Canadian Advertising in Action, 10E Keith J. Tuckwell Test Bank

Type:

Test Bank

Resource:

Canadian Advertising in Action

Edition:

10th Edition

Author(s):

Keith J. Tuckwell

TEST BANK FOR

Canadian Advertising in Action Tenth Edition Keith J. Tuckwell St Lawrence College

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

Chapter 1 1) Advertising is best defined as A) marketing B) a paid form of marketing communication designed to influence thought patterns and purchase behavior C) a subsection of business D) a sales tool designed to elicit an immediate response from consumers E) a media division within a marketing department Answer: B Diff: 1 Type: MC Page Ref: 4 Skill: Recall 2) A story about a company product in a newscast or newspaper that is not paid for by the company is an example of which form of integrated marketing communications?

A) advertising B) sales promotion C) public relations D) event marketing E) sponsorship Answer: C Diff: 2 Type: MC Page Ref: 12 Skill: Applied

3 Changes in consumer behaviour related to media consumption dictate that a media plan must include A) primetime television B) a strong internet presence C) direct response marketing D) event marketing E) sponsorship Answer: B Diff: 3 Type: MC Page Ref: 5 Skill: Applied

4) A main reason advertisers do not advertise more on social media is A) too expensive B) not sure which social media to use C) return on investment is difficult to measure D) traditional media work best E) it is not interactive Answer: C Diff: 3 Type: MC Page Ref: 10 .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Recall

5) You would use sales promotion to A) increase the product mix B) encourage an immediate response from consumers C) increase advertising dollars D) improve distribution E) increase the use of the media Answer: B Diff: 3 Type: MC Page Ref: 12 Skill: Recall 6) When Redbull sends out teams to hand out samples, the company is using which marketing communications tool?

A) advertising B) trade promotion C) experiential marketing D) public relations E) interactive communications Answer: C Diff: 3 Type: MC Page Ref: 12 Skill: Applied 7) The United Way's campaign about helping the homeless is an example of A) consumer advertising B) retail advertising C) advocacy advertising D) direct-response advertising E) end-product advertising Answer: C Diff: 2 Type: MC Page Ref: 8 Skill: Applied

8) People are going online and discussing their experiences with products they have used.

This activity takes place on A) television B) radio C) magazines D) billboards E) social media Answer: E Diff: 1 Type: MC Page Ref: 9 Skill: Applied .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

9) The critical time for marketing communications in the product life cycle is during A) the mature stage B) the introduction and growth stages C) the introduction stage D) the growth stage E) the mature and decline stages Answer: B Diff: 2 Type: MC Page Ref: 15 Skill: Recall 10) The most common way to show competitive advantage is to A) sell more products B) demonstrate product superiority C) avoid innovation D) keep prices low E) match the competition Answer: B Diff: 1 Type: MC Page Ref: 19 Skill: Recall 11) A recent phenomenon is the progressive use of lifestyle association in advertising.

This involves A) scientific demonstrations B) product comparisons C) emotional appeals D) price comparisons E) logical appeals Answer: C Diff: 3 Type: MC Page Ref: 20 Skill: Applied

12) Often the Public Relations Department of an organization is responsible for building and maintaining a positive image of a company with its various publics. This is called A) advocacy advertising B) sponsorship advertising C) corporate advertising D) end-product advertising E) direct-response advertising Answer: C Diff: 2 Type: MC Page Ref: 8 Skill: Applied

.

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 13) In reaching today's multi-tasking consumer who is active in several media at the same time, advertisers must consider A) the impact of PVRs on television viewing B) developing a stronger billboard presence C) placing messages at a time and place where the consumer is engaged D) embedding product messages into the scripts of TV shows E) increasing the media placement budget Answer: C Diff: 2 Type: MC Page Ref: 22 Skill: Applied 14) Research shows that social media are effective in building market share when A) advertising is a pop- up B) long advertising videos are shown on YouTube C) the audience can purchase immediately after seeing the advertising on the internet D) celebrities endorse the social media advertising E) customers share their positive opinions Answer: E Diff: 2 Type: MC Page Ref: 23 Skill: Applied 15) Advertising's primary role is to A) influence the behaviour of a target market B) induce trial purchase C) increase demographic sales D) increase multicultural awareness E) reduce media costs Answer: A Diff: 1 Type: MC Page Ref: 4 Skill: Recall 16) Assuming that consumers develop a favourable attitude toward a specific service or brand, advertising can be both A) informative and multi-cultural B) informative and segmented C) persuasive and direct response D) informative and persuasive E) informative and negative Answer: D Diff: 2 Type: MC Page Ref: 5 Skill: Applied 17) Advertising is just one component of marketing communications, along with A) personal selling B) product and distribution .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) price D) media planning E) budgeting Answer: A Diff: 1 Type: MC Skill: Recall

Page Ref: 7

18)Advertising opportunities on the internet include A) billboard advertising B) television advertising C) display advertising D) public relations E) radio advertising Answer: C Diff: 3 Skill: Applied

Type: MC

Page Ref: 9

19) For news and commercial messages, today's consumers are more reliant on A) television B) internet and mobile digital technology C) newspapers D) satellite radio E) magazines Answer: B Diff: 2 Type: MC Page Ref: 22 Skill: Recall 20) When East Side Mario’s used advertising to communicate their new menu, its primary aim was to A) sell products to New Yorkers B) rejuvenate a mature product C) associate with New York D) stress its hidden qualities E) demonstrate its superiority Answer: B Diff: 3 Type: MC Page Ref: 18 Skill: Applied 21) Advocacy advertising by non-profit organizations like The United Way and Greenpeace is designed to A) Present a point of view on a public issue B) communicate a special price C) persuade all market segments D) launch new products E) communicate additions to the product mix .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: A Diff: 3 Skill: Applied

