Marketing

17
Student: ___________________________________________________________________________
1. As the number of communication media has increased, the task of understanding how best to reach target
customers has become easier.
True False

2. Encoding means converting the sender's ideas into a message, which could be verbal, visual or both.
True False

3. Though a picture may be worth a thousand words, the most important facet of encoding is not what is
received but what is sent.
True False

4. If there is a difference between the message that is sent and the message that is received, it is probably
due to noise.
True False

5. The sender of an integrated marketing communication controls the meaning individual receivers take
from the message.
True False

6. Though advertising experts wish it were true, there is not always a direct link between a particular
marketing communication and a consumer's purchase.
True False

7. Even the best marketing communication can be wasted if the sender does not gain the attention of the
consumer.
True False

8. If the marketing communication has piqued the interest of its target market, the goal of subsequent IMC
messages should be to move the consumer from "I want it" to "I like it."
True False

9. "Top-of-mind awareness" is when consumers indicate that they know the brand when the name is
presented to them.
True False

10. Betty is assessing the effect of her firm's marketing communications. She should remember that the
ultimate goal is to drive the receiver to action.
True False

11. Public relations is the component of IMC that has received the greatest increase in aggregate
spending.
True False

12. Mobile marketing involves marketing to customers through wireless handheld devices such as mobile
phones.
True False

13. Because the goals of IMC are only part of the overall promotional plan, they do not need to be explicit or
measurable.
True False

14. It may take several exposures to marketing communications before consumers are moved to buy.
True False

15. Personal selling can only be successful through the use of print, newspapers, and radio.
True False

16. When a company's communications budget is based on a percentage of forecasted sales, this is known as
competitive parity.
True False

17. Gross Rating Points (GRP) measure how often the audience is exposed to a communication within a
specified period of time.
True False

18. Frequency describes the percentage of the target population exposed to a specific marketing
communication, such as advertisement, at least once.
True False

19. The basic goal of integrated marketing communications is to:
A. communicate the value proposition to the target market.
B. create desire.
C. manipulate consumers.
D. outspend competitors.
E. tell the world about your company.

20. Especially for marketers with new products or services, IMC is needed because:
A. consumers need to know all about the features of new products before they make a purchase decision.
B. consumers are unlikely to buy products they are not aware of.
C. it is impossible for products to sell themselves through word of mouth communication.
D. pricing decisions cannot be made without IMC.
E. new products and services need to be integrated into the supply chain value proposition.

21. Integrated marketing communications represents the _________________ P in the four Ps of a firm's
marketing mix.
A. Pricing
B. Product
C. Promotion
D. Place
E. Partnering

22. Integrated marketing communications include all of the following EXCEPT:
A. personal selling.
B. advertising.
C. public relations.
D. supply chain management.
E. direct marketing.

23. Garrett works for a small chain of convenience stores. He is trying to coordinate his firm's IMC efforts.
Garrett's IMC goal is to:
A. overwhelm the competition.
B. overwhelm the consumer.
C. integrate supply chain efficiency into the marketing mix communication lagged effect model.
D. maximize noise and avoid using rule-of-thumb encoding.
E. provide clarity, consistency, and maximum communicative impact.

24. Carlos owns a chain of retail electronic stores. He is evaluating how he allocates his firm's IMC budget.
He receives offers from a variety of advertising media, spends money on his firm's public relations
efforts, and is considering electronic media alternatives. Carl recognizes each IMC alternative:
A. can be evaluated using Web-tracking software.
B. is part of the whole.
C. is part of noncommercial free speech.
D. is less important than stealth marketing.
E. is dictated by the nature of the supply chain.

25. The three elements of any IMC strategy are the consumer, the channels, and
A. direct marketing feedback.
B. the Web track-software.
C. the results.
D. online noise.
E. event sponsorship.

26. Gerald knows which IMC communication channels are available and knows how he will measure the
results of his IMC efforts. To implement his IMC efforts, Gerald also needs to:
A. integrate his pricing strategy with his event sponsorships.
B. effectively decode his communications.
C. maximize stealth marketing efforts.
D. focus his efforts on his target market(s).
E. all of these.

27. As the number of communication media has increased, the task of understanding how best to reach target
customers has:
A. shifted from creating a value proposition to revising a value proposition.
B. increased the use of rule-of-thumb targeting.
C. become easier.
D. focused on reducing the lagged effect of marketing communications.
E. become more complex.

28. With the emergence of Websites, text messaging, and blogging as new IMC alternatives, the question of
how to best reach target audiences has:
A. become more complex.
C. focused on reducing the lagged effect of marketing communications.
D. become easier.
E. shifted from creating a value proposition to revising a value proposition.

29. The IMC communication process includes all of the following EXCEPT:
A. the instructor.
B. the sender.
C. the transmitter.
D. the communication channel.
E. the receiver.

30. The IMC communication process begins with ________, who must be clearly identified.
A. the integrator
B. the sender
C. the transmitter
D. the communication channel
E. the receiver

31. In the IMC communication process, the _____________________ encodes the marketing communication
message.
A. instructor
B. sender
C. transmitter
D. communication channel
E. receiver

32. ___________ means converting the sender's ideas into a message, which could be verbal, visual or
both.
A. Decoding
B. Stealth marketing
C. Precoding
D. Encoding
E. Tracking

33. In integrated marketing communications, encoding means:
A. converting consumers' ideas into value propositions.
B. differentiating noncommercial speech from commercial speech.
C. converting the decoder into the receiver.
D. interpreting click-through rates.
E. converting the sender's ideas into a message, which could be verbal, visual or both.

34. Often a(n) _____________________ accomplishes the task of encoding IMC messages.
A. advertising agency
B. consumer interest group
C. media channel
D. noise reduction specialist
E. viral public relations expert

35. Though a picture may be worth a thousand words, the most important facet of encoding is:
A. who draws the picture.
B. the self-visualization process.
C. not what is received rather what is sent.
D. the sponsor rather than the receiver.
E. not what is sent rather what is received.

36. In the IMC communication process, the _____________________ is the medium that carries the
message.
A. instructor
B. sender
C. transmitter
E. receiver

37. Which of the following is NOT a communication channel used in the IMC process?
A. Radio
B. Television
C. Newspaper
D. Internet
E. Supply chain

38. The right communication channel to use in IMC is:
A. the traditional channel used in that particular retail sector.
B. network advertising, local newspapers, and regional radio stations.
C. the one that will connect to the desired recipients.
D. the one with the best encoding capabilities.
E. the one that maximizes decoding difficulty.

39. In the IMC communication process, the _____________________ is the person who reads, hears, or sees
and processes the message being communicated.
A. instructor
B. sender
C. transmitter
E. receiver

40. The sender of an IMC message hopes the receiver is:
A. the people for whom the message was originally intended.
B. the people with the most buying power.
C. consumers who are capable of discerning value.
D. consumers who have purchased the firm's products in the past.
E. the market segment with the most gross rating points.

41. _______________ refers to the process by which the receiver interprets the sender's message.
A. Decoding
C. Precoding
D. Encoding
E. Tracking

42. If you have ever watched a television commercial and at the end of the message wondered what were
they promoting, you may have had trouble _____________ the IMC message.
A. decoding
B. pre-testing
C. precoding
D. encoding
E. tracking

43. Marketers spend hundreds of millions of dollars annually creating and promoting symbols, colors, and
images that make it easier for consumers to recognize the company, its brands or its products. These
efforts facilitate ________________ in the IMC process.
A. precoding
B. pre-testing
C. decoding
D. encoding
E. tracking

44. __________________ is any interference in the IMC process.
A. Translation
B. Looping
C. Excessive reach
D. Noise
E. Feedback

45. In the IMC process, noise can occur as a result of lack of message clarity, a poor choice of medium,
and:
A. competing messages.
B. an extended feedback loop.
C. indirect encoding.
D. inhibited decoding.
E. excessive reach.

46. International marketing consultants often recommend that IMC messages which have been translated into
another language be re-translated by someone else, and the results compared. By doing so, they hope to
avoid noise problems associated with:
B. lack of clarity in the message.
C. a poor choice of medium.
D. an extended feedback loop.
E. a flaw in the medium.

47. Advertising agencies often provide the IMC function of comparing their customer's target audience with
the viewer, listener, or reader profile of the communication channel being considered. The agency is
trying to avoid noise problems associated with:

48. National manufacturers and retailers often pay a service provider to monitor television ads around the
country, in order to ensure that their ads are seen in their entirety during the time frames that were
purchased. This service provider is monitoring for IMC noise problems associated with:
D. a flaw in the medium.
E. an extended feedback loop.

49. The ___________________ allows the receiver to communicate with the sender in the IMC process.
A. decoding loop
B. pre-testing loop
C. precoding loop
D. encoding loop
E. feedback loop

50. Most manufacturers and retailers worry constantly about whether or not their IMC efforts are paying off.
They assess various forms of _________________ to determine what is working and what is not.
A. decoding
B. pre-testing
C. precoding
D. encoding
E. feedback

51. Sales data, complaints, compliments, and redemption rates for coupons and rebates are types of
________________ marketers use to assess the effectiveness of their IMC efforts.
A. decoding
B. pre-testing
C. feedback
D. simulations
E. encoding

52. Personal care product manufacturers know that samples are one of the few effective promotional
efforts that can be used to get consumers to switch brands. These marketers will likely use
____________________ to monitor the effectiveness of giving away samples.
A. changes in sales data
B. complaints
C. compliments
D. supply chain noise
E. click-through rates

53. Loretta would like to know which, if any, of her firm's IMC efforts are working. She could use
_______________ to provide feedback from her efforts.
A. sales data
B. complaints
C. compliments
D. redemption rates for coupons or rebates
E. all of these.

54. Marketers often use focus groups to learn how consumers interpret their IMC messages. Experience has
shown that:
A. effective branding requires marketers to encode messages differently for each market segment.
B. each receiver decodes IMC messages in his or her own way.
C. action is taken before desire and interest are determined.
D. marketers can almost always use the same message for all audiences.
E. transmitters need to use the objective-and-task decoding system.

55. Marketers adjust their messages and media based on the type of audience (suppliers, shareholders,
customers or the general public) because:
A. different media communicate in different ways.
B. there are things you wouldn't want one group or another to know but you do want to let others know.
C. these groups have very different attention spans.
D. some read and some don't.
E. that's the way it has always been done in marketing.

56. The sender of an integrated marketing communication:
A. must work with the advertising specialists to ensure all recipients interpret the message accurately.
B. can assess the manner in which receivers interpret the message through gross rating points.
C. has little control over what meaning any individual receiver will take from the message.
D. controls the meaning all receivers take from the message.
E. generally uses a rule-of-thumb interpretation index.

57. Though advertising experts wish it were true, there is not always a direct link between a particular
marketing communication and:
A. supply chain effectiveness.
B. enhanced decoding processes.
C. a consumer's purchase.
D. the level of noise in the IMC channel.
E. the reach/frequency ratio.

