Chapter 16 ADVERTISING, SALES PROMOTION, AND PUBLIC RELATIONS Test Item TableMajor Section of the Chapter Level 1: Definition (Knows Basic Terms & Facts) Whats the Future of Advertising? The Answer is Personal! (pp. 343-344) Types of Advertisements (pp. 344-345) Developing the Advertising Program (pp. 345-352) Executing the Advertising Program (pp. 352-353) Evaluating the Advertising Program (pp. 353-354) Sales Promotion (pp. 354-359) Level of Learning Level 2: Conceptual (Understands Concepts & Principles) 1, 2 Level 3: Application (Applies Principles)

3, 4, 5, 7, 12, 13, 14, 18, 23, 24, 25, 27, 32, 35, 36 45, 49, 52, 56, 58, 59, 61, 63, 64, 69, 79, 82, 86, 87, 88, 89, 91, 92, 94, 171 98, 105, 107, 108, 174 109, 113, 114

8, 10, 15, 16, 20, 22, 26, 28, 38, 168, 169 39, 40, 41, 42, 43, 44, 48, 50, 53, 55, 57, 62, 68, 70, 71, 72, 74, 75, 76, 77, 78, 80, 81, 83, 85, 170, 172 97, 99, 100, 101, 102, 103, 104, 173, 176, 177 110, 111, 112, 116, 117, 118, 119 124, 126, 127, 129, 133, 140, 141, 143, 152, 159, 179, 180

6, 9, 11, 17, 19, 21, 29, 30, 31, 33, 34, 37 46, 47, 51, 54, 60, 65, 66, 67, 73, 84, 90, 93, 95, 96 106, 175

115, 178

120, 121, 134, 137, 145, 148, 150, 151, 153, 154, 155, 156, 182, 183, 184 160, 162, 164, 165, 185

122, 123, 125, 128, 130, 131, 132, 135, 136, 138, 139, 142, 144, 146, 147, 149, 157, 158, 181 161, 163

Public Relations (pp. 359) Video Case: Fallon Worldwide (pp. 361-363)

166, 167

Note: Bold numbers indicate short essay questions.

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CHAPTER 16 ADVERTISING, SALES PROMOTION, AND PUBLIC RELATIONS MULTIPLE CHOICE QUESTIONS 16-1 CHAPTER OPENING EXAMPLE: ADVERTISING CONCEPTUAL

__________ uses a patented computer system that digitally inserts ads into sporting events and other broadcastnot as a 15- or 30-second commercialbut as a visual part of the program. a. b. c. d. e. Media convergence Interstitials The digital divide Virtual advertising Interactive television

Answer: d Page: 343 Rationale: Virtual advertising inserts ads as a visual part of sporting event programming. On ESPNs coverage of baseball games, for example, television viewers see ads that appear to be on the backstop behind home plate that are invisible to fans at the game. 16-2 CHAPTER OPENING EXAMPLE: ADVERTISING Personal video recorders (PVRs): a. b. c. d. e. enable viewers to basically program their own personal network. are in the prototype stage of market development and may never make it to market due to copyright issues. cannot be used as one-to-one marketing tools. use video created by the PVR owner and digitally intersperses it with television broadcasts. are accurately described by all of the above. CONCEPTUAL

Answer: a Page: 343 Rationale: TiVo is an example of a PVR. Soon advertisers will be able to insert ads into PVRs that are specific to the viewer of that television. 16-3 ADVERTISING DEFINITION

__________ is any paid form of nonpersonal communication about an organization, good, service, or idea by an identified sponsor. a. b. c. d. e. Publicity Sales promotion Advertising Personal selling Direct marketing Page: 344

Answer: c

Rationale: Key term definitionadvertising

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16-4 PRODUCT ADVERTISEMENTS

DEFINITION

Product advertisements focus on selling a good or service and take three major forms. They are: a. b. c. d. e. introductory, comparative, and reminder. pioneering, competitive, and reminder. institutional, competitive, and reminder. introductory, competitive, and reminder. pioneering, comparative, and reminder.

Answer: b Page: 344 Other Location: web Rationale: Key term definitionproduct advertisements 16-5 PRODUCT ADVERTISEMENTS Product advertisements focus on: a. b. c. d. e. obtaining inquiries. selling a good or service. advocating a political position. persuading opinion leaders. raising money for a worthy cause. DEFINITION

Answer: b Page: 344 Rationale: Key term definitionproduct advertisements 16-6 PRODUCT ADVERTISING APPLICATION

An advertisement in the North American Hunter magazine shows the Chevrolet S-Series pickup. The ad headline proclaims, "Just Thought We'd Reinvent the Wheel. Starting With the Door." The advertisement emphasizes the truck's newest feature, a third door designed to let passengers enter the extended cab more easily. The ad copy states that the new Chevy truck is the only compact pickup to offer a third door. The advertisement is an example of a(n) __________ advertisement. a. b. c. d. e. reminder product reminder institutional informational product informational institutional creative institutional

Answer: c Page: 344 Other Location: web Rationale: Advertisements can take either of two primary forms: product or institutional. Product ads focus on selling a specific good or service while institutional ads primary purpose is to build goodwill or to create or maintain an image for an organization. The ad described in the question is a product ad, designed to inform consumers of the newest features of a specific product.

16-7 PIONEERING ADVERTISING The primary purpose of a pioneering advertisement is to: a. b. c. d. e.

DEFINITION

promote a specific brand's features and benefits. inform the target market show one brand's strengths relative to those of competitors. reinforce previous knowledge of a product. build goodwill or an image for an organization rather than promote a specific good or service.

Answer: b Page: 344 Rationale: Text term definitionpioneering advertisement 16-8 PIONEERING ADVERTISING CONCEPTUAL

Pioneering advertisements would most likely be used during which stage of a product's life cycle? a. b. c. d. e. introduction decline maturity harvesting growth

Answer: a Page: 344 Rationale: Pioneering advertisements are used in the introductory stage of the product life cycle to tell people what the product is, what the product can do, and where the product can be found. The key objective of the pioneering ad is to inform the target market. Informative ads have been found to be interesting, convincing, and effective. 16-9 PIONEERING ADVERTISING APPLICATION

Yamaha Corp. has developed a new device that reduces the volume of trumpets by more than 30 decibelsto the level of a whisper. A microphone picks up the sound, feeds it to an amplifier, and then to headphones that allow the musician to hear the music at a normal volume. What form of product advertising is the company likely to use? a. b. c. d. e. reminder competitive pioneering institutional objective

Answer: c Page: 344 Rationale: Pioneering advertisements are used in the introductory stage of the product life cycle to tell people what the product is, what the product can do, and where the product can be found. The key objective of the pioneering ad is to inform the target market. Informative ads have been found to be interesting, convincing, and effective. Yamahas device is new and thus in the introductory stage of the product life cycle. Pioneering advertising should be used to tell the target market how the device works and where it can be found.

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16-10 PIONEERING ADVERTISEMENT The key objective of a pioneering ad is to: a. b. c. d. e. inform the target market. identify the target market. change the target market. reinforce previous knowledge. state the position of the advertiser on an issue.

CONCEPTUAL

Answer: a Page: 344 Rationale: Pioneering advertisements are used in the introductory stage of the product life cycle to tell people what the product is, what the product can do, and where the product can be found. The key objective of the pioneering ad is to inform the target market. Informative ads have been found to be interesting, convincing, and effective. 16-11 PIONEERING ADVERTISEMENT APPLICATION

TransWave International is a small company that has developed a system that uses the Web and patented electronic sensors as an early-warning device for pipeline leaks. Pipeline safety is becoming a big issue in the U.S. as more natural gas lines are being laid near population centers. The timing is right for this company to be extremely successful, but it must use __________ advertising so oil companies will know of the product's existence. a. b. c. d. e. reminder competitive pioneering institutional objective

Answer: c Page: 344 Rationale: Pioneering advertisements are used in the introductory stage of the product life cycle to tell people what the product is, what the product can do, and where the product can be found. The key objective of the pioneering ad is to inform the target market. Informative ads have been found to be interesting, convincing, and effective. TransWaves device is new and thus in the introductory stage of the product life cycle. Pioneering advertising should be used to tell the target market how the device works and where it can be found. 16-12 COMPETITIVE ADVERTISING The primary purpose of a competitive advertisement is to: a. b. c. d. e. inform the target market. tell people what a product is, what it can do, and where it can be found. persuade the target market to select the firms brand rather than that of a competitor. reinforce previous knowledge of a product. promote the advantages of one product class over another. DEFINITION

Answer: c Page: 344 Rationale: Text term definitioncompetitive advertising

16-13 COMPETITIVE ADVERTISING __________ advertising promotes a specific brand's features and benefits. a. b. c. d. e. Institutional Hierarchical Pioneering Competitive Reminder

DEFINITION

Answer: d Page: 344 Rationale: Text term definitioncompetitive advertising 16-14 COMPARATIVE ADVERTISING DEFINITION

__________ advertisements are competitive advertisements that show one brands strengths relative to those of competitors. a. b. c. d. e. Advocacy Competitive institutional Reminder Comparative Differentiation

Answer: d Page: 344 Rationale: An increasingly common form of competitive advertising is comparative advertising, which shows one brand's strengths relative to those of the competitors. Studies indicate that comparative ads attract more attention and increase the perceived quality of the advertisers brand. Firms that use comparative advertising need market research to support claims made in the ads. 16-15 COMPETITIVE ADVERTISING Competitive product and brand advertising is typically used to: a. b. c. d. e. inform the target market. identify the target market. persuade the target market. reinforce previous knowledge. state the position of the advertiser on an issue. CONCEPTUAL

Answer: c Page: 344 Rationale: Advertising that promotes a specific brands features and benefits is competitive. The objective of these messages is to persuade the target market to select the firms brand rather than that of a competitor.

