, which refers to how consumers respond to information, learn, and understand
something. It’s a rational response to a message.
(easy; p. 106)
148.
Mini-Case Question. What type of learning occurs when a presentation of facts,
information, and explanations leads to understanding?
Answer:
Cognitive learning occurs when a presentation of facts, information, and explanations
leads to understanding.
(moderate; p. 108)
149.
Mini-Case Question. Mary saw an ad for Oust on television and in a magazine, but she
didn’t purchase the product right away. She remembered the ads when she saw the
product in the store and decided to try it then. What effect does this demonstrate?
Answer:
This is an example of advertising’s delayed effects—how messages are seen at one time
and come back to mind at a later date when the consumer is in a purchase situation.
(moderate; p. 109)
150.
Mini-Case Question. Mary was extremely satisfied with the product after she tried it, so
she purchased the product again. She even told her mother and sister about the benefits of
Oust and convinced them to try the product as well. What component of persuasion does
this represent and why do marketers want to attain this level of persuasion?
Answer:
Brand loyalty, which is measured both as an attitude (preference) and by repeat
purchases, is an important response that crosses over between thinking, feeling, and
doing. It is a response that is built on customer satisfaction. If you try a product and like
it, then you are more likely to buy it again. Loyalty is of value because it can lead to other
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behavioral responses, such as advocacy for the brand, that is, speaking out on its behalf,
which Mary did.
(moderate; pp. 114–115)
CHAPTER FIVE
The Consumer Audience
GENERAL CONTENT: MULTIPLE-CHOICE QUESTIONS
419.
________ describes how individuals or groups select, purchase, use, or dispose of
products, as well as describing the needs that motivate these behaviors.
a.
Marketing
b.
Consumption
c.
Consumer behavior
d.
Psychology
e.
Sociology
(c; easy; pp. 126–127)
420.
People who buy or use products to satisfy their needs and wants are known as ________.
a.
consumers
b.
buyers
c.
users
d.
customers
e.
a market
(a; moderate; p. 127)
421.
Which of the following is a social/cultural influence on consumer decision making?
a.
state of mind
b.
innovation
c.
satisfaction
d.
family
e.
personality
(d; moderate; p. 127 [Figure 5.1])
422.
Which of the following is NOT a social/cultural influence on consumer decision making?
a.
culture
b.
motivations
c.
social class
d.
family
e.
demographic
(b; moderate; p. 127 [Figure 5.1])
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423.
Which of the following is a psychological influence on consumer decision making?
a.
state of mind
b.
innovation
c.
family
d.
culture
e.
brand relationship
(a; moderate; p. 127 [Figure 5.1])
424.
Which of the following is NOT a psychological influence on consumer decision making?
a.
state of mind
b.
selective perception
c.
satisfaction
d.
personality
e.
family
(e; moderate; p. 127 [Figure 5.1])
425.
Which of the following is a behavioral influence on consumer decision making?
a.
culture
b.
reference groups
c.
personality
d.
psychographics
e.
innovation
(e; moderate; p. 127 [Figure 5.1])
426.
Which of the following is NOT a behavioral influence on consumer decision making?
a.
quantity usage
b.
brand relationship
c.
state of mind
d.
innovation
e.
all of the above are behavioral influences on consumer decision making
(c; moderate; p. 127 [Figure 5.1])
427.
________ is(are) made up of tangible items, such as art, literature, buildings, and music,
and intangible concepts, such as knowledge, laws, morals, and customs.
a.
History
b.
Culture
c.
Reference groups
d.
Consumer behavior
e.
Values
(b; moderate; p. 128)
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428.
Culture is learned and passed on from one generation to the next, and the boundaries each
culture establishes for behavior are called ________.
a.
references
b.
values
c.
norms
d.
subculture
e.
core values
(c; moderate; p. 128)
429.
________ are simply rules that we learn through social interaction that specify or prohibit
certain behaviors.
a.
Norms
b.
References
c.
Values
d.
Core values
e.
Heuristics
(a; moderate; p. 128)
430.
The source of norms is our ________, which come from our immersion in a specific
culture and represent our underlying belief systems.
a.
values
b.
legal system
c.
social system
d.
social class
e.
education
(a; moderate; p. 128)
431.
A sense of belonging, excitement, fun and enjoyment, warm relationships, selffulfillment, respect from others, accomplishment, security, and self-respect are all
examples of ________.
a.
norms
b.
culture
c.
core values
d.
behaviors
e.
driving forces
(c; moderate; p. 128)
432.
________ can be defined by geographic regions or by shared human characteristics such
as age, values, language, or ethnic background.
a.
Norms
b.
Cultures
c.
Reference groups
d.
Subcultures
e.
Mini-cultures
(d; moderate; p. 129)
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433.
Teenagers, college students, retirees, southerners, Texans, athletes, musicians, and
working single mothers all have what in common?
a.
They all come from the same social class.
b.
They all share the same culture.
c.
They all share the same behavioral characteristics.
d.
They all share the same demographic characteristics.
e.
They can all be considered subcultures.
(e; difficult; p. 129)
434.
________ is a term that describes how various companies operate.
a.
Corporate culture
b.
Subculture
c.
Management culture
d.
Reference group
e.
Working group
(a; easy; p. 129)
435.
The position you and your family occupy within our society is known as ________ .
a.
subculture
b.
culture
c.
ethnic group
d.
reference group
e.
social class
(e; easy; p. 129)
Which of the following determines an individual’s social class?
a.
income
b.
wealth
c.
education
d.
occupation
e.
all of the above
(e; easy; p. 129)
436.
437.
Which of the following is NOT typically used to determine social class?
a.
income
b.
age
c.
wealth
d.
value of home
e.
occupation
(b; moderate; p. 129)
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438.
A ________ is a group of people we use as a guide for behavior in specific situations.
a.
subgroup
b.
social class
c.
reference group
d.
normal group
e.
culture
(c; moderate; p. 129)
439.
Which of the following is NOT a function reference groups perform for consumers?
a.
they provide information
b.
they determine which products to buy
c.
they serve as a means of comparisons
d.
they offer guidance
e.
all of the above are functions reference groups perform for consumers
(b; difficult; p. 130)
440.
Which of the following is the most important reference group because of its longevity
and the intensity of its relationships?
a.
peers
b.
classmates
c.
family
d.
employer
e.
fellow employees
(c; moderate; p. 130)
441.
A ________ consists of two or more people who are related by blood, marriage, or
adoption, and live in the same household.
a.
subculture
b.
family
c.
household
d.
reference group
e.
normative group
(b; easy; p. 130)
442.
A ________ consists of all those who occupy a dwelling whether they are related or not.
a.
subculture
b.
family
c.
household
d.
reference group
e.
normative group
(c; easy; p. 130)
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443.
________ are the statistical, personal, social, and economic characteristics used to
describe a population including age, gender, education, income, occupation, race, and
family size.
a.
Psychographics
b.
Lifestyles
c.
Geographics
d.
Demographics
e.
Censusgraphics
(d; moderate; p. 131)
444.
Age, gender, education, income, occupation, race, and family size are all examples of
________ variables.
a.
psychographic
b.
lifestyle
c.
demographic
d.
geographic
e.
censusgraphic
(c; moderate; p. 131)
445.
________ gender differences are physical traits that are inherent in males or females,
such as a woman’s ability to bear children.
a.
Driving
b.
Primary
c.
Secondary
d.
Obvious
e.
Fundamental
(b; moderate; p. 132)
446.
________ gender traits tend to be associated with one sex more than the other, such as
wearing perfume and shaving legs are association with women.
a.
Driving
b.
Primary
c.
Secondary
d.
Non-obvious
e.
Nonfundamental
(c; moderate; p. 132)
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447.
Which of the following statements is false?
a.
In the last decade gay and lesbian consumers have become serious target markets.
b.
Few cultures are more important to U.S. marketing than the Hispanic culture
because it is growing proportionately faster than other ethnic groups.
c.
There are media use differences based on ethnicity.
d.
In the United States there has been a gradual movement from white-collar
occupations to blue-collar occupations during the last three decades.
e.
For advertisers, education tends to correlate with the type of medium consumers
prefer.
(d; moderate; pp. 132–134)
448.
Consumers with lower education tend to be higher users of ________.
a.
newspapers
b.
radio
c.
magazines
d.
television
e.
the Internet
(d; moderate; p. 134)
449.
________ is the amount of money available to a household after taxes and basic
necessities such as food and shelter are paid for.
a.
Income
b.
Discretionary income
c.
Available income
d.
Incremental income
e.
Spendable income
(b; moderate; p. 135)
450.
The basic driving forces that motivate us to do something are called ________.
a.
wants
b.
desires
c.
values
d.
needs
e.
attitudes
(d; moderate; p. 135)
451.
________ needs include the need for water, food, air, shelter, and sex, and because
satisfying these needs is necessary to maintaining life, they are also called primary needs.
a.
Required
b.
Discretionary
c.
Core
d.
First
e.
Innate
(e; moderate; p. 135)
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452.
________ are what we feel for more essential items, particularly the primary needs, such
as food and shelter, and ________ occur when we desire or wish for something.
a.
Needs; wants
b.
Wants; needs
c.
Primary needs; secondary needs
d.
Innate needs; acquired needs
e.
Innate wants; acquired wants
(a; moderate; p. 138)
453.
________ needs are those we learn in response to our culture and environment and may
include needs for esteem, prestige, affection, power, and learning.
a.
Innate
b.
Desired
c.
Acquired
d.
Selective
e.
Higher-order
(c; moderate; p. 138)
454.
Because acquired needs are not necessary to your physical survival, they are considered
________ needs.
a.
secondary
b.
unmet
c.
unnecessary
d.
innate
e.
discounted
(a; moderate; p. 138)
According to Maslow’s Hierarchy of Needs, which is the highest level of needs?
a.
ego needs
b.
belongingness needs
c.
safety needs
d.
self-actualization needs
e.
physiological needs
(d; moderate; p. 138 [Figure 5.4])
455.
456.
Prestige, status, and accomplishments are all examples of which level of needs in the
Maslow’s Hierarchy of Needs?
a.
ego needs
b.
belongingness needs
c.
safety needs
d.
self-actualization needs
e.
physiological needs
(a; moderate; p. 138 [Figure 5.4])
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457.
________ is the way our minds filter incoming information.
a.
Selective distortion
b.
Selective exposure
c.
Selective retention
d.
Selective motivation
e.
Selective interpretation
(b; moderate; p. 138)
458.
________ happens when we are exposed to a message that conflicts with what we
believe, so we modify incoming information to fit into our own personal pattern of
interests.
a.
Selective distortion
b.
Selective exposure
c.
Selective retention
d.
Selective motivation
e.
Selective interpretation
(a; moderate; p. 138)
459.
________ is the process we go through to save information for future use.
a.
Selective distortion
b.
Selective exposure
c.
Selective retention
d.
Selective motivation
e.
Selective interpretation
(c; moderate; p. 138)
460.
According to the theory of ________, we tend to compensate or justify the discrepancies
between what we actually received and what we thought we would receive.
a.
selective satisfaction
b.
cognitive dissonance
c.
adaptation
d.
habituation
e.
attribution
(b; moderate; p. 139)
461.
A ________ is an internal force that stimulates you to behave in a particular manner and
is produced by the tension caused by an unfulfilled need.
a.
drive
b.
desire
c.
want
d.
motive
e.
need
(d; moderate; p. 139)
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Chapter Six: Strategic Research
462.
Which of the following statements regarding attitudes is false?
a.
Advertisers are interested in attitudes because of their impact on motivations.
b.
Attitudes vary in direction and strength; that is, an attitude can be positive or
negative, reflecting like or dislike, or it can be neutral.
c.
Most attitudes are deeply set and cannot be changed.
d.
Attitudes are important to advertisers because they influence how consumers
evaluate products, institutions, retail stores, and advertising.
e.
Attitudes are learned.
(c; difficult; p. 139)
463.
________ refers to consistency in behavior in terms of how we react to events and
situations and behave in various roles.
a.
Psychology
b.
Psychographics
c.
Attitude
d.
Value
e.
Personality
(e; moderate; p. 140)
464.
________ refers to lifestyle and psychological characteristics, such as attitudes, interests,
and opinions.
a.
Psychology
b.
Psychographics
c.
Attitude
d.
Value
e.
Personality
(b; moderate; p. 140)
465.
________ looks at the ways people allocate time, energy, and money.
a.
Lifestyle analysis
b.
Psychographic profiling
c.
Value analysis
d.
Discretionary analysis
e.
Cluster analysis
(a; moderate; p. 141)
466.
What two variables are used to organize the VALS 2 classification of consumers?
a.
resources and self-orientation
b.
age and self-orientation
c.
age and social class
d.
resources and psychographics
e.
social class and education
(a; moderate; p. 141)
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467.
Which of the following is NOT a VALS 2 classification of consumers?
a.
Actualizers
b.
Strivers
c.
Makers
d.
Doers
e.
Believers
(d; difficult; p. 141)
468.
________ are professional researchers hired by advertisers to identify trends that may
affect consumer behavior.
a.
Fortune-tellers
b.
Futurists
c.
Trend spotters
d.
Demographers
e.
Trend hunters
(c; moderate; p. 143)
469.
________ are trend spotters who specialize in identifying trendy fads that appeal to
young people.
a.
Cool hunters
b.
Cutting-edge spotters
c.
Trend hunters
d.
Gen Y spotters
e.
Puppy spotters
(a; moderate; p. 143)
470.
________ refers to how much of a product category or brand a customer buys.
a.
Adoption
b.
Innovation
c.
Pareto Rule
d.
80/20 Principle
e.
Usage
(e; easy; p. 144)
471.
Which of the following is NOT considered a consumer category of brand relationship?
a.
innovators
b.
ex-users
c.
first-timers
d.
switchers
e.
regulars
(a; moderate; p. 144 [Table 5.4])
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Chapter Six: Strategic Research
472.
Which of the following is a consumer category of brand relationship?
a.
switchers
b.
light users
c.
early adopters
d.
innovators
e.
laggards
(a; moderate; p. 144 [Table 5.4])
473.
Which category of the adoption process represents the small group of people (i.e., 2.5
percent of the population) willing to try something new?
a.
innovators
b.
early adopters
c.
early majority
d.
late majority
e.
laggards
(a; easy; p. 144)
474.
________ is your view of the relationship between what you gain by trying something
new and what you have to lose if it doesn’t work out.
a.
Adoption
b.
Adaptation
c.
Perceived risk
d.
Selective exposure
e.
Selective distortion
(c; moderate; p. 144)
475.
Which of the following is NOT a step in the consumer decision process?
a.
need recognition
b.
cognitive dissonance
c.
information search
d.
postpurchase evaluation
e.
purchase decision
(b; moderate; p. 145)
476.
________ occurs when the consumer recognizes a need for a product.
a.
Need recognition
b.
Information search
c.
Evaluation of alternatives
d.
Purchase decision
e.
Postpurchase behavior
(a; easy; p. 145)
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Part Two: Planning and Strategy
477.
________ is the stage where consumers compare various products and features and
reduce the list of options to a manageable number.
a.
Need recognition
b.
Information search
c.
Evaluation of alternatives
d.
Purchase decision
e.
Postpurchase behavior
(c; easy; p. 146)
478.
In which stage of the consumer decision process is a consumer likely to feel cognitive
dissonance?
a.
need recognition
b.
information search
c.
evaluation of alternatives
d.
purchase decision
e.
postpurchase behavior
(e; moderate; p. 146)
479.
Which of the following statements regarding influences on business-to-business decision
making is false?
a.
In organizational buying, many individuals are involved in making the decision,
often with a buying committee making the final decision.
b.
Although the business buy may be motivated by both rational and emotional
factors, the use of rational and quantitative criteria dominate most decisions.
c.
Advertising is important in business-to-business marketing, often playing the
major communication role.
d.
The decision is sometimes made based on a set of specifications to potential
suppliers who then bid on the contract; typically the lowest bid wins.
e.
The decision may span a considerable time, creating a lag between the initial
contact and final decision.
(c; moderate; p. 147)
480.
________ means dividing the market into groups of people who have similar
characteristics in certain key product-related areas.
a.
Targeting
b.
Marketing
c.
Positioning
d.
Segmenting
e.
Profiling
(d; moderate; p. 147)
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Chapter Six: Strategic Research
481.
________ means identifying the group that might be the most profitable audience, the
one most likely to respond to marketing communication.
a.
Targeting
b.
Marketing
c.
Zoning
d.
Segmenting
e.
Profiling
(a; moderate; p. 147)
482.
In which strategy do planners treat the market as homogeneous, purposely ignoring
differences in the market and using one marketing strategy that will appeal to as many
people as possible?
a.
multi-segment strategy
b.
undifferentiated strategy
c.
homogeneous strategy
d.
one-size-fits-all strategy
e.
concentrated strategy
(b; moderate; p. 147)
483.
A group of people, identified and selected by the marketer, with similar needs and
characteristics who are most likely to be receptive to the marketer’s product and
messages is known as a ________.
a.
market segment
b.
viable segment
c.
sustainable segment
d.
viable market
e.
target market
(e; moderate; p. 148)
484.
Which of the following is NOT an approach to segmenting consumer markets?
a.
demographic segmentation
b.
geographic segmentation
c.
psychographic segmentation
d.
benefit segmentation
e.
all of the above are approaches to segmenting consumer markets
(e; moderate; p. 148)
485.
Which approach to segmentation divides people into groups based on product category
and brand usage?
a.
demographic segmentation
b.
geographic segmentation
c.
psychographic segmentation
d.
benefit segmentation
e.
behavioral segmentation
(e; moderate; p. 148)
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486.
Which approach to segmentation divides the market using such characteristics as gender,
ethnicity, income, and so forth?
a.
demographic segmentation
b.
geographic segmentation
c.
psychographic segmentation
d.
benefit segmentation
e.
behavioral segmentation
(a; moderate; p. 148)
487.
International, national, state, city, climate, and urban/rural are all ways to segment a
market by ________.
a.
demographics
b.
geographics
c.
psychographics
d.
behavioral characteristics
e.
benefits sought
(b; easy; p. 149, Figure 5.9)
488.
Subsegments of a more general market are known as ________ markets and are defined
by individuals with some distinctive trait, such as being ecologically minded consumers.
a.
sub
b.
niche
c.
narrow
d.
generational
e.
social
(b; moderate; p. 149)
GENERAL CONTENT: TRUE/FALSE QUESTIONS
489. Consumers are people who buy or use products to satisfy their needs and wants.
(True; easy; p. 127)
490. Buyers and users have the same needs.
(False; moderate; p. 127)
491.
The social and cultural forces that impact consumer behavior include culture, social class,
personality, family, and demographics.
(False; moderate; p. 128)
492.
Values are simply rules that we learn through social interaction that specify or prohibit
certain behaviors.
(False; moderate; p. 128)
493. Subculture is a term that describes how various companies operate.
(False; moderate; p. 129)
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494.
A household differs from a family in that it consists of all those who occupy a dwelling
whether they are related or not.
(True; moderate; p. 130)
495.
Psychographics are the statistical, personal, social, and economic characteristics used to
describe a population including age, gender, education, income, occupation, race, and
family size.
(False; moderate; p. 131)
496.
Young people (i.e., 18–24 year olds) are easy to reach with traditional media, such as
magazines and newspapers.
(False; moderate; p. 131)
497.
The emphasis on youth marketing is changing as proportionately fewer babies are being
born and the Baby Boomers age.
(True; easy; p. 132)
498.
The Asian market is becoming a huge opportunity because it is growing proportionately
faster than other ethnic groups.
(False; moderate; p. 132)
499.
Consumers with higher education prefer print media, the Internet, and selected radio and
cable stations.
(True; moderate; p. 134)
500. The most-used demographic indicator for many advertisers is age.
(False; difficult; p 134)
501.
The area in which a target market lives correlates with several demographic
characteristics and is important to advertisers.
(True; easy; p. 135)
502. First-level needs include the need for water, food, air, shelter, and sex.
(False; difficult; p. 135)
503.
Acquired needs are those we learn in response to our culture and environment and may
include needs for esteem, prestige, affection, power, and learning.
(True; moderate; p. 138)
504. Selective distortion is the way our minds filter incoming information.
(False; moderate; p. 138)
505.
According to the theory of cognitive dissonance, we tend to compensate or justify the
discrepancies between what we actually received and what we thought we would receive.
(True; moderate; p. 139)
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506. A need is an internal force that stimulates you to behave in a particular manner.
(False; moderate; p. 139)
507.
Psychographics refers to lifestyle and psychological characteristics, such as attitudes,
interests, and opinions.
(True; moderate; p. 140)
508.
In the VALS 2 system, psychographic groups are arranged vertically by self-orientation
and horizontally by resources.
(False; difficult; p. 141)
509.
A critical behavior predictor called usage refers to how much of a product category or
brand a customer buys.
(True; easy; p. 144)
510. According to the Pareto Rule, 20 percent of the users buy 80 percent of the products.
(True; moderate; p. 144)
511.
First-timers are people with low levels of brand loyalty who are willing to leave a brand
to try another one.
(False; difficult; p. 144)
512. The first step in the consumer decision process is information search.
(False; moderate; p. 145)
513.
Seekers are people who are driven by a need to know everything they can about a product
before making a purchase, particularly for major purchases.
(False; difficult; p. 145)
514.
A difference between the low- and high-involvement decision process is that in the lowinvolvement case, the information search stage may be skipped.
(True; moderate; p. 146 [Figure 5.8])
515.
The first brands that come to mind when you think of a product category and are
considered permissible in the evaluation of alternatives is referred to as the evoked set.
(True; moderate; p. 146)
516. Purchase decision is the last step of the consumer decision process.
(False; moderate; p. 146)
517. Business buyers are not influenced by social and emotional factors.
(False; difficult; p. 147)
518.
Targeting means dividing the market into groups of people who have similar
characteristics in certain key product-related areas.
(False; moderate; p. 147)
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519.
Market aggregation strategy is one in which marketers treat the market as homogeneous,
purposely ignoring differences in the market and using one marketing strategy that will
appeal to as many people as possible.
(True; moderate; p. 147)
520. After segmenting a market, the marketer identifies, evaluates, and selects a target market.
(True; easy; p. 148)
521.
Psychographic segmentation is primarily based on studies of how people spend their
money, their patterns of work and leisure, their interests and opinions, and their views of
themselves.
(True; moderate; p. 148)
522. The “bling bling generation” was coined by gay upwardly mobile professionals.
(False; difficult; p. 149)
523.
Profiles are descriptions of the target audience that read like a description of someone
you know.
(True; moderate; p 150)
GENERAL CONTENT: ESSAY QUESTIONS
524.
Name and describe the social and cultural influences on consumer decisions and why
they are important for advertisers.
Answer:
The cultural and social forces that impact consumer behavior fall into five major areas:
(1)
Culture—Made up of tangible items and intangible concepts that together define a
group of people or a way of life. It is learned and passed on from one generation
to the next, and the boundaries each culture establishes for behavior are called
norms, which are simply rules that we learn through social interaction that specify
or prohibit certain behaviors. The source of norms is our values, which come from
our immersion in a specific culture. Advertisers strive to understand the
underlying core values that govern peoples’ attitudes and refer to them when
selecting an ad’s primary appeals. Sometimes a culture can be further broken
down into smaller groups called subcultures, which can be defined by geographic
regions or by shared human characteristics such as age, values, language, or
ethnic background.
(2)
Social Class—The position you and your family occupy within your society and
is determined by such factors as income, wealth, education, occupation, family
prestige, value of home, and neighborhood. Marketers assume that people in one
class buy different goods from different outlets and for different reasons than
people in other classes.
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(3)
Reference Groups—A group of people we use as a guide for behavior in specific
situations. Reference groups provide information, they serve as a means of
comparison, and they offer guidance for consumers. Ads that feature typical users
in fun or pleasant surroundings as well as those that use celebrity endorsements
are using a reference group strategy.
(4)
Family—The most important reference group because of its longevity and the
intensity of its relationships. A family consists of two or more people who are
related by blood, marriage, or adoption, and live in the same household.
Advertisers need to understand the structure, changes, and workings of the family
in order to communicate.
(5)
Demographics—The statistical, personal, social, and economic characteristics
used to describe a population including age, gender, education, income,
occupations, race, and family size. These characteristics serve as the basis for
most advertising strategies and knowing them assists advertisers in message
design and media selection for the target market.
(moderate; pp. 128–131)
525.
Name and describe the behavioral influences on consumer decisions and why they are
important to advertisers.
Answer:
(1)
(2)
Usage Behavior—Refers to how much of a product category or brand a customer
buys. There are two ways to look at usage: usage rates and brand relationship.
Usage rates refer to quantity of purchase: light, medium, or heavy. Because heavy
users typically buy the most of a product category or a brand’s share of the
market, they are important to marketers and planners make special efforts to
understand this key customer group. Brand relationship refers to past, present, or
future use of the product by nonusers, ex-users, regulars, first-timers, loyal users,
and users of and switchers from, or to, competitive products.
Innovation and Adoption—The adoption process is identified in terms of the
personal behavior of people and how their behavior reflects the speed with which
they are willing to try something new. People are grouped based on these
behaviors, such as innovators, early adopters, early majority, late majority, and
laggards. Innovators and the early adopters categories are important groups for
marketers launching new products.
(easy; p. 144)
526.
Name and describe the psychological influences that motivate consumers and why they
are important to advertisers.
Answer:
(1)
Perception and State of Mind—Affects the way you perceive information as well
as determines your particular pattern of consumer behavior. Your past
experiences with a brand, as well as what your friends say about it, can color your
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feelings and make you more or less receptive to a brand message. This influence
includes needs and wants, selective perception, and satisfaction.
(2)
Motivations—An internal force that stimulates you to behave in a particular
manner, usually produced by tension caused by an unfulfilled need.
Understanding buying motives is crucial to advertisers because the advertising
message and the timing of the ad should coincide with the consumer’s motivation
priorities.
(3)
Attitudes and Values—Attitudes impact motivations, and they are learned, so we
can establish them, change them, reinforce them, or replace them with new ones.
Attitudes are important to advertisers because they influence how consumers
evaluate products, institutions, retail stores, and advertising.
(4)
Personality—Refers to consistency in behavior in terms of how we react to events
and situations and behave in various roles. The idea of personality traits has also
been adapted to brands with the idea that brand personalities can be created that
will make them distinctive from their competitors.
(5)
Psychographics—Refers to lifestyle and psychological characteristics, such as
attitudes, interest, and opinions. Advertisers use psychographics in order to
understand fairly complex consumer pattern groupings. Knowing the
psychographic orientation of consumers is a valuable asset to an advertiser in
deciding to whom the messages should be targeted.
(moderate; pp. 135–141)
527.
Name and describe the stages of the consumer decision process under a high-involvement
purchase decision and the role advertising plays in each. How is this different under a
low-involvement decision?
Answer:
The stages of the consumer decision process under a high-involvement purchase decision
are:
(1)
Need Recognition—Occurs when the consumer recognizes a need for a product.
The goal of advertising at this stage is to activate or stimulate this need.
(2)
Information Search—Can be casual or formal. Advertising helps the search
process by providing information in making it easy to find and remember.
(3)
Evaluation of Alternatives—The stage where consumers compare various
products and features and reduce the list of options to a manageable number.
Advertising is important in this process because it helps sort out products on the
basis of tangible and intangible features.
(4)
Purchase Decision—Often a two-part decision. Usually, we select the brand first
and then select the outlet from which to buy it. Sometimes we select the outlet
first, particularly with impulse purchases. In-store promotions such as packaging,
point-of-purchase displays, price reductions, banners and signs, and coupon
displays affect these choices.
(5)
Postpurchase Behavior—The point where we begin to reconsider and justify our
purchases to ourselves. Many consumers continue to read information even after
the purchase, to justify the decision to themselves. Advertising, such as copy on
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package inserts, helps reduce the dissonance by pointing out key features, how to
best use the product, or how many product users are satisfied.
The low-involvement decision process is similar, except the information search, and
possibly the postpurchase evaluation, may be skipped.
(moderate; pp. 145–146)
528.
Define segmenting and targeting, and name and describe typical approaches to
segmentation.
Answer:
Segmenting means dividing the market into groups of people who have similar
characteristics in certain key product-related areas. Targeting means identifying the
group that might be the most profitable audience, the one most likely to respond to
marketing communication. There are five approaches to segmentation:
(1)
Demographic Segmentation—Divides the market using characteristics such as
gender, age, ethnicity, income, and so forth.
(2)
Geographic Segmentation—Uses location as a defining variable because
consumers needs sometimes vary depending upon where they live. The most
important variables are world or global, region, nation, state, city, climate,
population density, and urban/rural character.
(3)
Psychographic Segmentation—Primarily based on studies of how people spend
their money, their patterns of work and leisure, their interest and opinions, and
their views of themselves.
(4)
Behavioral Segmentation—Divides people into groups based on product category
and brand usage.
(5)
Benefit Segmentation—Based on consumers’ needs or problems. The idea is that
people buy products for different benefits they hope to derive.
(moderate; pp. 147–148)
APPLICATION QUESTIONS: MULTIPLE-CHOICE QUESTIONS
What were the specific objectives of White Castle’s advertising campaign?
a.
Enhance consumers’ attitudes toward their products.
b.
Improve future purchase intent among the target audience by 10 percent and
increase sales by 25 percent greater than the average sales growth of its four
major competitors.
c.
Increase sales by 35 percent by encouraging customers from their major
competitors to switch to White Castle.
d.
To encourage loyal customers to bring in new customers by offering them
incentives to “bring a friend,” resulting in a net sales growth of 50 percent.
e.
Increase sales by 25 percent by influencing consumers who have never tried
White Castle to do so.
(b; difficult; p. 126)
529.
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Chapter Six: Strategic Research
According to the chapter’s opening and closing vignettes, White Castle’s advertising
campaign was very successful. How did White Castle achieve this level of success?
a.
They leveraged the emotional connection its core target audience has with the
brand.
b.
They were successful in gaining new customers who had never tried White
Castle’s burgers before.
c.
The incentives offered to current customers to “bring a friend” were successful in
bringing in new customers to White Castle.
d.
They convinced nonusers to try White Castle for the first time.
e.
White Castle introduced new, larger burgers.
(a; moderate; p. 126)
530.
531.
Juan was born in Mexico but moved to the United States when he was five years old. His
family is still close to relatives back in Mexico, and he lives in a neighborhood where
most people still speak Spanish, eat traditional Mexican dishes, wear traditional Mexican
clothing, and listen to Mexican music. He remembers fondly his grandfather telling him
stories of his home country’s customs and heroes. All of these factors form the ________
that will influence Juan’s consumer behavior.
a.
social class
b.
family
c.
demographics
d.
culture
e.
reference group
(d; moderate; p. 128)
532.
Max is trying to get into a fraternity in college. Because he wants to be accepted by this
group, he notices the brand of clothes they all seem to wear and the type of beer they
drink at parties, and he does the same. Actually, he doesn’t even like beer, but that seems
to be what is expected of people in this fraternity. What influence does this fraternity
represent with respect to Max’s consumption behavior?
a.
culture
b.
social class
c.
reference group
d.
family
e.
demographics
(c; easy; p. 129)
533.
What race/ethnicity is growing faster proportionately than other ethnic groups?
a.
white
b.
black or African American
c.
Asian
d.
Hispanic or Latino
e.
American Indian/Alaskan
(d; moderate; p. 132)
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116.
Which of the following statements regarding the African American population is false?
a.
The African American population, with a median age of 30, is five years younger
than the U.S. population, on average.
b.
The African American population is expected to grow more than twice as fast as
the Hispanic population between 1995 and 2020, reaching 45 million.
c.
In 1998, 55 percent of African Americans lived in the South, yet the cities with
the highest African American population are not in the South.
d.
In 2000, there were 8.7 million African American households, nearly half of them
married.
e.
All of the above statements are true.
(b; difficult; p. 133)
117.
We all have need for water, food, air, and shelter—basic needs that are necessary to
maintaining life. What kind of needs are these known as?
a.
basic
b.
innate
c.
life-giving
d.
acquired
e.
necessary
(b; moderate; p. 135)
118.
What were the challenges facing Choice Hotels and their ad campaign after September
11, 2001?
a.
To encourage people to travel again while appearing compassionate and selfless
and to provide travelers with a compelling reason to stay at a Choice Hotels
property.
b.
To not appear as though they were copying the “Thanks for Traveling” campaign
that had already been initiated by a competitor.
c.
To overcome the fact that several of the terrorists had stayed at a Choice Hotel
property the days before the attack.
d.
To come up with a slogan that would not be used by others in the travel and
tourism industry.
e.
To encourage leisure travelers to begin traveling again and to select a Choice
Hotel property for the vacation.
(a; moderate; p. 136)
119.
Recently, an adventurous millionaire successfully flew nonstop around the world in a
record-breaking period of time. This gentleman really has all of his basic needs satisfied,
and he claimed to do the things he does for self-fulfillment and for the enriching
experience. According to Maslow’s Hierarchy of Needs, which need is he satisfying?
a.
physiological
b.
safety
c.
belongingness
d.
ego
e.
self-actualization
(e; easy; p. 138)
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120.
Jean is 60 years old and very upset with the current discussion in our country about the
overhaul of the Social Security System. She thinks the system is working just fine, and
she is concerned about her benefits being cut if the system is changed in some way.
When she sees information on television or reads it in the newspaper about the benefits of
changing the system, she is very upset. So much so, that she modifies the information to
fit into her own personal beliefs about the system. In terms of selective perception, what
does Jean’s behavior represent?
a.
selective exposure
b.
selective distortion
c.
selective retention
d.
selective perception
e.
cognitive dissonance
(b; moderate; p. 138)
121.
An advertisement for a local carpet retailer used a jingle that sings its phone number over
and over in the commercial. It’s actually a rather obnoxious jingle and tends to stay stuck
in one’s head for the rest of the day, but it does help consumers remember the phone
number. In terms of selective perception, what does this tactic hope to accomplish?
a.
increase the chances consumers will pay attention to the commercial
b.
present the information in such as manner so that consumers will not selectively
distort it
c.
enhance consumers’ retention of the information presented in the ad
d.
appeal to consumers’ innate needs
e.
appeal to consumers’ acquired needs
(c; moderate; p. 138)
Barbara doesn’t like to make major purchase decisions, such as choose which car to
purchase. However, she had to replace the old car she owned because it was no longer
reliable, so she purchased a new Honda Accord. Although her entire family assisted in
the purchase transaction and the salesperson was a close family friend and practically
sold the car to her at cost, she is still concerned whether she made the right decision.
Barbara is suffering from ________.
a.
postpurchase behavior
b.
selective dissonance
c.
selective distortion
d.
cognitive dissonance
e.
selective exposure
(d; moderate; p. 139)
122.
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Part Two: Planning and Strategy
According to “The Inside Story,” early adopters ________.
a.
have many strong social contacts
b.
are people involved in unusual activities and whose level of activity will
disproportionately affect the behaviors of others
c.
are low media users
d.
have a simple history of personal and sexual relationships
e.
are heavily influenced by others in their social circles
(b; difficult; p. 143)
123.
124.
Carol is conducting research and asking respondents to name the brands that first come to
mind for certain product categories. When she asks Bob this question for computers, he
mentions IBM, Dell, Gateway, and Hewlett-Packard. These brands represent Bob’s
________.
a.
evoked set
b.
considerate set
c.
purchase set
d.
top-of-mind group
e.
evaluation set
(a; moderate; p. 146)
125.
The Toyota case at the end of the chapter describes how Toyota goes after tuners. What
are “tuners”?
a.
consumers that are tuned in to current trends in their age demographic
b.
older consumers who “dance to their own tune,” meaning they are not influenced
by others when making consumption decisions
c.
younger consumers who “dance to their own tune,” meaning they are not
influenced by others when making consumption decisions
d.
young car buyers who live to customize their cars
e.
opinion leaders who have an unusual influence on young car buyers
(d; moderate; p. 153)
APPLICATION QUESTIONS: MINI-CASE MULTIPLE-CHOICE
Monique and Bob Smith are married with two young children at home and a third away at
college. They are also considering adopting another child. Monique is the primary shopper for
her family, and every week, she goes shopping to buy products that she and her family need and
want.
126.
Mini-Case Question. In marketing terms, Monique is a ________.
a.
buyer
b.
user
c.
consumer
d.
customer
e.
purchaser
(c; difficult; p. 127)
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Chapter Six: Strategic Research
Mini-Case Question. Though Monique doesn’t eat them herself, she purchases snack
items for her children and is always looking for more nutritious snacks than mere junk
food. In marketing terms, Monique is considered which type of consumer?
a.
user
b.
business
c.
customer
d.
buyer
e.
consumer
(d; moderate; p. 127)
127.
128.
Mini-Case Question. According to the U.S. Census, Monique, Bob, and the children are
considered to be a ________.
a.
census track
b.
family
c.
household
d.
reference group
e.
subculture
(b; moderate; p. 130)
Mini-Case Question. Lex, Bob and Monique’s oldest son who is away at college, lives
with three other students in a house off-campus. According to the U.S. Census, they
represent a ________.
a.
census track
b.
family
c.
household
d.
reference group
e.
subculture
(c; moderate; p. 130)
129.
130.
Mini-Case Question. After budgeting for the things that he has to pay for, such as his
mortgage, car payments, insurance, food, and so forth, Bob figures they have $1,000 left
each month to use for whatever way they want. This $1,000 represents the Smith’s
________ income.
a.
net
b.
gross
c.
spendable
d.
discretionary
e.
left-over
(d; moderate; p. 135)
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APPLICATION QUESTIONS: SHORT-ANSWER
131.
Explain how White Castle used advertising to increase consumers’ intentions to go to
White Castle by almost 20 percent, which was nearly double the original objective, and
how it resulted in a sales growth that was 100 percent greater than its competitors’
growth, which was four times the original goal.
Answer:
Because White Castle was outnumbered and outspent by its competition, the only option
was to outsmart them. Researchers made the discovery the White Castle is more than a
full feeling in the stomach; its customers have an emotional attachment to the brand. The
chain’s response to its competitive challenge was to leverage this emotional connection
its core target audience—the “Craver”—has with the brand. White Castle segmented its
market and concentrated on those that seem to have this emotional attachment to the
brand, focusing their message strategy on the burger’s indulgent quality and the selfindulgence that comes from enjoying a guilty pleasure. The goal was to make White
Castle Cravers identify themselves with the chain as “one of ours,” which it did
successfully.
(moderate; pp. 125–126 and 151)
132.
What were the two specific objectives of the White Castle advertising campaign
discussed in the chapter’s opening and closing vignettes?
Answer:
The specific objectiveS of the campaign were to:
(1)
Improve future purchase intention among the target audience by 10 percent
(2)
Translate this purchase intention into sales by achieving, on a percentage basis, an
annual sales growth 25 percent greater than the average sales growth of
McDonald’s, Burger King, Wendy’s, and Taco Bell.
(difficult; p. 126)
133.
You have been invited to speak at a small business workshop to explain how consumers
make purchase decisions and the basic factors that influence these decisions. Briefly
describe what you would discuss being careful not to overload them with too much
information because your audience is not very marketing-savvy. Just explain the basic
concepts you know about the consumer audience.
Answer:
Although students can recite basically the entire chapter to answer this question, the goal
is really to assess students’ understanding of the basic concepts outlined in this chapter.
Students should discuss the basic consumer decision process: (1) need recognition, (2)
information search, (3) alternative evaluation, (4) purchase decision, and (5) postpurchase
behavior. Although this process is likely to be followed for high-involvement decisions,
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Chapter Six: Strategic Research
some of the steps, specifically information search, may be skipped under lowinvolvement decisions. Students should also discuss the broad factors that influence
consumer decision making: (1) social/cultural influences, (2) psychological influences,
and (3) behavioral influences.
(moderate; pp. 127 and 145–146)
134.
Compare and contrast the terms family and household.
Answer:
According to the U.S. Census, a family consists of two or more people who are related by
blood, marriage, or adoption, and live in the same household. A household differs from a
family in that it consists of all those who occupy a dwelling whether they are related or
not. Therefore, a family is also a household, but a household is not necessarily a family.
(moderate; p. 130)
135.
In the United States, ethnicity is becoming a major criterion for segmenting markets.
Describe the ethnic markets that are of interest to marketers and their implications for
marketing.
Answer:
Few cultures are more important to U.S. marketing than the Hispanic culture because it is
growing proportionately faster than other ethnic groups. Research shows that Hispanics
spend more per shopping trip than non-Hispanics and that store signage and product
labels in Spanish promote stronger brand loyalty. Hispanics also believe in using cash
rather than credit cards and are willing to spend proportionately more money on their kids
and their clothing than their Anglo-Saxon counterparts. Many of them also tend to be
loyal to brands they learned to prefer while they were living in Mexico. There are also
media differences based on ethnicity, with Hispanic viewers tending to watch
commercials in their entirety compared to non-Hispanic viewers. They are more likely to
base purchase decisions on advertisements too.
Another ethnic segment of interest is the African American population, whose median
age is five years younger than the U.S. population, is expected to grow more than twice
as fast as the Caucasian population, lives primarily in the South and major urban markets
outside of the South, and represents 8.7 million households, nearly half of them married.
(moderate; pp. 132–133)
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136.
Explain the marketing challenge facing Choice Hotels after the September 11, 2001,
terrorist attack.
Answer:
The marketing challenge was twofold:
(1)
Encourage people to travel again while appearing compassionate and selfless.
(2)
Provide travelers with a compelling reason to stay at a Choice Hotels property.
(moderate; p. 136)
137.
For years, the U.S. Army has used an advertising campaign stressing that you can “Be all
you can be.” What is the rationale behind this campaign?
Answer:
It would appear that the army is appealing to its target audience’s secondary, or acquired,
needs for self-fulfillment and enriching experiences, that is, self-actualization, which
represents the highest level of needs on Maslow’s Hierarch of Needs.
(moderate; p. 138)
138.
What is selective perception, and how do marketers get through to consumers?
Answer:
In the perceptual process we select some stimuli and ignore others because we cannot be
conscious of all incoming information at one time. The general term for this is selective
perception, and there are three steps:
(1)
Selective Exposure—The way our minds filter incoming information. We
naturally tend to notice messages that are pleasant and sympathetic with our views
and avoid those that are painful or threatening. Making messages relevant is the
key to getting past this selection and filtering problem.
(2)
Selective Distortion—Happens when we are exposed to a message that conflicts
with what we believe. We just naturally modify incoming information to fit into
our own personal pattern of interests.
(3)
Selective Retention—The process we go through to save information for future
use. Advertising can aid this process by using repetition, vivid images, easily
remembered brand or product names, jingles, high-profile spokespeople, music,
and so forth.
(moderate; p. 138)
139.
Miriam purchased a new car last month, but she continues to look at advertising for cars
and notes how many other cars like hers are on the road. When a news article came out
the other day indicating problems with the transmission being noted by owners of her
make of car, she took that to mean that all types of cars in that class can have those
problems, not just hers. She even sought out a Consumer Reports article that pointed out
that the car she purchased was rated highly on reliability. What is Miriam experiencing?
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Chapter Six: Strategic Research
Answer:
According to the theory of cognitive dissonance, we tend to compensate or justify the
discrepancies between what we actually received and what we thought we would receive.
People engage in a variety of activities to reduce cognitive dissonance. Most notable, we
seek out information that supports our decisions and ignore and distort information that
does not.
(moderate; p. 139)
140.
Compare and contrast the “Strugglers” and “Actualizers” categories of the VALS 2
classification of consumer lifestyles.
Answer:
The VALS Network classifies consumers along two major dimensions: (1) resources and
(2) self-orientation. Resources range from low to high and include income, education,
self-confidence, health, eagerness to buy, and energy level. Self-orientation can be
principle-oriented, status-oriented, or action-oriented. Both the “Strugglers” and the
“Actualizers” are status-oriented, but the difference between the two is that “Strugglers”
have much lower resources than the “Actualizers.” In fact, both are at complete opposite
extremes of the resource dimension.
(moderate; pp. 141–142)
141.
Why do retailers put several items, such as candy, batteries, small packages of facial
tissue, coolers with individual bottles of soft drinks, and so forth right at the checkout?
Answer:
These items are impulse items. Consumers seeing them while they are waiting to check
out may realize they need, or at least want, that item, which is the first step of the
consumer decision process. People who buy on impulse generally do so without much
thought based on some immediate need such as thirst or hunger. Usually there’s not much
at stake, so the risk of making a bad decision is small.
(easy; p. 145)
142.
Microsoft is always looking to the future to decide what new products they should
introduce, and they’re interested in general characteristics of the early adopter category of
consumers. Based on the research reported in “The Inside Story,” what would you tell
Microsoft about this category of consumers?
Answer:
Based on primary research on the lifestyle and psychological characteristics of early
adopters, SRI found that early adopters:
(1)
Are people involved in unusual activities and whose level of activity will
disproportionately affect the behavior of others
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Part Two: Planning and Strategy
(2)
Have many weak social contacts
(3)
Are masters of their own universe
(4)
Are high media users
(5)
Have a more complex history of personal and sexual relationships
(moderate; p. 143)
143.
Ron is single and not a very good cook, so he eats a lot of pizza. So much so that he
orders it sometimes five nights per week from his favorite pizza place, Pizza Hut. Why is
Ron an important customer for Pizza Hut?
Answer:
A critical behavior predictor called usage refers to how much of a product category or
brand a customer buys. There are two ways to look at usage: usage rates and brand
relationship. According to Ron’s usage rate, he would most likely be classified as a heavy
user. Heavy users typically buy the most of a product category or a brand’s share of the
market. There’s a rule of thumb called the Pareto Rule that says 20 percent of the market
typically buys 80 percent of the products. That explains why the heavy user category is so
important to marketers and why planners will make special efforts to understand this key
customer group. Brand relationship refers to past, present, and future use of the product
by nonusers, ex-users, regulars, first-timers, loyal users, and users and switchers from, or
to, competitive products. People who buy the same brand repeatedly, like Ron, are the
ones who display the most brand loyalty. Heavy users and brand loyal buyers are usually
a brand’s most important customers and the ones who are most difficult for competitors
to switch away from a brand. Ron seems to fit this classification for Pizza Hut, thus
making him a very important customer.
(moderate; p. 144)
144.
Roger has decided to purchase a personal computer for his household’s use, but he
doesn’t know much about computers and he really doesn’t want to spend more than
$1,000. Describe the process Roger is likely to go through in making the decision
regarding which computer to purchase.
Answer:
Roger will probably go through all of the stages of the high-involvement decision
process. He has already recognized a need for a computer, which is the first step in the
process. Next he will likely gather as much information as he can by reading articles,
advertising, and talking to friends and colleagues. He will then narrow his search down to
a few alternatives that he will evaluate seriously, referred to as the evoked set. From that
evaluation, he will make a purchase decision, typically deciding first on the brand and
then which outlet from which to buy it. Finally, he will most likely experience
postpurchase behavior where he reconsiders and justifies his purchase to himself. He may
even experience doubts about his purchase, known as cognitive dissonance.
(moderate; pp, 145–146)
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Chapter Six: Strategic Research
145.
Jan is leaving her present job in consumer marketing at a major consumer packaged
goods manufacturer and will be starting a new job with an industrial marketer. What are
just a few of the things Jan should know about the differences between consumer
decision making and business decision making?
Answer:
Many of the influences that affect consumer buying also are reflected in business-tobusiness marketing. Although some of the consumer factors are relevant in business
purchases, there are some differences as well. Some of the things students can discuss
include:
(1)
In organizational buying, many individuals are involved in making the decision,
often with a buying committee making the final decision.
(2)
Although the business buyer may be motivated by both rational and emotional
factors, the use of rational and quantitative criteria dominate most decisions.
(3)
The decision is sometimes made based on a set of specifications to potential
suppliers who then bid on the contract; typically the lowest bid wins.
(4)
The decision may span a considerable time, creating a lag between the initial
contact and final decision. On the other had, once a decision is made, it may be in
place for a long time and sometimes supported by a contract.
(5)
Quality is hugely important and repeat purchases are based on how well the
product performs.
(moderate; pp. 146–147)
146.
The case at the end of the chapter, “Toyota Goes After Tuners,” describes who tuners are
and what marketers are doing to attract this group of consumers. Explain what “tuners”
are and why you think tuners are so attractive to marketers, even after accounting for
their spending power?
Answer:
Tuners are young car buyers who live to customize their cars. The trend really began
among young Asian Americans, who typically bought inexpensive Asian-import cars and
then spent thousands of dollars customizing them. The hobby has spread to other young
people, but Japanese brands remain the cars-of-choice among those dedicated to creating
a work of art on wheels. Marketers may be interested in these consumers for various
reasons. First, brand preferences formed while consumers are young may hold throughout
their purchasing lifetime. Second, these tuners may be seen as early adopters and can
influence other consumers. Finally, these tuners may be considered a reference group to
which other young car purchasers aspire and can influence their choice regarding car
brands. Thus, the social influence that they may play on others’ purchases may make
them a desirable market segment.
(moderate; p. 153)
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Part Two: Planning and Strategy
APPLICATION QUESTIONS: MINI-CASE SHORT ANSWER
A recent article in the Wall Street Journal described how the next “Pepsi Generation” likely will
be drinking diet cola. Pepsi learned that one-third of teens were diet soda drinkers last year and
that teens start drinking diet soft drinks at a very early age. However, they also acknowledged
that a substantial portion of young people don’t consider diet sodas cool, particularly men. The
chief marketing officer for Pepsi-Cola North America was quoted as saying, “We are treating
Diet Pepsi as the flagship brand. . . . It’s a big step for us.” Indeed, this is a major break with the
traditional soft-drink marketing in which the sugar-sweetened brand still dominates in market
share. However, with concerns of rising obesity and schools cutting back on sugar-sweetened
drinks in vending machines, soft-drink manufacturers, like Pepsi, are responding with an
increase in marketing of their diet soft drinks. As part of this new change in focus, Diet Pepsi
will be marketed as a hip, cool brand for everyone, including teenagers and Baby Boomers.
Meanwhile, the article stated that Pepsi is narrowing its sales pitch for regular Pepsi-Cola to
“soda drinkers younger than 25, Latinos, African-Americans, and sports fans.”
147.
Mini-Case Question. By treating the diet soda market as relatively homogenous, what
marketing strategy is this known as?
Answer:
Undifferentiated strategy or market aggregation strategy.
(moderate; p. 147)
148.
Mini-Case Question. What segmentation variables are Pepsi using when it decided to
narrow its marketing efforts for regular Pepsi cola to “soda drinkers younger than 25,
Latinos, African- Americans, and sports fans”?
Answer:
Age and ethnicity fall under demographic segmentation, and sports fans represent an
interest, which would be psychographic segmentation.
(moderate; p. 148)
149.
Mini-Case Question. It was also noted in the article that a substantial portion of young
people don’t consider diet sodas cool, particularly men. What is Pepsi trying to
accomplish with their increased effort to reach these consumers?
Answer:
Pepsi is trying to change their attitude toward diet sodas. Currently, a substantial portion
of young people’s attitudes toward this product are negative, and Pepsi would like to
change that attitude. Attitudes are important to advertisers because they influence how
consumers evaluate products.
(moderate; p. 139)
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Chapter Six: Strategic Research
150.
Mini-Case Question. Previous Diet Pepsi ads have shown a balding office worker in a
shirt and tie who dreamed of riding a motorcycle next to actor Peter Fonda in the movie
Easy Rider. The commercial’s sound track used the song “Born to be Wild.” New spots
for Pepsi will feature hip-hop star Sean “P. Diddy” Combs in an attempt to appeal to a
younger audience. Why do you think that younger consumers were not influenced by
Diet Pepsi’s previous ads and why do you think they will be now?