Type: MC

Page Ref: 8

22) The primary goal of sales promotion is to A) improve a company’s image B) communicate a company’s store locations C) provide takeover information D) communicate changes in personnel E) encourage an immediate response by the customer Answer: E Diff: 1 Type: MC Page Ref: 12 Skill: Applied 23) When Green Giant Corn advertises in Canadian Grocer Magazine, they are involved in A) direct response advertising B) trade advertising C) retail advertising D) advocacy advertising E) consumer advertising Answer: B Diff: 2 Type: MC Page Ref: 7 Skill: Applied 24) Free publicity is always generated through A) retail advertising B) public relations C) direct response advertising D) end-product advertising E) sales promotions Answer: B Diff: 2 Type: MC Page Ref: 12 Skill: Applied 25) Experiential marketing communications includes A) national brand ads B) infomercials C) flyers D) events E) out-of-home advertising Answer: D Diff: 1 Type: MC Page Ref: 13 Skill: Applied

.

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 26) An advertisement promoting fabricated parts in a specialized industry publication is an example of A) industrial advertising B) corporate advertising C) trade advertising D) professional advertising E) national advertising Answer: A Diff: 1 Type: MC Page Ref: 7 Skill: Applied 27) Trade advertising is done by manufacturers and directed at A) the legal profession B) consumers C) industrial buyers D) channel members E) advertising agencies Answer: D Diff: 2 Type: MC Page Ref: 7 Skill: Recall 28) The legal profession can be reached through advertising in magazines such as Canadian Lawyer. This is known as A) consumer advertising B) industrial advertising C) trade advertising D) business-to-business advertising E) national advertising Answer: D Diff: 3 Type: MC Page Ref: 7 Skill: Applied 29) Corporate advertising may be used to A) increase sales force B) increase media budget C) enhance a firm's image among its publics D) reduce costs E) improve product development Answer: C Diff: 2 Type: MC Page Ref: 8 Skill: Recall 30) Companies that approach communications as a complete package, embrace the concept of A) marketing strategy B) creative advertising .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) integrated marketing communications D) product superiority E) customer satisfaction Answer: C Diff: 3 Type: MC Page Ref: 6 Skill: Applied 31) Advertising designed to influence public opinion is referred to as A) advocacy advertising B) service industry advertising C) product advertising D) promotional advertising E) public advertising Answer: A Diff: 2 Type: MC Page Ref: 8 Skill: Recall 32) At what stage in the product life cycle must the product focus on creating brand preference?

A) introduction B) growth C) maturity D) decline E) withdrawal Answer: B Diff: 3 Type: MC Page Ref: 17 Skill: Applied 33) An advertisement featuring refrigerated display units in Canadian Grocer is an example of A) industrial advertising B) merchandising advertising C) trade advertising D) professional advertising E) service-industry advertising Answer: A Diff: 3 Type: MC Page Ref: 7 Skill: Applied 34) Wendy’s finds itself in a product category where competitors like McDonald’s invest heavily in advertising. Wendy’s should A) adopt an online strategy B) pursue new customer segments C) evaluate less expensive alternatives such as sales promotion D) reduce advertising spending E) divert advertising dollars to broadcast media only .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: C Diff: 3 Skill: Applied

Type: MC

Page Ref: 20

35) Canadian programming is the cornerstone of the A) Telecommunications Act B) Canadian Code of Advertising Standards C) Competition Act D) Broadcasting Act E) Food and Drug Act Answer: D Diff: 2 Type: MC Page Ref: 25 Skill: Applied 36) Which medium accounts for the largest portion of advertising revenue among the mass media in Canada?

A) radio B) television C) magazines D) billboards E) internet Answer: B Diff: 2 Type: MC Page Ref: 4 Skill: Recall 37) The largest advertising categories in Canada include: A) financial institutions B) telecommunications companies C) educational institutions D) publishing companies E) provincial governments Answer: A Diff: 2 Type: MC Page Ref: 4 Skill: Recall 38) Older consumers are more concerned than younger consumers about A) use of personal information B) social media C) inappropriate messages D) sex in advertising E) extreme advertising Answer: A Diff: 3 Type: MC Page Ref: 23 Skill: Recall 39) Communications that allow consumers to order directly is referred to as .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) end-product advertising B) experiential marketing C) direct-response communications D) sales promotions E) service-industry advertising Answer: C Diff: 2 Type: MC Page Ref: 12 Skill: Applied

40) The channel that will be the hub for delivering content for all media is A) newspapers B) magazines C) radio D) television E) the internet Answer: E Diff: 1 Skill: Applied

Type: MC

Page Ref: 22

41) Advertising that focuses on improving the company’s image is known as A) socially responsible advertising B) multi-faceted advertising C) corporate advertising D) industrial advertising E) advocacy advertising Answer: C Diff: 1 Type: MC Page Ref: 8 Skill: Recall 42) Delivering a message directly to a potential customer is A) promotional advertising B) direct-response communications C) advocacy advertising D) corporate advertising E) retail advertising Answer: B Diff: 1 Type: MC Page Ref: 12 Skill: Recall 43) Labatt’s “smooth taste teams” is an example of A) experiential marketing B) lifestyle advertising C) prestige promotions .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e D) value advertising E) versatility display Answer: A Diff: 1 Type: MC Skill: Recall

