Q&A Hero

Q: The ___ services group in a full-service advertising agency is a part of the personnel department, accounting, and billing department. a. creativeb. administrative c. marketingd. production

Q: Which of the following services in an advertisement firm involves taking creative ideas and turning them into advertisements, direct mail pieces, and other IBP materials?a. Administrative services b. Creative servicesc. Account servicesd. Production services

Q: The ____ services department of an advertising agency typically includes the company's art directors, illustrators, and copywriters. a. creativeb. media buying c. marketingd. administrative

Q: Which of the following services of an advertising agency involves expressing the benefits of a company's brand in interesting and memorable ways?a. Creative services b. Billing servicesc. Administrative services d. Media buying services

Q: A(n) ____ coordinates the research effort of an advertisement agency. a. graphic designerb. media specialist c. account planner d. fulfillment center

Q: ____ entail identifying the benefits a brand offers, its target audiences, and the best competitive positioning, and then developing a complete plan.a. Administrative services b. Creative servicesc. Account servicesd. Media planning and buying services

Q: The graphic mark that identifies a company is known as a(n) _____. a. patentb. blog c. logod. slogan

Q: ______help firms in creating the visual impression of its advertising material.a. Sales promotion agenciesb. Fulfillment centers c. Designersd. Bloggers

Q: ____are experts in finding locations, securing dates, and putting together a team of people to pull off a promotional activity.a. Event-planning agencies b. Creative boutiquesc. Fulfillment centersd. Direct marketing agencies

Q: ______are experts in designing incentive programs, point-of-purchase materials, and in-store merchandising. a. Database agenciesb. Sales promotion agencies c. Fulfillment centersd. Event-planning agencies

Q: PinBall Inc. sought the help of Blazer Corp. to help them reach a niche group of vendors that they have been trying to do business with. Blazer offers the solution of publishing an advertisement in a trade journal which would help create awareness about the firm's product. In this scenario, Blazer Corp. specializes in ______.a. the management of databases b. creative servicesc. consumer sales promotionsd. trade-market sales promotions

Q: ____ are specialists that design and then operate contests, sweepstakes, special displays, or coupon campaigns for advertisers.a. Creative boutiquesb. Sales promotion agencies c. Database agenciesd. Fulfillment centers

Q: Which of the following acts as a support to direct marketing agencies and follow-up on the delivery of their direct mail?a. Creative boutiques b. In-house agencies c. Media specialistsd. Fulfillment centers

Q: A(n) _____is often known as the advertising department in a firm. a. creative boutiqueb. full-service agency c. interactive agency d. in-house agency

Q: Which of the following best describes digital agencies?a. They focus on ways to use Web-based solutions for direct marketing and target market communications. b. They implement direct response campaigns using all forms of media.c. They design direct marketing campaigns that mainly use emails and telemarketing.d. They specialize in buying media time and space and offer media strategies to advertisement agencies.

Q: Bedwick Resorts has acquired the services of Elegant Inc. to develop advertisements for their organization. Elegant Inc. has advised them to add a panoramic view to billboard ads and portray tourists lounging by the sea. Elegant Inc. is an example of a(n)______.a. media specialistb. creative boutiquec. digital/interactive agency d. in-house agency

Q: Barlow and Baley Inc., an advertisement agency, has been approached by Crescent Corp. to help promote their new line of air conditioners. Barlow and Baley Inc. have advised Crescent Corp. that newspaper and television ads will be the best promotional tool for the product. They have also created a demo ad for the product. Barlow and Baley Inc. is an example of a(n) _______.a. full-service agency b. in-house agencyc. interactive agency d. database consultant

Q: In which of the following areas is the federal government's spending on advertising and promotion concentrated?a. The internal revenue services b. Political campaignsc. Armed forces recruitment d. Trade and commerce

Q: Which of the following modes of advertisement do wholesalers and retailers prefer to utilize?a. Personal sellingb. Branded entertainment c. Radio advertisements d. Infomercials

Q: The most visible reseller advertisers and promoters are: a. retailers who deal solely with household consumers. b. retailers that sell in national or global markets.c. those who sell at the local level.d. those who cater to regional markets.