58. Julia is driving down Interstate 95 on her way from New England to Florida and sees a billboard
saying "South of the Border Restaurant and Motel is just 100 miles away." Julia has never heard of South
of the Border before. After seeing the sign, she will most likely:
A. reject the idea immediately.
B. increase the speed she is driving so she can get there sooner.
C. call and cancel reservations she made at another hotel.
D. keep track of the miles so she'll know how soon she will be there.
E. go through several steps before deciding whether to stop at South of the Border.

59. Which of the following is NOT one of the steps in the AIDA model?
A. Awareness
B. Intention
C. Action
D. Desire
E. Interest

60. In the AIDA model:
A. advertising leads to interest, which hopefully leads to desire and then, action.
B. awareness leads to integration, which hopefully leads to desire and then, action.
C. awareness leads to interest, which hopefully leads to desire and then, action.
D. awareness leads to interest, which hopefully leads to desire and then, attention.
E. awareness leads to interest, which hopefully leads to determination and then, action.

61. In the AIDA model, marketing communications move consumers stepwise:
A. through an integrated lagged effect simulation process.
B. from attention to awareness.
C. decoding to encoding.
D. through a series of mental stages.
E. all of these.

62. In the AIDA model, the "think" stage is the ________________ stage.
A. Awareness
B. Action
C. Interest
D. Desire
E. Intention

63. _______________ refers to a potential customer's ability to recall that the brand name is a particular type
of retailer, product or service.
A. Product familiarity
B. Brand association
C. Brand awareness
D. Marketing recall
E. Cognitive association

64. Even the best marketing communication can be wasted if the sender does not first:
A. generate consumer action.
B. offer testimonials from past consumers.
C. determine the level of desire needed to sustain action.
D. gain the attention of the consumer.
E. stimulate interest among stealth marketing consumers.

65. Cheryl asked Nadia to help her buy some aftershave for her boyfriend. Nadia was going through a list
of different brand names, when Cheryl stopped her and said, "I recognize that one." Marketers call this
______________.
A. selective recall
B. free association
C. aided recall
D. recall mapping
E. top-of-mind awareness

66. In the AIDA model, the "do" stage is the ________________ stage.
A. Awareness
B. Action
C. Interest
D. Desire
E. Intentions

67. An advertising agency in Los Angeles once held a contest among its employees to see who could create
the most visibility for the company. The winning team included two staff members who put on a wet t-
shirt display on an interstate overpass with television helicopter crews capturing and showing footage on
the local news. In the AIDA model, the advertising agency was attempting to create:
A. Awareness.
B. Action.
C. Interest.
D. Desire.
E. Intention.

68. The highest level of awareness occurs when customers mention a specific brand name when asked about
a product or service. Marketers call this _________________.
A. the primacy effect
B. aided recall
C. top-of-mind awareness
D. category dominance
E. elevated awareness

69. After creating awareness that the firm's products or services exist, the next goal of integrated marketing
communications is to:
B. increase the level of interest among consumers.
E. create intentions to purchase the product.

70. In the movie Field of Dreams, one of the memorable phrases is "Build it, and they will come." The
AIDA model would suggest that after marketers "build" a product or service and create awareness among
consumers, they need to:
A. determine the level of desire needed to sustain action.
B. promote sufficiently to gain global attention.
C. create interest among consumers, persuading them to investigate further.
D. offer discounts to increase purchase intentions.
E. take steps to encourage immediate purchase.

71. Several years ago, changes in advertising restrictions allowed pharmaceutical companies to begin
promoting their products through traditional media. Today, it is hard not to see ads on television ending
with "Ask your doctor about (our medicine)." In addition to creating awareness about their drugs, the
companies are hoping to:
A. reduce deceptive advertising.
B. signal encoding symbols to simplify the feedback loop.
C. offer objective-and-task marketing communications.
D. stimulate interest, persuading consumers to investigate further.
E. promote public interest social responsibility communications.

72. To stimulate interest and persuade consumers to further investigate a firm's product or service, marketing
communications include:
A. facts designed to shift consumers from feeling to thinking.
B. awareness-building messages.
C. as much in-depth information as possible.
D. subliminal encoding devices.
E. information about attributes that are of particular interest to the target audience.

73. Many retailers advertise using traditional media, suggesting that consumers learn more about the
marketer's products at their Websites. In the AIDA model, the traditional media are used to create
___________, while the Websites are used to create ___________.
A. awareness; interest
B. interest; desire
C. desire; action
D. action; awareness
E. desire; interest

74. If the marketing communication has captured the interest of its target market, the goal of subsequent IMC
messages should be to move the consumer from:
A. "I want it" to "I like it."
B. action to desire.
C. "I like it" to "I want it."
D. awareness to action.
E. feeling to thinking.

75. Betty is assessing the effectiveness of her firm's marketing communications. She knows the ultimate goal
is to:
A. maximize rating points.
B. minimize marketing communication expenditures.
C. shift encoding into decoding.
D. use personal selling to augment public relations.
E. drive the receiver to action.

76. If marketing communications are effective, they will:
A. result in purchases by some consumers receiving the communications.
B. offset any negative publicity the firm may have received.
C. minimize the number of communication channels used by the firm.
D. generate interest in the product in over half the consumers who receive the communications.
E. include all steps of the AIDA model with equal weighting to each step.

77. One of the difficulties in measuring the effectiveness of IMC efforts is the ______________, where
consumers do not act immediately after receiving a marketing communication.
A. decoding decomposition effect
B. lagged effect
C. noncommittal affect
D. viral effect
E. click-through delay

78. Reaching the right audience with marketing communication is becoming more difficult because:
A. consumers are bored.
B. government regulations are constraining free speech.
C. personal selling is becoming less expensive, making it more competitive with advertising.
D. the media environment has become more complicated.
E. the AIDA model is no longer an accurate representation of how marketing communication works.

79. The goal of any marketing communication is to:
A. maximize sales.
B. increase public relations click-through rates.
C. overwhelm negative publicity with commercial speech.
D. replace cause-related marketing with non-cause-related marketing.
E. get the right message to the right audience through the right media.

80. The proliferation of new media alternatives has led many firms to shift their promotional budgets
from:
A. publicity to public relations.
B. personal selling to advertising.
C. integrated marketing communications to disintegrated marketing communications.
D. stealth marketing to viral marketing.
E. advertising to direct marketing and Website development.

81. Many marketers are shifting marketing communication resources away from advertising and toward:
A. direct marketing.
B. website development.
C. product placement.
D. Internet advertising.
E. all of these.

82. One of the benefits of media fragmentation is it has allowed IMC planners to:
A. target their desired audience more precisely.
B. reduce their promotional expenditures.
C. simplify IMC decoding.
D. reduce the lagged effect.
E. expand the use of rule-of-thumb budgeting.

83. With today's media fragmentation, an IMC planner wishing to promote a line of gourmet food products
would most likely use:
A. CBS network news hour.
B. Public Broadcasting's Global Travel series.
C. Nickelodeon.
D. Outdoor Life Network.
E. The Cooking Channel.

84. Compared to other IMC alternatives, advertising is extremely effective for:
A. closing a sale.
B. efficient message decoding.
C. reducing the potential for noise.
D. creating awareness and generating interest in a product.
E. repositioning consumers in the AIDA model.

85. One difficulty associated with using advertising as part of a marketer's IMC efforts is:
A. breaking through the clutter of other messages targeted for the same audience.
B. that it is more expensive than personal selling.
C. that it only works when communicating to the most uninformed consumers.
D. that government regulations have significantly decreased allowable advertising frequencies.
E. all of these.

86. Integrated marketing communications include all of the following except:
A. advertising.
B. supply chain management.
C. direct marketing.
D. public relations.
E. sales promotion.

87. Personal selling involves ___________________ communication between a buyer and a seller.
A. face-to-face
B. video teleconferencing
C. telephone
D. Internet
E. any of these

88. The difference between advertising and personal selling is personal selling involves:
A. a larger audience than advertising.
B. indirect communication while advertising involves direct communication.
C. only informational communication while advertising involves persuasive communication.
D. a two-way flow of communication between a buyer and a seller.
E. encoding while advertising involves only decoding.

89. Personal selling is an especially important part of IMC in:
A. business-to-business markets.
B. cause-related marketing.
C. event sponsorships.
D. stealth marketing.
E. Web tracking.

90. Ryan is debating how to allocate the IMC budget for his new ski equipment store. He knows having
knowledgeable salespeople in his store can simplify buyers' purchase decisions. He should also consider
that, compared to other IMC alternatives, personal selling is:
A. easy.
B. expensive.
C. ineffective.
D. overrated.
E. simple.

91. Sales promotions include all of the following EXCEPT:
A. coupons.
B. rebates.
C. online ads.
D. point-of-purchase displays.
E. free samples.

92. Karen manages cosmetic counters in a regional department store chain. She wants to increase sales
during the summer, hoping to generate repeat business during the holiday season. Because Karen is
selling personal care products in a department store, she will most likely use __________________ as her
primary methods of sales promotion.
A. contests and sweepstakes
B. advertising and personal selling
C. public relations and publicity
D. free samples and point-of-purchase displays
E. direct marketing

93. Compared to mass media advertising, a key advantage of direct marketing is:
A. it allows for personalization of the message.
B. it reaches a larger audience.
C. it involves face-to-face contact.
D. it uses the rule-of-thumb budgeting method.
E. all of these.

94. In recent years, the component of IMC that has received the greatest increase in spending is:
A. media advertising.
B. direct marketing.
D. sales promotions.
E. publicity.

95. Brenda wants to reduce mass media IMC and to increase the use of personalized marketing
communication messages. To achieve this goal, Brenda will likely increase her use of:
A. telemarketing.
B. direct mail.
C. e-mail.
D. social media.
E. all of these.

96. The increased use of customer databases has enabled marketers to identify and track consumers over time
and across purchase situations, and has contributed to the rapid growth in:
B. publicity.

97. A major factor contributing to the growth in the use of direct marketing IMC efforts is:
A. reduced government regulation of deceptive advertising practices.
B. expanded use of personal selling.
C. a shift from objective-and-task to rule-of-thumb budgeting.
D. increased use of credit and debit cards, and online shopping by consumers.
E. the reduction in IMC noise allowing for a decreased lagged effect.

98. When purchasing books on Amazon.com, customers are shown other books and a message
saying "Customers who purchased (your book) also purchased.........." This is an example of:
A. mass media advertising.
B. publicity.

99. Elliott was asked to take a look at the company's website. He noted that customers can order products on
the site, but he felt it would also be important to:
A. build the brand image of the firm's products.
B. encourage customers to post product reviews.
C. improve the overall image of the company.
D. educate customers on how to use the products to their full advantage.
E. All of these.

100.Public relations is the component of IMC that:
A. supports other promotional efforts by generating "free" media attention.
B. has received the greatest increase in spending.
C. converts mass media advertising into direct marketing.
D. most effectively uses IMC encoding.
E. generates the most gross rating points.

101.Marketers use public relations to:
A. build a positive image in the marketplace.
B. maintain media relations.
C. address unfavorable stories or events.
D. generate "free" media attention.
E. all of these.

102.Marketers use corporate blogs to:
A. create positive word of mouth.
B. build customer loyalty.
C. gather feedback.
D. respond directly to customers.
E. all of these.