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16-16 COMPARATIVE ADVERTISING Which of the following statements about comparative advertising is true? a. b. c. d. e.

CONCEPTUAL

Comparative advertisements now constitute over two-thirds of all television ads. Comparative advertisements attract less consumer attention to the advertiser's brand. Comparative advertisements increase the perceived quality of the advertiser's brand. Comparative advertisements have been banned by the Federal Trade Commission. All of the above statements about comparative advertising are true.

Answer: c Page: 344 Rationale: An increasingly common form of competitive advertising is comparative advertising, which shows one brand's strengths relative to those of the competitors. Studies indicate that comparative ads attract more attention and increase the perceived quality of the advertisers brand. Firms that use comparative advertising need market research to support claims made in the ads. 16-17 COMPARATIVE ADVERTISING APPLICATION

An ad for Citrucel fiber supplement claimed that in a blind taste test consumers preferred the taste of Citrucel to Metamucil 2 to 1. This is ad is an example of __________ advertising. a. b. c. d. e. reinforcement comparative persuasive informative reminder

Answer: b Page: 344 Rationale: An increasingly common form of competitive advertising is comparative advertising, which shows one brand's strengths relative to those of the competitors. Studies indicate that comparative ads attract more attention and increase the perceived quality of the advertisers brand. Firms that use comparative advertising need market research to support claims made in the ads. 16-18 REMINDER ADVERTISING The purpose of a reminder advertisement is to: a. b. c. d. e. promote a specific brand's features and benefits. tell people what a product is, what it can do, and where it can be found. state the position of a company on an issue. reinforce previous knowledge of a product. promote the advantages of one product class over another. DEFINITION

Answer: d Page: 344 Rationale: Text term definitionreminder

16-19 REMINDER ADVERTISING

APPLICATION

An ad for Campbell's soup reads, We haven't changed that great taste your family's always loved. This is an example of __________ advertising. a. b. c. d. e. advocacy comparative persuasive informative reminder

Answer: e Page: 344 Rationale: Reminder advertising is used to reinforce previous knowledge of a product. Reminder advertising is good for products that have achieved a well-recognized position and are in the mature phase of their product life cycle. In this case, Campbells is a well-known, established brand in the mature phase of the product life cycle. Consumers just need to be reminded to purchase the brand. 16-20 REMINDER ADVERTISING CONCEPTUAL

Reminder advertisements are especially effective for products in which stage of the product life cycle? a. b. c. d. e. introduction maturity harvesting growth incubation

Answer: b Page: 344 Other Location: web Rationale: Reminder advertising is used to reinforce previous knowledge of a product. Reminder advertising is good for products that have achieved a well-recognized position and are in the mature phase of their product life cycle.

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16-21 REMINDER ADVERTISING

APPLICATION

When Godiva Chocolates runs a magazine ad with the headline "Spend Your Birthday With The Ones You Love," it has created __________ advertising. a. b. c. d. e. parity direct sales pioneering comparative reminder

Answer: e Page: 344 Rationale: Reminder advertising is used to reinforce previous knowledge of a product. Reminder advertising is good for products that have achieved a well-recognized position and are in the mature phase of their product life cycle. The Godiva ad mentioned is an example of "reminder" advertising since Godiva is a well known brand in the mature stage of the product life cycle. Consumers just need to be reminded to purchase the product. 16-22 REMINDER ADVERTISEMENT Reminder product and brand advertising is typically used to: a. b. c. d. e. inform the target market. state the position of the advertiser on an issue. persuade the target market. identify the target market. reinforce previous knowledge. CONCEPTUAL

Answer: e Page: 344 Other Location: web Rationale: Reminder advertising is used to reinforce previous knowledge of a product. Reminder advertising is good for products that have achieved a well-recognized position and are in the mature phase of their product life cycle. 16-23 REINFORCEMENT ADVERTISING Reinforcement ads are reminder ads that: a. b. c. d. e. repeat the original theme in a slightly varied form to help avoid burnout. repeat ad campaigns that have been used before in order to remind customers of past loyalty. reassure consumers they have made the correct choice in choosing the product. reaffirm a company's position on an issue of importance or interest. reassure the company it has made the right choice in advertising the product. DEFINITION

Answer: c Page: 345 Rationale: Text term definitionreinforcement advertising

16-24 INSTITUTIONAL ADVERTISEMENTS

DEFINITION

Advertisements whose objective is to build goodwill or an image for an organization rather than promote a specific good or service are called: a. b. c. d. e. product advertisements. public service announcements. institutional advertisements. reminder advertisements. repositioning advertisements.

Answer: c Page: 345 Rationale: Key term definitioninstitutional advertisements 16-25 INSTITUTIONAL ADVERTISEMENTS DEFINITION

The objective of institutional advertisements is to __________, rather than promote a specific good or service. a. b. c. d. e. support worthy charities increase frequency of purchases of new products increase the total amount of products used build goodwill or an image for an organization make direct sales

Answer: d Page: 345 Rationale: Key term definitioninstitutional advertisements 16-26 INSTITUTIONAL ADVERTISEMENTS CONCEPTUAL

Institutional advertisements can take all of the following alternative forms EXCEPT: a. b. c. d. e. reminder institutional ads. competitive institutional ads. pioneering institutional ads. product institutional ads. advocacy ads.

Answer: d Page: 345 Rationale: The objective of institutional advertisements is to build good will or an image for an organization, rather than promote a specific good or service. Often this form of advertising is used to support the public relations plan or respond to negative publicity. Four forms of institutional advertisements are often used: advocacy, pioneering institutional, compettive institutional, and reminder institutional. Alternative d is incorrect as it is not one of the four listed forms.

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16-27 ADVOCACY ADVERTISING The purpose of an advocacy advertisement is to: a. b. c. d. e. promote a specific brand's features and benefits. tell people what a company is, what it can do, and where it is located. state the position of a company on an issue. reinforce previous knowledge of a product. promote the advantages of one product class over another.

DEFINITION

Answer: c Page: 345 Rationale: Text term definitionadvocacy advertising 16-28 ADVOCACY ADVERTISEMENTS CONCEPTUAL

The kind of advertisements that state the position of a company on an issue, such as the ads sponsored by Miller beer encouraging the responsible use of alcohol, are __________ advertisements. a. b. c. d. e. pioneering competitive advocacy reminder political

Answer: c Page: 345 Rationale: Advocacy advertisements state the position of a company on an issue. A unique form of advocacy advertisement is used when organizations make a statement or request related to a particular event, such as the request by American Red Cross for blood donations to help terrorism victims. In this case, Miller beer is encouraging the responsible use of alcohol, its position on drinking responsibly. 16-29 ADVOCACY ADVERTISEMENTS APPLICATION

At the beginning of the school year in September, Pfizer Pharmaceutical ran an ad in several women's magazines in which it suggested that the timing may be right for vaccination. Pfizer was using __________ advertising. a. b. c. d. e. pioneering competitive advocacy reminder comparative

Answer: c Page: 344 Rationale: Advocacy advertisements state the position of a company on an issue. A unique form of advocacy advertisement is used when organizations make a statement or request related to a particular event, such as the request by American Red Cross for blood donations to help terrorism victims. In this case Pfizer is stating its position on the topic of vaccination.

16-30 ADVOCACY ADVERTISEMENTS

APPLICATION

The headline of a General Motors advertisement in the Reader's Digest magazine reads, "I believe these kids will make great engineers. Now I've got to make them believe it." The ad shows an engineer surrounded by seven young people. The ad copy talks about how General Motors believes the more the company puts into the community, the more society will get out of the community. This advertisement is an example of a(n): a. b. c. d. e. competitive institutional advertisement. competitive product advertisement. advocacy product advertisement. advocacy institutional advertisement. pioneering institutional advertisement.

Answer: d Page: 345 Rationale: Advocacy advertisements state the position of a company on an issue. A unique form of advocacy advertisement is used when organizations make a statement or request related to a particular event, such as the request by American Red Cross for blood donations to help terrorism victims. The General Motors ad suggests its position on education and helping those young people who may not believe in themselves. 16-31 PIONEERING INSTITUTIONAL ADVERTISEMENTS APPLICATION

An ad for an international consulting firm, was intended to communicate the company philosophy that you can be big and nimble at the same timerather than sell any one particular service provided by the company. The ad is an example of __________ advertising. a. b. c. d. e. pioneering competitive advocacy reminder political

Answer: a Page: 345 Rationale: Pioneering institutional advertisements, like the pioneering ads for products discussed earlier, are used for announcements about what a company is, what it can do, or where it is located. The international consulting firm is announcing that despite its size, it can be nimble, an idea that many in the target market may not be aware of.

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16-32 PIONEERING INSTITUTIONAL ADVERTISEMENTS The purpose of pioneering institutional advertisements is to: a. b. c. d. e. promote a specific brand's features and benefits. announce what a company is, what it can do, or where it is located. state the position of a company on an issue. reinforce previous knowledge of a product. promote the advantages of one product class over another.