Page Ref: 13

44) Popular promotions during the mature stage of the product life cycle are A) coupons and price discounts B) premium offers and contests C) price discounts and bonus packs D) seasonal packaging and coupons E) sale prices Answer: B Diff: 3 Type: MC Page Ref: 18 Skill: Applied 45) When Kashi communicated that its cereal was tasty and lowers cholesterol, the company’s goal was to A) rejuvenate a mature product B) communicate a hidden quality C) target lifestyle aspirations D) communicate a sales promotion E) demonstrate its superiority Answer: E Diff: 2 Type: MC Page Ref: 19 Skill: Applied 46) A grocery store using coupons, cash refunds and contests is using A) public relations B) pricing strategy C) sales promotion D) advertising E) personal selling Answer: C Diff: 1 Type: MC Page Ref: 12 Skill: Applied 47) When Samsung launched the Galaxy S4 and communicated the product’s features that were better than the competition, the company established a competitive advantage by A) offering a unique sales proposition B) communicating a product innovation C) re-positioning its product line D) targeting a niche audience E) stressing hidden qualities Answer: B .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 3 Skill: Applied

Type: MC

Page Ref: 20

48) Major networks are streaming shows and sporting events for viewing online. This has led to A) On-demand viewing B) total commercial-free viewing C) more tech-savvy consumers D) consumers becoming more isolated in society E) consumers losing control of their TV Answer: A Diff: 2 Type: MC Page Ref: 22 Skill: Applied 49) The primary job of personal selling is to A) make a sale B) support an event C) encourage volume or seasonal buying D) generate free publicity E) stimulate awareness of a product Answer: A Diff: 2 Type: MC Page Ref: 13 Skill: Recall 50) The Canadian Code of Advertising Standards is administered by A) Canadian Radio-television and Telecommunications Commission B) AOL and Time Warner C) The Competition Act D) Advertising Standards Canada E) Canadian Institute of Advertising Answer: D Diff: 3 Type: MC Page Ref: 26 Skill: Recall 51) A television commercial showing "twenty-somethings" drinking Red Bull while active in extreme sports is an example of A) pop advertising B) lifestyle advertising C) sex-role stereotyping D) hidden qualities E) information-driven communication Answer: B Diff: 3 Type: MC Page Ref: 20 Skill: Applied 52) The Canadian Code of Advertising Standards addresses .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) Canadian programming content B) broadcast license applications C) cable television licences D) Canadian ownership of broadcast licences E) appropriate and accurate messages Answer: E Diff: 2 Type: MC Page Ref: 27 Skill: Applied 53) A common complaint about advertising is A) the rising costs B) attention deficit in audiences C) lack of scientific evidence in messages D) use of sex to sell something E) people don’t read ads Answer: D Diff: 2 Type: MC Page Ref: 24 Skill: Applied 54) Canadian Tire’s association with the 2014 Canadian Olympic Team is an example of A) database marketing B) sales promotion activities C) sponsorship D) national advertising E) public relations Answer: C Diff: 2 Type: MC Page Ref: 13 Skill: Applied 55) Which type of communications provides a distinct reason to buy now rather than later?

A) corporate advertising B) national advertising C) service-industry advertising D) advocacy advertising E) sales promotion Answer: E Diff: 2 Type: MC Page Ref: 12 Skill: Applied 56) The iced tea segment is growing based on consumers' perceptions that tea is a healthy beverage. This is an example of A) selective perception B) brand preference C) primary demand D) a product innovation .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e E) a lifestyle consideration Answer: E Diff: 3 Type: MC Skill: Applied

Page Ref: 20

57) In a competitive environment, brand leaders build market share by A) investing in sales promotion B) implementing price discounting C) maintaining significant advertising budgets D) making a short-term commitment to advertising E) relying more on personal selling Answer: C Diff: 3 Type: MC Page Ref: 20 Skill: Recall 58) In terms of integrated marketing communications, all elements should A) say the same thing and complement each other B) work to communicate several different messages C) take a secondary importance to advertising D) be invested in equally E) be handled by one outside supplier Answer: A Diff: 2 Type: MC Page Ref: 6 Skill: Applied 59) Traditionally, mass advertising helped to A) create clutter in media B) drive store traffic and sales C) create widespread awareness of a new product D) build customer databases E) create word-of-mouth advertising Answer: C Diff: 3 Type: MC Page Ref: 5 Skill: Recall 60) For management that perceives advertising as an expense, advertising goals will not be met when A) advertising is expensive B) measures of advertising effectiveness are unavailable C) there is a profit-squeeze situation D) social media is not being used E) public relations is a priority Answer: C Diff: 3 Type: MC Page Ref: 21 Skill: Applied .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 61) Advertising in Canada is big business! In 2011, the amount spent was $14.4 billion.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 4 Skill: Recall 62) Social media sites are a wonderful place for consumers to deliver word-of-mouth messages about companies.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 10 Skill: Applied 63) Advocacy advertising encourages consumers to look for a particular component or ingredient when buying a final product.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 8 Skill: Recall 64) Apple’s launch of the new iPhone 5 with its new and better features is an example of showing a competitive advantage through product innovation.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 20 Skill: Applied 65) New media alternatives are solely the domain of younger generations.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 23 Skill: Recall 66) A Corvette television advertisement showing an enraged driver racing wildly is an example of extreme advertising used to encourage young audiences to get involved in street car racing.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 25 Skill: Applied .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

67) Direct mail is the most common means of delivering direct-response messages to potential consumers.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 12 Skill: Recall 68) The Canadian Code of Advertising Standards addresses concerns about superstitions and fears in commercial messages.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 27 Skill: Recall 69) Business-to-business advertising refers to advertising aimed only at professional associations such as medical associations.

