Advertising Integrated Marketing Communications

Integrated Advertising, Promotion, and Marketing Communications Integrated Marketing Communications 1) Communication is defined as transmitting, receiving, and processing information. Answer: TRUE 2) When an advertising creative takes an idea and transforms it into an ad, the process is known as decoding in a communications model. Answer: FALSE 3) The process of creating television commercials, print ads, and retail coupons are examples of encoding. Answer: TRUE 4) Televisions carrying advertisements and billboards that are available for new ads are examples of senders in the communication process. Answer: FALSE 5) When a customer smells a perfume sample in a magazine while reading an ad, decoding is taking place. Answer: TRUE 6) Typically, advertising messages are decoded in the same way by large numbers of consumers because of the standard nature of the decoding process. Answer: FALSE 7) Noise is anything that distorts or disrupts a message and can occur at any stage in the communication process. Answer: TRUE 8) The large number of marketing messages consumers are exposed to daily is an example of noise and is also called clutter. Answer: TRUE 9) An integrated marketing communications program should be viewed as an overall organizational process rather than a marketing plan or marketing function. Answer: TRUE 10) In addition to the traditional elements of advertising, sales promotions, and personal selling—promotions now also includes activities such as database marketing, direct marketing, sponsorship marketing, Internet marketing, guerrilla marketing, and alternative marketing. Answer: TRUE 11) Traditionally, the marketing mix consisted of advertising, sales promotions, and personal selling. Answer: TRUE 12) The push for accountability is being driven by chief executive officers, brand managers, creatives, and account managers. Answer: FALSE 13) A brand manager is the individual who oversees a line of products on behalf of an advertising agency. Answer: FALSE 14) The people who develop advertisements and promotional campaigns are called creatives. Answer: TRUE 15) Brand managers, creatives, and account executives all have new tasks associated with creating strategies to send an integrated message in today's marketing environment. Answer: TRUE 16) Coca-Cola's consistent use of the same logo, theme, and colors on packages and in advertisements is an example of an integrated marketing communications approach. Answer: TRUE AACSB Categories: AACSB: Reflective thinking skills 17) The account planner works for the client and provides to the agency an understanding of the customer's viewpoint and is involved in the development of advertising campaigns. Answer: FALSE 18) A force that impacts the field of marketing communication is the emergence of alternative media. Answer: TRUE 19) Retailers often maintain channel power by controlling shelf space and purchase data. Answer: TRUE 20) The advancement of the World Wide Web and information technology has caused some channel power shift to consumers. Answer: TRUE AACSB Categories: AACSB: Use of information technology 21) Susan researched the Internet for information about the best brands of stereos. She has also visited Best Buy. This is an example of a shift in power to the retailer. Answer: FALSE AACSB Categories: AACSB: Use of information technology 22) One new marketing challenge is that consumers can now purchase goods and services from anywhere in the world, which increases competitive forces. Answer: TRUE 23) Brand parity is the belief that multiple brands consist of or offer the same set of attributes and benefits and are of equal quality. Answer: TRUE 24) In the past, Bruce bought Kleenex brand tissues, but he has now decided that all tissue brands are pretty much the same. This is an example of brand parity. Answer: TRUE AACSB Categories: AACSB: Reflective thinking skills 25) A contact point is any point where consumers interact with a company or acquire information about a company. Answer: TRUE 26) Television is becoming a more effective mass media outlet for advertising because so many more people own TV sets and have access to cable as well as satellite. Answer: FALSE 27) Trade promotions include contests, incentives, vendor support programs, and other fees and discounts that help the manufacture push the product through the channel. Answer: TRUE 28) Adaptation in a global advertising campaign means rewriting an advertisement to fit the nuances of a given language and culture. Answer: TRUE 29) Standardization would be an effective GIMC tactic in the Middle East because of the variety of religions and cultures. Answer: FALSE AACSB Categories: AACSB: Reflective thinking skills 30) The GIMC approach is easier to apply when a company relies on the adaptation strategy for its global expansion. Answer: FALSE 31) Marketing account executives are facing increasing pressures related to: A) accountability B) affordability C) accessibility D) applicability Answer: A 32) An advertising agency is told by the client that an advertising campaign should result in a 20% increase in sales. This is an example of: A) marketing myopia B) standardization C) adaptation D) accountability Answer: D AACSB Categories: AACSB: Reflective thinking skills 33) An account executive's duties include: A) preparing a database B) development of an overall strategic communication plan C) preparing the actual advertisements D) product development and applications Answer: B 34) The individual who is responsible for a specific brand or line of products is the: A) agency account executive B) brand manager C) media buyer D) media planner Answer: B 35) Of the following, the individual that works for the company that produces the