DEFINITION

Answer: b Page: 345 Rationale: Text term definitionpioneering institutional advertisements 16-33 COMPETITIVE INSTITUTIONAL ADVERTISEMENTS APPLICATION

The California Pistachio Growers Association has an ongoing ad campaign in which it encourages people to think of pistachios when they think of good times and good friends. The goal of the ad is to increase consumption of pistachio nuts. The ads are examples of __________ ads. a. b. c. d. e. competitive institutional competitive product advocacy pioneering product pioneering institutional

Answer: a Page: 345 Rationale: Institutional ads are designed to create or maintain an image or to build good will for an organization. The ads are not designed to sell specific brands. Competitive institutional ads promote the advantages of one product class over another and are used in markets where different product classes compete for the same buyers. In this example, the California Pistachio Growers Association is suggesting eating pistachios in social situations instead of other nuts or snacks competitive product classes to pistachios.

16-34 COMPETITIVE INSTITUTIONAL ADVERTISEMENTS

APPLICATION

The state of Florida Department of Citrus developed the To Your Health campaign to show the benefits of orange juice. The goal of these ads is to increase demand for orange juice as it competes with other beverages. This is an example of a(n) __________ advertisement. a. b. c. d. e. competitive institutional competitive product advocacy pioneering product pioneering institutional

Answer: a Page: 345 Rationale: Institutional ads are designed to create or maintain an image or to build good will for an organization. The ads are not designed to sell specific brands. Competitive institutional ads promote the advantages of one product class over another and are used in markets where different product classes compete for the same buyers. In this case, the Florida Department of Citrus is suggesting drinking orange juice instead of other beverages. 16-35 COMPETITIVE INSTITUTIONAL ADVERTISEMENTS The purpose of competitive institutional advertisements is to: a. b. c. d. e. promote a specific brand's features and benefits. tell people what a company is, what it can do, and where it is located. state the position of a company on an issue. reinforce previous knowledge of a product. promote the advantages of one product class over another. DEFINITION

Answer: e Page: 345 Other Location: web Rationale: Text term definitioncompetitive institutional advertisements 16-36 REMINDER INSTITUTIONAL ADVERTISEMENTS The purpose of reminder institutional advertisements is to: a. b. c. d. e. promote a specific brand's features and benefits. tell people what a company is, what it can do, and where it is located. state the position of a company on an issue. bring the company's name to the attention of the target market again. promote the advantages of one product class over another. DEFINITION

Answer: d Page: 345 Rationale: Text term definitionreminder institutional advertisements

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16-37 REMINDER INSTITUTIONAL ADVERTISEMENTS

APPLICATION

An ad for Mercedes Benz cars showed a heart-shaped box of chocolates with one of the chocolates topped with the well-recognized Mercedes logo. There was no mention of the company name or sign of a product in the ad. This ad was an example of __________ advertising. a. b. c. d. e. competitive institutional competitive product advocacy pioneering product reminder institutional

Answer: e Page: 345 Rationale: The purpose of reminder institutional advertisements is to bring the company's name, or trademark to the attention of the target market again. In this case, showing only the Mercedes logo on a chocolate simply reminded the audience of the Mercedes brand automobile. 16-38 ADVERTISING DECISION PROCESS: PLANNING The first step in the advertising decision process is: a. b. c. d. e. set the budget. specify the objectives of the advertising program. identify the target audience. select the appeal. select the media. CONCEPTUAL

Answer: c Page: 345; Figure 15-5 Other Location: web Rationale: As shown in Figure 15-5, the first step of the promotion decision process is developing the promotion program. This can be applied to advertising, so the steps in developing the advertising program are (1) identify the target audience, (2) specify the objectives, (3) set the budget, (4) select the right promotional elementsmedia for advertising, (5) design the promotionselect the appeal for advertising, (6) schedule the promotion advertising.

16-39 ADVERTISING DECISION PROCESS: PLANNING

CONCEPTUAL

All of the following steps are part of the planning process used to develop an organization's advertising program EXCEPT: a. b. c. d. e. identify the target audience. specify the advertising objectives. write the advertising copy. pretest the advertising. schedule the advertising program.

Answer: d Page: 345; Figure 15-5 Rationale: As shown in Figure 15-5, the first step of the promotion decision process is developing the promotion program. This can be applied to advertising, so the steps in developing the advertising program are (1) identify the target audience, (2) specify the objectives, (3) set the budget, (4) select the right promotional elementsmedia for advertising, (5) design the promotionselect the appeal for advertising, (6) schedule the promotion advertising. Alternative d is a part of the implementation process when the advertising program is executed. 16-40 DESIGNING THE ADVERTISEMENT An advertising message usually focuses on: a. b. c. d. e. the models in the ad. the product packaging. the problem the model is having. key benefits of the product that are important to the buyer. how the company will benefit. CONCEPTUAL

Answer: d Page: 346 Rationale: An advertising message usually focuses on the key benefits of the product that are important to a prospective buyer in making trial and adoption decisions. The message depends on the general form or appeal used in the ad and the actual words included in the ad. 16-41 MESSAGE APPEAL Most advertising messages are made up of two types of elements. They are: a. b. c. d. e. functional and persuasional. expository and persuasional. informational and persuasional. informational and creative. creative and expository. CONCEPTUAL

Answer: c Page: 346 Rationale: Most advertising messages are made up of both informational and persuasional elements. Information and persuasive content can be combined in the form of an appeal to provide a basic reason for the consumer to act. Although the marketer can use many different

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types of appeals, common advertising appeals include fear appeals, sex appeals, and humorous appeals. 16-42 MESSAGE APPEAL CONCEPTUAL Information and persuasive content can be combined in the form of an appeal to: a. b. c. d. e. provide a basic reason for the consumer to act. explain guilt and enrichment. satisfy hierarchical needs. include perceptual modifiers and need enhancers. none of the above.

Answer: a Page: 346 Rationale: Most advertising messages are made up of both informational and persuasional elements. Information and persuasive content can be combined in the form of an appeal to provide a basic reason for the consumer to act. Although the marketer can use many different types of appeals, common advertising appeals include fear appeals, sex appeals, and humorous appeals. 16-43 MESSAGE APPEAL Three common advertising appeals include: a. b. c. d. e. fear, sex, and humor. guilt and enrichment. hierarchical needs. perceptual modifiers and need enhancers. none of the above. CONCEPTUAL

Answer: a Page: 346 Rationale: Most advertising messages are made up of both informational and persuasional elements. Information and persuasive content can be combined in the form of an appeal to provide a basic reason for the consumer to act. Although the marketer can use many different types of appeals, common advertising appeals include fear appeals, sex appeals, and humorous appeals. 16-44 FEAR APPEALS Which of the following is an important guideline when using fear appeal? a. b. c. d. e. Be sure to make it appeal to children. Make the appeal so strong that it appears humorous. Don't make the appeal so strong that consumers want to avoid the advertisement. Avoid any reference to death or dying. All of the above are important guidelines when using fear appeal. CONCEPTUAL

Answer: c Page: 346 Rationale: Fear appeals suggest to the consumer that he or she can avoid some negative experience through the purchase and use of a product or through a change in behavior. When using fear appeals, the advertiser must be sure the appeal is strong enough to get the audience's

attention and concern but not so strong it will lead them to tune out the message.

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16-45 FEAR APPEALS

DEFINITION

__________ suggest to the consumer that he or she can avoid some negative experience through the purchase and use of a product or through a change in behavior. a. b. c. d. e. Fear appeals. Sex appeals. Humorous appeals. Family appeals. Coercive appeals

Answer: a Page: 346 Rationale: Text term definitionfear appeals 16-46 FEAR APPEALS APPLICATION

The testimonial type ads for carbon dioxide detectors feature parents who are discussing the dangers of carbon monoxide poisoning. In many of the ads, the homeowners tell the target audience how disaster can be averted by purchasing and using the advertised product. Such advertisements are using: a. b. c. d. e. fear appeals. sex appeals. humorous appeals. family appeals. coercive appeals

Answer: a Page: 346 Rationale: Fear appeals suggest to the consumer that he or she can avoid some negative experience through the purchase and use of a product or through a change in behavior. When using fear appeals, the advertiser must be sure the appeal is strong enough to get the audience's attention and concern but not so strong it will lead them to tune out the message.

16-47 FEAR APPEALS

APPLICATION

An ad for Conesco Insurance asks the question, How long will you wait to start planning for long-term care? The ad shows an elderly women being assisted by a nurse as she tries to win money on a game show. The idea that she will not have the care she needs because she failed to consider the future when she was young is an example of a: a. b. c. d. e. rhetorical appeal. life cycle appeal. humorous appeal. sex appeal. fear appeal.

Answer: e Page: 346 Rationale: Fear appeals suggest to the consumer that he or she can avoid some negative experience through the purchase and use of a product or through a change in behavior. When using fear appeals, the advertiser must be sure the appeal is strong enough to get the audience's attention and concern but not so strong it will lead them to tune out the message. 16-48 SEX APPEALS CONCEPTUAL

Which of the following statements describes a problem with using sex appeals in advertising? a. b. c. d. e. What men find sexy, women don't. What women find sexy, men don't. Sex appeal typically fails to gain audience attention. The sex appeal of the ad can distract the audience from the product. Sex appeals have no effect on senior citizens.