Q: A ___ is a general description for all organizations in the marketing channel of distribution that buy products to make them available to customers. a. sponsorb. media buyerc. media specialist d. trade reseller

Q: Which of the following advertisement tools would be best suited for a regional application?a. Podcastsb. Internet advertisementsc. Television advertisements d. Coupons and samples

Q: Advertisers are also known as ______by their advertising and promotion agency partners. a. consultantsb. facilitators c. sponsorsd. clients

Q: ______is used by organizations to get consumers committed to brands in a way that passive advertising cannot. a. Co-op advertisingb. Phishingc. Crowdsourcing d. Broadcasting

Q: With media clutter and fragmentation,:a. advertisers are developing a lack of faith in advertising alone.b. the probability of any one advertisement making a real difference has increased manifold. c. there are very few media choices available to advertisers.d. promotion options are no longer attractive to advertisers.

Q: ______has become a media conglomerate on the Web and amasses its own media empire of diverse Internet sites. a. ABC broadcasting networkb. Facebook c. Delld. InterActiveCorp

Q: Which of the following is true of crowdsourcing?a. It refers to managing the supply chain system in a way that will most effectively reach the target markets. b. It aims at getting consumers more involved with and committed to a brand.c. It indicates the process of describing the firm's objectives for the brand in the near term and long term.d. It refers to passive, intrusive advertising.

Q: Websites frequented by individuals with common interests where they can post facts, opinions, and personal experiences are known as _____.a. paywalls b. blogsc. infomercialsd. creative boutiques

Q: ____ has emerged as the most significant form of consumer control over information creation and communication.a. Web advertising b. Social mediac. Interactive television d. Direct marketing

Q: Individuals collectively creating and sharing content through blogs, social media, wikis, and video sites is referred to as _______.a. a commission system b. broadcastingc. Web 2.0d. interactive production

Q: Radio and satellite are examples of broadcast media. a. Trueb. False

Q: Database consultants are particularly useful in planning coupon or direct mail campaigns. a. Trueb. False

Q: A fee system is much like that used by consultants or attorneys, whereby the advertiser and the agency agree on an hourly rate for different services provided. a. True b. False

Q: A typical markup charge for outside services is five to ten percent. a. Trueb. False

Q: Under the commission system, the rate of commission is raised to 25 percent for outdoor media. a. True b. False

Q: The four most prevalent agency compensation methods are commission, consultant, external facilitator, and production facilitator plans. a. True b. False

Q: Advertisers do not like to handle their own public relations tasks because it requires highly specialized skills and talent not normally found within the company ranks. a. True b. False

Q: It is mandatory for designers and graphic specialists to be involved in strategy planning. a. Trueb. False

Q: Firms that maintain and manage large databases of mailing lists are known as digital/interactive agencies. a. Trueb. False

Q: A disadvantage of using media specialists is that they buy media in small quantities. a. Trueb. False

Q: The task of strategic coordination of media and promotional efforts has become simpler because of the proliferation of media options and extensive use of promotional tools beyond advertising. a. True b. False

Q: Digital/interactive agencies are those that have expertise in preparing communications for new media, such as the Internet, mobile marketing, and interactive television. a. Trueb. False

Q: A creative boutique's niche expertise can be its greatest liability if the creative boutique is an extra expense that advertisers cannot afford. a. Trueb. False

Q: The creative boutique's greatest advantage is its niche expertise. a. True b. False

Q: Caltec Inc. has a department that is responsible for coming up with ideas and innovative ways to advertise the company's products in newspaper ads and billboards. This is an example of a full-service agency. a. True b. False

Q: It is common for social organizations to advertise at the national, state, and local levels. a. Trueb. False

Q: Retailers that sell in national or global markets are the most visible reseller advertisers and promotion users. a. Trueb. False

Q: Trade resellers of consumer products and services are the most prominent users of advertising and promotion. a. Trueb. False

Q: Advertisers include business organizations, but exclude not-for-profit organizations. a. Trueb. False

Q: Advertisers cannot function without the services of external facilitators. a. Trueb. False

