Eastern Michigan University

MKT 510A

Chapter 15-Designing and Managing Integrated Marketing Communications

true/false Questions

1)Marketing communications are only carried out prior to the sale to the consumer.  

2. Marketing communications can be done either directly or indirectly.  

3. Personal selling is face-to-face interaction with prospective purchasers for the purpose of making presentations, answering questions, and procuring orders.  

4. Brand equity includes brand awareness, brand relationships, and brand advertising.  

5. Direct marketing can include voice mail.  

6. The receiver of a marketing message decodes it.  

7. When GM provides 0 percent loans to help dealers sell more vehicles, this is an example of a sales promotion.  

8. The learn-do-feel sequence is appropriate when the intended target market audience has high involvement in a product category perceived to have high differentiation.

9. Marriott Hotels’ image is the set of beliefs, ideas, and impressions that its customers and non-customers hold regarding the company and its offerings.  

10. The first step in developing effective marketing communications is establishing the budget.

11. The source’s expertise, trustworthiness, and likeability determine the level of source credibility.  

12. Word of mouth, or “buzz,” is completely unmanageable by the firm.  

13. Qualities like candor, humor, and naturalness make a celebrity endorser more attractive.  

14. Viral marketing on the Web has been called “word of mouse.”  

15. The percentage-of-sales method is a promotional budgeting method that forces management to spell out assumptions about the relationship among dollars spent, exposure levels, trial rates, and regular usage.

16. CompuTopia paid for the Seniors Awards Dinner for a business school. This is an example of using nonpersonal marketing communications to reach a target audience.  (moderate

17. One downside to using public relations and publicity is the lack of credibility.  

18. The objective-and-task method for budgeting requires management to spell out its assumptions about the relationship among dollars spent, exposure levels, trial rates, and regular usage.  

19. Bill owns a fast food restaurant in Guangzhou. He tries to spend an amount on promotional efforts that is in line with what other, similar restaurants in town seem to be spending, a Kungfu and a KFC. This is an example of using your budget to seek share-of- voice parity with competitors.  

20. When a buyer is ready to order, the most cost-effective communication tool is either advertising or publicity.  

Multiple Choice Questions

21.   are the means by which firms attempt to inform, persuade, and remind customers about the products and brands that they sell.

1. Marketing communications
2. Sales promotions
3. Mass communications
4. Brand images
5. Broadcast media

22. Which of the following is NOT a major mode of communications in the marketing communications mix?

1. Advertising.
2. Satellite radio.
3. Sales promotion.
4. Events and experiences.
5. PR.

23. For companies, marketing communications are a way to link brand to which of the following?

1. People.
2. Places.
3. Feelings.
4. A, b, and c.
5. None of the above, marketing communications are a way to link brands to sales.

24. This is the use of mail, telephone, fax, email, or the Internet to communicate directly

with or solicit a response or dialogue from specific customers or prospects.

1. Personal selling
2. Viral marketing
3. Brand building
4. Direct marketing
5. Sales promotion

25. Which of the following does NOT build brand equity?

1. Brand awareness.
2. Brand image.
3. Brand responses.
4. Brand relationships.
5. All of the above build brand equity.

26. Which of the following would NOT be considered part of a marketing communications program?

1. A brand contact.
2. A sales promotion.
3. An event sponsorship.
4. Personal selling.
5. Advertising.

27. Which is NOT a major communications function in the communications process?

1. Encoding.
2. Decoding.
3. Noise.
4. Feedback.
5. All of the above are major communications functions in the communications process.

28. Which is correct about “noise” in the communications process?

1. It is controllable.
2. It has only one source.
3. It mostly happens during the decoding stage.
4. It interferes with intended communications.
5. It is never associated with feedback from the receiver.

29. The first step in the development of effective communication is                                   .

1. identifying the target audience
2. determining the communication objectives
3. designing the message
4. setting the budget
5. selecting the communication channels

30. AIDA stands for                                .

1. always in deep attitude.

2. attitude, interest, doing (behavior), aftermath.
3. attention, intention, direction, attrition.
4. adoption, innovation, deprivation, altitude.
5. attention, interest, desire, action.

31. According to the text, which of the following comes last when developing effective communications?

1. Establishing the budget.
2. The behavior stage.
3. Determining objectives.
4. Identifying the target audience.
5. Selecting the channels.