Answer:
One psychological factor influencing consumer behavior is selective perception.
Ultimately in the perceptual process we select stimuli and ignore others because we
cannot be conscious of all incoming information at one time. Younger consumers may
not have even allowed themselves to be exposed to Diet Pepsi’s previous message due to
selective exposure, meaning their minds filtered out messages that were not relevant to
them. Because the new ads seem to be more targeted to the younger consumer, they
might be more likely to tune in to the ad because the music star featured in the ads will be
more relevant to them.
(moderate; p. 138)
CHAPTER SIX
Strategic Research
GENERAL CONTENT: MULTIPLE-CHOICE QUESTIONS
534.
________ compiles information about the product, the product category, and other details
of the marketing situation that will impact the development of advertising strategy.
a.
Advertising research
b.
Market research
c.
Consumer research
d.
Strategic research
e.
Copy research
(b; moderate; p. 157)
535.
Which of the following is NOT considered a type of research useful in advertising
decisions?
a.
market research
b.
consumer research
c.
IMC research
d.
strategic research
e.
all of the above are types of research useful in advertising decisions
(e; easy; p. 157)
536.
________ is used to identify people who are in the market for a product in terms of their
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Part Two: Planning and Strategy
characteristics, attitudes, interests, and motivations.
a.
Advertising research
b.
Market research
c.
Consumer research
d.
Strategic research
e.
Copy research
(c; moderate; p. 157)
537.
________ focuses on all the elements of advertising, including message development
research, media planning research, and evaluation, as well as information about
competitors’ advertising.
a.
Advertising research
b.
Market research
c.
Consumer research
d.
Strategic research
e.
Copy research
(a; easy; p. 157)
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Chapter Six: Strategic Research
538.
________ uncovers critical information that becomes the basis for strategic planning
decisions, and in advertising it covers all the factors and steps that lead to the creation of
message strategies and media plans.
a.
Advertising research
b.
Market research
c.
Consumer research
d.
Strategic research
e.
Copy research
(d; moderate; p. 157)
539.
Strategic research uncovers critical information that becomes the basis for strategic
planning decisions, and in advertising it covers all the factors and steps that lead to the
creation of ________.
a.
message strategies
b.
media plans
c.
research strategies
d.
a and b
e.
a, b, and c
(d; moderate; p. 157)
540.
Background research that uses available published information about a topic is called
________.
a.
market research
b.
consumer research
c.
primary research
d.
secondary research
e.
government research
(d; moderate; p. 157)
541.
Information that has been collected and published by someone else is known as
________.
a.
market research
b.
consumer research
c.
primary research
d.
secondary research
e.
government research
(d; moderate; p. 157)
542.
Government organizations, trade associations, secondary research suppliers, and
secondary information on the Internet are all sources of ________ data.
a.
primary
b.
secondary
c.
tertiary
d.
free
e.
unregulated
(b; moderate; pp. 157–158)
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Part Two: Planning and Strategy
543.
Which of the following statements is false regarding secondary research?
a.
It is called secondary because it is information that has been collected and
published by someone else.
b.
Many government statistics come from census records on the population’s size,
geographic distribution, age, income, occupation, education, and ethnicity.
c.
Secondary research found on the Internet is not valid research.
d.
Many industries support trade associations that gather and distribute information
of interest to association members.
e.
Secondary research suppliers gather and organize information around specific
topic areas for other interested parties.
(c; moderate; pp. 157–158)
544.
Information that is collected for the first time from original sources is called ________.
a.
market research
b.
consumer research
c.
primary research
d.
secondary research
e.
government research
(c; moderate; p. 159)
Companies do their own tracking and monitoring of their customers’ behavior and they
also hire research firms to do which type of research?
a.
primary
b.
secondary
c.
tertiary
d.
tracking
e.
monitoring
(a; moderate; p. 159)
545.
546.
Firms that specialize in interviewing, observing, recording, and analyzing the behavior of
those who purchase or influence the purchase of a particular good or service are called
________.
a.
secondary research suppliers
b.
primary research suppliers
c.
market research suppliers
d.
advertising research suppliers
e.
certified research suppliers
(b; moderate; p. 159)
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Chapter Six: Strategic Research
547.
________ research provides insight into the underlying reasons for how consumers
behave and why, and common research methods include such tools as observation,
ethnographic studies, in-depth interviews, and case studies.
a.
Secondary
b.
Quantitative
c.
Qualitative
d.
Purchase intent analysis
e.
Consumer insight
(c; moderate; p. 160)
548.
Which of the following statements is true?
a.
Firms that specialize in interviewing, observing, recording, and analyzing the
behavior of those who purchase or influence the purchase of a particular good or
service are called secondary research suppliers.
b.
Information that is collected for the first time from original sources is called
primary research.
c.
Strictly speaking, Simmons Market Research Bureau is a primary data source.
d.
Strictly speaking, Mediamark Research, Inc. is a primary data source.
e.
Primary research can be only quantitative.
(b; moderate; pp. 159–160)
549.
________ research delivers numerical data such as number of users and purchases, their
attitudes and knowledge, their exposure to ads, and other market-related information, and
it also provides information on reactions to advertising and motivation to purchase.
a.
Secondary
b.
Quantitative
c.
Qualitative
d.
Purchase intent analysis
e.
Consumer insight
(b; moderate; p. 160)
550.
What are the two primary characteristics of quantitative research?
a.
large sample sizes and quota sampling
b.
small sample sizes and rich data
c.
primary and secondary data
d.
efficient and effective
e.
large sample sizes and random sampling
(e; moderate; p. 160)
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Part Two: Planning and Strategy
551.
Information on reactions to advertising and motivation to purchase is sometimes called
________.
a.
attitudes
b.
purchase intent
c.
awareness
d.
qualitative
e.
quantitative
(b; moderate; p. 160)
552.
Which of the following is a way research is used in advertising planning?
a.
market information
b.
consumer insight information
c.
message development
d.
evaluation research
e.
all of the above
(e; easy; p. 162)
553.
________ is formal research, such as surveys, in-depth interviews, observational
methods, focus groups, and all types of primary and secondary data used to develop a
marketing plan and, ultimately, provide information for an advertising plan.
a.
Marketing research
b.
Advertising research
c.
Consumer research
d.
Strategic research
e.
Copy research
(a; moderate; p. 162)
554.
A subset of marketing research, known as ________ research, is research used to gather
information about a particular market—consumers, as well as competitive brands.
a.
primary
b.
secondary
c.
market
d.
consumer
e.
competitive
(c; moderate; p. 162)
________ includes an assessment of the brand’s role and performance in the marketplace
and investigates how people perceive brand personalities and images.
a.
Market information
b.
Brand information
c.
Consumer insight research
d.
Media research
e.
Evaluation research
(b; moderate; p. 162)
555.
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Chapter Six: Strategic Research
556.
What type of information is used to describe the target audience when using research for
consumer insight?
a.
demographic and psychographic
b.
quantitative
c.
qualitative
d.
demographic
e.
psychographic
(a; moderate; 162)
557.
Identifying the consumer insight is the responsibility of the ________.
a.
account manager
b.
advertising manager
c.
account planner
d.
vendor
e.
creative director
(c; moderate; p. 163)
558.
________ research gathers information about all the possible media and marketing
communication tools that might be used in a campaign to deliver a message.
a.
Media
b.
Market
c.
Consumer
d.
Advertising
e.
Marketing
(a; moderate; p. 163)
559.
Research used in the development of the message strategy to evaluate the relative power
of various creative ideas is known as ________.
a.
media research
b.
copy testing
c.
content analysis
d.
semiotic analysis
e.
concept testing
(e; moderate; p. 165)
560.
Research used in the development of the message strategy that evaluates the relative
effectiveness of various approaches to the sales message is known as ________.
a.
media research
b.
copy testing
c.
content analysis
d.
semiotic analysis
e.
concept testing
(b; moderate; p. 165)
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Part Two: Planning and Strategy
561.
________ evaluates the relative power of various creative ideas, while ________
evaluates the relative effectiveness of various approaches to the sales message.
a.
Competitive analysis; content analysis
b.
Semiotic analysis; content analysis
c.
Concept testing; copy testing
d.
Competitive testing; copy testing
e.
Copy testing; semiotic analysis
(c; moderate; p. 165)
562.
What are the three stages in message development where research is used?
a.
preparation research, consumer research, and development research
b.
market research, brand information, and consumer insight research
c.
media research, development research, and evaluative research
d.
preparation research, development research, and evaluative research
e.
pre-research, development research, and post-research
(a; difficult; p. 165)
563.
Which of the following is NOT considered a stage in message development where
research is used?
a.
preparation research
b.
consumer research
c.
brand information
d.
development research
e.
all of the above are stages in message development
(c; moderate; p. 165)
564.
When an agency gets a new client, the first thing the agency team has to do is learn about
the ________.
a.
competition
b.
advertising messages used in the past
c.
advertising media used in the past
d.
brand
e.
prior agency compensation plan used.
(d; moderate; p. 165)
565.
Which of the following is NOT considered background research?
a.
competitive analysis
b.
advertising audit
c.
content analysis
d.
mall intercept
e.
semiotic analysis
(d; moderate; p. 165)
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Chapter Six: Strategic Research
566.
When conducting a(n) ________, the advertising planner will either formally or
informally begin an assignment by collecting every possible piece of advertising and
other form of marketing communication by the brand, as well as its competitors’, and
other relevant categories that may have lessons for the brand.
a.
content analysis
b.
semiotic analysis
c.
brand experience
d.
advertising audit
e.
competitive analysis
(d; moderate; p. 165)
A formal and systematic tabulation of competitors’ approaches and strategies, such as
slogans, appeals, and images used most often, is known as a(n) ________.
a.
content analysis
b.
semiotic analysis
c.
brand experience
d.
advertising review
e.
competitive analysis
(a; moderate; p. 165)
567.
568.
A technique used to analyze advertisements is ________, which is a way to take apart the
signs and symbols in a message to uncover layers and types of meanings with the
objective of finding deeper meanings in the symbolism and meanings, particularly as they
relate to different groups of consumers.
a.
content analysis
b.
semiotic analysis
c.
brand experience
d.
advertising review
e.
competitive analysis
(b; moderate; p. 165)
569.
Which of the following is a way to contact consumers when conducting advertising
research?
a.
in person
b.
by telephone
c.
by mail
d.
through the Internet
e.
all of the above
(e; easy; p. 166)
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Part Two: Planning and Strategy
570.
________ is a quantitative method that uses structured interviews to ask large numbers of
people the same set of questions, and they can be conducted in person, by phone, by mail,
or online.
a.
In-depth interview
b.
Survey research
c.
Focus group
d.
Observation research
e.
Ethnographic research
(b; moderate; p. 168)
571.
A subset of the population that is representative of the entire population is known as a
________.
a.
sample
b.
subsample
c.
subpopulation
d.
census
e.
subcensus
(a; moderate; p. 168)
572.
What is the primary difference between an interview and a survey?
a.
An interview uses a representative sample, and a survey uses an entire population.
b.
Surveys use a discussion guide, which outlines the areas to be covered and tends
to be very broad.
c.
Interviews use structured questionnaires.
d.
Surveys are focused and interviews are open-ended discussions among 8 to 10
people.
e.
Interviews use unstructured questionnaires.
(e; difficult; p. 168)
573.
A group of 8 to 10 users or even up to 15 potential users of a product who are gathered
around a table to have a discussion about some topic, such as the brand, the product
category, or advertising is known as a(n) ________.
a.
focus group
b.
interview group
c.
survey group
d.
population
e.
ethnographic research sample
(a; moderate; p. 168)
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Chapter Six: Strategic Research
574.
In which type of consumer research is the objective to get participants talking in a
conversational format so researchers can observe the dialogue and interactions among the
participants?
a.
survey research
b.
focus groups
c.
in-depth interview
d.
observation research
e.
ethnographic research
(b; moderate; p. 168)
________ focus groups are used in a comfortable setting, usually people’s homes, where
the participants have been recruited by the host.
a.
Snowball
b.
Ethnographic
c.
Friendship
d.
Sample
e.
Unstructured
(c; moderate; p. 169)
575.
576.
Which type of focus group research is designed to break down barriers and save time in
getting to more in-depth responses?
a.
snowball
b.
sample
c.
unstructured
d.
friendship
e.
ethnographic
(d; moderate; p. 169)
577.
________ takes researchers into natural settings where they record the behavior of
consumers using video, audio, and disposable cameras to record consumers’ behavior at
home, in stores, or wherever people buy and use their products, but the researcher does
not live the lives of the people being studied.
a.
Focus groups
b.
Ethnographic research
c.
Friendship groups
d.
Observation research
e.
Survey research
(d; moderate; p. 169)
578.
________ involves the researcher in living the lives of the people being studied.
a.
Focus group research
b.
Ethnographic research
c.
Friendship group research
d.
Quantitative research
e.
Survey research
(b; moderate; p. 169)
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Part Two: Planning and Strategy
579.
Sometimes consumers are asked to record their activities through the use of ________.
a.
surveys
b.
focus groups
c.
diaries
d.
monitors
e.
purpose-driven games
(c; moderate; p. 170)
580.
What are particularly valuable in media research because they tell media planners exactly
what programs and ads the consumers watched?
a.
surveys
b.
diaries
c.
fill-in-the-blanks
d.
focus groups
e.
purpose-driven games
(b; moderate; p. 170)
581.
Which of the following is NOT one of the more imaginative qualitative methods
researchers are using to get insight about people’s relationships to the brands they buy?
a.
fill-in-the-blanks
b.
meaning creation
c.
purpose-driven games
d.
story elicitation
e.
photo sorts
(b; difficult; pp. 170–171)
582.
Which qualitative method is a form of attitude research in which people fill in the blanks
in a story or balloons in a cartoon?
a.
fill-in-the-blanks
b.
meaning creation
c.
purpose-driven games
d.
story elicitation
e.
photo sorts
(a; easy; p. 170)
583.
Which qualitative method is used by researchers to see how people solve problems and
search for information using games to make the research experience more fun and
involving for participants?
a.
fill-in-the-blanks
b.
meaning creation
c.
purpose-driven games
d.
story elicitation
e.
photo sorts
(c; easy; p. 170)
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Chapter Six: Strategic Research
584.
Which qualitative method asks consumers to explain the artifacts in their lives—what you
see in photos of their homes, as well as the things in their lives that they treasure?
a.
fill-in-the-blanks
b.
meaning creation
c.
purpose-driven games
d.
story elicitation
e.
photo sorts
(d; difficult; p. 171)
585.
Which qualitative method uses such ideas as life collages, day mapping, and the
construction of instruction books as ways to elicit stories that discuss brands and their
role in daily life?
a.
fill-in-the-blanks
b.
photo sorts
c.
metaphors
d.
artifact creation
e.
story elicitation
(d; moderate; p. 171)
586.
Which qualitative method uses visuals to elicit consumer thoughts and opinions either by
asking them to look at a set of visuals or instructing them to visually record something
with a camera, such as a shopping trip, and asking them to explain what they were
thinking when looking at the photos taken?
a.
fill-in-the-blanks
b.
photo elicitation
c.
purpose-driven games
d.
story elicitation
e.
photo sorts
(b; difficult; p. 171)
587.
Which qualitative method asks consumers to sort through a deck of photos and pick out
visuals that represent something, such as typical users of the product, or situations where
it might be used?
a.
fill-in-the-blanks
b.
photo elicitation
c.
purpose-driven games
d.
story elicitation
e.
photo sorts
(e; moderate; p. 171)
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588.
Which qualitative method attempts to gain insight into how people perceive brands by
examining the link between concepts?
a.
fill-in-the-blanks
b.
metaphors
c.
purpose-driven games
d.
story elicitation
e.
photo sorts
(b; difficult; p. 171)
589.
________ means that the research actually measures what it says it measures.
a.
Metaphor
b.
Reliability
c.
Validity
d.
Criteria
e.
Quantitative
(c; moderate; p. 171)
590.
________ means that you can run the same test again and get the same answer.
a.
Metaphor
b.
Reliability
c.
Validity
d.
Criteria
e.
Quantitative
(b; moderate; p. 172)
591.
Which of the following is a way to increase the reliability of the research?
a.
Select a sample that truly represents its population.
b.
Use sample sizes larger than 200.
c.
Test hypotheses.
d.
Only conduct qualitative research.
e.
Use focus groups and in-depth interviews heavily.
(a; moderate; p. 172)
592.
Which of the following is NOT considered an objective of advertising research?
a.
get information
b.
test hypotheses
c.
maximize reliability and validity
d.
get insights
e.
all of the above are objectives of advertising research
(c; difficult; p. 172)
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Chapter Six: Strategic Research
593.
________ methods are more useful for gathering data (e.g., how many do this or believe
that?) and ________ methods are better at uncovering reasons and motives (e.g., why do
they do or believe?).
a.
Qualitative; quantitative
b.
Primary; secondary
c.
Secondary; primary
d.
Reliable; valid
e.
Quantitative; qualitative
(e; moderate; p. 172)
594.
Which method is more useful for gathering data, such as how many do this or believe
that?
a.
quantitative
b.
qualitative
c.
primary
d.
secondary
e.
global
(a; moderate; p. 172)
595.
Which method is better at uncovering reasons and motives?
a.
quantitative
b.
qualitative
c.
primary
d.
secondary
e.
global
(b; moderate; p. 172)
596.
Which of the following is NOT a key challenge facing advertising researchers?
a.
globalization
b.
new media technology
c.
Internet and virtual research
d.
embedded research
e.
all of the above are key challenges facing advertising researcher
(e; moderate; p. 172)
597.
In which key challenge facing advertising researchers is an in-depth understanding of the
economic and cultural conditions, government regulations, and communications media of
each country more important than ever before?
a.
globalization
b.
new media technology
c.
Internet and virtual research
d.
embedded research
e.
insightful analysis
(a; easy; p. 172)
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598.
Which of the following is false regarding key challenges facing advertising researchers?
a.
The biggest problem with respect to globalization is cross-cultural communication
and how to arrive at an intended message without cultural distortions or
insensitivities.
b.
As technology changes in the media unfold, the old research measures will
become increasingly invalid.
c.
New media technology is making it more difficult for marketers to do relationship
marketing.
d.
The emergence of genuine two-way communication opportunities is a factor in
new media technology.
e.
Whenever a call is made, for whatever purpose, that contact provides an
opportunity to ask a brand-related question.
(c; moderate; pp. 172–174)
599.
Which of the following is considered an implication due to the changes in media
technology?
a.
Changes in media technology will alter the meaning and consequences of almost
all of our most familiar research constructs.
b.
Old research methods will still be valid even with changes in media technology.
c.
New media technologies are resulting in less media fragmentation.
d.
Genuine two-way communication opportunities are not really materializing from
the new media technologies.
e.
New media technology is closing the door to permission and relationship
marketing.
(a; moderate; pp. 172–173)
600.
________ gathers real-time information through online media and streaming video.
a.
Embedded research
b.
Virtual research
c.
Insightful analysis
d.
Content analysis
e.
Semiotic research
(b; moderate; p. 173)
601.
In which type of research are research methods embedded directly into real purchase and
use situations, so that the consumer is a recipient and direct beneficiary of the
information?
a.
embedded research
b.
virtual research
c.
insightful analysis
d.
content analysis
e.
semiotic research
(a; moderate; p. 173)
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Chapter Six: Strategic Research
69.
________, both inbound and outbound can also be used as research centers to gain realtime feedback about the brand and its marketing and advertising strategies.
f.
Insightful analysis
g.
Virtual research
h.
Call centers
i.
Qualitative methods
j.
Quantitative methods
(c; easy; p. 174)
70.
In which type of embedded research can consumers access reviews from other customers
who report their own experience?
a.
insightful analysis
b.
virtual research
c.
call centers
d.
product reviews
e.
qualitative method
(d; easy; p. 174)
GENERAL CONTENT: TRUE/FALSE QUESTIONS
71.
Market research uncovers critical information that becomes the basis for strategic
planning decisions.
(False; moderate; p. 157)
72.
Secondary research is information that has been collected and published by someone else.
(True; easy; p. 157)
73.
Firms that specialize in interviewing, observing, recording, and analyzing the behavior of
those who purchase or influence the purchase of a particular good or service are called
primary research suppliers.
(True; easy; p. 159)
74.
Marketers wanting insight into the underlying reasons for how consumers behave and
why should conduct qualitative research.
(True; moderate; p. 160)
75.
Qualitative research should be used to draw conclusions.
(False; moderate; p. 160)
76.
Marketing research is informal research.
(False; difficult; p. 162)
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77.
Media planning begins with media research that gathers information about all possible
media and marketing communication tools that might be used in a campaign to deliver a
message.
(True; moderate; p. 163)
78.
The three stages in message development where research is used are preparation research,
media research, and concept testing.
(False; moderate; p. 165)
79.
Research is also used in development of the message strategy to evaluate the relative
power of various creative ideas, which is called copy testing, and the relative
effectiveness of various approaches to the sales message, which is called concept testing.
(False; moderate; p. 165)
80.
Copy testing is a way to take apart the signs and symbols in a message to uncover layers
and types of meanings.
(False; difficult; p. 165)
81.
Survey research is a quantitative method that uses structured interviews to ask large
numbers of people the same set of questions, and they can be conducted in person, by
phone, by mail, or online.
(True; easy; p. 168)
82.
Focus groups can be used only in the background research step of the message
development process.
(False; moderate; p. 168)
Informal focus groups are used in a comfortable setting, usually people’s homes, where
the participants have been recruited by the host.
(False; moderate; p. 169)
83.
84.
Psychographic research involves the researcher in living the lives of the people being
studied.
(False; moderate; p. 169)
85.
Focus group and direct observation research have the advantage of revealing what people
actually do.
(False; difficult; p. 170)
86.
Diaries in which consumers are asked to record their activities are particularly valuable in
media research because they tell media planners exactly what programs and ads the
consumers watched.
(True; easy; p. 170)
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Chapter Six: Strategic Research
87.
A form of attitude research in which people fill in the blanks in a story or balloons in a
cartoon is known as purpose-driven games.
(False; moderate; p. 170)
88.
In story elicitation, consumers are asked to explain the artifacts of their lives—what you
see in photos in their homes, as well as the things in their lives that they treasure.
(True; moderate; p. 171)
89.
In the qualitative research method called photo elicitation, consumers are asked to sort
through a deck of photos and pick out visuals that represent something, such as typical
users of the product or situations where it might be used.
(False; difficult; p. 171)
90.
A metaphor says one thing—a brand, for example—is like something else.
(True; easy; p. 171)
91.
Two basic research criteria known as validity and reliability are helpful in determining
the appropriate research method to use.
(True; difficult; p. 171)
92.
Reliability means that the research actually measures what it says it measures.
(False; moderate; p. 172)
93.
Reliable research means that any differences that are uncovered by the research, such as
different attitudes or purchasing patterns, really reflect differences among individuals,
groups, or situations.
(False; difficult; p. 172)
94.
Validity means that the research actually measures what it says it measures, and
reliability means that you can run the same test again and get the same answer.
(True; moderate; pp. 171–172)
95.
Repeatability means that you can run the same test again and get the same answer.
(False; moderate; p. 172)
96.
Three big objectives in advertising research are to test hypotheses, get information, and
get insights.
(True; difficult; p. 172)
97.
Quantitative research is more useful than qualitative research.
(False; difficult; p. 172)
98.
Research challenges facing advertising researchers include globalization, new media
technology, Internet and virtual research, embedded research, and insightful analysis.
(True; moderate; p. 172–173)
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99.
The biggest challenge facing global advertisers is cross-cultural communication and how
to arrive at an intended message without cultural distortions or insensitivities.
(True; moderate; p. 172)
100. Changes in media technology are making old research measures increasingly invalid.
(True; easy; p. 172)
101.
Multimedia research allows automated testing of concepts, storyboards, and designs in
multiple markets without having to develop actual prototypes or multiple sets of
storyboards.
(True; moderate; p. 172–173)
102.
Globalization is opening the door to new ways to do permission and relationship
marketing.
(False; moderate; p. 173)
103. Virtual research gathers real-time information through online media and streaming video.
(True; easy; p. 173)
104.
In the method known as Insight Analysis, the research methods are embedded directly
into real purchase and use situations, so that the consumer is a recipient and direct
beneficiary of the information.
(False; moderate; pp. 173–174)
105.
The most common Internet approach of embedded research is to use this method for
product reviews, where customers enter the web site and select from an array of product
categories they would like to know about.
(True; moderate; p. 174)
GENERAL CONTENT: ESSAY QUESTIONS
106.
Compare and contrast primary and secondary research and provide examples of sources
for each.
Answer:
Information that is collected for the first time from original sources is called primary
research. Companies do their own tracking and monitoring of their customers’ behavior
and they also hire research firms to do this research. Firms that specialize in interviewing,
observing, recording, and analyzing the behavior of those who purchase or influence the
purchase of a particular good or service are called primary research suppliers, such as
A. C. Nielsen.
Background research that uses available published information about a topic is called
secondary research. It’s called secondary because it is information that has been collected
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Chapter Six: Strategic Research
and published by someone else. Many secondary information sources are available to
advertisers doing strategic research and include government organizations, trade
associations, secondary research suppliers, and secondary information from the Internet.
(moderate; pp. 157–159)
107.
Explain the differences among market research, consumer research, advertising research,
IMC research, and strategic research.
Answer:
Market research compiles information about the product category and other details of the
marketing situation that will impact the development of advertising strategy. Consumer
research is used to identify people who are in the market for the product in terms of their
characteristics, attitudes, interests, and motivations. Ultimately this information is used to
decide who should be the targeted audience for the advertising. In an integrated
marketing communication (IMC) plan, the consumer research is enlarged to acquire
information about all the relevant stakeholders. Advertising research focuses on all the
elements of advertising, including message development research, media planning
research, and evaluation, as well as information about competitors’ advertising. IMC
research is similar except it is used to assemble information needed in planning the use of
a variety of marketing communication tools. Strategic research uncovers critical
information that becomes the basis for strategic planning decisions. In advertising it
covers all the factors and steps that lead to the creation of message strategies and media
plans.
(moderate; p. 157)
108.
Compare and contrast quantitative and qualitative research, and discuss uses of each.
Answer:
Qualitative research provides insight into the underlying reasons for how consumers
behave and why. Common methods include such tools as observation, ethnographic
studies, in-depth interviews, and case studies. Qualitative methods are used early in the
process of developing an advertising plan or message strategy for generating insights, as
well as questions and hypotheses for additional research. They are also good at
confirming hunches, ruling out bad approaches and questionable or confusing ideas, and
giving direction to the message strategy. Because qualitative research is typically done
with small groups, advertisers are not able to draw conclusions about or project their
findings to the larger population.
Quantitative research delivers numerical data such as number of users and purchasers,
their attitudes and knowledge, their exposure to ads, and other market-related
information. It also provides information on reactions to advertising and motivation to
purchase. Two primary characteristics of quantitative research are (1) large sample sizes
and (2) random sampling. The most common quantitative research methods include
surveys and studies that track such things as sales and opinions. In contrast to qualitative
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research, quantitative research is usually designed to either accurately count something,
such as sales levels, or to predict something, such as attitudes.
In sum, qualitative research should not be used to draw conclusions, which is the
province of quantitative research, but instead to better understand a market and generate
hypotheses that we can test with quantitative methods.
(moderate; p. 160)
109.
Name and describe the five ways research is used in advertising planning.
Answer:
The five ways research is used in advertising planning are:
(1)
Market Information—Marketing research is formal research, such as surveys, indepth interviews, observational methods, focus groups, and all types of primary
and secondary data used to develop a marketing plan, and, ultimately, provide
information for an advertising plan. A subset of marketing research, known as
market research, is research used to gather information about a particular
market—consumers, as well as competitive brands. Market information, then,
includes everything a planner can uncover about consumer perceptions of the
brand, product category, and competitors’ brands. Brand information includes an
assessment of the brand’s role and performance in the marketplace. This research
also investigates how people perceive brand personalities and images.
(2)
Consumer Insight Research—Both the creative team and the media planners need
to know as much as they can, in as much depth and detail as possible, about the
people they are trying to reach. Demographic and psychographic information is
used to describe the target audience. The objective of most consumer research is
to puzzle out the key consumer insight that will help move the target audience to
respond to the message. Identifying consumer insight is the responsibility of the
account planner.
(3)
Media Research—Media planning begins with media research that gathers
information about all the possible media and marketing communication tools that
might be used in a campaign to deliver a message. Media researchers then match
that information to what is known about the target audience.
(4/5) Message Development and Evaluation Research—As planners, account
managers, and people on the creative team begin the development of an
advertisement, they involve themselves in various types of informal and formal
research. They read all the relevant secondary information provided by the client
and the planners to become better informed about the brand, the company, the
competition, and the product category. Furthermore, as writers and art directors
begin working on a specific creative project, they almost always conduct at least
some informal research of their own. Research is used in the development of
message strategy to evaluate the relative power of various creative ideas, which is
called concept testing, and the relative effectiveness of various approaches to the
sales message, which is called copy testing.
(moderate; pp. 162–165)
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Chapter Six: Strategic Research
110.
Discuss the five key challenges facing advertising researchers.
Answer:
Advertising researchers face five key challenges:
(1)
Globalization—In-depth understanding of the economic and cultural conditions,
government regulations, and communications media of each country is more
important than ever before. The biggest problem is cross-cultural communication
and how to arrive at an intended message without cultural distortions or
insensitivities.
(2)
New Media Technology—Changes in media technology will alter the meaning
and consequences of almost all of our most familiar research constructs. As
technology changes in the media unfold, the old research measures will become
increasingly invalid. Because of media fragmentation, researchers and planners
must strive to develop message strategies that enable media planners to reach
consumers most effectively. That includes using multiple product messages in
multiple media vehicles. New media technology is also opening the door to new
ways to do permission and relationship marketing. Another factor is the
emergence of genuine two-way communication opportunities.
(3)
Internet and Virtual Research—Another aspect of new media is the feasibility of
virtual research that gathers real-time information through online media and
streaming video. The low cost and quick speed of gathering research data online
has made the Internet a popular survey tool with companies. Even in a more
traditional one-way communication model, creating effective ads for the new
interactive media is a particular challenge.
(4)
Embedded Research—In this case, the research methods are embedded directly
into real purchase and use situations, so that the consumer is a recipient and direct
beneficiary of the information. Call centers can also be used as research centers to
gain real-time feedback about the brand and its marketing and advertising
strategies. For example, whenever a call is made for whatever purpose (either
inbound or outbound), that contact provides an opportunity to ask a brand-related
question. The most common Internet approach is to use this method for product
reviews, where customers enter the web site and select an array of product
categories they would like to know about. The opinions of reviewers (i.e.,
customers who report their own experience) can be accessed with a click.
(5)
Insightful Analysis—Marketers are inundated with information, so getting
information is less of a problem than is making sense of it. The challenge is not
information but rather intelligence. The magic in research, then, lies in the
interpretation of the findings to uncover unexpected or unrealized insights into
consumers, products, and the marketplace situation.
(moderate; pp. 172–174)
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Part Two: Planning and Strategy
APPLICATION QUESTIONS: MULTIPLE-CHOICE QUESTIONS
111.
What type of research did LeapFrog conduct to uncover what, beyond the conventional
demographic data on moms who buy educational materials, really makes LeapFrog moms
tick?
a.
purpose-driven games
b.
ethnographic research
c.
content analysis
d.
semiotic research
e.
competitive analysis
(b; difficult; p. 156)
112.
What did LeapFrog learn about moms who buy educational materials?
a.
They tend to be highly educated and value education highly.
b.
They tend to have a higher household income than moms who didn’t purchase
educational materials for their children.
c.
They purchase educational materials spontaneously.
d.
Regardless of their own education level, they consistently value education highly.
e.
They spend the toy industry average for an educational toy.
(d; moderate; p. 156)
113.
Louis is preparing to develop an advertising campaign for a client. What type of research
should he conduct to compile information about the product, the product category, and
other details of the marketing situation that will impact the development of the
advertising strategy?
a.
market research
b.
consumer research
c.
advertising research
d.
IMC research
e.
strategic research
(a; moderate; p. 157)
114.
Harriet works for a large manufacturer of consumer packaged goods. Her job is to
identify people who are in the market for her company’s products in terms of their
characteristics, attitudes, interests, and motivations. What type of research does Harriet
perform to gather this information?
a.
market research
b.
consumer research
c.
advertising research
d.
IMC research
e.
strategic research
(b; moderate; p. 157)
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Chapter Six: Strategic Research
115.
Every few years, the Association of National Advertisers conducts a study on how
national advertisers compensate advertising agencies that plan, develop, and execute their
advertising campaigns. If a national advertiser uses this information to determine how it
should compensate its advertising agency, what type of research is this?
a.
primary
b.
qualitative
c.
secondary
d.
organizational
e.
advertising research
(c; moderate; p. 157)
116.
The Survey of Current Business: Basic Operational Statistics on U.S. Business is an
example of ________.
a.
qualitative research
b.
primary information
c.
a trade association report that helps advertisers make better decisions
d.
a report developed by a secondary research supplier
e.
a government report that helps advertisers make better decisions
(e; difficult; p. 159 [Figure 6.1])
117.
A. C. Nielsen is a large company that conducts research for clients. It also monitors
television viewing habits, being the major supplier of program ratings in the television
industry. These ratings are used by television networks and stations to determine the price
of advertising time during a specific program. What type of research does A. C. Nielsen
perform?
a.
primary
b.
secondary
c.
tertiary
d.
a and b
e.
a, b, and c
(a; moderate; p. 159)
118.
Kraft wanted to understand how consumers decide which brand of cheese to purchase
while they are shopping at a grocery store, so they hired a research firm that observed
consumers as they made their selection in the store. Which type of research does this
represent?
a.
quantitative
b.
qualitative
c.
secondary
d.
ethnographic
e.
in-depth research
(b; easy; p. 160)
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Part Two: Planning and Strategy
Sam wants to understand consumers’ perceptions of his company’s products, so he
conducts a survey to assess their attitudes toward his brands as well as their intention to
purchase them. What type of research does this represent?
a.
quantitative
b.
qualitative
c.
secondary
d.
ethnographic
e.
in-depth research
(a; easy; p. 160)
119.
120.
By what characteristics does a report from Mediamark Research, Inc. (MRI) break down
the TV-viewing habits of consumers?
a.
age
b.
size of household
c.
age of children
d.
a and b
e.
a, b, and c
(e; difficult; pp. 160–161)
121.
Scott works in the marketing department of a national insurance company. He conducted
a focus group interview in which 10 consumers discussed their attitudes toward
purchasing long-term disability insurance. Based on this research, he concluded that most
people think this insurance is not necessary because they feel that they will always be
able to work and would be wasting their money on such expensive insurance. Which of
the following statement is true regarding this situation?
a.
Scott can feel confident that what he learned in this research is representative of
the perceptions held by rest of the consumer population that makes up the target
market for this product.
b.
Scott should really conduct one more focus group interview with a different group
of consumers before he should draw any conclusions.
c.
Scott should have conducted survey research first before he conducted the focus
group interview.
d.
Focus groups are a type of qualitative research and should not be used to draw
conclusions.
e.
Focus groups are the only type of qualitative research from which conclusions can
be drawn.
(d; difficult; pp. 160 and 168)
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Chapter Six: Strategic Research
What did the research described in “A Matter of Practice” reveal about young people’s
perceptions about the army and it’s long-standing “Be all you can be” advertising slogan?
a.
The research revealed that the army had a strong brand identity and was perceived
as superior to the other services.
b.
The current “$50,000” ad, which focused on the value of military service, was
seen as providing money for college and didn’t appeal to many of the target
market who weren’t considering college.
c.
The target market understood the “Be all you can be” theme, but they just didn’t
feel it applied to them.
d.
The target market didn’t consider the army as a career option because they felt
that they had better opportunities for their futures.
e.
The research revealed that it was not the “Be all you can be” theme that was
lacking, but rather the target market did not perceive the army as an organization
in which they could feel empowered as an employee.
(b; difficult; p. 164)
122.
123.
When V-8, a brand of vegetable juice, wanted to determine if viewers understood the
health benefit message they were trying to convey in their television commercial, they
conducted research in which consumers were brought to a research center to view a pilot
television show in which the V-8 ad they were testing appeared. Several other ads
appeared during the 30-minute television program, and after viewing the show,
participants were given a survey regarding their attitudes toward all of the ads they had
seen. Unbeknown to them, five different groups saw the same program and ads, except
the V-8 ad was different for each group. V-8 was trying to determine the relative
effectiveness of various approaches to the sales message. What type of research is this?
a.
secondary
b.
concept testing
c.
semiotic research
d.
copy testing
e.
content analysis
(b; moderate; p. 165)
“Lisa” is a person an automobile manufacturer uses to describe its soccer-mom customer.
She is a stay-at-home mom, lives in the suburbs, and is active in her children’s activities.
She is also educated, with at least an undergraduate college degree and has worked as a
professional before devoting herself full time to her family. She wants the ability to
transport several people, and she is very concerned about safety. “Lisa” is not a real
person, but rather she is a model the automobile manufacturer uses to understand the
customer they are trying to reach. What is “Lisa”?
a.
a persona
b.
a surrogate
c.
a scapegoat
d.
a gatekeeper
e.
an influencer
(a; moderate; p. 167)
124.
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Part Two: Planning and Strategy
125.
Maria was participating in a research study in which she was asked to take pictures with
her camera phone while she was shopping. After recording her trip with pictures, she was
asked to explain what she was thinking or doing at the time a given photo was taken.
Which qualitative research method is this?
a.
metaphors
b.
story elicitation
c.
photo elicitation
d.
photo sorts
e.
artifact creation
(c; moderate; p. 171)
126.
What did the research that was described in the case at the end of the chapter reveal?
a.
LeapFrog was perceived to be a superior “toy” product because it was
educational.
b.
The army was perceived to be an organization where a young person could be an
individual.
c.
Personas are useful for advertisers when trying to understand their target
audience.
d.
Research validated the notion that what we understand as conscious thought
represents about 95 percent of all cognitive processes.
e.
Using neurological research, scientists concluded that different regions of
participants’ brains were activated when they tasted a cola while allowing them to
see the brand than when they were not allowed to see the brand, causing them to
have a higher preference for one of the brands only when they were aware of
which brand they were tasting.
(e; moderate; p. 176)
APPLICATION QUESTIONS: MINI-CASE MULTIPLE-CHOICE
Mike works in the marketing department of a consumer packaged goods manufacturer. His
primary responsibility is the marketing of a new brand of cereal that is targeted to women and
includes extra calcium and soy to help women avoid osteoporosis, which is a disease that
weakens bones later in life and affects primarily women. Much research was conducted before
this product was developed, but more is necessary to develop an advertising campaign. Mike is
working with an advertising agency to develop the advertising campaign.
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Chapter Six: Strategic Research
127.
Mini-Case Question. Before the advertising agency created any advertising for this new
brand of cereal, people working on the account started reading everything they could find
on the product, company, industry, and competition. This is known as ________
research.
a.
primary
b.
secondary
c.
tertiary
d.
qualitative
e.
quantitative
(b; moderate; p. 157)
128.
Mini-Case Question. The initial research conducted by Mike was used to identify women
who are in the market for cereals with these benefits in terms of their characteristics,
attitudes, interests, and motivation. What type of research did Mike conduct?
a.
market research
b.
consumer research
c.
advertising research
d.
IMC research
e.
strategy research
(b; moderate; p. 157)
129.
Mini-Case Question. The advertising agency used research to help develop the message
strategy. They conducted in-depth interviews with several women who were
representative of the client’s target market and asked them to evaluate the relative power
of various creative ideas. This type of research is known as ________.
a.
market research
b.
content analysis
c.
semiotic analysis
d.
concept testing
e.
copy testing
(d; moderate; p. 165)
130.
Mini-Case Question. The advertising agency also analyzed all media that is relevant to
the client’s target market. Not surprisingly, they found that the women they wanted to
reach with the advertising were heavy readers of health-related magazines, such as
Prevention and Health. However, they also found that these women were also heavy
readers of shelter magazines, such as Better Homes and Gardens and House Beautiful.
Which of the five ways research is used in advertising planning does this represent?
a.
market information
b.
consumer insight research
c.
media research
d.
message development
e.
evaluation research
(c; easy; p. 163)
367
Part Two: Planning and Strategy
APPLICATION QUESTIONS: SHORT-ANSWER
131.
Briefly describe the challenge facing LeapFrog, the educational toy manufacturer
highlighted in the chapter’s opening and closing vignettes.
Answer:
Mike Wood’s son was struggling with the concept of phonics. Mike searched for
products to help his son, but none existed. So he made up his own, and his son began to
understand the concept. Mike took his simple product and turned into a company, called
LeapFrog, which marketed educational toys for children, expanding into 134 learning
products. However, LeapFrog competed in a toy market dominated by large
manufacturers who enjoyed much larger sales and high consumer awareness. LeapFrog
conducted research to better understand the moms who buy educational toys for their
children and found that, regardless of her education level, these moms consistently valued
education highly and understood that stimulating children’s minds at the earliest age will
give them a better chance in life. They also conducted behavioral and psychographic
research to better understand these moms, which allowed them to tap into moms’ fears
and needs by offering an important solution to teaching young minds.
(moderate; pp. 155–156)
132.
Mark owns his own advertising agency and just won a new client’s account. Discuss two
sources of secondary research that might be of use to him as he conducts strategic
research.
Answer:
There are several sources of secondary research that students can discuss:
(1)
Government Organizations—Many of the statistics provided come from census
records on the population’s size, geographic distribution, age, income, occupation,
education, and ethnicity.
(2)
Trade Associations—Many industries support trade associations that gather and
distribute information of interest to association members.
(3)
Secondary Research Suppliers—Gather and organize existing information around
specific topic areas or other interested parties.
(4)
Secondary Information on the Internet—For any given company, you’re bound to
find a web site where you can learn about the company’s history and philosophy
of doing business, check out its complete product line, and discover who runs the
company.
(moderate; pp. 157–158)
368
Chapter Six: Strategic Research
133.
Jones and Smith Advertising Agency is in the early process of developing an advertising
plan for one of its new clients, a regional soft-drink manufacturer. What type of research
would you recommend Jones and Smith conduct at this stage of the process?
Answer:
Students can go a number of different directions in answering this question. For example,
they can discuss the role of qualitative research, market information, consumer
background research, consumer research, and/or development research.
(moderate; pp. 160 and 165)
134.
Name and describe two web sites for advertising research.
Answer:
Five web sites for advertising research are given in the “Practical Tips” box, any two of
which can be used to answer this question:
(1)
BrandEra (www.brandera.com)—Offers information by product category.
(2)
Business Wire (www.businesswire.com)—An electronic distributor of press
releases and business news.
(3)
Census Bureau (www.census.gov)—Contains the U.S. Census database, press
releases, a population clock, and clips from its radio broadcasts.
(4)
IndustryClick (www.industryclick.com)—A collection of business publications
categorized by industry.
(5)
Cluetrain (www.cluetrain.com)—A site that publishes new ways to find and share
innovative marketing information and ideas.
(difficult; p. 158)
135.
Describe the kind of information an advertiser can gain from Mediamark Research, Inc.
(MRI).
Mediamark Research, Inc. is technically a secondary data source. It conducts its own
original research, but they publish their findings, which are available to their clients, such
as advertisers. These reports are intended primarily for use in media planning; however,
because these surveys are so comprehensive, they also can be mined for unique consumer
information, which makes them a primary source. Through a program called Golddigger,
for example, an MRI subscriber can select a consumer target and ask the computer to find
all other products and services and all the media that members of the target segment use.
The resulting profile provides a vivid and detailed description of the target as a person,
which is what information agency creative teams need to help them envision their
audiences. Another example of the kind of information advertisers can gain from MRI are
the types of TV programs adults aged 18 to 34 watch, broken down into four market
segments based on size of household and age of children, if any.
(difficult; p. 160)
369
Part Two: Planning and Strategy
136.
Jeff is employed as an account planner for a major advertising agency. Briefly describe
what he does.
Answer:
Identifying the consumer insight is the responsibility of the account planner. Both the
creative team (which creates messages) and the media planners (who decide how and
when to deliver the messages) need to know as much as they can, in as much depth and
detail as possible, about the people they are trying to reach. The objective of most
consumer research is to puzzle out a key consumer insight that will help move the target
audience to respond to the message, and that’s the job of the planner to help determine.
(moderate; pp. 162–163)
137.
What problems did Burnett’s research uncover for the army, and what did they conclude
from them?
Answer:
Burnett’s research pointed to the following problems, some of which mirrored the results
of the army’s own study:
(1)
Perceptions of the Army—The army didn’t have a strong brand identity; it was
seen as faceless and a place for losers. The target market didn’t understand how
the army was different from the other services.
(2)
The “Be all you can be” theme—It was wearing out and losing its power. The
target market didn’t understand what it meant.
(3)
The Current “$50,000” Ads—Was seen as providing money for college and didn’t
appeal to many of the target audience who weren’t considering college.
The research concluded that the target market, as well as the rmy and its competitive
environment, had changed and a new message strategy was needed. The new army
needed highly trained individuals. The old campaign had lost its power to speak to
contemporary youth, who were concerned about giving up their individuality to the army.
The key insight gleaned from all the research was that the target audience’s need for
empowerment paralleled the army’s need for highly trained individuals who could think
for themselves as they operated the sophisticated new technology.
(moderate; p. 164)
138.
Jill is part of the creative team in the advertising agency developing the message for a
client’s account. Her job is to conduct tests to evaluate the relative power of various
creative ideas as well as the relative effectiveness of various approaches to the sales
message. What are these types of tests called?
Answer:
The former is known as concept testing, and the latter is known as copy testing.
(easy; p. 165)
370
Chapter Six: Strategic Research
139.
What is a persona, and how are businesses using them?
Answer:
A persona is a model of a customer’s goals, needs, attitudes, and behaviors distilled from
interviewing and observing real people in a market segment. The end result guides
designers and their clients by replacing dry data about “the customer” with a vivid profile
of a person. Personas are now being used to create marketing campaigns, sales training,
web sites, products, and even call center scripts.
(moderate; p. 167)
140.
Josh was told to conduct in-depth interviews with consumers to gain a better
understanding of their perceptions and feelings toward his company’s brand of facial
tissue. He’s only had experience conducting survey research and is not sure what an indepth interview actually is. Explain what it is, how it’s different from survey research,
and how it’s done.
Answer:
An in-depth interview is a qualitative method conducted one-on-one using open-ended
questions that require the respondents to generate their own answers. The primary
difference between an interview and a survey is the interview’s use of an unstructured
questionnaire. Interviews use a discussion guide, which outlines the areas to be covered
during the session; they tend to be much longer than surveys, with questions that are
usually very broad. Interviewers probe by responding to the answer with “Why did you
say that?” or “Can you explain in more detail?” Interviews are considered qualitative
because they typically use smaller sample sizes than surveys and their results are not
generalizable and subject to statistical tests.
(moderate; p. 168)
141.
Charmaine needs to conduct a focus group interview to get consumers’ reactions to
various advertising ideas. However, she does not have much time and she needs more indepth responses that she normally gets from a normal focus group interview. What would
you recommend Charmaine do to meet her needs?
Answer:
One alternative to a typical focus group is to use a friendship focus group, which uses a
comfortable setting, usually people’s homes, where the participants have been recruited
by the host. This approach is designed to break down barriers and save time in getting to
more in-depth responses.
(easy; p. 169)
371
Part Two: Planning and Strategy
142.
You work in an advertising agency and have been tasked with recommending some
imaginative ways to better understand consumers’ relationships to the brands they buy.
Briefly describe one of the more imaginative qualitative methods discussed in the
chapter.
Answer:
There are several more imaginative ways qualitative researchers are getting insights
about people’s relationships to the brands they buy, and students can discuss any one of
the following:
(1)
Fill-in-the-Blanks—A form of attitude research in which people fill in the blanks
in a story or balloons in a cartoon. Their perceptions will sometimes come to the
surface in the words they use to describe the action or situations depicted in the
visuals.
(2)
Purpose-driven Games—Used to see how people solve problems and search for
information. Games can make the research experience more fun and involving for
the participants. It uncovers problem-solving strategies that may mirror their
approach to information searching or the kinds of problems they deal with in
certain product situations.
(3)
Story Elicitation—Consumers are asked to explain the artifacts of their lives.
These stories can provide insights into how and why people use or do things.
(4)
Artifact Creation—Uses such ideas as life collages, day mapping, and the
construction of instruction books as ways to elicit stories that discuss brands and
their role in daily life.
(5)
Photo Elicitation—Similar to artifacts, visuals can be used to elicit consumer
thoughts and opinions. Sometimes consumers are asked to look at a set of visuals
or they are instructed to visually record something with a camera, such as a
shopping trip. Later, in reviewing the visuals, they are asked what the photo
brings to mind or to explain what they were thinking or doing at the time.
(6)
Photo Sorts—Consumers are asked to sort through a deck of photos and pick out
visuals that represent something, such as typical users of the product or situations
where it might be used.
(7)
Metaphors—Can enrich the language consumers use to talk about brands. A
metaphor says one thing—a brand, for example—is like something else. The
insight into how people perceive brands through such connections comes from
exploring the link between the two concepts.
(moderate; pp. 170–171)
372
Chapter Six: Strategic Research
143.
Cover Girl is a brand of cosmetics that can be purchased in major discount stores, drug
stores, and grocery stores. One of their largest target markets is college-aged women, and
they wanted to get a first-hand understanding of how this market purchases and uses
cosmetics on a daily basis. What type of research would be best at getting at this level of
understanding?
Answer:
Several qualitative research methods, such as focus group interviews, in-depth
interviews, and observation research could provide this insight. However, ethnographic
research, which involves the researcher in living the lives of the people being studied,
might give them even better insight. Perhaps Cover Girl can have a researcher become a
college student living in a dormitory, sorority, or apartment with other college women to
study the meanings, language, interaction, and behavior of the target market. This method
is particularly good at deriving a picture of a day in the life of a typical consumer.
(moderate; p. 169)
144.
You are conducting research and want to make sure that it adheres to the “scientific
method.” Discuss the two basic research criteria you need to be concerned about.
Answer:
The two basic research criteria are validity and reliability. Validity means that the
research actually measures what it says it measures. Any differences that are uncovered
by the research really reflect differences among individuals, groups, or situations.
Reliability means that you can run the same test again and get the same answer. Selecting
a sample that truly represents its population increases reliability. Poorly worded questions
and talking to the wrong people can hurt the validity of surveys and focus groups, for
example.
(moderate; pp. 171–172)
145.
How is new media technology challenging advertising researchers?
Answer:
(1)
(2)
(3)
Changes in media technology will alter the meaning and consequences of almost
all of our most familiar research constructs, such as involvement, brand equity,
attitude toward the ad, and so forth. As technology changes in the media unfold,
the old research measures will become increasingly invalid.
Media fragmentation—Researchers and planners must strive to develop message
strategies that enable media planners to reach consumers most effectively. That
includes using multiple product messages in multiple media vehicles.
Permission and Relationship Marketing—New media technology is also opening
the door to new ways to do both.
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Part Two: Planning and Strategy
(4)
Genuine Two-way Communication Opportunities—As consumers take charge of
more of their exposure opportunities through new media, researchers will have to
design messages to take advantage of these new opportunities.
(moderate; pp. 172–173)
146.
Describe the research featured in the “Hands On” case at the end of the chapter that
supports the premise that brands have power to influence consumers’ perceptions.