103.A _________________ can be used to create positive word of mouth, help customers form a community,
and develop long-term relationships between customers and the company.
A. corporate blog
B. faxed newsletter
C. Super Bowl ad
D. full-page ad in selected newspapers
E. public relations campaign

104.Firms can use _____________ to bring customers together to share experiences around the products.
A. surveys
B. social media
C. consumer outlets
D. brand associations
E. public relations

105.The goals of IMC need to:
A. expand as the advertising budget expands.
B. be explicit and measurable.
C. be encoded before they can be decoded.
D. include both the noise effect and the transmitter effect.
E. all of these.

106.Naomi is IMC manager for a chain of regional income tax service providers. Franchisees pay a
percentage of their revenue to an IMC account allocated to her. As she establishes the short-term goals
for her firm's IMC efforts, her goals are likely to include:
A. expanding customer loyalty by closing the feedback loop.
B. increasing market share, sales, and customer loyalty.
C. increasing inquires, awareness, and trial of her firm's services.
D. shifting customers to rule-of-thumb budgeting.
E. increasing the lagged effect.

107.Lamar is assessing the long-term effectiveness of his firm's IMC efforts. He will probably analyze the
firm's success in:

108.Julie is developing a budget for her firm's IMC program. First she sets objectives. Then she chooses
media, and finally she determines the cost for each product to be promoted. Julie is using the
___________________ method of establishing an IMC budget.
A. reach and frequency
B. track and decode
C. objective-and-task
D. rule-of-thumb
E. sender-receiver

109.Competitive parity, percentage-of-sales, and available budget are types of ________________________
IMC budgeting.
B. track and decode
D. rule-of-thumb
E. sender-receiver

110.Yolanda asked her firm's advertising agency to estimate how often consumers saw her firm's IMC
message and what percentage of the target audience was exposed to the message. Yolanda is asking for
_____________________ data.
A. parity and affordability
B. sales and promotion
C. attitude change
D. rule-of-thumb
E. frequency and reach

111.When Yolanda asked her firm's advertising agency to estimate how often consumers saw her firm's IMC
message and what percentage of the target audience was exposed to the message, she was told the reach
was 40, the frequency was 4 and the competitive parity was 10. The gross rating points for her firm's
campaign were:
A. 160
B. 1600
C. 400
D. 40
E. The answer cannot be determined from this information.

112.Ramon is starting his own plumbing supply store featuring designer and restoration hardware. As in
any start-up, he will have to watch expenditures carefully. He knows he will have to pursue a number of
different communications approaches, but he is not sure how to measure the effectiveness of the effort.
What advice would you give him?
A. The lagged effect means it will be difficult to measure precisely the effect of any single initiative.
B.

Marketing communication is cumulative; it will take a number of impressions for the message to
connect with the customer.
C. Each step in the process can be measured.
D. If he decides to cut out some expenditures, it will take a while for that effect to show up.
E. All of these are important for Ramon to consider.

113.To estimate reach in terms of electronic media, marketers can use the click-through rate (CTR). To do so,
they need to know the number of clicks and:
A. the number of destinations.
B. the number of impressions.
C. the cost per click.
D. how much time consumers spend viewing the ad or page.
E. the total number of clicks recorded by the industry.

114.Jim was asked to determine the ROI for a particular advertising effort. To do so, he needs to know:
A. the internal rate of return and the projected expenditure level.
B. the total number of units sold and the total cost of sales.
C. sales revenue and advertising cost.
D. gross margin and advertising cost.
E. the advertising cost and the total communications expenditures.

115.If a company sets the communication budget so that the firm's share of communication expenses equals
its share of the market, what IMC budgeting method is it using?
A. Competitive parity
B. Percentage of sales
C. Available budget
D. Objective and task
E. None of these

116.Budgeting for marketing expenses by using money available after operating costs and profits have been
budgeted is known as the ________ method.
A. available budget
B. competitive parity
C. percentage of sales
D. objective and task
E. none of these.

117.An ad for Bud Light ran six times during a recently televised football game. When measuring IMC results
for this ad, six would be the _____ for this telecast.
A. frequency
B. reach
C. gross rating points
D. ROI
E. click-through rate

118.Sally could recall the brand of toothpaste she used only when a marketing researcher mentioned the
brand. This is known as:
A. aided recall.
B. unaided recall.
C. top-of-mind awareness.
D. brand preference.
E. brand indifference.

119.If you send an email and include a link, you can track how many people took the desired action of
clicking on the link. This is known as:
A. the click through rate.
B. impressions.
C. frequency.
D. gross rating points.
E. reach.

120.Which of the following is being used by a store owner who sends out a text message to all of her
preferred customers announcing the arrival of this season's new clothing?
A. Mobile marketing
B. Public relations
C. Personal selling
D. Sales promotions
E. None of these

121.The Salvation Army runs a campaign over the Christmas holidays called the Mobile Bell Ringer.
Volunteers send text messages to their friends' cell phones asking them to donate. Which type of
marketing communication does this represent?
A. Mobile marketing
B. Public relations
C. Personal selling
D. Sales promotions
E. Advertising

122.Which of the following is not a rule-of-thumb method for IMC budgeting?
C. Available budget
E. All of these are rule-of-thumb methods.

123.Red Bull sends out student brand managers to distribute free samples to their peers. What form of
marketing communication is this?
A. Sales promotion
B. Direct marketing
C. Public relations
D. Mobile marketing
E. Advertising

124.The opening vignette describes KFC's activities associated with introduction of its "fiery" chicken wings.
What could have gone wrong, had the firm not used IMC?

125.What is noise in the communication process? What are the three typical sources of noise? Provide an
example of noise you have experienced or observed.

126.There is an old advertising adage, "I know I'm wasting half of my advertising budget. I just don't know
which half." What is the lagged effect? How does it contribute to the dilemma of attempting to determine
which advertising has an impact and which doesn't?

127.Provide an example of a firm delivering the right message to the right audience through the right
media.

128.Kim and David's Kayak Tours offers a variety of coastal kayaking trips. When they started their business,
they experimented with advertising but were disappointed with the results. A friend has suggested using
sales promotions instead. What are their sales promotion options? Which would have the best potential
for success, and why?

129.How have changes in the way consumers purchase goods and services contributed to the growth in the
use of direct marketing IMC efforts?

130.How can direct marketing create a win-win situation for customers and the firm?

131.One of the newest IMC efforts is the use of corporate blogs. Why do businesses use them?

132.Most small retail businesses use rule-of-thumb IMC budgeting methods. What methods are they likely to
use and what are the limitations associated with each method?

133.Monica is launching a personal shopping and messenger service. She has a pretty good idea of what her
expenses will be, and she has some conservative but solid revenue projections. She has no idea, though,
how to budget communications expenses. She is asking a number of her friends for their ideas. What
approaches would you recommend?

134.Why should a marketer try to measure the success of a communications effort?

135.What parts of an organization are involved in integrating marketing communications?

136.How can noise disrupt the IMC process?

137.What are the four mental stages in the AIDA model?

138.What is the other name for the AIDA model?

139.Darrell saw a review of the new Love CD produced in collaboration with Cirque du Soleil, and has
decided he has to have it. At what stage in the AIDA model is Darrell?

140.How is advertising different from publicity?

141.What types of sales promotions would a marketer consider if the goal is to build short-term sales?

142.What is the major advantage of direct marketing over advertising?

143.A media rep from the local radio station comes into your retail store and suggests running a series of
advertisements. She says, "Let's do it and see what happens." What problems can you anticipate with this
as the suggested goal?

144.Julie is developing a budget for her firm's IMC program. First, she decides what she wants to accomplish.
Then she chooses media, and finally she determines the cost for each product to be promoted. What type
of IMC budgeting process is Julie using?

145.Tom asks you how to measure gross rating points and how to compare results from various media. How
would you respond?

146.List the steps in the AIDA model and explain why each step is important to marketers.

147.If sales revenue for Becky Balloon's was $35 a day and the advertising cost was $10, what would be the
return on investment?

148.If you were advertising your company's watches in Vogue magazine and you had 5 ads in the magazine,
how would you calculate your gross rating points (GRP)?

149.Explain how a company can use search engine marketing.

17 Key
1.
(p. 513-
514)
As the number of communication media has increased, the task of understanding how best to reach
target customers has become easier.
FALSE
The proliferation of communication media--driven largely by technology--has made it much more
difficult to choose the best way to reach a target market.

AACSB: Analytic
Blooms: Understand
Grewal - Chapter 17 #1
Learning Objective: 17-03 Describe the various integrative communication channels.
Level: Medium
Topic: Elements of an Integrated Marketing Communication Strategy
2.
(p. 509)
Encoding means converting the sender's ideas into a message, which could be verbal, visual or
both.
TRUE
This is the definition of encoding.

AACSB: Analytic
Blooms: Remember
Learning Objective: 17-01 Identify the components of the communication process.
Level: Easy
Topic: Communicating with Consumers
3.
(p. 509)
Though a picture may be worth a thousand words, the most important facet of encoding is not what is
received but what is sent.
FALSE
The most important facet of encoding is not what is sent, but what is received.

AACSB: Analytic
Blooms: Understand
Level: Medium
4.
(p. 510)
If there is a difference between the message that is sent and the message that is received, it is probably
due to noise.
TRUE
Noise refers to any interference that stems from competing messages, a lack of clarity in the message,
or a flaw in the medium.

AACSB: Analytic
Blooms: Remember
Level: Easy
5.
(p. 510)
The sender of an integrated marketing communication controls the meaning individual receivers take
from the message.
FALSE
The receiver decodes the message, interpreting it and assigning meaning to it.

AACSB: Analytic
Blooms: Understand
Level: Medium
6.
(p. 511)
Though advertising experts wish it were true, there is not always a direct link between a particular
marketing communication and a consumer's purchase.
TRUE
The lack of a direct link makes it difficult to measure the impact of marketing communications.

AACSB: Analytic
Blooms: Remember
Learning Objective: 17-02 Explain the four steps in the AIDA model.
Level: Easy
7.
(p. 512)
Even the best marketing communication can be wasted if the sender does not gain the attention of the
consumer.
TRUE
The first step in moving a consumer towards taking action is to raise awareness and gain attention.

AACSB: Analytic
Blooms: Remember
Level: Easy
8.
(p. 512)
If the marketing communication has piqued the interest of its target market, the goal of subsequent
IMC messages should be to move the consumer from "I want it" to "I like it."
FALSE
It's the other way around--the goal is to move the consumer from "I like it" to "I want it."

AACSB: Analytic
Blooms: Understand
Level: Medium
9.
(p. 512)
"Top-of-mind awareness" is when consumers indicate that they know the brand when the name is
presented to them.
FALSE
"Top-of-mind awareness" means that the consumer mentions the brand name first when asked about a
product.

AACSB: Analytic
Blooms: Understand
Level: Medium
10.
(p. 512)
Betty is assessing the effect of her firm's marketing communications. She should remember that the
ultimate goal is to drive the receiver to action.
TRUE
Although many measures of marketing communications look at things like number of exposures, the
eventual goal is to move a consumer to take action.