A) True B) False Answer: False Diff: 1 Type: TF Page Ref: 7 Skill: Applied 70) A press release issued by Greenpeace would be used to influence the attitudes, opinions and behaviours of interest groups toward its organization.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 12 Skill: Applied 71) Rather than plan a unique event, a company may choose to sponsor an existing event in order to save money and reduce risk.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 13 Skill: Applied 72) Sales promotion is long term in scope.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 12 .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 73) Companies use coupons, contests and other incentives to encourage immediate sales.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 12 Skill: Applied 74) SUV car ads showing people enjoying themselves outdoors is an example of an advertiser demonstrating product superiority.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 19 Skill: Applied 75) Kellogg’s Special K Cereal print campaign offered a free personal slim plan with purchase. This advertising tactic encourages brand loyalty in the mature phase of the product life cycle.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 18 Skill: Applied 76) Bell Canada sponsored the 2010 Vancouver Olympic Games. This is a great example of direct-response communications.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 12 Skill: Applied 77) In the growth stage of a product, advertising performs a dual role, creating awareness while establishing brand preference.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 16 Skill: Recall 78) Advertising is critical at the decline stage of the product life cycle.

A) True B) False Answer: False .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Applied

Type: TF

Page Ref: 19

79) The internet has the potential to become the biggest single-source generator of revenues among all communications alternatives.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 9 Skill: Applied 80) Canadians 18 and over spend more time watching television than listening to radio.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 3 Skill: Recall 81) A big challenge for advertisers is to convince people to use traditional rather than new media.

A) True B) False Answer: False Diff: 1 Type: TF Page Ref: 5 Skill: Recall 82) Advertising makes products appear better than they actually are.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 21 Skill: Applied 83) The biggest problem with experiential marketing is that it is impersonal.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 13 Skill: Recall 84) Mobile communications are not interactive.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 10 Skill: Applied .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

85) A food manufacturer falsely claiming its products are organic comes under the scrutiny of Advertising Standards Canada.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 25 Skill: Applied 86) Event Marketing and Sponsorship is considered a growth area of marketing communications. Discuss the benefits of these IMC activities.

Answer: Similar to public relations, event marketing and sponsorship often yield favourable news coverage and publicity. Customers may feel better about the sponsor knowing that it is participating in something that is meaningful to that customer, and it may ultimately influence product purchases.

Diff: 3 Type: ES Page Ref: 13 Skill: Applied 87) Discuss how an advertisement featuring a contest for Bell Mobility would impact product sales.

Answer: Sales promotion activities like contests encourage immediate sales and may encourage volume buying or seasonal buying. Sales promotion activities may also encourage merchandising activity in retail stores which can provide the opportunity for increased sales at the point of purchase.

Diff: 3 Type: ES Page Ref: 12 Skill: Applied 88) If IKEA were to develop an advertising campaign featuring affordable furniture solutions for the challenges of student life, what technique would IKEA be using to differentiate its products? Discuss the effectiveness of this technique.

Answer: A recent phenomenon in advertising is the progressive use of lifestyle associations to differentiate among products. Advertisers target lifestyle aspirations by appealing to the emotional side of the purchase decision. The advertising makes an emotional connection with potential consumers and shows how the product plays a role in one's life.

Diff: 3 Type: ES Page Ref: 20 Skill: Applied 89) Why is it so important for a product to live up to the promise advertising makes?

Answer: Advertising messages focus on the unique selling points of the product and the benefits the customer will derive from them. Getting the customer to try a product once, at great expense, only to be disappointed in the quality or whatever the .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e primary benefit was to be is a waste of money. It is imperative that the brand meet consumer expectations so that repeat purchases occur in the longer term.

Diff: 3 Type: ES Page Ref: 21 Skill: Recall 90) How do product demand and the product life cycle influence the decision to invest in advertising?

Answer: In the introductory and growth stages, a company should encourage demand through advertising. As demand declines, investment in advertising should be reduced or even withdrawn.

Diff: 2 Type: ES Page Ref: 15 Skill: Recall 91) What are the critical stages for marketing communications in the product life cycle?

Answer: The critical stages for marketing communications are the product's introduction and growth stages. Advertising objectives focus on creating awareness for a new brand and on repositioning for a mature brand. Trial purchase through promotional incentives are also popular during the introductory stage Diff: 2 Type: ES Page Ref: 15 Skill: Recall 92) Why are members of contemporary Canadian society complaining about the use of sex in advertising to sell products?

Answer: Critics charge that advertisers are using more and more sex with each passing year. Using sex appeals in an appropriate manner and for appropriate products seems natural, but gratuitous sex is something consumers shouldn't have to tolerate.

Diff: 2 Type: ES Page Ref: 24 Skill: Recall 93) Discuss the challenges that new technologies are posing for television advertisers today.

Answer: The increasing penetration of satellite dishes, cable television, and the availability of so many stations have changed the way that people view television. Audiences will continue to be chopped into increasingly smaller sizes, a phenomenon referred to as audience fragmentation. In addition, consumers are increasingly taking control of their television viewing by using their remote controls or PVRs. Online delivery of many television shows and sporting events has led to ondemand viewing.

Diff: 2 Type: ES Page Ref: 22 Skill: Applied .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 94) The goal of integrated marketing communications is to coordinate the various components of communications to achieve common objectives. What are the seven major elements of this mix?

Answer: The marketing communications mix comprises seven major elements: advertising, public relations, sales promotion, personal selling, experiential marketing (event marketing and sponsorships), direct response, and interactive communications.