product is a(n): A) agency account executive B) brand manager C) media buyer D) media planner Answer: B 36) The individual in charge of Tide, Bold, and Cheer laundry detergents at Procter & Gamble would be the: A) agency account executive B) brand manager C) media buyer D) media planner Answer: B 37) The individuals who develop the actual advertisements for promotional campaigns are called: A) account executives B) brand managers C) creatives D) receivers Answer: C 38) A creative's main responsibility is to: A) represent the customer's voice with an advertising agency B) evaluate the marketing plan C) develop advertisements and campaigns D) receive marketing messages from various sources Answer: C 39) Marlene just developed a new slogan to use in a company's advertising. Her main job is to think up these ideas and put them into the company's advertising plan. Marlene is a(n): A) account manager B) brand manager C) creative D) media manager Answer: C AACSB Categories: AACSB: Reflective thinking skills 40) In terms of a communications model, the sender is: A) the company seeking to sell a product B) a television set C) the consumer viewing an ad on the Internet D) a consumer ignoring an ad in a newspaper Answer: A 41) When Sean shops for an automobile, which are the senders in the communication process? A) Honda and Toyota B) NBC and CSPAN C) The New York Times and the Chicago Sun Times D) The Internet and the Web Answer: A 42) In terms of the communication process, a creative preparing an ad is most likely going to be involved in: A) encoding B) transmission C) decoding D) noise or clutter Answer: A 43) In terms of communication, encoding is: A) a sales pitch recited by a salesperson B) the database manager finding a statistical oddity C) a chat room on the Internet D) a purchase decision by a consumer Answer: A 44) In the communication process, the items that carry the message from the sender to the receiver are: A) encoding processes B) decoding processes C) transmission devices D) feedback devices Answer: C 45) A consumer sees a billboard while driving. The billboard is a: A) creative B) decoding device C) transmission device D) form of feedback Answer: C 46) When a message is being heard or seen by a consumer, what is taking place? A) encoding B) transmission C) decoding D) feedback Answer: C 47) A person smells the fragrance of a perfume attached to a magazine advertisement. What is taking place? A) encoding B) transmission C) decoding D) feedback Answer: C 48) The person reading a magazine advertisement plays which role in the communications model? A) sender B) decoder C) receiver D) object Answer: C 49) Kodak's marketing team identifies a group of people who are most likely to use the company's new digital photo technology and creates advertisements specifically for them. In a communication model, these individuals are: A) senders B) decoders C) receivers D) subjects Answer: C AACSB Categories: AACSB: Reflective thinking skills 50) Noise is: A) anything which carries a message from a sender to a receiver B) changing a message to match the specific needs of a target audience C) a verbal or nonverbal cue delivered by the sender D) anything that distorts or disrupts a message Answer: D 51) Michelle is watching a television commercial for a new car but a stereo is playing in the room next door making it difficult to concentrate, which is an example of: A) feedback disruption B) noise C) encoding design D) a contact point Answer: B AACSB Categories: AACSB: Reflective thinking skills 52) The key to using social media successfully is: A) making it compatible with the off-line marketing program B) identifying the heavy users of the product C) finding the right Facebook fans D) using both Facebook and Twitter in an integrated manner Answer: A 53) While browsing the Internet, a consumer encounters a new pop-up ad every time a new page is opened. This is an example of: A) advertising effectiveness B) perceptual distortion C) clutter D) brand parity Answer: C 54) All of the following are examples of communication noise except: A) driving while listening to the radio B) scanning the newspaper for articles to read C) scrolling past Internet ads without looking at them D) examining an advertisement in a magazine Answer: D AACSB Categories: AACSB: Reflective thinking skills 55) Which is an example of feedback in a marketing channel? A) new product development B) a customer complaint C) a decision to begin international operations D) removing a product from the market Answer: B 56) Julie is explaining an integrated marketing communications program to Michael. In this situation: A) Julie is a sender and Michael is an encoder B) Julie is a receiver and Michael is using a transmission device C) Julie is a sender and Michael is a receiver D) Julie is a transmission device and Michael is a decoder Answer: C AACSB Categories: AACSB: Reflective thinking skills 57) The coordination and integration of all marketing communication tools, avenues, and sources within a company into a seamless program that maximizes the impact on consumers and other end users at a minimal cost is: A) the marketing plan B) the marketing mix C) integrated marketing communications D) marketing strategy Answer: C 58) Integrated marketing communications affects all of the following except: A) business-to-business market B) marketing channel C) internally directed communications D) competitors' advertising Answer: D 59) In the marketing mix, where does integrated marketing communications belong? A) pricing decisions B) product design C) promotion D) distribution Answer: C 60) The marketing mix consists of the product, the price, distribution and: A) emotions B) promotions C) delivery systems D) services Answer: B 61) Traditionally, promotions