Answer:
Neurologists monitored the brain activity of participants as they sampled unmarked cups
of Coke and Pepsi over several trials and indicated their preference. The scientists
observed that participant brand activity was confined to “reward centers” associated with
reactions to the pleasurable taste of the beverages. The scientists also observed that the
participant preferences were evenly split between Coke and Pepsi. Then the scientists
changed the procedure a bit by clearly marketing the samples as Coke or Pepsi. Different
regions of the participants’ brains were now activated and “overrode” the reward center
responses that the researchers had observed earlier. And this new pattern of activity
seemed to change the participants’ sensory experience of the samples, because at the end
of the second wave of trials, respondents showed a decided preference for Coke,
choosing it 75 percent of the time.
(moderate; p. 176)
APPLICATION QUESTIONS: MINI-CASE SHORT ANSWER
374
239
Part Three: Effective Advertising Media
Kraft markets several consumer packaged goods products as well as appliances, such as
coffeemakers, and wants to get a better understanding of its target market and how competing
products are advertised. Their agency of record has conducted extensive research for them as
well as purchased information from research suppliers. They are also conducting background
research as well as using some imaginative qualitative methods to better understand Kraft’s
target market.
147.
Mini-Case Question. Name and describe some of the primary and secondary research
suppliers that Kraft and its agencies might have purchased information from.
Answer:
A. C. Nielsen, Simmons Market Research Bureau (SMRB), and Mediamark Research,
Inc (MRI) were discussed in this chapter. A. C. Nielsen will conduct primary research,
but it is lso a secondary research supplier (e.g., television ratings). SMRB and MRI
survey large samples of American consumers (approximately 30,000 for each survey) and
ask questions about the consumption, possession, or use of a wide range of products,
services, and media.
(moderate; pp. 159–160)
148.
Mini-Case Question. One research project had the objective of understanding
competitors’ advertisements. Name and describe the purpose of this type of background
research.
Answer:
The advertising audit might include only informal summaries of the slogans, appeals, and
images used most often, or they might include a more formal and systematic tabulation of
competitors’ approaches and strategies called a content analysis. By disclosing
competitors’ strategies and tactics, analysis of the content of competitive advertisements
provides clues to how competitors are thinking and suggests ways to develop new and
more effective campaigns.
(moderate; p. 165)
149.
Mini-Case Question. If Kraft wants to understand the deeper meanings consumers derive
from their competitors’ advertising, what type of research do you suggest and why?
Answer:
Semiotic analysis is a way to take apart the signs and symbols in a message to uncover
layers and types of meanings. The objective is to find deeper meanings in the symbolism
and meanings, particularly as they relate to different groups of consumers. Its focus is on
determining the meanings, even if they are not obvious or highly symbolic, that might
relate to consumer motivations.
(moderate; pp. 165–166)
240
Chapter Eight: Print and Out-of-Home Media
150.
Mini-Case Question. One research study used the Zaltman Metaphor Elicitation
Technique (ZMET) for the Kraft boxed macaroni and cheese product. Kraft learned that
their brand of boxed macaroni and cheese generated feelings of fun and love, not just
feelings of nutrition and fulfillment. Explain how Kraft, using this technique, uncovered
this information.
Answer:
The ZMET uses metaphors and visual images to uncover patterns in people’s thinking.
Respondents could have been asked to collect pictures that captured their feelings about
Kraft’s product from magazines, catalogs, or other printed materials. Then they discussed
the images in personal interviews. Finally, participants could have been asked to create a
summary image, such as a digital image, of their most important images and recorded a
statement that explained its meaning.
(difficult; p. 171)
CHAPTER SEVEN
Strategic Planning
GENERAL CONTENT: MULTIPLE-CHOICE QUESTIONS
602.
________ is the process of determining objectives, deciding upon strategies, and
implementing the tactics.
a.
Marketing planning
b.
Marketing research
c.
Strategic research
d.
Strategic planning
e.
Advertising planning
(d; moderate; p. 181)
603.
________ are what you want to accomplish with a strategic plan.
a.
Strategies
b.
Objectives
c.
Tactics
d.
Motives
e.
Ends
(b; easy; p. 181)
604.
________ determine how to accomplish objectives outlined in a strategic plan.
a.
Strategies
b.
Objectives
c.
Tactics
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Part Three: Effective Advertising Media
d.
Motives
e.
Ends
(a; easy; p. 181)
605.
________ make the strategic plan come to life.
a.
Strategies
b.
Objectives
c.
Tactics
d.
Motives
e.
Ends
(c; moderate; p. 181)
242
Chapter Eight: Print and Out-of-Home Media
606.
Strategic planning is a three-tiered process that starts with the ________.
a.
marketing plan
b.
initial investment
c.
business plan
d.
advertising plan
e.
goal formulation
(c; moderate; p. 182)
607.
Which concept means that the costs of conducting the business should be more than
matched by the revenue produced in return?
a.
marketing concept
b.
customer concept
c.
integrated marketing communications (IMC)
d.
integrated marketing (IM)
e.
return-on-investment (ROI)
(e; moderate; p. 182)
608.
For most organizations, strategic planning starts by ________.
a.
formulating a business mission statement
b.
identifying the target market
c.
determining the required return-on-investment
d.
conducting an internal and external environment analysis
e.
identifying the strategic business unit (SBU)
(a; moderate; pp. 182-183, Figure 7.2)
609.
The ________ plan parallels the business strategic plan and contains many of the same
steps.
a.
advertising
b.
marketing
c.
strategic business unit
d.
tactical
e.
semi-annual
(b; moderate; p. 183)
610.
A(n) ________ assesses the external and internal environments that affect the marketing
operations.
a.
market situation analysis
b.
point-in-time analysis
c.
internal/external analysis
d.
mission statement
e.
action plan
(a; easy; p. 183)
243
Part Three: Effective Advertising Media
Which analysis in the marketing planning process looks at the company’s history,
products, and brands, as well as the competitive environment, consumer trends, and other
marketplace trends that affect the product category?
a.
market situation analysis
b.
point-in-time analysis
c.
internal/external analysis
d.
mission statement analysis
e.
action plan analysis
(a; easy; p. 183)
611.
The percentage of the category purchases that are made by the brand’s customers is
known as ________.
a.
sales levels
b.
return-on-investment
c.
share of market
d.
share of voice
e.
category share
(c; easy; p. 184)
612.
613.
What is the most important part of the marketing plan for advertising managers?
a.
marketing objectives
b.
threats and opportunities
c.
marketing mix strategy
d.
evaluation and control
e.
situation analysis
(c; moderate; p. 184)
614.
A(n) ________ plan is more tightly focused than an annual advertising or IMC plan on
solving a particular marketing communication problem and typically includes a variety of
messages carried in different media and is sometimes targeted to different audiences.
a.
business
b.
marketing
c.
communications
d.
campaign
e.
strategic business unit
(d; moderate; p. 185)
615.
In which section of a typical advertising plan are media objectives, media vehicle
selection and budget allocations, and media scheduling stated?
a.
situation analysis
b.
key strategic decisions
c.
media strategy
d.
message strategy
e.
evaluation of effectiveness
(c; easy; p. 185)
244
Chapter Eight: Print and Out-of-Home Media
616.
In which section of a typical advertising plan are the advertising objectives, the target
audience, the brand position, the brand image and personality, and the budget specified?
a.
situation analysis
b.
key strategic decisions
c.
media strategy
d.
message strategy
e.
evaluation of effectiveness
(b; easy; p. 185)
617.
In which section of a typical advertising plan are key consumer insights, selling premise,
the big idea, and executions detailed?
a.
situation analysis
b.
key strategic decisions
c.
media strategy
d.
message strategy
e.
evaluation of effectiveness
(d; easy; p. 185)
618.
In a SWOT analysis, strengths and weaknesses are ________, and the opportunities and
threats are ________.
a.
primary; secondary
b.
internal; external
c.
secondary; primary
d.
external; internal
e.
long-term; short-term
(b; moderate; p. 186)
619.
In a SWOT analysis, a(n) ________ is an area in which the company could develop an
advantage over its competition.
a.
strength
b.
weakness
c.
opportunity
d.
threat
e.
leverage
(c; moderate; p. 186)
620.
In a SWOT analysis, a(n) ________ of a business are its positive traits, conditions, and
good situations.
a.
strength
b.
weakness
c.
opportunity
d.
threat
e.
leverage
(a; moderate; p. 186)
245
Part Three: Effective Advertising Media
621.
In a SWOT analysis, a(n) ________ is a trend or development in the environment that
will erode business unless the company takes action.
a.
strength
b.
weakness
c.
opportunity
d.
threat
e.
leverage
(d; moderate; p. 186)
622.
In a SWOT analysis, a(n) ________ of a business is a trait, condition, or situation that is
perceived as negative.
a.
strength
b.
weakness
c.
opportunity
d.
threat
e.
leverage
(b; moderate; p. 186)
623.
What kind of problems can advertising solve?
a.
product
b.
price
c.
perception
d.
availability
e.
all of the above
(c; moderate; p. 187)
624.
Which advertising and IMC strategy or strategies are commonly used to affect
perception?
a.
information
b.
attention and awareness
c.
emotions
d.
action
e.
image and symbols
(b; difficult; p. 188 [Figure 7.4])
625.
Which of the following is a requirement for a measurable objective?
a.
a specific effect that can be measured
b.
a time frame
c.
a baseline
d.
percentage change
e.
all of the above
(e; moderate; p. 189)
246
Chapter Eight: Print and Out-of-Home Media
626.
Which of the following is NOT a requirement for a measurable objective?
a.
a specific effect that can be measured
b.
a behavioral component
c.
a time frame
d.
a baseline
e.
percentage change
(b; moderate; p. 189)
627.
Determining what place a product should occupy in a given market is called ________.
a.
benchmarking
b.
targeting
c.
segmenting
d.
positioning
e.
competitive advantage
(d; moderate; p. 190)
In which marketing process is the objective to establish a location in the consumer’s mind
based on what the product offers and how that compares with the competition?
a.
benchmarking
b.
targeting
c.
segmenting
d.
positioning
e.
competitive advantage
(d; moderate; p. 190)
628.
In which type of analysis do you make a chart of your products and competitors’
products, list each product’s relevant features, evaluate how well the product and the
competitors’ products perform on that feature, and then evaluate how important each
feature is to the target audience?
a.
situation analysis
b.
positioning analysis
c.
feature analysis
d.
differential analysis
e.
market situation analysis
(c; moderate; p. 190)
629.
630.
________ lies where the product has a strong feature in an area that is important to the
target and the competition is weaker.
a.
Position
b.
Competitive advantage
c.
Differentiation
d.
Brand position
e.
Brand equity
(b; moderate; p. 190)
247
Part Three: Effective Advertising Media
Which strategy is designed to create product differences that distinguish the company’s
product from all others in the eyes of consumers?
a.
product differentiation
b.
competitive advantage
c.
feature analysis
d.
benchmarking
e.
objective-and-task method
(a; moderate; p. 190)
631.
632.
Products that really are the same, such as milk, unleaded gas, and over-the-counter drugs,
are referred to as ________ products.
a.
generic
b.
differentiated
c.
parity
d.
unpositioned
e.
positioned
(c; moderate; p. 191)
A location in a consumer’s mind where the product or brand is placed relative to its
competitors on the basis of the key factors the consumer uses to make a decision is
known as a ________.
a.
position
b.
differential advantage
c.
competitive advantage
d.
brand
e.
point
(a; moderate; p. 191)
633.
634.
What do planners use to compare positions of competitors?
a.
brand plot
b.
situation plot
c.
differential map
d.
perceptual map
e.
scree plot
(d; moderate; p. 191)
Advertising shapes the position of a brand, but what anchors it in the target audience’s
mind?
a.
personal experiences
b.
price
c.
distribution
d.
perceptions
e.
other marketing communication tools
(a; difficult; p. 193)
635.
248
Chapter Eight: Print and Out-of-Home Media
636.
Which of the following is NOT a common advertising budgeting method?
a.
historical method
b.
objective-task method
c.
consumer insight method
d.
percentage-of-sales method
e.
all you can afford
(c; moderate; pp. 193–194)
Which advertising budgeting method may simply be based on last year’s budget, with a
percentage increase for inflation or some other marketplace factor?
a.
historical method
b.
objective-task method
c.
competitive budgets
d.
percentage-of-sales method
e.
all you can afford
(a; moderate; p. 193)
637.
638.
Which advertising budgeting method develops the budget from the ground up so that
objectives are the starting point?
a.
historical method
b.
objective-task method
c.
competitive budgets
d.
percentage-of-sales method
e.
all you can afford
(b; easy; p. 193–194)
639.
Which advertising budgeting method compares the total sales with the total advertising
budget during the previous year or the average of several years to compute a percentage?
a.
historical method
b.
objective-task method
c.
competitive budgets
d.
percentage-of-sales method
e.
all you can afford
(d; easy; p. 194)
Which advertising budgeting method uses competitors’ budgets as benchmarks and
relates the amount invested in advertising to the product’s share of market?
a.
historical method
b.
benchmarking method
c.
competitive budgets
d.
percentage-of-sales method
e.
comparative budgets
(c; moderate; p. 194)
640.
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What concept represents the advertiser’s media presence?
a.
share of voice
b.
share of mind
c.
market share
d.
competitive share
e.
percent of sales
(a; moderate; p. 194)
641.
Typically, companies using which of the following advertising budgeting methods don’t
value advertising as a strategic imperative?
a.
historical method
b.
objective-task method
c.
competitive budgets
d.
percentage-of-sales method
e.
all you can afford
(e; moderate; p.194)
642.
643.
Which step of the advertising plan details the process by which the effectiveness of the
campaign is determined?
a.
situation analysis
b.
key strategic decisions
c.
media strategy
d.
message strategy
e.
evaluation of effectiveness
(e; easy; p. 194)
644.
Which of the following element(s) are at the heart of an advertising plan?
a.
consumer insight
b.
message strategy
c.
media strategy
d.
a and b
e.
a, b, and c
(e; moderate; pp. 194–195)
645.
________ is the research-and-analysis process used to gain knowledge and understanding
of the consumer, understanding that is expressed as a key consumer insight into how
people relate to a brand or product.
a.
Account planning
b.
Advertising planning
c.
Consumer planning
d.
Message planning
e.
Media planning
(a; moderate; p. 195)
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Chapter Eight: Print and Out-of-Home Media
646.
Who in an advertising agency uses the research-and-analysis process to research a brand
and its customer relationships in order to devise advertising message strategies that are
effective in addressing consumer needs and wants?
a.
account manager
b.
account planner
c.
media director
d.
creative director
e.
research director
(b; moderate; p. 195)
Who in an advertising agency is often described as “speaking for the consumer” or
“speaking with the voice of the consumer”?
a.
account manager
b.
account planner
c.
media director
d.
creative director
e.
research director
(b; moderate; p. 195)
647.
648.
Which of the following is NOT considered a task performed by an account planner?
a.
Understand the meaning of the brand.
b.
Articulate communication strategies.
c.
Evaluate the effectiveness of the communication in terms of how the target reacts
to it.
d.
Prepare creative briefs based on an understanding of the consumer and the brand.
e.
All of the above are considered tasks performed by an account planner.
(e; moderate; p. 195)
649.
Which of the following is considered a task performed by an account planner?
a.
Understand the meaning of the brand.
b.
Articulate communication strategies.
c.
Evaluate the effectiveness of the communication in terms of how the target reacts
to it.
d.
Prepare creative briefs based on an understanding of the consumer and the brand.
e.
all of the above
(e; moderate; p. 195)
650.
What is at the core of all account planning?
a.
consumer research
b.
media plans
c.
message strategies
d.
account management
e.
all of the above
(a; moderate; p. 195)
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651.
Who in an advertising agency has been compared to a social anthropologist because he or
she is in touch with cultural and social trends and understands how they take on relevance
in people’s lives?
a.
account manager
b.
account planner
c.
media director
d.
creative director
e.
research director
(b; moderate; p. 195)
652.
What is the fuel that fires the ideas for an account planner?
a.
consumer insight
b.
increasing trends
c.
critical thinking
d.
creative thinking
e.
creative brief
(a; difficult; p. 195)
What is the greatest challenge for an account planner that has been described as “peering
into nooks and crannies without losing sight of the big picture in order to identify a key
insight that can transform a client’s business”?
a.
consumer insight
b.
critical thinking
c.
creative thinking
d.
insight mining
e.
insight analysis
(d; difficult; p. 196)
653.
654.
Which of the following is NOT considered an important dimension that account planners
seek to understand in planning brand strategies?
a.
the brand relationship
b.
perceptions
c.
media usage
d.
the promise
e.
the point of differentiation
(c; difficult; p. 198)
655.
The outcome of strategic research usually reaches agency creative departments in the
form of a strategy document called a ________.
a.
communication brief
b.
research brief
c.
strategy brief
d.
message brief
e.
competitive brief
(a; moderate; p. 198)
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656.
The outcome of strategic research usually reaches agency creative departments in the
form of a strategy document called a ________.
a.
creative brief
b.
research brief
c.
strategy brief
d.
message brief
e.
competitive brief
(a; moderate; p. 198)
657.
Which document explains the consumer insight and summarizes the strategy decisions,
such as position, targeting, objectives, and brand strategy?
a.
creative brief
b.
research brief
c.
strategy brief
d.
message brief
e.
competitive brief
(a; moderate; p. 198)
658.
Which of the following is included in a communication brief?
a.
proposition or selling idea
b.
problem
c.
target audience
d.
brand imperatives
e.
all of the above
(e; easy; p. 198)
Which element of the communication brief details the brand’s essence, personality, and
image?
a.
brand position
b.
problem
c.
target audience
d.
brand imperatives
e.
proposition or selling idea
(d; moderate; p. 198)
659.
660.
Which element of the communication brief states the single-minded thought that the
communication will bring to life in a provocative way?
a.
brand position
b.
problem
c.
creative direction
d.
brand imperatives
e.
proposition or selling idea
(e; moderate; p. 198)
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661.
Which element of the communication brief provides the reason to believe the
proposition?
a.
brand position
b.
support
c.
creative direction
d.
brand imperatives
e.
proposition or selling idea
(b; moderate; p. 198)
662.
What is the difference between an advertising plan and an IMC plan?
a.
the time frame of the plan
b.
the amount of research conducted to develop the plan
c.
the scope of the plan and the variety of marketing communication areas involved
in the effort
d.
the formality of the plan
e.
none of the above
(c; moderate; p. 199)
663.
Which of the following does NOT represent an area where an IMC plan is different from
an advertising plan?
a.
stakeholders
b.
time frame
c.
contact points
d.
objectives
e.
all of the above
(b; moderate; p. 200)
664.
________ refers to any group of people who have a stake in the success of a company or
a brand.
a.
Shareholder
b.
Stakeholder
c.
Contact point
d.
Target group
e.
Market segment
(b; moderate; p. 200)
665.
Support from employees for marketing, advertising, and marketing communication
programs is managed through an activity called ________.
a.
internal public relations
b.
internal relations
c.
internal marketing
d.
internal contact points
e.
internal objectives
(c; moderate; p. 200)
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666.
Employees, customers, shareholders, and elected officials are all examples of ________.
a.
contact points
b.
the internal audience
c.
the audience
d.
stakeholders
e.
interested parties
(d; moderate; p. 200)
667.
________ are all the ways and places where a person can come into contact with a brand;
all the points where a message about the brand is delivered.
a.
Stakeholders
b.
Contact points
c.
IMC points
d.
Contact levels
e.
Internal points
(b; moderate; p. 200)
668.
Contact points, which are all the ways and places where a person can come into contact
with a brand or all the points where a message about the brand is delivered, are also
called ________.
a.
internal points
b.
critical points
c.
stake points
d.
objective points
e.
touch points
(e; moderate; p. 200)
669.
Increase sales, attract attention at selection point, deliver product information, or create
brand reminder are typical objectives for which marketing communication area?
a.
public relations
b.
direct marketing
c.
packaging
d.
specialties
e.
all of the above
(c; moderate; p. 201 [Table 7.4])
670.
Which of the following is NOT a typical objective for public relations?
a.
encourage repeat purchase
b.
announce news
c.
affect attitudes and opinions
d.
maximize credibility and likeability
e.
create and improve stakeholder relationships
(a; moderate; p. 201 [Table 7.4])
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Part Three: Effective Advertising Media
671.
Which of the following is a typical objective of consumer sales promotion?
a.
announce news
b.
build industry acceptance
c.
push through the channel
d.
create pull through the channel
e.
all of the above
(d; moderate; p. 201 [Table 7.4])
GENERAL CONTENT: TRUE/FALSE QUESTIONS
672.
Market planning is the process of determining objectives, deciding on strategies, and
implementing the tactics to occur within a specified time frame.
(False; moderate; p. 181)
673. Marketing planning occurs subsequent to corporate strategic planning.
(True; moderate; p. 182)
674.
A business plan may cover a specific division of the company or a strategic business unit,
such as a line of products or all the offerings under a single brand name.
(True; moderate; p. 182)
675.
The business planning process starts with a business mission statement that is unique,
focused, and differentiating, one that supports the broad goals and policies of the business
unit.
(True; easy; p. 183)
676.
A market situation analysis assesses the external and internal environments that affect the
marketing operations.
(True; moderate; p. 183)
677. The objectives at the marketing level tend to be focused on return-on-investment.
(False; moderate; p. 184)
678.
For advertising managers, the most important part of the marketing plan is the marketing
mix strategy.
(True; moderate; p. 184)
679.
A typical advertising or IMC plan includes a situation analysis, key strategic decisions,
media strategy, message strategy, other tools (in an IMC plan), and evaluation of
effectiveness.
(True; moderate; p. 185)
680.
The situation analysis of a typical advertising or IMC plan includes background research,
a SWOT analysis, and key advertising problems to be solved.
(True; moderate; p. 185)
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Chapter Eight: Print and Out-of-Home Media
681.
Key strategic decisions in a typical advertising plan include media objectives, media
vehicle selection and budget allocation, media scheduling, key consumer insight, and the
selling premise.
(False; moderate; p. 185)
682.
In strategic planning the idea is to leverage the strengths and opportunities and to ignore
or avoid the weaknesses and threats.
(False; moderate; p. 186)
683.
Analysis of SWOTs means finding ways to address the weaknesses and threats and
leverage the strengths and opportunities.
(True; moderate; p. 186)
684.
A strength is an area in which the company could develop an advantage over its
competition.
(False; difficult; p. 186)
685.
Advertising planners must analyze the market situation for any communication problems
that affect the successful marketing of a product, as well as opportunities that advertising
can create or exploit.
(True; easy; p. 187)
686.
Advertising can solve only message-related problems such as image, attitude, perception,
and knowledge or information.
(True; moderate; p. 187)
687.
Advertising can affect the way consumers perceive price, availability, and quality, but it
cannot solve problems related to the price of the product, availability, or quality.
(True; easy; p. 187)
688. For advertising to be truly effective, it must focus on only one effect at a time.
(False; moderate; p. 188)
The advertiser’s basic assumption is that advertising works if it creates an impression,
influences people to respond, and separates the brand from the competition.
(True; moderate; p. 188)
689.
690. Benchmarked means using a comparable effort to predict a logical goal.
(True; moderate; p. 189)
691. The market segments the planner selects become the target audience.
(True; moderate; p. 189)
692.
The first step in crafting a position is to identify the importance and performance of your
brand to determine competitive advantage.
(False; moderate; p. 190)
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693.
A product must be differentiated on tangible differences for it to create long-lasting
product differentiation.
(False; difficult; p. 191)
A position is a location in a consumer’s mind where the product or brand is placed
relative to its competitors on the basis of the key factors the consumer uses to make a
decision.
(True; moderate; p. 191)
694.
695. Positioning represents one of advertising’s most critical tasks.
(True; moderate; p. 193)
696.
The historical method of advertising budgeting compares the total sales with the total
advertising budget during the previous year or the average of several years to compute a
percentage.
(False; moderate; p. 193)
697.
Companies using the all-you-can-afford method of advertising budgeting do not value
advertising as a strategic imperative.
(True; moderate; p. 194)
An advertiser’s “share of voice” is determined by comparing the amount spent on
advertising to the advertiser’s sales.
(False; moderate; p. 194)
698.
699.
Account planning is the research-and-analysis process used to gain knowledge and
understanding of the consumer, understanding that is expressed as a key consumer insight
into how people relate to a brand or product.
(True; moderate; p. 195)
700.
The outcome of strategic research usually reaches agency creative departments in the
form of a strategy document called a message brief.
(False; moderate; p. 198)
701.
Under the brand position section of a communication brief, the brand essence, brand
personality, and image are described.
(False; moderate; p. 198)
702.
The proposition or selling idea component of a communication brief describes the singleminded thought that the communication will bring to life in a provocative way.
(True; difficult; p. 198)
703.
Employees, investors, government bodies, and business partners are examples of
corporate level stakeholders.
(True; moderate; p. 200 [Table 7.3])
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Chapter Eight: Print and Out-of-Home Media
704.
Synergistic points are all the ways and places where a person can come into contact with
a brand.
(False; moderate; p. 200)
705.
Typical objectives for public relations include to announce news, affect attitudes and
opinions, maximize credibility and likeability, and create and improve stakeholder
relationships.
(True; moderate; p. 201 [Table 7.4])
706.
Typical objectives for point-of-purchase displays are to increase immediate sales,
attraction attention at the decision point, create interest, stimulate urgency, and encourage
trial and impulse purchasing.
(True; moderate; p. 201 [Table 7.4])
GENERAL CONTENT: ESSAY QUESTIONS
707.
Compare and contrast a corporate strategic plan, a marketing plan, and an advertising
plan.
Answer:
Strategic planning is a three-tiered process that starts with the business plan, then moves
to functional areas of the company such as marketing where a marketing plan is
developed that outlines objectives, strategies, and tactics for all areas of the marketing
mix. Both the business plan and the marketing plan contribute direction to specific plans
for specialist areas, such as advertising and other areas of marketing communication.
A business plan may cover a specific division of the company or a strategic business unit.
The objectives for planning at this level tend to focus on maximizing profit and ROI. To
a large extent, the marketing plan parallels the business strategic plan and contains many
of the same components. Finally, advertising planning operates with the same concern for
objectives, strategies, and tactics that are outlined for business and marketing plans.
(moderate; pp. 182–184)
708.
Describe the components and purpose of a SWOT analysis.
Answer:
The primary tool used to make sense of information is a SWOT analysis, which stands
for strengths, weaknesses, opportunities, and threats. The strengths and weakness are
internally focused and the opportunities and threats lie in the external marketing
environment. In strategic planning, the idea is to leverage the strengths and opportunities
and address the weaknesses and threats, which is how the key problems and opportunities
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are identified. More specifically, the components of the SWOT analysis are:
(1)
Strengths—A business’s positive traits, conditions, and good situations.
(2)
Weaknesses—A business’s traits, conditions, and situations that are perceived as
negatives.
(3)
Opportunity—An area in which the company could develop an advantage over its
competition.
(4)
Threat—A trend or development in the environment that will erode business
unless the company takes action.
(easy; p. 186)
709.
Name and describe the five common advertising budgeting methods.
Answer:
The five advertising budgeting methods are:
(1)
Historical —Bases a budget on last year’s budget, perhaps with a percentage
increase for inflation or some other marketplace factor. Though easy, it has little
to do with reaching advertising objectives.
(2)
Objective-Task —Looks at the objectives for each activity and determines the
cost of accomplishing each objective. The advantage of this method is that it
develops the budget from the ground up so that objectives are the starting point.
(3)
Percentage-of-Sales —Compares the total sales with the total advertising budget
during the previous year or the average of several years to compute a percentage.
(4)
Competitive Budgets—Uses competitors’ budgets as benchmarks and relates the
amount invested in advertising to the product’s share of market. This suggests that
the advertiser’s share-of-advertising voice affects the share of attention the brand
will receive, and that, in turn, affects the market share the brand can obtain.
(5)
All You Can Afford—Allocate whatever is left over to advertising. It’s not really
a method, but rather a philosophy, and companies using this approach don’t value
advertising as a strategic imperative.
(moderate; pp. 193–194)
710.
What is account planning, and explain the account planner’s tasks.
Answer:
Account planning is the research-and-analysis process used to gain knowledge and
understanding of the consumer, understanding that is expressed as a key consumer insight
into how people relate to a brand or product. An account planner, then, is a person in an
agency who uses this disciplined system to research a brand and its customer
relationships in order to devise advertising (and other marketing communication)
message strategies that are effective in addressing consumer needs and wants. The
account planner’s tasks involve:
(1)
Understand the meaning of the brand.
(2)
Understand the target audience’s relationship to the brand.
(3)
Articulate communication strategies.
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(4)
(5)
Prepare creative briefs based on understanding of consumer and brand.
Evaluate the effectiveness of the communication in terms of how the target reacts
to it.
(difficult; p. 195)
711.
Name and describe the eight components of the communication brief that were given in
the Communication Brief Outline that is used at Ogilvy and Mather.
Answer:
The communication brief includes the following components:
(1)
Problem—What’s the problem that communication can solve?
(2)
Target Audience—Who do we want to speak to?
(3)
Brand Position—What are the important features? What’s the point of
competitive advantage? What’s the brand’s position relative to competition?
(4)
Brand Imperatives—Brand essence, brand personality, and image.
(5)
Communication Objectives—What do we want them to do in response to our
message?
(6)
Consumer Insight—What motivates the target? What are the “major truths” about
the target’s relationship to the product category or brand?
(7)
The Proposition or Selling Idea—What is the single-minded thought that the
communication will bring to life in a provocative way?
(8)
Support—What is the reason to believe the proposition?
(difficult; p. 198)
APPLICATION QUESTIONS: MULTIPLE-CHOICE QUESTIONS
What was the challenge discussed in the chapter’s opening vignette facing Citizens Bank
after their merger with Mellon Bank?
a.
The problem was to convince the public that Citizens does not hold a banking
monopoly.
b.
The problem was to stabilize Citizens’ vulnerable, dissatisfied customer base long
enough for Mellon to demonstrate its superior customer service.
c.
The problem was to stabilize Mellon’s vulnerable, dissatisfied customer base long
enough for Citizens to demonstrate its superior customer service.
d.
The problem was to convince the customers of both banks that the merged bank
had enough assets to weather the tough economic environment facing them.
e.
The problem was to convince the financial community of the financial stability of
the merged banks.
(c; moderate; p. 179)
712.
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Part Three: Effective Advertising Media
Which of the following was NOT an objective of Citizen Bank’s “Not Typical”
campaign, which was described in the chapter’s opening vignette?
a.
minimize customer attrition keeping it under 10 percent
b.
quickly build awareness through advertising
c.
increase the number of customers by 10 percent
d.
reduce customers’ intentions to leave the bank
e.
all of the above
(c; difficult; pp. 179–180)
713.
The following statement appeared in an organization’s business plan: “Quick and Dirty
Auto Repair aims to offer high-quality auto repair services and a full range of auto parts.
QDAR focuses on personalized service to its customers by offering convenience and
rapid service. Additionally, QDAR is technologically savvy with computerized
monitoring of all parts inventory, to ensure that parts are always in stock, while keeping a
balanced level of inventory to maximize inventory turnover. Finally, QDAR has strong
vendor relationships with the most service-conscious vendors who are capable of
shipping major parts rapidly (on an overnight timeline in most cases).” Which part of a
business plan does this represent?
a.
business objectives
b.
business mission
c.
marketing objectives
d.
business goals
e.
business strategy
(b; moderate; p. 183)
714.
Adam is assisting in the development of his company’s marketing plan, and he has been
assigned to assess the external and internal environments that affect the marketing
operations. He will be looking at the company’s history, products, and brands, as well as
the competitive environment, consumer trends, and other marketplace trends that affect
the product category. What type of analysis is Adam conducting?
a.
business analysis
b.
competitive analysis
c.
internal/external analysis
d.
market situation analysis
e.
category analysis
(d; moderate; pp. 183–184)
715.
Tony developed the following objective for his advertising plan: “Increase market share
in the consumer market from 10 percent to 15 percent in one year.” What is wrong with
this advertising plan objective?
a.
It is an objective more appropriate for a marketing plan.
b.
It does not have a specific effect that can be measured.
c.
The goal is not realistic.
d.
It does not include a time frame.
e.
It does not provide a percentage change.
(a; difficult; p. 184)
716.
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717.
Kenisha just started working at a major consumer packaged goods manufacturer, and her
duties entail assisting in the development of the advertising plan. She has been given her
company’s business and marketing plans to help her prepare the advertising plan. From
her perspective, which part of which plan is most important?
a.
the marketing mix strategy of the marketing plan
b.
the business mission statement of the business plan
c.
the marketing mix strategy of the business plan
d.
the target market section of the marketing plan
e.
the threats and opportunities section of the business plan
(a; difficult; p. 184)
Newman’s Own is a brand of salad dressings, and several of the dressings in its product
line are low in carbohydrates. In 2004, low-carbohydrate dieting became the craze among
consumers, with millions supposedly following a low-carb lifestyle. In their print
advertising, Newman’s Own featured the fact that several of their dressings are low in
carbohydrates. In terms of a SWOT analysis, the low-carb diet trend among consumers
represents a(n) ________.
a.
strength
b.
weakness
c.
opportunity
d.
threat
e.
all of the above
(c; moderate; p. 186)
718.
Newman’s Own is a brand of salad dressings, and several of the dressings in its product
line are low in carbohydrates. In 2004, low-carbohydrate dieting became the craze among
consumers, with millions supposedly following a low-carb lifestyle. In their print
advertising, Newman’s Own featured that fact that several of their dressings are low in
carbohydrates. In terms of a SWOT analysis, the fact that the brand was low in
carbohydrates represents a(n) ________.
a.
strength
b.
weakness
c.
opportunity
d.
threat
e.
all of the above
(a; moderate; p. 186)
719.
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What strategy did Rubin coffee, which was described in “The Inside Story,” pursue to
reach its marketing objective of increasing sales 55 percent?
a.
Transfer the brand image of Rubin coffee from the daily market to the upscale
market.
b.
Transfer the brand image of Rubin coffee to other product categories of breakfast
food items.
c.
Convince customers of a competitor’s brand to switch to Rubin coffee.
d.
Transfer the brand image of Rubin coffee from the upscale to the daily market.
e.
Convince more women to drink the Rubin brand because their current brand-loyal
customers were men.
(d; moderate; p. 192)
720.
At what market was the Rubin coffee campaign, which was described in “The Inside
Story,” directed?
a.
nondrinkers of coffee
b.
heavy coffee drinkers
c.
people who switched among several brands of coffee
d.
women
e.
young professionals
(b; moderate; p. 192)
721.
As described in “A Matter of Practice,” what problem did KFC uncover?
a.
KFC have very little brand loyalty among British consumers, so much so that they
had very little to say about it.
b.
British consumers perceived KFC to be “soul food,” which carried negative
connotations among these consumers.
c.
KFC was perceived by British consumers to be of inferior quality and too
expensive compared to other fast food restaurants.
d.
KFC was perceived by British consumers to be unhealthier than other “junk food”
restaurants because the chicken is fried.
e.
British consumers were leaning more toward vegetarianism and didn’t want to eat
chicken.
(a; moderate; p. 196)
722.
As described in “A Matter of Practice,” what does “soul food” mean to the British
consumer?
a.
It is linked to American black culture.
b.
It is limited to America and has a negative connotation.
c.
It is limited to America and has a positive connotation.
d.
It means “comfort food” that satisfies not just the stomach, but also the head,
heart, and soul.
e.
It is not limited to America, black culture, or the South, and most cultures contain
something equivalent to soul food and many are composted of beef.
(d; moderate; p. 196)
723.
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123.
Carrie is trying to describe the unique personality for the brand that the creative team in
her advertising agency will be developing ads for. She’s trying to put into words the
brand’s essence, its personality, and image. In which component of the communication
brief will this information be included?
f.
problem
g.
target audience
h.
brand position
i.
brand imperatives
j.
brand synopsis
(d; moderate; p. 198)
124.
Which of the following is NOT a characteristic of a good account planner?
a.
curiosity about what makes people act and think the way they do
b.
questioning—accepting nothing at face value
c.
must like a formal, highly structured work environment
d.
eclectic information searcher—desire to draw on all types and sources of
information
e.
able to describe a target audience without relying on demographics
(c; moderate; p. 199)
Which of the following statements is true regarding the results of Citizens Bank’s
advertising campaign, which was described in the chapter’s opening and closing
vignettes?
a.
During the six-month period of the merger, Mellon Bank experienced virtually no
customer attrition and the bank enjoyed a net increase in deposits.
b.
During the three-month period leading up to opening day, the proportion of
Mellon customers likely to switch banks was reduced to zero.
c.
The integrated communication efforts helped drive Citizen’s awareness in the new
market from zero to more than 75 percent in just a few short weeks.
d.
The integrated communication effort fell short of its objectives in that more than
25 percent of Mellon Bank customers switched to another bank.
e.
Although Mellon Bank customers were satisfied, it turned out that Citizens
Bank’s customers were increasingly dissatisfied.
(a; difficult; p. 201)
125.
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Part Three: Effective Advertising Media
According the case at the end of the chapter, entitled “Unscrambling the NASCAR Fan,”
how did Josh Linkler get information to better understand the NASCAR audience?
a.
He combined information from several secondary data sources, such as A.C.
Nielsen, Mediamark, and Simmons, to devise a NASCAR fan persona.
b.
He conducted several focus group interviews with NASCAR fans right at the
races by providing them prizes for participating.
c.
He devised a promotion where NASCAR fans were given an “e-decoder” device
to compare with a code given on a web site to see if they are winners of prizes,
and they could do this daily with the provision that they gave a small amount of
personal information each time they played.
d.
He devised a promotion in which one NASCAR fan was announced as a winner at
each race, but to enter the promotion, participants had to give personal
information.
e.
He used several different promotion tools, such as sweepstakes, contests, games,
and premiums to get NASCAR fans to provide personal information in order to be
eligible for prizes.
(c; moderate; p. 203)
126.
APPLICATION QUESTIONS: MINI-CASE MULTIPLE-CHOICE
Susan is working on the advertising plan for her company’s brand of shampoo named Silkience.
She has conducted a SWOT analysis and learned that her company enjoyed a strong financial
position and has good working relations with the resellers of their brands. The primary target
customers for this brand is women between the ages of 35 and 50, and demographic analysis
indicates that this age demographic will grow in double digits over the next 10 years. Silkience
targets women who may be having concerns about graying hair, and it is a gentle shampoo that
will not wash out color, especially semi-permanent color that women of this age tend to use.
However, she also learned that the target customers do not perceive her company’s brand of
shampoo as a brand for them but rather for a younger consumer because their previous ads
tended to use younger-looking models. There was also nothing in the previous advertising
campaigns that really explained the benefits of their brand, such as suggesting that it was gentler
for semi-permanent-colored hair.
127.
Mini-Case Question. In terms of the SWOT analysis, the fact that the demographic
analysis indicated that this age group of women will increase considerably in the next 10
years represents a(n) ___________.
a.
strength
b.
weakness
c.
opportunity
d.
threat
e.
growth potential
(c; moderate; p. 186)
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Chapter Eight: Print and Out-of-Home Media
Mini-Case Question. The place in consumers’ minds that placed Silkience among other
brands targeted to younger women represents Silkience’s ________.
a.
position
b.
competitive advantage
c.
competitive disadvantage
d.
product differentiation
e.
perceptual map
(a; moderate; p. 191)
128.
129.
Mini-Case Question. Silkience really is different from other shampoos because it so
gentle that it does not fade semi-permanent hair color, allowing a woman to go for a
longer period time before having to color her hair again. What does this product attribute
represent?
a.
opportunity
b.
product differentiation
c.
brand position
d.
brand essence
e.
brand imperative
(b; moderate; p. 190)
Mini-Case Question. To determine the advertising budget, Susan divided last year’s
advertising expenditures by last year’s sales and then multiplied that by this year’s sales
forecast. Which advertising budgeting method did Susan use?
a.
historical method
b.
objective-task method
c.
percentage-of-sales method
d.
all-you-can-afford method
e.
competitive budgeting method
(c; easy; p. 194)
130.
APPLICATION QUESTIONS: SHORT-ANSWER
131.
What was the challenge facing Citizens Bank after it purchased Mellon Bank?
Answer:
Mellon’s customers had been dissatisfied for years and were more likely to switch banks
than the customers of other banks in the region. Citizens Bank had a strong reputation for
outstanding customer service in its home market, but this reputation hadn’t reached the
Mellon market. The problem then was to stabilize Mellon’s vulnerable, dissatisfied
customer base long enough for Citizens to demonstrate its superior customer service.
(moderate; p. 179)
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Part Three: Effective Advertising Media
132.
What were the objectives of Citizens Bank’s advertising campaign, how did they
implement them, and what were the results?
Answer:
Mellon’s customers had been dissatisfied for years and were more likely to switch banks
than the customers of other banks in the region. Citizens Bank had a strong reputation for
outstanding customer service in its home market, but this reputation hadn’t reached the
Mellon market. The problem then was to stabilize Mellon’s vulnerable, dissatisfied
customer base long enough for Citizens to demonstrate its superior customer service. The
objectives were:
(1)
Minimize customer attrition during the acquisition, keeping it under 10 percent.
(2)
Quickly build awareness through advertising.
(3)
Reduce customers’ intentions to leave the bank.
Citizens used a customer-focused philosophy by saying it was “Not your typical bank,”
and stressed their superior customer service. They developed an extensive promotion for
opening days in Philadelphia and Pittsburgh, offering free transit rides, coffee, pastries,
meter feeders, and squeegee squads to let customers experience first-hand the atypical
level of customer service. They even filmed and edited four documentary-style TV spots
capturing customers and employees reacting to the opening day events in time to air on
that evening’s news.
Results:
(1)
During the six-month period of the merger, Mellon Bank and Citizens Bank
experienced virtually no customer attrition and the bank enjoyed a net increase in
deposits, a response that is nearly unheard of in a bank acquisition.
(2)
The integrated communications efforts helped drive Citizens’ awareness in the
new market from zero to 31 percent in just a few short weeks, and to 60 percent
by opening day.
(3)
During the three-month period leading up to opening day, the proportion of
Mellon customers likely to switch banks was cut in half and continued to drop
through the next six months.
(difficult; pp. 179–181)
133.
Distinguish among strategic planning, strategies, and tactics.
Answer:
Strategic planning is the process of determining objectives (what you want to
accomplish), deciding on strategies (how to accomplish the objectives), and
implementing the tactics (which make the plan come to life).
(easy; p. 181)
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Chapter Eight: Print and Out-of-Home Media
134.
Sarah is trying to think of ways to better define the marketing problem she is facing. List
three “What’s going on?” type questions that might be helpful to Sarah in defining the
marketing problem.
Answer:
Students can give any three of the following:
(1)
What is happening with the brand and the category?
(2)
How is it happening?
(3)
Where is it happening?
(4)
When is it happening?
(5)
To whom is it happening?
(moderate; p. 184)
135.
Richard is tasked with developing the IMC plan for his family’s business. Give a general
outline of the major components of the plan.
Answer:
A typical outline for an IMC plan includes the following: (1) situation analysis, (2) key
strategic decisions, (3) media strategy, (4) message strategy, (5) other tools, and (6)
evaluation of effectiveness.
(easy; p. 185)
136.
Fiona was given the information learned in the situation analysis and was tasked with
developing the next component of an advertising plan. List the elements that she needs to
include in this part of the plan.
Answer:
After the situation analysis, key strategic decisions need to be determined. Specifically,
Fiona needs to determine the advertising objectives and strategies, the target audience,
the brand position (product features and competitive advantage), brand image and
personality, and finally, the budget.
(moderate; p. 185)
137.
Nokia is known as a leader in the cell phone market, but some of their ads for the Nokia
6200 model don’t even mention the fact that it is a phone and instead feature the personal
organizer features of the phone. Why do you think Nokia is doing this?
Answer:
Nokia is trying to reposition this phone not as a phone but as a personal organizer that
also can be a phone. Determining what place a product should occupy in a given market
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Part Three: Effective Advertising Media
is called positioning, and the objective is to establish a location in the consumer’s mind
based on what the product offers and how that compares with the competition.
(easy; p. 190)
138.
Describe how Rubin coffee, described in “The Inside Story,” attempted to reposition its
brand.
Answer:
The market was stagnant and coffee drinking was transferring from homes to cafes. To
increase sales and infuse the brand with new life, a risky strategic decision was made to
transfer the brand image of Rubin coffee from the upscale to the daily market. At the
same time it was important to attract more men to the brand, without losing women
buyers as research showed that men were the driving force in the daily market. The goal
was to change the brand image without scaring away existing buyers. After researching
the coffee market, they decided to direct their message at heavy coffee drinkers because
they would need to convert fewer people that way to increase sales. One solution was to
create micromarkets within the coffee market and their target groups and tie their brand
to them. They then attempted to steer those micromarkets and combine them in a larger
market until they had one big target market, which was big enough to bring them
economies of scale in advertising. They started with media with small specific reach and
gradually moved upward to media with high reach. The big idea in all the messages,
though, was “Without Rubin?” to connect on an emotional level and pair Rubin coffee to
everyday scenes where the target audience would want coffee. The campaign was
successful, increasing sales almost 70 percent, with 85 percent of the increased usage
coming from heavy users. Male usage went from 48 percent to 57 percent.
(moderate; p 192)
139.
Caroline needs to develop the advertising budget for her marketing group’s brand. She
wants to use a method that is the best and most defensible. Which method should she
use?
Answer:
The objective-task method looks at the objectives for each activity and determines the
cost of accomplishing each objective. This method’s advantage is that it develops the
budget from the ground up so that objectives are the starting point, which makes it easier
to justify than the other budgeting methods because they are not tied directly to the
objectives.
(moderate; pp. 193–194)
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Chapter Eight: Print and Out-of-Home Media
140.
Eric is the account planner in a major advertising agency. What three elements are at the
heart of an advertising plan and represent the decisions Eric is responsible for as the
account planner?
Answer:
These three elements are at the heart of an advertising plan and the agency’s planner is
responsible for making the following decisions:
(1)
Consumer Insight—Whom are you trying to reach and what insight do you have
about how they think, feel, and act? How should they respond to your advertising
message?
(2)
Message Strategy—What do you say to them? What directions come from the
consumer research that are useful to the creative team?
(3)
Media Strategy—How and where will you reach them? What directions come
from the consumer research that are useful to the media team?
(moderate; pp. 194–195)
141.
You notice that an advertising agency is recruiting on your campus and that one of the
job positions they are seeking to fill is “account planner.” What should be included in the
job description that explains an account planner’s tasks?
Answer:
The account planner’s tasks are as follows:
(1)
Understand the meaning of the brand.
(2)
Understand the target audience’s relationship to the brand.
(3)
Articulate communication strategies.
(4)
Prepare creative briefs based on understanding of consumer and brand.
(5)
Evaluate the effectiveness of the communication in terms of how the target reacts
to it.
(difficult; p. 195)
142.
Describe what KFC learned about British consumers, as described in “A Matter of
Practice,” and how they used that information in their communication efforts.
Answer:
KFC learned that the majority of KFC’s users were light users and a high percentage of
them were lapsed users. They uncovered a lack of “brand regard,” which meant that when
customers were asked to describe the brand meaning, they had very little to say about it.
The conclusion was that most KFC users related to KFC with little emotion, empathy, or
feeling. The research conducted found that Colonel Sanders’s rich historical legacy was
not particularly relevant to the British market, but it did reveal that the cultural
environment in which the Colonel developed his cuisine was—the social spirit and soulsatisfying flavors and dishes that originally developed in the American Deep South.
Referred to as “soul food,” it means “comfort food” that satisfies not just the stomach,
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Part Three: Effective Advertising Media
but also the head, heart, and soul. This is different than the meaning “soul food” holds
among Americans, which usually refers to American black culture. Among British
consumers, the meaning is not limited to that but also applies to many cultures that
contain something equivalent to soul food and are typically composed of chicken. KFC
used the strong emotional component of soul food, which was derived directly from the
roots of Colonel Sanders’s chicken, to build a new brand world for KFC. As a result,
KFC’s brand of the fast food market grew while competitors’ shares fell.
(moderate; p. 196)
143.
Jana is an account planner at an advertising agency. She conducts consumer research to
gain a better understanding of their clients’ brands and their customers. How is the
outcome of this strategic research communicated to the creative teams that work on these
clients’ accounts?
Answer:
The outcome of strategic research usually reaches agency creative departments in the
form of a strategy document called a communication brief or creative brief, which
explains the consumer insight and summarizes the basic strategy decisions (position,
targeting, objectives, brand strategy). Most communication briefs have six major parts:
the marketing objective, the product, the target audience, the promise and support, the
brand personality, and the strategy statement.
(moderate; p. 198)
144.
Describe three characteristics of a good account planner.
Answer:
Students can describe any three of the following:
(1)
Curiosity about what makes people act and think the way they do.
(2)
Questioning—accepting nothing at face value.
(3)
Ability to look at a problem from different angles without losing sight of the big
picture—a creative, as well as critical, thinker.
(4)
Eclectic information searcher—desire to draw on all types and sources of
information. An information sponge. Wide range of interests.
(5)
Capable of taking a creative idea and making a reasonable guess about its
intended effects and its effectiveness.
(6)
Able to describe a target audience without relying on demographics.
(7)
Ability to numerate—to use numbers, visualize the meaning of numbers, and
generate hypotheses and draw conclusions from numbers.
(8)
Team player—someone who can appreciate and use input from others; knows
when to push and when to relax.
(9)
Must like an informal, loosely structured work environment.
(10) Must be able to handle criticism and disagreement; not territorial, defensive, or
paranoid.
(moderate; p. 199)
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Chapter Eight: Print and Out-of-Home Media
145.
You work at an advertising agency, and a new employee asks you the difference between
an IMC plan and an advertising plan. Explain the three main areas where an IMC plan is
different from an advertising plan.
Answer:
The three main areas where an IMC plan is different from an advertising plan are:
(1)
Stakeholders—The target market in an IMC plan includes more than just
consumers. Stakeholder refers to any group of people who have a stake in the
success of a company or a brand, and examples include employees, trade
audiences, the local community, general public, opinion leaders, and so on.
(2)
Contact Points—IMC programs are designed to maximize all the various types of
contacts that consumers and other stakeholders might have with a company or
brand. Contact points, also called touch points, are all the ways and places where
a person can come into contact with a brand; all the points where a message about
the brand is delivered.
(3)
IMC Objectives—Tied to the effects created by the various forms of marketing
communication. An IMC plan operates with a set of interrelated objectives that
specify the strategies for all the various tools.
(moderate; p. 200)
146.
Describe how NASCAR learned more about their fans as described in the “Hands On”
case at the end of the chapter.
Answer:
Josh Linkler developed an e-decoder bearing the phrase “Race to Win. Grand Prize
$10,000 cash.” Owners of the e-decoder went to a web site and compared the device
against the code on the screen to see if they had won NASCAR prizes that were awarded
every day. Fans had to give a small amount of personal information each time they
played, and someone who played regularly could have ended up giving responses to more
than 150 questions. Although some questions dealt with racing, others were meant to
learn fans’ hobbies and where they shop.
(moderate; p. 203)
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Part Three: Effective Advertising Media
APPLICATION QUESTIONS: MINI-CASE SHORT ANSWER
Bob works at a major advertising agency, and his job entails understanding the meaning of the
client’s brand and the target audience’s relationship to the brand. He must also articulate
communication strategies, prepare a creative brief based on an understanding of the consumer
and the brand, and finally, evaluate the effectiveness of the communication in terms of how the
target reacts to it.