Q: The goal of creating persuasive communication is to attract attention and develop preference for a brand. a. Trueb. False

Q: The idea behind crowdsourcing is to prevent ideas about a new brand from becoming public to consumers. a. Trueb. False

Q: Advertisers focusing on integrating more tools into promotional efforts has resulted in an enhanced role of traditional media. a. True b. False

Q: Due to the backlash against advertising that clutter can cause, advertisers are integrating more tools within the overall promotional effort to reach more consumers in different ways. a. True b. False

Q: Blogs have emerged as sophisticated sources of brand and product information. a. Trueb. False

Q: The simplest example of Web 2.0 is when consumers log on to the Internet and visit sites they choose to visit for either information or shopping. a. True b. False

Q: Despite the explosion of new media in recent years, today's media options have reduced from those available during the past decades. a. Trueb. False

Q: The underlying role and purpose of advertising and promotion has changed drastically and will continue to change. a. Trueb. False

Q: Media fragmentation is a big plus for consumers but a disadvantage for advertisers and agencies. a. Trueb. False

Q: What is integrated marketing communication (IMC)? Discuss the differences between integrated marketing communication and integrated brand promotion (IBP).

Q: Briefly explain the concepts of market segmentation, differentiation, and positioning.

Q: A brand is greatly shaped and impacted by advertising. List five ways in which advertising influences brand management and explain each of them briefly.

Q: Define marketing. Describe the marketing mix and the role of advertising in it.

Q: Describe briefly what a target audience means. Discuss any two audience categories.

Q: What is advertising? Define. What are the three criteria that must be met for communication to be considered as an advertisement? How does a public service announcement differ from advertising in the ways that it meets, or fails to meet, each of these criteria?

Q: Scenario1-6Gillette M3Powera MACH3 razor innovationis a groundbreaking, powered wet shaving system for men that delivers a totally new shaving experience resulting in Gillette's best shave. M3Power builds on the heritage of MACH3 and combines Gillette's latest and best razor and blade technologies. M3Power outperforms all other blades and razors in closeness, comfort, and safety during and after the shave. Gillette M3Power features other innovations beyond power: new blades featuring PowerGlideâ„¢an enhanced blade coating for incredible glide and maximum comfort, a moisturizing Indicator Lubrastrip and a technologically-advanced handle (www.Gillette.com). Recently, Gillette Co. sent direct mailers to users of competing male products, throughout the United States, a free MACH3Power razor with blades and a coupon offer. In addition, a series of coordinated advertisements to male customers were developed to increase awareness of this product. Gillette said that its goal was to have a market awareness rate of 70 percent within four months.The functional goal of Gillette's advertising of the Mach3Power razor is to get male consumers to shift their preferences from other brands. This is an example of:a. corporate advertising.b. direct response advertising.c. selective demand stimulation. d. market segmentation.

Q: Scenario1-6Gillette M3Powera MACH3 razor innovationis a groundbreaking, powered wet shaving system for men that delivers a totally new shaving experience resulting in Gillette's best shave. M3Power builds on the heritage of MACH3 and combines Gillette's latest and best razor and blade technologies. M3Power outperforms all other blades and razors in closeness, comfort, and safety during and after the shave. Gillette M3Power features other innovations beyond power: new blades featuring PowerGlideâ„¢an enhanced blade coating for incredible glide and maximum comfort, a moisturizing Indicator Lubrastrip and a technologically-advanced handle (www.Gillette.com). Recently, Gillette Co. sent direct mailers to users of competing male products, throughout the United States, a free MACH3Power razor with blades and a coupon offer. In addition, a series of coordinated advertisements to male customers were developed to increase awareness of this product. Gillette said that its goal was to have a market awareness rate of 70 percent within four months.Gillette has launched a new advertisement in which it describes how its unique protective layer above the blades prevents cuts, and a rubberized grip which enables steady handling of the razor while shaving. This is an example of____.a. trade channelingb. selective demand stimulation c. corporate advertisingd. direct response advertising