Diff: 1 Type: ES Page Ref: 7 Skill: Recall 95) Advertising has always played a major role in achieving brand and company objectives. Discuss how opportunities for contemporary advertising are changing.

Answer: Advertising plays a major role by helping attract new customers and retain current customers. Contemporary advertising is now more targeted based on database and interactive marketing techniques. Social media are proving to be more cost effective at engaging customers and interacting with them.

Diff: 3 Type: ES Page Ref: 5 Skill: Recall 96) Should the success of an advertising campaign be measured strictly in terms of product sales? Why or why not?

Answer: Such measurement is misleading, as there is no direct relationship between advertising and sales. Other variables beyond advertising influence the consumer's decision-making process. Marketing decisions regarding product, price, distribution, sales promotion, personal selling, and event marketing, for example, all combine to have an effect on sales. It is not reasonable to hold one variable, such as advertising, responsible when sales decline or increase.

Diff: 3 Type: ES Page Ref: 5 Skill: Applied 97) Should companies capitalize on social media? Explain your answer.

Yes! More audiences are using social media in Canada, especially the Baby Boomers. Many companies see social media as an effective advertising channel in building market share, especially when their customers are sharing positive feelings about the company on social media. Effective, two-way conversations between customers and a company produce positive word of mouth.

Diff: 3 Type: ES Page Ref: 23 Skill: Applied 98) Explain the difference between advertising and public relations.

Answer: Both advertising and public relations are forms of marketing communications.

Advertising is a paid form of communications where the company pays for space in a channel of communications. Examples would be a television spot, a radio .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e spot, a print advertisement in a magazine or newspaper, or an advertising banner on the internet. In contrast, public relations is an unpaid form of communications.

Publication of a message is not directly funded by the company. Instead, companies rely on the media to see their message as newsworthy so that it will be published or broadcasted. Partnering with causes for the public good usually results in newsworthy messages.

Diff: 1 Skill: Applied

Type: ES

Page Ref: 11

99) Alpine Gum offered consumers a significant benefit over its competitor Hall's lozenges: its medicinal properties last 20 minutes compared to only seven or eight minutes for a lozenge. Discuss Alpine's advantage and how it contributed to its advertising campaign.

Answer: The most common way to show advantage is to demonstrate the superiority of a product compared to a similar product or stating what the product can do. Alpine's campaign had impact because the message was meaningful to the target audience.

Diff: 3 Type: ES Page Ref: 19 Skill: Applied 100) Define personal selling and explain its relationship to advertising.

Answer: Personal selling is a personalized form of communication that involves a seller presenting the features and benefits of a product or service to a buyer for the purpose of making a sale. A sales representative presents the merits of a brand to the buyer at the head office of a retailer. To illustrate the importance of personal selling, consider how a new product such as Tide to Go or Minute Maid Simply Orange arrives on the shelf at your local supermarket. Advertising can be used in conjunction with personal selling by creating mass awareness of a product and supporting what the seller is communicating to an individual customer.

Diff: 1 Type: ES Page Ref: 13 Skill: Applied 101) Identify and briefly explain the differences between trade and industrial advertising.

Answer: Trade advertising is conducted by manufacturers and directed towards distribution channel members. Messages usually stress the product's acceptance by other intermediaries, the promotions that the manufacturer will offer to help re-sell the product and its profit margins. Industrial advertising is conducted by suppliers targeting industrial buyers of capital equipment, accessories, fabricated parts or raw materials. The advertising message is supportive of personal selling activities.

Industrial advertising tends to stimulate awareness and generate sales leads.

Diff: 1 Type: ES Page Ref: 7 Skill: Recall .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 102) The United Way's campaign about helping the homeless dramatically depicts the nature of the problem while encouraging the public to find a solution. What form of advertising is this and what is its primary objective?

Answer: This is an example of advocacy advertising, defined as any public communication paid for by an identified sponsor that presents information or a point of view on a publicly recognized, controversial issue. The purpose of advocacy advertising is to influence public opinion.

Diff: 2 Type: ES Page Ref: 8 Skill: Applied 103) The most common way to show a competitive advantage is to demonstrate product superiority. Provide an example from a recent advertisement you've seen.

Answer: Advertisers demonstrate the superiority of a given product by comparing it to a similar product or by making significant claims about what the product will do.

Examples could include any product that is more affordable (KIA), faster (Bell Sympatico), superior performance (Samsung), etc.

Diff: 2 Type: ES Page Ref: 19 Skill: Applied 104) Why is it imperative that a brand meets consumer expectations?

Answer: It is imperative that the brand meet consumer expectations (delivered as promised) so that repeat purchases occur in the longer term. Poor or inconsistent quality is inconsistent with customer relationship management programs that companies are now implementing. Advertising dollars are wasted because when a product does not deliver the promise, the advertiser loses credibility and advertising is considered unreliable and unbelievable.

Diff: 2 Type: ES Page Ref: 21 Skill: Recall 105) Explain how advertising has changed.

Contemporary advertising is now more targeted and based on database management and interactive marketing techniques. Media of choice today include more microbased channels (direct response and interactive internet/mobile) than macro-based (television, radio, magazines). The biggest challenge for advertisers now is how to combine the right media to effectively reach the target audience. In the past, the challenge was how to create the best message. Today it is essential that creative and media planners work closely together.

Diff: 3 Type: ES Page Ref: 5 Skill: Recall 106) What is the challenge faced by companies in using social media to advertise?

Answer: .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Nearly 86% of respondents of an Advertising Age survey said they used Facebook as a marketing tactic but only 55% say they advertise on Facebook.