147.
Mini-Case Question. What is Bob’s function called?
Answer:
Bob is an account planner.
(easy; p. 195)
148.
Mini-Case Question. What will Bob include in the creative brief that he prepares for the
creative department?
Answer:
The creative brief (a.k.a. communication brief) has six major parts: the marketing
objective, the product, the target audience, the promise and support, the brand
personality, and the strategy statement.
Some students might respond with the Communication Brief Outline that includes: the
problem, target audience, brand position, brand imperatives, communication objectives,
consumer insight, the proposition or selling idea, and support.
(moderate; p. 198)
149.
Mini-Case Question. Bob is a good account planner. Briefly describe Bob’s traits and
qualities.
Answer:
Students can discuss any of the following characteristics of a good account planner:
(1)
Curiosity about what makes people act and think the way they do.
(2)
Questioning—accepting nothing at face value.
(3)
Ability to look at a problem from different angles without losing sight of the big
picture—a creative, as well as critical, thinker.
(4)
Eclectic information searcher—desire to draw on all types and sources of
information. An information sponge. Wide range of interests.
(5)
Capable of taking a creative idea and making a reasonable guess about its
intended effects and its effectiveness.
(6)
Able to describe a target audience without relying on demographics.
(7)
Ability to numerate—to use numbers, visualize the meaning of numbers, and
generate hypotheses and draw conclusions from numbers.
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Chapter Eight: Print and Out-of-Home Media
(8)
Team player—someone who can appreciate and use input from others; knows
when to push and when to relax.
(9)
Must like an informal, loosely structured work environment.
(10) Must be able to handle criticism and disagreement; not territorial, defensive, or
paranoid.
(moderate; p. 199)
150.
Mini-Case Question. For one of the agency’s clients, Bob is involved in assisting the
team in crafting a position by identifying features of the company’s brand as well as the
competition to determine where the brand has an advantage over its competitors. Name
and describe a technique Bob can use to help structure this analysis.
Answer:
A technique called feature analysis helps structure this analysis. First, you make a chart
of a client’s product and competitors’ products, listing each product’s relevant features.
Then evaluate how well the product and the competitors’ products perform on that
feature. Next, evaluate how important each feature is to the target audience based on
primary research.
(difficult; p. 190)
CHAPTER EIGHT
Print and Out-of-Home Media
GENERAL CONTENT: MULTIPLE-CHOICE QUESTIONS
724.
Newspapers, magazines, packaging, out-of-home media, and directories are known as
___________ media.
a.
broadcast
b.
narrowcast
c.
print
d.
directional
e.
interactive
(c; easy; p. 211)
725.
The way various types of media are strategically combined in an advertising plan is
known as a ________.
a.
media mix
b.
message mix
c.
media vehicle
d.
medium
e.
gross impression
(a; easy; p. 212)
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Part Three: Effective Advertising Media
726.
Newspaper is the ________, and the Wall Street Journal is the ________.
a.
vehicle; medium
b.
medium; vehicle
c.
medium; execution
d.
execution; medium
e.
reach; impression
(b; moderate; p. 212)
727.
A ________ identifies the best media to use to deliver an advertising message to a
targeted audience and is a subsection within an advertising plan.
a.
media mix
b.
media vehicle
c.
gross impression plan
d.
media plan
e.
message plan
(d; moderate; p. 212)
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Chapter Eight: Print and Out-of-Home Media
728.
________ is the way advertisers identify and select media options based on research into
the audience profiles of various media, and it also includes scheduling and budgeting.
a.
Media planning
b.
Media buying
c.
Media strategy
d.
Media mixing
e.
Media verification
(a; moderate; p. 212)
729.
________ is the task of identifying specific vehicles, such as TV programs or web sites,
negotiating the costs to advertise in them, and handling the details of billing and payment.
a.
Media planning
b.
Media buying
c.
Media strategy
d.
Media mixing
e.
Media verification
(b; easy; p. 212)
The percentage of the media audience exposed at least once to the advertiser’s message
during a specific time frame is known as ________.
a.
an impression
b.
circulation
c.
exposure
d.
reach
e.
frequency
(d; moderate; p. 212)
730.
731.
The number of times a person is exposed to an advertisement is known as ________.
a.
gross impressions
b.
circulation
c.
exposure
d.
reach
e.
frequency
(e; moderate; p. 212)
One person’s opportunity to be exposed one time to an ad in a broadcast program,
newspaper, magazine, or outdoor location is known as ________.
a.
an impression
b.
circulation
c.
exposure
d.
reach
e.
frequency
(a; moderate; p. 212)
732.
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Part Three: Effective Advertising Media
733.
For print media, ________ refers to copies sold, and ________ estimate(s) the actual
readership.
a.
circulation; frequency
b.
circulation; impressions
c.
frequency; circulation
d.
impressions; circulation
e.
exposure; gross impressions
(b; moderate; p. 212)
734.
Which of the following statements is true regarding print media?
a.
Circulation measures the actual readership.
b.
Impressions estimate the actual readership.
c.
Impressions refer to copies sold.
d.
Reach is more important than frequency.
e.
Frequency is more important than reach.
(b; moderate; p. 212)
735.
For television, ratings represent ________.
a.
percentage of exposure
b.
total impressions
c.
households using television
d.
frequency
e.
cost efficiency
(a; moderate; p. 213)
736.
Media salespeople compile profile information about the people who watch, listen, or
read the medium, along with the numbers describing audience size and geographical
coverage in packets of information known as ________.
a.
rate cards
b.
take-aways
c.
give-aways
d.
media kits
e.
sales kits
(e; moderate; p. 213)
737.
________ are people or companies that sell space (in print) and time (in broadcast) for a
variety of media.
a.
Media salespeople
b.
Media reps
c.
Media buyers
d.
Media brokers
e.
Media distributors
(b; moderate; p. 213)
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Chapter Eight: Print and Out-of-Home Media
738.
Who makes the strategic decisions outlined in the media plan?
a.
media buyers
b.
media specialists
c.
media planners
d.
media reps
e.
media consultants
(c; easy; p. 213)
739.
Who implements the media plan?
a.
media buyers
b.
media specialists
c.
media planners
d.
media reps
e.
media consultants
(a; moderate; p. 213)
740.
Who compiles audience measurement data, as well as media costs and availability data
for the various media options being considered by the planners?
a.
media buyers
b.
media planners
c.
media reps
d.
media researchers
e.
media detailers
(d; moderate; p. 213)
741.
________ are independent companies that specialize in doing media research, planning,
and buying.
a.
Media planners
b.
Account planners
c.
Media reps
d.
Media-buying services
e.
Media specialists
(d; moderate; p. 213)
742.
One characteristic of newspapers is that they can target specific consumer groups through
special interest newspapers, special interest sections (i.e., business, sports, lifestyle), and
advertising inserts delivered only to particular zip codes or zones. This characteristic is
known as ________.
a.
market segmentation
b.
market zoning
c.
market selectivity
d.
market focus
e.
selective binding
(c; moderate; p. 214)
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Part Three: Effective Advertising Media
743.
Which of the following is NOT a factor by which newspapers can be classified?
a.
selectivity
b.
frequency of publication
c.
format and size
d.
circulation
e.
All of the above are factors by which newspapers can be classified.
(a; difficult; p. 214)
744.
Frequency of publication, format and size, and circulation are ________.
a.
advantages of newspapers as an advertising medium
b.
weaknesses of newspapers as an advertising medium
c.
factors by which any medium can be classified
d.
factors by which newspapers can be classified
e.
factors by which magazines can be classified
(d; moderate; p. 214)
745.
Which of the following statements is false regarding newspapers?
a.
Readers spend twice as much time with the Sunday edition as with the daily
edition.
b.
Weekly papers appear in towns, suburbs, and smaller cities where the volume of
hard news and advertising is insufficient to support a daily newspaper.
c.
National advertisers often shun weeklies but are heavy users of daily papers.
d.
Weekly papers report local news in depth but tend to ignore national news, sports,
and similar subjects.
e.
National advertisers use local papers indirectly through advertising placed by
local retailers, dealers, and franchisers.
(c; moderate; p. 215)
746.
Newspapers typically are available in which of the following two sizes?
a.
broadsheet and tabloid
b.
standard and custom
c.
daily and weekly
d.
display and classified
e.
single and double
(a; moderate; p. 215)
747.
Which size of newspaper consists of five or six columns, each of which is about 2 inches
wide and has a length of approximately 14 inches?
a.
broadsheet
b.
standard
c.
tabloid
d.
daily
e.
weekly
(c; difficult; p. 215)
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Chapter Eight: Print and Out-of-Home Media
748.
The standard size of newspaper, which is usually 8 columns wide and 300 lines deep, or
22 inches deep by 14 inches wide, is known as ________.
a.
broadsheet
b.
standard
c.
tabloid
d.
daily
e.
weekly
(a; moderate; p. 215)
749.
Which size of newspaper is used by more than 90 percent of all newspapers and is
considered the standard size?
a.
broadsheet
b.
standard
c.
tabloid
d.
daily
e.
weekly
(a; moderate; p. 215)
750.
________ refers to the number of copies a newspaper sells and is the primary way
newspapers’ reach is measured and compared with the reach of other media.
a.
Run-of-paper (ROP)
b.
Circulation
c.
Impression
d.
Gross impression
e.
Exposure
(b; easy; p. 215)
751.
The pricing for newspaper advertising is sold based on the size of the space used, and the
charges are published on ________, which is a list of the charges for advertising space
and the discounts given to local advertisers and to advertisers who make volume buys.
a.
rate cards
b.
take-aways
c.
give-aways
d.
media kits
e.
sales kits
(a; moderate; p. 217)
752.
Which of the following is NOT a type of advertising found within the local newspaper?
a.
classified
b.
display
c.
gatefold
d.
supplements
e.
All of the above are types of newspaper advertising.
(c; moderate; p. 217–218)
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753.
What form of newspaper advertising is by individuals to sell their personal goods and
advertising by local business?
a.
classified
b.
display
c.
supplements
d.
gatefolds
e.
co-op
(a; easy; p. 217)
754.
What form of newspaper advertising is the dominant form, and can be any size and be
placed anywhere in the newspaper except the editorial page?
a.
classified
b.
display
c.
supplements
d.
gatefolds
e.
co-op
(b; moderate; p. 217)
Advertisers who don’t care where their ads run in the newspaper pay which rate?
a.
co-op rate
b.
preferred-position rate
c.
run-of-paper (ROP) rate
d.
non-preferred rate
e.
standard rate
(c; moderate; p. 217)
755.
756.
An arrangement between a national advertiser and a local retailer whereby the retailer
buys the ad and then the manufacturer pays for half or a portion is known as ________.
a.
joint advertising
b.
co-op advertising
c.
run-of-paper advertising (ROP)
d.
selective advertising
e.
subsidized advertising
(b; moderate; p. 217)
757.
What type of newspaper advertising can carry both national and local advertising and is
usually full-color advertising inserts that appear throughout the week and especially in
the Sunday edition of the newspaper?
a.
classified
b.
display
c.
supplements
d.
gatefolds
e.
co-op
(c; moderate; p. 218)
282
Chapter Eight: Print and Out-of-Home Media
758.
Which company is an independent auditing group that represents advertisers, agencies,
and publishers and verifies statements about newspaper circulation statistics?
a.
A. C. Nielsen
b.
Simmons-Scarborough
c.
MediaMark, Inc
d.
Auditing Bureau of Circulations (ABC)
e.
International Circulation Service (ICS)
(d; moderate; p. 218)
759.
Which company provides a syndicated study that annually measures readership profiles
for newspapers in approximately 70 of the nation’s largest cities, readership of a single
issue, and the estimated unduplicated readers for a series of issues?
a.
A. C. Nielsen
b.
Simmons-Scarborough
c.
MediaMark, Inc
d.
Auditing Bureau of Circulations (ABC)
e.
International Circulation Service (ICS)
(b; moderate; p. 219)
760.
Which of the following is considered an advantage of advertising in newspapers?
a.
range of market coverage
b.
comparison shopping
c.
flexibility
d.
interaction with national and local
e.
all of the above
(e; easy; p. 219)
761.
Which of the following is NOT considered an advantage of advertising in newspapers?
a.
range of market coverage
b.
flexibility
c.
low clutter
d.
positive consumer attitudes
e.
interaction of national and local
(c; moderate; p. 219)
762.
Which of the following is NOT considered a disadvantage of advertising in newspapers?
a.
negative consumer attitudes
b.
short life span
c.
clutter
d.
limited coverage of certain groups
e.
poor reproduction
(a; moderate; p. 219–220)
283
Part Three: Effective Advertising Media
763.
Which of the following is NOT a main type of audience that magazines target?
a.
consumer
b.
business
c.
farm
d.
trade
e.
All of the above are types of audience that magazines target.
(d; difficult; p. 221)
764.
Which classification of business magazines presents stories and information about an
entire industry?
a.
trade papers
b.
industrial magazines
c.
professional magazines
d.
vertical publications
e.
horizontal publications
(d; moderate; p. 221)
765.
Which of the following is a way to classify magazines?
a.
audience focus
b.
demographics
c.
geography
d.
editorial content
e.
all of the above
(e; easy; pp. 221–223)
766.
Which of the following is NOT considered a nontraditional delivery method for
magazines?
a.
hanging bagged copies on doorknobs
b.
inserting magazines in newspapers
c.
split run editions
d.
delivering through professionals, such as doctors’ and dentists’ offices
e.
electronic delivery
(c; difficult; p. 223)
767.
Nontraditional delivery of magazines is referred to as ________, meaning the magazine
is distributed free to specific audiences.
a.
controlled circulation
b.
nonmeasured circulation
c.
nontraditional circulation
d.
discounted circulation
e.
selective circulation
(a; moderate; p. 223)
284
Chapter Eight: Print and Out-of-Home Media
768.
What two factors must advertisers consider when deciding in which magazines to place
ads?
a.
size and format
b.
frequency of publication and size
c.
frequency of publication and format
d.
format and technology
e.
size and technology
(d; moderate; p. 223)
769.
Normally, the largest unit of ad space that magazines sell is the ________.
a.
full-page ad
b.
double-page spread
c.
gutterless spread
d.
bleed page
e.
nonbleed page
(b; moderate; p. 224)
770.
The white space running between the inside edges of the pages of a magazine is known as
the ________.
a.
gutter
b.
inside edge
c.
cover
d.
gatefold
e.
spread
(a; moderate; p. 224)
771.
A magazine page without outside margins, in which the color extends to the edge of the
page is called a ________ page.
a.
marginless
b.
gatefold
c.
double-spread
d.
full
e.
bleed
(e; moderate; p. 224)
772.
A single or double page in a magazine can be broken into a variety of units called
________.
a.
gatefolds
b.
fractional page space
c.
segments
d.
standard advertising units
e.
cut-outs
(b; moderate; p. 224)
285
Part Three: Effective Advertising Media
773.
________ combines information on subscribers kept in a database with a computer
program to produce magazines that include special sections for subscribers based on their
demographic profiles.
a.
Fractional page space
b.
Satellite transmission
c.
Selective binding
d.
Desktop publishing
e.
Custom publishing
(c; moderate; p. 224)
774.
Which technology allows a magazine to print personalized messages on ads or on inserts?
a.
selective binding
b.
desktop publishing
c.
ink-jet imaging
d.
global positioning system
e.
satellite transmission
(c; moderate; p. 224)
775.
Which company verifies magazine circulation numbers by auditing subscriptions as well
as newsstand sales and also checks the number of delinquent subscribers and rates of
renewal?
a.
A. C. Nielsen
b.
Simmons-Scarborough
c.
MediaMark, Inc
d.
Auditing Bureau of Circulations (ABC)
e.
International Circulation Service (ICS)
(d; moderate; p. 225)
776.
Which of the following companies does NOT provide useful information to advertisers
regarding magazines?
a.
Starch
b.
Gallup
c.
Simmons Market Research Bureau (SMRB)
d.
Auditing Bureau of Circulations (ABC)
e.
All of the above provide useful information to advertisers regarding magazines.
(e; moderate; p. 225)
777.
Which of the following is NOT considered to be an advantage of advertising in
magazines?
a.
ability to reach specialized audiences
b.
long life span
c.
flexibility
d.
visual quality
e.
sales promotion
(c; moderate; p. 225)
286
Chapter Eight: Print and Out-of-Home Media
778.
Which of the following is considered a disadvantage of advertising in magazines?
a.
lack of immediacy
b.
high cost
c.
limited distribution
d.
limited flexibility
e.
all of the above
(e; easy; p. 226)
779.
Which marketing communication tool has the goal of creating impact on the store shelf?
a.
in-store media
b.
packaging
c.
shelf-talkers
d.
coupons
e.
brand name
(b; moderate; p. 227)
780.
________ includes advertising on outdoor billboards, buses, posters on walls, telephone
booths and shopping kiosks, taxi signs, grocery store carts, blimps, and so forth.
a.
Outdoor advertising
b.
Out-of-home advertising
c.
Broadcast advertising
d.
Transit advertising
e.
Miscellaneous advertising
(b; moderate; p. 227)
781.
________ refers to billboards along streets and highways, as well as posters in other
public locations.
a.
Outdoor advertising
b.
Out-of-home advertising
c.
Broadcast advertising
d.
Transit advertising
e.
Miscellaneous advertising
(a; moderate; p. 227)
782.
Which type of billboard is created by designers, printed, and shipped to an outdoor
advertising company who then prepastes and applies them in sections to the poster
panel’s face on location?
a.
painted bulletin
b.
printed bulletin
c.
painted posters
d.
printed posters
e.
extensions
(d; difficult; p. 228)
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783.
Which type of billboard is normally created onsite, and can even be painted on the sides
of buildings, roofs, and natural structures, such as the side of a mountain?
a.
painted bulletin
b.
printed bulletin
c.
painted posters
d.
printed posters
e.
extensions
(a; moderate; p. 228)
784.
________ refers to a standard unit for space sales based on the opportunity a person has
to see a particular outdoor board and is typically based on a traffic count of vehicles
passing a particular location during a specified period of time.
a.
Impressions
b.
Showing
c.
Exposure
d.
Reach
e.
Frequency
(b; moderate; p. 229)
785.
Which of the following is NOT considered an advantage of outdoor advertising?
a.
serves as a brand reminder
b.
least expensive of all major media
c.
directional medium
d.
can reinforce a creative concept employed in other media
e.
passive medium
(e; moderate; pp. 229–230)
786.
________ is seen by people riding inside buses, subway cars, and some taxis.
a.
Interior transit advertising
b.
Exterior transit advertising
c.
Kiosk advertising
d.
On-premise advertising
e.
Mobile advertising
(a; moderate; p. 231)
787.
Directory advertising is described as ________ advertising because it tells people where
to go to get the product or service they want.
a.
primary
b.
secondary
c.
directional
d.
promotional
e.
selective
(c; moderate; p. 233)
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Chapter Eight: Print and Out-of-Home Media
788.
What is the key difference between directory advertising and brand-image advertising?
a.
Directory advertising reaches prospects, people who already know they have a
need for the product or service.
b.
Directory advertising provides directions on how to use the product, and brandimage advertising does not.
c.
Directory advertising provides maps with directions on how to find the retailer’s
location.
d.
Directory advertising is used in the initial stages of consumer decision making
regarding a purchase.
e.
Directory advertising is not as effective as brand-image advertising.
(a; moderate; p. 233)
789.
Which directory lists all local and regional businesses that have a telephone number as
well as display advertising that is purchased by businesses?
a.
Standard Pages
b.
Yellow Pages
c.
Directory Pages
d.
Local Pages
e.
Listing Pages
(b; easy; p. 234)
790.
Which of the following statements is true regarding Directory and Yellow Pages
advertising?
a.
Only businesses that have paid for advertising space are listed in the Yellow
Pages.
b.
Only 10 percent of consumers who consult the Yellow Pages follow up with some
kind of action.
c.
Because a Yellow Pages ad is the last step in the search for a product or service
by a committed consumer, the ads are not intrusive.
d.
Advertising in directories is extremely expensive.
e.
Only directories published by AT&T can used the name Yellow Pages.
(c; moderate; p. 234)
791.
Which of the following is NOT considered an advantage of directory advertising?
a.
inexpensive
b.
long life
c.
shopping medium
d.
easily usable by all consumers
e.
flexibility with respect to size, colors, and formats
(d; difficult; p. 234)
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Part Three: Effective Advertising Media
792.
What is the primary weakness of directories as an advertising medium?
a.
competitive clutter
b.
long life
c.
cannot be changed for months
d.
expensive and provide a low return on investment
e.
limited size, color, and format options
(a; moderate; p. 234)
793.
Which of the following is NOT a question advertisers should always ask their media
planner when using print advertising?
a.
What is the cost?
b.
How effective is it in meeting our advertising objectives?
c.
Is there a limit to how much we can use this media vehicle?
d.
How targeted is the audience?
e.
Can it accommodate our style of message?
(c; difficult; p. 235)
GENERAL CONTENT: TRUE/FALSE QUESTIONS
794.
A media mix is the way various types of media are strategically combined in an
advertising plan.
(True; easy; p. 212)
795. The goal of a media plan should be to maximize reach.
(False; difficult; p. 212)
796. Reach is more important than frequency.
(False; moderate; p. 212)
797. Gross impressions refers to the number of times a person is exposed to the advertisement.
(False; moderate; p. 212)
798.
Media reps work for a medium, such as a magazine or local television station, and their
objective is to build the best possible argument to convince media planners to use the
medium they represent.
(False; difficult; p. 213)
799.
Media-buying services are independent companies that specialize in doing media
research, planning, and buying.
(True; moderate; p. 213)
800. Newspapers are primarily used by advertisers trying to reach a national market.
(False; easy; p. 214)
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Chapter Eight: Print and Out-of-Home Media
801.
Newspapers can be classified by three factors: frequency of publication, format and size,
and circulation.
(True; moderate; p. 214)
802. Just over half of all newspapers use the broadsheet size.
(False; moderate; p. 215)
803.
National advertisers are not heavy users of newspapers as an advertising medium because
each paper has its own size guidelines for ads, making it impossible to prepare one ad
that would fit every newspaper.
(False; moderate; p. 215)
804.
The primary advertising revenue for newspapers comes from local retail advertising and
classified advertising.
(True; moderate; p. 215)
805. The dominant form of newspaper advertising is classified advertising.
(False; moderate; p. 217)
Advertisers who don’t care where their ads run in the newspaper pay the nonpreferredposition rate (NPR).
(False; moderate; p. 217)
806.
807.
One alternative that allows a national advertiser to pay the local rate is cooperative
advertising with a local retailer.
(True; easy; p. 217)
808.
One reason free-standing insert (FSI) advertising is growing is because it allows greater
control over the reproduction quality of the advertisement.
(True; moderate; p. 218)
809.
Newspaper readership tends to be highest among older people and people with a higher
educational level and lowest among people in their late teens and early twenties.
(True; easy; p. 218)
810.
Newspapers obtain objective measures of newspaper circulation and readership by
subscribing to the Auditing Bureau of Circulations (ABC) and/or MediaMark readership
studies.
(False; difficult; pp. 218–219)
811.
A disadvantage of advertising in newspapers is that newspapers have a short life span
because the ink rubs off and the paper is of low quality.
(False; moderate; p. 219)
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Part Three: Effective Advertising Media
812.
The emergence of the Internet as a mechanism for delivering a newspaper is threatening
to make printed newspapers, and thus the advertising within them, obsolete.
(False; difficult; p. 220)
813.
The three main types of audiences that magazines target are consumer, business, and
farm audiences.
(True; moderate; p. 221)
814.
Business magazines target business readers and include trade papers, industrial
magazines, and professional magazines.
(True; moderate; p. 221)
815. A horizontal publication deals with a business function that cuts across industries.
(True; moderate; p. 221)
816.
Selective binding allows a magazine to print personalized messages directly on ads or on
inserts.
(False; moderate; p. 224)
817. Magazine rates are based on the readership of the publication.
(False; difficult; p. 224)
818.
Starch is the industry leader in readership measurements, measuring readership for many
popular national and regional magazines and issues reports to subscribers twice a year
covering readership by demographics, psychographics, and product use.
(False; difficult; p. 225)
819.
One advantage of advertising in magazines is that they have high reach potential because
they are passed along to family, friends, customers, and colleagues.
(True; easy; p. 225)
820.
The disadvantages of advertising in magazines are limited flexibility, lack of immediacy,
high cost, and limited distribution.
(True; moderate; pp. 225–226)
821. The Internet is proving to be a real threat to the existence of printed magazines.
(False; difficult; p. 226)
822. A package is the last ad a customer sees before making a decision on which brand to buy.
(True; moderate; p. 226)
823.
Outdoor advertising includes everything from billboards to hot air-balloons, including
ads on buses; posters on walls, telephone booths, and shopping kiosks; painted semitrucks; taxi signs; and skywriting.
(False; difficult; p. 227)
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Chapter Eight: Print and Out-of-Home Media
824. The two sizes of printed posters are 8 sheet and 20 sheet.
(False; moderate; p. 228)
825.
The outdoor industry uses a system based on impressions, which refers to a standard unit
for space sales based on the opportunity a person has to see a particular outdoor board.
(False; moderate; p. 229)
826. One advantage of outdoor advertising is that it is a passive medium.
(False; moderate; p. 229)
827.
Transit advertising is mainly an urban advertising form that places ads on vehicles such
as buses and taxis that circulate through the community.
(True; easy; p. 231)
828.
Directory advertising is described as directional advertising because it tells people where
to go to get the product or service they want.
(True; easy; p. 233)
GENERAL CONTENT—ESSAY QUESTIONS
293
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Chapter Ten: Interactive and Alternative Media
829.
Name and define any five of the basic media concepts described in chapter 8.
Answer:
There were several basic media concepts covered in the chapter, and students can answer
any five of the following:
(1)
Media Mix—The way various types of media are strategically combined in an
advertising plan.
(2)
Media Vehicle—A specific TV program (e.g., 60 Minutes), newspaper (e.g., USA
Today), magazine (e.g., Golf), or radio station or program (e.g., Rush Limbaugh’s
talk show).
(3)
Media Planning—The way advertisers identify and select media options based on
research into the audience profiles of various media; it also includes scheduling
and budgeting.
(4)
Media Buying—The task of identifying specific vehicles, such as TV programs or
web sites, negotiating the costs to advertise in them, and handling the details of
billing and payment.
(5)
Reach—The percentage of the media audience exposed at least once to the
advertiser’s message during a specific time frame.
(6)
Frequency—The number of times a person is exposed to the advertisement.
(7)
Impression—One person’s opportunity to be exposed one time to an ad in a
broadcast program, newspaper, magazine, or outdoor location.
(8)
Circulation—For print only; refers to copies sold.
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Part Three: Effective Advertising Media
(9)
Exposure—For television; measures households with sets turned on, called HUT
(households using television).
(10) Gross impressions—For magazines it would be the circulation times the average
number of people reading each issue, or for TV it would be the number of
households times average number of people per household.
(moderate; p. 212)
830.
Describe the three factors by which newspapers can be classified and the three main types
of newspaper advertising.
Answer:
Newspapers can be classified by three factors:
(1)
Frequency of Publication—Daily, weekly, and so on. Daily newspapers usually
are found in cities and larger towns, and have morning editions, evening editions,
or all-day editions. Weekly papers appear in towns, suburbs, and smaller cities
where the volume of hard news and advertising is insufficient to support a daily
newspaper. Business, trade, and organizational newspapers may be published
weekly, monthly, or on some other schedule such as quarterly, bimonthly, or
semimonthly.
(2)
Format and Size—Typically available in two sizes: tabloid and broadsheet.
Broadsheet is bigger and is the standard size with more than 90 percent of all
newspapers using this size. The Standard Advertising Unit (SAU) system made it
possible for newspapers to offer advertisers a great deal of choice within a
standard format, with 56 standard ad sizes to choose from.
(3)
Circulation—Refers to the number of copies a newspaper sells and is the primary
way newspapers’ reach is measured and compared with the reach of other media.
Types of newspaper advertising:
(1)
Classified Advertising—Advertising by individuals to sell their personal goods
and advertising by local businesses. These ads are arranged according to their
interest to readers, such as “Help Wanted,” “Real Estate for Sale,” and “Cars for
Sale.”
(2)
Display Advertising—Can be any size and can be placed anywhere in the
newspaper except the editorial page. Display advertising is further divided into
two subcategories: local (retail) and national (general).
(3)
Supplements—Syndicated, meaning an independent publisher sells its
publications to newspapers throughout the country, or they are local full-color
advertising inserts that appear throughout the week and especially in the Sunday
edition of newspapers. A free-standing insert (FSI) is the set of advertisements,
such as the grocery ads, that are inserted into the newspaper.
(moderate; pp. 214–218)
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Chapter Ten: Interactive and Alternative Media
831.
Discuss three advantages and three disadvantages of advertising in magazines.
Answer:
Students can discuss any three advantages of magazines:
(1)
Target Audiences—Ability of magazines to reach specialized audiences.
(2)
Audience Receptivity—The editorial environment of a magazine lends authority
and credibility to the advertising.
(3)
Long Life Span—People tend to read magazines at a comparatively slow rate,
typically over a couple of days, so they offer an opportunity to use detailed copy.
In addition, magazines have high reach potential because they are passed along to
others.
(4)
Format—Allows creative advertising variety through multiple pages, inserts, and
other features.
(5)
Visual Quality—Excellent because they are printed on high-quality paper that
provides superior photo reproduction.
(6)
Sales Promotion—Advertisers can distribute various sales promotion devices,
such as coupons, product samples, and information cards.
Students can discuss any three disadvantages of magazines:
(1)
Limited Flexibility—Ads must be submitted well in advance of the publication
date.
(2)
Lack of Immediacy—Some readers do not look at an issue of a magazine until
long after it comes to them, so the ad may take a long time to have an effect on
the reader.
(3)
High Cost—Rates are quite high; however, magazines with carefully segmented
audiences can be cost-efficient because they reach a tightly targeted audience.
(4)
Distribution—It’s limited. Many of the 2,500 different magazines that exist
typically are not distributed to a broad spectrum of potential audience members.
(moderate; pp. 225–226)
832.
Describe how outdoor advertising space is purchased, and list three advantages and three
disadvantages of outdoor advertising.
Answer:
The industry uses a system based on showings, which refers to a standard unit for space
sales based on the opportunity a person has to see a particular outdoor board. This is
typically based on a traffic count, that is, the number of vehicles passing a particular
location during a specified period of time. For example, if three posters in a community
of 100,000 people achieve a daily exposure to 75,000 people, the result is a 75 showing.
Advertisers can purchase any number of units (75, 50, or 25 showings daily are common
quantities). Boards are rented for 30-day periods, with longer periods possible. Painted
bulletins are bought on an individual basis, usually for one, two, or three years.
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Part Three: Effective Advertising Media
Students can list any three of the advantages of outdoor advertising:
(1)
high-impact medium
(2)
directional medium
(3)
brand reminder
(4)
reinforce a creative concept employed in other media
(5)
least expensive of all major media
The three of the disadvantages of outdoor advertising are:
(1)
message could fail to be seen or have any impact
(2)
very passive medium
(3)
visual pollution
(moderate; pp. 229–230)
833.
Explain how directory advertising is different from brand-image advertising, and list
three advantages and three disadvantages of directory advertising.
Answer:
Directory advertising is described as directional advertising because it tells people where
to go to get the product or service they want. The key difference between directional
advertising and brand-image advertising is that directory advertising reaches prospects,
people who already know they have a need for the product or service; brand-image
advertising seeks to create a need. Directory advertising is the main medium that
prospects consult once they have decided to buy something they need or want.
Students can list any three of the following advantages of directory advertising:
(1)
shopping medium
(2)
inexpensive and provide a return on investment of 1:15
(3)
flexibility with respect to size, colors, and formats
(4)
long life
The three disadvantages of directory advertising are:
(1)
competitive clutter
(2)
ads cannot be changed for several months
(3)
some consumers, such as non-English speakers or the illiterate, cannot easily use
directories
(moderate; pp. 233-234)
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Chapter Ten: Interactive and Alternative Media
APPLICATION QUESTIONS: MULTIPLE-CHOICE QUESTIONS
834.
Why is the Apple iPod so successful, holding 50 percent of the portable digital MP3
music player market?
a.
Apple spent more on advertising the iPod than any other manufacturer has spent
for any other portable digital MP3 music player on the market.
b.
Apple used sales promotions heavily to get consumers to purchase an iPod
because it is necessary to be able to download music from iTunes, Apple’s song
delivery system.
c.
Apple offers the only holistic digital music system combining both player and
song delivery.
d.
Apple holds a monopoly on the digital music player and song delivery system.
e.
Apple designed it so that the only way a consumer could purchase a song from
iTunes for 99 cents per tune was through an iPod.
(c; moderate; pp. 209–210)
835.
How did Apple initially announce the new product news about the iPod and iTunes?
a.
CEO Steve Jobs announced the new product news and created the initial buzz that
started an effective word-of-mouth campaign among music and computer fans.
b.
Apple launched a combination of iconic print advertising and posters, creatively
presenting the digital player, and its player, as cool.
c.
Apple spent $9 million on television advertising.
d.
Apple used a combination of TV shows, billboards, and mainstream print
magazines to initially launch the iPod.
e.
Apple allowed consumers to download 20 free songs with each purchase of an
iPod.
(a; moderate; p. 210)
836.
In which medium did advertisers spend the most in both 2002 and 2003?
a.
newspapers
b.
magazines
c.
television
d.
radio
e.
outdoor
(c; easy; p. 211 [Table 8.1])
June’s job at an advertising agency entails identifying and selecting media options based
on research into the audience profiles of various media as well as scheduling and
budgeting. What is June’s job responsibility?
a.
media planning
b.
media buying
c.
account planning
d.
account management
e.
message development
(a; easy; p. 212)
837.
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838.
DeLisa works at a major advertising agency and is an expert in the television schedule for
eight major markets in the United States. Her job entails identifying specific television
shows that will deliver the desired audience for her agency’s client, negotiating the costs
to advertise in them, and handling the details of billing and payment. What is DeLisa’s
job title?
a.
media planner
b.
media buyer
c.
account planner
d.
creative director
e.
account manager
(b; easy; p. 212)
839.
Honda is launching its new Ridgeline truck and wants to expose the largest percentage of
the prime time TV viewing audience as possible to their message at least once during the
next six months. Which media concept is Honda trying to maximize?
a.
frequency
b.
impressions
c.
reach
d.
circulation
e.
HUTs
(c; moderate; p. 212)
840.
How many different choices in sizing within a standardized format are available to
advertisers using newspapers as an advertising medium?
a.
10
b.
25
c.
56
d.
150
e.
250
(c; difficult; p. 215)
841.
A national advertiser would like to advertise more in newspapers, but there is a
substantial rate differential between national advertisers purchasing the same ad size as
local retailers, and, on average, the national advertisers must pay more than 60 percent
more for the same space. What can a national advertiser do to avoid this rate differential?
a.
Use the “one-order, one-bill” ordering system because they’ve negotiated the
rates down to the local rates.
b.
Use the “co-op” ordering system because they’ve negotiated the rates down to the
local rates.
c.
Advertise only in larger cities because newspapers in those markets do not charge
a rate differential.
d.
Use co-op advertising, which is an arrangement between an advertiser and a
retailer whereby the retailer buys the ad at the local rate and the advertiser
reimburses some or all of the costs.
e.
There’s really nothing a national advertiser can do to avoid the higher rate.
(d; moderate; p. 217)
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Chapter Ten: Interactive and Alternative Media
842.
Procter & Gamble is a major user of consumer coupons and prefers to deliver them to
consumers through newspaper advertising. P&G is very concerned about the
reproduction quality of the advertisements, wants to command more attention than just
another ad in the paper, and wants to place different ads in different markets. Which type
of newspaper advertising will meet P&G’s needs?
a.
classified
b.
display
c.
supplements
d.
co-op
e.
promotional
(c; moderate; p. 218)
How did International Truck, a manufacturer of delivery trucks that was discussed in “A
Matter of Practice,” increase its awareness by 20 percent even though it was outspent by
up to 3:1 by key large competitors, such as GMC and Ford?
a.
They targeted the most profitable business segments for delivery trucks, which
created greater impact for International.
b.
They used only print media, which was more relevant to small businesses, while
their big competitors used television, which was not relevant to small businesses.
c.
They used comparative advertising through print media because they could
provide more information concerning the superiority of International’s trucks over
the competition.
d.
They used print advertising to provide detailed reliability data regarding their
trucks.
e.
They differentiated on one key factor that drives customer reassurance, which is
reliability record.
(a; moderate; p. 222)
843.
844.
Dole, the fresh banana, juice, and canned fruit company, began testing a glossy magazine,
Dole Fresh Choices, in the banana section of a grocery store in Houston and has plans for
more widespread distribution. The magazine offers women-targeted articles on health and
nutrition. Which magazine classification best describes this magazine?
a.
geography
b.
editorial content
c.
physical characteristics
d.
ownership
e.
distribution
(d; difficult; p 223)
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845.
Recently, advertisers were upset because, apparently, some magazines were reporting
circulation figures to be higher than they actually were. Why do you think advertisers
were upset?
a.
Any negative publicity for a magazine will reflect poorly on their brands because
they are supporting that publication.
b.
Falsifying circulation figures will hinder future distribution for a magazine.
c.
Inflated circulation figures by just a few publications makes the entire industry
suspect.
d.
Magazine advertising rates are based on circulation figures.
e.
It generated negative publicity among consumers, which are the advertisers’
target market.
(d; difficult; p. 224)
Which advantage of outdoor advertising does the Adidas “Football challenge” outdoor
board where two live players played a game of vertical soccer at the height of a ten-story
building in Japan illustrate?
a.
high-impact medium offering larger-than-life visuals, on a hard-to-ignore
structure
b.
directional medium
c.
brand reminder
d.
reinforce a creative concept employed in other media
e.
least expensive of all major media
(a; easy; p. 229)
846.
How did Kellogg’s generate awareness and trial among both consumers who had
participated in the “Kellogg’s Special K 2-Week Challenge” that was described in “The
Inside Story” to participate again and those who were not interested in participating last
time?
a.
Kellogg’s relied heavily on advertising in January issues of most women’s
magazines.
b.
Kellogg’s spent more than $7 million in television alone to generate awareness of
the challenge.
c.
Kellogg’s relied solely on outdoor billboards in high traffic locations in more than
50 markets.
d.
In addition to traditional media, Kellogg’s reached their target audience through
wallboards placed in doctors’ offices, hair and nail studios, bridal stores, health
clubs, and department store dressing rooms.
e.
In addition to traditional media, Kellogg’s used banners pulled behind airplanes
along beaches, where women are most self-conscious about their weight.
(d; moderate; p. 232)
847.
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Chapter Ten: Interactive and Alternative Media
What is the issue discussed in the “Hands-On” case at the end of chapter 8?
a.
The issue discussed is the controversy surrounding brand information being
integrated into the content of newspaper stories.
b.
The issue discussed is the controversy surrounding brand information being
integrated into the content of magazine articles.
c.
The issue discussed is the controversy of digital billboards being used by outdoor
companies without providing adequate measurement of the showings gained by
advertisers.
d.
The issue discussed is the fact that newspapers hold back the bad or controversial
news they should be reporting to the public but withhold because the news
concerns one of their major advertisers.
e.
The issue discussed is the use of anorexic-looking models in advertising
appearing in women’s fashion magazines.
(b; moderate; p. 238)
848.
APPLICATION QUESTIONS: MINI-CASE MULTIPLE-CHOICE
Allison works in the media department of a major advertising agency that has several national
advertisers as clients. Her responsibilities include identifying specific media vehicles, such as TV
programs, newspapers, magazines, or radio programs and stations for their clients’ advertising,
negotiating the costs to advertise in them, and handling the details of billing and payment.
Although one of their major clients advertises primarily in magazines, the media plan calls for
the use of newspaper advertising as well.
Mini-Case Question. What is Allison’s job function?
a.
media planning
b.
rate negotiator
c.
media buyer
d.
account planner
e.
account buyer
(c; moderate; p. 212)
849.
850.
Mini-Case Question. The media plan calls for placing ads in all the major newspapers in
the southeastern United States. Because newspaper is primarily a local medium, Allison
seeks the services of a professional to assist her in placing the buy with one order. What
are the people or companies that sell space (in print) and time (in broadcast) for a variety
of media known as?
a.
media salespeople
b.
customer service reps
c.
media reps
d.
media-buying services
e.
media consolidators
(c; moderate; p. 213)
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Part Three: Effective Advertising Media
Mini-Case Question. If the advertiser doesn’t care where its ads run in the newspaper,
what rate will Allison request for her client?
a.
classified rate
b.
display rate
c.
supplement rate
d.
run-of-paper (ROP) rate
e.
differential rate
(d; moderate; p. 217)
851.
852.
Mini-Case Question. The media plan also calls for magazine advertising, and the
creative execution will have the color extend to the edge of the page. What type of page
will Allison need to purchase?
a.
gatefold
b.
back cover
c.
double-page spread
d.
bleed
e.
gutterless
(d; moderate; p. 224)
853.
Mini-Case Question. Allison learns that one magazine that she is considering for her
client combines information on subscribers kept in a database with a computer program
to produce magazines that include special sections for subscribers based on their
demographic profiles. What is this known as?
a.
selective binding
b.
relationship management
c.
segmented distribution
d.
ink-jet imaging
e.
satellite transmission
(a; moderate; p. 224)
APPLICATION QUESTIONS: SHORT-ANSWER
854.
Describe the media strategy used by Apple when launching the iPod.
Answer:
Apple CEO Steve Jobs announced the new product news and created the initial buzz that
started an effective word-of-mouth campaign among music and computer fans. This
public relations effort was successful with more than 6,000 iPod and iTunes stories in
major publications around the world. Apple then launched a combination of iconic print
advertising and posters, creatively presenting the digital player, and its player, as cool.
The print campaign was followed by an equally interesting television campaign using the
same graphic images as the print ads.
(moderate; p. 210)
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Chapter Ten: Interactive and Alternative Media
855.
Rank the following media from most to least ad spending in 2003: outdoor, television,
directories, magazines, newspapers, radio, and Internet.
Answer:
In terms of 2003 ad spending by medium ranked from highest to lowest:
(1)
television
(2)
newspaper
(3)
magazine
(4)
directories
(5)
radio
(6)
Internet
(7)
outdoor
(Note: there was also an “other” category that ranked between newspapers and
magazines.)
(difficult; p. 211 [Table 8.1])
856.
Explain what is meant by the term media vehicle, and give an example for each major
advertising medium.
Answer:
A media vehicle is a specific TV program (e.g., 60 Minutes, The Apprentice), newspaper
(e.g., New York Times, Wall Street Journal), or radio station or program (e.g., NPR’s All
Things Considered, Rush Limbaugh’s talk show).
(easy; p. 212)
857.
Jane is teaching an undergraduate introductory advertising course and is trying to explain
the difference between reach and frequency. How should Jane explain these terms, and
what is the goal of a media plan with respect to these two terms?
Answer:
The goal of most media plans is to reach as many people in the target audience as often as
the budget allows. Reach is the percentage of the media audience exposed at least once to
the advertiser’s message during a specific time frame. Frequency refers to the number of
times a person is exposed to the advertisement. Different media have different patterns of
frequency, as well as different patterns of reach.
(easy; p. 212)
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Part Three: Effective Advertising Media
858.
Four college roommates who were advertising majors are now in New York working in
the advertising industry. John is a media planner, Carl is a media buyer, George is a
media researcher, and they all work at the same advertising agency. Chuck works at a
media-buying service and jokes that he will be taking over all of their jobs. Describe how
all their jobs are different and why Chuck can make the joke he did.
Answer:
John, the media planner, makes the strategic decisions outlined in the media plan, such as
identifying and selecting media options based on research into the audience profiles of
various media, and his responsibilities also include scheduling and budgeting.
Carl, the media buyer, implements the media plan. Media buying is the task of
identifying specific vehicles, such as TV programs or magazines, negotiating the costs to
advertise in them, and handling the details of billing and payment.
George, the media researcher, compiles audience measurement data, as well as media
costs and availability data for the media options being considered by media planners.
Chuck, who works at a media-buying service, specializes in doing media research,
planning, and buying. These agencies are taking over the media role that used to be the
responsibility of advertising agency media staff. In many cases, they are the media
department that spun off from a full-service agency, such as the one in which his college
buddies are employed.
(moderate; pp. 212 and 213)
859.
Your friend is confused about the terms impression, circulation, exposure, gross
impressions, and rating. What would you tell him to help him better understand the
similarities and differences among these terms?
Answer:
An impression is one person’s opportunity to be exposed one time to an ad in any media
vehicle. Impressions can be added up as a measure of the size of the audience either for
one medium or for a combination of vehicles in a media mix as estimated by media
research. The idea of impressions is different from circulation, because impressions (in
print) estimate the actual readership, rather than just circulation, which refers to copies
sold. For example, a magazine may have a circulation of 1 million but it might be read,
on the average, by 2.5 people per issue, resulting in an estimate of impressions for that
issue of 2.5 million. If the ad ran in three consecutive issues, then the estimate of total
impressions, or gross impressions, would be 7.5 million.
In broadcast media, impressions estimate viewers for television and listeners for radio.
Television exposure, which is similar to circulation, measures households with sets
turned on, called households using television (HUTs). The impressions from television,
or the number of viewers watching a program, might be greater than the number of
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households reached because there may be more than one viewer watching. Ratings are
used to convert the raw figure to a percentage of the population or households because
it’s an easier measure to work with.
(moderate; pp. 212–213)
860.
Claire is training to become a media buyer at an advertising agency. Describe what she
should know regarding daily and weekly newspapers and national advertisers’ use of
each.
Answer:
Most newspapers are published either daily or weekly. Daily newspapers usually are
found in cities and larger towns, and have morning editions, evening editions, or all-day
editions. Approximately 30 percent of the dailies and a few of the weeklies also publish a
Sunday edition, which is usually much thicker and contains a great deal of news,
advertising, and special features. For a media planner, it is useful to know that consumers
spend twice as much time with the Sunday edition as with the daily edition, suggesting
that to be the best placement for many local advertisers. However, the Sunday paper is
more cluttered with competitive advertising. Many national advertisers use supplements,
particularly on Sunday.
Weekly papers appear in towns, suburbs, and smaller cities where the volume of hard
news and advertising is insufficient to support a daily newspaper. These papers
emphasize the news of a restricted area, reporting local news in depth but tending to
ignore national news, sports, and similar subjects.
National advertisers often shun weeklies and are not heavy advertisers in daily papers.
They use local papers indirectly through advertising placed by local retailers (e.g., co-op
advertising), dealers, and franchisees.
(moderate; p. 215)
861.
Explain how International Truck, described in “A Matter of Practice,” was able to
increase its awareness by 20 percent even though they were outspent by up to 3:1 by key
competitors.
Answer:
International’s advertising agency sorted out the trade publications to find the most
profitable business segments for delivery trucks. By significantly reducing the
duplication in the truck industry magazines, they freed up the budget to fund media
beyond the trucking trade publications. The media budget was flat from the previous
year, but this broader approach to targeting created greater impact and reach.
(moderate; p. 222)
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Part Three: Effective Advertising Media
862.
Laurie was with her toddler in the hair care aisle of Wal-Mart. Her daughter saw a bottle
of shampoo that had a Winnie-the-Pooh head on the top and begged for it because she
wanted to “pway wiff Pooh!” Laurie purchased it for her daughter even though it cost
almost three times as much as a similar shampoo that wasn’t in a cute bottle. Why do you
think Laurie did this?
Answer:
The package can also deliver customer benefits; in this case, Laurie’s daughter perceived
it as a toy.
(b; moderate; p. 227)
863.
To announce the expansion of a Louis Vuitton flagship store in the center of Hong
Kong’s luxury shopping district, the marketer made a building resemble an LV hard-case
canvas trunk, with brass fittings and a cherry monogram print from their summer
collection. The 3D ad is 26 feet high and 151 feet by 59 feet wide. Describe the type of
advertising medium this represents and the advantages of it.
Answer:
Out-of-home advertising includes everything from billboards to hot-air balloons, and a
building fits in this category. This probably best represents a painted bulletin with the
entire building being the medium. Students could probably also discuss this as an “onpremise sign” being that the entire building is really a sign.
(moderate; p. 227, 228, and 230)
864.
Seasons is a new restaurant opening in town, and the owners know they should advertise
to attract customers. Based on what you learned in this chapter, recommend some media
options for this restaurant.
Answer:
Students can answer a variety of ways, but their answers should demonstrate knowledge
of the print media concepts covered in this chapter. For example, because this is a local
restaurant, newspapers, out-of-home, and directory advertising would be most
appropriate.
(moderate; p. 214, 227, and 233)
865.
Carla works in the student activities office of her university and was given the task of
finding a way to better inform students of upcoming activities and events. It’s a rather
large university with a bi-weekly newspaper. Give Carla some suggestions on how she
might accomplish this.
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Chapter Ten: Interactive and Alternative Media
Answer:
Because Carla is trying to reach a very targeted audience, students attending the
university, she needs to determine the best media to reach them. One obvious media
vehicle is the student newspaper. Another medium that might be useful is out-of-home
media, such as kiosks and posters. Also, if there is a bus route through the campus, transit
advertising, both interior and exterior, would be appropriate.
(easy; pp. 230–231)
866.
Describe how Kellogg’s was able to achieve its advertising objectives for the Special K
2-Week Challenge program that was described in “The Inside Story.”
Answer:
The total media plan was a $7 million effort that included television, magazines, online
advertising, and wallboards. The schedule included 924 wallboard postings across 15
markets, placed in locations where women are conscious of their weight and appearance
and therefore most receptive to the message. The wallboards were posted in doctors’
offices, hair and nail studios, bridal stores, health clubs, and department store changing
rooms, and Kellogg’s tailored the message to each location. Reaching consumers at the
moment they are in need of a weight-loss solution and delivering a simple diet in the
context of their environment was very effective: Business results show an overall lift in
wallboard markets of 20 percent over nonwallboard markets.
(moderate; p. 232)
867.
You are working at a summer job selling advertising space for the campus telephone
directory. Some of the businesses you call on, even those that currently advertise in the
directory, are reluctant because they don’t see the benefit of advertising in this media
vehicle. Provide some advantages of directory advertising that might help persuade these
advertisers.
Answer:
Directories offer several advantages for advertisers:
(1)
Shopping Medium—Consumers initiate the search process when they have a need
or want.
(2)
Price—Inexpensive and provides a return on investment of 1:15; every dollar
spent on a directory ad produces $15 in revenue.
(3)
Flexibility—With respect to size, colors, and formats.
(4)
Long Life.
(easy; p. 234)
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Part Three: Effective Advertising Media
868.
The “Hands On” case at the end of the chapter discusses the boundary between editorial
content and advertising in magazines. Discuss both sides of this issue.
Answer:
At most newspapers and magazines there is a boundary that cannot be crossed—the one
that exists between the news or feature stories created by the publication’s writers and the
advertising. Publications work hard to convince readers that advertising revenue does not
drive story selection, the flavor or scope of news coverage, or critical reviews and
recommendations. That independence has long been viewed as a lynchpin for the
credibility of a publication’s articles.
Although newspapers and magazines have fought to maintain the independence of the
product from the influence of advertising, there are some instances where that
independence is weakening. For example, Country Living Magazine ran an eight-page
insert advertisement for Expo Design Center adjacent to a story describing how Expo
helped remake a kitchen, and Playboy ran ads for Tommy Hilfiger featuring playmates
modeling the designer’s clothes.