AACSB: Analytic
Blooms: Remember
Level: Easy
11.
(p. 514,
516)
Public relations is the component of IMC that has received the greatest increase in aggregate
spending.
FALSE
Direct marketing has received the greatest increase in aggregate spending recently.

AACSB: Analytic
Blooms: Remember
Level: Medium
12.
(p. 517)
Mobile marketing involves marketing to customers through wireless handheld devices such as mobile
phones.
TRUE
This is the definition of mobile marketing.

AACSB: Analytic
Blooms: Understand
Level: Medium
13.
(p. 524)
Because the goals of IMC are only part of the overall promotional plan, they do not need to be explicit
or measurable.
FALSE
All IMC goals should be explicitly defined and measurable.

AACSB: Analytic
Blooms: Understand
Learning Objective: 17-04 Explain the various ways used to allocate the IMC budget.
Level: Medium
Topic: Planning For and Measuring IMC Success
14.
(p. 525)
It may take several exposures to marketing communications before consumers are moved to buy.
TRUE
A single exposure is often not enough to move someone to take action. Marketers measure the
frequency of exposure for this reason.

AACSB: Analytic
Blooms: Understand
Learning Objective: 17-05 Identify marketing metrics used to measure integrated marketing communications (IMC) success.
Level: Medium
15.
(p. 516)
Personal selling can only be successful through the use of print, newspapers, and radio.
FALSE
Personal Selling is the two-way flow of communication between buyer and a seller that is designed to
influence the buyer's purchase decision. Print, newspapers, and radio are one-way media.

AACSB: Analytic
Blooms: Understand
Level: Medium
16.
(p. 524)
When a company's communications budget is based on a percentage of forecasted sales, this is known
as competitive parity.
FALSE
Competitive parity is used when the company wants to match competitors' spending. Percentage of
Sales is used when the communication budget is a fixed percentage of forecasted sales.

AACSB: Analytic
Blooms: Remember
Level: Medium
17.
(p. 525)
Gross Rating Points (GRP) measure how often the audience is exposed to a communication within a
specified period of time.
FALSE
GRP represents reach (percentage of the target population exposed to the message) multiplied by
frequency (how often the audience is exposed to the message).

AACSB: Analytic
Blooms: Remember
Level: Hard
18.
(p. 525)
Frequency describes the percentage of the target population exposed to a specific marketing
communication, such as advertisement, at least once.
FALSE
This is the definition of reach. Frequency of exposure is how often the audience is exposed to a
communication within a specified period of time.

AACSB: Analytic
Blooms: Remember
Level: Hard
19.
(p. 508)
The basic goal of integrated marketing communications is to:
A. communicate the value proposition to the target market.
B. create desire.
C. manipulate consumers.
D. outspend competitors.
E. tell the world about your company.
Marketing communications is the "Promotion" element of the four Ps, the method by which the firm
communications value to target customers.

AACSB: Analytic
Blooms: Understand
Level: Medium
Topic: Integrated Marketing Communications
20.
(p. 508)
Especially for marketers with new products or services, IMC is needed because:
A. consumers need to know all about the features of new products before they make a purchase
decision.
B. consumers are unlikely to buy products they are not aware of.
C. it is impossible for products to sell themselves through word of mouth communication.
D. pricing decisions cannot be made without IMC.
E. new products and services need to be integrated into the supply chain value proposition.
communications value to target customers. This communication is necessary if customers are going to
discover and choose to buy the firm's products.

AACSB: Analytic
Blooms: Understand
Level: Medium
21.
(p. 508)
Integrated marketing communications represents the _________________ P in the four Ps of a firm's
marketing mix.
A. Pricing
B. Product
C. Promotion
D. Place
E. Partnering
communications value to target customers.

AACSB: Analytic
Blooms: Remember
Level: Easy
22.
(p. 508)
Integrated marketing communications include all of the following EXCEPT:
A. personal selling.
B. advertising.
D. supply chain management.
Supply chain management is not part of integrated marketing communications. Personal selling,
advertising, public relations, and direct marketing are all ways to communicate value to the target
market.

AACSB: Analytic
Blooms: Remember
Level: Easy
23.
(p. 508)
Garrett works for a small chain of convenience stores. He is trying to coordinate his firm's IMC
efforts. Garrett's IMC goal is to:
A. overwhelm the competition.
B. overwhelm the consumer.
C. integrate supply chain efficiency into the marketing mix communication lagged effect model.
D. maximize noise and avoid using rule-of-thumb encoding.
E. provide clarity, consistency, and maximum communicative impact.
The key to effective value communication is to develop an integrated strategy sending a consistent
message clearly and with maximum communicative impact for the available budget.

AACSB: Analytic
Blooms: Understand
Level: Medium
24.
(p. 508)
Carlos owns a chain of retail electronic stores. He is evaluating how he allocates his firm's IMC
budget. He receives offers from a variety of advertising media, spends money on his firm's public
relations efforts, and is considering electronic media alternatives. Carl recognizes each IMC
alternative:
A. can be evaluated using Web-tracking software.
B. is part of the whole.
C. is part of noncommercial free speech.
D. is less important than stealth marketing.
E. is dictated by the nature of the supply chain.
An integrated marketing communication strategy will have many components that must be
coordinated into an integrated whole.

AACSB: Analytic
Blooms: Understand
Level: Medium
25.
(p. 508)
The three elements of any IMC strategy are the consumer, the channels, and
A. direct marketing feedback.
B. the Web track-software.
C. the results.
D. online noise.
E. event sponsorship.
An IMC strategy must consider the consumer, the channels, and evaluation of the results.

AACSB: Analytic
Blooms: Remember
Level: Easy
26.
(p. 508)
Gerald knows which IMC communication channels are available and knows how he will measure the
results of his IMC efforts. To implement his IMC efforts, Gerald also needs to:
A. integrate his pricing strategy with his event sponsorships.
B. effectively decode his communications.
C. maximize stealth marketing efforts.
D. focus his efforts on his target market(s).
E. all of these.
An IMC strategy must consider the consumer, the channels, and evaluation of the results.

AACSB: Analytic
Blooms: Understand
Level: Medium
27.
(p. 513-
514)
As the number of communication media has increased, the task of understanding how best to reach
target customers has:
A. shifted from creating a value proposition to revising a value proposition.
C. become easier.
D. focused on reducing the lagged effect of marketing communications.
E. become more complex.

AACSB: Analytic
Blooms: Understand
Level: Medium
28.
(p. 513-
514)
With the emergence of Websites, text messaging, and blogging as new IMC alternatives, the question
of how to best reach target audiences has:
A. become more complex.
C. focused on reducing the lagged effect of marketing communications.
D. become easier.
E. shifted from creating a value proposition to revising a value proposition.

AACSB: Analytic
Blooms: Understand
Level: Medium
29.
(p. 509-
510)
The IMC communication process includes all of the following EXCEPT:
A. the instructor.
B. the sender.
C. the transmitter.
D. the communication channel.
E. the receiver.
The IMC communication process includes the sender, the transmitter, encoding, the communication
channel, the receiver, noise, and the feedback loop.

AACSB: Analytic
Blooms: Remember
Level: Easy
30.
(p. 509)
The IMC communication process begins with ________, who must be clearly identified.
A. the integrator
B. the sender
C. the transmitter
D. the communication channel
E. the receiver
The IMC communication process includes the sender, the transmitter, encoding, the communication
channel, the receiver, noise, and the feedback loop. The sender is the first step of the process.

AACSB: Analytic
Blooms: Remember
Level: Easy
31.
(p. 509)
In the IMC communication process, the _____________________ encodes the marketing
communication message.
A. instructor
B. sender
C. transmitter
E. receiver
The transmitter converts the sender's ideas into a message, which could be verbal, visual, or both.

AACSB: Analytic
Blooms: Remember
Level: Medium
32.
(p. 509)
___________ means converting the sender's ideas into a message, which could be verbal, visual or
both.
A. Decoding
C. Precoding
D. Encoding
E. Tracking
Encoding means converting the sender's ideas into a message, which could be verbal, visual, or both.
The transmitter performs this action.

AACSB: Analytic
Blooms: Remember
Level: Easy
33.
(p. 509)
In integrated marketing communications, encoding means:
A. converting consumers' ideas into value propositions.
B. differentiating noncommercial speech from commercial speech.
C. converting the decoder into the receiver.
D. interpreting click-through rates.
E. converting the sender's ideas into a message, which could be verbal, visual or both.
The transmitter performs this action.

AACSB: Analytic
Blooms: Remember
Level: Easy
34.
(p. 509)
Often a(n) _____________________ accomplishes the task of encoding IMC messages.
A. advertising agency
B. consumer interest group
C. media channel
D. noise reduction specialist
E. viral public relations expert
This is often done by an advertising agency.

AACSB: Analytic
Blooms: Remember
Level: Medium
35.
(p. 509)
Though a picture may be worth a thousand words, the most important facet of encoding is:
A. who draws the picture.
B. the self-visualization process.
C. not what is received rather what is sent.
D. the sponsor rather than the receiver.
E. not what is sent rather what is received.
The most important facet of encoding is the message received (and decoded).

AACSB: Analytic
Blooms: Understand
Level: Hard
36.
(p. 509)
In the IMC communication process, the _____________________ is the medium that carries the
message.
A. instructor
B. sender
C. transmitter
E. receiver
The IMC message is carried on a communication channel.

AACSB: Analytic
Blooms: Remember
Level: Easy
37.
(p. 509)
Which of the following is NOT a communication channel used in the IMC process?
A. Radio
B. Television
C. Newspaper
D. Internet
E. Supply chain
All of these except the supply chain are channels used in the IMC process.

AACSB: Analytic
Blooms: Remember
Level: Medium
38.
(p. 509)
The right communication channel to use in IMC is:
A. the traditional channel used in that particular retail sector.
B. network advertising, local newspapers, and regional radio stations.
C. the one that will connect to the desired recipients.
D. the one with the best encoding capabilities.
E. the one that maximizes decoding difficulty.
There is no one right communication channel to use--it depends on the target customers who should
receive the message.

AACSB: Analytic
Blooms: Understand
Level: Hard
39.
(p. 510)
In the IMC communication process, the _____________________ is the person who reads, hears, or
sees and processes the message being communicated.
A. instructor
B. sender
C. transmitter
E. receiver
The receiver is the eventual target of the message--the person at whom it is directed.

AACSB: Analytic
Blooms: Remember
Level: Easy
40.
(p. 510)
The sender of an IMC message hopes the receiver is:
A. the people for whom the message was originally intended.
B. the people with the most buying power.
C. consumers who are capable of discerning value.
D. consumers who have purchased the firm's products in the past.
E. the market segment with the most gross rating points.
The sender cannot guarantee that the intended target customers will receive the message, but will
choose the message format and channel with the customer in mind.

AACSB: Analytic
Blooms: Understand
Level: Medium
41.
(p. 510)
_______________ refers to the process by which the receiver interprets the sender's message.
A. Decoding
C. Precoding
D. Encoding
E. Tracking
The receiver decodes the encoded message, interpreting it.