Answer: d Page: 347 Rationale: Sex appeals suggest to the audience that the product will increase the attractiveness of the user. Unfortunately many commercials that use sex appeals are only successful at gaining the attention of the audience, and they have little impact on how consumers think, feel, or act. Some advertising experts even argue that such appeals get in the way of successful communication by distracting the audience from the purpose of the ad. 16-49 SEX APPEALS DEFINITION

In advertising, __________ suggest to the audience that the product will increase the attractiveness of the user. a. b. c. d. e. rhetorical appeals logical appeals humorous appeals sex appeals fear appeals

Answer: d Page: 347 Rationale: Text term definitionsex appeals

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16-50 SEX APPEALS

CONCEPTUAL

Many commercials that use sex appeals gain the attention of the audience, but they: a. b. c. d. e. contain no information to help consumers. do not appeal to either men or women. have little impact on how consumers think, feel, or act. wear out quickly, boring the consumer. don't appeal to the Net generation.

Answer: c Page: 347 Rationale: Sex appeals suggest to the audience that the product will increase the attractiveness of the user. Unfortunately many commercials that use sex appeals are only successful at gaining the attention of the audience; they have little impact on how consumers think, feel, or act. Some advertising experts even argue that such appeals get in the way of successful communication by distracting the audience from the purpose of the ad. 16-51 SEX APPEALS APPLICATION

An ad for Hydrozycut, an advanced weight loss formula by GNC, shows an attractive woman who claims that she lost an incredible 23 pounds. This ad is using a: a. b. c. d. e. rhetorical appeal. life cycle appeal. humorous appeal. sex appeal. fear appeal.

Answer: d Page: 347 Rationale: Sex appeals suggest to the audience that the product will increase the attractiveness of the user. Unfortunately many commercials that use sex appeals are only successful at gaining the attention of the audience; they have little impact on how consumers think, feel, or act. Some advertising experts even argue that such appeals get in the way of successful communication by distracting the audience from the purpose of the ad. 16-52 HUMOROUS APPEALS DEFINITION

__________ appeals imply either directly or more subtly that the product is more fun or exciting than competitors offerings. a. b. c. d. e. humorous rhetorical family life cycle sex figure of speech

Answer: a Page: 347 Rationale: Text term definitionhumorous appeals

16-53 HUMOROUS APPEALS

CONCEPTUAL

Which of the following statements describes a problem with using humorous appeals in advertising? a. b. c. d. e. What adults find humorous, children do not. What children find humorous, adults do not. Most humorous advertisements offend someone. Humor tends to wear out quickly, boring the consumer. Humorous appeals are easily ignored.

Answer: d Page: 347 Other Location: web Rationale: Humorous appeals imply either directly or more subtly that the product is more fun or exciting than competitors offerings. As with fear and sex appeals, the use of humor is widespread in advertising and can be found in many product categories. Unfortunately for the advertiser, humorous appeals tend to wear out quickly, eventually boring the consumer. Another problem with humorous appeals is that their effectiveness may vary across cultures if used in a global campaign. 16-54 HUMOROUS APPEALS APPLICATION

An ad for Kraft salad dressings uses a play on words in its headline, Around here, we're 'jeans and t-shirts' but our dressing is 'night on the town.' This use of a ___________ appeal implies that the dressing is like what is served at the finest eating establishments, but you can enjoy it in the comfort of your home. a. b. c. d. e. humorous rhetorical family life cycle sex figure of speech

Answer: a Page: 347 Rationale: Humorous appeals imply either directly or more subtly that the product is more fun or exciting than competitors offerings. As with fear and sex appeals, the use of humor is widespread in advertising and can be found in many product categories. Unfortunately for the advertiser, humorous appeals tend to wear out quickly, eventually boring the consumer. Another problem with humorous appeals is that their effectiveness may vary across cultures if used in a global campaign.

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16-55 CREATING THE MESSAGE Which of the following is true about creating the advertising message? a. b. c. d. e.

CONCEPTUAL

Copywriters are responsible for creating the text portion of the messages in advertisements. A high-quality 30-second TV commercial typically costs about $268,000 to produce. There are about 2,000 small commercial production companies in the US. As companies have developed global campaigns, the need to shoot commercials in exotic locations has increased. All of the above statements are true about creating the advertising message.

Answer: e Page: 347 Rationale: Copywriters are responsible for creating the text portion of the messages in advertisements. A high-quality 30-second TV commercial typically costs about $268,000 to produce because actors are expensive ($12,000 to $15,000) and as companies have developed global campaigns, the need to shoot commercials in exotic locations has increased. 16-56 ADVERTISING MEDIA DEFINITION

The means by which the advertising message is communicated to the target audience is through: a. b. c. d. e. advertising media. reach and frequency. a decoder. micromarketing. media convergence.

Answer: a Page: 348 Rationale: Text term definitionadvertising media 16-57 ADVERTISING EXPENDITURES BY MEDIA TYPE CONCEPTUAL

Which of the following types of media garners the largest amount of advertising expenditures? a. b. c. d. e. newspapers radio television Internet Yellow Pages

Answer: c Page: 348; Figure 16-1 Rationale: As shown in Figure 16-1, television garners the largest amount of U.S. advertising expenditures at $59,838,000, followed by direct mail at $49,950,000, and newspapers at $49,050,000. The expenditures drop nearly in half for other, radio magazines, yellow pages, outdoor and internet.

16-58 REACH

DEFINITION

__________ is defined as the number of different people or households exposed to an advertisement. a. b. c. d. e. Scope Share Reach Span Rating

Answer: c Page: 348 Rationale: Key term definitionreach 16-59 RATING DEFINITION

__________ is defined as the percentage of households in a market that are tuned to a particular television show or radio station. a. b. c. d. e. Gross rating points Reception rate Target audience reach Rating Share

Answer: d Page: 348 Rationale: Key term definitionrating 16-60 RATING APPLICATION

If a local television station in your area stated it reached one-fifth of the television households in its viewing area with a prime time movie, what would be the movie's rating? a. b. c. d. e. 10 20 30 40 50

Answer: b Page: 348 Rationale: Rating as defined in the text is the percentage of households in a market that are tuned to a particular TV show or radio station. In this instance the audience is one-fifth of households, which is 20 percent, or a rating for the movie of 20.

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16-61 FREQUENCY Frequency is defined as the: a. b. c. d. e.

DEFINITION

number of different advertisements, sales promotions, or publicity events in a promotional campaign of a marketing program. total number of times an advertisement is broadcast on network and cable television or radio. number of times an advertisement must be shown before a given percentage of the audience can recall key points of information. number of times an advertisement can be shown before it begins to lose effectiveness. average number of times a person in the target audience is exposed to an advertisement.

Answer: e Page: 349 Rationale: Key term definitionfrequency 16-62 FREQUENCY CONCEPTUAL

Because consumers often do not pay close attention to advertising messages, advertisers want to reach the same audience more than once. The average number of times a person in the target audience is exposed to a message or advertisement is called: a. b. c. d. e. parity. reach. frequency. rating. gross rating points.

Answer: c Page: 349 Rationale: When advertisers want to reach the same audience more than once, they are concerned with frequency, the average number of times a person in the target audience is exposed to a message or advertisement. 16-63 GROSS RATING POINTS Gross rating points (GRPs) are: a. b. c. d. e. reach multiplied by frequency. reach multiplied by rating. rating multiplied by frequency. cost divided by reach. cost divided by (reach multiplied by frequency). DEFINITION

Answer: a Page: 349 Rationale: Key term definitiongross rating points

16-64 COST PER THOUSAND (CPM) CPM with respect to advertising is defined as the: a. b. c. d. e.

DEFINITION

cost of one medium relative to the cost of other media (e.g. direct mail versus television, radio, or outdoor), each of which are divided by the multiple of their respective reach and frequency. reach multiplied by frequency divided by the cost of reaching 1000 individuals or households with the advertising message. cost of reaching 1000 individuals or households with the advertising message. cost per minute of television or radio time number of consumers exposed to an advertising message, in thousands.

Answer: c Page: 349 Rationale: Key term definitioncost per thousand 16-65 COST PER THOUSAND (CPM) APPLICATION

If you ordered a commercial to run on a local station that could reach 500,000 households for a cost of $1,000, what would your cost per thousand (CPM) be? a. b. c. d. e. $5.00 $4.00 $3.00 $2.00 $1.00

Answer: d Page: 349 Rationale: In this case the audience can be considered as 500 groups of 1,000 households (total 500,000), and $1,000 divided by 500 equals $2.00. Thus, the CPM = $2.00. 16-66 COST PER THOUSAND (CPM) APPLICATION

The vice-president of marketing of G Street Fabrics has been told to invest the company's advertising dollars wisely. Which of the following measures could be used to compare the financial effectiveness of its advertising expenditures for different media? a. b. c. d. e. reach rating GRPs CPM frequency

Answer: d Page: 349 Rationale: Cost per thousand (CPM) refers to the cost of reaching 1,000 individuals or households with the advertising message in a given medium. This would give a comparison of the costs (financial effectiveness) for different media.