These practices raise some concerns about whether they follow the guidelines of the
American Society of Magazine Editors for separating ads from content. But with
advertisers pressuring print vehicles to be more accommodating in a competitive
marketplace, magazines may have a hard time saying no. One rationale provided for why
they should say no pointed out the fact that readers have a personal relationship with
magazines, and product placement runs the risk of undermining that special relationship.
(moderate; p. 238)
APPLICATION QUESTIONS: MINI-CASE SHORT ANSWER
Haley and Lauren, who recently graduated with MBAs, are opening a new shoe boutique, called
The Pampered Soul, in Hattiesburg, Mississippi, which is classified as a Metropolitan Statistical
Area (MSA) with more than 100,000 people, and it’s also home of The University of Southern
Mississippi. They will offer national brands of shoes that are not available in the department
stores in the mall, and their primary target market will be women ages 18 to 35. They’ve rented a
location on the main street in front of the USM campus. The owners realize that most of their
business will come from a five-mile radius and want to limit their advertising to those potential
customers. They have a modest budget for advertising, so they want to get as much out of it as
they can.
869.
Mini-Case Question. Haley and Lauren are thinking about advertising in the local
newspaper, the Hattiesburg American, but they don’t have a basic understanding of
advertising in newspapers. Provide a brief overview of the types of advertising in
newspapers, noting which would be most appropriate for them, and how they can learn of
the prices for advertising space.
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Chapter Ten: Interactive and Alternative Media
Answer:
There are three types of advertisements found within the local newspaper: classified,
display, and supplements. Classified advertising is usually done by individuals to sell
their personal goods as well as by local businesses and is arranged according to their
interest to readers. The dominant form of newspaper advertising is display advertising,
which can be any of the standard 56 sizes and placed anywhere in the paper except the
editorial page. Finally, newspaper supplements can carry both national and local
advertising and are usually produced by independent publishers that sell their publication
to newspapers. Display advertising would be most appropriate for this business.
The pricing for newspaper advertising is sold based on the size of the space used. The
charges are published on rate cards, which is a list of the charges for advertising space
and the discounts given to local advertisers and to advertisers who make volume buys.
(moderate; pp. 217–218)
870.
Mini-Case Question. Haley and Lauren recall learning something in their marketing
class about an arrangement between manufacturers of national brands and local
businesses with respect to advertising. Name and describe this arrangement.
Answer:
This arrangement is referred to as cooperative (co-op) advertising. This is an alternative
that allows the national advertiser to pay the local rate. It is an arrangement between the
advertiser and the retailer whereby the retailer buys the ad and then the manufacturer
pays half—or a portion depending on the amount of space the manufacturer’s brand
occupies.
(easy; p. 217)
871.
Mini-Case Question. Haley and Lauren want to hold a special event for the USM college
women in an attempt to get them into their store. Would advertising in the Hattiesburg
American be a good advertising medium to make them aware of the special event? Why
or why not?
Answer:
No, because one of the disadvantages of newspapers is limited coverage of certain
groups. Although newspapers have wide market coverage, certain market groups are not
frequent readers. The under-20 age group and college students are not frequent readers of
newspapers, but the campus newspaper might be a good option.
(easy; p. 219)
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Part Three: Effective Advertising Media
872.
Mini-Case Question. Discuss some out-of-home advertising vehicles that might be
appropriate for this business.
Answer:
The out-of-home vehicles appropriate for this business could include outdoor advertising,
such as billboards, an on-premise sign, posters (perhaps around campus), kiosks (if
available on campus, for example), and perhaps transit advertising.
(moderate; pp. 227–231)
873.
Mini-Case Question. Finally, Haley and Lauren want to make sure that customers know
how to find their business. Which medium is most appropriate for providing consumers
information on where to purchase the shoes they are looking for?
Answer:
Directory advertising, because it is directional advertising telling people where to go to
get the product or service they want. Haley and Lauren could purchase an ad in the
Yellow Pages, which lists all local and regional businesses that have a telephone number.
They could also advertise in a specialty directory, such as the campus directory.
(easy; pp. 233–234)
CHAPTER NINE
Broadcast Media
GENERAL CONTENT: MULTIPLE-CHOICE QUESTIONS
874.
Broadcast media includes which of the following?
a.
radio
b.
television
c.
Internet
d.
a and b
e.
a, b, and c
(d; easy; p. 243)
875.
Which of the following statements is false regarding broadcast media?
a.
Broadcast media are dynamic and bought by amount of time, such as seconds or
minutes.
b.
Broadcast media messages are fleeting.
c.
Broadcast engages more senses than reading and adds audio as well as motion for
television.
d.
Radio has suffered substantially with the advent of television, and advertising
revenues continue to fall.
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Chapter Ten: Interactive and Alternative Media
e.
Traditional radio stations are found on the AM/FM dial and serve a primarily
local market.
(d; moderate; p. 243)
876.
Which of the following is NOT part of the structure of the radio industry?
a.
public radio
b.
satellite radio
c.
cable radio
d.
AM/FM radio
e.
All of the above are part of the structure of the radio industry.
(e; moderate; p. 243)
877.
___________ uses cable television receivers to deliver static-free music via wires
plugged into cable subscribers’ stereos.
a.
Satellite radio
b.
Cable radio
c.
Low-power FM (LPFM)
d.
Web radio
e.
Public radio
(b; moderate; p. 244)
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Part Three: Effective Advertising Media
878.
________ can deliver the same radio stations, regardless of where the listener is in the
continental United States.
a.
Satellite radio
b.
Cable radio
c.
Low-power FM (LPFM)
d.
AM/FM radio
e.
Public radio
(a; moderate; p. 244)
879.
Nonprofit, noncommercial radio stations that serve a small market with reach of 3 to 5
miles that are not allowed to carry advertising are known as ________.
a.
cable radio
b.
public radio
c.
AM/FM radio
d.
low-power FM (LPFM)
e.
web radio
(d; moderate; p. 244)
880.
________ provides Webcasting, which is audio streaming through a web site.
a.
Satellite radio
b.
Cable radio
c.
Low-power FM (LPFM)
d.
Web radio
e.
Public radio
(d; easy; p. 244)
881.
Which advertising medium has the power to engage the imagination and communication
on a more personal level than other forms of media?
a.
radio
b.
television
c.
magazines
d.
newspapers
e.
outdoor
(a; moderate; p. 244)
882.
Commercials set to music are known as ________.
a.
musicals
b.
lyricals
c.
jingles
d.
dual-coded
e.
memorables
(c; moderate; p. 244)
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Chapter Ten: Interactive and Alternative Media
883.
Which is the largest category of radio advertising revenues?
a.
network
b.
spot
c.
local
d.
satellite
e.
web
(c; moderate; p. 246)
884.
________ radio is a group of local affiliates connected to one or more national networks
through telephone wires and satellites.
a.
Network
b.
Spot
c.
Local
d.
AM
e.
FM
(a; easy; p. 246)
885.
In which type of radio advertising does an advertiser place an advertisement with an
individual station?
a.
network
b.
spot
c.
local
d.
AM
e.
FM
(b; moderate; p. 246)
886.
________ radio advertising offers advertisers a variety of high-quality, specialized, and
usually original programs.
a.
Spot
b.
Syndicated
c.
Cooperative
d.
National
e.
Off-network
(b; moderate; p. 246)
887.
Which of the following is NOT a segment into which radio listeners can be separated?
a.
station fans
b.
radio fans
c.
music fans
d.
talk fans
e.
news fans
(d; difficult; p. 246)
331
Part Three: Effective Advertising Media
888.
The largest segment of radio listeners is known as ________.
a.
station fans
b.
radio fans
c.
music fans
d.
talk fans
e.
news fans
(a; difficult; p. 246)
889.
The typical radio programming day is divided into five segments called ________.
a.
listener groups
b.
drive times
c.
coverages
d.
ratings
e.
dayparts
(e; easy; p. 247)
890.
________ is the number of homes in a geographic area that are able to pick up a station
clearly, whether those homes are actually tuned in or not.
a.
Circulation
b.
Coverage
c.
Rating
d.
Impression
e.
Gross impression
(b; moderate; p. 247)
891.
________ measures the percentage of homes actually tuned in to a particular radio
station.
a.
Circulation
b.
Coverage
c.
Rating
d.
Impression
e.
Gross impression
(c; moderate; p. 247)
892.
Which of the following is NOT a factor affecting the rating for a particular radio station?
a.
traffic
b.
competing programs
c.
types of programs
d.
time of day or night
e.
All of the above affect the rating for a particular radio station.
(a; difficult; p. 247)
332
Chapter Ten: Interactive and Alternative Media
893.
Which of the following provides radio audience ratings for more than 250 markets in the
United States?
a.
Arbitron
b.
RADAR
c.
A.C. Nielsen
d.
Simmons
e.
MediaMark
(a; moderate; p. 248)
How does Arbitron collect consumers’ radio listening behavior?
a.
They call 12,000 respondents for seven consecutive days and ask them about their
radio listening the day before.
b.
Have of the sample complete a seven-day self-administered diary and the other
half is called for those seven days and asked about their radio listening the day
before.
c.
Electronic devices are mounted on roadways that intercept which radio stations
passing cars are tuned in to.
d.
They use a seven-day self-administered diary that the person returns to Arbitron at
the end of the week.
e.
Respondents agree to hook an electronic monitoring device on all of their radios
for a seven-day period to record which stations the radios are tuned in to.
(d; moderate; p. 248)
894.
895.
Which company provides audience-rating services for network radio listening?
a.
Arbitron
b.
RADAR
c.
A. C. Nielsen
d.
Simmons
e.
MediaMark
(b; moderate; p. 248)
896.
Which of the following is an advantage of advertising on radio?
a.
target audiences
b.
affordability
c.
frequency
d.
metal imagery
e.
all of the above
(e; easy; p. 248)
897.
Which of the following is NOT an advantage of advertising on radio?
a.
targeted audiences
b.
high level of acceptance
c.
scheduling and buying simplicity
d.
frequency
e.
flexibility
(c; difficult; p. 248)
333
Part Three: Effective Advertising Media
898.
Which of the following are ways radio provides targeted audiences for advertisers?
a.
specialized programming
b.
different parts of the country
c.
different times of day
d.
a and b
e.
a, b, and c
(e; moderate; p. 248)
Which advertising medium has been called the “theater of the mind”?
a.
magazines
b.
radio
c.
newspapers
d.
television
e.
outdoor
(b; easy; p. 248)
899.
900.
Which of the following is considered a disadvantage of radio advertising?
a.
listener inattentiveness
b.
lack of visuals
c.
lack of control
d.
scheduling and buying difficulties
e.
all of the above
(e; easy; pp. 248-249)
901.
Which of the following is NOT a disadvantage of radio advertising?
a.
listener inattentiveness
b.
scheduling and buying difficulties
c.
lack of control
d.
lack of flexibility
e.
clutter
(d; moderate; pp. 248–249)
902.
A broadcast ________ exists whenever two or more television stations are able to
broadcast the same program that originates from a singe source.
a.
alliance
b.
syndication
c.
network
d.
monopoly
e.
primacy
(c; easy; p. 250)
334
Chapter Ten: Interactive and Alternative Media
903.
According to the Federal Communications Commission (FCC), a program service with
15 or more hours of prime time programming per week between the hours of 8 and 11
p.m. is known as a(n) ________.
a.
affiliate
b.
syndicate
c.
cable provider
d.
network
e.
program provider
(d; moderate; p. 250)
904.
With respect to the structure of the TV industry, which of the following is NOT
considered a television option advertisers can use to deliver their messages to audiences?
a.
network television
b.
specialty television
c.
program syndication
d.
cable television
e.
regional television
(e; difficult; pp. 250–253)
905.
Which of the following is NOT a national, over-the-air television network in the United
States?
a.
Entertainment and Sports Programming Network (ESPN)
b.
American Broadcasting Company (ABC)
c.
Columbia Broadcasting System (CBS)
d.
National Broadcasting Company (NBC)
e.
Fox Broadcasting
(a; moderate; p. 251)
906.
Privately owned television stations that have a contractual relationship with a
broadcasting company are known as a(n) ________.
a.
network
b.
subscriber
c.
affiliate
d.
syndicate
e.
interconnect
(c; moderate; p. 251)
What is it called when an advertiser purchases only a portion of a network’s coverage?
a.
regional leg
b.
zoned exposure
c.
fragmented exposure
d.
regional exposure
e.
affiliate leg
(a; difficult; p. 251)
907.
335
Part Three: Effective Advertising Media
908.
What was the initial purpose of cable television?
a.
to offer consumers commercial-free programming
b.
to expand the market for syndicated programming
c.
to improve reception in certain areas of the country, particularly mountainous
regions and large cities
d.
to allow highly targeted special-interest programming options
e.
to increase opportunities for advertisers to reach their target markets
(c; difficult; p. 251)
909.
What is the most familiar example of subscription television?
a.
satellite TV
b.
TiVo
c.
Interactive
d.
cable
e.
syndication
(d; easy; p. 251)
910.
WTBS-Atlanta, WGN-Chicago, and WWOR-New York are all independent television
stations whose programs are carried by satellite to cable operators, and they are known as
________.
a.
cable networks
b.
superstations
c.
broadcast networks
d.
affiliates
e.
syndicated networks
(b; moderate; p. 252)
911.
Cable New Network (CNN), the Disney Channel, and the Entertainment and Sports
Programming Network (ESPN) are known as ________.
a.
cable networks
b.
superstations
c.
broadcast networks
d.
affiliates
e.
syndicated networks
(a; moderate; p. 252)
912.
________ scheduling
simultaneously.
a.
Network cable
b.
Local cable
c.
Interconnects
d.
Satellite
e.
Superstation
(a; moderate; p. 252)
runs
commercials
336
across
the
entire
subscriber
group
Chapter Ten: Interactive and Alternative Media
913.
A special cable technology that allows local or regional advertisers to run their
commercials in small geographic areas through the interconnection of a number of cable
systems is known as ________.
a.
network cable
b.
local cable
c.
interconnects
d.
satellite transmission
e.
syndication
(c; moderate; p. 252)
914.
Local television stations that are not affiliated with a network are known as ________.
a.
disconnects
b.
interconnects
c.
spot stations
d.
syndicated stations
e.
independent stations
(e; easy; p. 252–253)
915.
________ are when national advertisers buy local advertising on a city-by-city basis from
local television stations.
a.
Independent buys
b.
Spot buys
c.
Specialty buys
d.
Limited buys
e.
Regional legs
(b; moderate; p. 253)
916.
Commercial messages that are allowed on public television are known as ________.
a.
participations
b.
spot buys
c.
syndicated buys
d.
philanthropy
e.
program sponsorships
(e; moderate; p. 253)
917.
Which of the following is NOT considered a programming option or distribution format
available to television stations as well as to advertisers?
a.
pay-per-view
b.
sponsorships
c.
program syndication
d.
digital video recorders (DVR)
e.
high-definition TV (HDTV)
(b; difficult; pp. 253–254)
337
Part Three: Effective Advertising Media
918.
Multipoint distribution systems (MDS) used by hotels to provide guests with movies and
other entertainment are an example of which type of television programming option?
a.
specialty television
b.
pay-per-view
c.
program syndication
d.
interactive television
e.
high-definition TV (HDTV)
(a; moderate; p. 253)
919.
Television programs purchased by local stations to fill time in open hours are known as
________.
a.
syndicated programs
b.
network programs
c.
cable programs
d.
pay-per-view programs
e.
fringe programs
(a; moderate; pp. 253–254)
920.
What are the two types of syndicated programs?
a.
primary and secondary
b.
rerun and first-run
c.
specialty and commercial-free
d.
off-network and first-run
e.
wired and unwired
(d; moderate; p. 254)
921.
What is causing growth in interactive television?
a.
syndication
b.
digital video recorders
c.
high-definition TV
d.
narrowcasting
e.
broadband
(e; moderate; p. 254)
922.
Recording television programs without the hassles of videotape, letting users pause, do
instant replays, and begin watching programs even before the recording has finished is
known as ________.
a.
broadband
b.
high-definition TV
c.
time-shifting
d.
interactive television
e.
syndication
(c; moderate; p. 254)
338
Chapter Ten: Interactive and Alternative Media
923.
What technology allows users to record television programs without the hassles of
videotape, letting users pause, do instant replays, and begin watching programs even
before the recording has finished?
a.
interactive TV
b.
high-definition TV
c.
digital video recorders
d.
broadband recorders
e.
digital enhancers
(c; moderate; p. 254)
924.
Which of the following is NOT a type of network television advertising alternative?
a.
sponsorship
b.
participations
c.
product placement
d.
spot announcements
e.
All of the above are types of network television advertising.
(c; difficult; p. 255)
925.
In which type of network television advertising does the advertiser assume the total
financial responsibility for producing the program and providing the accompanying
commercials?
a.
participations
b.
spot announcements
c.
dayparts
d.
sponsorships
e.
product placement
(d; moderate; p. 255)
926.
Which of the following type of network television advertising is the dominant form,
representing more than 90 percent of all network advertising?
a.
participations
b.
spot announcements
c.
dayparts
d.
sponsorships
e.
product placement
(a; moderate; p. 256)
927.
In which type of network television advertising does the advertiser pay for 10, 15, 20, 30,
or 60 seconds of commercial time during one or more programs?
a.
participations
b.
spot announcements
c.
dayparts
d.
sponsorships
e.
product placement
(a; moderate; p. 256)
339
Part Three: Effective Advertising Media
928.
Which type of network television advertising provides advertisers more flexibility in
market coverage, target audiences, scheduling, and budgeting?
a.
participations
b.
spot announcements
c.
dayparts
d.
sponsorships
e.
product placement
(a; difficult; p. 256)
929.
Which type of television advertising appears in the breaks between programs, which local
affiliates sell to advertisers who want to show their ads locally?
a.
participations
b.
spot announcements
c.
dayparts
d.
sponsorships
e.
product placement
(b; moderate; p. 257)
930.
At what level does A. C. Nielsen measure television audiences?
a.
local and national
b.
network and spot
c.
network and local
d.
local and spot
e.
in-home and out-of-home
(b; difficult; p. 257)
931.
An instrument that records when the TV set is used and which station it is tuned to, but
cannot identify who is watching the program, is called a(n) ________.
a.
people meter
b.
audiometer
c.
tv meter
d.
frequency meter
e.
viewing meter
(b; moderate; p. 257)
932.
What does one television rating point represent?
a.
1 percent of the TV viewing audience
b.
1,000 TV households
c.
1,000,000 TV households
d.
1,000 TV viewers
e.
1 percent of the nation’s TV households
(e; difficult; p. 258)
340
Chapter Ten: Interactive and Alternative Media
933.
Which of the following statements is true regarding television ratings and share?
a.
Share refers to the percentage of viewers based on the number of TV households.
b.
The share figure is always larger than the rating.
c.
Rating refers to the percentage of viewers based on the number of sets turned on.
d.
The rating figure is always larger than the share.
e.
There is no difference between rating and share as the two terms are
synonymous.
(b; moderate; p. 258)
934.
Which term refers to the percentage of viewers based on the number of television sets
turned on?
a.
rating
b.
share
c.
gross rating points
d.
gross share points
e.
impressions
(b; moderate; p. 258)
935.
The sum of the total exposure potential (i.e., total ratings) expressed as a percentage of
the audience population is called ________.
a.
rating
b.
share
c.
gross rating points
d.
gross share points
e.
impressions
(c; moderate; p. 258)
936.
An instrument that records what television shows are being watched, the number of
households that are watching, and which family members are viewing is known as a(n)
________.
a.
people meter
b.
audiometer
c.
tv meter
d.
frequency meter
e.
viewing meter
(a; moderate; p. 259)
937.
Which of the following is considered an advantage of advertising on television?
a.
cost-efficiency
b.
low production costs
c.
minimal clutter
d.
intrusiveness
e.
all of the above
(a; moderate; p. 259)
341
Part Three: Effective Advertising Media
938.
Which of the following is NOT an advantage of advertising on television?
a.
pervasiveness
b.
cost-efficiency
c.
impact
d.
flexibility
e.
A.ll of the above are advantages of advertising on television.
(d; difficult; p. 259)
939.
Which of the following is a disadvantage of advertising on television?
a.
production costs
b.
clutter
c.
wasted reach
d.
inflexibility
e.
all of the above
(e; easy; pp. 259 and 261)
940.
Which of the following is NOT a disadvantage of advertising on television?
a.
inflexibility
b.
low cost-efficiency
c.
clutter
d.
wasted reach
e.
intrusiveness
(b; difficult; pp. 259 and 261)
941.
Movie theaters sell time at the beginning of their film showings for commercials called
________.
a.
previews
b.
captive showings
c.
selective showings
d.
trailers
e.
movie advertising
(d; moderate; p. 262)
942.
________ is when a company pays to have verbal or visual brand exposure in a movie of
television program.
a.
Cinema advertising
b.
Subliminal advertising
c.
Product placement
d.
Participation
e.
Sponsorship
(c; moderate; p. 263)
342
Chapter Ten: Interactive and Alternative Media
943.
Which of the following is NOT an advantage of product placement?
a.
demonstrates product use in a natural setting by people who are celebrities
b.
unexpected and catches the audience when their resistance to advertising
messages may be dialed down
c.
effective even if there is not a match between the product and the movie or its
audience
d.
good for engaging the affections of other stakeholders, such as employees and
dealers, particularly if the placement is supported with its own campaign
e.
All of the above are advantages of product placement.
(c; difficult; p. 263)
GENERAL CONTENT: TRUE/FALSE QUESTIONS
The most powerful radio stations are called “superstations” and can deliver signals for
long distances.
(False; moderate; p. 243)
944.
945.
FM stations tend to be stronger than AM stations, sometimes reaching as far away as 600
miles, which is why music stations prefer FM, and talk radio and stations that broadcast
sporting events are often found on AM.
(False; difficult; p. 243)
946.
Public radio stations are considered noncommercial in that they rely on listener support
for most of their funding, and no commercial support is allowed by law.
(False; moderate; p. 244)
947.
Network radio is a group of local affiliates connected to one or more national networks
through telephone wires or satellites.
(True; moderate; p. 246)
948.
Syndicated radio advertising providers offer flexibility through their willingness to run
unusual ads, allow last-minute changes, and negotiate rates.
(False; difficult; p. 246)
949. Radio is a highly segmented medium.
(True; easy; p. 246)
950. Arbitron and RADAR are the major audience-rating services for radio.
(True; moderate; p. 248)
951.
One advantage of advertising on radio is that radio is not normally perceived as an irritant
and has a high level of consumer acceptance.
(True; moderate; p. 248)
343
Part Three: Effective Advertising Media
952.
Advertisers trying to reach a wide audience often need to buy time on several stations,
and this has been made easier by the “one-order, one-bill” system.
(False; difficult; p. 249)
953.
One disadvantage of advertising on radio is lack of control, which means advertisers do
not have much control over when their ads will air.
(False; moderate; p. 249)
954.
Although radio may not be a primary medium for most businesses, it does have excellent
reminder and reinforcement capability.
(True; easy; p. 249)
955.
One trend in audio advertising is narrowly targeted laserlike sound beams that can
pinpoint individual shoppers with prerecorded messages encouraging them to try or buy
some product.
(True; moderate; p. 249)
956.
Because television advertising is embedded in television programming, most of the
attention in media buying, as well as in the measurement of television advertising’s
effectiveness, is focused on the performance of various shows and how they engage their
audiences.
(True; moderate; p. 249)
957.
The price of a 30-second prime time network television ad has increased, but the size of
the audience has increased as well.
(False; moderate; p. 250)
958.
The Federal Communications Commission (FCC) defines a network as a program service
with 30 or more hours of prime time programming per week between the hours of 8 a.m.
and 11 p.m.
(False; difficult; p. 250)
959.
Currently, there are six national, over-the-air television networks in the United States:
ABC, CBS, NBC, Fox, WB, and UPN.
(False; moderate; p. 251)
960.
Network-affiliated television stations are required by law to show all of the programming
provided by the network.
(False; difficult; p. 251)
961.
A problem facing network TV is that its audience, particularly men aged 18 to 24,
continues to erode as other viewing opportunities make inroads on their audiences.
(True; easy; p. 251)
344
Chapter Ten: Interactive and Alternative Media
962.
The initial purpose of cable television was to provide highly targeted special-interest
programming options.
(False; moderate; p. 251)
963.
Cable News Network (CNN), the Disney Channel, and the Entertainment and Sports
Programming Network (ESPN) are examples of independent superstations.
(False; difficult; p. 252)
964. The two categories of cable scheduling are network and local.
(True; moderate; p. 252)
965.
With local cable scheduling, advertisers can show their commercials to highly restricted
geographic audiences through interstitials, a special cable technology.
(False; difficult; p. 252)
966. Television stations not affiliated with a network are known as independent stations.
(True; easy; p. 252–253)
967.
National advertisers sometimes buy local advertising on a city-by-city basis using spot
buys.
(True; moderate; p. 253)
968.
The FCC allows public broadcasting system (PBS) stations to air commercial messages,
called program sponsorships, as long as the messages do not make a call to action (i.e.,
ask for a purchase) or make price or quality comparisons and appear only during the local
2.5-minute program breaks.
(True; moderate; p. 253)
969.
The FCC has licensed low-power television (LPTV) to provide programming outlets to
minorities and communities that are under-served by full-power stations.
(True; moderate; p. 253)
970. The FCC has recently banned pay-per-view television from carrying commercials.
(False; difficult; p. 253)
971.
Syndicated programs include reruns of network shows as well as new episodes of
programs.
(True; moderate; p. 254)
972.
TiVo is a substantial threat to marketers because it allows consumers to skip commercials
completely.
(True; easy; p. 255)
973.
In program sponsorships, the advertiser assumes the total financial responsibility for
producing the program and providing the accompanying commercials.
(True; easy; p. 255)
345
Part Three: Effective Advertising Media
974.
Participations are commercials that appear in the breaks between programs, which local
affiliates sell to advertisers who want to show their ads locally.
(False; moderate; p. 256)
975.
The share figure is always larger than the rating for television, because the base is
smaller.
(True; moderate; p. 258)
976.
Network television is an expensive medium, but because of its traditionally high reach to
a mass audience it is considered cost-efficient.
(True; easy; p. 259)
977.
Syndicated programming networks run programs and commercials, such as the channels
you see in grocery stores, doctors’ offices, and truck stops that distribute commercials by
video or satellites.
(False; difficult; p. 262)
978. The biggest problem with product placement is that the placement may not be noticed.
(True; moderate; p. 263)
GENERAL CONTENT: ESSAY QUESTIONS
979.
Describe the structure of the radio industry by naming and describing the elements of the
structure.
Answer:
The structure of the radio industry includes the following elements:
(1)
AM/FM—Radio stations are delivered by two different ranges of signals or radio
wave frequencies: AM and FM. AM stations tend to be stronger than FM stations,
but the tonal quality of an FM signal is superior to that of AM, which is why
music stations prefer FM, and talk radio and stations broadcasting sports events
are often found on AM.
(2)
Public Radio—Local public radio stations are usually affiliates of National Public
Radio (NPR) and carry much of the same programming. These stations are
considered noncommercial in that they rely on listener support for most of their
funding; however, they have slowly expanded their corporate sponsorship
messages.
(3)
Cable Radio—Uses cable television receivers to deliver static-free music via
wires plugged into cable subscribers’ stereos and typically is free of commercials.
(4)
Satellite Radio—Can deliver radio stations, regardless of where you are in the
continental United States.
(5)
Low-power FM (LPFM)—Nonprofit, noncommercial stations that serve a small
market, with a reach of three to five miles. Currently, the FCC does not allow
them to carry advertising.
346
Chapter Ten: Interactive and Alternative Media
(6)
Web Radio—Audio streaming through a web site and can offer advertisers spots
that run only in certain parts of a city.
(moderate; pp. 243–244)
980.
Name and describe the three major types of radio advertising.
Answer:
(1)
Network Radio Advertising—Radio advertising bought from national networks
who distribute programming and advertising to their affiliates. Network radio is a
group of local affiliates connected to one or more national networks through
telephone wires and satellites.
(2)
Spot Radio Advertising—Advertiser places an advertisement with an individual
station rather than through a network and makes up nearly 80 percent of all radio
advertising.
(3)
Syndicated Radio Advertising—Program syndication has benefited network radio
because it offers advertisers a variety of high-quality, specialized, and usually
original programs. Both networks and private firms offer syndication, and
advertisers value syndicated programming because of the high level of loyalty of
its audience.
(moderate; p. 246)
108.
Discuss three advantages and three disadvantages of advertising on radio.
Answer:
Students can discuss any three of the following advantages:
(1)
Target Audiences—Ability to reach specific audiences through specialized
programming, different parts of the country, and through different parts of the
day.
(2)
Affordability—May be the least expensive of all media.
(3)
Frequency—Because it is affordable, it’s easier to build frequency through
repetition. The nature of the radio message is another reason why it is a good
frequency medium because reminder messages, particularly jingles and other
musical forms, are easier to repeat without becoming irritating.
(4)
Flexibility—Has the shortest closing period, meaning copy can be submitted up to
airtime. Stations are also willing to participate in promotional tie-ins such as store
openings, races, and so on.
(5)
Mental Imagery—Allows the listener to imagine. Radio uses words, sound
effects, music, and tone of voice to enable listeners to create their own pictures,
resulting in radio sometimes being called the theater of the mind.
(6)
High Level of Acceptance—At the local level; it is not normally perceived as an
irritant because people have their favorite radio stations and radio personalities.
347
Part Three: Effective Advertising Media
Students can discuss any three of the following disadvantages:
(1)
Listener Inattentiveness—Messages are fleeting, and listeners may miss or forget
commercials. Many people think of radio as a pleasant background and do not
listen to it carefully.
(2)
Lack of Visuals—Products that must be demonstrated or seen to be appreciated
are inappropriate for radio advertising.
(3)
Clutter—The number of radio stations has increased, and so has the heavy
repetition of some ads.
(4)
Scheduling and Buying Difficulties—Advertisers seeking to reach a wide
audience often need to buy time on several stations, complicating scheduling and
ad evaluation due to nonstandardization.
(5)
Lack of Control—There is always the risk that a radio personality will say
something that offends the audience and could hurt the audience’s perception of
an advertiser’s product.
(moderate; pp. 248–249)
109.
Describe the structure of the television industry by naming and describing the elements of
the structure.
Answer:
The key types of television delivery systems are wired and unwired networks, local
stations, public stations, cable, and subscription. Specialty, syndicated, interactive
television, and TiVo offer different types of programming and ways to manipulate the
programming. More specifically:
(1)
Network Television—A broadcast network exists whenever two or more stations
are able to broadcast the same program that originates from a single source, and it
can be over-the-air or cable. The FCC defines a network as a program service
with 15 or more hours of prime time programming per week between the hours of
8 a.m. and 11 p.m.
(2)
Cable and Subscription Television—People sign up for a service and pay a
monthly fee. Another form of subscription television is satellite TV. Network
cable scheduling runs commercials across the entire subscriber group
simultaneously. With local cable scheduling, advertisers can show their
commercials to highly restricted geographical audiences through interconnects.
(3)
Local Television—Most local television stations are affiliated with a network, but
there are independent stations not affiliated with a network. Most advertisers for
the local market are local businesses. National advertisers sometimes buy local
advertising on a city-by-city basis, using spot buys.
(4)
Public Television—Although mostly considered to be “commercial-free,” the
FCC now allows some leeway in airing commercial messages, which are called
program sponsorships. The FCC says these messages should not make a call to
action (i.e., ask for a purchase) or make price or quality comparisons, and they
can appear only during the local 2.5-minute program breaks.
(5)
Specialty Television—The FCC has licensed low-power television (LPTV) to
provide programming outlets to minorities and communities that are underserved
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by full-power stations. Hotels and restaurants use multipoint distribution systems
(MDS) to provide guests with movies and other entertainment. Although specialty
systems can carry ads, they are a minor delivery system.
(6)
Pay-per-view—Delivered by satellite, usually used for major sporting and music
events, commercial customers, such as bars, as well as home viewers subscribe
for live delivery of the events without any commercials.
(7)
Program Syndication—Syndicated programs are television programs purchased
by local stations to fill time in open hours. Off-network and first-run syndication
are the two types.
(8)
Interactive Television—Basically a television with computer capabilities, and it
appears to be growing due to broadband. Broadband has more capacity to send
data and images into a home or business through a cable television wire than does
the much smaller capacity of a traditional telephone wire or television antenna
system.
(9)
High-Definition TV (HDTV)—A type of TV set that can play back moviequality, high-resolution images, but stations or networks have to broadcast the
program in an HDTV format. Advertisers have been watching this development
and will provide HDTV ads as demand builds.
(10) Digital Video Recorders (DVR)—Allow users to record TV shows and watch
them whenever they like. Users get a TiVo “box” and subscribe to a service that
distributes programming. The technology allows recording of programs without
the hassles of videotape, lets users pause, do instant replays, and begin watching
programs even before the recording has finished, known as time-shifting. Rub for
advertisers: consumers can avoid commercials.
(difficult; pp. 250–254)
110.
Discuss three advantages and three disadvantages of advertising on television.
Answer:
The three advantages of advertising on television are:
(1)
Pervasiveness—Television is in almost every home; some homes have a TV in
every room, and these TVs are turned on for a great part of the day.
(2)
Cost-efficiency—Many view it as the most cost-effective way to deliver a massmedia message because it has such a wide reach. Even though it is expensive on
an absolute basis, it is cost-efficient because the costs are spread across so many
viewers.
(3)
Impact—The interaction of sight, sound, color, motion, and drama creates a
strong emotional response. It is also good for delivering demonstrations and
dramas.
Students can discuss any three of the disadvantages of advertising on television:
(1)
Production Costs—Extremely high cost of producing and running commercials.
Production costs include filming the commercial and paying the talent—writers,
directors, and actors.
(2)
Clutter—There are no restrictions on the commercial time per hour.
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(3)
Wasted Reach—Communication directed at an unresponsive (and often
uninterested) audience that may not fit the advertiser’s target market
characteristics.
(4)
Inflexibility—Most network television is bought in the spring and early summer
for the next fall season, and if an advertiser is not able to make this up-front buy,
only limited time slots remain available. Also, it is difficult to make last-minute
adjustments in copy and visuals, and production of a TV commercial takes weeks
to months.
(5)
Intrusiveness—TV commercials intrude into the programs and are therefore more
irritating than other forms of advertising, leading viewers to mute and zap
commercials.
(moderate; pp. 259 and 261)
APPLICATION QUESTIONS: MULTIPLE-CHOICE QUESTIONS
111.
Who did drugstore.com, which was described in the chapter opening vignette, target with
its advertising efforts?
a.
single men
b.
single women
c.
head-of-household men
d.
head-of-household women
e.
men and women more than 65 years old
(d; moderate; p. 242)
112.
How did drugstore.com, which was described in the chapter opening vignette, position
itself?
a.
as the lowest-price online pharmacy
b.
as the best quality pharmacy
c.
as a premier online shopping alternative, less taxing and more convenient than
driving to a drugstore
d.
as the online drugstore with the greatest assortment of products
e.
as the lowest-priced online source for health and beauty aids
(c; moderate; p. 242)
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113.
WLSU is the campus radio station at Louisiana State University. It is a nonprofit,
noncommercial station that serves a small market (i.e., the university community), with a
reach of three to five miles. They provide a variety of music and informational
programming, and all LSU student, faculty, and staff performances are broadcast on this
station. With respect to the structure of the radio industry, WLSU is an example of
________.
a.
public radio
b.
cable radio
c.
satellite radio
d.
low-power FM (LPFM)
e.
web radio
(d; moderate; p. 244)
114.
Laurie loves the car radio her husband gave her for her birthday because she spends hours
on the road as a sales rep covering the entire southeast region of the United States. She is
able to listen to the same station, regardless of where she is in the country, and the music
stations are completely commercial-free. She has to pay a monthly fee for this
programming, but to her, it’s worth it. With respect to the structure of the radio industry,
what kind of radio does this represent?
a.
AM/FM
b.
cable radio
c.
satellite radio
d.
web radio
e.
LPFM
(c; easy; p. 244)
115.
Rush Limbaugh is a conservative talk show host who is heard on hundreds of radio
stations around the country. Advertisers, such as Select Comfort beds, advertise on his
program because of the high level of loyalty of his audience, affectionately called “Ditto
Heads” because they agree with Rush because they feel he voices their opinions,
thoughts, and feelings effectively. Local radio stations purchase the rights to air his
program on their station. National advertisers can purchase advertising time from the
program provider or the local station, and local businesses usually purchase advertising
during this show from the local station. What type of radio advertising does this
represent?
a.
network radio advertising
b.
spot radio advertising
c.
syndicated radio advertising
d.
news radio advertising
e.
up-front radio advertising
(c; moderate; p. 246)
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116.
Starbucks is interested in radio advertising and wants to reach consumers at the best time
of day to get them to drive into a Starbucks location. Research has shown that 80 percent
of consumers drink the majority of coffee before going to work or on their way to work.
What daypart would you recommend Starbucks use to reach these consumers?
a.
6 to 10 a.m. (morning drive time)
b.
10 a.m. to 3 p.m. (daytime)
c.
3 to 7 p.m. (evening drive time)
d.
7 p.m. to midnight (nighttime)
e.
midnight to 6 a.m. (all night)
(a; easy; p. 247)
117.
Rain Forest Car Wash wants to start advertising to increase its business. Rain Forest is
looking for an advertising medium that will allow them to advertise frequently yet still be
affordable. They also want the capability to change messages to reflect current conditions
that affect a car’s appearance, such as the high level of pollen that settles on cars from
one day to the next. Based on this information, which advertising medium would you
recommend for this business?
a.
newspapers
b.
magazines
c.
television
d.
radio
e.
outdoor billboards
(d; moderate; p. 248)
Wendy’s fast food restaurant wants to increase radio advertising in the metropolitan area
of several major cities. They want to advertise close to lunch and dinner times because
they feel that consumers are already in their cars and will more likely drive into a
Wendy’s if they hear an ad around the time they are hungry. Wendy’s is seeking to reach
as wide of an audience as possible and intends to advertise on several stations within each
area to do so. Considering the disadvantages of advertising on the radio, which one is
most relevant in this situation?
a.
listener inattentiveness
b.
lack of visuals
c.
clutter
d.
scheduling and buying difficulties
e.
lack of control
(d; moderate; p. 249)
118.
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119.
WDAM is a local television station in Hattiesburg, Mississippi, that airs programming
provided from the National Broadcasting Company (NBC). This station has a contractual
relationship with NBC in which it agrees to carry programming originating from NBC
during a certain part of its schedule. WDAM is allowed to sell a small amount of time
during this programming to advertisers wishing to reach the local market, but the station
typically pays NBC 30 percent of the fees they charge for this local advertising.
However, WDAM receives 15 percent of the advertising revenue paid to NBC by
national advertisers. WDAM is known as a network ________.
a.
affiliate
b.
subscriber
c.
agent
d.
assistant
e.
enabler
(a; easy; p. 251)
120.
The Wall Street Journal wants to begin an advertising campaign using television to
attract more subscribers. They want a television vehicle that is relatively uncluttered and
reaches an affluent, well-educated household. One goal of their promotion is to not
appear to be asking for a purchase, merely to make the publication more salient in the
minds of their target audience. Based on this information and your knowledge of the
structure of the television industry, which of the following delivery systems or
programming options would be best for the WSJ?
a.
network television
b.
public television
c.
cable television
d.
program syndication
e.
interactive television
(b; difficult; p. 253)
121.
Some have predicted that, in the future, television will allow consumers to purchase
products/brands they see on a television show. For example, if you like the shirt
Raymond is wearing in Everybody Loves Raymond, you will be able to click on the shirt
and will be taken to a web site that allows you to purchase it. When finished, you can
pick up viewing the program where you left off. What type of television delivery system
or program option does this represent?
a.
pay-per-view
b.
high-definition TV (HDTV)
c.
interactive television
d.
e-commerce television
e.
network cable
(c; moderate; p. 254)
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122.
How did Starbucks use television to let consumers know that their coffee is now sold in
grocery stores?
a.
They purchased five spots during the Super Bowl and reached more than 100
million consumers during each ad exposure.
b.
They sponsored National Public Radio (NPR) programming for six months.
c.
They saturated the airwaves with spot radio and television buys in major markets
for three months straight.
d.
They sponsored Independent Film Channel movies on the Bravo cable network on
Friday nights for a month and let the movies run uninterrupted by commercial
breaks, and they let consumers know of their sponsorship through messages
supporting Bravo promotions during each week leading up to the Friday night
telecast.
e.
They sponsored “Band of Brothers,” which was shown over several weeks on the
History Channel, and they featured several WWII heroes in 30-second television
commercials promoting the History Channel’s programming.
(d; moderate; p. 256)
That ‘70s Show, which is shown on Fox network, had a rating or 4.0 but a share of 7.
Why are these two numbers different?
a.
Rating includes all TV households and share considers only those households that
have their TVs on at that time.
b.
Share includes all TV households and rating considers only those households that
have their TVs on at that time.
c.
Rating is provided by Arbitron and share is provided by Nielsen, and both use
different methods for estimating audience size.
d.
Rating is provided by Nielson and share is provided by Arbitron, and both use
different methods for estimating audience size.
e.
Rating compares audience size to the entire TV universe, while share compares
only audience size to other network programming.
(a; moderate; p. 258)
123.
As described in “The Inside Story,” how did HER&NU marketing communication turn
around the negative image the Framsokn political party was suffering in Iceland?
a.
They executed television commercials using humor with a serious selling point.
b.
They provided factual evidence in their TV commercials of the positive economic
and social changes the party was the catalyst for over the past 12 years.
c.
They used comparative advertising, which is allowed only on television in
Iceland, in which they juxtaposed the rival political party’s position with their
party’s position on several economic and social issues.
d.
They selected a younger candidate and used television advertising heavily to
project a younger image for their political party.
e.
They selected a female candidate and used television advertising heavily to
project a more female-focused party.
(a; moderate; p. 260)
124.
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Chapter Ten: Interactive and Alternative Media
125.
In 2004, which of the following was the top show by ad rates?
a.
Friends
b.
Will & Grace
c.
ER
d.
Monday Night Football
e.
American Idol
(a; difficult; p. 261 [Table 9.5])
As described in the “Hands-On” case at the end of the chapter, what risky step has Sirius
satellite radio taken with the goal to increase subscribers by more than 1 million?
a.
They have gone to programming that is completely commercial-free.
b.
They signed controversial talk show host Rush Limbaugh to bring his program to
Sirius in the hopes that his loyal listeners will follow.
c.
They increased their price 50 percent and touted that fact in television
commercials to convey the position that they are superior to their competitor, XM
Radio.
d.
They signed “shock jock” Howard Stern to bring his program to Sirius in the
hopes that his loyal listeners will follow.
e.
They plan on increasing their advertising spending from $1 million to $100
million by 2007, and Mel Karmazin, CEO of Sirius, says this aggressive
advertising growth plan will actually drive subscribers to Sirius due to their strong
dislike and resistance to commercials.
(d; moderate; p. 266)
126.
APPLICATION QUESTIONS: MINI-CASE MULTIPLE-CHOICE
Procter & Gamble is a major manufacturer of consumer packaged goods and spent almost $3
billion on consumer advertising in 2004, much of it on television. P&G has nationwide
distribution of its products and uses television advertising because of that. However, P&G is
concerned about the decrease in television audiences in recent years and the fact that consumers
are better able to avoid television commercials.
127.
Mini-Case Question. What type of television delivery system allows P&G to advertise
on hundreds of television stations simultaneously across the country during prime time
programs?
a.
network television
b.
public television
c.
specialty television
d.
pay-per-view
e.
interactive television
(a; easy; p. 250)
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Part Three: Effective Advertising Media
Mini-Case Question. The bulk of P&G’s television advertising is 30-second commercials
that air nationwide during several different programs every day of the week. What type of
television advertising is this?
a.
sponsorship
b.
participations
c.
spot announcements
d.
on-network syndication
e.
specialty television
(b; moderate; p. 256)
128.
129.
Mini-Case Question. One thing P&G has done recently is to develop family-friendly
programming, assuming the total financial responsibility for producing the program and
providing the accompanying commercials. They are concerned that some of the
controversial programming on television today hurts their brand’s image if they advertise
during that type of programming. What form of television advertising is P&G
undertaking?
a.
sponsorship
b.
participations
c.
spot announcements
d.
on-network syndication
e.
specialty television
(a; moderate; p. 255)
130.
Mini-Case Question. Another major concern of P&G and other advertisers is the fact that
consumers are increasingly avoiding commercials, either by zapping them or using
technology, such as digital video recorders, to avoid them completely. As a result, they
are making a concerted effort to get the actors in movies and television programs to
verbally or visually expose their brands to the audience. What is this practice known as?
a.
sponsorship
b.
product placement
c.
participations
d.
de-clutter
e.
share
(b; moderate; p. 263)
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Chapter Ten: Interactive and Alternative Media
APPLICATION QUESTIONS: SHORT-ANSWER
131.
What was the challenge facing drugstore.com, which was described in the chapter
opening vignette, and how did they address it?
Answer:
The challenge facing drugstore.com was that they faced ferocious competition from other
dot-coms stocking many of the same products, making online drugstore retailing a highcost, inventory management nightmare. Drugstore.com realized it would have to become
an expert in customer service if it was going to survive.
Based on research, they targeted head-of-household women, knowing that they make
most purchase decisions for the entire family and actually enjoy shopping for drugstore
products. However, they hate the long lines and the medical environment. So
drugstore.com positioned itself as a comfortable way for women to buy pharmaceuticals
online and designed a campaign around the tagline “A very healthy way to shop.” The
agency positioned drugstore.com as a premier online shopping alternative, less taxing and
more convenient than driving to a drugstore. They first targeted eight top Internet markets
with television advertising during programming that reached their target market using
slice-of-life vignettes to show that a woman can solve her problems by using
drugstore.com
(moderate; pp. 241–242)
132.
Coca-Cola had an “Always Coca-Cola” campaign in which their agency created jingles in
several different music styles, such as rock-and-roll, country, hip-hop, and easy rock. The
musical quality was on par with the music programming heard on radio stations, and they
wanted to ensure that consumers heard it at that quality level. They also wanted as many
consumers as possible to be exposed to the ads. Explain which type of radio is best at
meeting these requirements?
Answer:
Although cable, satellite, and web radio offer excellent sound quality, not all consumers
subscribe or have access to these radio options. FM radio, on the other hand, offers better
tonal quality than AM and is free to consumers—all they need is a radio receiver.
(b; difficult; p. 243)
133.
The Secret Gallery is a unique gift and home accessories store that recently opened. The
owners want to advertise their business and are looking for an advertising medium that
will allow them to advertise frequently and at a low cost to women aged 18 to 45. They
want to get the audience curious about the uniqueness of the offerings and get them
imagining the uniqueness and beauty they can expect when they visit the store. Based on
this information, recommend the appropriate medium for them.
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Answer:
Radio would probably be most appropriate because it is the least expensive of all media,
and advertisers can easily build frequency through repetition. Based on the nature of the
medium, reminder messages, particularly jingles and other musical forms, are easier to
repeat without becoming irritating. It is also a medium that allows the listener to imagine
by using words, sound effects, music, and tone of voice to enable listeners to create their
own pictures.
(moderate; p. 248)
134.
Community Coffee once claimed in one of their television commercials that it was the
“state coffee of Louisiana,” and a nice lady mockingly said at the end of the commercial
that “You’ve got to be a Yankee if you don’t like Community Coffee!” Community
wants to advertise on cable television, especially during food-related shows that appear
on the Food Network. Because Community Coffee is distributed only in the South, they
don’t want nationwide exposure for their ads. Explain how Community can advertise on a
regional basis on cable television.
Answer:
With local cable scheduling, advertisers can show their commercials to highly restricted
geographic audiences through interconnects, a special cable technology that allows local
or regional advertisers to run their commercials in small geographic areas through the
interconnection of a number of cable systems.
(moderate; p. 252)
135.
Ruth was watching public television and noticed that there were commercial messages.
She always thought that public television was commercial-free. Is that true? Explain your
answer.
Answer:
Although many people still consider public television to be commercial-free, in 1984 the
FCC liberalized its rules and allowed the public broadcasting system (PBS) stations some
leeway in airing commercial messages, which are called program sponsorships. The FCC
says these messages should not make a call to action (ask for a purchase) or make price
or quality comparisons. Ads are allowed to appear only during the local 2.5-minute
program breaks, and each station maintains its own acceptability guidelines.
(moderate; p. 253)
136.
Six Flags Fiesta Texas is located in San Antonio, Texas. Although several locals and
other Texans visit the park every year, Six Flags wants to target the millions of tourists
that visit the beautiful city for the Alamo and the riverwalk area. They would like to
reach these tourists through television in their hotel rooms. Explain how they can do that.
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Chapter Ten: Interactive and Alternative Media
Answer:
One programming option for television is Specialty Television. Hotels and restaurants
use multipoint distribution systems (MDS) to provide guests with movies and other
entertainment. These systems can also carry ads and would be ideal for Six Flags to use if
that is the target market they are seeking.
(moderate; p. 253)
137.
May is the time of year when agencies start purchasing advertising time during prime
time network programming for the next television season that begins in September. Name
and describe the three forms of network television advertising, and explain what form
question 135 is an example of.
Answer:
The forms of network television advertising are:
(1)
Sponsorships—Advertiser assumes the total financial responsibility for producing
the program and providing the accompanying commercials.
(2)
Participations—Advertiser pays for 10, 15, 20, 30, or 60 seconds of commercial
time during one or more programs.
(3)
Spot announcements—Commercials that appear in the breaks between programs,
which local affiliates sell to advertisers who want to show their ads locally.
Commercials are sold on a station-by-station basis to local, regional, and national
advertisers.
The form of advertising used in the example in question 135 is participations, because
advertisers are purchasing advertising time that will appear during the network program.
(moderate; pp. 255–257)
138.
As described in “A Matter of Practice,” why and how did Starbucks use television
advertising and what affect did it have?
Answer:
Starbucks coffee is now sold in grocery stores, and they wanted to inform consumers of
that fact. Starbucks’ management wanted to use television, but they knew that their
customers are not big fans of television commercials and resent the interruption of their
favorite program. So their agency developed a campaign that would achieve the objective
of reaching their target market in an acceptable way. It recommended a partnership with
the Bravo cable network where Bravo would run four Independent Film Channel movies
on Friday nights for a month, and Starbucks would buy all the commercial time
surrounding the movie airings but let the movies run uninterrupted. Starbucks’
advertising message was delivered in supporting Bravo promotions of the movies during
each week leading up to the Friday night telecast, and about 40 seconds of each 60second preview spot showed scenes from the movie and 20 seconds promoted Starbucks
as the movie sponsor. Starbucks also sent coupons to consumers along with a viewer
guide introducing the Starbucks-sponsored movie festival. As a result, sales of Starbucks
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Part Three: Effective Advertising Media
coffee increased by 15 percent for the month the campaign ran, and Bravo increased
viewership by 33 percent.
(moderate; p. 256)
139.
As described in “The Inside Story,” Framsokn, historically one of the three largest
political parties in Iceland, found itself in a downward spiral in popularity for the
parliamentary election in 2003. Describe how their agency turned this around for them.
