Deck 11: Integrated Marketing Communications 2: Direct Communications Techniques

Question 1

Developments in _______ have allowed 'buzz' content to spread very quickly via email and social media.

A)the economy
B)technology
C)customer needs
D)company capabilities

Answer 1

B

Question 2

When companies use buzz marketing, they are attempting to harness a _______ effect by building messages that are suitably engaging and interesting that customers want to read and pass on.

A)viral
B)rational
C)cognitive
D)formal

Answer 2

A

Question 3

Which of the following is not a type of information recorded on a database?

A)Transactional information
B)Promotional information
C)Customer and prospect information
D)Economic information

Answer 3

D

Question 4

Database information allows organizations to build which of the following?

A)Customer profiles
B)Loyalty schemes
C)Understanding of shopper behaviour
D)All of the above

Question 5

Which of the following is an example of message content commonly shared via viral/buzz marketing?

A)A video clip
B)An email attachment
C)A blog
D)All of the above

Question 6

Which of the following is not an application of database marketing?

A)Target marketing
B)Distributor management systems
C)Loyalty marketing
D)All of the above are applications of database marketing

Question 7

Which of the following reasons has led to the growth in direct marketing activities?

A)Developments in technology
B)High costs of other techniques
C)Growing fragmentation of media and markets
D)All of the above are reasons that have led to the growth in direct marketing activities

Question 8

The first step in a buzz marketing campaign involves identifying the trendsetters that adopt new ideas and technologies before everyone else. These trendsetters are known as:

A)betas.
B)gammas.
C)alphas.
D)deltas.

Question 9

Which of the following is not an aim of database marketing?

A)To stay close to customers by recording and storing an electronic database memory of customers, prospects and all communication and transactional data
B)To control the dialogue between the organization and the customer
C)To stimulate demand
D)To provide information to a target audience

Question 10

CRM systems can be used for:

A)enquiry management.
B)customer development.
C)win-back
D)all of the above

Question 11

The origins of direct marketing lie in:

A)telemarketing.
B)direct mail.
C)electronic media.
D)none of the above.

Question 12

Which of the following is not a characteristic of viral/buzz marketing?

A)Transferred from peer-to-peer
B)Expensive to produce
C)Engaging message content
D)Less likely to be rejected than other electronic communication

Question 13

Transactional data must be sufficiently detailed to allow FRAC information to be extracted from each customer. What does FRAC stand for?

A)Frequency, recency, amount, category
B)Fast, relevant, amount, category
C)Fast, relevant, ample, continuous
D)None of the above

Question 14

Which of the following is not a form of direct marketing?

A)Catalogue marketing
B)Inserts
C)Advertising
D)Door-to-door leafleting

Question 15

Which of the following is not a factor that has been associated with the success of CRM?

A)Having a board level champion of the CRM project
B)Having a production orientation
C)Involving users in the design of CRM
D)Having the ability to manage cultural change issues that arise as a result of system development and implementation

Question 16

Which of the following is not a characteristic associated with database marketing?

A)It usually requires the customer to respond in a way that allows the company to take action
B)It allows direct communication with customers through a variety of media including direct mail, telemarketing and direct response advertising
C)To trace the response back to the original communication
D)All of the above are characteristics associated with database marketing

Question 17

Which of the following is not a characteristic of buzz marketing?

A)Involves the use of electronic communication
B)Involves the passing of information from person-to-person
C)Involves the use of verbal communication
D)Is a type of formal communication

Question 18

Which of the following is a benefit of using a marketing database?

A)It helps maintain customer loyalty
B)It helps obtain new customers for an organization
C)It is less costly than other marketing communication methods
D)It helps build the positioning strategy of a firm

Question 19

Word-of-mouth marketing which is also known as _______ marketing is defined as the passing of information about products and services by verbal or electronic means, in an informal person-to-person manner.

A)mass
B)brand
C)media
D)buzz

Question 20

What does the term CRM stand for?

A)Customer relationship management
B)Customer retention management
C)Client retention marketing
D)None of the above

Question 21

Salespeople, where the major objective is to persuade the customer to make a direct purchase, are referred to as which of the following?

A)Order creators
B)Order receivers
C)Order getters
D)Order takers

Question 22

Which of the following is not a characteristic of personal selling?

A)Interactive
B)Adaptable
C)Complex
D)All of the above are characteristics of personal selling

Question 23

What is the final stage in a direct marketing campaign?

A)Identification of the target audience
B)Media decisions
C)Execute and evaluate campaign
D)None of the above

Question 24

Customer Relationship Management (CRM) is a term for the methodologies, technologies and _______ capabilities used by firms to manage customer relationships.

