Exam 16: Using Effective Promotions

Mini-Case The Xer-Wise Corporation manufactures and markets high quality home exercise equipment. The firm has just developed a new piece of equipment that top executives believe will be a big seller if promoted correctly. The new product uses a system of adjustable weights that can be arranged in various ways to allow the user to perform exercises that tone all major muscle groups. Additionally, unlike other strength building machines, this equipment also incorporates a recumbent bicycle to provide a complete cardio workout. The entire piece of equipment is easy to assemble, and when not in use it can be folded into a compact unit that is easy to store. A group of fitness experts have tested the equipment and have provided rave reviews. Company executives believe that this product, called the MuscleMaster, will appeal to busy young adults living in relatively small apartments. Melody Fitt and Tom Trym have been assigned the responsibility of developing a promotion mix for this product. The team of Fitt and Trym is convinced that they can develop a successful promotion mix for this outstanding product. -Xer-Wise markets and promotes its products to consumers online. Melody and Tom are considering a more aggressive approach to generate enthusiasm for the MuscleMaster over the Internet. They have discussed offering young adults free T-shirts and special discounts on Xer-Wise equipment if they will agree to hype the benefits of the MuscleMaster on Facebook. They are even considering setting up a program in which customers get commissions for directing friends to the Xer-Wise website. If they adopt these strategies, Tom and Melody would be utilizing:

Evidence indicates that the best promotional strategy for firms operating globally is:

Compared to advertising, publicity offers a firm greater control over when and how often the message is communicated.

A testimonial represents communication from a customer that praises a firm's products.

Anita enjoys her job as a salesperson for a store that sells high-quality entertainment systems. As an effective salesperson, Anita is expected to help her customers resolve any doubts they might have before the sale, and follow up to ensure that the customer is satisfied after the sale.

Which of the following statements about global advertising is most correct?

Identify the advantages and disadvantages of newspapers and TV as media to carry your firm's promotional message. Which of the two receives the most advertising revenues and what are key advantages and disadvantages of both?

People with an unmet need, the authority to buy, and the willingness to listen to a sales message represent a firm's:

Personal selling involves the face-to-face presentation and promotion of products.

The promotional tool that stimulates consumer purchasing and dealer interest by means of short-term activities, such as trade shows, event sponsorships, and contests, is known as:

Which of the following offers the greatest potential for meaningful interaction between buyers and sellers?

One advantage of magazine advertising is that:

Chip Off The Old Block is a new chocolate chip cookie created by the Arizona Cookie Company. To generate interest for this new product, the company sent a free package of six cookies to selected homes along with a 50-cent coupon. Arizona Cookie's activities represent:

The most effective sales promotion programs target customers, rather than employees and marketing intermediaries.

The strategy of directing advertising and sales promotion toward consumers to stimulate them to request the products from their local retailers is called a:

Interactive promotion allows customers and companies to work together to create mutually beneficial exchange relationships in an ongoing dialogue.

Phil's activities as a salesperson for Marquette Publishing are part of Marquette's promotion mix.

An effective public relations department regularly listens to and communicates with the public.

Direct mail, television, and newspapers are the top three advertising media when ranked by total expenditures.

Which of the following represents the primary purpose of a firm using institutional advertising?