Q: Scenario1-6Gillette M3Powera MACH3 razor innovationis a groundbreaking, powered wet shaving system for men that delivers a totally new shaving experience resulting in Gillette's best shave. M3Power builds on the heritage of MACH3 and combines Gillette's latest and best razor and blade technologies. M3Power outperforms all other blades and razors in closeness, comfort, and safety during and after the shave. Gillette M3Power features other innovations beyond power: new blades featuring PowerGlideâ„¢an enhanced blade coating for incredible glide and maximum comfort, a moisturizing Indicator Lubrastrip and a technologically-advanced handle (www.Gillette.com). Recently, Gillette Co. sent direct mailers to users of competing male products, throughout the United States, a free MACH3Power razor with blades and a coupon offer. In addition, a series of coordinated advertisements to male customers were developed to increase awareness of this product. Gillette said that its goal was to have a market awareness rate of 70 percent within four months.In Largonia, Gillette advertises in the three states that it operates in. This is an example of ______advertising.a. co-operativeb. globalc. nationald. regional

Q: Scenario1-6Gillette M3Powera MACH3 razor innovationis a groundbreaking, powered wet shaving system for men that delivers a totally new shaving experience resulting in Gillette's best shave. M3Power builds on the heritage of MACH3 and combines Gillette's latest and best razor and blade technologies. M3Power outperforms all other blades and razors in closeness, comfort, and safety during and after the shave. Gillette M3Power features other innovations beyond power: new blades featuring PowerGlideâ„¢an enhanced blade coating for incredible glide and maximum comfort, a moisturizing Indicator Lubrastrip and a technologically-advanced handle (www.Gillette.com). Recently, Gillette Co. sent direct mailers to users of competing male products, throughout the United States, a free MACH3Power razor with blades and a coupon offer. In addition, a series of coordinated advertisements to male customers were developed to increase awareness of this product. Gillette said that its goal was to have a market awareness rate of 70 percent within four months.Gillette advertises its razors at every popular sports event that takes place in the country. It also uses billboard ads and television commercials to display a person using a multi-blade razor with the slogan "the best a man can get". This is an example of____ . a. integrated brand promotionb. direct response advertising c. institutional advertisingd. mobile marketing

Q: Scenario1-5Exodus Moving is a small business that was created to serve local furniture stores' delivery needs in the Boulder Colorado area. They have specialized equipment that allows them to lift and transfer large, bulky pieces of furniture with less risk of damage than most traditional movers. Many of these furniture stores do not sell enough volume to keep their own trucks and drivers busy all of the time, so Exodus fills a real market need. As a result, most such stores are very interested in outsourcing delivery service needs. Exodus has attracted many customers from these stores by guaranteeing 48 hour delivery within a 50 mile radius of any of the stores they serve. Eventually, Exodus hopes to attract the business of other retailers who might require delivery services.Exodus has launched a new camping equipment line which it has promoted on local television networks and magazines. This is an example of:a. corporate advertising.b. a primary demand stimulation. c. direct response advertising.d. a selective demand stimulation.

Q: Scenario1-5Exodus Moving is a small business that was created to serve local furniture stores' delivery needs in the Boulder Colorado area. They have specialized equipment that allows them to lift and transfer large, bulky pieces of furniture with less risk of damage than most traditional movers. Many of these furniture stores do not sell enough volume to keep their own trucks and drivers busy all of the time, so Exodus fills a real market need. As a result, most such stores are very interested in outsourcing delivery service needs. Exodus has attracted many customers from these stores by guaranteeing 48 hour delivery within a 50 mile radius of any of the stores they serve. Eventually, Exodus hopes to attract the business of other retailers who might require delivery services.As a result of vigorous advertising, Exodus has created inelasticity of demand to price changes. Which of the following will hold true in such a situation?a. The company's customers will have low brand loyalty.b. The customers will be less sensitive to price increases by the company. c. The company will need to lower the price of its delivery services.d. The company will have low brand equity.