AACSB: Analytic
Blooms: Remember
Level: Easy
42.
(p. 510)
If you have ever watched a television commercial and at the end of the message wondered what were
they promoting, you may have had trouble _____________ the IMC message.
A. decoding
B. pre-testing
C. precoding
D. encoding
E. tracking
Problems decoding a message can lead the receiver to fail to interpret it properly.

AACSB: Analytic
Blooms: Understand
Level: Hard
43.
(p. 510)
Marketers spend hundreds of millions of dollars annually creating and promoting symbols, colors, and
images that make it easier for consumers to recognize the company, its brands or its products. These
efforts facilitate ________________ in the IMC process.
A. precoding
B. pre-testing
C. decoding
D. encoding
E. tracking
Symbols and images related to the brand assist the receiver in decoding an IMC message.

AACSB: Analytic
Blooms: Understand
Level: Medium
44.
(p. 510)
__________________ is any interference in the IMC process.
A. Translation
B. Looping
C. Excessive reach
D. Noise
E. Feedback
Interference in the IMC process is referred to as noise. It can be caused by competing messages, a lack
of clarity in the message, or a flaw in the medium.

AACSB: Analytic
Blooms: Remember
Level: Easy
45.
(p. 510)
In the IMC process, noise can occur as a result of lack of message clarity, a poor choice of medium,
and:
B. an extended feedback loop.
C. indirect encoding.
D. inhibited decoding.
E. excessive reach.
of clarity in the message, or a flaw in the medium.

AACSB: Analytic
Blooms: Understand
Level: Medium
46.
(p. 510)
International marketing consultants often recommend that IMC messages which have been translated
into another language be re-translated by someone else, and the results compared. By doing so, they
hope to avoid noise problems associated with:
of clarity in the message, or a flaw in the medium. In the case of a translated message, a lack of clarity
could result.

AACSB: Analytic
Blooms: Apply
Level: Hard
47.
(p. 510)
Advertising agencies often provide the IMC function of comparing their customer's target audience
with the viewer, listener, or reader profile of the communication channel being considered. The
agency is trying to avoid noise problems associated with:
of clarity in the message, or a flaw in the medium. In this case, the choice of the wrong channel can
cause most members of the target market to fail to receive the message.

AACSB: Analytic
Blooms: Apply
Level: Hard
48.
(p. 510)
National manufacturers and retailers often pay a service provider to monitor television ads around the
country, in order to ensure that their ads are seen in their entirety during the time frames that were
purchased. This service provider is monitoring for IMC noise problems associated with:
D. a flaw in the medium.
E. an extended feedback loop.
of clarity in the message, or a flaw in the medium. In this case, a failure for the ad to be shown in its
entirety is a flaw in the medium.

AACSB: Analytic
Blooms: Understand
Level: Hard
49.
(p. 510)
The ___________________ allows the receiver to communicate with the sender in the IMC
process.
A. decoding loop
B. pre-testing loop
C. precoding loop
D. encoding loop
E. feedback loop
A feedback loop permits the receiver to respond to the sender.

AACSB: Analytic
Blooms: Remember
Level: Easy
50.
(p. 510)
Most manufacturers and retailers worry constantly about whether or not their IMC efforts are paying
off. They assess various forms of _________________ to determine what is working and what is
not.
A. decoding
B. pre-testing
C. precoding
D. encoding
E. feedback
Feedback can be useful in evaluating the success of IMC programs.

AACSB: Analytic
Blooms: Understand
Level: Medium
51.
(p. 510)
Sales data, complaints, compliments, and redemption rates for coupons and rebates are types of
________________ marketers use to assess the effectiveness of their IMC efforts.
A. decoding
B. pre-testing
C. feedback
D. simulations
E. encoding
Feedback of the types suggested can be useful in evaluating the success of IMC programs.

AACSB: Analytic
Blooms: Understand
Level: Hard
52.
(p. 510)
Personal care product manufacturers know that samples are one of the few effective promotional
efforts that can be used to get consumers to switch brands. These marketers will likely use
____________________ to monitor the effectiveness of giving away samples.
A. changes in sales data
B. complaints
C. compliments
D. supply chain noise
E. click-through rates
The firm hopes that consumers will try the samples, like them, and purchase the product, so sales
trends would be the most useful form of feedback to measure the success of the sampling plan.

AACSB: Analytic
Blooms: Understand
Level: Hard
53.
(p. 510)
Loretta would like to know which, if any, of her firm's IMC efforts are working. She could use
_______________ to provide feedback from her efforts.
A. sales data
B. complaints
C. compliments
D. redemption rates for coupons or rebates
E. all of these.
All of these could be used to obtain feedback on the success of an IMC program.

AACSB: Analytic
Blooms: Apply
Level: Medium
54.
(p. 510)
Marketers often use focus groups to learn how consumers interpret their IMC messages. Experience
has shown that:
A. effective branding requires marketers to encode messages differently for each market segment.
B. each receiver decodes IMC messages in his or her own way.
C. action is taken before desire and interest are determined.
D. marketers can almost always use the same message for all audiences.
E. transmitters need to use the objective-and-task decoding system.
Each receiver decodes IMC messages differently, depending on personal experiences and preferences.

AACSB: Analytic
Blooms: Apply
Level: Hard
55.
(p. 510)
Marketers adjust their messages and media based on the type of audience (suppliers, shareholders,
customers or the general public) because:
A. different media communicate in different ways.
B. there are things you wouldn't want one group or another to know but you do want to let others
know.
C. these groups have very different attention spans.
D. some read and some don't.
E. that's the way it has always been done in marketing.
Different audiences consume different types of media; it is important to know which media your target
market is most likely to consume. In addition, messages must be adjusted based on the channel.

AACSB: Analytic
Blooms: Understand
Level: Medium
56.
(p. 510)
The sender of an integrated marketing communication:
A. must work with the advertising specialists to ensure all recipients interpret the message accurately.
B. can assess the manner in which receivers interpret the message through gross rating points.
C. has little control over what meaning any individual receiver will take from the message.
D. controls the meaning all receivers take from the message.
E. generally uses a rule-of-thumb interpretation index.
The sender cannot control the way a message is decoded. This process is entirely in the hands of the
receiver.

AACSB: Analytic
Blooms: Understand
Level: Medium
57.
(p. 511)
Though advertising experts wish it were true, there is not always a direct link between a particular
marketing communication and:
A. supply chain effectiveness.
B. enhanced decoding processes.
C. a consumer's purchase.
D. the level of noise in the IMC channel.
E. the reach/frequency ratio.
The lack of a direct link makes it difficult to measure the impact of marketing communications.

AACSB: Analytic
Blooms: Understand
Level: Medium
58.
(p. 511)
Julia is driving down Interstate 95 on her way from New England to Florida and sees a billboard
saying "South of the Border Restaurant and Motel is just 100 miles away." Julia has never heard of
South of the Border before. After seeing the sign, she will most likely:
A. reject the idea immediately.
B. increase the speed she is driving so she can get there sooner.
C. call and cancel reservations she made at another hotel.
D. keep track of the miles so she'll know how soon she will be there.
E. go through several steps before deciding whether to stop at South of the Border.
Seeing a single billboard is unlikely to spur Julia to action. A single exposure is often not enough to
move someone to take action. This is probably on reason why South of the Border places billboards
once every few miles along I-95.

AACSB: Analytic
Blooms: Apply
Level: Easy
59.
(p. 511)
Which of the following is NOT one of the steps in the AIDA model?
A. Awareness
B. Intention
C. Action
D. Desire
E. Interest
The steps in the AIDA model are Awareness, Interest, Desire, and Action.

AACSB: Analytic
Blooms: Remember
Level: Easy
60.
(p. 511)
In the AIDA model:
A. advertising leads to interest, which hopefully leads to desire and then, action.
B. awareness leads to integration, which hopefully leads to desire and then, action.
C. awareness leads to interest, which hopefully leads to desire and then, action.
D. awareness leads to interest, which hopefully leads to desire and then, attention.
E. awareness leads to interest, which hopefully leads to determination and then, action.

AACSB: Analytic
Blooms: Remember
Level: Medium
61.
(p. 510)
In the AIDA model, marketing communications move consumers stepwise:
A. through an integrated lagged effect simulation process.
B. from attention to awareness.
C. decoding to encoding.
D. through a series of mental stages.
E. all of these.
The steps in the AIDA model are Awareness, Interest, Desire, and Action. The consumer must pass
through each of these if action is to be the result.

AACSB: Analytic
Blooms: Understand
Level: Medium
62.
(p. 511)
In the AIDA model, the "think" stage is the ________________ stage.
A. Awareness
B. Action
C. Interest
D. Desire
E. Intention
The "think" stage is Awareness.

AACSB: Analytic
Blooms: Remember
Level: Easy
63.
(p. 512)
_______________ refers to a potential customer's ability to recall that the brand name is a particular
type of retailer, product or service.
A. Product familiarity
B. Brand association
C. Brand awareness
D. Marketing recall
E. Cognitive association
The first step of the AIDA model seeks to achieve brand awareness among consumers--knowledge
that the brand name is in a particular category.

AACSB: Analytic
Blooms: Understand
Level: Medium
64.
(p. 512)
Even the best marketing communication can be wasted if the sender does not first:
B. offer testimonials from past consumers.
E. stimulate interest among stealth marketing consumers.
If the consumer's attention is not gained, and brand awareness does not result, the marketing
communication cannot achieve its desired results.

AACSB: Analytic
Blooms: Remember
Level: Easy
65.
(p. 512)
Cheryl asked Nadia to help her buy some aftershave for her boyfriend. Nadia was going through a list
of different brand names, when Cheryl stopped her and said, "I recognize that one." Marketers call this
______________.
A. selective recall
B. free association
C. aided recall
D. recall mapping
E. top-of-mind awareness
Aided recall refers to consumers recognizing a brand name when they see or hear it.

AACSB: Analytic
Blooms: Apply
Level: Medium
66.
(p. 511)
In the AIDA model, the "do" stage is the ________________ stage.
A. Awareness
B. Action
C. Interest
D. Desire
E. Intentions
This is the Action stage, the final stage of the AIDA model.

AACSB: Analytic
Blooms: Remember
Level: Easy
67.
(p. 512)
An advertising agency in Los Angeles once held a contest among its employees to see who could
create the most visibility for the company. The winning team included two staff members who put on
a wet t-shirt display on an interstate overpass with television helicopter crews capturing and showing
footage on the local news. In the AIDA model, the advertising agency was attempting to create:
A. Awareness.
B. Action.
C. Interest.
D. Desire.
E. Intention.
The first stage of the AIDA model is Awareness. This was what the winning team was trying to
achieve, by obtaining free media coverage associated with the company.

AACSB: Analytic
Blooms: Apply
Level: Medium
68.
(p. 512)
The highest level of awareness occurs when customers mention a specific brand name when asked
about a product or service. Marketers call this _________________.
A. the primacy effect
B. aided recall
C. top-of-mind awareness
D. category dominance
E. elevated awareness
"Top-of-mind awareness" means that the consumer mentions the brand name first when asked about a
product.

AACSB: Analytic
Blooms: Understand
Level: Medium
Topic: The AIDA Model
69.
(p. 512)
After creating awareness that the firm's products or services exist, the next goal of integrated
marketing communications is to:
B. increase the level of interest among consumers.
E. create intentions to purchase the product.