A)Economic
B)Political
C)Cultural
D)E-commerce

Question 25

Salespeople, where the sales task is not to close the sale but to persuade the customers to recommend or specify the seller's products, are referred to as which of the following?

A)Order creators
B)Order receivers
C)Order getters
D)Order takers

Question 26

Which of the following promotional tools allows for direct interaction between the buyer and the seller?

A)Advertising
B)Internet promotion
C)Personal selling
D)Publicity

Question 27

Which of the following is the correct order for the seven phases of the selling process?

A)Need and Problem Identification, Preparation, The Opening, Presentation and Demonstration, Dealing with Objections, Closing the Sale, The Follow Up
B)Need and Problem Identification, Preparation, The Opening, Presentation and Demonstration, Dealing with Objections, The Follow Up, Closing the Sale
C)Preparation, The Opening, Presentation and Demonstration, Need and Problem Identification, Dealing with Objections, Closing the Sale, The Follow Up
D)Preparation, The Opening, Need and Problem Identification, Presentation and Demonstration, Dealing with Objections, Closing the Sale, The Follow Up

Question 28

The effectiveness of direct mail relies heavily on which of the following?

A)The effectiveness of the promotional copy
B)The quality of the mailing list
C)The promotional incentives given
D)The response device provided (e.g. freephone number or postage paid envelope)

Question 29

Salespeople who respond to already committed customers, such as a sales assistant in a convenience store or a delivery salesperson, are referred to as which of the following?

A)Order creators
B)Order receivers
C)Order getters
D)Order takers

Question 30

Which of the following is not a factor explaining the growth of direct marketing?

A)Growing consolidation in media and markets
B)Developments in technology
C)Significantly increased supply of mailing lists
D)All of the above are factors explaining the growth of direct marketing

Question 31

Television is becoming more interactive. Which of the following techniques have been used to encourage levels of customer interaction?

A)Invitations to enter competitions
B)Opportunities to vote
C)Make donations
D)All of the above

Question 32

Which of the following is a disadvantage associated with telemarketing?

A)It lacks the personalization of other techniques
B)It is more expensive than direct mail
C)Higher costs per contact than a face-to-face salesperson visit
D)None of the above are disadvantages associated with telemarketing

Question 33

What is the first stage in a direct marketing campaign?

A)Creative decisions
B)Identification of the target audience
C)Media decisions
D)Campaign execution

Question 34

What does SMS stand for?

A)Sophisticated mailing system
B)Short messaging service
C)Seminal mobile system
D)None of the above

Question 35

What does MMS stand for?

A)Mailing marketing system
B)Mobile messaging service
C)Multimedia messaging service
D)None of the above

Question 36

Direct response advertising differs from traditional advertising because of which of the following reasons?

A)It uses different media vehicles
B)It relies on the hard sell approach
C)It is designed to elicit a direct response such as an order enquiry or a request for a visit
D)The average direct response advert is 30 minutes long whereas traditional advertising is 30 seconds long

Question 37

Which of the following is a direct marketing provision under the European Commission Directive?

A)Suppliers cannot insist on pre-payments
B)Orders must be met within 30 days unless otherwise indicated
C)Customers must be told the identity of the supplier
D)All of the above

Question 38

Which of the following is an advantage associated with catalogue marketing?

A)Distribution is decentralised, thereby reducing distribution costs
B)Suits all product categories as products can be tested
C)Cheap to produce catalogues
D)Ability to reach certain market segments who value the convenience of choosing products at home

Question 39

Which of the following statements is true?

A)In industrial marketing, over 70% of the marketing budget is usually spent on the sales force
B)In consumer marketing, over 70% of the marketing budget is usually spent on the sales force
C)All of the above
D)None of the above

Question 40

Which of the following is not a role for telemarketing?

A)To transmit information rich messages
B)To maintain and update the firm's marketing database
C)To generate leads through establishing contact with prospective customers
D)To support the field sales force

Question 41

When remunerating salespeople, commissions are advantageous as they are an incentive for a salesperson to sell more as they are directly tied to _______ levels.

A)stock
B)customer service
C)sales
D)profit

Question 42

Why is customer record-keeping an important activity for all repeat-call salespeople?

A)Because customer information is key to improving service and generating loyalty
B)Because it facilitates the processing of orders and credit
C)Because it improves the marketing information system thereby building market intelligence on our customers
D)None of the above

Question 43

A prospect cannot be obtained from which of the following?

A)The electoral register
B)Trade directory
C)Business press
D)Referrals from existing customers

Question 44

Which of the following is the main reason that sales force evaluation is performed?