Answer:
They used humorous, engaging television ads with a serious selling point. The agency’s
mission was to break the mold of political advertising with a new, fresh approach to
politics. They took a more “consumer advertising” approach, and all ads had to pass the
“what’s in it for me” test and have a strong selling point. Analysis of the party’s research
resulted in a targeting strategy based more on lifestyle than demographics. They used TV
advertising because of its ability to reach a broad target audience, as well as to deliver the
image message and resonate in a gently humorous way with the concerns of voters. The
campaign was recognized as having turned around the party’s image and as the best
political campaign that year—and possibly ever in Iceland.
(moderate; p. 260)
140.
A recent Wall Street Journal article was entitled “Marketing Nirvana Is to Be a
President’s Preferred Brand.” The article discussed how President and Mrs. Bush receive
about 1,000 gifts each month and keep and use only a handful of them. The president
must disclose this information to the public, and marketers want the president to choose
their brands. One TV news story discussed how President Bush has stopped running and
has started biking instead, and video showed him riding a Trek bicycle. Based on what
you learned from this chapter, why are so many marketers eager to give their products to
the president?
Answer:
Product placement is a practice in which a company pays to have verbal or visual brand
exposure in a movie or television program. Although technically not product placement,
having the president seen using your brand could be construed as an implied endorsement
by the president. Advantages of product placement include demonstrating the product in
use in a natural setting (i.e., the president riding a Trek bike), it’s unexpected and catches
the audience when their resistance to advertising messages may be dialed down (i.e.,
consumers don’t expect the president to be a paid product endorser), and it’s good for
engaging the affections of other stakeholders, such as employees and dealers. However,
disadvantages include not being noticed, problems if there is not a match between the
product and the audience, and the success or failure of a movie is not known when the
placement is negotiated (in this case, there is no guarantee that the president will even
accept your gift and give you exposure).
(moderate; p. 263)
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Chapter Ten: Interactive and Alternative Media
141.
Based on the “Practical Tips” given in this chapter, give three reasons to use radio as an
advertising medium.
Answer:
The “Practical Tips” box gives several reasons to use radio, and students can answer any
three of the following. Use radio if . . .
(1)
You are a local business
(2)
You need a highly targeted local audience
(3)
You have a relatively small advertising budget
(4)
You want to build frequency
(5)
You know the timing when your audience is considering the purchase
(6)
Your audience’s interests align with certain types of music, advice programs, or
talk shows
(7)
You have a personal message that uses the power of the human voice
(8)
You have a message that works well in a musical form or one that is strong in
mental imagery
(9)
You need a reminder message
(difficult; p. 264)
142.
Based on the “Practical Tips” given in this chapter, give three reasons to use television as
an advertising medium.
Answer:
The “Practical Tips” box gives several reasons to use television, and students can answer
any three of the following. Use television if . . .
(1)
You want to reach a wider mass audience
(2)
Your audience’s interests align with a certain type of cable television program
(3)
You have a relatively good advertising budget
(4)
You have a product that needs both sight and sound, such as an emotional
message, a demonstration, or a drama
(5)
You want to prove something so the audience can see it with their own eyes
(6)
You want the halo effect of a big TV ad to impress other stakeholders, such as
dealers and franchisees
(7)
You need to create or reinforce brand image and personality
(difficult; p. 264)
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Part Three: Effective Advertising Media
143.
Based on the “Practical Tips” given in this chapter, give three reasons to use movie ads as
an advertising medium.
Answer:
The “Practical Tips” box gives several reasons to use movie ads, and students can answer
any three of the following. Use movie ads if:
(1)
You are advertising a national brand and have the budget to do high-quality
commercials
(2)
You want your brand to be associated with the movie’s story and stars
(3)
The people in the audience match your brand’s target audience
(4)
Your commercial has enough visual impact and quality production that it will
look good next to the movie previews
(difficult; p. 264)
144.
Based on the “Practical Tips” given in this chapter, give three reasons to use product
placement as an advertising medium.
Answer:
The “Practical Tips” box gives several reasons to use product placement, and students
can answer any three of the following. Use product placement if . . .
(1)
You want your brand to be associated with the movie’s story and stars
(2)
The people in the audience match your brand’s target audience
(3)
There is a natural fit between the product and the movie’s storyline
(4)
There is an opportunity for the brand to be a star
(5)
The placement will appeal to the brand’s stakeholders
(6)
You have the budget for a campaign to support the placement
(difficult; p. 264)
145.
Describe the challenge facing Sirius satellite radio and the risky step they took to meet
their challenge as described in the “Hands-On” case at the end of the chapter.
Answer:
Sirius is trying to change the way people listen to radio by convincing them to pay a
monthly fee for almost 200 channels of radio, much of it commercial-free. But Sirius is
number two in the industry, having only 600,000 subscribers compared to XM radio’s 2.5
million. The risky move Sirius has taken is signing “shock jock” Howard Stern to leave
the radio airwaves and bring his program to Sirius in 2006. For this deal to be profitable,
Sirius figures it must bring in 1 million new subscribers. The other risk is that Stern
might get even “raunchier” once he moves to the largely unregulated satellite network.
(moderate; pp. 266–267)
362
Chapter Ten: Interactive and Alternative Media
APPLICATION QUESTIONS: MINI-CASE SHORT ANSWER
John is opening a Lion’s Choice fast food roast beef restaurant in Baton Rouge, Louisiana. This
restaurant is actually nationwide, but this is the first franchise opening in this city. In fact, their
strategy is to increase its presence in the South, where currently it does not have as many outlets
as in other parts of the country but is opening about one new outlet each month. Although the
national office does some advertising, franchisees are allowed to do local advertising using
advertisements provided to them by the national office. However, John has only about $1,000 to
purchase media exposure.
146.
Mini-Case Question. What broadcast media and delivery systems is the national office
likely to use for its advertising? Explain your answer.
Answer:
Because this restaurant has a national presence, participations on network television can
reach a wide audience. Additionally, they could also use network and/or syndicated radio
advertising. If the national office wants to increase its advertising exposure in the South
where it is currently expanding, they can purchase spot announcements from local
television stations or purchase local cable time to more heavily target the South. Radio
can be very effective for targeting a specific geographic region as well.
(moderate; pp. 246, 248, 250, and 252)
147.
Mini-Case Question. What broadcast media and delivery systems is John, the franchise
owner in Baton Rouge, likely to use for advertising? Explain your answer.
Answer:
John is a local business with a small advertising budget aimed at the Baton Rouge area,
so radio is an appropriate medium for him. The “Practical Tips” box gives useful
information to help students answer this question. For example, John has a local business,
he has a relatively small advertising budget, and he knows the timing when his audience
is considering the purchase (i.e., lunch and dinner). These are characteristics that lend
themselves well to using radio. He will most likely advertise on AM and/or FM radio by
purchasing spot radio advertising, that is, placing an ad with an individual station rather
than through a network.
(moderate; pp. 246, 248, and 264)
148.
Mini-Case Question. John really wants consumers to see the delicious roast beef
sandwiches Lion’s Choice has to offer. Which broadcast media is NOT appropriate for
his needs? Explain your answer.
363
Part Three: Effective Advertising Media
Answer:
If John wants consumers to see the product, radio is not an appropriate medium because
of the lack of visuals.
(easy; p. 248)
149.
Mini-Case Question. John wants to learn more about the audiences of the local broadcast
media in Baton Rouge. Name the companies that provide audience data for these media
and explain how they collect this information.
Answer:
The major audience-rating services for radio are Arbitron and Radio’s All-Dimension
Audience (RADAR). Arbitron estimates the size of the radio audience for more than 250
markets in the United States. They use a seven-day self-administered diary that the
person returns to Arbitron at the end of the week. RADAR deals with both local and
network radio. For RADAR (owned by Arbitron), Statistical Research calls 12,000
respondents for seven consecutive days and asks about network radio listening done the
day before.
Several independent rating firms periodically sample a portion of the television viewing
audience, assess the size and characteristics of the audiences watching specific shows,
and then make these data available to advertisers and ad agencies. Currently, A. C.
Nielsen dominates this industry and provides the most commonly used measure of
national and local television audiences. They measure television audiences at two levels:
network and spot. In some markets, respondents hook a device to their TVs to monitor
what station it is tuned in to (i.e., audiometer), and in some cases, the devise also records
which family members are viewing at that time (i.e., people meter). In smaller markets,
such as Baton Rouge, respondents most likely fill out a viewing diary for the week.
Diaries are mailed each week during survey months to sample homes in each of the 211
television markets.
(moderate; pp. 248 and 257–258)
150.
Mini-Case Question. The local television station shared audience data with John to help
him determine during which time he should advertise. It was rather confusing to him, and
he wasn’t sure what rating and share actually meant. Explain these two concepts.
Answer:
A rating compares the number of viewers of a specific television show to the total
number of TV households in the market regardless of whether or not those TVs are in
use. Share compares the same number of viewers of a specific television show not to the
number of TV households, but, rather, to the number of TV sets turned on. So the share
figure is always larger than the rating, because the base is smaller.
(moderate; p., 258)
364
Chapter Ten: Interactive and Alternative Media
CHAPTER TEN
Interactive and Alternative Media
GENERAL CONTENT: MULTIPLE-CHOICE QUESTIONS
981.
___________ media refers to communication systems
communication, such as a telephone call or an e-mail message.
a.
Interpersonal
b.
Mass
c.
Interactive
d.
Selective
e.
Permission
(c; moderate; p. 271)
that permit
two-way
982.
The closer the medium is to dialogue, or the more a user is able to manipulate the
content, the more it can properly be described as ___________ communications.
a.
interactive
b.
interconnected
c.
mass
d.
selective
e.
permission
(a; moderate; p. 271)
983.
Which type of communication is believed to be the most persuasive type of
communication available to marketers?
a.
one-way
b.
two-way
c.
mass
d.
opt-in
e.
opt-out
(b; moderate; p. 271)
984.
Which medium is considered interactive both because users are involved in selecting the
information they attend to and because they can contact the company and other users
directly?
a.
newspapers
b.
magazines
c.
radio
d.
Internet
e.
television
(d; moderate; p. 271)
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Part Three: Effective Advertising Media
985.
Which of the following is considered to be interactive?
a.
Internet
b.
e-mail
c.
phone
d.
a and b
e.
a, b, and c
(e; moderate; p. 271)
986.
Which is considered the most interactive of all media, the one that most lends itself to
conversation and dialogue?
a.
Internet
b.
phone
c.
e-mail
d.
newspapers
e.
magazines
(b; easy; p. 271)
987.
The linked system of international computer networks is known as the ________.
a.
Network
b.
Intranet
c.
Cybernet
d.
Electronet
e.
Internet
(e; easy; p. 271)
988.
The information interface that allows people to access the Internet through an easy-to-use
graphical format is known as the ________.
a.
World Wide Web
b.
Netscape Navigator
c.
Internet Explorer
d.
Interface
e.
Wired World Web
(a; easy; p. 271)
989.
________ refers to all the hardware, software, and computer know-how that provides a
platform for businesses that use the Internet to sell products, as well as to manage their
accounting, distribution, production, advertising, customer service, personal sales,
internal communication to employees, and external communication to outside
stakeholders.
a.
E-commerce
b.
Interactive-commerce
c.
Alternative media
d.
E-business
e.
Electronic media
(d; moderate; p. 271)
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Chapter Ten: Interactive and Alternative Media
10.
What do companies post on their web sites detailing how or whether the site is collecting
data on its visitors and how that data are used?
a.
privacy policy
b.
cookies
c.
disclaimers
d.
blogs
e.
message boards
(a; moderate; p. 273)
11.
Little electronic bugs that can be placed on your computer by a web server to track your
movements online are known as ________.
a.
blogs
b.
instant messengers
c.
cookies
d.
viruses
e.
worms
(c; moderate; p. 273)
12.
What department do consumers contact when they have any problems, questions,
complaints, or suggestions?
a.
help line
b.
help desk
c.
help service
d.
customer service
e.
technical support
(d; moderate; p. 274)
13.
In high-technology companies, a specific type of customer service is called ________,
which refers to departments with highly trained staff who are available to answer
customer questions about a product’s use.
a.
help line
b.
help desk
c.
help service
d.
customer service
e.
technical support
(e; moderate; p. 274)
14.
________ are internal communication systems that connect employees.
a.
Internets
b.
Intranets
c.
Extranets
d.
Connectnets
e.
Technets
(b; moderate; p. 274)
367
Part Three: Effective Advertising Media
15.
________ are restricted communication systems that connect a company and its
employees to key external stakeholders, such as clients, photographers, producers, artists,
and other suppliers involved in producing an ad.
a.
Internets
b.
Intranets
c.
Extranets
d.
Connectnets
e.
Technets
(c; moderate; p. 274)
A company’s ________ is the online face it presents to the public and is sometimes
called a home page.
a.
web site
b.
Interconnect
c.
Interface
d.
Intranet
e.
Extranet
(a; easy; p. 274)
16.
17.
What do most Internet users depend upon to find information?
a.
technical support
b.
intranets
c.
search engines
d.
extranet
e.
chat rooms
(c; moderate; p. 274)
18.
What is an important first step for marketers creating a viable web site so that it begins
building visibility?
a.
getting is registered with the FTC
b.
getting it registered with popular search engines
c.
getting it registered with the FCC
d.
getting it registered with the SEC
e.
getting it registered with popular chat rooms
(b; moderate; p. 274)
19.
________ describes an approach that relies on actions initiated by consumers.
a.
Search marketing
b.
Search placement
c.
Search engine
d.
Interactivity
e.
Intranet
(a; moderate; p. 274)
368
Chapter Ten: Interactive and Alternative Media
20.
________ link B2B web sites vertically (through an industry) and horizontally (across a
mass market).
a.
B2B intranets
b.
B2B extranet
c.
B2B ad networks
d.
B2B interconnects
e.
B2B interactives
(c; moderate; p. 275)
21.
Groups of people with a special interest can contact one another and exchange their
opinions and experiences through ________, which are sites located online, sometimes as
part of an organization’s web site, but sometimes completely independent of any
company.
a.
intranets
b.
extranets
c.
interconnects
d.
chat rooms
e.
chat nets
(d; moderate; p. 275)
22.
What kind of web discussion sites have become a major tool for customers to talk about
their brand experiences both before and after they make a purchase and are good
information sources regarding customer and industry perspectives, as well as competitive
information?
a.
intranets
b.
chat rooms
c.
chat nets
d.
search engines
e.
extranets
(b; moderate; pl 276)
23.
A(n) ________ is a personal diary-like web page that is created by an individual and may
also contain links to other related sites that the writer feels are relevant.
a.
intranet
b.
chat room
c.
blog
d.
extranet
e.
chat net
(c; moderate; p. 276)
369
Part Three: Effective Advertising Media
24.
Which of the following is NOT a purpose served by online advertising?
a.
provides a brand reminder message to people who are visiting a web site
b.
works like an ad in traditional media and delivers an informational or persuasive
message
c.
allows a transaction to occur from the ad without having to leave the web site the
viewer sees the ad
d.
provides a way to entice people to visit the advertiser’s site by clicking on a
banner or button on the web site
e.
All of the above are purposes served by online advertising.
(c; difficult; p. 277)
25.
________ are small ads on other web pages on which people can click to move to the
advertised web site.
a.
Superstitials
b.
Blogs
c.
Minisites
d.
Banner ads
e.
Pop-ups
(d; moderate; p. 277)
26.
Which of the following is a type of Internet advertising?
a.
banner ads
b.
skyscrapers
c.
pop-ups and pop-behinds
d.
superstitials
e.
all of the above
(e; easy; pp. 277–278)
27.
Which of the following is NOT a type of Internet advertising?
a.
banner ads
b.
skyscrapers
c.
pop-ups
d.
superstitials
e.
All of the above are types of Internet advertising.
(e; moderate; pp. 277–278)
28.
The extra-long, skinny ads running down the right or left side of a web site are called
________.
a.
skyscrapers
b.
borders
c.
pop-ups
d.
minisites
e.
superstitials
(a; moderate; p. 277)
370
Chapter Ten: Interactive and Alternative Media
29.
Which type of Internet ads burst open on the computer screen either in front of or behind
the opening page of the web site?
a.
skyscrapers
b.
pop-ups and pop-behinds
c.
minisites
d.
superstitials
e.
banner ads
(b; easy; p. 277)
30.
Which type of Internet advertising allows advertisers to market their products without
sending people away from the site they are visiting?
a.
minisites
b.
off-line advertising
c.
blogs
d.
click-throughs
e.
spam
(a; moderate; p. 278)
Which type of Internet advertising is thought of as “the Internet’s commercial,” designed
to work like TV ads?
a.
minisites
b.
superstitials
c.
pop-ups
d.
banner ads
e.
skyscrapers
(b; moderate; p. 278)
31.
32.
Which of the following is NOT a new technology that provides active components in
Internet ads?
a.
plug-ins
b.
Java script
c.
Flash
d.
media streaming
e.
minisites
(e; moderate; p. 278)
33.
Newer interactive ads that deliver multimedia effects using sound, still images, and fullmotion video are referred to as ________.
a.
skyscrapers
b.
banner ads
c.
digital media
d.
rich media
e.
click-through technology
(d; moderate; p. 278)
371
Part Three: Effective Advertising Media
34.
What phrase is used to describe moving images that can be transmitted online and
received through most computers and their modems?
a.
rich media
b.
streaming video
c.
rich video
d.
streaming media
e.
live-action
(b; moderate; p. 278)
35.
What type of advertising appears in conventional media to drive traffic to a web site?
a.
off-line advertising
b.
banner advertising
c.
directory advertising
d.
directional advertising
e.
on-line advertising
(a; moderate; p. 278)
36.
What is the primary use of the Internet by people of all demographic categories?
a.
entertainment
b.
shopping
c.
communication
d.
information searching
e.
creative pursuits
(d; moderate; p. 278)
37.
The Internet is particularly good at reaching which demographic group because they
spend more time online than any other group?
a.
men aged 25 to 54
b.
women aged 25 to 54
c.
teens
d.
men more than 65 years old
e.
women more than 65 years old
(c; moderate; p. 279)
38.
What is the major problem with respect to measuring the Internet audience?
a.
illegal to measure the audience due to privacy laws
b.
unethical to measure the audience without their knowledge
c.
lack of consumer support in monitoring behavior
d.
lack of standards to measure Internet effectiveness
e.
impossible to measure the audience
(d; moderate; p. 279)
372
Chapter Ten: Interactive and Alternative Media
39.
The number of times a particular web site is visited is known as ________,
a.
clicks
b.
hits
c.
viewers
d.
unique visitors
e.
page views
(b; moderate; p. 279)
40.
Which of the following is NOT a measure used to track a consumer through a web site?
a.
circulations
b.
hits
c.
viewers
d.
unique visitors
e.
page views
(a; moderate; p. 279)
41.
The primary method currently used to measure consumer response to Internet advertising
is ________.
a.
hits
b.
viewers
c.
click-through
d.
unique visitors
e.
total traffic
(c; moderate; p. 279)
42.
________ represents the number of people who click on a banner ad.
a.
Click-through
b.
Page visits
c.
Unique visitors
d.
Hits
e.
Viewers
(a; moderate; p. 279)
43.
Which of the following are advantages of Internet advertising?
a.
relatively inexpensive
b.
can deliver business, such as the pop-behind ads that motivate people to respond
c.
can customize and personalize messages
d.
can provide excellent sales leads or actual sales for B2B advertisers
e.
all of the above
(e; easy; pp. 279–280)
373
Part Three: Effective Advertising Media
44.
Which of the following is NOT an advantage of Internet advertising?
a.
relatively inexpensive
b.
can level the playing field for small and medium-sized companies
c.
can customize and personalize messages
d.
can provide excellent sales leads or actual sales for B2B advertisers
e.
All of the above are advantages of Internet advertising.
(e; easy; pp. 279-280)
45.
What is the most serious drawback of Internet advertising?
a.
clutter
b.
privacy concerns
c.
international restrictions
d.
the inability of strategic and creative experts to consistently produce effective ads
and to measure their effectiveness
e.
bandwidth variation among the audience
(d; moderate; p. 280)
46.
Which of the following is a barrier facing international marketing and advertising on the
web?
a.
access limitations
b.
exchange rates
c.
legal variations
d.
language
e.
all of the above
(e; easy; p. 280)
47.
________ refers to the amount of digital information that can be sent through a phone
line or fiber optic line.
a.
Nano-technology
b.
Flow-through
c.
Bandwidth
d.
Click-through
e.
Bytes
(c; moderate; p. 280)
48.
________ attempts to address the issue of unwelcome electronic communication by
asking potential consumers for their permission to send them e-mail.
a.
Permission marketing
b.
Spam marketing
c.
Opt-out marketing
d.
Viral marketing
e.
Alternative marketing
(a; easy; p. 281)
374
Chapter Ten: Interactive and Alternative Media
49.
Blasting millions of unsolicited e-mail messages to e-mail in-boxes is called ________.
a.
blasting
b.
spamming
c.
junk mailing
d.
broadcasting
e.
shot gunning
(b; easy; p. 281)
________ is considered “junk e-mail” by consumers who are irritated by the avalanche of
solicitations that clutter their in-boxes.
a.
Spam
b.
Blast
c.
Cookie
d.
Worm
e.
Virus
(a; easy; p. 281)
50.
51.
What are the two permission marketing strategies called that allow consumers to control
their inclusion on e-mail lists?
a.
de-spam and can-spam
b.
no-spam and can-spam
c.
ying and yang
d.
buy-in and buy-out
e.
opt-in and opt-out
(e; moderate; p. 281)
52.
________ means that all bulk e-mailers have to get your permission before sending any
e-mail.
a.
Opt-out
b.
Opt-in
c.
Can-spam
d.
Buy-in
e.
Access allowed
(b; moderate; p. 281)
53.
________ means that e-mailers can send a first e-mail, but they have to have an option
that makes it possible for you to say no to any further e-mails from that business.
a.
Opt-out
b.
Opt-in
c.
Can’t-spam
d.
Buy-out
e.
Access denied
(a; moderate; p. 281)
375
Part Three: Effective Advertising Media
54.
A practice, using the Internet, designed to deliver a groundswell of opinion or
marketplace demand for a product is called ________.
a.
spam
b.
word-of-mouth
c.
opinion leadership
d.
viral marketing
e.
two-stage adoption
(d; moderate; p. 282)
55.
The search for new media is particularly important for advertisers trying to reach which
market because they are often the first to experiment with new media forms?
a.
men aged 25 to 54
b.
women aged 25 to 54
c.
teens
d.
men more than 65 years old
e.
women more than 65 years old
(c; moderate; p. 282)
56.
What phrase has been used to refer to new electronic forms such as the Internet for
advertising?
a.
alternative media
b.
new media
c.
rich media
d.
streaming media
e.
nontraditional media
(b; difficult; p. 282)
57.
What phrase refers to nontraditional or unexpected communication tools and events?
a.
alternative media
b.
new media
c.
rich media
d.
streaming media
e.
nontraditional media
(a; difficult; p. 282)
58.
Branded entertainment more aggressively promotes a product than product placement and
has been described as ________ because they are embedded in specific programs; they
are harder for viewers to dismiss immediately as ads because the product is a character in
the program.
a.
subliminal advertising
b.
situational ads
c.
guerilla marketing
d.
brand experiences
e.
brandisodes
(b; difficult; p. 282)
376
Chapter Ten: Interactive and Alternative Media
59.
Which of the following are considered alternative or new media?
a.
advertainment
b.
Webisodes
c.
video games
d.
wireless communication
e.
all of the above
(e; moderate; pp. 282–284)
60.
Which of the following is NOT considered to be alternative or new media?
a.
advertainment
b.
wireless communication
c.
Internet applications such as Webisodes
d.
celebrity endorser
e.
guerilla marketing
(d; moderate; pp. 282–285)
61.
In an attempt to stand out among the media clutter, several companies have begun
integrating brands into the content of television shows, which is known as ________.
a.
advertainment
b.
new media
c.
alternative media
d.
subliminal advertising
e.
embeds
(a; moderate; p. 282)
62.
In an attempt to stand out among the media clutter, several companies have begun
integrating brands into the content of television shows as a prop or central feature of the
program, which is known as ________ and is more aggressive than the practice of
product placement.
a.
branded entertainment
b.
new media
c.
alternative media
d.
subliminal advertising
e.
embeds
(a; moderate; p. 282)
63.
Because many consumers consider pop-ups, banner ads, and superstitials annoying and
ineffective, many companies instead are making their web sites more engaging and
entertaining, which the practice of providing ________.
a.
interactivity
b.
branded entertainment
c.
virtual experiences
d.
brand experiences
e.
situational ads
(d; moderate; p. 283)
377
Part Three: Effective Advertising Media
64.
On the Internet, ________ have created a new form of web advertising similar to
television programs with recurring episodes in a developing story.
a.
blogs
b.
Webisodes
c.
superstitials
d.
e-serials
e.
e-soaps
(b; moderate; p. 284)
65.
________ that links the common phone to a computer is possibly the most important
change in communication systems so far in the new millennium.
a.
Telecommunication
b.
Wireless communication
c.
Hybrid technologies
d.
Interconnects
e.
Superstitials
(b; moderate; p. 284)
66.
What wireless communication allows consumers to keyboard brief messages into a cell
phone screen?
a.
viral messaging (VM)
b.
hybrid technologies
c.
guerilla marketing (GM)
d.
instant messaging (IM)
e.
branded entertainment
(d; moderate; p. 285)
67.
What type of systems use wireless phones to access web sites?
a.
point-and-dial systems
b.
convergent systems
c.
click-and-dial systems
d.
instant messaging systems
e.
guerilla marketing systems
(c; difficult; p. 285)
68.
What word or phrase is used in traditional media industries to describe the blurring of the
differences among television, print, and the Internet media?
a.
convergence
b.
consolidation
c.
synergy
d.
brand experience
e.
brand submersion
(a; difficult; p. 285)
378
Chapter Ten: Interactive and Alternative Media
69.
________ is(are) unconventional marketing communication activities that are intended to
get buzz on a limited budget.
a.
Guerilla marketing
b.
Instant messaging
c.
Branded experience
d.
Blogs
e.
Message boards
(a; moderate; p. 285)
70.
Which of the following is a disadvantage of guerilla marketing?
a.
limited reach
b.
unethical
c.
illegal in many countries outside the United States
d.
not effective
e.
lack of measurement
(a; moderate; p. 286)
GENERAL CONTENT: TRUE/FALSE QUESTIONS
71.
Alternative media refers to communication systems that permit two-way communication.
(False; moderate; p. 271)
72.
The term interactive describes media such as the Internet, phone, and e-mail.
(True; easy; p. 271)
73.
The Internet is the most interactive of all media.
(False; moderate; p. 271)
74.
The World Wide Web is a linked system of international computer networks.
(False; difficult; p. 271)
75.
E-business refers to all the hardware, software, and computer know-how that provides a
platform for businesses that use the Internet to sell products, as well as to manage their
accounting, distribution, production, advertising, customer service, personal sales,
internal communication to employees, and external communication to outside
stakeholders.
(True; easy; p. 271)
76.
Little electronic bugs that can be placed on your computer by a Web server to track your
movements online are called cookies.
(True; moderate; p. 273)
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77.
Intranets are communication systems that connect a company and its employees to key
external stakeholders, such as clients, photographers, producers, artists, and other
suppliers involved in producing an ad.
(False; moderate; p. 274)
78.
A company’s web site is the online face it presents to the public.
(True; easy; p. 274)
Chat rooms are sites located online, sometimes as part of an organization’s web site, but
sometimes completely independent of any company, where groups of people with a
special interest can contact one another and exchange their opinions and experiences.
(True; moderate; p. 275)
79.
80.
A blog is a personal diary-like web page that is created by an individual.
(True; moderate; p. 276)
81.
Online advertising serves three primary purposes: (1) provides a brand reminder message,
(2) delivers an informational or persuasive message, and (3) makes a sale.
(False; difficult; p. 277)
82.
Headline ads are small ads on other web pages on which people can click to move to the
advertised web site.
(False; moderate; p. 277)
83.
The most common formats of Internet advertising include banner ads, skyscrapers,
pop-ups and pop-behinds, minisites, and superstitials.
(True; moderate; pp. 277-278)
84.
The phrase streaming video is used to describe moving images that can be transmitted
online and received through most computers and their modems.
(True; moderate; p. 278)
85.
Internet marketers use offline advertising in conventional media to drive traffic to their
web site.
(True; moderate; p. 278)
86.
The primary use of the Internet by people of all demographic categories is for
information searching.
(True; moderate; p. 278)
87.
The major concern advertisers have about the Internet audience and its measurement is
that not enough consumers have access to it.
(False; moderate; p. 279)
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88.
The primary method currently used to measure consumer response to Internet advertising
is hits, which is the number of times a particular site is visited.
(False; difficult; p. 279)
89.
One disadvantage of Internet advertising is that it is relatively expensive, often making it
prohibitive for a small company.
(False; moderate; p. 280)
90.
Clutter is not as much of a problem on the Internet as it is in conventional advertising
media.
(False; moderate; p. 280)
91.
The Internet is an international medium with virtually no barriers for international
marketers and their advertising.
(False; moderate; p. 280)
92.
The web is an international marketing and advertising medium, but it faces access, legal,
linguistic, currency, and technological barriers.
(True; moderate; p. 280)
93.
Bandwidth refers to the amount of digital information that can be sent through a phone
line or fiber optic line.
(True; moderate; p. 280)
94.
Spamming is illegal in the United States.
(False; moderate; p. 281)
95.
The two permission-marketing strategies for consumers to control their inclusion on
e-mail lists are opt-in and opt-out.
(True; moderate; p. 281)
96.
Opt-out means that e-mailers must get your permission before sending any e-mail.
(False; moderate; p. 281)
97.
A practice designed to deliver a groundswell of opinion or marketplace demand for a
product is called viral marketing, and it uses e-mail to circulate a message among family
and friends.
(True; moderate; p. 282)
98.
New media is a phrase that has been used to refer to new electronic forms such as the
Internet.
(True; moderate; p. 282)
99.
There is no difference between branded entertainment and product placement.
(False; difficult; p. 282)
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100.
One new Internet practice by marketers is to make their web sites more engaging and
entertaining to provide brand experiences.
(True; moderate; p. 283)
Webisodes have created a new form of web advertising following the “advertainment”
trend in television advertising that blends advertising and entertainment in order to attract
audiences turned off by traditional mainstream media.
(True; moderate; p. 284)
101.
102.
Video games are an attractive alternative medium for advertisers because there are
established standards for measuring the effectiveness of the placement.
(False; moderate; p. 284)
103.
Instant messaging (IM), which allows users to keyboard brief messages into a cell phone
screen, is used primarily by adults.
(False; moderate; p. 285)
104. Click-and-dial systems use wireless phones to access web sites.
(True; difficult;. 285)
105.
Convergent marketing is unconventional marketing communication activities that are
intended to get buzz on a limited budget by using creative ways to reach people where
they live, work, and walk to create a personal connection and a high level of impact.
(False; moderate; p. 285)
GENERAL CONTENT: ESSAY QUESTIONS
106.
Name and describe the five types of Internet advertising.
Answer:
(1)
Banner ads—Small ads on other web pages on which people can click to move to
the advertised web site.
(2)
Skyscrapers—Extra-long, skinny ads running down the right or left side of a web
site.
(3)
Pop-Ups and Pop-Behinds—Burst open on the computer screen either in front of
or behind the opening page of the web site.
(4)
Minisites—Allow advertisers to market their product without sending people
away from the site they’re visiting.
(5)
Superstitials—Thought of as “the Internet’s commercial,” designed to work like
TV ads.
(moderate; pp. 277–278)
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107.
Explain how the Internet audience is measured and advertisers’ concerns surrounding
those measures.
Answer:
Measures used to track a consumer through a web site include hits (the number of times a
particular site is visited), viewers (the number of viewers to a site), unique visitors (the
number of different viewers during a particular time period), and page views (the number
of times viewers view a page). However, these measures offer no insights as to
motivation, nor do they tell us whether a visitor paid any attention to the surrounding ads.
The primary method currently used to measure consumer response to Internet advertising
is click-through (the number of people who click on a banner ad). This measure is
considered insufficient by many Internet advertisers. Having the ability to quantitatively
measure audiences is particularly important to media buyers, who need to show what the
click-through, page view, or total traffic means to their clients.
(moderate; p. 279)
108.
Discuss the advantages and disadvantages of Internet advertising.
Answer:
Internet advertising offers distinct advantages over other media. Most notably, it is
relatively inexpensive. It can also deliver business, such as the pop-behind ads that
motivate people to respond by offering a special price deal. Advertisers can also
customize and personalize their messages, thanks to database marketing. For the B2B
advertiser, Internet advertising can provide excellent sales leads or actual sales. The
Internet can also level the playing field for small and medium-sized companies that
compete against larger organizations. The cost of creating a web site, a set of ads, and a
database is affordable for virtually every marketer.
Undoubtedly, the most serious drawback is the inability of strategic and creative experts
to consistently produce effective ads and to measure their effectiveness. Consider, too,
that clutter is just as much a problem with the Internet as it is in other media, maybe even
worse.
(moderate; pp. 279–280)
109.
Explain why and how e-mail is used as an advertising medium as well as the issues
surrounding its use.
Answer:
One of the attractive things about e-mail advertising is that it is so inexpensive, and the
response rate for an unsolicited e-mail campaign is many times higher than for a banner
ad campaign. Unfortunately for e-mail advertisers, people generally do not welcome
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unsolicited e-mail. Permission marketing attempts to address this problem by asking
potential consumers for their permission to send them e-mail.
Blasting millions of unsolicited e-mail messages to e-mail in-boxes is called spamming.
Consumers who are irritated by the avalanche of solicitations that clutter their in-boxes
may think of spam as “junk e-mail,” but providers prefer to call it “bulk e-mail” and see it
as an exciting new business opportunity and as a legitimate commercial activity.
Proposed solutions to the spam problem usually incorporate one or two permission
marketing strategies for consumers to control their inclusion on e-mail lists. Opt-in means
that all bulk e-mailers have to get your permission before sending any e-mail. Opt-out
means that e-mailers can send a first e-mail, but they have to have an option that makes it
possible for you to say no to any further e-mails from that business.
A practice designed to deliver a groundswell of opinion or marketplace demand for a
product is called viral marketing, and it uses e-mail to circulate a message among family
and friends.
(moderate; pp. 281–282)
110.
Explain the terms new media and alternative media, and name and describe some of the
alternative and new media forms that advertisers are experimenting with. Explain how
they work and what advantages they provide.
Answer:
New media forms are called either new media, a phrase that has been used to refer to new
electronic forms such as the Internet, or alternative media, which refers to nontraditional
or unexpected communication tools and events. The following are the new media or
alternative media described in the chapter:
(1)
Advertainment (a.k.a. branded entertainment)—Integrating brands into the
content of television shows. Branded entertainment more aggressively promotes a
product than product placement and has been described as situational ads because
they are embedded in specific programs; they are harder for viewers to dismiss
immediately as ads because the product is a character in the program.
(2)
New Internet Practices—Brand experiences on the web and Webisodes. Many
companies are making their web sites more engaging and entertaining, which is
known as providing brand experiences. Webisodes have created a new form of
web advertising following the “advertainment” trend in television advertising that
blends advertising and entertainment in order to attract audiences turned off by
traditional mainstream media.
(3)
Video Games—The video game business is developing as a major new medium
for advertisers to target males aged 12 to 34, although girls are getting into the act
as well. Opportunities will be mined by both creating online games as well as
placing products within games. The advertisement may be a simple product
placement or make the product the star. Planners and buyers are asking for
standardized independent data that prove their effectiveness, and Nielsen Media
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Chapter Ten: Interactive and Alternative Media
Research is developing a system that will track how many gamers see the ads in
the console-based video games.
(4)
Wireless Communication—The mobile cell phone has exploded as a popular form
of telecommunication, and wireless communication that links the common phone
to a computer is possibly the most important change in communication systems so
far in the new millennium. Instant messaging allows consumers to keyboard brief
messages into a cell phone screen, but sending them advertising that way may be
seen as invasive, so advertisers must be sure to be relevant and offer opt-in
options.
(5)
Guerilla Marketing—Unconventional marketing communication activities that are
intended to get buzz on a limited budget. The idea is to use creative ways to reach
people where they live, work, and walk to create a personal connection and a high
level of impact. If it works, the encounter gets talked about by word of mouth
rather than through media, and thus, has limited reach.
(difficult; pp. 282–286)
APPLICATION QUESTIONS: MULTIPLE-CHOICE QUESTIONS
How did eBay, which was described in the chapter’s opening vignette, start out?
a.
as a platform for collectors to find specific brands or items
b.
as an online used book seller
c.
as an online flea market or garage sale
d.
as an online site where consumers could swap Beanie Babies
e.
as an online search engine
(c; moderate; p. 269)
111.
What was the objective of eBay’s advertising campaign that was described in the
chapter’s opening vignette?
a.
to move eBay from being seen as an online flea market to a broad-based web
marketplace
b.
to move eBay from being seen as an online used book seller to a broad-based web
marketplace
c.
to move eBay from being seen as an online search engine to an online flea market
or garage sale
d.
to move eBay from being seen as an online used book seller to an online flea
market or garage sale where consumers could find a wide assortment of products
and brands that others are selling
e.
to move eBay from being seen as a U.S.-based marketplace to an international
marketplace
(a; moderate; p. 270)
112.
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113.
IBM business division determined that costs for sales calls to marginal accounts were
becoming prohibitive, resulting in unprofitable sales calls. However, these customers still
needed attention. Which interactive medium is closest to a dialogue, being a more
personal and persuasive communication experience?
a.
Internet
b.
telephone
c.
e-mail
d.
blog
e.
cookie
(b; moderate; p. 271)
114.
Carla knows that the Internet has existed for many years but has become viable for
e-business in only the last 12 years or so. What information interface was developed in
the early 1990s that allowed people to access the Internet through an easy-to-use
graphical format?
a.
Interconnects
b.
Superstitials
c.
cookies
d.
World Wide Web
e.
search engines
(d; moderate; p. 271)
Your friend, Mitch, doesn’t really understand all that a business can do through
e-business. Which of the following applications would you include in your explanation of
e-business to your friend?
a.
sell products
b.
manage accounting
c.
distribution
d.
advertising
e.
all of the above
(e; easy; p. 271)
115.
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116.
Alicia has seen news stories about all the private data companies are collecting about
consumers, especially from their web searching behavior. She has visited some healthrelated sites because her mother just learned that she has Type 2 diabetes, and Alicia
wanted to be more informed about her mother’s disease and the medication she was
prescribed. One web site she visited was the company that manufactures her mother’s
medicine. However, Alicia is planning to purchase life insurance within the next year,
and she is afraid that the fact that she was researching this disease and medications might
negatively affect her premium rates if insurers have access to consumers’ web searching
activity. What is the primary reason companies collect consumer information?
a.
It lets them compile a database that they can sell to other marketers.
b.
It lets them more precisely determine the price to charge to certain consumers.
c.
It helps them develop new products based on consumers’ information needs.
d.
It lets them better target their advertising.
e.
It lets them evaluate the effectiveness of their web sites.
(d; difficult; p. 273)
117.
Barry was having problems with his Comcast Cable high-speed Internet connection, so
he called the toll-free number to seek assistance. He was directed to the department with
highly trained staff who are available to answer customer questions about Comcast’s
Internet service. Which of the following best describes the department that helped him?
a.
customer service
b.
technical support
c.
Internet support services
d.
Webisode
e.
support services
(b; difficult; p. 274)
Rosa Kate’s is a gift shop that specializes in monogramming. The owners want to expand
their business by selling on the Internet. What is the online face it presents to the public
called?
a.
search engine
b.
web site
c.
interstitial
d.
superstitial
e.
blog
(b; easy; p. 274)
118.
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119.
Intel, a manufacturer of computer chips, routinely monitors web sites that scientific users
of computers use to contact one another and exchange their opinions and experiences
with each other. By monitoring this site, Intel learned of a problem with its Pentium 4
chip that affected computations that used numbers out to several places (i.e., eight or
more) to the left of the decimal point when calculating computations. Although this was
not a problem for most users of the chip, for scientific applications, it was a very
significant problem. The type of web site Intel learned of users’ concerns about the chip
as they communicated with each other is most likely a ________.
a.
blog
b.
search engine
c.
B2B forum
d.
chat room
e.
customer service site
(d; moderate; p. 275)
120.
How did Eric Telchin and his team that redesigned the Washingtonpost.com
Entertainment Guide that was described in “The Inside Story” know what to do with the
guide to make it better for consumers to use?
a.
They modeled it after the leading Internet entertainment guides in several other
cities.
b.
They followed industry norms in developing informational web sites such as
theirs.
c.
They conducted both qualitative and quantitative research.
d.
They tried to use each variation of the guide themselves to see if typical
consumers could follow it.
e.
They consulted with editors, information architects, and programmers to learn
how to make a more fluid online experience.
(c; difficult; p. 272)
As described in “The Inside Story,” what was the goal of Eric Telchin and his team that
redesigned the Washingtonpost.com Entertainment Guide?
a.
to create a fluid online experience for consumers by combining navigation with
search functionality
b.
to make the site the most used by tourists visiting Washington, D.C.
c.
to make the site the most used by residents of Washington, D.C.
d.
to include consumers in the process of redesign
e.
to make the Entertainment Guide rank in the top five site results on every search
engine
(a; difficult; p. 272)
121.
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As described in “A Matter of Principle,” what concern did some critics have when the
giant search engine company Google announced that is was going to offer free e-mail,
called G-mail?
a.
The problem was that the e-mail was free only if users were willing to view
several ads before their in-boxes would open.
b.
The problem was that competition would be decreased because other providers
did not offer free e-mail services.
c.
Consumers were concerned that Google would not limit spam e-mail.
d.
The problem was the G-mail really meant “government” monitoring of users’
e-mail messages.
e.
The problem was that G-mail had a built-in feature that allowed its computers to
search for certain keywords in its e-mail users’ messages and display ads related
to those words.
(e; moderate; p. 273)
122.
123.
What year did web advertising experience the greatest increase compared to the previous
year?
a.
1999
b.
2000
c.
2001
d.
2002
e.
2003
(a; moderate; p. 277 [Table 10.1])
According to the chapter’s opening and closing vignettes, which of the following is one
of the few companies that can boast that it has made a profit every year since it was a
startup?
a.
Google
b.
Amazon.com
c.
eBay
d.
Fanfiction.com
e.
Invisionfree.com
(c; moderate; p. 286)
124.
As described in the “Hands On” case at the end of the chapter, what did BMW learn
about consumers considering a new-car purchase?
a.
more than 80 percent search the Internet before buying
b.
most do not trust the information they find on the Internet
c.
although the Internet was used as a source of information, it wasn’t bringing them
into the dealerships
d.
nearly half search the Internet before buying
e.
consumers were reluctant to give personal information when visiting sites for
information in their new-car search
(d; moderate; p. 288)
125.
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As described in the “Hands On” case at the end of the chapter, what did BMW create on
its web site that attracted more consumers and got them to register their name and e-mail
address?
a.
They had the comedian Jerry Seinfeld star in a four-minute “Webisode” for their
cars.
b.
They developed a series of highly polished, action-filled movie “shorts” that can
be viewed at its web site, and BMW cars were central to each story and helped
create much of the action.
c.
They developed a series of action-packed “James Bond” spy movie “shorts”
starring Pierce Bronson, and his car was a BMW.
d.
They developed an action-packed video game where visitors to the site could
“drive” a BMW model of their choosing.
e.
They let consumers see prototypes of new models that haven’t yet been
introduced, but only after consumers registered with a name and e-mail address.
(b; moderate; p. 288)
126.
APPLICATION QUESTIONS: MINI-CASE MULTIPLE-CHOICE
Bob and Larry have taken their fly fishing equipment and accessory business, Flies-R-Us, to the
Internet because they wanted to expand their business. However, they don’t have much money to
use conventional media to drive traffic to their site.
127.
Mini-Case Question. What is one of the first things Bob and Larry should do to help
build visibility for their web site?
a.
create a blog about fly fishing
b.
enter a chat room and start talking about the great assortment, prices, and service
FliesRUs.com provides
c.
register with popular search engines so that their site shows up early on the list
provided by the search engine
d.
develop a fly fishing game on their web site so that consumers will spend more
time there
e.
develop minisites to place on popular fly fishing web pages
(c; moderate; p. 274)
128.
Mini-Case Question. Small ads for FliesRUs.com were placed on other web pages, such
as those frequented by fly fishing enthusiasts, by a web advertising placement company.
Consumers could click on the FliesRUs.com’s ad, and they would be taken to the FliesR-Us web site. What type of Internet ad does this represent?
a.
pop-up
b.
banner ad
c.
minisite
d.
superstitial
e.
blog
(b; moderate; p. 277)
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Mini-Case Question. Bob and Larry are getting good at this and have decided they’d like
to have an “Internet commercial” on their web site, much like a TV ad but not on TV.
What type of Internet advertising is this called?
a.
pop-up
b.
move-alongs
c.
minisite
d.
banner ad
e.
superstitial
(e; moderate; p. 278)
129.
130.
Mini-Case Question. Bob and Larry wanted to develop a groundswell of marketplace
demand for their store, so they used e-mail to circulate a message among all of their
family, friends, and customers for which they had e-mail addresses. What type of
marketing is this?
a.
advertainment
b.
alternative
c.
viral
d.
guerilla
e.
wired
(c; moderate; p. 282)
APPLICATION QUESTIONS: SHORT-ANSWER
131.
Explain the objective of the eBay advertising campaign that was described in the
chapter’s opening vignette as well as how they executed the campaign.
Answer:
The objective was to move eBay from being seen as an online flea market to a broadbased web marketplace. The campaign also was designed to remind users of the
entertainment value of eBay, what the company calls “the gaming aspect of it.” Even
eBay’s approach to advertising is nontraditional and honors the company’s customerfocused core values. They partnered with other companies in its advertising, such as UPS,
and advertised their Entertainment section jointly with E! Entertainment. eBay’s
advertising also had a B2B effort for its eBay Business, which was launched as a subsite
in 2003. The integrated effort included ads aimed at business decision makers in print,
direct mail, online, and e-mail.
(moderate; p. 270)
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132.
Mindy understands what is meant by the term Internet advertising, but she’s not really
sure how that is different from the term e-business. Explain the concept of e-business and
how it is different from Internet advertising.
Answer:
E-business refers to all the hardware, software, and computer know-how that provides a
platform for businesses that use the Internet to sell products, as well as to manage their
accounting, distribution, production, advertising, customer service, personal sales,
internal communication to employees, and external communication to outside
stakeholders. Internet advertising is merely one component of the concept of e-business.
(moderate; p. 271)
133.
Describe how Eric Telchin and his design team redesigned the Washingtonpost.com
Entertainment Guide that was presented in “The Inside Story.”
Answer:
They learned through both qualitative and quantitative research that users wanted more
flexibility in the site. They wanted to experience the guide in a more natural manner, to
bounce around the site in a way that made the most sense to them. To provide this fluid
experience, they decided to allow users to search all entertainment subjects from any
page on the site by creating a navigation system referred to as “the core tool,” which
empowered the user to find a movie theater in his or her neighborhood from any
restaurant review, or locate a nearby Irish pub from a museum profile. To achieve their
goal, they combined navigation with search functionality. The design process began with
the user, and soliciting user feedback was an integral aspect of the final design solution.
(moderate; p. 272)
134.
As described in “A Matter of Principle,” what concerns did some have when Google
announced that it was going to offer free e-mail, called G-mail?
Answer:
The problem was that G-mail had a built-in feature that allowed its computers to search
for certain keywords in its e-mail users’ messages and display ads related to those words.
Civil liberties groups worried that Google would be able to assemble user profiles in the
process of matching ads to their interests.
(easy; p. 273)
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135.
Kevin, the tech support person where Lori works, ran a Spybot software program on
Lori’s computer because she was afraid of viruses. All the sweep revealed was several
cookies. Lori doesn’t understand what those are and asked Kevin about them. What
should Kevin tell her?
Answer:
Tracking information is a common practice on the Internet, and cookies are little
electronic bugs that can be placed on your computer by a web server to track your
movements online. They don’t do anything bad, like a virus does, but they do report back
to their owners what sites you visited and from that can build an online profile about you
and your interests. On the good side, cookies let companies store information about your
registration, as well as your preferences, so you don’t have to retype everything every
time you go to that site.
(moderate; p. 273)
136.
Jim was looking for information on jet skis because he was interested in buying one. So
he went to the Internet and “googled” it using the key words jet skis. Several results were
returned, and he noticed that there were several “sponsored links” to businesses selling jet
skis and accessory items along the top and right side of the search results page. In fact,
“Honda Jet Ski Deals” was in blue along the top, and when he clicked on it, it took him to
Honda Motorcycle’s web site where he could get more information on Honda jet ski
products. What is Google, and how do marketers get these “sponsored links” on the
results pages?
Answer:
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Chapter Eighteen: Special Advertising Situations
Google, Yahoo!, and Ask Jeeves are Internet search engines that Internet users use to find
information. These Internet tools use keywords, such as topics (i.e., jet skis) or company
or brand names, to compile a collection of information relating to that word. For
marketers, an important first step in creating a viable web site is getting it registered with
popular search engines so that it begins building visibility and shows up early on the list
provided by the search engine. Another search engine role is to provide a site on which
advertisers can place ads. The phrase search marketing describes an approach that relies
on actions initiated by consumers. Because they are searching for a particular topic, web
sites and the ads on them are not perceived to be as intrusive as other forms of
advertising.
Students may mention that the “Honda Jet Ski Deal” is a banner ad, but actually, it did
not appear that Google had banner ads on the search result page. They were merely links
off to the right and Honda’s on top, which were clearly identified as “sponsored links.”
(moderate; p. 274)
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Part Five: Integration and Evaluation
137.
Amie saw the movie The Phantom of the Opera and really liked it. She was familiar with
the music because her mother purchased the CD after she saw the play in New Orleans,
but Amie had never seen it before. Once she saw the movie, however, she got really
interested in it and even read the book. She also has searched the Internet and found one
site that other fans use to contact one another and exchange their opinions and
experiences. She even rented the silent version of the movie, but the ending was messed
up, so she asked other fans, through the Internet, about the ending and received feedback
immediately. From this site she can also link to several fans’ personal online “diaries”
about Phantom. She has also found an area on Fanfiction.com where people post their
own stories about Phantom, and she uploaded one herself and received favorable reviews.
What are the sites where Amie can interact with other fans and those that are other fans’
electronic diaries called, and why should advertisers be aware of them?
Answer:
Groups of people with a special interest can contact one another and exchange their
opinions and experiences though chat rooms, which are sites located online, sometimes as
part of an organization’s web site, but sometimes completely independent of any
company. Chat rooms are good information sources regarding customer and industry
perspectives, as well as competitive information. A new communication form is the blog
(short for web log), which is a personal diary-like web page that is created by an
individual. These personal publishing sites also contain links to other related sites that the
writer feels are relevant.
(moderate; pp. 275–276)
138.
Jerome wants to use the Internet to expand his business but is not sure he understands
how the Internet audience is measured. Explain variables that are used to measure
Internet web site audiences and Internet advertising.
Answer:
Hits (the number of times a particular site is visited), viewers (the number of viewers to a
site), unique visitors (the number of different viewers during a particular time period),
and page views (the number of times viewers view a page) are variables used to track a
consumer through a web site. The primary method currently used to measure consumer
response to Internet advertising is click-through, which is the number of people who click
on a banner ad.
(moderate; p. 279)
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Chapter Eighteen: Special Advertising Situations
139.