AACSB: Analytic
Blooms: Remember
Level: Easy
70.
(p. 512)
In the movie Field of Dreams, one of the memorable phrases is "Build it, and they will come." The
AIDA model would suggest that after marketers "build" a product or service and create awareness
among consumers, they need to:
A. determine the level of desire needed to sustain action.
B. promote sufficiently to gain global attention.
C. create interest among consumers, persuading them to investigate further.
D. offer discounts to increase purchase intentions.
E. take steps to encourage immediate purchase.

AACSB: Analytic
Blooms: Apply
Level: Hard
71.
(p. 512)
Several years ago, changes in advertising restrictions allowed pharmaceutical companies to begin
promoting their products through traditional media. Today, it is hard not to see ads on television
ending with "Ask your doctor about (our medicine)." In addition to creating awareness about their
drugs, the companies are hoping to:
A. reduce deceptive advertising.
B. signal encoding symbols to simplify the feedback loop.
C. offer objective-and-task marketing communications.
D. stimulate interest, persuading consumers to investigate further.
E. promote public interest social responsibility communications.

AACSB: Analytic
Blooms: Apply
Level: Medium
72.
(p. 512)
To stimulate interest and persuade consumers to further investigate a firm's product or service,
marketing communications include:
A. facts designed to shift consumers from feeling to thinking.
B. awareness-building messages.
C. as much in-depth information as possible.
D. subliminal encoding devices.
E. information about attributes that are of particular interest to the target audience.
In order to stimulate interest, the message must include information that the target market will find
relevant.

AACSB: Analytic
Blooms: Understand
Level: Medium
73.
(p. 512)
Many retailers advertise using traditional media, suggesting that consumers learn more about the
marketer's products at their Websites. In the AIDA model, the traditional media are used to create
___________, while the Websites are used to create ___________.
A. awareness; interest
B. interest; desire
C. desire; action
D. action; awareness
E. desire; interest
The first stage of the AIDA model is to create awareness, here done through traditional media; the
second stage is to create interest, through information on the website.

AACSB: Analytic
Blooms: Apply
Level: Hard
74.
(p. 512)
If the marketing communication has captured the interest of its target market, the goal of subsequent
IMC messages should be to move the consumer from:
A. "I want it" to "I like it."
B. action to desire.
C. "I like it" to "I want it."
D. awareness to action.
E. feeling to thinking.
The Interest stage of the AIDA model is represented by "I like it"; the next stage, Desire, is
represented by "I want it."

AACSB: Analytic
Blooms: Understand
Level: Medium
75.
(p. 512)
Betty is assessing the effectiveness of her firm's marketing communications. She knows the ultimate
goal is to:
A. maximize rating points.
B. minimize marketing communication expenditures.
C. shift encoding into decoding.
D. use personal selling to augment public relations.
E. drive the receiver to action.

AACSB: Analytic
Blooms: Understand
Level: Medium
76.
(p. 512)
If marketing communications are effective, they will:
A. result in purchases by some consumers receiving the communications.
B. offset any negative publicity the firm may have received.
C. minimize the number of communication channels used by the firm.
D. generate interest in the product in over half the consumers who receive the communications.
E. include all steps of the AIDA model with equal weighting to each step.

AACSB: Analytic
Blooms: Understand
Level: Medium
77.
(p. 513)
One of the difficulties in measuring the effectiveness of IMC efforts is the ______________, where
consumers do not act immediately after receiving a marketing communication.
A. decoding decomposition effect
B. lagged effect
C. noncommittal affect
D. viral effect
E. click-through delay
If consumers responded instantly to marketing communications, measuring effectiveness would be
much easier. In addition to the lagged effect, it often takes multiple exposures before a consumer fully
processes a message.

AACSB: Analytic
Blooms: Remember
Level: Easy
78.
(p. 513)
Reaching the right audience with marketing communication is becoming more difficult because:
A. consumers are bored.
B. government regulations are constraining free speech.
C. personal selling is becoming less expensive, making it more competitive with advertising.
D. the media environment has become more complicated.
E. the AIDA model is no longer an accurate representation of how marketing communication works.

AACSB: Analytic
Blooms: Understand
Level: Easy
79.
(p. 513)
The goal of any marketing communication is to:
A. maximize sales.
B. increase public relations click-through rates.
C. overwhelm negative publicity with commercial speech.
D. replace cause-related marketing with non-cause-related marketing.
E. get the right message to the right audience through the right media.
A successful marketing communication strategy will get the right message to the right audience
through the right media.

AACSB: Analytic
Blooms: Understand
Level: Medium
80.
(p. 513-
514)
The proliferation of new media alternatives has led many firms to shift their promotional budgets
from:
A. publicity to public relations.
B. personal selling to advertising.
C. integrated marketing communications to disintegrated marketing communications.
D. stealth marketing to viral marketing.
E. advertising to direct marketing and Website development.
Marketing dollars have recently been shifted toward direct marketing, website development, and
product placement.

AACSB: Analytic
Blooms: Understand
Level: Medium
81.
(p. 513-
514)
Many marketers are shifting marketing communication resources away from advertising and
toward:
A. direct marketing.
B. website development.
C. product placement.
D. Internet advertising.
E. all of these.
Marketing dollars have recently been shifted toward direct marketing, website development, product
placement, and online advertising.

AACSB: Analytic
Blooms: Remember
Level: Medium
82.
(p. 514)
One of the benefits of media fragmentation is it has allowed IMC planners to:
A. target their desired audience more precisely.
B. reduce their promotional expenditures.
C. simplify IMC decoding.
D. reduce the lagged effect.
E. expand the use of rule-of-thumb budgeting.
The fragmentation of media has made the selection of media more difficult; however, it has also
offered the chance to target smaller, more precise audiences.

AACSB: Analytic
Blooms: Understand
Level: Medium
83.
(p. 513-
514)
With today's media fragmentation, an IMC planner wishing to promote a line of gourmet food
products would most likely use:
A. CBS network news hour.
B. Public Broadcasting's Global Travel series.
C. Nickelodeon.
D. Outdoor Life Network.
E. The Cooking Channel.
The fragmentation of media has made the selection of media more difficult; however, it has also
offered the chance to target smaller, more precise audiences. In this case, The Cooking Channel would
be a good choice.

AACSB: Analytic
Blooms: Remember
Level: Easy
84.
(p. 514)
Compared to other IMC alternatives, advertising is extremely effective for:
A. closing a sale.
B. efficient message decoding.
C. reducing the potential for noise.
D. creating awareness and generating interest in a product.
E. repositioning consumers in the AIDA model.
Advertising is best suited for creating awareness and interest. Because it is a relatively passive
medium, it does not do as well at generating desire and spurring consumers to action.

AACSB: Analytic
Blooms: Understand
Level: Medium
85.
(p. 514)
One difficulty associated with using advertising as part of a marketer's IMC efforts is:
A. breaking through the clutter of other messages targeted for the same audience.
B. that it is more expensive than personal selling.
C. that it only works when communicating to the most uninformed consumers.
D. that government regulations have significantly decreased allowable advertising frequencies.
E. all of these.
The increasing volume of advertising has made it more difficult for an ad to break through the clutter.

AACSB: Analytic
Blooms: Understand
Level: Hard
86.
(p. 514)
Integrated marketing communications include all of the following except:
A. advertising.
B. supply chain management.
C. direct marketing.
D. public relations.
E. sales promotion.
All of these except the supply chain are channels used in the IMC process.

AACSB: Analytic
Blooms: Remember
Level: Easy
87.
(p. 516)
Personal selling involves ___________________ communication between a buyer and a seller.
A. face-to-face
B. video teleconferencing
C. telephone
D. Internet
E. any of these
Personal selling involves two-way communication, which can take place using any of these media.

AACSB: Analytic
Blooms: Remember
Level: Easy
88.
(p. 516)
The difference between advertising and personal selling is personal selling involves:
A. a larger audience than advertising.
B. indirect communication while advertising involves direct communication.
C. only informational communication while advertising involves persuasive communication.
D. a two-way flow of communication between a buyer and a seller.
E. encoding while advertising involves only decoding.
Personal selling involves two-way communication, whereas advertising is a one-way communication
process.

AACSB: Analytic
Blooms: Understand
Level: Medium
89.
(p. 516)
Personal selling is an especially important part of IMC in:
A. business-to-business markets.
B. cause-related marketing.
C. event sponsorships.
D. stealth marketing.
E. Web tracking.
Business-to-business markets make especially heavy use of personal selling.

AACSB: Analytic
Blooms: Remember
Level: Easy
90.
(p. 516)
Ryan is debating how to allocate the IMC budget for his new ski equipment store. He knows having
knowledgeable salespeople in his store can simplify buyers' purchase decisions. He should also
consider that, compared to other IMC alternatives, personal selling is:
A. easy.
B. expensive.
C. ineffective.
D. overrated.
E. simple.
Although personal selling has many benefits, particularly for complex or expensive products, it can be
an expensive form of integrated marketing communication.

AACSB: Analytic
Blooms: Understand
Level: Medium
91.
(p. 516)
Sales promotions include all of the following EXCEPT:
A. coupons.
B. rebates.
C. online ads.
D. point-of-purchase displays.
E. free samples.
Online ads are a form of advertising; all the remaining items are examples of sales promotion.

AACSB: Analytic
Blooms: Remember
Level: Easy
92.
(p. 516)
Karen manages cosmetic counters in a regional department store chain. She wants to increase sales
during the summer, hoping to generate repeat business during the holiday season. Because Karen is
selling personal care products in a department store, she will most likely use __________________ as
her primary methods of sales promotion.
A. contests and sweepstakes
B. advertising and personal selling
C. public relations and publicity
D. free samples and point-of-purchase displays
E. direct marketing
Free samples and point-of-purchase displays are in-store forms of sales promotion. Although contests
and sweepstakes are also examples of sales promotion, they would probably not be as effective as
methods that take place in the store. Advertising, personal selling, public relations, publicity, and
direct marketing are not forms of sales promotion.

AACSB: Analytic
Blooms: Apply
Level: Hard
93.
(p. 516)
Compared to mass media advertising, a key advantage of direct marketing is:
A. it allows for personalization of the message.
B. it reaches a larger audience.
C. it involves face-to-face contact.
D. it uses the rule-of-thumb budgeting method.
E. all of these.
Direct marketing can be easily personalized to each individual consumer.

AACSB: Analytic
Blooms: Understand
Level: Medium
94.
(p. 516)
In recent years, the component of IMC that has received the greatest increase in spending is:
B. direct marketing.
E. publicity.
Direct marketing has received the greatest recent increase in aggregate spending.

AACSB: Analytic
Blooms: Remember
Level: Medium
95.
(p. 516)
Brenda wants to reduce mass media IMC and to increase the use of personalized marketing
communication messages. To achieve this goal, Brenda will likely increase her use of:
A. telemarketing.
B. direct mail.
C. e-mail.
D. social media.
E. all of these.
Direct marketing is the form of marketing communication that is most easily personalized.