32. is(are) the set of beliefs, ideas, and impressions that a person holds

regarding an object.

1. Image
2. Atmosphere
3. An event
4. Media
5. A message

33. Home Inns’                               is(are) the set of beliefs, ideas, and impressions that its

customers and non-customers hold regarding the company and its offerings.

1. perception
2. image
3. brand awareness
4. message strategies
5. confirming attributes

34. Which of the following is NOT one of the possible objectives for marketing communications, according to Rossiter and Percy?

1. Category need.
2. Brand awareness.
3. Brand viability.
4. Brand attitude.
5. Brand purchase intention.

35. When defining marketing communications to achieve a certain response, the creative strategy is most closely related to which of the following?

1. What to say.
2. To whom should it be said.
3. How to avoid noise.
4. How to say it.
5. Who should say it.

36. Which of the following is NOT a negative orientation a consumer might have toward a relevant brand need?

1. Sensory gratification.
2. Problem removal.
3. Normal depletion.
4. Problem avoidance.
5. Incomplete satisfaction.

37. An ad in Surfer Girl magazine says, “Mr. Zog’s Sex Wax gloms onto your stick better and longer than any other wax.” This is an example of a(n)                                                                                                                                            appeal.

1. moral
2. emotional
3. transformational
4. social
5. informational

38. Michelin Tires has commercials featuring diaper-clad babies sitting in Michelin tires. A voiceover tells you the tires are more expensive than many brands but that what is riding on them is priceless. This is an example of a(n)  appeal.

1. moral
2. transformational
3. social
4. informational
5. rational

39. Ads that state you should buy Lenovo because it is made in China are using a(n)

                            appeal.

1. transformational 84
2. emotional
3. social
4. informational
5. cognitive

40. The headline for an ad reads, “Power Bars give you all you need—when you need it!” This is an example of a(n)               appeal.

1. informational 84
2. practical
3. transformational
4. emotional
5. provocative

41. Source credibility is a function of the source’s                                   .

1. personal, social, and moral influences
2. quality of expression—both verbal and nonverbal

3. likeability, expertise, and trustworthiness 84
4. recognizability, trustworthiness, and reputation
5. knowledge, reputation, and perceived expertise

42. A pharmaceutical drug rep giving her sales presentation to the office manager and the doctor is using a(n)          communication channel.

1. personal
2. expert
3. advocate
4. informal
5. competent

43. Which of the following is NOT a part of a communications source’s likeability?

1. Candor.
2. Humor.
3. Naturalness.
4. Specialized knowledge.
5. All of the above make up the source’s likeability.

44. Companies can stimulate personal influence channels to work on their behalf in several ways. Which of the following is NOT one of the ways listed in the text?

1. Identify influential individuals and devote extra effort to them.
2. Develop advertising that is higher in budget than the competition’s.
3. Create opinion leaders by supplying certain people with the product on attractive terms.
4. Work through community influentials such as local disk jockeys, class presidents, and presidents of women’s organizations.
5. Use influential or believable people in testimonial advertising.

45.   are occurrences such as news conferences and grand openings designed to communicate to target audiences.

1. Atmospheres
2. Display media
3. Events
4. Interactive communication channels
5. Mood enhancers

46. Which of the following is NOT used as a supporting argument when considering the percentage-of-sales promotional budget setting method?

1. It makes sales the determiner of promotion.
2. It links sales to corporate expenditures.
3. It focuses attention on the relationship of costs, price, and unit profit.
4. It encourages stability when others in the industry spend the same percentage.
5. Sales and promotional expenditures are related.

47. If A Chinese beverage corporation, wants to use the promotional tool that will build the long-term image of the corporation and give the best cost per exposure, it should use

                           .

1. direct mail
2. public relations and publicity
3. advertising
4. sales promotion
5. personal selling

48. The three distinct benefits of        are its ability to communicate, its ability to act as an incentive, and its invitation to consumers to buy now.

1. direct mail
2. sales promotion
3. advertising
4. public relations
5. personal selling

49. Proponents of the competitive-parity methods for setting a promotional budget argue

that competitors’ spending reflects the collective wisdom of the industry and that this level of spending prevents promotional “wars.” Which of the following is NOT a counterargument?