Several businesses are using the Internet to expand internationally. Name and describe
five barriers the web faces as an international marketing and advertising medium.
Answer:
The web is an international marketing and advertising medium, but it faces several
barriers:
(1)
Access—Not everyone around the globe has the access or ability to use the
Internet via computer.
(2)
Legal—Advertising and sales promotion laws differ from country to country.
(3)
Linguistic—Although English is the dominant language on the Internet, some
advertisers who want to provide different web sites for different countries have
trouble ensuring consistency across all sites.
(4)
Currency rates—Companies must decide whether to offer prices in their own
currency or in the local currency.
(5)
Technological—Marketers must also keep in mind the technological differences
among the worldwide Internet audiences.
(moderate; p. 280)
140.
There has been an increase in concern over several direct marketing tactics, particularly
bulk e-mail marketing. Some consumer groups and lawmakers want to require marketers
to first gain permission from consumers before they could send e-mail, while others are
satisfied if an initial unsolicited e-mail message provides a means for consumers to
indicate they do not want to be contacted any further. Name these two solutions and
briefly describe them.
Answer:
Proposed solutions to the “don’t bother me” problem are one of two forms of permission
marketing strategies. Opt-in means that advertisers have to get your permission before
sending any e-mail. This is the form used by legitimate e-mail advertising businesses and
one that is both tougher for spammers to abuse and more sensitive to consumer rage
when they do. Opt-out means that e-mailers can send a first e-mail, but they have to have
an option that makes it possible for you to say no to any further e-mails from that
business.
(moderate; pp. 281–282)
141.
When Procter & Gamble introduced Physique shampoo, they sent e-mails to people
asking for referrals. People referring 10 friends to the shampoo’s promotional web site
received free merchandise and were entered into a sweepstakes to win a year’s supply of
the shampoo. Explain what this technique is known as and why marketers use it.
Answer:
This is an example of viral marketing, which is a practice designed to deliver a
groundswell of opinion or marketplace demand for a product. It uses e-mail to circulate a
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message among people. In this case, P&G wanted the initial recipients to forward the
message on to at least 10 others.
(moderate; p. 282)
142.
To get consumers to come back frequently to their web site, Amazon.com is considering
developing a series of movie critics and book reviewers reviewing DVDs and books that
are available to the market that week. The format is to be entertaining where two
reviewers will banter with each other during their reviews, being serious yet humorous.
Explain what this new Internet practice is called and why advertisers are starting to use it
more often.
Answer:
These are called Webisodes, which are similar to television programs with recurring
episodes in a developing story. They have created a new form of web advertising
following the “advertainment” trend in television advertising that blends advertising and
entertainment in order to attract audiences turned off by traditional mainstream media.
(moderate; p. 284)
143.
In one promotional activity, MSN.com had actors dressed as butterflies skate around the
streets of New York. Based on what you learned in this chapter, what form of advertising
media does this represent, why do advertisers use it, and are there any drawbacks?
Answer:
This is an example of guerilla marketing, which is unconventional marketing
communication activities that are intended to get buzz on a limited budget, usually using
alternative media. The idea is to use creative ways to reach people where they live, work,
and walk to create a personal connection and a high level of impact. If it works, the
encounter gets talked about by word of mouth rather than through the media. However,
this approach does have limited reach.
(moderate; pp. 285–286)
144.
Describe eBay’s formula for success that was described in the chapter’s closing vignette.
Answer:
eBay’s simple formula for success—one part commerce, one part entertainment, and one
part town meeting all rolled together—is based on a commitment to business
fundamentals. For example, it is one of the few companies that can boast that it has made
a profit every year since it was a startup. Any profits continue to be the focus of all its
marketing initiatives. One reason for its enviable balance sheet is that it resisted using
extensive advertising during its startup days, as so many companies did during the dotcom boom days in the early 2000s. Instead, the company focused on maintaining its
profit level and relied on word of mouth from its dedicated users. They didn’t start
advertising until late 2002 in the United States and 2003 in its international markets, and
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now it is used as a reminder, as well as to tease new business from people who may have
been slow to venture into the world of online auctions.
(moderate; p. 286)
145.
As discussed in the “Hands On” case at the end of the chapter, describe the advertising
BMW created to encourage consumers to want to see them and come to the marketer
rather than the other way around.
Answer:
Responding to research indicating that nearly half of all consumers considering a new-car
purchase search the Internet before buying, BMW developed a series of highly polished,
action-filled movie “shorts” that can be viewed at its web site. BMW cars were central to
each story and helped create much of the action. Through 2004 the film site had been
viewed by 45 million visitors, each of whom registered with a name and e-mail address.
(moderate; p. 288)
APPLICATION QUESTIONS: MINI-CASE SHORT ANSWER
Talbots is a women’s clothing store that sells only Talbots brand clothing, and it is fashionable,
yet classic. It is relatively high-priced, but not priced at the level of designer clothing. Talbots
has expanded its reach through their transactional web site, and they are interested in getting
more traffic to their site as well as to use alternative media to reach their target market.
146.
Mini-Case Question. Talbots has the ability to collect preference and choice information
on visitors to its web site, but it is very concerned that their customers understand that
they maintain a responsible position with respect to their use of that data. How do
businesses inform visitors to their web site of this fact?
Answer:
Companies try to maintain a responsible position by posting their privacy policy on their
web sites, which details, among other things, how or whether the site is collecting data on
its visitors and how that data are used.
(easy; p. 273)
147.
Mini-Case Question. When customers purchase from the Talbots web site, they do not
have to enter all of their billing and shipping information because it automatically comes
up when they enter their Talbots account number. What enables marketers to do this?
Answer:
Cookies are little electronic bugs that can be placed on your computer by a web server to
track your movements online. One good thing about cookies is that they let companies
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store information about your registration, as well as your preferences, so you don’t have
to retype everything every time you go to that site.
(easy; p. 273)
148.
Mini-Case Question. Talbots wants to increase its Internet advertising. Name and
describe the types of Internet advertising available.
Answer:
(1)
Banner Ads—Small ads on other web pages on which people can click to move to
the advertised web site.
(2)
Skyscrapers—Extra-long, skinny ads running down the right or left side of a web
site.
(3)
Pop-Ups and Pop-Behinds—Burst open on the computer screen either in front of
or behind the opening page of the web site.
(4)
Minisites—Allow advertisers to market their product without sending people
away from the site they’re visiting.
(5)
Superstitials—Thought of as “the Internet’s commercial,” designed to work like
TV ads.
(moderate; pp. 277–278)
149.
Mini-Case Question. When customers visit or purchase from the Talbots web site, they
are asked to check a box if they want to receive e-mail messages from Talbots
announcing sales and special offers. What is this known as and why do you think Talbots
does it this way instead of simply sending e-mail to customers who provide their e-mail
addresses when purchasing?
Answer:
This is known as opt-in, which means that bulk e-mailers get your permission before
sending any e-mails. Although currently not required by any law, this is one form of
permission marketing. This is the form used by legitimate e-mail advertising businesses
and is more sensitive to consumer rage over spam.
(moderate; p. 281)
150.
Mini-Case Question. Talbots would also like to get their clothing integrated into popular
television shows that are viewed by their target market. Because viewers would not be
able to see the brand name if an actress is wearing the clothes, Talbots wants to be an
integral part of the story in a given episode. Name and describe this alternative media
option.
Answer:
Several companies have begun integrating brands into the content of television shows—
known as advertainment or branded entertainment. Branded entertainment more
aggressively promotes a product than product placement. Described as situational ads
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because they are embedded in specific programs, they are harder for viewers to dismiss
immediately as ads because the product is a character in the program.
(moderate; p. 282)
CHAPTER ELEVEN
Media Planning and Buying
GENERAL CONTENT: MULTIPLE-CHOICE QUESTIONS
990.
Which of the following groups of people are involved in the development of an
advertiser’s media plan?
a.
agency’s media department
b.
agency’s account and creative teams
c.
advertiser’s brand management group
d.
a and b
e.
a, b, and c
(e; moderate; p. 293)
991.
Moving the media-buying function outside the agency is known as ___________.
a.
outsourcing
b.
aperture
c.
unbundling
d.
consolidation
e.
tactical buying
(c; moderate; p. 293)
992.
Prospective customers for a product or service have one or more ideal times and places at
which they can be reached with an advertising message, and this ideal point is called
a(an) ___________.
a.
aperture
b.
contact point
c.
touch point
d.
impression
e.
targeted reach
(a; moderate; p. 293)
993.
Based on the concept of aperture, what is the goal of media planning?
a.
to get the broadest reach at the lowest cost
b.
to get the highest frequency at the lowest cost
c.
to get the broadest reach and highest frequency at the lowest cost
d.
to reach the right people at the right time with the right message
e.
to reach as many people as possible within the constraints of the media budget
(d; moderate; p. 293)
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Chapter Eighteen: Special Advertising Situations
994.
Which plan specifically summarizes the objectives and strategies pertinent to the
placement of a company’s advertising message?
a.
corporate plan
b.
marketing plan
c.
advertising plan
d.
media plan
e.
message plan
(d; moderate; p. 293)
995.
A(n) ___________ is a point where a consumer has an opportunity to connect with a
brand and respond in some way to a brand message.
a.
contact point
b.
touch point
c.
aperture point
d.
impression point
e.
rating point
(a; moderate; p. 293)
996.
Which of the following is a source of information for a media planner?
a.
client information
b.
market research
c.
competitive advertising
d.
consumer information
e.
all of the above
(e; easy; pp. 294–297)
997.
Which of the following is NOT a source of information for a media planner?
a.
client information
b.
market research
c.
competitive advertising
d.
consumer information
e.
All of the above are sources of information for media planners.
(e; easy; pp. 294–297)
998.
Which of the following sources of information provides information to the media planner
regarding targeted markets, previous promotions and their performance, product sales and
distribution patterns, brand plans, and the budget?
a.
client information
b.
market research
c.
competitive advertising
d.
consumer information
e.
media information
(a; easy; p. 294)
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999.
Which concept measures the percentage of total advertising spending by one brand in a
product category relative to the competition?
a.
share of market
b.
share of voice
c.
share of media
d.
share of spending
e.
share of category
(b; moderate; p. 295)
1000. Which concept gives media planners an idea of how much their advertising will stand
out?
a.
share of market
b.
share of voice
c.
share of media
d.
share of spending
e.
share of category
(b; moderate; p. 295)
1001. One type of media-related information about markets is the broadcast coverage area for
television, which is called a(n) ___________ and is referred to by the name of the largest
city in the area.
a.
metropolitan statistical area (MSA)
b.
area of influence (AOI)
c.
designated marketing area (DMA)
d.
metropolitan marketing area (MMA)
e.
designated commerce area (DCA)
(c; moderate; p. 297)
1002. A designated marketing area (DMA) assignment is based on ________.
a.
the population of the surrounding area
b.
number of television stations in the area
c.
the number of broadcast media outlets available
d.
how many households have cable or satellite television
e.
geographic sales variations
(e; difficult; p. 297)
1003. Which of the following is NOT a critical element that media planners must consider in
setting specific media objectives?
a.
efficiency
b.
degree of exposure
c.
number of different people exposed to the message
d.
repetition needed to reach people and make an impression on them
e.
All of the above are critical elements that media planners must consider in setting
specific media objectives.
(a; moderate; p. 297)
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Chapter Eighteen: Special Advertising Situations
1004. Which of the following is NOT a critical element that media planners must consider in
setting specific media objectives?
a.
reach
b.
impressions
c.
frequency
d.
cost per thousand
e.
All of the above are critical elements that media planners must consider in setting
specific media objectives.
(d; difficult; p. 297)
1005. If a specific television program has an audience of 100,000 viewers and an advertiser
uses two 30-second commercials in each of five consecutive broadcasts, what are the
total impressions?
a.
10,000
b.
100,000
c.
200,000
d.
500,000
e.
1,000,000
(e; moderate; p. 297)
1006. Which of the following statements is true regarding gross impressions?
a.
It includes only designated marketing areas.
b.
It is relevant only for television.
c.
It is more valid when used to compare vehicles within a medium.
d.
It ignores duplication of exposure.
e.
It factors out duplication of exposure and gives the planner an indication of the
unduplicated audience size.
(d; moderate; p. 297)
1007. To avoid huge numbers and to allow comparison of media schedule efficiency, media
planners convert impressions to ________.
a.
gross rating points
b.
gross impressions
c.
effective impressions
d.
effective rating points
e.
percentage impressions
(a; moderate; p. 298)
1008. Which of the following statements is true regarding gross rating points (GRPs)?
a.
An effective media plan should deliver at least 100 GRPs per week.
b.
There is no good rule of thumb regarding how many GRPs are enough.
c.
GRPs should not be used to compare the efficiency of different media schedules.
d.
The desired level of GRPs should remain constant among different markets.
e.
The calculation of GRPs takes into account duplication of exposure.
(b; moderate; p. 298)
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1009. Which concept describes how many different members of the target audience can be
exposed to the message in a particular time frame?
a.
reach
b.
frequency
c.
continuity
d.
impression
e.
effective frequency
(a; moderate; p. 298)
1010. Reach is a measure of ________.
a.
how many times an audience is exposed to a message
b.
the sum of the audiences of all the media used during a certain span of time
c.
unduplicated audiences
d.
gross rating points
e.
cost per thousand
(c; moderate; p. 298)
1011. ________ is the percentage of a medium’s audience that is exposed at least once to the
advertiser’s message during a specific time frame.
a.
Reach
b.
Frequency
c.
Continuity
d.
Impression
e.
Cost per thousand
(a; moderate; p. 298)
1012. Which concept reflects the rate of exposure and measures the number of times the
exposure is expected to happen?
a.
reach
b.
frequency
c.
continuity
d.
impression
e.
effective frequency
(b; easy; p. 299)
1013. Which two methods do media planners use to estimate the frequency of a schedule?
a.
pulsing and flighting
b.
weighted frequency and weighted reach
c.
average frequency and gross frequency
d.
average frequency and frequency distribution
e.
gross frequency and frequency distribution
(d; moderate; p. 299)
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Chapter Eighteen: Special Advertising Situations
1014. What two numbers are necessary to figure the average frequency?
a.
gross rating points and gross impressions
b.
net rating points and reach estimate
c.
net impressions and net reach estimate
d.
gross impressions and net reach estimate
e.
gross rating points and reach estimate
(e; moderate; p. 299)
1015. What is the average frequency if the target population is 100,000 consumers and a
proposed media plan has gross rating points equal to 110 and reaches 55,000 different
consumers?
a.
0.5
b.
2
c.
6.25
d.
50
e.
500
(b; difficult; p. 299)
1016. Which of the following statements is false regarding average frequency and/or frequency
distribution?
a.
Most planners prefer to use average frequency instead of frequency distribution.
b.
Average frequency can give the planner a distorted idea of the plan’s
performance.
c.
The frequency distribution method is more revealing than the average frequency
method of reporting repetition.
d.
To figure the average frequency, you need only two numbers: the gross rating
points of a schedule and the reach estimate.
e.
Media planners can also calculate the average frequency from the gross
impressions and the unduplicated impressions.
(a; difficult; p. 299)
1017. Which concept is based on the belief that there should be a threshold, or minimum
frequency level, before media planners consider an audience segment to have been
exposed to the advertising message?
a.
reach
b.
frequency
c.
average frequency
d.
frequency distribution
e.
effective frequency
(e; moderate; p. 300)
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Part Five: Integration and Evaluation
1018. Media planners determine the most cost-effective media mix that will reach the target
audience and satisfy the media objectives through the ________.
a.
marketing strategy
b.
advertising strategy
c.
media strategy
d.
media tactics
e.
media evaluation
(c; moderate; p. 300)
1019. Which is the first and most important media objective?
a.
reach
b.
frequency
c.
continuity
d.
effective frequency
e.
average frequency
(a; moderate; p. 300)
1020. What is a general rule of thumb regarding the number of exposures needed for a message
to sink in?
a.
one to two
b.
two to three
c.
three to four
d.
four to five
e.
more than five
(c; moderate; p. 301)
1021. Assessing the media for target audience opportunities is a major challenge for media
planners, so media planners have to consider the ________ of a specific media vehicle.
a.
average frequency
b.
targeted reach
c.
effective frequency
d.
targeted frequency
e.
effective reach
(b; difficult; p. 301)
1022. Which of the following is NOT target audience information considered by media
planners when determining appropriate media to reach their target audience?
a.
consumer media use
b.
geography
c.
consumption patterns
d.
income distributions
e.
All of the above are considered by media planners.
(d; difficult; pp. 302–303)
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Chapter Eighteen: Special Advertising Situations
1023. What type of schedule is used in special regions or cities that need to be emphasized
more than others?
a.
continuous schedule
b.
flighting schedule
c.
heavy-up schedule
d.
pulsing schedule
e.
frequency schedule
(c; moderate; p. 303)
1024. Which of the following is an index of the relative consumption rate of a product in a
particular market?
a.
product development index (PDI)
b.
category development index (CDI)
c.
brand development index (BDI)
d.
buying power index (BPI)
e.
market share index (MSI)
(b; moderate; p. 303)
1025. Which of the following is an index of the consumption rate of a brand in a particular
market?
a.
product development index (PDI)
b.
category development index (CDI)
c.
brand development index (BDI)
d.
buying power index (BPI)
e.
brand share index (BSI)
(c; moderate; p. 303)
1026. Which of the following is NOT a reason most organizations need a variety of ways—a
media mix—to get their messages out to their customers?
a.
They would not be able to attain the desired level of reach and frequency if
relying on just one medium.
b.
Using a number of media distributes the message more widely because different
media tend to have different audience profiles.
c.
Some people reject certain media.
d.
Different media have different strengths in terms of reach and frequency.
e.
They attempt to create a synergistic effect between the messages delivered in
different media.
(a; difficult; pp. 303–304)
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Part Five: Integration and Evaluation
1027. What decision criterion designed to show the relative proportion of media activity in
terms of any number of factors, such as seasonality, geography, or audience segment, do
media planners use to help them decide how much to budget.
a.
image transfer
b.
average frequency
c.
effective frequency
d.
weighting
e.
optimum frequency
(d; difficult; p. 304)
1028. What do media planners use to assist them in making intelligent decisions regarding the
media mix selection, given factors such as budget, timing, and so forth?
a.
computer optimization modeling
b.
linear programming
c.
synergistic analysis
d.
computer simulations
e.
media matrix analysis
(a; moderate; p. 305)
1029. Which calculation of efficiency is an estimate of the cost to expose 1,000 audience
members?
a.
cost per point (CPP)
b.
cost per thousand (CPM)
c.
cost per impression (CPI)
d.
brand development index (BDI)
e.
category development index (CDI)
(b; easy; p. 305)
1030. What does CPM stand for?
a.
cost per million
b.
cost per impression
c.
cost per thousand
d.
cost per point
e.
cost per medium
(c; easy; p. 305)
1031. Which is a method of comparing media vehicles by relating the cost of the message to the
audience rating?
a.
cost per point (CPP)
b.
cost per thousand (CPM)
c.
cost per prospect (CPP)
d.
brand development index (BDI)
e.
category development index (CDI)
(a; easy; p. 305)
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Chapter Eighteen: Special Advertising Situations
1032. What two figures are needed to calculate cost per thousand (CPM)?
a.
cost of message unit (i.e., ad cost) and program or issue rating
b.
cost of message unit (i.e., ad cost) and frequency of exposure
c.
average frequency and estimated target audience reached by media vehicle
d.
cost of message unit (i.e., ad cost) and estimated target audience reached by media
vehicle
e.
gross rating points and reach
(d; moderate; p. 305)
1033. The newspaper in Panama City, Florida, The News Herald, charges national advertisers
$45.00 per column inch. On Sunday, which is the day most national advertisers would
want to advertise, this newspaper has a circulation of 70,000 households. Assuming only
40,000 are part of an advertiser’s target audience, calculate CPM for one column inch.
a.
$0.64
b.
$1.13
c.
$6.40
d.
$11.30
e.
$1,800
(b; moderate; p. 306)
1034. On Wednesday nights, American Idol commanded the highest advertising rates for the
2004–05 network TV season, costing advertisers $658,333 per 30 seconds. During one
Wednesday in April, American Idol had almost 25 million viewers. Assuming all viewers
represent an advertiser’s target audience, calculate CPM.
a.
$0.04
b.
$2.63
c.
$26.33
d.
$37.97
e.
$263.30
(c; moderate; p. 306)
1035. On Wednesday nights, American Idol commanded the highest advertising rates for the
2004–05 network TV season, costing advertisers $658,333 per 30 seconds. This ad cost
was based on an average rating of 16.3 for this program during the previous TV season.
American Idol reached an audience of almost 25 million viewers during one week in
April 2005. Calculate the CPP.
a.
$26.33
b.
$40.39
c.
$26,330
d.
$40,388
e.
not enough information to determine
(d; difficult; p. 306)
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1036. Which of the following statements is true regarding cost per thousand (CPM) and/or cost
per point (CPP)?
a.
CPP is calculated by dividing the ad cost by the rating and then multiplying by
1,000.
b.
CPM is calculated by dividing the ad cost by the estimated audience reached.
c.
CPM is a measure of efficiency and CPP is a measure of effectiveness.
d.
CPM and CPP are more valid when used to compare vehicles within a medium.
e.
The efficiency calculations cannot be used to compare one medium to another.
(d; moderate; p. 306)
1037. Which of the following is NOT a media scheduling strategy media planners must
consider?
a.
timing
b.
duration of exposure
c.
continuity of exposure
d.
cost per thousand
e.
All of the above are media scheduling strategies media planners must consider.
(d; moderate; p. 306)
1038. Which media scheduling decision relates to factors such as seasonality, holidays, days of
the week, time of day, how often product is bought, whether it is used more in some
months than in others, the consumer’s best aperture, and competitors’ advertising
schedules?
a.
duration
b.
continuity
c.
timing
d.
frequency
e.
reach
(c; moderate; p. 306)
1039. When it comes to timing with respect to scheduling strategies, what two critical questions
must the media planner consider?
a.
duration and continuity
b.
CPM and CPP
c.
reach and frequency
d.
impressions and ratings
e.
flighting and pulsing
(a; moderate; p. 306–307)
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1040. What concept refers to the amount of time allowed before the beginning of the sales
period to reach people when they are just beginning to think about seasonal buying?
a.
continuity
b.
lead time
c.
duration
d.
flow
e.
just-in-time
(b; moderate; p. 307)
1041. What concept refers to the amount of time allowed before the beginning of the sales
period to reach people when they are just beginning to think about seasonal buying as
well as to the production time needed to get the advertisement into the medium?
a.
continuity
b.
lead time
c.
duration
d.
flow
e.
just-in-time
(b; moderate; p. 307)
1042. What concept refers to the production time needed to get the advertisement in to the
medium?
a.
continuity
b.
lead time
c.
duration
d.
flow
e.
just-in-time
(b; moderate; p. 307)
1043. ________ refers to the way the advertising is spread over the length of a campaign.
a.
Continuity
b.
Lead time
c.
Duration
d.
Flow
e.
Just-in-time
(a; moderate; p. 307)
1044. Which continuity schedule spreads the advertising evenly over the campaign?
a.
pulsing
b.
flighting
c.
continuous
d.
even
e.
steady
(c; moderate; p. 307)
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1045. Which continuity schedule is designed to intensify advertising before an open aperture
and then to reduce advertising to much lower levels until the aperture opens again and
has peaks and valleys, also called bursts?
a.
pulsing
b.
flighting
c.
continuous
d.
even
e.
steady
(a; moderate; p. 307)
1046. Which continuity strategy is the most severe type of continuity adjustment and is
characterized by alternating periods of intense advertising activity and periods of no
advertising (hiatus)?
a.
pulsing
b.
flighting
c.
continuous
d.
even
e.
steady
(b; moderate; p. 307)
1047. The period of time during which there is no advertising during a flighting schedule is
known a(n) ________.
a.
flight
b.
pulse
c.
down time
d.
carryover
e.
hiatus
(e; moderate; p. 307)
1048. In the flight strategy works, there will be a(n) ________, which means that consumers
will remember the product across the gap until the next advertising period begins.
a.
carryover effect
b.
hiatus
c.
spillover effect
d.
lingering effect
e.
gap effect
(a; moderate; pp. 307–308)
1049. After the schedule has been worked out in terms of what media run when and for how
long, these decisions ________.
a.
are written in a report to the client
b.
are entered into a spreadsheet
c.
plotted on a scatter plot
d.
plotted on a media flowchart
e.
plotted on a scree plot
(d; moderate; p. 308)
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1050. What is the most common format used to present the media allocation decisions?
a.
flowchart
b.
spreadsheet
c.
scatter plot
d.
scree plot
e.
pie chart
(e; moderate; p. 308)
1051. Which of the following is a function of a media buyer?
a.
provide information to media planners
b.
select the media vehicles
c.
negotiate cost and make the media buy
d.
handle all billing and payment
e.
all of the above
(e; moderate; pp. 313–316)
1052. Which of the following is NOT a function of a media buyer?
a.
provide information to media planners
b.
evaluate media choice after campaign
c.
negotiate cost and make the media buy
d.
handle all billing and payment
e.
All of the above are functions of a media buyer.
(e; moderate; pp. 313–316)
1053. Which of the following is the key function of media buying?
a.
provide information to media planners
b.
select the media vehicles
c.
negotiate cost and make the media buy
d.
handle all billing and payment
e.
monitor the media plan performance
(b; moderate; p. 314)
1054. With the current trend toward using other forms of marketing communication in addition
to advertising, buyers often demand additional promotional support, and these activities
are sometimes called ________.
a.
add-ons
b.
make-goods
c.
value-added media services
d.
preferred placements
e.
incentives
(c; moderate; p. 315)
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1055. A policy of compensating advertisers for errors, such as missed positions or errors in
handling the message presentation, is known as ________.
a.
make-ups
b.
make-goods
c.
up-fronts
d.
recompensations
e.
remuneration
(b; moderate; p. 315)
1056. Magazines and newspapers have clearly set production deadlines called ________.
a.
closings
b.
make-goods
c.
lead times
d.
preemptions
e.
drop-deads
(a; moderate; p. 315)
1057. The growth of media buying services as separate companies that specialize in media
buying that has shifted the way the media industry is organized is referred to as
________.
a.
consolidating media service
b.
acquiring media services
c.
spinning media services
d.
unbundling media services
e.
detaching media services
(d; moderate; p. 316)
1058. Why have several advertising agencies unbundled their media buying function?
a.
They were required to unbundled their media buying function by the FTC.
b.
They could become more of an expert in media buying if it was removed from the
overall agency structure.
c.
They can aggregate the buying function across many different clients, enabling
them to negotiate better rates for their clients.
d.
They wanted to avoid client conflicts.
e.
They could better consolidate it with the media planning function.
(c; moderate; p. 316)
1059. Media companies that have brought the planning and buying functions back together
offer ________.
a.
value-added services
b.
consolidated services
c.
make-goods
d.
bundled media services
e.
full services
(b; moderate; p. 316)
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GENERAL CONTENT: TRUE/FALSE QUESTIONS
1060. Aperture is the point where a consumer has an opportunity to connect with a brand and
respond in some way to a brand message.
(False; moderate; p. 293)
1061. Media planners use client information, market research, competitive advertising, media
information, and consumer information before media decision-making begins.
(True; moderate; pp. 293–297)
1062. Sales geography is considered by the media planner because sales differences affect the
decision about which markets the advertiser should reach for the campaign and how
many dollars are allocated to each geographic region.
(True; easy; p. 294)
1063. Aperture measures the percentage of total advertising spending by one brand in a product
category relative to the competition, giving media planners an idea of how much their
advertising will stand out.
(False; moderate; p. 295)
1064. Information provided by various media is most useful for media planners because it best
reflects the true value of the medium to advertisers.
(False; difficult; p. 295)
1065. The broadcast coverage area for television is called a designated marketing area (DMA)
and is referred to by the name of the largest city in the area.
(True; moderate; p. 297)
1066. Gross impressions are a combination of reach and frequency.
(False; difficult; p. 297)
1067. Media planners convert impressions to gross rating points in order to compare the
efficiency of different media schedules.
(True; moderate; p. 298)
1068. Reach is the first place to start in setting objectives for a media plan.
(True; moderate; p. 298)
1069. Reach is the percentage of a medium’s audience that is exposed at least once to the
advertiser’s message during a specific time frame.
(True; moderate; p. 298)
1070. Gross rating points (GRPs) of a schedule and the reach estimate can be used to determine
the average frequency.
(True; moderate; p. 299)
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1071. Average frequency gives the planner the best picture of the plan’s performance.
(False; moderate; p. 299)
1072. The frequency distribution method is more revealing, and thus more valuable, than the
average frequency method in reporting repetition.
(True; moderate; p. 300)
1073. The idea behind the concept of effective frequency is that you add frequency to reach
until you get to the level where people respond.
(True; moderate; p. 300)
1074. In terms of frequency, a general rule of thumb is that it takes more than 10 exposures for
a message to sink in.
(False; moderate; p. 301)
1075. The tighter the focus on a target market, the more difficult it is to find appropriate media
to deliver a relevant message.
(False; moderate; p. 301)
1076. Target information used by media planners includes the targeted reach of a vehicle,
consumer media use, geography, and consumers’ consumption patterns.
(True; moderate; pp. 301–302)
1077. Despite the increase in media options, consumer audiences of traditional media, such as
broadcast TV, daily newspapers, and consumer magazines, continue to increase.
(False; moderate; p. 302)
1078. In most cases, the media plan will identify special regions or cities to be emphasized with
a heavy-up schedule, which means proportionately more of the budget is spent in those
areas.
(True; moderate; p. 303)
1079. Planners typically make heavier allocations in weak sales areas because they are the areas
that promise the greatest growth.
(False; difficult; p. 303)
1080. One reason why organizations need a variety of ways (i.e., a media mix) to get their
messages out to their customers is the fact that some people reject certain media.
(True; moderate; p. 303)
1081. Transformational advertising refers to the synergistic way radio, in particular, reinforces
and re-creates the message in a listener’s mind.
(False; difficult; p. 304)
1082. Media planners often use a decision criterion called weighting to help them decide how
much to budget.
(True; easy; p. 304)
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1083. Currently, there are no computerized optimization models to assist media planners in
their job.
(False; moderate; p. 305)
1084. Positioning research suggests that within a print medium the inside cover and first few
pages have slightly better readership.
(True; easy; p. 305)
1085. Cost per thousand is a measure used to determine the effectiveness of a media vehicle.
(False; moderate; p. 305)
1086. CPM and CPP are more valid when used to compare vehicles within a medium.
(True; moderate; p. 306)
1087. When considering the timing strategy of a media plan, the two critical questions to
consider are duration and continuity.
(True; easy; p. 306)
1088. A pulsing strategy is the most severe type of continuity adjustment and is characterized
by alternating periods of intense advertising activity and periods of no advertising.
(False; moderate; p. 307)
1089. There has been a tremendous increase in global media in the last five years.
(False; moderate; p. 308)
1090. Media buyers should be consulted early in planning, as they are a good source of
information on changes in media.
(True; easy; p. 313)
1091. Media buyers negotiate rates, preferred positions, and extra support offers on behalf of
their clients.
(True; easy; pp. 314–315)
1092. Program preemptions, missed closings, and/or technical problems caused by the media
will require them to offer make-goods to the advertiser.
(True; moderate; p. 315)
1093. Unbundling media services has allowed agencies to aggregate the buying function across
many different clients enabling media companies to negotiate better rates for their clients.
(True; easy; p. 316)
1094. Calls for reform, which include better metrics on all media, are needed to reflect the
different ways consumers are using media.
(True; easy; p. 317)
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GENERAL CONTENT: ESSAY QUESTIONS
1095. Name and describe the information sources media planners use in developing a media
plan.
Answer:
There are four major sources of information media planners use:
(1)
Client Information—The client is a good source for various types of information,
such as targeted markets, previous promotions and their performance, product
sales and distribution patterns, brand plans, and, most importantly, the budget.
(2)
Market Research—Independently gathered information about markets and
product categories, such as that provided by MRI, Scarborough, and Mendelsohn.
This information is usually organized by product category and cross-tabulated by
audience groups and their consumption patterns.
(3)
Competitive Advertising—Few advertisers ignore competitors’ advertising
activity. Media planners make scheduling decisions based on the amount of
competitive traffic, and the objective is to find media where the advertiser’s voice
is not drowned out by competitors’ voices. This concept is called share of voice,
which measures the percentage of total advertising spending by one brand in a
product category relative to the competition, giving media planners an idea of
how much their advertising will stand out.
(4)
Media Information—Various media all provide information about the size and
make-up of their audiences. Although useful, this information is also suspect
because it is assembled to make the best possible case for advertising in that
medium. For that reason, outside sources are also used.
(5)
Consumer Information—The consumer research sources that are used in
developing segmentation and targeting strategies are also useful in planning
media strategies, and media planners use services, such as Claritas PRIZM
system, Nielsen’s ClusterPlus system, and supermarket scanner data, to locate the
target audience within media markets.
(moderate; pp. 294–297)
1096. Name and describe the three critical elements media planners must consider in setting
specific media objectives.
Answer:
Media planners must consider three critical elements in setting specific media objectives:
degree of exposure (impressions), the number of different people exposed to the message
(reach), and repetition needed to reach those people and make an impression on them
(frequency):
(1)
Exposure and GRPs—In practice, media planners use gross impressions as a
primary measure for total impressions. Gross impressions are the sum of the
audiences of all the media vehicles used during a certain span of time. It’s called
“gross” because the planner has made no attempt to calculate how many different
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people were in the audience or whether the same person saw the same ad several
times, meaning it ignores duplication of exposure. To get the sum of gross
impressions, the media planner finds the audience figure for each vehicle used,
multiplies that figure by the number of times the vehicle is used, and adds the
vehicle figures. To avoid the huge numbers, media planners convert impressions
to gross rating points (GRPs) in order to compare the efficiency of different media
schedules.
(2)
Reach—How many different members of the target audience can be exposed to
the message in a particular time frame. Different or unduplicated audiences are
those that have at least one chance of being exposed to a message. The media
planner calculates the reach of a media schedule according to research estimates
that forecast the unduplicated audience.
(3)
Frequency—The rate of exposure. To estimate the frequency of a schedule,
planners use two methods: average frequency and frequency distribution. Average
frequency is calculated by dividing gross rating points by the reach estimate or by
dividing gross audience impressions by unduplicated impressions. Average
frequency can give the planner a distorted idea of the plan’s performance, so most
planners tend to calculate frequency distribution whenever possible. The
frequency distribution method is more revealing, and thus more valuable, than the
average frequency method of reporting repetition. Another concept, effective
frequency, essentially combines the reach and the frequency elements into one
factor, and the idea is that you add frequency to reach until you get to the level
where people respond.
(moderate; pp. 297–300)
1097. Compare and contrast cost per thousand (CPM) and cost per point (CPP).
Answer:
The process of measuring the target audience size against the cost of that audience is
based on calculations of efficiency—more popularly referred to as cost per thousand
(CPM), which is an estimate of the cost to expose 1,000 audience members, and cost per
point (CPP), which is a method of comparing media vehicles by relating the cost of the
message to the audience rating.
It is best to use CPM analysis to compare vehicles within one medium. It is also
important to base it only on the portion of the audience that has the target characteristics,
called targeted cost per thousand. To calculate the CPM you need only two figures: the
costs of the unit (i.e., time on TV or space in a magazine) and the estimated target
audience reached by the program. CPM = (cost of message unit/gross impressions) x
1,000.
Some planners prefer to compare media on the basis of rating points instead of
impressions. Although both efficiency calculations are used, planners favor CPP because
of its simplicity. The calculation is parallel to CPM with one exception: the denominator
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is the rating percentage rather than the total impressions (note: because CPP is not
calculated on a per-thousand basis, we do not multiply by 1,000).
Both the CPM and CPP are relative values, so planners do not know whether a value is
good or bad unless they have comparable figures for comparable vehicles. Although
these efficiency analyses can be conducted across media, planners make such
comparisons carefully because each medium has unique strengths. CPM and CPP are
more valid when used to compare vehicles within a medium.
(moderate; pp. 305–306)
1098. Compare and contrast continuous, pulsing, and flighting strategies.
Answer:
All three of these are continuity strategies, and continuity refers to the way the
advertising is spread over the length of a campaign. More specifically:
(1)
Continuous Strategy—Spreads the advertising evenly over the campaign.
(2)
Pulsing Strategy—Designed to intensify advertising before an open aperture and
then to reduce advertising to much lower levels until the aperture opens again.
The pulse pattern has peaks and valleys, also called bursts. Pulsed schedules cover
most of the year, but still provide periodic intensity.
(3)
Flighting Strategy—The most severe type of continuity adjustment and is
characterized by alternating periods of intense advertising activity and periods of
no advertising (hiatus). This on-and-off schedule allows for a longer campaign
without making the advertising schedule too light. The hope in using
nonadvertising periods is that consumers will remember the brand and its
advertising for some time after the ads have stopped. If the flight strategy works,
there will be a carryover effect of past advertising that means consumers will
remember the product across the gap until the next advertising period begins. The
critical decision involves analyzing the decay level, the rate at which memory of
the advertising is forgotten.
(moderate; pp. 307–308)
1099. List the six functions of a media buyer.
Answer:
The functions of the media buyer are:
(1)
Provide information to media planners
(2)
Select media vehicles
(3)
Negotiate cost/make media buy
(4)
Monitor the media plan performance
(5)
Evaluate the media choices after the campaign
(6)
Handle all billing and payment
(easy; p. 314, Figure 11.11)
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APPLICATION QUESTIONS: MULTIPLE-CHOICE QUESTIONS
1100. What creative media plan did Archipelago Exchange, the Chicago-based electronic stock
market that was described in the chapter’s opening vignette, use to reach stock traders?
a.
They used a flighting schedule and spent heavily at the beginning of each month
for two weeks and then stopped for the remainder until the next month.
b.
They used a pulsing schedule in which they heavy-upped the schedule if the
volume of trading seemed to be tapering off.
c.
Their agency created and produced a TV program that would air in 1-minute
increments every morning at 7:59 a.m., one minute before the opening of the
exchange.
d.
They analyzed geographic trading data and allocated more exposure in regions
where trading was lowest.
e.
They analyzed geographic trading data and allocated more exposure in regions
where trading was highest.
(c; moderate; p. 291)
1101. Which of the following was an objective of Archipelago’s advertising campaign that was
described in the chapter’s opening vignette?
a.
to redefine Archipelago and connect it to the idea of a stock exchange
b.
increase interest and referrals
c.
establish the image of the new exchange as viable
d.
increasing its level of use among professional traders
e.
all of the above
(e; moderate; p. 292)
1102. Jamie is a media planner for an advertising agency. The guiding principle he uses to
determine a client’s media plan is that advertising is most effective when it reaches the
right people at the right time with the right message. What concept is this principle based
on?
a.
marketing concept
b.
maximization concept
c.
touch point concept
d.
aperture concept
e.
contact point concept
(d; moderate; p. 293)
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1103. One study assessed consumers’ regard for specific brands and related that score to the
brand’s advertising expenditures relative to competitors’ expenditures. The study found
that all of the top brands in a given product category also represented the largest
percentage of total advertising spending in a product category relative to competitors.
What concept measures the percentage of total advertising spending by one brand in a
product category relative to the competition?
a.
marketing concept
b.
aperture concept
c.
share of voice
d.
share of market
e.
CrossTab assessment
(c; moderate; p. 295)
1104. What format is a standard research display format that allows multiple variables of
related data to be grouped together?
a.
CrossTab
b.
CrossRelate
c.
Multivariate
d.
Univariate
e.
CrossIndex
(a; difficult; p. 296)
1105. Janice developed a media plan for a client that recommended 10 commercials in a
television program that delivered 4 million target impressions per episode and three fullpage ads in a magazine that delivers 3 million target impressions per issue. Assuming that
only one ad appeared in a given episode of a program or an issue of the magazine,
calculate the gross impressions for this plan.
a.
3 million
b.
4 million
c.
39 million
d.
40 million
e.
49 million
(e; moderate; p. 297)
1106. What group of consumers did Polaroid target with its advertising campaign that was
described in “A Matter of Practice”?
a.
Generation Y
b.
Baby Boomers
c.
senior citizens
d.
men more than 25 years old
e.
women more than 25 years old
(a; moderate; p. 302)
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1107. Which of the following nontraditional media was NOT used in the Polaroid campaign
that was described in “A Matter of Practice”?
a.
e-mail
b.
instant messaging
c.
blogs
d.
Web advertising
e.
All of the above were nontraditional media used.
(c; moderate; p. 302)
1108. Which of the following experienced a decrease in consumer use from 2001 to 2003?
a.
cable and satellite TV
b.
recorded music
c.
home video
d.
consumer Internet
e.
video games
(b; difficult; p. 303 [ Figure 11.4])
1109. Which of the following media types annoyed consumers the most in 2002?
a.
pop-up ads
b.
direct mail
c.
print ads
d.
paid search-engine listings
e.
web site banner ads
(a; moderate; p. 304 [Figure 11.5])
1110. A television advertisement for life insurance uses the song “Time” by Alan Parson’s
Project and shows a family sharing tender moments together. They also use the same
song in their radio ads in the hope that it will reinforce and re-create the message in the
listener’s mind. Which concept best describes this situation?
a.
transformational advertising
b.
soft-sell advertising
c.
hard-sell advertising
d.
image transfer
e.
mental imagery
(d; moderate; p. 304)
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1111. 28th Avenue Wine & Spirits decided to start advertising their business, but they do not
have a large budget to devote to it. However, their sales are seasonal, with the highest
sales occurring between Thanksgiving and New Year’s. Because they would like to have
a media presence all year round, which continuity schedule would you recommend they
follow to make the most of their budget?
a.
continuous strategy
b.
pulsing strategy
c.
flighting strategy
d.
heavy-up strategy
e.
burst strategy
(b; moderate; p. 307)
1112. As Heather Beck described in “The Inside Story,” what is one of the first areas to lose
money when budgets get tight?
a.
marketing
b.
advertising
c.
public relations
d.
sales promotion
e.
event sponsorship
(b; moderate; p. 309)
1113. What opportunity in the market did research show where Pizza Hut had not maximized
its share?
a.
“Pressure Cooker” occasions that are driven by impulse orders
b.
“Hanging Out” occasions that are driven by social occasions
c.
“Food-Focused” dinner decisions
d.
a and b
e.
a, b, and c
(d; difficult; p. 310)
1114. What is the distinguishing characteristic of Procter & Gamble’s media strategy that they
call communications planning and was described in the “Hands-On” case at the end of
the chapter?
a.
This approach puts the medium before the message.
b.
This approach puts the message before the medium.
c.
This approach includes the simultaneous production of the message and the media
plan.
d.
This approach maps out the entire media schedule on a media flowchart.
e.
This approach maps out the entire media schedule in the CrossTab format, which
is consistent with most consumer research.
(a; moderate; p. 319)
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APPLICATION QUESTIONS: MINI-CASE MULTIPLE-CHOICE
Consider the following magazine media schedule:
Magazine
Readers/Issue
Rating*
Unduplicated**
A
50,000
50
35,000
B
40,000
40
20,000
C
20,000
20
11,000
* Target population: 100,000
** those who did not read either of the other two magazines
1115. Mini-Case Question. What are the total gross impressions?
a.
1.1
b.
6.6
c.
66,000
d.
110,000
e.
4,500,000
(d; moderate; p. 299)
1116. Mini-Case Question. What are the total gross rating points (GRPs)?
a.
1.1
b.
36.7
c.
110
d.
166
e.
11,000,000
(c; moderate; p. 299)
1117. Mini-Case Question. How many unduplicated readers are there?
a.
22,000
b.
66,000
c.
110,000
d.
150,000
e.
176,000
(b; moderate; p. 299)
1118. Mini-Case Question. What is the reach?
a.
22
b.
66
c.
110
d.
150
e.
176
(b; difficult p. 299)
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1119. Mini-Case Question. What is the average frequency?
a.
1.7
b.
2.0
c.
3.5
d.
4.7
e.
6.3
(a; difficult; p. 299)
APPLICATION QUESTIONS: SHORT-ANSWER
1120. Describe the unique media strategy used for the Archipelago Exchange that was
discussed in the chapter’s opening vignette.
Answer:
Instead of airing traditional 30-second spots, their agency created and produced a TV
program that would air in 1-minute increments every morning at 7:59, one minute before
the opening of the Archipelago Exchange, which is a Chicago-based electronic stock
market. The program featured two characters that the agency created and a developing
storyline that stock traders watched like a regular TV program, only this one was just 1
minute long.
(moderate; p. 291)
1121. Monica is an advertising major and is interning at a major advertising agency. To start
out, she will be working with a media planner. What other people will be involved in the
planning and executing the media function for their clients?
Answer:
Traditionally, the advertising agency has been responsible for developing the media plan,
which is usually devised jointly by the agency’s media department, the account and
creative teams, and the marketer’s brand management group. Once the plan is formed, a
media-buying unit, sometimes attached to the ad agency or sometimes a separate
company, executes it.
(moderate; p. 293)
1122. Kyle is a media planner at an advertising agency and has just been assigned to develop a
media plan for a new client of the agency. What critical client information will Kyle find
useful in developing the media plan?
Answer:
The client is a good source for various types of information media planners use in their
work, such as targeted markets, previous promotions and their performance, product sales
and distribution patterns, brand plans, and, most importantly, the budget. Sales geography
is a critical set of information, because even though companies may distribute goods and
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services in many cities and states, sales are seldom consistent across all areas. Sales
differences affect the decision about which markets the advertiser should reach for the
campaign and how many dollars are allocated to each geographic region.
(moderate; p. 294)
1123. Briefly describe why the MRI CrossTab format is useful and what an index of 199 means
for the 18 to 34 demographic that drinks Red Bull soft drinks.
Answer;
The CrossTab format is a standard research display format that allows multiple variables
of related data to be grouped together. An index of 199 means that people who are 18 to
34 are 99 percent more likely to drink Red Bull in the time period studied than the base
population studied.
(difficult; p. 296)
1124. You’ve heard someone mention the “Orlando Designated Marketing Area (DMA).”
Explain what this means and why it is useful to media planners.
Answer:
One type of media-related information about markets is the broadcast coverage area for
television, which is called a designated marketing area (DMA) and is referred to by the
name of the largest city in the area. This is a national market analysis system, and every
county in the United States has been assigned to a DMA. The assignment is based on
where most of the residents receive their television signals, which generally reach a 50to 60-mile radius. Even though this system is based on TV broadcast signals, it is
universally used in local market planning.
(moderate; p. 297)
1125. A classmate of yours seems to think the terms gross impressions and reach mean the
same thing and are interchangeable. Is this true? Explain why or why not.
Answer:
Gross impressions are the sum of the audiences of all the media vehicles used during a
certain span of time. The summary figure is called “gross” because the planner has made
no attempt to calculate how many different people were in the audience or whether the
same person saw the same ad several times; it ignores duplication of exposure.
An important aspect of an advertising campaign is how many different members of the
target audience can be exposed to the message in a particular time frame, which is a
measure of the campaign’s reach. Different or unduplicated audiences are those that have
at least one chance of being exposed to a message.
(moderate; pp. 297–298)
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1126. Your aunt was asking about what you are learning in college, and you started to tell her
about what you’re learning in your advertising course. Because you are currently
studying media planning and buying, that’s mostly what you talk about. However, you’re
confusing your aunt, so she asked you to tell her the two most important concepts
necessary for media planners to effectively do their job. Explain two concepts that are the
basis for most media planning and are familiar to everyone who works in advertising.
Answer:
Reach and frequency measures are the basis for most media planning and are terms
familiar to everyone who works in advertising. Reach is the percentage of a medium’s
audience that is exposed at least once to the advertiser’s message during a specific time
frame. The media planner calculates the reach of a media schedule according to research
estimates that forecast the unduplicated audience. Although the reach estimate is based
on only a single exposure, frequency, the rate of exposure, estimates the number of times
the exposure is expected to happen.
(moderate; pp. 298–299)
1127. Compare and contrast the terms effective frequency and effective reach.
Answer:
They basically mean the same thing. The reach of an audience alone is not a sufficient
measure of an advertising schedule’s strength. Because of the proliferation of information
and clutter, many media planners believe there should be a threshold, or minimum
frequency level, before they consider an audience segment to have been exposed to the
advertising message. This theory essentially combines the reach and the frequency
elements into one factor known as effective frequency. The idea is that you add
frequency to reach until you get to the level where people respond. Some planners call
this effective reach because it is making the reach level more effective—but it does this
by increasing frequency.
(moderate; p. 300)
1128. A client has asked its agency “How much is enough and how much is too much?” when it
comes to the number of exposures necessary. What should the agency tell them?
Answer:
In terms of frequency, a general rule of thumb is that it takes three to four exposures for a
message to sink in. However, that varies with the type of product and marketing situation.
Low-frequency strategies are used with well-known brands and simple messages. Highfrequency strategies might be used because you want to build excitement about a new
product or an upcoming event. More complex messages also may need more repetition.
(moderate; p. 301)
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1129. As discussed in “A Matter of Practice,” describe the media strategy that Polaroid used to
market the I-Zone to teenage girls.
Answer:
The company knew that teenagers used a host of electronic devices, including cell
phones, pagers, and e-mail. The initial media strategy used both traditional and
nontraditional media. Initially, five TV spots were produced. The nontraditional strategy
was to use e-mails, instant messaging, and web advertising before the TV campaign hit.
The TV campaign was a series of 30-second spots on programs with a high teen
viewership. Complementing the broadcast TV, the company used Channel One television
to reach teens at school. Polaroid also courted teen celebrity endorsements before I-Zone
was released by sending complimentary cameras to them.
(moderate; p. 302)
1130. Jon is a media planner for an advertising agency, and he is considering consumption
patterns for his client’s product and brand. Name and describe two indices Jon will find
useful when analyzing consumption patterns for products and brands and explain how
they help planners.
Answer:
A category development index (CDI) is calculated for various categories, which is an
index of the relative consumption rate of a product in a particular market. Similarly, a
brand development index (BDI) is an index of the consumption rate of a brand in a
particular market. The CDI tells you where the category is strong and weak and the BDI
tells you where a particular brand is strong and weak. Planners typically don’t make
heavy allocations in weak sales areas unless strong marketing signals indicate significant
growth potential. Conversely, strong sales markets may not receive proportional increases
in advertising unless evidence suggests that company sales can go much higher with
greater investment.
(moderate; p. 303)
1131. One advertising agency’s client wanted to use only television commercials, primarily
because they thought it would impress their customers and business colleagues. The
advertiser’s agency is having a difficult time convincing them that they should use a
media mix, not just television. Explain why it’s better to use a media mix than to rely on
just one medium.
Answer:
Using a number of media offers several advantages:
(1)
Distributes the message more widely because different media tend to have
different audiences
(2)
Some people even reject certain media, and others are more believable to some
consumers (i.e., print and television)
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(3)
Different media also have different strengths in terms of reach and frequency
(4)
Synergistic effect between the messages delivered in different medi.
(moderate; pp. 303–304)
1132. Barbara is a media buyer for an advertising agency, and one of her responsibilities is to
monitor her media buys on behalf of clients. She has to be alert for missed positions or
errors in handling her client’s message presentation and ensure that her client is
compensated appropriately when they occur. What is this policy called, and what types of
mishaps can result in them?
Answer:
A policy of compensating for errors is called “making good on the contract” known as
make-goods. Some examples are:
(1)
Program Preemptions—Special programs or news events often interrupt regular
programming and the commercial scheduled is also interrupted.