AACSB: Analytic
Blooms: Remember
Level: Easy
96.
(p. 516)
The increased use of customer databases has enabled marketers to identify and track consumers over
time and across purchase situations, and has contributed to the rapid growth in:
B. publicity.
Direct marketing is the form of marketing communication that is most easily personalized through the
use of customer databases.

AACSB: Analytic
Blooms: Understand
Level: Medium
97.
(p. 516)
A major factor contributing to the growth in the use of direct marketing IMC efforts is:
A. reduced government regulation of deceptive advertising practices.
B. expanded use of personal selling.
C. a shift from objective-and-task to rule-of-thumb budgeting.
D. increased use of credit and debit cards, and online shopping by consumers.
E. the reduction in IMC noise allowing for a decreased lagged effect.
Direct marketing is the form of marketing communication that is most easily personalized through
the use of customer databases. The growth of these databases has been stimulated by increased use of
credit cards and increased online shopping.

AACSB: Analytic
Blooms: Understand
Level: Hard
98.
(p. 516)
When purchasing books on Amazon.com, customers are shown other books and a message
saying "Customers who purchased (your book) also purchased.........." This is an example of:
A. mass media advertising.
B. publicity.
This kind of personalization is a form of direct marketing.

AACSB: Analytic
Blooms: Apply
Level: Medium
99.
(p. 519-
520)
Elliott was asked to take a look at the company's website. He noted that customers can order products
on the site, but he felt it would also be important to:
A. build the brand image of the firm's products.
B. encourage customers to post product reviews.
C. improve the overall image of the company.
D. educate customers on how to use the products to their full advantage.
E. All of these.
All of these are worthwhile features for a company website.

AACSB: Analytic
Blooms: Apply
Level: Medium
100.
(p. 516)
Public relations is the component of IMC that:
A. supports other promotional efforts by generating "free" media attention.
B. has received the greatest increase in spending.
C. converts mass media advertising into direct marketing.
D. most effectively uses IMC encoding.
E. generates the most gross rating points.
Public relations manages the firm's communications to achieve a variety of objectives, including
building and maintaining a positive image and maintaining positive relationships with the media. As
such, it strives to generate "free" attention from the media to support the rest of the IMC strategy.

AACSB: Analytic
Blooms: Remember
Level: Easy
101.
(p. 516)
Marketers use public relations to:
A. build a positive image in the marketplace.
B. maintain media relations.
C. address unfavorable stories or events.
D. generate "free" media attention.
E. all of these.
Public relations manages the firm's communications to achieve a variety of objectives, including
building and maintaining a positive image and maintaining positive relationships with the media. As
such, it strives to generate "free" attention from the media to support the rest of the IMC strategy.

AACSB: Analytic
Blooms: Remember
Level: Easy
102.
(p. 520)
Marketers use corporate blogs to:
A. create positive word of mouth.
B. build customer loyalty.
C. gather feedback.
D. respond directly to customers.
E. all of these.
A blog contains periodic posts on a common web page. It can be used for all of the purposes listed, as
a way to communicate with customers.

AACSB: Analytic
Blooms: Remember
Level: Easy
103.
(p. 520)
A _________________ can be used to create positive word of mouth, help customers form a
community, and develop long-term relationships between customers and the company.
A. corporate blog
B. faxed newsletter
C. Super Bowl ad
D. full-page ad in selected newspapers
E. public relations campaign
A blog contains periodic posts on a common web page. It can be used for all of the purposes listed, as
a way to communicate with customers.

AACSB: Analytic
Blooms: Understand
Level: Medium
Topic: An Integrated Marketing Communication Strategy
104.
(p. 521-
522)
Firms can use _____________ to bring customers together to share experiences around the
products.
A. surveys
B. social media
C. consumer outlets
D. brand associations
E. public relations
Social media is media content distributed through social interaction--for example, Youtube, Facebook,
and Twitter. Firms can use these sites to engage their customers in a proactive dialogue with other
customers.

AACSB: Analytic
Blooms: Remember
Level: Easy
105.
(p. 524)
The goals of IMC need to:
A. expand as the advertising budget expands.
B. be explicit and measurable.
C. be encoded before they can be decoded.
D. include both the noise effect and the transmitter effect.
E. all of these.
All IMC goals should be explicitly defined and measured so that success can be evaluated.

AACSB: Analytic
Blooms: Understand
Level: Medium
106.
(p. 524)
Naomi is IMC manager for a chain of regional income tax service providers. Franchisees pay a
percentage of their revenue to an IMC account allocated to her. As she establishes the short-term
goals for her firm's IMC efforts, her goals are likely to include:
Typical short-term IMC goals include generating inquiries, increasing awareness, and prompting trial
of the firm's products.

AACSB: Analytic
Blooms: Apply
Level: Hard
107.
(p. 524)
Lamar is assessing the long-term effectiveness of his firm's IMC efforts. He will probably analyze the
firm's success in:
Typical long-term IMC goals include increasing sales, market share, and customer loyalty.

AACSB: Analytic
Blooms: Apply
Level: Hard
108.
(p. 524)
Julie is developing a budget for her firm's IMC program. First she sets objectives. Then she chooses
media, and finally she determines the cost for each product to be promoted. Julie is using the
___________________ method of establishing an IMC budget.
B. track and decode
D. rule-of-thumb
E. sender-receiver
The objective-and-task method determines the budget required to undertake specific tasks to
accomplish communication objectives.

AACSB: Analytic
Blooms: Apply
Level: Medium
109.
(p. 524)
Competitive parity, percentage-of-sales, and available budget are types of
________________________ IMC budgeting.
B. track and decode
D. rule-of-thumb
E. sender-receiver
Rule-of-thumb methods such as the ones listed use prior sales and communication activities to
determine the present communication budget.

AACSB: Analytic
Blooms: Understand
Level: Medium
110.
(p. 525)
Yolanda asked her firm's advertising agency to estimate how often consumers saw her firm's IMC
message and what percentage of the target audience was exposed to the message. Yolanda is asking
for _____________________ data.
A. parity and affordability
B. sales and promotion
C. attitude change
D. rule-of-thumb
E. frequency and reach
Frequency refers to the number of times the audience was exposed to a message, and reach refers to
the percentage of the target population exposed to the message.

AACSB: Analytic
Blooms: Apply
Level: Medium
111.
(p. 525)
When Yolanda asked her firm's advertising agency to estimate how often consumers saw her firm's
IMC message and what percentage of the target audience was exposed to the message, she was told
the reach was 40, the frequency was 4 and the competitive parity was 10. The gross rating points for
her firm's campaign were:
A. 160
B. 1600
C. 400
D. 40
E. The answer cannot be determined from this information.
Gross rating points (GRP) are computed by multiplying reach by frequency. Thus, in this case, GRP =
40 x 4 = 160.

AACSB: Analytic
Blooms: Apply
Level: Hard
112.
(p. 525)
Ramon is starting his own plumbing supply store featuring designer and restoration hardware. As in
any start-up, he will have to watch expenditures carefully. He knows he will have to pursue a number
of different communications approaches, but he is not sure how to measure the effectiveness of the
effort. What advice would you give him?
A. The lagged effect means it will be difficult to measure precisely the effect of any single initiative.
B.

Marketing communication is cumulative; it will take a number of impressions for the message to
connect with the customer.
C. Each step in the process can be measured.
D. If he decides to cut out some expenditures, it will take a while for that effect to show up.
E. All of these are important for Ramon to consider.
All of these are important considerations.

AACSB: Analytic
Blooms: Apply
Level: Hard
113.
(p. 527)
To estimate reach in terms of electronic media, marketers can use the click-through rate (CTR). To do
so, they need to know the number of clicks and:
A. the number of destinations.
B. the number of impressions.
C. the cost per click.
D. how much time consumers spend viewing the ad or page.
E. the total number of clicks recorded by the industry.
The click-through rate is computed by dividing the number of clicks by the number of impressions.

AACSB: Analytic
Blooms: Understand
Level: Medium
114.
(p. 527)
Jim was asked to determine the ROI for a particular advertising effort. To do so, he needs to
know:
A. the internal rate of return and the projected expenditure level.
B. the total number of units sold and the total cost of sales.
C. sales revenue and advertising cost.
D. gross margin and advertising cost.
E. the advertising cost and the total communications expenditures.
The ROI is calculated using sales revenue and advertising cost.

AACSB: Analytic
Blooms: Apply
Level: Medium
115.
(p. 524)
If a company sets the communication budget so that the firm's share of communication expenses
equals its share of the market, what IMC budgeting method is it using?
C. Available budget
E. None of these
Competitive parity is used when the company wants to maintain a communication budget equal to that
of its competitors.

AACSB: Analytic
Blooms: Remember
Level: Medium
116.
(p. 524)
Budgeting for marketing expenses by using money available after operating costs and profits have
been budgeted is known as the ________ method.
A. available budget
B. competitive parity
C. percentage of sales
D. objective and task
E. none of these.
In the available budget method, the communication budget is the money available after operating costs
and profits have been budgeted.

AACSB: Analytic
Blooms: Remember
Level: Medium
117.
(p. 525)
An ad for Bud Light ran six times during a recently televised football game. When measuring IMC
results for this ad, six would be the _____ for this telecast.
A. frequency
B. reach
C. gross rating points
D. ROI
E. click-through rate
Frequency is the number of times the audience is exposed to a communication within a specified
period of time.

AACSB: Analytic
Blooms: Understand
Level: Hard
118.
(p. 512)
Sally could recall the brand of toothpaste she used only when a marketing researcher mentioned the
brand. This is known as:
A. aided recall.
B. unaided recall.
C. top-of-mind awareness.
D. brand preference.
E. brand indifference.
Aided recall is when consumers recognize the brand when the name is presented to them.

AACSB: Analytic
Blooms: Understand
Level: Hard
119.
(p. 527)
If you send an email and include a link, you can track how many people took the desired action of
clicking on the link. This is known as:
A. the click through rate.
B. impressions.
C. frequency.
D. gross rating points.
E. reach.
The click-through rate is the number of times users click on an ad divided by the number of
impressions.

AACSB: Analytic
Blooms: Understand
Level: Hard
120.
(p. 517)
Which of the following is being used by a store owner who sends out a text message to all of her
preferred customers announcing the arrival of this season's new clothing?
A. Mobile marketing
B. Public relations
C. Personal selling
D. Sales promotions
E. None of these
Mobile marketing sends messages through wireless handheld devices, such as cellular telephones.

AACSB: Analytic
Blooms: Understand
Level: Hard
121.
(p. 517)
The Salvation Army runs a campaign over the Christmas holidays called the Mobile Bell Ringer.
Volunteers send text messages to their friends' cell phones asking them to donate. Which type of
marketing communication does this represent?
A. Mobile marketing
B. Public relations
C. Personal selling
D. Sales promotions
E. Advertising
Mobile marketing sends messages through wireless handheld devices, such as cellular telephones.

AACSB: Analytic
Blooms: Understand
Level: Hard
122.
(p. 524)
Which of the following is not a rule-of-thumb method for IMC budgeting?
C. Available budget
E. All of these are rule-of-thumb methods.
Rule of thumb methods include competitive parity, percentage of sales, and available budget.