Q: Scenario1-5Exodus Moving is a small business that was created to serve local furniture stores' delivery needs in the Boulder Colorado area. They have specialized equipment that allows them to lift and transfer large, bulky pieces of furniture with less risk of damage than most traditional movers. Many of these furniture stores do not sell enough volume to keep their own trucks and drivers busy all of the time, so Exodus fills a real market need. As a result, most such stores are very interested in outsourcing delivery service needs. Exodus has attracted many customers from these stores by guaranteeing 48 hour delivery within a 50 mile radius of any of the stores they serve. Eventually, Exodus hopes to attract the business of other retailers who might require delivery services.In its sales promotions, Exodus Moving uses the slogan "Swift, Yet Gentler." This process of creating a distinct place in the customer's mind which is relative to other movers in the market is known as: a. positioning.b. co-op advertising.c. advocacy advertising.d. product standardization.

Q: Scenario1-5Exodus Moving is a small business that was created to serve local furniture stores' delivery needs in the Boulder Colorado area. They have specialized equipment that allows them to lift and transfer large, bulky pieces of furniture with less risk of damage than most traditional movers. Many of these furniture stores do not sell enough volume to keep their own trucks and drivers busy all of the time, so Exodus fills a real market need. As a result, most such stores are very interested in outsourcing delivery service needs. Exodus has attracted many customers from these stores by guaranteeing 48 hour delivery within a 50 mile radius of any of the stores they serve. Eventually, Exodus hopes to attract the business of other retailers who might require delivery services.Exodus advertises in the trade magazine, Western Interiors, which is read by furniture retailers and interior decorators throughout twelve Western states. Which of the following best describes this type of advertising?a. Local advertisingb. Regional advertisingc. Advocacy advertising d. Corporate advertising

Q: Scenario1-5Exodus Moving is a small business that was created to serve local furniture stores' delivery needs in the Boulder Colorado area. They have specialized equipment that allows them to lift and transfer large, bulky pieces of furniture with less risk of damage than most traditional movers. Many of these furniture stores do not sell enough volume to keep their own trucks and drivers busy all of the time, so Exodus fills a real market need. As a result, most such stores are very interested in outsourcing delivery service needs. Exodus has attracted many customers from these stores by guaranteeing 48 hour delivery within a 50 mile radius of any of the stores they serve. Eventually, Exodus hopes to attract the business of other retailers who might require delivery services.Exodus marketers limit their advertising to furniture store publications because they perceive that readers of these publications are:a. their target audience. b. their trade channel.c. their sponsors. d. price sensitive.

Q: Scenario1-4Target, a global discount retailer, generates around 65 billion dollars in sales, annually. Additionally, the company employs more than 360,000 people worldwide. Target stores carry just about every major brand imaginable. Additionally, Target carries a number of its own brands including Market Pantry, Archer Farms, and Up and Up. Each of the brand labels appears on different products throughout the storefor example, the Archer Farms label appears on the retailer's highest quality foods. The Market Pantry label appears on food items as well, however these items are often sold at a significantly lower price. The Up and Up label is on a large range of products ranging from paper products to household cleaning supplies.In a local newspaper, Target purchases and runs a message that does not refer to any of the products it carries. Instead, it mentions that employees from each of its national stores contribute to community projects such as The United Way. This is an example of:a. corporate advertising.b. a public service announcement. c. direct response advertising.d. advocacy advertising.

Q: Scenario1-4 Target, a global discount retailer, generates around 65 billion dollars in sales, annually. Additionally, the company employs more than 360,000 people worldwide. Target stores carry just about every major brand imaginable. Additionally, Target carries a number of its own brands including Market Pantry, Archer Farms, and Up and Up. Each of the brand labels appears on different products throughout the storefor example, the Archer Farms label appears on the retailer's highest quality foods. The Market Pantry label appears on food items as well, however these items are often sold at a significantly lower price. The Up and Up label is on a large range of products ranging from paper products to household cleaning supplies. In a majority of Target's promotions, the store is marketed as "upscale," and this is demonstrated through its prices, which are generally higher than its biggest competitor, Walmart. Still, even in times of recession, Target continues to increase its annual revenues and retain many of its customers. This can be attributed to: a. Target's low brand equity. b. the inelasticity of demand shown by many of the company's customers. c. Target's increase in gross domestic product (GDP). d. the elasticity of demand shown by many of the company's customers.