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16-67 FREQUENCY

APPLICATION

The owners of a small hardware store had a limited advertising budget. As such, the owners of the store were very concerned with spending their advertising dollars wisely. One of their primary advertising concerns was to expose customers in a limited market area to their advertising messages as often as possible. The owners of the hardware store were concerned with: a. b. c. d. e. reach. frequency. gross rating points. cost per thousand. advertising themes.

Answer: b Page: 349 Other Location: web Rationale: Advertisers like the hardware store owners are often interested in reaching their target audience more than one time because many consumers do not pay close attention to ad messages. As such, advertisers seeking to expose targeted consumers to advertising message more than once are interested in frequency, which is defined as the average number of times a person in a target audience is exposed to an ad. 16-68 TELEVISION CONCEPTUAL

One of the advantages associated with television as an advertising medium is that it: a. b. c. d. e. has a short exposure time. communicates with sight, sound and motion. is a low-cost medium. has an unlimited amount of advertising time available. can be used to convey complex messages.

Answer: b Page: 349; Figure 16-2 Rationale: Television reaches extremely large audiences, uses picture, print, sound, and motion for effect; can target specific audiences. 16-69 INFOMERCIALS DEFINITION

Program-length (30-minute) advertisements that take an educational approach to communication with potential customers are called: a. b. c. d. e. advertorials. infomercials. intrusionaries. advocacy ads. interstitials.

Answer: b Page: 349 Rationale: Key term definitioninfomercials

16-70 RADIO

CONCEPTUAL

Which of the following statements about radio as an advertising medium is true? a. b. c. d. e. There are seven times as many television stations as radio stations in the United States. Radio is not a highly segmented medium. The average college student during the day listens to radio more than he/she watches television. The peak radio listening time is during the night. Radio has unlimited use for conveying complex information.

Answer: c Page: 349 Other Location: web Rationale: There are seven times as many radio stations as television stations in the United States. Radio is highly segmented. The average college student is a surprisingly heavy radio listener and spends more time during the day listening to radio than watching television2.2 hours versus 1.6 hours. Peak radio listening time is during drive times from 6-10AM and 4-7PM. A drawback of radio is that it cannot convey complex information. 16-71 RADIO One reason for using radio as an advertising medium is: a. b. c. d. e. its high cost. its long lead time required for the placement of an ad. its inability to use humor. its multisensory appeal. it is segmented. CONCEPTUAL

Answer: e Page: 349; Figure 16-2 Rationale: Radio is low cost and can target specific local audiences. Radio ads can be quickly created and placed. Radio can use sound, humor, and intimacy effectively. Disadvantages include no visual element; short exposure time and perishable message; difficult to convey complex information. 16-72 MAGAZINES CONCEPTUAL

Which of the following statements about magazines as an advertising medium is true? a. b. c. d. e. Magazines have distinct profiles for well-defined target audiences. Some nationally distributed magazines publish regional or metro editions to reduce the cost of ads and wasted coverage. Magazine ads can convey complex information. The cost of national magazine advertising is higher than comparable radio advertising. All of the above statements magazines as an advertising medium are true.

Answer: e Page: 350; Figure 16-2 Rationale: Magazines can target specific audiences; use high-quality color. The ads have long lives; ads can be clipped and saved and can convey complex information. However, a long time is needed to place an ad; ads are relatively high cost; and compete for attention with other magazine features.

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Some magazines such as Time publish regional editions. 16-73 MAGAZINES

APPLICATION

Shur-Valu Supermarkets changes its ads constantly to describe new products it has for sale and different price specials it offers. Which medium would be the least logical choice for placement of its messages? a. b. c. d. e. billboard (outdoor) direct mail radio magazines newspapers

Answer: d Page: 350; Figure 16-2 Rationale: Magazines need a long lead time to change the copy and focus of the message, and because this supermarket constantly changes its ads, magazines would be inappropriate. News papers or radio may be more appropriate because it takes a short time to develop the ad. 16-74 MAGAZINES One reason for using magazines as an advertising medium is: a. b. c. d. e. their ability to target specific audiences. the short lead time needed to place an ad. their low cost. the lack of noise associated with the use of magazines in the communication channel. all of the above CONCEPTUAL

Answer: a Page: 350; Figure 16-2 Rationale: Magazines can target specific audiences; use high-quality color. The ads have long lives; ads can be clipped and saved and can convey complex information. However, a long time is needed to place an ad; ads are relatively high cost; and compete for attention with other magazine features. Some magazines such as Time publish regional editions.

16-75 NEWSPAPERS

CONCEPTUAL

Which of the following statements about newspapers as an advertising medium is true? a. b. c. d. e. Newspapers have excellent local reach potential. National companies rarely use newspapers except in conjunction with local distributors of their products. Color reproduction is not very good. Local retailers often use newspapers as their sole medium. All of the above statements about newspapers as an advertising medium are true.

Answer: e Page: 351; Figure 16-2 Rationale: Newspapers are an important local medium with excellent reach potential. Because of the daily publication of most papers, they allow advertisements to focus on specific current events. Local retailers often use newspapers as their sole advertising medium. Newspapers are rarely saved by the purchaser, so companies are limited to ads that call for an immediate response. Color reproduction is not as good as that in most magazines. National advertising campaigns rarely include this medium except in conjunction with local distributors and usually both parties share the advertising costs. 16-76 NEWSPAPERS One reason for NOT using newspapers as an advertising medium is their: a. b. c. d. e. inability to cover local markets. long lead time for ad placement. short life span. high cost. ability to create noise during the communication process. Page: 351; Figure 16-2 CONCEPTUAL

Answer: c

Rationale: Newspapers are an important local medium with excellent reach potential. Because of the daily publication of most papers, they allow advertisements to focus on specific current events. Local retailers often use newspapers as their sole advertising medium. Newspapers are rarely saved by the purchaser, so companies are limited to ads that call for an immediate response. Color reproduction is not as good as that in most magazines. National advertising campaigns rarely include this medium except in conjunction with local distributors and usually both parties share the advertising costs.

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16-77 INTERNET

CONCEPTUAL

Which of the following statements about the Internet as an advertising medium is true? a. b. c. d. e. The Internet provides audio and video capabilities. Ads are black and white. Internet ads are similar to print ads in that they offer only a visual message. Internet advertising is the most effective form of advertising. All of the above statements about the Internet as an advertising medium are true.

Answer: a Page: 351; Figure 16-2 Rationale: Internet advertising has the following advantages: video and audio capabilities; animation can capture attention; ads can be interactive and link to advertiser. Internet advertising has the following disadvantages: animation and interactivity require large files and more time to load; effectiveness is still uncertain and difficult to measure. 16-78 INTERNET One reason for using the Internet as an advertising medium is: a. b. c. d. e. its video and audio capabilities. its ability to use animation. the way that the ads can link customers and advertisers. interactive ads. all of the above CONCEPTUAL

Answer: e Page: 351; Figure 16-2 Rationale: Internet advertising has the following advantages: video and audio capabilities; animation can capture attention; ads can be interactive and link to advertiser. Internet advertising has the following disadvantages: animation and interactivity require large files and more time to load; effectiveness is still uncertain and difficult to measure. 16-79 INTERNET-RICH MEDIA DEFINITION

Called __________, these internet interactive ads have drop-down menus, built-in games, or search engines to engage viewers. a. b. c. d. e. drop-downs rich media game advertising interactive ads pop-ups

Answer: b Page: 351 Rationale: Text term definitionrich media

16-80 OUTDOOR Billboard advertising is most effective for __________ advertising. a. b. c. d. e. pioneering advocacy reminder comparative differentiation

CONCEPTUAL

Answer: c Page: 351; Figure 16-2 Rationale: A very effective medium for reminding consumers about products is outdoor advertising, such as the scoreboard at San Diegos Qualcomm Stadium. Billboards often result in good reach and frequency and have been shown to increase purchase rates. The visibility of this medium is good supplemental reinforcement for well-known products, and it is a relatively lowcost, flexible alternative. A disadvantage is that no opportunity exists for lengthy advertising copy. A third form of outdoor advertising is transit advertisingthat on bus backs, in subways and on taxis. Advertisers can buy space by route or neighborhood. 16-81 OUTDOOR One reason for NOT using the outdoor advertising is: a. b. c. d. e. its high costs. its lack of visibility. its local market focus. its inability to communicate short, pithy messages. all of the above CONCEPTUAL

Answer: c Page: 351; Figure 16-2 Rationale: A very effective medium for reminding consumers about products is outdoor advertising, such as the scoreboard at San Diegos Qualcomm Stadium. Billboards often result in good reach and frequency and have been shown to increase purchase rates. The visibility of this medium is good supplemental reinforcement for well-known products, and it is a relatively lowcost, flexible alternative. A disadvantage is that no opportunity exists for lengthy advertising copy. A third form of outdoor advertising is transit advertisingthat on bus backs, in subways and on taxis. Advertisers can buy space by route or neighborhood. This can be a disadvantage in that outdoor advertising has a local market focus.

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16-82 OUTDOOR-BILLBOARDS The most common form of outdoor advertising is: a. b. c. d. e. stadium advertising. advertising on taxis. advertising on bus backs. advertising in subways. billboard advertising.