The main reason for this is the difficulty in measuring the effectiveness return on investment of social media advertising. In contrast, techniques for measuring return on investment for traditional media like television and radio are well established.

Diff: 2 Type: ES Page Ref: 10 Skill: Recall 107) Describe how Molson Coors Canada increased the impact of its advertising campaign by combining it with social media.

Answer: Before the advertising campaign for Molson Canadian 67 was launched, Molson created buzz through Twitter, its Molson insider database, and its Molson Canadian Facebook fan page. The database and fan page identified advocates of their brand. Molson invited advocates and a friend to sample the beer and learn about the new brand at a Molson-hosted party. Guests were encouraged to submit written reports of their experience on a dedicated Molson 67 site.

Diff: 2 Skill: Applied

Type: ES

Page Ref: 5

108) What marketing communication strategies should a company consider if it opts to rejuvenate a brand when it reaches the mature stage of its product life cycle?

Answer: Repositioning of a brand requires a large investment in marketing communications to let consumers know how the new and improved brand can meet current consumer expectations. Mass media and online media can be used to get the message across to the target audience. Creating buzz with social media is also important. Promotions that include trial can also be effective.

Diff: 3 Skill: Recall

Type: ES

Page Ref: 19

109) Extreme advertising is a good way to advertise. Discuss this statement.

Answer: Advertisers have only a few seconds to catch the attention of today's viewers before they're gone! To many people in the advertising industry, this style of ad fits with a young, contemporary lifestyle. We have extreme sports, extreme music, extreme food and drink; ad agencies are simply trying to keep up. On the other hand, advertisers have come under criticism for using extreme advertising.

In the automotive industry, for instance, car manufacturers are being criticized for encouraging dangerous driving.

Diff: 2 Type: ES Page Ref: 25 Skill: Applied .

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 110) Define direct-response communications. Provide a recent example.

Answer: Direct-response communications is a form of advertising in which messages are delivered directly to potential customers on an individual basis. Direct mail is the most common means of delivering these messages, but other forms of communication such as direct-response television, print and telemarketing play a significant role. Database management is used to target the audience personally.

Shoppers Drug Mart’s Optimum card is an example of how database information is used for developing effective direct-response communications. The company uses the database information to send unique offers tailored specifically to cardholders’ shopping behaviour.

Diff: 1 Type: ES Page Ref: 12 Skill: Recall

.

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Chapter 2 1) Organizations that support the advertising industry include A) associations B) print production companies C) television companies D) consumer groups E) radio companies Answer: B Diff: 3 Type: MC Page Ref: 34 Skill: Recall 2) Which of the following advertising mediums has forced advertisers to look at different forms of communication opportunities?

A) television B) social media and mobile technology C) radio D) newspaper E) magazines Answer: B Diff: 2 Type: MC Page Ref: 34 Skill: Recall 3) Canadian advertising clients can include A) consumers B) advertising agencies C) retailers D) market segments E) telephone subscribers Answer: C Diff: 2 Type: MC Page Ref: 33 Skill: Recall 4) Advertisers are represented by the A) CRTC B) CARDMEDIA C) ACA D) ICA E) NBC Answer: C Diff: 1 Type: MC Page Ref: 33 Skill: Recall

.

2–1

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 5) Ontario Dairy Producers is an example of A) an advertising agency B) media C) a client D) a media research company E) media support services Answer: C Diff: 3 Type: MC Page Ref: 33 Skill: Applied 6) The Institute of Communications Agencies (ICA) is the national association that represents A) full-service advertising agencies B) the Canadian media C) large advertisers D) advertising support companies E) media support services Answer: A Diff: 1 Type: MC Page Ref: 34 Skill: Recall 7) Nielsen Media Research is an independent organization that A) owns television media B) educates advertisers about the merits of media C) compiles and publishes reliable measurement data D) represents the interests of full-service agencies E) plans and buys media time and space Answer: C Diff: 3 Type: MC Page Ref: 35 Skill: Applied 8) Which medium currently generates the most advertising revenue in Canada?

A) radio B) internet C) daily newspapers D) direct mail E) television Answer: E Diff: 1 Type: MC Page Ref: 34 Skill: Recall

.

2–2

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 9) The largest agency network in Canada is A) MDC Partners B) Maritz Canada C) Cossette Communication Group D) Carlson Marketing E) Nurun Answer: C Diff: 1 Type: MC Page Ref: 33 Skill: Recall 10) The Canadian media is divided into numerous categories, one of which is A) television B) radio C) magazines D) print E) direct mail Answer: D Diff: 2 Type: MC Page Ref: 34 Skill: Recall 11) One of the largest media companies in Canada is A) Canwest Mediaworks B) Torstar C) ICA D) Bell Media E) ACA Answer: D Diff: 2 Type: MC Page Ref: 34 Topic: Applied 12) Advertising support firms include A) photographers B) advertising schools C) consumer groups D) clients E) government lobbyists Answer: A Diff: 1 Type: MC Page Ref: 34 Skill: Recall

.

2–3

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 13) Which of the following organizations provides media support services by educating advertisers?

A) Television Bureau of Canada B) CRTC C) CARD D) Nielsen Marketing Research E) Audit Bureau Answer: A Diff: 1 Type: MC Page Ref: 35 Skill: Recall 14) Research and audience measurement companies include the A) Canadian Direct Marketing Association B) Newspaper Marketing Bureau C) Audit Bureau of Circulations D) Radio Marketing Bureau E) Association of Advertisers Answer: C Diff: 1 Type: MC Page Ref: 35 Skill: Recall 15) Category managers are common in large, packaged goods companies such as A) the Government of Canada B) telemarketers C) Procter & Gamble D) the Hudson Bay Company E) Speedy Muffler Answer: C Diff: 2 Type: MC Page Ref: 36 Skill: Recall 16) In the context of advertising, the brand manager deals with the agency on A) other products in the same category B) customer intelligence and research plans C) creative/media assignments and other IMC activities D) the resources of the client company E) sales reports and forecasts Answer: C Diff: 1 Type: MC Page Ref: 35 Skill: Recall

.