Q: Scenario1-4Target, a global discount retailer, generates around 65 billion dollars in sales, annually. Additionally, the company employs more than 360,000 people worldwide. Target stores carry just about every major brand imaginable. Additionally, Target carries a number of its own brands including Market Pantry, Archer Farms, and Up and Up. Each of the brand labels appears on different products throughout the storefor example, the Archer Farms label appears on the retailer's highest quality foods. The Market Pantry label appears on food items as well, however these items are often sold at a significantly lower price. The Up and Up label is on a large range of products ranging from paper products to household cleaning supplies.In one city, Walmart, a competing retail outlet, opens a store across the street from Target and a battle for business follows. To distinguish their stores from one another, both retailers create a series of new commercials to help promote their brand. Target's commercials emphasize the fast, fun and friendly service that it provides for its guests, and uses several celebrity endorsements. Meanwhile,Walmart runs three different commercials that focus on the low prices of its products. This is an example of:a. corporate advertising. b. internal positioning.c. external positioning. d. product placement.

Q: Scenario1-4Target, a global discount retailer, generates around 65 billion dollars in sales, annually. Additionally, the company employs more than 360,000 people worldwide. Target stores carry just about every major brand imaginable. Additionally, Target carries a number of its own brands including Market Pantry, Archer Farms, and Up and Up. Each of the brand labels appears on different products throughout the storefor example, the Archer Farms label appears on the retailer's highest quality foods. The Market Pantry label appears on food items as well, however these items are often sold at a significantly lower price. The Up and Up label is on a large range of products ranging from paper products to household cleaning supplies.The company's goal is for a product with any one of Target's inhouse brand labels on it to be known by consumers for the values of the brandboth tangible and intangible. Thus, in this scenario, Target's goal is to _____.a. create elasticity of demandb. conduct market segmentation c. establish brand loyaltyd. stimulate latent promotion

Q: Scenario1-3In 2006, gaming giant Nintendo launched an innovative motion-sensing gaming console called the Wii. The Wii quickly took over as the leading gaming console because of its unique activity-enabling qualities, and for nearly four years, dominated hardware sales in the gaming industry as any true competition for the product was yet to be introduced. However, this changed in late 2010 as Sony introduced its own motion-detecting gaming system to the market, the Playstation Move. Sony has marketed the product as a superior product to Nintendo's, claiming that it is more precise and flaunts the Playstation's highquality graphics. Sony's Move has been a topic of great debate, but the reception of the product over the long haul is yet to be seen. To dethrone the Wii, Sony will need to find a way to appeal to those that have not yet bought into "motiongaming." And of course, it wouldn"t hurt if Sony somehow found a way to entice Nintendo followers to switch over to its newest addition to the gaming industry.If Sony uses advertisements that focus on the niche characteristics of Move that Wii does not have, the company is using:a. external positioning.b. institutional advertising. c. brand extension.d. internal positioning.

Q: Scenario1-3In 2006, gaming giant Nintendo launched an innovative motion-sensing gaming console called the Wii. The Wii quickly took over as the leading gaming console because of its unique activity-enabling qualities, and for nearly four years, dominated hardware sales in the gaming industry as any true competition for the product was yet to be introduced. However, this changed in late 2010 as Sony introduced its own motion-detecting gaming system to the market, the Playstation Move. Sony has marketed the product as a superior product to Nintendo's, claiming that it is more precise and flaunts the Playstation's highquality graphics. Sony's Move has been a topic of great debate, but the reception of the product over the long haul is yet to be seen. To dethrone the Wii, Sony will need to find a way to appeal to those that have not yet bought into "motiongaming." And of course, it wouldn"t hurt if Sony somehow found a way to entice Nintendo followers to switch over to its newest addition to the gaming industry.Individuals who have been using the Wii do not want to switch to the Move because they relate it to a superior gaming experience and also because it has been in the market for a long time. The Wii is an example of a product that has ______.a. brand equityb. brand variance c. brand extensiond. elasticity of demand