DEFINITION

Answer: e Page: 351; Figure 16-2 Rationale: Text term definition--billboards 16-83 TRANSIT ADVERTISING Which of the following statements about transit advertising is true? a. b. c. d. e. Transit advertising is a form of outdoor advertising. Transit advertising includes the interior and exterior of buses, subway cars, and taxis. One disadvantage of transit advertising is that heavy travel times often do not permit riders to read advertising copy. Transit routes can provide geographic selectivity of audiences for advertisers. All of the above statements about transit advertising are true. CONCEPTUAL

Answer: e Page: 351 Rationale: Transit advertising is a form of outdoor advertising that includes the interior and exterior of buses, subway cars, and taxis. Transit routes can provide geographic selectivity of audiences for advertisers. One disadvantage of transit advertising is that heavy travel times often do not permit riders to read advertising copy. 16-84 TRANSIT ADVERTISING APPLICATION

London Underground (subway) platforms are famous for their lively mix of advertisements witty and amusing, informative, and large enough to be easily read. Ads change every few weeks. Some are part of a series with a story line that slowly emerges for regular commuters although each ad in the series makes sense to the one-time reader. These ads are examples of: a. b. c. d. e. frequency. opportunistic advertising. transitional advertising. transit advertising. serial advertising.

Answer: d Page: 351 Other Location: web Rationale: Transit advertising includes messages on the interior and exterior of buses, subway and commuter trains, and taxis. When done well, as in London, transit advertising informs and entertains commuters during time on platforms or at bus stops as well as inside transport.

16-85 OTHER MEDIA

CONCEPTUAL

As traditional media have become more expensive and cluttered, advertisers have been attracted to a variety of nontraditional advertising optionsin airports, doctors' offices, health clubs, or theaterscalled: a. b. c. d. e. place-based media. invasive placements. electronic advertising. product placements. cooperative advertising.

Answer: a Page: 352 Rationale: Place-based media include messages placed in locations that attract a specific target audience such as airports, doctors offices, and theaters. Beach n Billboard will even imprint ads in the sand on a beach! 16-86 BUYER TURNOVER Buyer turnover is defined as: a. b. c. d. e. the amount of time between repeat purchases of a given product. the amount of time it takes each generation to enter the product life cycle. how often a consumer will try a competitive brand before returning to the original choice. how often new buyers enter the market to buy the product. the ratio that shows the more frequently the product is purchased, the less advertising repetition is required. DEFINITION

Answer: d Page: 352 Other Location: web Rationale: Text term definitionbuyer turnover 16-87 PURCHASE FREQUENCY Which of the following is the definition for purchase frequency? a. b. c. d. e. the amount of time between trial and first repeat purchase of a given product the amount of time it takes each generation to enter the product life cycle how often a consumer will try a competitive brand before returning to the original choice how often new buyers enter the market to buy the product the more frequently the product is purchased, the less repetition is required DEFINITION

Answer: e Page: 352 Rationale: Text term definitionpurchase frequency

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16-88 FORGETTING RATE

DEFINITION

The speed with which buyers forget about a brand if advertising is NOT seen is called: a. b. c. d. e. buyer turnover. the frequency rate. brand awareness rate. the forgetting rate. product recall dissipation rate.

Answer: d Page: 352 Rationale: Text term definitionforgetting rate 16-89 ADVERTISING SCHEDULES The three approaches to setting advertising schedules are: a. b. c. d. e. flexible, seasonal, and continuous. sweeping, bursting, and pulsing. flighting, pulse, and continuous. continuous, seasonal, and sweeping. incessant, intermittent, and infrequently. DEFINITION

Answer: c Page: 352 Rationale: The three approaches to setting advertising schedules are continuous (steady), flighting (intermittent), and pulse (burst). 16-90 CONTINUOUS SCHEDULE Continuous scheduling would most likely be used for advertising: a. b. c. d. e. snow blowers. school supplies. bathroom cleaner. toys. suntan lotion. APPLICATION

Answer: c Page: 352 Rationale: Continuous schedule advertising is run at a steady or regular schedule throughout the year when demand and seasonal factors are unimportant. These conditions apply to bathroom cleaner and not to the other four products.

16-91 CONTINUOUS SCHEDULE A __________ schedule is used when seasonal factors are unimportant. a. b. c. d. e. continuous flighting intermittent pulse burst

DEFINITION

Answer: a Page: 352 Rationale: Text term definitioncontinuous schedule 16-92 FLIGHTING SCHEDULE DEFINITION

A basic approach to scheduling, in which periods of advertising are scheduled between periods of no advertising to reflect seasonal demand is called: a. b. c. d. e. sustaining. dripping. flighting. pulsing. bursting.

Answer: c Page: 352 Rationale: Text term definitionflighting schedule 16-93 FLIGHTING SCHEDULE Flighting schedules would most likely be used for advertising: a. b. c. d. e. wood-burning stoves. crackers bottled water. breakfast cereal bathroom cleaner. APPLICATION

Answer: a Page: 352 Rationale: Flighting schedules are used between periods of no advertising to reflect seasonal demand for a product based on market behavior. Wood-burning stoves would sell better in late fall and winter, so would need advertising at that time.

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16-94 PULSE SCHEDULE

DEFINITION

A flighting schedule combined with a steady schedule because of increases in demand, heavy periods of promotion, or introduction of a new product is called a(n): a. b. c. d. e. drip schedule. blitz schedule. pulse schedule. turnover schedule. intermittent schedule.

Answer: c Page: 352 Rationale: Text term definitionpulse schedule 16-95 PULSE SCHEDULE Pulse scheduling would most likely be used for advertising: a. b. c. d. e. bathroom cleaner. breakfast cereal. socks. motor oil. holiday candy. APPLICATION

Answer: e Page: 352 Rationale: Pulse or burst scheduling is when a flighting schedule is combined with a continuous schedule because of increases in demand, heavy periods of promotion, or introduction of a new product. Alternatives a, b, c, and d all have a relatively stable demand. Candy however, would most likely need heavier promotion before Halloween, Valentine's Day, Mother's Day, etc. 16-96 CHOOSING ADVERTISING MEDIA APPLICATION

A retail store marketing vice president is developing an advertising budget using the objective and task method. She has the objective of clearing slow-moving merchandise from her shelves and is trying to choose between radio and newspaper ads. Which of the following is an advantage of radio relative to newspaper as a means of achieving the objective? a. b. c. d. e. better reach more effective visuals ads can be saved by consumers better segmentation capability more effective in conveying complex information

Answer: d Page: 350; Figure 16-2 Rationale: Better segmentation is a radio strength. The other alternatives are advantages offered by newspapers when compared to radio.

16-97 EXECUTING THE ADVERTISING PROGRAM

CONCEPTUAL

Which of the following statements is true about executing the advertising program? a. b. c. d. e. Execution involves pretesting the copy and carrying out the advertising program. Advertising is evaluated to ensure that their advertising expenditures are not wasted. Evaluation is done before the advertisements are run in the campaign. Evaluation is done after the advertisements are run in the campaign. All of the above statements about executing the advertising program are correct.

Answer: e Page: 352 Rationale: Executing the advertising program involves pretesting the advertising copy and actually carrying out the advertising program. By evaluating advertising efforts marketers can try to ensure that their advertising expenditures are not wasted. Evaluation is done usually at two separate times: before and after the advertisements are run in the campaign. 16-98 PRETESTS DEFINITION

Tests conducted before an advertisement is placed in any medium to determine whether the advertisement communicates the intended message or to select between alternative versions of the advertisement are called: a. b. c. d. e. preliminary screenings. experience testing. exposure testing. pretests. posttests.

Answer: d Page: 353 Rationale: Key term definitionpretests 16-99 PRETESTS CONCEPTUAL

Because advertising is expensive, marketers want to be certain the advertisements they run communicate the intended message to the target audience. In order to accomplish this communication goal, marketers conduct __________ before advertisements are placed in a medium. a. b. c. d. e. market research surveys advertising matrix evaluations pretests alternative media searches

Answer: d Page: 353 Rationale: To determine whether the advertisement communicates the intended message or to select among alternative versions of the advertisement, pretests are conducted before the advertisements are placed in any medium.

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16-100 PORTFOLIO TESTS Portfolio tests: a. b. c. d. e.

CONCEPTUAL

present a panel of consumers with an ad and ask for their reactions concerning the ad's effectiveness, appeal, etc. present a panel of consumers with an ad for a limited period of time. The ad is then removed, and the respondents are asked to recall as much pertinent information as possible. present consumers with a sample of a product and several different advertisements for the product. They are asked to select the one they think is most effective and explain why. place a test ad in the midst of other ads and stories, instruct consumers to look at the ads and stories, and then ask consumers for their impressions of the ads. use electronic devices to measure viewer response or feelings after viewing an advertisement.

Answer: d Page: 353 Other Location: web Rationale: A portfolio test places an ad in a portfolio with several other ads and stories and consumers are asked to read through the portfolio. 16-101 JURY TESTS Jury tests: a. b. c. d. e. present a panel of consumers with an ad and ask for their reactions concerning the ad's effectiveness, appeal, etc. present a panel of consumers with an ad for a limited period of time. The ad is then removed, and the respondents are asked to recall as much pertinent information as possible. present consumers with a sample of a product and several different advertisements for the product. They are asked to select the one they think is most effective and explain why. present consumers with a hidden ad, which they are asked to recall. use electronic devices during or questionnaires after consumers view an advertisement to measure viewer response or feelings. CONCEPTUAL

Answer: a Page: 353 Rationale: Jury tests involve showing the ad copy to a panel of consumers and having them rate how much they liked it, how much it drew their attention, and how attractive they thought it was. This approach is similar to the portfolio test in that consumer reactions are obtained. However, unlike the portfolio test, a test advertisement is not hidden within other ads.