included the following, except: A) advertising B) product design C) personal selling D) sales promotions Answer: B 62) The foundation of an IMC program consists of a careful review of the following, except: A) economic conditions B) company's image C) the markets in which buyers are located D) the buyers to be served Answer: A 63) The two types of buyer behaviors the marketing team must understand are business-to-business behaviors and: A) local community activities B) governmental purchase C) consumer buyer behaviors D) competitive actions Answer: C 64) Promotions that help the manufacturer push the product through the channel are: A) consumer promotions B) rebate programs C) direct marketing programs D) trade promotions Answer: D 65) Promotions that are directly oriented to end users and include coupons, contests, premiums, refunds, rebates, free samples, and price-off offers are: A) consumer promotions B) rebate programs C) direct marketing programs D) trade promotions Answer: A 66) Current trends affecting marketing communications include the following, except: A) explosion in the use of alternative media B) emphasis on pull marketing strategies C) accountability and measurable outcomes D) changes in tasks performed by key players Answer: B 67) The rise in importance of accountability and producing measurable results has led marketers to become less reliant on television advertising and shift funds to: A) alternative communication venues and methods B) pull marketing strategies C) integrated marketing communication firms D) their own marketing departments instead of advertising agencies Answer: A 68) Alternative interactive marketing techniques are designed to: A) push products through the marketing channel B) replace traditional advertising, such as television, radio and magazines C) bring marketing to the forefront D) create experiences with a brand and not just simply purchases Answer: D 69) In terms of the changes in tasks performed by individuals involved in advertising, which statement below is true? A) Account executives now control the channel of communication with advertising agencies. B) The role of the account planner has become more important. C) Advertising agencies have become the leader in developing integrated marketing communications. D) A new partnership among account executives, brand managers, account planners, and creatives has emerged. Answer: D AACSB Categories: AACSB: Reflective thinking skills 70) All of the following are trends impacting the use of integrated advertising and marketing communications except: A) advances in information technology B) increases in perceptions of brand equity C) changes in channel power D) increase in global competition Answer: B 71) All of the following are trends impacting the use of integrated advertising and marketing communications except: A) emphasis on customer engagement B) increases in perception of brand parity C) increase in channel power by manufacturers D) increase in micro-marketing Answer: C 72) The marketing group for Bank of America has recently started analyzing the features customers use with ATM cards. This is an example of: A) coordinating communication cross-functionally B) applying information technology C) a price and distribution system D) developing interpersonal communications Answer: B 73) Retailers control shelf purchase and have purchasing data, which means they determine: A) what products and brands are placed on stores shelves B) what marketing products manufacturers use C) who has the power in the distribution channel D) what products manufacturers produce Answer: A 74) Many marketing experts feel the advancement of the Internet and information technology has caused a shift in channel power: A) from producers to wholesalers B) away from manufacturers C) from retailers to wholesalers D) to consumers Answer: D AACSB Categories: AACSB: Use of information technology 75) Buying online from Amazon.com rather than a record or book store is an example of: A) a power shift to the consumer B) a power shift to the producer C) a decline in the effectiveness of mass media D) a new form of wholesaling Answer: A AACSB Categories: AACSB: Use of information technology 76) The competitive environment is now more: A) local B) global C) concentrated D) benign Answer: B 77) In terms of manufacturers and retailers, to build a strong customer base the best approach is: A) a partnership between the retailer and manufacturer B) for the retailer to control the channel power C) for the manufacturer to control the channel power D) to allow consumers to have the most control in the channel Answer: A 78) Increased usage of micro-marketing means: A) an increased emphasis on mass advertising B) companies focus more dollars with online advertising C) advertising agencies are used less by companies D) marketing programs focus more on individuals and micro-segments Answer: D 79) Brand parity is the: A) perception that there are no real differences between major brands B) feeling that most advertising is false C) belief that all advertisers say essentially the same thing D) idea that brands are distinct and easy to identify Answer: A 80) Michael buys electronic items from the closest retail store because he doesn't think there is much of a difference between brands. This is an example of: A) a poor quality IMC program B) standardization C) marketing integration D) brand parity Answer: D AACSB Categories: AACSB: Reflective thinking skills 81) When brand parity exists, consumers base purchases on: A) advertising effectiveness B) retail store location C) price, availability, promotions or other criteria D) information found on the Internet Answer: C 82) To combat brand parity, the marketing team at a company such as Johnson & Johnson might claim it: A) is developing additional products B) has found new customers to buy products C) has new locations D) sells superior products Answer: D AACSB Categories: AACSB: Reflective thinking skills 83) A contact point is: A) the place where a marketer reaches the production team B) the place where the product is packaged or sold C) a description of the effects of an advertisement D) a place where consumers interact with a company Answer: D 84) The following are examples of customer contact points, except: A) a commercial website B) a friend who recommends a brand C) a receptionist at a business D) a sales clerk at a retail store Answer: B AACSB Categories: AACSB: Reflective thinking skills 85) websites, cell phones, and advertisements that present the same message and theme are: A) contact points B) marketing plans C) account executives D) marketing objectives Answer: A 86) Mass-media television advertising: A) is as effective as ever B) has risen in the past decade C) has not been assessed effectively D) is declining in effectiveness Answer: D 87) The decline in effectiveness of mass-media advertising has led marketers to shift efforts to: A) using advertising agencies B) creating brand parity C) trade promotions D) micro-marketing Answer: D 88) The term "alternative marketing" ncludes the following, except: A) buzz marketing B) social networks and blogs C) guerrilla marketing D) product placement Answer: B 89) GIMC stands for: A) Globally Integrated Marketing Communications B) Global and Institutional Marketing Concepts C) Generic and Institutionalized Marketing Creations D) Generating Ideas for Marketing Control Answer: A 90) In terms of marketing communications, standardization is: A) presenting the same message across national boundaries B) a form of adaptation C) new product development D) a new form of the promotions mix Answer: A 91) Coca-Cola runs the same advertisement in all French-speaking countries. This is an example of global marketing communication: A) diversified IMC theme B) standardization C) customization D) integration Answer: B AACSB Categories: AACSB: Reflective thinking skills 92) An example of standardization is: A) using the "Generation Next" theme in all of Pepsi's global markets B) using women with their faces covered in ads for Islamic countries C) developing a website in several languages D) using local salespeople Answer: A AACSB Categories: AACSB: Reflective thinking skills 93) In terms of globally integrated marketing communications, adaptation is: A) not used in international environments B) a form of e-commerce C) advertising in unusual media D) adjusting a message to local conditions Answer: D 94) An example of adaptation in global marketing communications is: A) Ford's One-World Ford Contour car B) not selling the McRib sandwich in Israel because it violates religious practices C) printing ads only in English for European countries D) using direct mail Answer: B AACSB Categories: AACSB: Reflective thinking skills 95) Describe the Miracle Whip "love" and "hate" campaign using the elements of the communications model. Answer: The Miracle Whip brand and mcgarrybowen are the senders. Encoding takes place in advertisements and other messages sent out. Television, the Internet, and magazines are the transmisison devices. Consumers decode the messages as receivers. Feedback includes entering the contest, requesting free samples, complaining about the approach, and buying the product. 96) Describe the components of the communications model. Answer: The sender is the person(s) attempting to deliver a message or idea. Encoding is creating verbal and nonverbal cues that the sender uses to dispatch a message. A transmission device is any item that carries the message from the sender to the receiver. Decoding takes places when the receiver employs any set of his or her senses to capture the message. The receiver is the intended audience for a message. 97) What are the components of the marketing mix? The promotions mix? Answer: The components of the marketing mix are: product, price, promotion, and distribution. The components of the promotions mix are: advertising, personal selling, sales promotions, direct marketing, sponsorship marketing, e-active marketing, alternative marketing, and public relations. 98) Define integrated marketing communications. What makes it different from traditional promotions programs? Answer: IMC is the coordination and integration of all marketing communication tools, avenues, and sources within a company into a seamless program. IMC maximizes the impact on consumers and other end-users at minimal cost, it also affects all of the firm's business-to-business, customer-focused, and internally-oriented communications. IMC is different because it is a more sweeping or strategic approach to marketing communications, designed to incorporate the entire company into the program. 99) What recent trends make an IMC approach valuable to companies in the marketplace? Answer: Advances in information technology Changes in channel power Increased global competition Increase in brand parity Emphasis on customer engagement Increase in micro-marketing 100) Describe brand parity. Answer: Brand parity is the problem that all products are basically equal in terms of the benefits they deliver. 101) Describe contact points. Answer: A contact point is any place in which the customer may interact with or acquire information about a firm. This would include advertising, service departments, personal selling situations, and phone calls or Internet inquiries to the company. 102) Define GIMC. Why is GIMC important? Answer: GIMC is globally integrated marketing communications. It is important because most companies compete in an international arena.