2–4

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 17) The position of advertising manager is in the A) advertising agency B) client organization C) printing industry D) magazine sector E) television network Answer: B Diff: 2 Type: MC Page Ref: 34 Skill: Applied 18) The advertising manager is responsible for activities such as A) copywriting B) creative C) set basic direction of a campaign D) accounting E) product planning Answer: C Diff: 3 Type: MC Page Ref: 36 Skill: Applied 19) Most advertising plans are evaluated on reaching quantifiable objectives, such as to A) increase consumer awareness B) not exceed the media budget C) expand the advertising campaign D) decrease market research E) increase media budget Answer: A Diff: 2 Type: MC Page Ref: 38 Skill: Applied 20) An advertising manager can evaluate the success of an advertising campaign by A) reviewing planned media expenditures B) assessing the reactions of sales management personnel C) relying primarily on qualitative judgments D) counting the number of sales leads that were generated E) examining the cost/value relationship Answer: D Diff: 3 Type: MC Page Ref: 38 Skill: Applied 21) One of the advertising manager's key responsibilities is providing the agency with A) information on new assignments B) comprehensive creative strategies C) timely payment of all invoices D) list of the company personnel E) updates on media research

.

2–5

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: A Diff: 2 Skill: Applied

Type: MC

Page Ref: 36

22) In order to better understand target consumers and to devise better advertising concepts, the advertising manager may A) allocate resources to advertising research B) reallocate media dollars C) shift the work to a new advertising agency D) introduce a new creative approach E) change the philosophical approach to an account Answer: A Diff: 3 Type: MC Page Ref: 38 Skill: Applied 23) If the advertising manager does not like the agency's creative or media recommendation, then A) more advertising research is required B) the client must revise their objectives C) the agency will choose to drop the client D) the agency proposal won't likely reach the corporate approval stage E) the advertising budget will be lowered Answer: D Diff: 3 Type: MC Page Ref: 39 Skill: Applied 24) Broadcast is composed of which type of media?

A) newspapers B) television and radio C) direct mail D) outdoor E) internet Answer: B Diff: 2 Type: MC Page Ref: 34 Skill: Applied 25) Reasons for dissolving a relationship with an agency may include A) shifting demographics B) agency mergers C) the emergence of a new, "hip" agency D) lack of chemistry between the two parties E) policy shifts Answer: D Diff: 3 Type: MC Page Ref: 42 Skill: Applied

.

2–6

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 26) A briefing document includes A) target market profiles B) distribution C) company operations D) pricing structure E) promotion mix Answer: A Diff: 2 Type: MC Skill: Applied

Page Ref: 36

27) Account shifting refers to A) the transfer of funds to a new financial institution B) a shift in market share data C) the movement of an advertising account from one agency to another D) a shift in product development planning E) an increase in pricing Answer: C Diff: 1 Type: MC Page Ref: 42 Skill: Recall 28) To encourage the best possible relationship between clients and agencies, clients must A) hire agencies on a project-by-project basis B) provide appropriate background information C) conduct agency evaluations at regular intervals D) provide international connections E) invest minimal resources Answer: C Diff: 2 Type: MC Page Ref: 43 Skill: Applied 29) Which type of advertising agency must offer integrated marketing communications solutions to its clients?

A) specialist agencies B) boutique agencies C) media-buying service agencies D) full-service agencies E) total-solution communications agencies Answer: D Diff: 2 Type: MC Page Ref: 43 Skill: Recall 30) BBDO Canada and Cossette Communication Group are both examples of A) full-service agencies B) regional advertising agencies C) post production agencies

.

2–7

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e D) specialist agencies E) creative boutiques Answer: A Diff: 2 Type: MC Skill: Recall

Page Ref: 43

31) Typically, full-service agencies attract A) small local businesses B) not for profit companies C) media planning companies D) international head offices E) large national advertisers Answer: E Diff: 2 Type: MC Page Ref: 43 Skill: Applied 32) One of the services that a full-service advertising agency offers clients is A) operations management B) account management C) product production assistance D) sales training E) subjective analysis Answer: B Diff: 2 Type: MC Page Ref: 44 Skill: Applied 33) In today's cluttered media environment, clients are moving away from mass media and toward A) broadcast advertising B) B2B communications C) print advertising D) direct-response communications E) personal selling Answer: D Diff: 2 Type: MC Page Ref: 48 Skill: Recall 34) M2 Universal is an example of which type of specialist agency?

A) media-buying service B) direct-response communications C) broadcast media service D) creative E) interactive communications Answer: A Diff: 2 Type: MC Page Ref: 48 Skill: Applied

.

2–8

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

35) The internet and mobile communications fall under which media category?

A) broadcast B) print C) out of home D) direct response E) digital Answer: E Diff: 2 Type: MC Page Ref: 34 Skill: Recall 36) A company that thinks globally but acts locally is associated with which type of management system?