16-102 JURY TESTS

CONCEPTUAL

__________ involve showing ad copy to a panel of consumers and having them rate how they liked it, how much it drew their attention, and how attractive they thought it was. a. b. c. d. e. Focus groups Portfolio tests Jury tests Theater tests Performance tests

Answer: c Page: 353 Rationale: Jury tests involve showing the ad copy to a panel of consumers and having them rate how much they liked it, how much it drew their attention, and how attractive they thought it was. This approach is similar to the portfolio test in that consumer reactions are obtained. However, unlike the portfolio test, a test advertisement is not hidden within other ads. 16-103 THEATER TESTS The most sophisticated form of pretest is the: a. b. c. d. e. theater test. sales test. attitude test. portfolio test. jury test. CONCEPTUAL

Answer: a Page: 353 Rationale: Theater testing is the most sophisticated form of pretesting. Consumers are invited to view new television shows or movies in which test commercials are also shown. Viewers register their feelings about the advertisements either on hand-held electronic recording devices used during the viewing or on questionnaires afterward.

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16-104 THEATER TESTS Theater tests: a. b. c. d. e.

CONCEPTUAL

present a panel of consumers with an ad and ask for their reactions concerning the ad's effectiveness, appeal, etc. present a panel of consumers with an ad for a limited period of time. The ad is then removed, and the respondents are asked to recall as much pertinent information as possible. present consumers with a sample of a product and several different advertisements for the product. They are asked to select the one they think is most effective and explain why. present consumers with a hidden ad, which they are asked to recall. use electronic devices during or questionnaires after consumers view a TV advertisement to measure viewer response or feelings.

Answer: e Page: 353 Other Location: web Rationale: Theater testing is the most sophisticated form of pretesting. Consumers are invited to view new television shows or movies in which test commercials are also shown. Viewers register their feelings about the advertisements either on hand-held electronic recording devices used during the viewing or on questionnaires afterward. 16-105 FULL-SERVICE AGENCY DEFINITION

A(n) ___________ is an advertising agency provides the most complete range of services, including market research, media selection, copy development, artwork, and production. a. b. c. d. e. limited-service agency full spectrum agency full-service agency multi-service agency in-house agency

Answer: c Page: 353 Rationale: Key term definitionfull-service agency 16-106 FULL-SERVICE AGENCY APPLICATION

Young and Rubicam, Inc. developed the Softer Side of Sears campaign for Sears to target middle-income women. This agency provided marketing research, media selection, copy development, artwork, and production services for Sears. Young and Rubicam is an example of a(n): a. b. c. d. e. image consultant. consulting firm. full-service advertising agency. limited-service advertising agency. in-house agency.

Answer: c Page: 353 Rationale: Full-service advertising agencies provide a complete range of services including

marketing research, media selection, copy development, artwork and production.

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16-107 LIMITED-SERVICE AGENCIES

DEFINITION

A __________ is an advertising agency that specializes in one aspect of the advertising process such as providing creative services to develop advertising copy or buying previously unpurchased media space. a. b. c. d. e. full-service agency in-house agency modified-service agency promotional firm limited-service agency

Answer: e Page: 353 Rationale: Key term definitionlimited-service agencies 16-108 IN-HOUSE AGENCY DEFINITION

An __________ made up of the companys own advertising staff may provide full services or a limited range of services. a. b. c. d. e. intrafirm agency promotional department full-service agency in-house agency limited-service agency

Answer: d Page: 353 Rationale: Key term definitionin-house agency 16-109 POSTTESTS DEFINITION

Tests conducted after an advertisement has been shown to the target audience to determine whether it accomplished its intended purpose are referred to as: a. b. c. d. e. control testing. experience tests. exposure testing. posttests. pretests.

Answer: d Page: 353 Rationale: Key term definitionposttests

16-110 POSTTESTS Which of the following is NOT an example of an advertising posttest? a. b. c. d. e. attitude tests theater tests inquiry tests sales tests recall tests

CONCEPTUAL

Answer: b Page: 354 Rationale: Theater tests are a type of pretest. 16-111 POSTTESTS Which of the following is a type of posttest used for advertising messages? a. b. c. d. e. theater tests portfolio tests sales tests jury tests all of the above CONCEPTUAL

Answer: c Page: 354 Rationale: Sales tests allow a manufacturer, a distributor, or an advertising agency to manipulate an advertising variable (such as schedule or copy) and observe subsequent sales effects by monitoring data collected from checkout scanners in supermarkets. Alternatives a, b, and d are pretests. 16-112 AIDED RECALL Which of the following statements about aided recall posttests is true? a. b. c. d. e. With aided recall posttests, additional product information, product samples, or premiums are offered to an ad's readers or viewers, and ads generating the most inquiries are presumed to be the most effective. With aided recall posttests, a question such as, "What ads do you remember seeing yesterday?" is asked of respondents without any other prompting to determine whether they saw or heard advertising messages. Aided recall posttests involve studies such as controlled experiments and consumer purchase tests. In an aided recall posttest, respondents are asked questions to measure changes in their attitudes after an advertising campaign, such as whether they had a more favorable attitude toward the product advertised. In an aided recall posttest, respondents are first shown an ad and then asked whether their previous exposure to it was through reading, viewing, or listening. CONCEPTUAL

Answer: e Page: 354 Rationale: After being shown an ad, respondents are asked whether their previous exposure to it was through reading, viewing, or listening.

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16-113 AIDED RECALL-STARCH TEST

DEFINITION

The __________ test uses aided recall to determine the percentage of those who remember seeing a specific magazine ad, who saw or read any part of the ad identifying the product or brand, and who read at least half of the ad. Elements of the ad are then tagged with the results. a. b. c. d. e. attitude Starch prompted response inquiry concept

Answer: b Page: 354 Rationale: The Starch test determines the percentage of those who remember seeing a specific magazine ad, who saw or read any part of the ad identifying the product or brand, and who read at least half of the ad. It is a type of aided recall test. 16-114 AIDED RECALL The other name used for aided recall tests is: a. b. c. d. e. attitude testing. recognition-readership testing. prompted response testing. inquiry testing. concept testing. DEFINITION

Answer: b Page: 354 Rationale: Aided recall tests are also called recognition-readership tests. 16-115 UNAIDED RECALL APPLICATION

As a subscriber to Fitness magazine, Kelly was asked by a researcher, which ads she remembered seeing in the most recent issue of the magazine. Then she was asked questions about the content and appearance of the ads she remembered. The researcher was using __________ to test the effectiveness of ads in the magazine. a. b. c. d. e. inquiry testing concept testing unaided recall portfolio testing aided recall

Answer: c Page: 354 Rationale: A question such as, "What ads do you remember seeing yesterday?" is asked of respondents without any prompting to determine whether they saw or heard advertising messages when using unaided recall posttests.

16-116 UNAIDED RECALL Which of the following statements about unaided recall posttests is true? a. b. c. d. e.

CONCEPTUAL

With unaided recall posttests, additional product information, product samples, or premiums are offered to an ad's readers or viewers, and ads generating the most inquiries are presumed to be the most effective. With unaided recall posttests, a question such as, "What ads do you remember seeing yesterday?" is asked of respondents without any other prompting to determine whether they saw or heard advertising messages. Unaided recall posttests involve studies such as controlled experiments and consumer purchase tests. In an unaided recall posttest, respondents are asked questions to measure changes in their attitudes after an advertising campaign, such as whether they had a more favorable attitude toward the product advertised. In an unaided recall posttest , respondents are first shown an ad and then asked whether their previous exposure to it was through reading, viewing, or listening.

Answer: b Page: 354 Other Location: web Rationale: A question such as, "What ads do you remember seeing yesterday?" is asked of respondents without any prompting to determine whether they saw or heard advertising messages when using unaided recall posttests. 16-117 ATTITUDE TESTS Which of the following statements about attitude tests is true? a. b. c. d. e. With attitude tests, additional product information, product samples, or premiums are offered to an ad's readers or viewers, and ads generating the most inquiries are presumed to be the most effective. With attitude tests, a question such as, "What ads do you remember seeing yesterday?" is asked of respondents without any other prompting to determine whether they saw or heard advertising messages. Attitude tests involve studies such as controlled experiments and consumer purchase tests. In an attitude test, respondents are asked questions to measure changes in their attitudes after an advertising campaign, such as whether they had a more favorable attitude toward the product advertised. In an attitude test, respondents are first shown an ad and then asked whether their previous exposure to it was through reading, viewing, or listening. CONCEPTUAL

Answer: d Page: 354 Rationale: When using attitude posttests, respondents are asked questions to measure changes in their attitudes after an advertising campaign, such as whether they have a more favorable attitude toward the product advertised.

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16-118 INQUIRY TESTS Which of the following statements about inquiry tests is true? a. b. c. d. e.