AACSB: Analytic
Blooms: Remember
Level: Medium
123.
(p. 516)
Red Bull sends out student brand managers to distribute free samples to their peers. What form of
marketing communication is this?
A. Sales promotion
B. Direct marketing
C. Public relations
D. Mobile marketing
E. Advertising
Free samples are a form of sales promotion.

AACSB: Analytic
Blooms: Understand
Level: Medium
124.
(p. 507-
508,
Opening
vignette)
The opening vignette describes KFC's activities associated with introduction of its "fiery" chicken
wings. What could have gone wrong, had the firm not used IMC?
Each element of the IMC strategy must have a well-defined purpose and must support the message
delivered by the other elements. Students might select a number of potential problems, like using more
feminine colors or other examples that don't support the primary purpose and message.

AACSB: Analytic
Blooms: Apply
Level: Medium
125.
(p. 510)
What is noise in the communication process? What are the three typical sources of noise? Provide an
example of noise you have experienced or observed.
Noise is any interference in the communication process. It typically stems from competing messages,
a lack of clarity in the message, or a flaw in the medium. Examples will vary but one classic one is a
billboard along a fast-moving highway with too much information.

AACSB: Analytic
Blooms: Understand
Level: Hard
126.
(p. 513)
There is an old advertising adage, "I know I'm wasting half of my advertising budget. I just don't
know which half." What is the lagged effect? How does it contribute to the dilemma of attempting to
determine which advertising has an impact and which doesn't?
The lagged effect is the delayed response to an IMC campaign. Marketers want to see results
from their IMC efforts but, often consumers do not immediately act in response to marketing
communications messages. This makes it difficult to determine which IMC messages generated
results.

AACSB: Analytic
Blooms: Apply
Level: Hard
127.
(p. 513)
Provide an example of a firm delivering the right message to the right audience through the right
media.
Answers will vary but should focus on communicating a message that creates awareness, interest, or
desire to a target audience through a medium that will reach the target audience. Instructors may want
to narrow the question by using a specific firm.

AACSB: Analytic
Blooms: Understand
Level: Hard
128.
(p. 516)
Kim and David's Kayak Tours offers a variety of coastal kayaking trips. When they started their
business, they experimented with advertising but were disappointed with the results. A friend has
suggested using sales promotions instead. What are their sales promotion options? Which would have
the best potential for success, and why?
Sales promotions include coupons, contests, rebates, point-of-purchase displays, and free samples.
Since they offer a service that probably attracts both one-time and repeat business, contests or rebates
do not seem appropriate. Coupons displayed in local hotels and B&Bs could work to attract visitors.
Free samples or complimentary trips to workers in restaurants, resort communities, or hotels could
create word of mouth referrals.

AACSB: Analytic
Blooms: Apply
Level: Hard
129.
(p. 516-
517)
How have changes in the way consumers purchase goods and services contributed to the growth in the
use of direct marketing IMC efforts?
As consumers increased their use of credit and debit cards, and online shopping, it provided marketers
with a wealth of information about individual consumers, facilitating direct marketing efforts.

AACSB: Analytic
Blooms: Apply
Level: Hard
130.
(p. 516-
517)
How can direct marketing create a win-win situation for customers and the firm?
Students should demonstrate a basic understanding of direct marketing in the responses. They should
discuss how customers can have their needs met. Firms can gather data about needs and wants,
purchase intentions, and levels of satisfaction, which will help in turn lead to the creation of goods and
services that consumer will value more highly.

AACSB: Analytic
Blooms: Understand
Level: Medium
131.
(p. 520)
One of the newest IMC efforts is the use of corporate blogs. Why do businesses use them?
Corporate blogs can be used to create positive word of mouth, build customer loyalty, gather
feedback, and respond directly to customers.

AACSB: Analytic
Blooms: Understand
Level: Medium
132.
(p. 524)
Most small retail businesses use rule-of-thumb IMC budgeting methods. What methods are they likely
to use and what are the limitations associated with each method?
The three rule-of-thumb methods are competitive parity, percentage-of-sales, and available budget.
Competitive parity involves matching communication expenses with the firm's share of the market. It
does not allow firms to exploit opportunities and will likely result in each firm maintaining its share of
the market. Percentage-of-sales budgets IMC as a percentage of forecasted sales. This ignores changes
in the marketing mix, particularly the introduction of new products or product lines that usually
require added spending to create awareness. The available budget method sets the IMC budget as the
money available after operating costs and profits have been budgeted. It includes communications
expenses as an afterthought and assumes that communication expenses do not stimulate sales or profit.

AACSB: Analytic
Blooms: Understand
Level: Medium
133.
(p. 524-
525)
Monica is launching a personal shopping and messenger service. She has a pretty good idea of what
her expenses will be, and she has some conservative but solid revenue projections. She has no idea,
though, how to budget communications expenses. She is asking a number of her friends for their
ideas. What approaches would you recommend?
Monica could perhaps use an objective-and-task approach if she has relatively clear communications
objectives. She also could use comparative parity and percentage-of-sales if she has a reasonable good
handle on what her competitors do and what her sales might be. Given that this is a new business, she
might want to give serious consideration to the simple available budget approach.

AACSB: Analytic
Blooms: Apply
Level: Hard
134.
(p. 525)
Why should a marketer try to measure the success of a communications effort?
Students should anticipate issues about allocations to more effective areas, concern for scarce
resources, improving effectiveness and efficiency, and determining which areas should be considered
for additional investments. Without some way to compare the expenditures and results, it would be
impossible to evaluate efforts and outcomes.

AACSB: Analytic
Blooms: Apply
Level: Medium
135.
(p. 508)
What parts of an organization are involved in integrating marketing communications?
All parts of the organization are involved in communication, including advertising, personal selling,
sales promotion, public relations, direct marketing, and electronic media.

AACSB: Analytic
Blooms: Remember
Level: Easy
136.
(p. 510)
How can noise disrupt the IMC process?
Noise typically stems from competing messages, a lack of clarity in the message, or a flaw in the
medium.

AACSB: Analytic
Blooms: Remember
Level: Medium
137.
(p. 511)
What are the four mental stages in the AIDA model?
Awareness, interest, desire, and action.

AACSB: Analytic
Blooms: Remember
Level: Easy
138.
(p. 511)
What is the other name for the AIDA model?
Think, feel, do.

AACSB: Analytic
Blooms: Remember
Level: Easy
139.
(p. 512)
Darrell saw a review of the new Love CD produced in collaboration with Cirque du Soleil, and has
decided he has to have it. At what stage in the AIDA model is Darrell?
He is in the desire stage.

AACSB: Analytic
Blooms: Remember
Level: Medium
140.
(p. 514-
516)
How is advertising different from publicity?
Advertising is a paid form of communication from an identifiable source, designed to persuade the
receiver to take action. Publicity is free, does not necessarily identify the source, and is not necessarily
designed to persuade receivers to take action.

AACSB: Analytic
Blooms: Understand
Level: Hard
141.
(p. 516)
What types of sales promotions would a marketer consider if the goal is to build short-term sales?
To generate short-term sales, marketers typically use coupons, point-of-purchase displays, or free
samples.

AACSB: Analytic
Blooms: Remember
Level: Medium
142.
(p. 516)
What is the major advantage of direct marketing over advertising?
Direct marketing allows for personalization of the message transmitted to consumers.

AACSB: Analytic
Blooms: Remember
Level: Easy
143.
(p. 524)
A media rep from the local radio station comes into your retail store and suggests running a series of
advertisements. She says, "Let's do it and see what happens." What problems can you anticipate with
this as the suggested goal?
IMC goals should be explicit and measurable. "Let's do it and see what happens" does not create an
explicit goal and therefore it will be difficult to measure the success or failure of the campaign.

AACSB: Analytic
Blooms: Apply
Level: Hard
144.
(p. 524)
Julie is developing a budget for her firm's IMC program. First, she decides what she wants to
accomplish. Then she chooses media, and finally she determines the cost for each product to be
promoted. What type of IMC budgeting process is Julie using?
She is using an objective-and-task method.

AACSB: Analytic
Blooms: Understand
Level: Medium
145.
(p. 525)
Tom asks you how to measure gross rating points and how to compare results from various media.
How would you respond?
Gross rating points are calculated by multiplying the reach (the percentage of the target population
exposed to the message) by the frequency, which is how often the audience is exposed to the message.
GRP can be measured for print, radio, or television, but should not be compared across media.

AACSB: Analytic
Blooms: Understand
Level: Hard
146.
(p. 511-
513)
List the steps in the AIDA model and explain why each step is important to marketers.
Awareness--in this step, marketers are looking to gain brand awareness and top of mind awareness to
ensure that a consumer will think of a specific brand name first when they are asked about a product
or a service.
Interest--in this step, marketers try to convince consumers that the product is worth investigating.
They do so by ensuring that the ad's message includes attributes that are of interest to the target
audience.
Desire--marketers want consumers to move from "I like it" to "I want it." They do this by emphasizing
product benefits and encouraging consumers to demand access to the product or service.
Action--the ultimate goal for marketers is to have consumers search for the product and make a
purchase.

AACSB: Analytic
Blooms: Analyze
Level: Hard
147.
(p. 527)
If sales revenue for Becky Balloon's was $35 a day and the advertising cost was $10, what would be
the return on investment?
ROI = Sales Revenue - Advertising cost/ Advertising cost = (35-10)/10 = 2.5 = 250%
The return would be 250%.

AACSB: Analytic
Blooms: Analyze
Level: Hard
148.
(p. 525)
If you were advertising your company's watches in Vogue magazine and you had 5 ads in the
magazine, how would you calculate your gross rating points (GRP)?
The GRP is equal to reach times frequency. If you were to have 5 ads in Vogue, you would multiply
the reach by five to get GRP.

AACSB: Analytic
Blooms: Analyze
Level: Hard
149.
(p. 526)
Explain how a company can use search engine marketing.
A company can use Google AdWords, a search engine marketing tool offered by Google that allows
advertisers to show up in Sponsored Links section of the search results page based on the keywords
potential customer use. The company must determine the best keywords to use for the advertising
program.

AACSB: Analytic
Blooms: Analyze
Level: Hard
17 Summary
Category # of Questions
AACSB: Analytic 149
Blooms: Analyze 4
Blooms: Apply 27
Blooms: Remember 53
Blooms: Understand 65
Grewal - Chapter 17 149
Learning Objective: 17-01 Identify the components of the communication process. 45
Learning Objective: 17-02 Explain the four steps in the AIDA model. 33
Learning Objective: 17-03 Describe the various integrative communication channels. 43
Learning Objective: 17-04 Explain the various ways used to allocate the IMC budget. 14
Learning Objective: 17-
05 Identify marketing metrics used to measure integrated marketing communications (IMC) success.
14
Level: Easy 39
Level: Hard 38
Level: Medium 72
Topic: An Integrated Marketing Communication Strategy 1
Topic: Communicating with Consumers 64
Topic: Elements of an Integrated Marketing Communication Strategy 43
Topic: Integrated Marketing Communications 11
Topic: Planning For and Measuring IMC Success 29
Topic: The AIDA Model 1

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