(2)
Missed Closings—Sometimes advertising materials do not arrive by the closing
date, and if the publication is responsible, it will make good.
(3)
Technical Problems—Bleed-throughs and out-of-register colors for newspapers,
torn billboard posters, broken film, and tapes out of alignment are typical
problems.
(moderate; p. 315)
1133. Several full-service advertising agencies have made their media buying functions
available to advertisers that want one agency to purchase their media. What is this called
and why is it becoming more common?
Answer:
This shift in the way the media industry is organized is referred to as unbundling media
services. Being able to aggregate the buying function across many different clients
enables media companies to negotiate better rates for their clients. Because these
companies control the money, they have become a powerful force in the advertising
industry.
(easy; p. 316)
1134. Explain the logic behind Procter & Gamble’s communications planning that was
described in the “Hands-On” case at the end of the chapter.
Answer:
P&G’s new approach, called communications planning, puts the medium before the
message. The idea is to strategically select media first, then to develop creative messages
that best take advantage of each channel. This approach is, of course, a reversal of the
tried-and-true method of developing what you want to say before you decide where to say
it. Why did P&G abandon the usual, logical approach? For years large advertisers have
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Chapter Eighteen: Special Advertising Situations
been questioning the wisdom of spending massive amounts of money on network TV.
Fewer people watch the networks, ads are regularly zipped or zapped, and the networks
have a difficult time delivering segmented audiences, and yet network ad rates have
increased faster than the rate of inflation.
(moderate; pp. 319–320)
APPLICATION QUESTIONS: MINI-CASE SHORT ANSWER
The Detroit Tigers’ baseball season is about to kick off, and the owners want to advertise that
fact in the Detroit metropolitan area. They will be using television, newspaper, and radio as part
of their media mix. Consider one portion of their media plan to answer the questions that follow:
Media Vehicle
Audience
Size
Number
messages
TV: CSI
300,000
Newspaper: Detroit News
Radio: WJBR
of
Cost
Rating
5
$9,000/30-sec
17
630,000
5
$42,000/page
25
200,000
25
$100/30-sec
10
1135. Mini-Case Question. Calculate the gross impressions.
Answer:
Gross impressions = (300,000 x 5) + (630,000 x 5) + (200,000 x 25) = 9,650,000
(moderate; p. 297)
1136.
Mini-Case Question. Calculate the total gross rating points (Total GRPs).
Answer:
Total GRPs = (17 x 5) + (25 x 5) + (10 x 25) = 460
(moderate; p. 298)
1137. Mini-Case Question. Calculate the cost per thousand (CPM) for CSI, the Detroit News,
and WJBR, respectively.
Answer:
CSI CPM = ($9,000/300,000) x 1,000 = $30.00
Detroit News CPM = ($42,000/630,000) x 1,000 = $66.67
WJBR CPM = ($100/200,000) x 1,000 = $0.50
(moderate; p. 306)
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Part Five: Integration and Evaluation
1138. Mini-Case Question. Calculate the cost per point (CPP) for CSI, the Detroit News, and
WJBR, respectively.
Answer:
CSI CPP = ($9,000/17) = $529.41
Detroit New CPP = ($42,000/25) = $1,680
WJBR CPP = ($100/10) = $10.00
(moderate; p. 306)
1139. Mini-Case Question. The media planner was considering a different program, Survivor,
instead of CSI, which delivers a similar demographic audience. The cost of a 30-second
spot during Survivor is $8,000, and the show has a rating of 15 in this market and delivers
an audience of 185,000. Based on measures of efficiency, which television program
would you recommend?
Answer:
Survivor CPM = ($8,000/185,000) x 1,000 = $43.24
Survivor CPP = ($8,000/15) = $533.33
Although CSI costs $1,000 more per 30-second spot, it has both a lower CPM and CPP,
which makes it a more efficient buy.
(moderate; p. 306)
CHAPTER TWELVE
The Creative Side and Message Strategy
GENERAL CONTENT: MULTIPLE-CHOICE QUESTIONS
1140. Which dimension of effective advertising represents the “art” part?
a.
strategic dimension
b.
personal dimension
c.
creative dimension
d.
media dimension
e.
evaluative dimension
(c; easy; p. 327)
1141. Which dimension of effective advertising represents the “science” part?
a.
strategic dimension
b.
personal dimension
c.
creative dimension
d.
media dimension
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Chapter Eighteen: Special Advertising Situations
e.
evaluative dimension
(a; easy; p. 327)
1142. An ad that means something to the target audience means the idea is ___________.
a.
relevant
b.
original
c.
impactful
d.
significant
e.
unexpected
(a; moderate; p. 327)
1143. An advertising idea is considered ___________ when it is novel, fresh, unexpected, and
unusual; and it’s considered ___________ when it’s one of a kind.
a.
relevant; impactful
b.
impactful; relevant
c.
original; creative
d.
creative; original
e.
creative; relevant
(d; difficult; p. 327)
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Part Five: Integration and Evaluation
1144. An idea that breaks through the clutter, gets attention, and sticks in memory is said to
have ___________.
a.
relevance
b.
originality
c.
staying power
d.
impact
e.
science
(d; moderate; p. 327)
1145. The ROI of effective advertising stands for ___________.
a.
real, original, and intense
b.
relevant, original, and impact
c.
relevant, original, and intense
d.
real, on-target, and insistent
e.
ready, on, and in
(b; moderate; p. 327)
1146. A(n) ___________ is a creative concept that implements the advertising strategy so that
the message is both attention getting and memorable.
a.
big idea
b.
creative brief
c.
artful statement
d.
big bang
e.
central idea
(a; easy; p. 327)
1147. Using an idea that someone else has originated is known as ___________.
a.
duplicate advertising
b.
revised advertising
c.
copycat advertising
d.
recycled advertising
e.
reused advertising
(c; easy; p. 327)
1148. A process of jumping from the strategy statement to an original idea that conveys the
strategy in an interesting way is known as the ________ and means moving from the
safety of a predictable strategy statement to an unusual idea that hasn’t been tried before.
a.
creative leap
b.
creative gap
c.
creative bridge
d.
creative brief
e.
creative idea
(a; moderate; p. 330)
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Chapter Eighteen: Special Advertising Situations
1149. What is often used to test the idea before it runs to try to determine whether it works?
a.
concept testing
b.
concept evaluation
c.
brainstorming
d.
comparative analysis
e.
copy-testing
(e; moderate; p. 330)
1150. Which of the following is a common technique advertisers use to force the creative leap?
a.
make an unusual association
b.
concept listing
c.
language manipulation
d.
use similes
e.
take physical risks
(a; moderate; p. 330)
1151. Which of the following statements is false regarding creative thinking?
a.
Creativity is a special form of problem solving and everyone is born with some
talent in that area.
b.
In advertising, creativity is limited to the writers and art directors.
c.
Free association creates the juxtaposition of two seemingly unrelated thoughts.
d.
Right-brain thinking is intuitive, nonverbal, and emotion-based thinking.
e.
Divergent thinking uses exploration to search for all possible alternatives.
(b; moderate; p. 330)
1152. Which of the following is a common technique that creative thinkers use to stimulate new
ideas?
a.
free association
b.
divergent thinking
c.
analogies and metaphors
d.
right-brain thinking
e.
all of the above
(e; moderate; p. 330)
1153. Which of the following is NOT a common technique that creative thinkers use to
stimulate new ideas?
a.
free association
b.
divergent thinking
c.
analogies and metaphors
d.
right-brain thinking
e.
copycat thinking
(e; moderate; p. 330)
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Part Five: Integration and Evaluation
1154. Which technique used by creative thinkers creates the juxtaposition of two seemingly
unrelated thoughts?
a.
free association
b.
divergent thinking
c.
analogies and metaphors
d.
right-brain thinking
e.
left-brain thinking
(a; moderate; p. 330)
1155. Which technique used by creative thinkers differs from the rational, linear thinking that
we use to arrive at the “right” conclusion and uses exploration (playfulness) to search for
all possible alternatives?
a.
free association
b.
divergent thinking
c.
analogies and metaphors
d.
right-brain thinking
e.
left-brain thinking
(b; moderate; p. 330)
1156. Which technique used by creative thinkers is intuitive, nonverbal, and emotion-based
thinking?
a.
free association
b.
divergent thinking
c.
analogies and metaphors
d.
right-brain thinking
e.
left-brain thinking
(d; moderate; p. 330)
1157. Which type of thinking is logical, orderly, and verbal?
a.
right-brain
b.
left-brain
c.
top-brain
d.
back-brain
e.
lateral-brain
(b; moderate; p. 330)
1158. A person who tends to deal in expressive images, emotion, intuition, and complex
interrelated ideas that must be understood as a whole rather than as pieces is ________brain dominant.
a.
right
b.
left
c.
top
d.
front
e.
back
(a; moderate; p. 330)
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Chapter Eighteen: Special Advertising Situations
1159. Which of the following is a step in the idea-generating process called creative aerobics?
a.
come up with a list of facts about a product
b.
create new “names” for the product
c.
cook for similarities between dissimilar objects
d.
create new definitions for product-related nouns
e.
all of the above
(e; easy; pp. 330–331)
1160. Which of the following is NOT a step in the idea-generating process called creative
aerobics?
a.
come up with a list of facts about a product
b.
create new “names” for the product
c.
look for similarities between dissimilar objects
d.
create new definitions for product-related nouns
e.
copy-test ideas with a focus group
(e; moderate; pp. 330–331)
1161. Which of the following statements is false regarding the creative person?
a.
Creative advertising people may be zany, weird, off-the-wall, unconventional, and
most importantly, eccentric.
b.
In advertising, creativity is both part of the job description and a goal.
c.
Creative people are found in business, science, engineering, advertising, and
many other fields.
d.
Creative problem solvers are risk takers with a high tolerance for ambiguity.
e.
Most people can sharpen their skills and develop their creative potential.
(a; moderate; p. 331)
1162. Which of the following is a key characteristic of creative people who do well in
advertising?
a.
problem solving
b.
ability to visualize
c.
openness to new experiences
d.
conceptual thinking
e.
all of the above
(e; easy; pp. 331–332)
1163. Which of the following is the first step in the creative process?
a.
ideation
b.
brainfog
c.
incubation
d.
immersion
e.
illumination
(d; moderate; p. 333)
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Part Five: Integration and Evaluation
1164. In which step of the creative process does the problem solver read, research, and learn
everything he or she can about the problem?
a.
ideation
b.
brainfog
c.
incubation
d.
immersion
e.
illumination
(d; moderate; p. 333)
1165. In which step of the creative process does the problem solver look at the problem from
every angle, develop ideas, and generate as many alternatives as possible?
a.
ideation
b.
brainfog
c.
incubation
d.
immersion
e.
illumination
(a; moderate; p. 333)
1166. In which step of the creative process does the problem solver hit a blank wall and want to
give up?
a.
ideation
b.
brainfog
c.
incubation
d.
mental block
e.
illumination
(b; moderate; p. 333)
1167. In which stage of the creative process does the problem solver try to put his or her
conscious mind to rest to let the subconscious take over?
a.
ideation
b.
brainfog
c.
incubation
d.
immersion
e.
illumination
(c; moderate; p. 333)
1168. Which stage of the creative process is characterized as an unexpected moment when the
idea comes, often when the mind is relaxed and doing something else?
a.
ideation
b.
brainfog
c.
incubation
d.
immersion
e.
illumination
(e; moderate; p. 333)
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Chapter Eighteen: Special Advertising Situations
1169. Which of the following describes the immersion step of the creative process?
a.
Read, research, and learn everything possible about the problem.
b.
Look at the problem from every angle, develop ideas, and generate as many
alternatives as possible.
c.
The mind may hit a blank wall and want to give up.
d.
Try to put the conscious mind to rest to let the subconscious take over.
e.
Does it work and is it on strategy?
(a; moderate; p. 333)
1170. Which of the following describes the ideation step of the creative process?
a.
Read, research, and learn everything possible about the problem.
b.
Look at the problem from every angle, develop ideas, and generate as many
alternatives as possible.
c.
The mind may hit a blank wall and want to give up.
d.
Try to put the conscious mind to rest to let the subconscious take over.
e.
Does it work and is it on strategy?
(b; moderate; p. 333)
1171. Which of the following describes the brainfog step of the creative process?
a.
Read, research, and learn everything possible about the problem.
b.
Look at the problem from every angle, develop ideas, and generate as many
alternatives as possible.
c.
The mind may hit a blank wall and want to give up.
d.
Try to put the conscious mind to rest to let the subconscious take over.
e.
Does it work and is it on strategy?
(c; easy; p. 333)
1172. Which of the following describes the incubation step of the creative process?
a.
Read, research, and learn everything possible about the problem.
b.
Look at the problem from every angle, develop ideas, and generate as many
alternatives as possible.
c.
The mind may hit a blank wall and want to give up.
d.
Try to put the conscious mind to rest to let the subconscious take over.
e.
Does it work and is it on strategy?
(d; moderate; p. 333)
1173. Which of the following describes the illumination step of the creative process?
a.
Read, research, and learn everything possible about the problem.
b.
Look at the problem from every angle, develop ideas, and generate as many
alternatives as possible.
c.
The mind may hit a blank wall and want to give up.
d.
Try to put the conscious mind to rest to let the subconscious take over.
e.
That unexpected moment when the idea comes, often when the mind is relaxed
and doing something else. Consider: does it work and is it on strategy?
(e; moderate; p. 333)
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Part Five: Integration and Evaluation
1174. Which of the following describes the final step of the creative process?
a.
Read, research, and learn everything possible about the problem.
b.
Look at the problem from every angle, develop ideas, and generate as many
alternatives as possible.
c.
The mind may hit a blank wall and want to give up.
d.
Try to put the conscious mind to rest to let the subconscious take over.
e.
Does it work and is it on strategy?
(e; moderate; p. 333)
1175. A technique in which 6 to 10 people work together to come up with ideas by remaining
positive and deferring judgment is known as ________.
a.
concept listing
b.
brainstorming
c.
divergent thinking
d.
free association
e.
brainfog
(b; moderate; p. 333)
1176. ________ is what the advertisement says and ________ is how it is said.
a.
Execution; creative strategy
b.
Message strategy; media strategy
c.
Creative strategy; execution
d.
Media strategy; message strategy
e.
Cognition; affect
(c; moderate; p. 334)
1177. Which of the following is an appropriate objective to achieve the perception facet of
advertising effectiveness?
a.
change attitudes
b.
create conviction
c.
create attention
d.
stimulate trial
e.
touch emotions
(c; moderate; p. 334)
1178. To deliver information and understanding are appropriate objectives for which facet of
advertising effectiveness?
a.
perception
b.
cognition
c.
affective
d.
persuasion
e.
transformation
(b; moderate; p. 334)
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Chapter Eighteen: Special Advertising Situations
1179. Which of the following are appropriate objectives to achieve the affective facet of
effective advertising?
a.
create attention, awareness, interest, recognition and recall
b.
deliver information and understanding
c.
touch emotions and create feelings
d.
change attitudes, create conviction and preference
e.
establish brand identity and associations
(c; moderate; p. 334)
1180. Which of the following are appropriate objectives to achieve the transformation facet of
effective advertising?
a.
create attention, awareness, interest, recognition and recall
b.
deliver information and understanding
c.
touch emotions and create feelings
d.
change attitudes, create conviction and preference
e.
establish brand identity and associations
(e; moderate; p. 334)
1181. In the Facets Model, the cognitive and persuasion objectives generally speak to the
________, and the affective and transformational objectives are more likely to speak to
the ________.
a.
facts; feelings
b.
feelings; facts
c.
attributes; benefits
d.
head; heart
e.
heart; head
(d; difficult; pl 334)
1182. An informational message that is designed to touch the mind and create a response based
on logic is known as a ________.
a.
factual sell
b.
heart sell
c.
hard sell
d.
soft sell
e.
cognitive sell
(c; moderate; p. 335)
1183. Which message strategy approach emphasizes tangible product features and benefits?
a.
factual sell
b.
heart sell
c.
hard sell
d.
soft sell
e.
cognitive sell
(c; moderate; p. 335)
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Part Five: Integration and Evaluation
1184. Which approach uses emotional appeals or images to create a response based on attitudes,
moods, dreams, and feelings?
a.
factual sell
b.
head sell
c.
hard sell
d.
soft sell
e.
affective sell
(d; moderate; p. 335)
1185. In which advertising message does a speaker, often referred to as “a talking head,”
present evidence and use a technique such as an argument to persuade the audience?
a.
soft sell
b.
lecture
c.
teaser
d.
appeal
e.
drama
(b; moderate; pp. 335–336)
1186. Which type of advertising message tells a story about the products, and the characters
speak to each other, not to the audience?
a.
soft sell
b.
lecture
c.
teaser
d.
appeal
e.
drama
(e; moderate; p. 336)
1187. Products that are not very well known or not very interesting, such as toilet paper, canned
vegetables, and motor oil, are said to have a small ________.
a.
share of mind
b.
share of voice
c.
stopping power
d.
pulling power
e.
share of market
(a; moderate; p. 336)
1188. What is the function of originality?
a.
keep attention
b.
increase share of mind
c.
create pulling power
d.
capture attention
e.
create sticking power
(d; moderate; p. 336)
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Chapter Eighteen: Special Advertising Situations
1189. Which of the following can create stopping power?
a.
originality
b.
unexpected media
c.
intrusive and intense
d.
contrast
e.
all of the above
(e; easy; p. 336)
1190. Getting attention is the ________ power of an advertisement; keeping attention is the
________ power of an ad.
a.
stopping; sticking
b.
pulling; stopping
c.
stopping; pulling
d.
pulling; sticking
e.
sticking; pulling
(c; moderate; p. 336)
1191. Speaking to the personal interests of their target audience, eliciting curiosity, suspense,
drama, and narrative are good ways to create ________.
a.
stopping power
b.
pulling power
c.
sticking power
d.
attention
e.
awareness
(b; moderate; pp. 336-337)
1192. In which type of campaign does the message unfold over time?
a.
drama
b.
lecture
c.
split and book-end
d.
teaser
e.
anonymous
(d; moderate; p. 336)
1193. Which of the following is NOT a way to create sticking power for an ad?
a.
repetition
b.
jingles
c.
slogans
d.
clever phrases
e.
vampire creativity
(e; moderate; p. 337)
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Part Five: Integration and Evaluation
1194. What is typically used at the end of an ad to summarize the point of the ad’s message in a
highly memorable way?
a.
subhead
b.
tagline
c.
teaser
d.
point of differentiation
e.
signature
(b; moderate; p. 337)
1195. When a tagline is used consistently on all marketing messages, it becomes a ________.
a.
slogan
b.
logo
c.
signature
d.
claim
e.
key visual
(a; moderate; p. 337)
1196. A vivid image that the advertiser hopes will linger in the viewer’s mind is communicated
through a ________.
a.
tagline
b.
slogan
c.
signature
d.
key visual
e.
super
(d; moderate; p. 337)
1197. A distinctive mark that identifies the product or company is known as a ________.
a.
tagline
b.
slogan
c.
logo
d.
signature
e.
key visual
(c; moderate; p. 337)
1198. The name of the company or brand written in a distinctive type style is known as a
________.
a.
tagline
b.
slogan
c.
logo
d.
signature
e.
key visual
(d; moderate; p. 337)
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Chapter Eighteen: Special Advertising Situations
1199. A(n) ________ connects with some emotion that makes the product particularly attractive
or interesting, such as security, esteem, fear, sex, and sensory pleasure.
a.
claim
b.
appeal
c.
feature
d.
point of differentiation
e.
argument
(b; moderate; p. 340)
1200. A(n) ________ states the logic behind the sales offer.
a.
claim
b.
appeal
c.
feature
d.
point of differentiation
e.
selling premise
(e; moderate; p. 341)
1201. Which of the following is NOT a rational customer-focused selling premise?
a.
benefit
b.
promise
c.
reason why
d.
unique selling proposition (USP)
e.
All of the above are rational customer-focused selling premises.
(e; moderate; p. 341)
1202. Which rational customer-focused selling premise is a benefit statement that is both
unique to the product and important to the user?
a.
benefit
b.
promise
c.
reason why
d.
unique selling proposition (USP)
e.
unique claim
(d; moderate; p. 341)
1203. ________ advertising is used to create a representation in a consumer’s mind.
a.
Unique selling proposition (USP)
b.
Image
c.
Conviction
d.
Selling premise
e.
Action
(b; moderate; p. 342)
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1204. Which type of message strategy delivers information symbolically by connecting a brand
with a certain type of person, lifestyle, or other characteristic?
a.
unique selling proposition (USP)
b.
emotion
c.
reminder
d.
association
e.
call to action
(d; moderate; p. 342)
1205. Which of the following is NOT considered a common message format?
a.
straightforward
b.
spokesperson
c.
lecture
d.
comparison
e.
problem solution/problem avoidance
(c; difficult; pp. 344–345)
1206. Which message format is an elaborate version of a problem solution staged in the form of
a drama in which “typical people” talk about a common problem and resolve it?
a.
demonstration
b.
slice-of-life
c.
teaser
d.
shockvertising
e.
spokesperson
(b; moderate; p. 345)
1207. Which type of message format tries to grab attention and generate buzz by using
outlandish creative ideas or provocative visuals?
a.
teasers
b.
slice-of-life
c.
spokesperson
d.
shockvertising
e.
shockwave
(d; moderate; p. 345)
1208. The creative strategy and key execution details are spelled out in a document called a(n)
________.
a.
creative brief
b.
positioning statement
c.
execution plan
d.
media plan
e.
message plan
(a; moderate; p. 345)
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Chapter Eighteen: Special Advertising Situations
1209. A particular problem that Big Ideas face is that the message is sometimes so creative that
the ad is remembered but not the product. This is known as ________.
a.
marketing imperialism
b.
carryover effect
c.
overpowering creativity
d.
cannibalistic creativity
e.
vampire creativity
(e; moderate; p. 349)
GENERAL CONTENT: TRUE/FALSE QUESTIONS
1210. Effective advertising is a product of both science and art.
(True; easy; p. 327)
1211. An effective ad is relevant, original, and has impact, which is referred to as ROI.
(True; easy; p. 327)
1212. In getting the great idea, the visual comes first.
(False; moderate; p. 327)
1213. Vampire advertising is using an idea that someone else has originated.
(False; moderate; p. 327)
1214. No matter how hard a creative team tries, there is no way to come up with a creative Big
Idea for boring, mundane products (e.g. toilet paper).
(False; moderate; p. 329)
1215. To get a creative idea, you must leap beyond the mundane language of the strategy
statement and see the problem in a novel and unexpected way.
(True; easy; p. 330)
1216. Divergent thinking creates the juxtaposition of two seemingly unrelated thoughts, and it
is done by thinking of a word and then describing everything that comes into your mind
when you imagine that word.
(False; moderate; p. 330)
1217. Left-brain thinking is intuitive, nonverbal, and emotion-based thinking.
(False; moderate; p. 330)
1218. Copywriters and art directors are the only creative roles in advertising agencies.
(False; moderate; p, 331)
1219. Creative problems solvers are risk takers with a high tolerance for ambiguity.
(True; moderate; p. 331)
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1220. One basic principle in creative thinking for advertising is to emphasize executions and
worry about concepts later.
(False; moderate; p, 332)
1221. For advertising professionals, creative thinking is more important than strategic thinking.
(False; moderate; p. 332)
1222. The first step in the creative process is to read, research, and learn everything you can
about the problem.
(True; moderate; p. 333)
1223. Illumination is a technique where a group of 6 to 10 people work together to come up
with ideas, and the secret to success is to remain positive and defer judgment.
(False; moderate; p. 333)
1224. Creative strategy is what the advertisement says and execution is how it is said.
(True; easy; p. 334)
1225. An objective to achieve the transformation facet of effectiveness is to touch emotions and
create feelings.
(False; difficult; p. 334)
1226. A hard sell is an informational message that is designed to touch the mind and create a
response based on logic.
(True; easy; p. 335)
1227. Lecture as a basic strategy relies on the viewer to make inferences.
(False; moderate; pp. 335–336)
1228. To get attention, an ad has to have pulling power.
(False; moderate; p. 336)
1229. The function of originality is to capture attention.
(True; moderate; p. 336)
1230. Keeping attention is the pulling power of an ad.
(True; moderate; p. 336)
1231. The key visual in a print, interactive, or television ad is a vivid image that the advertiser
hopes will linger in the viewer’s mind.
(True; moderate; p. 337)
1232. A product’s point of differentiation relative to the competition reflects its position.
(True; moderate; p. 338)
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Chapter Eighteen: Special Advertising Situations
1233. Style, quality, prestige, package, and color are all considered to be intangible
characteristics of the product.
(False; moderate; p. 339 [Figure 12.2])
1234. An appeal connects with some emotion that makes the product particularly attractive or
interesting.
(True; moderate; p. 340)
1235. An appeal states the logic behind the sales offer.
(False; difficult; p. 340)
1236. The unique selling proposition (USP) is a benefit statement that looks to the future and
predicts that something good will happen if you use the product.
(False; moderate; p. 341)
1237. The end result of persuasion is purchase.
(False; difficult; p. 341)
1238. An association message strategy delivers information symbolically by connecting a brand
with a certain type of person, lifestyle, or other characteristic.
(True; easy; p. 342)
1239. Advertising that tries to grab attention and generate buzz by using outlandish creative
ideas or provocative visuals is referred to as vampire creativity.
(False; moderate; p. 345)
1240. The message plan is the document prepared by the account planner to summarize the
basic marketing and advertising strategy and gives direction to the creative team as they
search for the creative concept.
(False; moderate; p. 345)
1241. A strategy is the form in which the ad’s message is presented.
(False; difficult; p. 347)
1242. In the case where the core targeting and positioning strategies remain the same in
different markets, execution needs to be the same.
(False; moderate; p. 348)
1243. Vampire creativity is when the message is so creative that the ad is remembered but not
the product.
(True; moderate; p. 349)
1244. A formal method of evaluating the effectiveness of an ad, either in draft form or after it
has been used, is called copy-testing.
(True; easy; p. 350)
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GENERAL CONTENT: ESSAY QUESTIONS
1245. Name and describe the most common techniques that creative thinkers use to stimulate
new ideas.
Answer:
The most common techniques that creative thinkers use to stimulate new ideas are:
(1)
Free Association—Creates the juxtaposition of two seemingly unrelated thoughts.
In this technique you think of a word and then describe everything that comes into
your mind when you imagine that word.
(2)
Divergent Thinking—Differs from the rational, linear thinking that we use to
arrive at the “right” conclusion. It is at the heart of creative thinking, using
exploration (playfulness) to search for all possible alternatives.
(3)
Analogies and Metaphors—Used to see new patterns or relationships.
(4)
Right-brain Thinking—Intuitive, nonverbal, and emotion-based thinking. A right
brain–dominant person tends to deal in expressive images, emotions, intuition,
and complex, interrelated ideas that must be understood as a whole rather than as
pieces.
Another approach is called creative aerobics, a thought-starter process that works well in
advertising because it uses both the head and the heart, which we refer to in strategy
development as rational and emotional appeals. It is a four-step, idea-generation process:
(1)
Facts—The first exercise is left-brain and asks you to come up with a list of facts
about the product.
(2)
New Names—Create new names for the product.
(3)
Similarities—Look for similarities between dissimilar objects.
(4)
New Definitions—Create new definitions for product-related nouns.
(moderate; pp. 330–331)
1246. Describe the creative person.
Answer:
Creative advertising people may be zany, weird, off-the-wall, and unconventional, but
they can’t be eccentric. They still must be very centered on creating effective advertising.
Research indicates that creative people tend to be independent, assertive, self-sufficient,
persistent, and self-disciplined, with a high tolerance for ambiguity. They are also risk
takers with powerful egos that are internally driven. They don’t care much about group
standards and opinions and typically have inborn skepticism and strong curiosity. Here
are a few of the key characteristics of creative people who do well in advertising:
(1)
Problem Solving—Creative problem solvers are alert, watchful, and observant,
and reach conclusions through intuition rather than through logic. They also tend
to have a mental playfulness that allows them to make novel associations.
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Chapter Eighteen: Special Advertising Situations
(2)
Ability to Visualize—Most of the information we accumulate comes through
sight, so the ability to manipulate visual images is crucial for good copywriters, as
well as good designers.
(3)
Openness to New Experiences—Presents many adventures from which to draw.
(4)
Conceptual Thinking—People open to experience might develop innovative
advertisements and commercials because they are more imaginative.
(moderate; pp. 331–332)
1247. Name and describe the six steps in the creative process.
Answer:
(1)
(2)
Immersion—Read, research, and learn everything you can about the problem.
Ideation—Look at the problem from every angle; develop ideas; generate as many
alternatives as possible.
(3)
Brainfog—The mind may hit a blank wall and want to give up.
(4)
Incubation—Try to put the conscious mind to rest to let the subconscious take
over.
(5)
Illumination—That unexpected moment when the idea comes, often when the
mind is relaxed and doing something else.
(6)
Evaluation—Does it work? Is it on strategy?
(moderate; p. 333)
1248. Name and describe the rational customer-focused selling premises.
Answer:
(1)
Benefit—Emphasizes what the product can do for the user by translating the
product feature or attribute into something that benefits the consumer.
(2)
Promise—A benefit statement that looks to the future and predicts that something
good will happen if you use the product.
(3)
Reason Why—A type of benefit statement that gives you the reason why you
should buy something, although the reason sometimes is implied or assumed. The
word because is the key to a reason-why statement.
(4)
Unique Selling Proposition (USP)—A benefit statement that is both unique to the
product and important to the user. The USP is a promise that consumers will get
this unique benefit by using this product only.
(moderate; p. 341)
1249. Name and describe any five of the common message approaches.
Answer:
Students can discuss any five of the following:
(1)
Straightforward—A straightforward factual or informational message conveys
information without any gimmicks, emotions, or special effects.
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Part Five: Integration and Evaluation
(2)
(3)
Demonstration—Focuses on how to use the product or what it can do for you.
Comparison—Contrasts two or more products finding the advertiser’s brand
superior. The comparison can be direct, with competitors mentioned, or indirect,
with just a reference to “other leading brands.”
(4)
Problem Solution/Problem Avoidance—In problem solution (a.k.a. product-ashero) the message begins with a problem and the product is the solution. A
variation is the problem-avoidance message format, in which the product helps
avoid a problem.
(5)
Humor—It gets attention; advertisers hope that people will transfer the warm
feelings they have as they are being entertained to the product. To be effective,
the selling premise must reinforce the point of the humor.
(6)
Slice of Life—An elaborate version of a problem solution staged in the form of a
drama in which “typical people” talk about a common problem and resolve it.
(7)
Spokesperson (or Endorser Format)—Ad uses celebrities we admire, created
characters, experts we respect, or someone “just like us” whose advice we might
seek out to speak on behalf of the product to build credibility.
(8)
Teasers—Mystery ads that don’t identify the product or don’t deliver enough
information to make sense, but they are designed to arouse curiosity. The ads run
for a while without the product identification and then when curiosity is
sufficiently aroused, a concluding ad runs with the product identification.
(9)
Shockvertising—Advertising that tries to grab attention and generate buzz by
using outlandish creative ideas or provocative visuals.
(moderate; pp. 344–345)
APPLICATION QUESTIONS: MULTIPLE-CHOICE QUESTIONS
1250. As described in the chapter’s opening vignette, what was the challenge facing the
Microsoft Network (MSN)?
a.
not enough households had the capacity to use the powerful MSN network
b.
establishing MSN because of the entrenched position of AOL with its domination
of the category and strong awareness.
c.
overcoming the negative image consumers had of MSN due to the initial
problems they had when the service was first launched
d.
convincing consumers that MSN featured rich information services, advanced
communication tools, and comprehensive security solutions
e.
explaining to consumers what MSN exactly was
(b; moderate; p. 325)
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Chapter Eighteen: Special Advertising Situations
1251. Which of the following was NOT a specific objective of MSN’s advertising campaign as
described in the chapter’s opening vignette?
a.
substantially increase MSN Internet subscriptions among businesses
b.
generate switching momentum from AOL to MSN
c.
substantially increase MSN Internet subscriptions
d.
clarify the MSN brand and increase unaided awareness
e.
increase perception that MSN is the chief competitor, or alternative, to AOL
(a; difficult; p. 326)
1252. An advertising agency has a meeting with its client to present the Big Idea for their
advertising campaign. What exactly does “Big Idea” mean?
a.
It’s the art part of advertising.
b.
It’s the science part of advertising.
c.
It’s the creative concept that implements the advertising strategy so that the
message is both attention getting and memorable.
d.
It’s the verbal part of advertising that presents the selling premise.
e.
It’s the visual part of advertising that catches and holds attention.
(c; moderate; p. 327)
1253. When Budweiser beer started using the Budweiser frogs in their commercials, people
raved at how creative the advertising was. However, someone who has worked in the
advertising industry for many years pointed out that he used that creative idea several
years before. What type of advertising is it that uses an idea that someone else has
originated?
a.
duplicate advertising
b.
revised advertising
c.
copycat advertising
d.
recycled advertising
e.
reused advertising
(c; easy; p. 327)
1254. Which of the following is a tip for creating original ideas?
a.
use an unexpected twist
b.
use an unexpected association
c.
catchy phrasing
d.
play on words
e.
all of the above
(e; easy; pp. 328–329)
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1255. According to the “Practical Tips” given in the chapter, which of the following should be
avoided to prevent unoriginal ideas?
a.
clichés
b.
play on words
c.
metaphors
d.
analogies
e.
all of the above
(a; moderate; p. 329)
1256. Carly saw a billboard for a local church that said, “CH_ _ CH—What’s missing?” Based
on the “Practical Tips” given in the chapter, which technique of creating original and
unexpected ideas is this an example of?
a.
clichés
b.
an unexpected association
c.
metaphors
d.
play on words
e.
analogies
(d; moderate; p. 329)
1257. John had been working on the creative concept for one of his clients when he finally
jumped from the strategy statement to an original idea that conveys the strategy in an
interesting way. What did John just do?
a.
took the creative leap
b.
took the creative plunge
c.
switched from right- to left-brain thinking
d.
completed a creative aerobics session
e.
switched from facts to fantasy
(a; difficult; p. 330)
1258. Patrick and his colleagues have been working on the creative concept for a client when
they all seemed to have hit a blank wall. To help overcome this, they decided to go play a
game of basketball. In the second half of the game, Patrick came up with a great idea, and
they all went back to work. What step of the creative process were Patrick and his
colleagues implementing when they went to play basketball?
a.
immersion
b.
ideation
c.
incubation
d.
evaluation
e.
creative leap
(c; moderate; p. 333)
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Chapter Eighteen: Special Advertising Situations
1259. As described in “The Inside Story,” what did Wrigley do with its Doublemint brand to
turn around its sales decline?
a.
They targeted the African American market, a market segment that was not yet
saturated.
b.
They targeted the Asian market, a market segment that was not yet saturated.
c.
They targeted the Hispanic market, a market segment that was not yet saturated.
d.
They increased consumer awareness of the brand because most did not recognize
it.
e.
They expanded into international markets, such as Europe and Asia.
(c; moderate; p. 343)
1260. A recent television commercial for Tylenol brand pain reliever shows just the head of a
woman talking about her arthritis pain and how she used to think that prescription
medication was the answer. She then goes on to say that with all the problems that are
being discovered about prescription pain medications, she has reconsidered over-thecounter Tylenol, which provides just as good of pain relief without all the risks. What
type of advertising message is this?
a.
drama
b.
lecture
c.
slice-of-life
d.
teaser
e.
shockvertising
(b; easy; pp. 335–336)
1261. Laurie saw a television commercial that depicted a mother stressed out from working and
taking care of children. The scenes shown included hassles at work, kids crying, dogs
barking, and the phone ringing. Then the commercial showed the mother relaxing in a
bubble bath with the voice-over saying, “Calgon, take me away!” When Laurie saw that
ad, she exclaimed, “Yes, that’s exactly how I feel!” What message approach was this ad
using?
a.
straightforward
b.
demonstration
c.
comparison
d.
slice-of-life
e.
humor
(d; moderate; p. 345)
1262. As described in the Gopher Football creative brief given in the chapter, what was the key
idea?
a.
The school is committed to Coach Mason and his vision for the team.
b.
Alumni need to come back and experience the excitement of Gopher football.
c.
On the field or off the field, with Gopher football, anything can happen!
d.
Gopher football is a great way to keep in touch with old friends.
e.
The game is not the same without the students in the crowd!
(c; difficult; p. 348)
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Part Five: Integration and Evaluation
1263. How did Whiskas, the number-one global cat food brand, appeal to cat owners as
described in “A Matter of Principle.”
a.
They appealed to cat owners who appreciate their cats’ weird, quirky behavior
and understand where it comes from.
b.
They appealed to the “cuteness” factor associated with kittens.
c.
They appealed to cat owners who treat their cats like surrogate children.
d.
They used a standard creative approach that enumerated the nutritional value of
Whiskas over other brands of cat food.
e.
They used slice-of-life messages that cat owners could related to.
(a; moderate; p. 349)
1264. Which of the following is NOT one of the “Twelve Tested Creative Hot Buttons,” which
are the 12 recurring qualities in the most sales-effective advertising as measured by
research firm McCullum Spielman?
a.
When humor is used, it is relevant, with a clear product purpose.
b.
Brand rewards/benefits are highly visible through demonstration, dramatization,
lifestyle, feelings, or analogy.
c.
The brand is the major player in the experience.
d.
Any celebrity used is considered credible and appropriate.
e.
The best creative ideas for mature brands often use fresh new ways of revitalizing
the message.
(d; difficult; p. 350)
1265. To what advertising campaign, described in the “Hands-On” case at the end of the
chapter, does McCann-Erickson attribute its return to the top of the advertising industry?
a.
MSN’s “butterfly” campaign
b.
MasterCard’s “priceless” campaign
c.
Coca-Cola’s “Always” campaign
d.
Visa’s “Everywhere you want to be” campaign
e.
McDonald’s “lovin’-it” campaign
(b; moderate; p. 353)
APPLICATION QUESTIONS: MINI-CASE MULTIPLE-CHOICE
For years, Energizer batteries used the Energizer Bunny in its television commercials. The bunny
was cute, always beating a drum with the tagline, “The Energizer Bunny keeps going and going
and going.” Several of the ads were humorous and people could remember the battery ad with
the bunny, but for a long time, people could not name the brand of battery. As a result, Energizer
started putting the bunny on the packaging and using it in point-of-purchase displays in stores,
even going so far as to let consumers enter a drawing to take the bunny that was on top of the
battery display home. The creative team that worked on this campaign spent considerable time
researching consumers’ usage of batteries as well as the problems they had with them. The team
learned that people didn’t like batteries that don’t last long, and because Energizer batteries
lasted much longer than competitors’ brands, they decided to feature that in the execution of
the ads.
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1266. Mini-Case Question. In which step of the creative process did the creative team read,
research, and learn everything they could about Energizer batteries and their competitors?
a.
immersion
b.
ideation
c.
incubation
d.
illumination
e.
evaluation
(a; moderate; p. 333)
1267.
Mini-Case Question. One commercial was particularly effective because viewers
watched the entire commercial to see the bunny do something funny at the end of the
commercial. The ability of this commercial to keep the viewer through the end of the
message is known as ________.
a.
stopping power
b.
pulling power
c.
sticking power
d.
teaser
e.
point of differentiation
(b; moderate; p. 336)
1268. Mini-Case Question. While being humorous, the ads did stress that Energizer batteries
last three times longer than competing brands. What is this known as?
a.
intangible characteristics
b.
vampire creativity
c.
association message strategy
d.
point of differentiation
e.
attitude
(d; moderate; p. 338)
1269. Mini-Case Question. The initial problem that the commercials had where people could
remember the ads but not the brand is known as ________.
a.
vampire creativity
b.
marketing imperialism
c.
structural fault
d.
copycat advertising
e.
unexpected association
(a; moderate; p. 349)
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APPLICATION QUESTIONS: SHORT-ANSWER
1270. As described in the chapter’s opening vignette, what was the challenge facing Microsoft
Network (MSN) and its agency, McCann-Erickson?
Answer:
Microsoft faced a real challenge establishing MSN because of the entrenched position of
AOL with its domination of the category and strong awareness. There was also a serious
problem with consumer inertia: it’s a lot of trouble to switch Internet providers.
Furthermore, there was consumer confusion because consumers didn’t know if MSN was
a portal, a search engine, or an access provider.
(moderate; pp. 325–326)
1271. Briefly describe the advertising campaign Microsoft Network (MSN) used to increase
subscriptions.
Answer:
During the initial days of the campaign launch, MSN visitors were entertained by a
butterfly flitting around the home page, then landing on the link to a preview site, which
featured the highlights of the new home page as well as other new services. Customers
were also invited to download a free butterfly cursor to use on their computers. The
campaign included print, outdoor, radio and television ads, direct mail, public relations,
as well as ads on other partner web sites. A new format included five 15-second spots
that could be seen online via the new free streaming video service, MSN Video.. In the
television commercials, the butterfly loiters in the background of everyday scenarios—
situations in which MSN can help people do more things online than they might have
thought possible. The commercials also showcased MSN as a world of answers.
(moderate; p. 326)
1272. A print ad for the American Cancer Society pictured an attractive young woman in a
bikini bathing suit from the torso up with her face turned toward the sun and her arms
folded behind her head. The headline read, “Fry now, pay later.” The copy went on to
give factual information on skin cancer and how to avoid it, as well as information on
how sun exposure can cause wrinkles later. In terms of DDB Needham agency’s “RO,I”
evaluate this ad.
Answer:
According to DDB Needham agency, an effective ad is relevant, original, and has
impact—which is referred to as ROI. This ad is relevant to the target audience, in this
case young women, especially those who like to tan themselves. An advertising idea is
considered creative when it is novel, fresh, unexpected, and unusual. Original means one
of a kind. Although this might not be one of a kind, the headline does play on words and
delivers the message effectively. That is, do this to your skin now, and you will pay later.
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To be effective, the ideas must have impact, which means it breaks through the clutter,
gets attention, and sticks in memory. The ad catches attention because of the beautiful
woman and the message sticks in memory through the catchy headline.
(moderate; p. 327)
1273. One of your assignments in an advertising class is to give a brief presentation on tips for
creating original ideas. There were six tips given in the “Practical Tips” box in the
chapter, and you decide to use those for your presentation. List what you would include
in your presentation.
Answer:
Tips for creating original ideas:
(1)
An unexpected twist
(2)
An unexpected association
(3)
Catchy phrasing
(4)
A play on words
(5)
Analogy and metaphors
(6)
Familiar and strange
(moderate; pp. 328–329)
1274. Marcy is a creative consultant who will go to a business or organization and conduct
“creative aerobic” sessions. Explain what she does and discuss the four-step, ideagenerating process that she assists businesses in implementing.
Answer:
Creative aerobics is a thought-starter process that uses both the head and the heart. The
four-step approach is:
(1)
Facts—The first exercise is left-brain and asks you to come up with a list of facts
about the product.
(2)
New Names—Create new “names” for the product.
(3)
Similarities—Look for similarities between dissimilar objects.
(4)
New Definitions—Create new definitions for product-related nouns.
(moderate; pp. 330–331)
1275. You have been asked by your supervisor to participate in a brainstorming session to come
up with ideas for your company’s advertising campaign. Explain what brainstorming is,
why it is used, and how to make it successful.
Answer:
Brainstorming is where a group of 6 to 10 people work together to come up with ideas.
One person’s idea stimulates someone else’s, and the combined power of the group
associations stimulates far more ideas than any one person could think of alone. The
secret to brainstorming is to remain positive and defer judgment. Negative thinking
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during a brainstorming session can destroy the playful atmosphere necessary to achieve a
novel idea.
(moderate; p. 333)
137.
Compare and contrast the terms creative strategy and creative execution.
Answer:
Creative strategy (a.k.a., message strategy) is what the advertisement says and execution
is how it is said. Advertising creativity is about coming up with an idea that solves a
communication problem in an original way, which incorporates both creative strategy and
creative execution.
(easy; p. 334)
138.
Two basic approaches are sometimes referred to as head and heart strategies. Explain
what this means and apply the Facets Model to each.
Answer:
The three types of effects (discussed in chapter 4) are how think (cognitive) and feel
(affective) drive the do, or action, decision. The think and feel dimensions are sometimes
referred to as rational and emotional, or what this chapter is calling the head and heart
factors. In the Facets Model, the cognitive and persuasion objectives generally speak to
the head, and the affective and transformational objectives are more likely to speak to the
heart. The decision to use a head or heart strategy is also affected by the product
situation, particularly by the involvement factor.
(moderate; p. 334)
139. To get attention, an ad has to have stopping power. Describe how ads can accomplish
this.
Answer:
Ads that stop the scanning and break through the clutter are usually high in originality.
The function of originality is to capture attention. People will notice something that is
new, novel, or surprising. Creative advertising breaks through the old patterns of seeing
and saying things; the unexpectedness of the new idea creates stopping power.
Unexpected media is also good at breaking through the clutter, which is why guerilla
marketing and the use of alternative media have become so popular. Many clutter-busting
ads are intrusive and use loud, bold effects to attract viewer attention. Contrast can attract
attention too.
(moderate; p. 336)
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Chapter Eighteen: Special Advertising Situations
140.
At one time, Michael Jordan was the highest paid celebrity endorser for several products.
Why do advertisers use celebrity endorsers, such as Michael Jordan?
Answer:
Celebrity endorsements are used to intensify conviction in the target audience, as well as
get attention, cue the brand personality, and stick in memory. The idea is that celebrities
draw attention, but they also carry a strong message of conviction when they speak with
passion about something they believe in. Celebrities, product placements (i.e., brands
used by stars in a movie or television program), and other credibility techniques are used
to give the consumer permission to believe a claim or selling premise.
(moderate; p. 342)
141.
Describe the challenge facing Wrigley’s Doublemint chewing gum and describe the
advertising campaign that was discussed in “The Inside Story.”
Answer:
Doublemint gum was experiencing a declining sales trend. Lack of innovation and news
in a mature category was setting this trend. The solution Wrigley chose was to target
Hispanics, a market segment that was not yet saturated. It created relevance to consumers
with the traditional, iconic American brand in various ways. First, the brand’s objective
was to stem the declining situation and reestablish the brand as a prominent competitor.
The gum’s relaunch also included a new, longer-lasting formula, revamped packaging,
and a relevant message directed toward Hispanics. Doublemint did not have a
relationship with the growing Hispanic group; however, they did recognize the product
via packaging and distribution, but brand recognition and linkage to product attributes
were low, due in part to the brand’s low development in Latin America. Based on the
insight that Latinos know how to enjoy even the simplest of moments and that gum is,
after all, just gum, Doublemint was positioned as one of life’s simple pleasures. The
“Simple Pleasures” campaign depicted simple, slightly misleading situations that capture
the sensorial experience of chewing Doublemint. However, the consumer was always
reminded that it’s just gum—one of life’s simple pleasures and nothing more. The
combination of a smart media strategy and strong positioning statement that correctly
captured a key target insight proved to be a valuable combination.
(difficult; p. 343)
142.
The U.S. government is trying to reach teens with the message that smoking is bad for
their health. The creative team working on the campaign knows that it will be difficult to
get this message across to teens effectively and is searching for a way to push the
envelope in terms of taste to appeal to this market. Name and describe the message
approach you feel would be most appropriate.
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Part Five: Integration and Evaluation
Answer:
Shockvertising is advertising that tries to grab attention and generate buzz by using
outlandish creative or provocative visuals. Pushing the envelope in terms of taste is a
risky strategy but may appeal to younger target markets.
(moderate; p. 345)
143.
Describe the creative strategy the creative team working on the Whiskas cat food
advertising campaign developed that was described in “A Matter of Principle.”
Answer:
Understanding cats’ instinctive behavior led the agency to dismiss standard creative
approaches that portray cats in cute, unnatural ways or present them as surrogate
children. In reality, the agency realized that cats are closer to their wild feline cousins
than are dogs or other domesticated animals. TBWA’s commercials use special effects to
show pet cats as if they live in the wild, stalking herds of water buffalo and zebra. “Your
cat has an inner beast,” the announcer says. “Feed it.” The creative team used this
approach to appeal to cat owners who appreciate their cats’ weird, quirky behavior and
understand where it comes from.
(moderate; p. 349)
144.
List any 5 of the 12 tested creative hot buttons, which are the recurring qualities found in
the most sales-effective advertising as measured by research firm McCullum Spielman.
Answer:
Students can list any five of the following:
(1)
Brand rewards/benefits are highly visible through demonstration, dramatization,
lifestyle, feelings, or analogy.
(2)
The brand is the major player in the experience (the brand makes the good times
better).
(3)
The link between the brand and execution is clear (the scenario revolves around
and highlights the brand).
(4)
The execution has a focus (there’s a limit to how many images and vignettes the
consumer can process).
(5)
Feelings (emotional connectives) are anchored to the needs and aspirations of the
targeted consumer.
(6)
Striking, dramatic imagery is characteristic of many successful executions,
enhancing their ability to break out of clutter.
(7)
An original, creative signature or mystique exists in many of the best commercials
to bond the consumer to the brand and give it a unique personality.
(8)
In food and beverage advertising, high taste appeal is almost always essential.
(9)
The best creative ideas for mature brands often use fresh new ways of revitalizing
the message.
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Chapter Eighteen: Special Advertising Situations
(10)
Music (memorable, bonded tunes and lyrics) is often a key to successful
executions for many brands.
(11) When humor is used, it is relevant, with a clear product purpose.
(12) When celebrities are used, they are well matched to brands and have credibility as
users/endorsers, and their delivery is believably enthusiastic.
(difficult; p. 350 [Table 12.3])
145.
What were the objectives and the results of Microsoft Network’s (MSN) advertising
campaign that was described in the chapter’s opening and closing vignettes?
Answer:
The objectives and results of the campaign were:
(1)
Generate Switching Momentum from AOL to MSN—The campaign resulted in
715,000 AOL users switching to MSN.
(2)
Increase Internet subscriptions—Total MSN subscriptions grew 31 percent with a
significant increase during the six-week online campaign.
(3)
Increase Unaided Awareness—Unaided brand awareness jumped 42 percent from
17 percent before the campaign to 24.2 percent a year later.
(4)
Increase Perception of MSN as AOL Competitor—After the campaign 53 percent
of respondents rated MSN as AOL’s chief competitor, up from 38 percent before
the campaign.
(difficult; pp. 350–351)
146.
Describe the MasterCard campaign that was discussed in the “Hands-On” case at the end
of the chapter.
Answer:
MasterCard wanted something fresh that could help it regain lost ground against topcompetitor Visa. They considered it a travesty that you could use your MasterCard where
you could use your Visa, but Visa was it and MasterCard was just another card. So the
creative team thought they should avoid a benefits focus and shoot for ads that would
strike an emotional chord, and they came up with the famous “Priceless” campaign. The
tagline used was, “There are some things in life money can’t buy. For everything else,
there’s MasterCard.”
(moderate; p. 353)
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Part Five: Integration and Evaluation
APPLICATION QUESTIONS: MINI-CASE SHORT ANSWER
For several years, the Cotton Growers of America, a trade group representing U.S. cotton
farmers, used an advertising campaign that depicted people in everyday scenarios and said that
cotton was the “fabric of our lives.” Although cotton has several advantages over other types of
fabric, none of this information was conveyed in this advertising campaign.
147.
Mini-Case Question. Did this campaign use a hard-sell or soft-sell strategy? Explain
your answer by comparing and contrasting the two strategies.
Answer:
This is an example of a soft-sell strat