CONCEPTUAL

With inquiry tests, additional product information, product samples, or premiums are offered to an ad's readers or viewers, and ads generating the most inquiries are presumed to be the most effective. With inquiry tests, a question such as, "What ads do you remember seeing yesterday?" is asked of respondents without any other prompting to determine whether they saw or heard advertising messages. Inquiry tests involve studies such as controlled experiments and consumer purchase tests. In an inquiry test, respondents are asked questions to measure changes in their attitudes after an advertising campaign, such as whether they had a more favorable attitude toward the product advertised. In an inquiry test, respondents are first shown an ad and then asked whether their previous exposure to it was through reading, viewing, or listening.

Answer: a Page: 354 Rationale: With inquiry tests, additional product information, product samples, or premiums are offered to an ad's readers or viewers, and ads generating the most inquiries are presumed to be the most effective. 16-119 SALES TESTS Which of the following statements about sales tests is true? a. b. c. d. e. With sales tests, additional product information, product samples, or premiums are offered to an ad's readers or viewers, and ads generating the cost inquiries are presumed to be the most effective. With sales tests, a question such as, "What ads do you remember seeing yesterday?" is asked of respondents without any other prompting to determine whether they saw or heard advertising messages. Sales tests allow a manufacturer, a distributor, or an advertising agency to manipulate an advertising variable (such as schedule or copy) and observe subsequent sales effects. In a sales test, respondents are asked questions to measure changes in their attitudes after an advertising campaign, such as whether they had a more favorable attitude toward the product advertised. In a sales test, respondents are first shown an ad and then asked whether their previous exposure to it was through reading, viewing, or listening. CONCEPTUAL

Answer: c Page: 354 Rationale: Sales tests allow a manufacturer, a distributor, or an advertising agency to manipulate an advertising variable (such as schedule or copy) and observe subsequent sales effects by monitoring data collected from checkout scanners in supermarkets.

16-120 CONSUMER-ORIENTED SALES PROMOTIONS Consumer-oriented sales promotions are: a. b. c. d. e.

DEFINITION

promotions where charitable contributions of a firm are tied directly to the customer revenues produced through the promotion of one of its products. methods used to get a nonpersonal, indirectly paid presentation of a company or its products. Examples are news releases, news conferences, and public service announcements advertisements that show actual consumers using the product. sales promotions that supplement advertising and personal selling but are directed to wholesalers, retailers, or distributors. sales tools used to support advertising and personal selling.

Answer: e Page: 354 Other Location: web Rationale: Key term definitionconsumer-oriented sales promotions 16-121 CONSUMER-ORIENTED SALES PROMOTIONS DEFINITION

Sales promotions, which are directed to ultimate consumers and are used to support advertising and personal selling, are called: a. b. c. d. e. trade promotions. consumer-oriented sales promotions. manufacturers promotions. channel promotions. public service promotions.

Answer: b Page: 354 Rationale: Key term definitionconsumer-oriented sales promotions 16-122 CONSUMER-ORIENTED SALES PROMOTIONS APPLICATION

When preparing his grocery shopping list, Winston actively scans the supermarket ads in the local newspaper for coupons, rebates, and sale items. While in the store, Winston also looks for free samples of new products and products he hasn't purchased previously. The coupons, rebates, sale items, and free samples are all examples of: a. b. c. d. e. advertising. publicity. personal selling. sales promotion. direct marketing.

Answer: d Page: 354 Rationale: Directed to ultimate consumers, consumer-oriented sales promotions, or simply consumer promotions, are sales tools used to support a companys advertising and personal selling. The alternative consumer-oriented sales promotion tools include coupons, deals, premiums, contests, sweepstakes, samples, continuity programs, point-of-purchase displays, rebates, and product placement.

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16-123 CONSUMER-ORIENTED SALES PROMOTIONS

APPLICATION

The offer of one free pizza with the purchase of one pizza at the regular price might appeal to you one evening. This type of incentive offer is an example of: a. b. c. d. e. mass-market communication. a trade promotion. a consumer-oriented sales promotion. consumer encoding. consumer feedback.

Answer: c Page: 354 Rationale: Directed to ultimate consumers, consumer-oriented sales promotions, or simply consumer promotions, are sales tools used to support a companys advertising and personal selling. The alternative consumer-oriented sales promotion tools include coupons, deals, premiums, contests, sweepstakes, samples, continuity programs, point-of-purchase displays, rebates, and product placement. The free pizza with the purchase of one pizza at regular price is a deal or short-term price reduction. 16-124 COUPONS For marketers, the primary objective of coupons is to: a. b. c. d. e. stimulate supply. increase trial and retaliate against competitor's actions. encourage present customers to buy more, and minimize brand switching behavior. encourage trial. encourage repeat purchases. CONCEPTUAL

Answer: d Page: 355 Rationale: Coupons are sales promotions that usually offer a discounted price to the consumer, which encourages trial. The redemption rate is typically about 2 percent. In recent years, the average face value of coupons, the number of coupons with multiple-purchase requirements, and the time until expiration have all been increasing. Coupons are far more expensive than the face value of the coupon because additional costs include paying for the advertisement to deliver it, dealer handling, clearinghouse costs, and redemption.

16-125 COUPONS

APPLICATION

By placing an ad in the Sunday paper with an offer to save $.25 if you clip the ad and use it at the supermarket for your next purchase of Birdseye lima beans, Birdseye is using a __________ to stimulate demand for its lima beans. a. b. c. d. e. rebate sample coupon deal premium

Answer: c Page: 355 Rationale: Coupons are sales promotions that usually offer a discounted price to the consumer, which encourages trial. The redemption rate is typically about 2 percent. In recent years, the average face value of coupons, the number of coupons with multiple-purchase requirements, and the time until expiration have all been increasing. Coupons are far more expensive than the face value of the coupon because additional costs include paying for the advertisement to deliver it, dealer handling, clearinghouse costs, and redemption. 16-126 ETHICS AND SOCIAL RESPONSIBILITY ALERT CONCEPTUAL

Which of the following describes a method used by coupon cheaters to defraud consumer goods manufacturers? a. b. c. d. e. Some scam artists set up a fake store and send coupons to manufacturers for payment. Coupon collectors often sell coupons by the pound to retailers who are paid full face value by manufacturers, even though the products were not sold. Retailers increase their refunds by adding extra coupons to those handed in by shoppers. Counterfeiters print rebate forms and proofs of purchase to collect big cash rebates without buying the goods. All of the above are methods used by coupon cheaters to defraud consumer goods manufacturers.

Answer: e Page: 355 Rationale: Coupon scams include: (1) Some scam artists set up a fake store and send coupons to manufacturers for payment. (2) Coupon collectors often sell coupons by the pound to retailers who are paid full face value by manufacturers, even though the products were not sold. (3) Retailers increase their refunds by adding extra coupons to those handed in by shoppers. (4) Counterfeiters print rebate forms and proofs of purchase to collect big cash rebates without buying the goods. (5) The coupon bar code, value, or even the offer, downloaded from an internet site, can be manipulated and copied with computers.

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16-127 ETHICS AND SOCIAL RESPONSIBILITY ALERT A marketer who wanted to reduce coupon and rebate fraud should: a. b. c. d. e. require hand-written redemption requests. print coupons and forms in at least five colors. make the coupon look as complex as possible. include a secret code on the coupon. do all of the above.

CONCEPTUAL

Answer: a Page: 355 Rationale: Some of the steps being taken to reduce coupon and rebate fraud include requiring handwritten redemption requests and requesting a proof of purchase. 16-128 DEALS APPLICATION

The sign at the entrance to the men's store reads, "Buy one shirt, get a second shirt of equal or lower value for only one dollar." Which type of sales promotion is the men's store is using? a. b. c. d. e. a deal a contest a premium a rebate a sample

Answer: a Page: 355 Rationale: A deal is a sales promotion that offers a short-term price reduction, commonly used to increase trial among potential customers or to retaliate against a competitors actions. For example, if a rival manufacturer introduces a new cake mix, the company responds with a two packages for the price of one deal. This short-term price reduction builds up the stock on the kitchen shelves of cake mix buyers and makes the competitors introduction more difficult. 16-129 DEALS For marketers, the primary objective of a deal is to: a. b. c. d. e. extend a product's life cycle. increase trial among potential customers as a retaliation against competitors' actions. encourage present customers to buy more, which should minimize brand switching behavior. encourage new product trial. encourage repeat purchases. CONCEPTUAL

Answer: b Page: 355 Rationale: A deal is a sales promotion that offers a short-term price reduction, commonly used to increase trial among potential customers or to retaliate against a competitors actions. For example, if a rival manufacturer introduces a new cake mix, the company responds with a two packages for the price of one deal. This short-term price reduction builds up the stock on the kitchen shelves of cake mix buyers and makes the competitors introduction more difficult.

16-130 PREMIUM

APPLICATION

The radio commercial said, "Send three proofs of purchase and $3 for postage and handling to receive your monogrammed T-shirt." This ad was offering customers a: a. b. c. d. e. sample. deal. premium. rebate. coupon.

Answer: c Page: 355 Rationale: A premium is a sales promotion that consists of offering merchandise free or at significant savings over its retail price. By offering a premium, companies encourage customers to return frequently or to use more of the product. 16-131 PREMIUM APPLICATION

A print ad for Allegra allergy medication offers a free purple seat cushion to all who request additional information about the drug. This seat cushion is an example of a: a. b. c. d. e. sample. deal. premium. rebate. coupon.

Answer: c Page: 355 Rationale: A premium is a sales promotion that consists of offering merchandise free or at significant savings over its retail price.