1. Company “share of voice” differs too much to make the competitive parity method valid.
2. Company reputations differ too much to make the competitive parity method valid.
3. There is no evidence that competitive parity spending prevents promotion wars.
4. Company opportunities differ too much to make the competitive parity method valid.
5. All of the above are valid counterarguments against using the competitive parity method to set promotional budgets.

50. If the director of marketing for a textile firm is concerned with the buyer-readiness stages of his customers, the best promotional tool for him to use would be                                                                                  .

1. direct mail
2. public relations and publicity
3. sales promotion
4. advertising
5. personal selling

51. At the      stage of buyer readiness is sales promotion the most cost-effective promotional tool.

1. awareness
2. comprehension
3. conviction
4. ordering
5. reordering

52. At what stage of buyer readiness are advertising and publicity the most cost-effective promotional tools?

1. Awareness.
2. Comprehension.
3. Conviction.
4. Ordering.
5. Reordering.

53.                             is(are) the most effective tool at later stages of the buying process.

1. Direct marketing
2. Events and experiences
3. Personal selling

4. Sales promotion
5. Advertising

54. Personal selling is effective in consumer markets because it allows all of the following EXCEPT:

1. persuasion of dealers to stock more product.
2. persuasion of dealers to display more stock.
3. build dealer enthusiasm.
4. All of the above are advantages that personal selling provides in the consumer market.
5. None of the above is related to consumer markets.

55. Quite simply,         is marketing communications planning that recognizes the added value of a comprehensive plan.

1. strategic marketing planning
2. integrated marketing communications
3. a promotional campaign
4. advertising
5. relationship marketing

56. In which stage of the product life cycle does the following take place: sales promotion continues strong, advertising and publicity are reduced, and salespeople give the product minimal attention?

1. Maturity I.
2. Growth.
3. Decline.
4. Introduction.
5. Pre-introduction.

57.   is powerful as a promotional process because it allows the firm to reach the right customers with the right messages at the right time and in the right place.

1. Strategic marketing planning
2. Advertising
3. A promotional campaign
4. Integrated marketing communications
5. Relationship marketing Essay Questions

58. What are the six major modes of communications in the marketing communications mix?

70. Draw and explain the elements of the communications process, as it is employed by McDonald’s.

71. The owner of Honesty Used Cars in Shanghai has always hated advertising that is “fake” or uses emotional appeals to get people to buy. In his business, he favors using an informational appeal to sell the products. What is an informational appeal and how is it

different from a transformational appeal? What kinds of informational appeals might a used car store use?

72. Kenny McKinney wants to get more customers into his new Paintball City store. Kenny is new at owning a business and has to decide how much to spend on his marketing communications efforts (he calls everything advertising because he never had a marketing class, which is fairly common among highly successful entrepreneurs). Explain the different ways Kenny could decide on how much to budget for Paintball City, then recommend one and explain why it is the best approach.

73. Explain how advertising and publicity, sales promotion, and personal selling are differentially cost-effective across the various stages of buyer-readiness.

Mini-Cases

Mini-Case 15-1

Zhang Yuan plans on opening a new, high-end deli in Guangzhou called the Ya Ya. The major product line will be spicy stewed duck necks from his hometown, Wuhan. He has a business plan that he has shown to potential investors. He has not done much yet in the way of figuring out how he will make the store successful through marketing.

74. Refer to Mini-Case 15-1. Just as other entrepreneurs must do, Zhang Yuan will have to draw up some kind of                                                                   plan that will include the means by which the Ya Ya will attempt to inform, persuade, and remind its customers about the products and brands that they sell.

1. marketing communications
2. sales promotions
3. mass communications
4. brand images
5. broadcast media

Mini-Case 15-2

Carlo is a successful author who has had trouble getting a publisher to agree to buy his next book. He has an established and loyal group that reads everything he writes, most of which is of the mystery genre. Carlo has enough money to launch a small publishing house of his own, and he also has decades of connections that will help him effectively distribute the books. He has never taken a business class, having graduated with a degree in creative writing. He figures with a good Web site and blog, and $50,000 to get the message out, he should do fine.

75. Refer to Mini-Case 15-2. If Carlo’s main customers are to be his loyal fans, the book would suggest that he should use sales promotion instead of advertising. This is because the buyers are at the                stage of buyer readiness.

1. awareness
2. comprehension
3. conviction
4. ordering
5. reordering