A)So that a salesperson can be allocated new objectives
B)So that a salesperson's rewards can be determined
C)So that a salesperson's strengths and weaknesses can be identified
D)So that a salesperson's successes can be praised

Question 45

'Prospecting' is which of the following?

A)The evaluation of potential advertising themes
B)The evaluation of a company's positioning strategies
C)The searching for, and calling upon, potential customers
D)The handling of media relations by the public relations department

Question 46

The effectiveness of _______ relies heavily on the quality of the list being used. Poor lists can contribute to the growing negative perception of 'junk mail'.

A)sales management
B)direct response advertising
C)direct mail
D)buzz marketing

Question 47

Which of the following is not an approach to organizing a sales force?

A)Customer-based structure
B)Sale representative structure
C)Product-based structure
D)Geographic structure

Question 48

Effective need and problem identification during the sales process requires which of the following?

A)The development of questioning and listening skills
B)Salesforce confidence
C)Excellent sales presentation technique
D)All of the above are requirements

Question 49

Why has there been an increased usage of the 'key account management' sales force structure?

A)Increasing use of technology applications
B)Increasing concentration of buying power into fewer but larger customers
C)Inefficiency of other techniques
D)Increasing market trends where the key account management structure is the norm, therefore, it needed to be adopted by all organizations

Question 50

Training should include not only product knowledge but also which of the following?

A)Character assessment
B)Market assessment
C)Character building exercises
D)Skills development

Question 51

The 'concession close' refers to which of the following?

A)Asking if one particular objection is overcome, will the customer buy the product or service
B)Offering a special deal to close the sale
C)Asking for the order to close the sale
D)Handing over the customer to a sales manager to close the sale

Question 52

Which of the following is not a quantitative criterion used in the evaluation of a sales force?

A)Complaint handling
B)Number of new customers
C)Number of complaints
D)Profits generated

Question 53

Which of the following statements is true?

A)The salesperson during a sales presentation should focus on customer benefits rather than product features
B)The salesperson during a sales presentation should focus on product features rather than customer benefits
C)The salesperson during a sales presentation should leave all questions to the very end
D)The salesperson during a sales presentation should ask all questions at the very start

Question 54

According to extensive research, which of the following are the two most important qualities needed by sales people?

A)Memory and motivation
B)Reliability and focus
C)Empathy and ego drive
D)Resilience and direction

Question 55

Why is the follow up stage, after the close of a sale, important?

A)To ensure payment
B)Since most objections are dealt with at this stage
C)Since most companies rely on repeat business
D)To highlight product benefits

Question 56

Which of the following reasons has led to the growth in direct marketing activities?

A)Developments in technology
B)High costs of other techniques
C)Significantly increased supply of mailing lists available
D)All of the above are reasons that have led to the growth of direct marketing

Question 57

Preparation by a salesperson helps provide which of the following?

A)Increased product knowledge
B)Improved presentation delivery
C)Clear sales call objectives
D)All of the above are benefits of preparation during the sales process

Question 58

Which of the following is not a qualitative criterion used in the evaluation of a sales force?

A)Customer relationships
B)Number of sales calls
C)Product knowledge
D)Self-management

Question 59

Which of the following is an advantage of key account management?

A)More in-depth penetration of the decision making unit
B)Better follow-up on sales and service
C)Improved communication and coordination
D)All of the above are advantages

Question 60

How can sales managers motivate their sales team?

A)Provide both financial and non-financial rewards
B)Provide targets which are attainable
C)Knowing what each salesperson values
D)All of the above are motivational tools used

Question 61

A role of telemarketing is to maintain and update the firm's marketing database.

Question 62

The objectives of direct marketing campaigns can be the same as those of other forms of promotion, namely, to improve sales and profits, to acquire or retain customers or to create awareness.

Question 63

Telemarketing's cost per contact is cheaper than a personal sales call, however, it is more expensive than direct mail or media advertising.

Question 64

A key factor in the effectiveness of a direct mail campaign is the size of the mailing list.

Question 65

Direct response advertising appears in the prime media such as television, newspapers and magazines, but differs from standard advertising as it is designed to elicit a direct response such as an order enquiry or a request for a visit.

Question 66

Success demands identification of some form of competitive advantage capable of distinguishing the organization from other firms operating in the same market sector.

Question 67

Which of the following is an advantage associated with catalogue marketing?

A)Distribution is decentralized, thereby reducing distribution costs
B)Cheap to produce catalogues
C)Suits all product categories as products can be tested
D)Opportunity to display a wider range of products than could feasibly be achieved in a shop