A) regional B) provincial C) product D) international E) specialized Answer: D Diff: 2 Type: MC Page Ref: 36 Skill: Applied 37) With complex laws and regulations governing advertising, pharmaceutical companies usually seek out specialist agencies that focus on A) direct-response B) product categories C) interactive media D creative E) media planning Answer: B Diff: 2 Type: MC Page Ref: 50 Skill: Applied 38) In an effort to ensure that desired reach levels were achieved, the advertising manager may request a: A) pre-buy media analysis B) budget recap C) integrated analysis D) post-buy media analysis E) personal selling analysis Answer: D Diff: 2 Type: MC Page Ref: 38 Skill: Applied 39) If RBC Investments wanted to target Canada's baby boomers as part of their marketing strategy, what type of agency should they seek?

.

2–9

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) digital communications specialist B) industry specialist C) direct-response specialist D) boutique E) media specialist Answer: B Diff: 3 Type: MC Page Ref: 50 Skill: Applied 40) One of Canada's largest media buying agencies, responsible for 955 million in 2010, is A) Starcom B) Group M C) Rethink D) Cossette Communications Group E) BBDO Answer: B Diff: 2 Type: MC Page Ref: 48 Skill: Applied 41) In order to evaluate the success of an advertising program, the advertising manager must set up ________ objectives to evaluate results.

A) quantifiable B) agency C) creative D) media E) qualitative Answer: A Diff: 2 Type: MC Page Ref: 38 Skill: Applied 42) One type of advertising research is _____________ research.

A) project planning B) budget control C) customer satisfaction D) pre-testing E) sales Answer: D Diff: 2 Type: MC Page Ref: 38 Skill: Applied 43) Which of the following is an essential service of the advertising agency?

A) financial expertise B) strategic planning assistance C) operations experience D) human resource knowledge

.

2–10

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e E) software management expertise Answer: B Diff: 1 Type: MC Page Ref: 39Skill: Recall 44) A key function of the account executive is to: A) monitor the agency’s personnel B) execute the media buying C) provide up-to-date information on media audiences D) monitor the competition E) promote active liaison with clients.

Answer: E Diff: 2 Type: MC Page Ref: 45 Skill: Applied 45) The agency role which acts as the primary link with the client is the: A) media supervisor B) art director C) account executive D) production manager E) copywriter Answer: C Diff: 2 Type: MC Page Ref: 45 Skill: Applied 46) The account director is responsible for A) increasing the client's sales B) media planning C) overall account profitability D) copy writing E) creative development Answer: C Diff: 2 Type: MC Page Ref: 45 Skill: Recall 47) The agency of record is primarily responsible for A) international advertising B) media negotiation and placement C) niche market segment advertising D) advertising specific product categories E) developing good client-agency relationships Answer: B Diff: 2 Type: MC Page Ref: 53 Skill: Applied 48) Agencies, as a rule, will not accept assignments from an advertiser who A) is in direct competition with another client

.

2–11

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) not wholly Canadian-owned C) requires marketing planning assistance D) has severed a relationship with another agency E) has a need for interactive communications Answer: A Diff: 2 Type: MC Page Ref: 52 Skill: Applied 49) A benefit to the client of keeping an agency account team together over a number of assignments is A) complete more assignments in less time B) use the same advertisements for many assignments C) no need to meet with the agency for each assignment D) consistency in the creative approach E) less agency compensation Answer: D Diff: 3 Type: MC Page Ref: 52 Skill: Applied 50) Moving toward this type of agency compensation will eliminate media bias and encourage holistic, media-neutral marketing.

A) the fee system B) monthly retainer C) commission based D) payment-by-results E) AOR system Answer: D Diff: 2 Type: MC Page Ref: 55 Skill: Applied 51) An agency team generally includes a A) creative production manager B) software designer C) creative director D) advertising manager E) marketing manager Answer: B Diff: 2 Type: MC Page Ref: 50 Skill: Applied 52) The standard media commission rate paid to advertising agencies has been A) 10% B) 12.5% C) 15% D) 17.5% E) 18%

.

2–12

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: C Diff: 1 Skill: Recall

Type: MC

Page Ref: 53

53) This compensation model would see marketers pay less during the concept development phase, and instead pay fees according to business results.

A) based on creative awards B) based on media buy C) PBR D) based on agency services provided E) based on television spots purchased Answer: C Diff: 3 Type: MC Page Ref: 55 Skill: Applied 54) The agency commission system excludes costs for one of the following: A) analyzing client research B) developing proposals for new assignments C) creating advertising material D) preparing overall strategy E) media planning and buying Answer: B Diff: 2 Type: MC Page Ref: 53 Skill: Applied 55) One of the advantages of the fee system for the client is that A) the agency can be called upon for an unlimited amount of their time B) media buy usually includes television spots C) payment is based on media cost and not on the work provided D) agency recommendations can be self-serving E) client-agency relationship is weak Answer: A Diff: 3 Type: MC Page Ref: 53 Skill: Applied 56) The agency compensation system gaining in popularity is the A) commission system B) payment-by-results system C) media buy system D) fee system E) agency of record system Answer: B Diff: 1 Type: MC Page Ref: 55 Skill: Recall

.

2–13

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 57) What commission would be charged on a 30-second television commercial that cost $100,000 to make?

A) $17,650 B) $17,500 C) $15,000 D) $1,500 E) $35,300 Answer: A Diff: 3 Type: MC Page Ref: 53 Skill: Applied 58) A cost plus profit fee system is common among clients with A) long-term projects B) many projects C) marketing plan development D) short-term projects E) new product development Answer: D Diff: 3 Type: MC Page Ref: 55 Skill: Applied 59) The person responsible for ensuring the final product reaches the media destination on time is the A) production manager B) account planner C) account supervisor D) creative director E) traffic manager Answer: E Diff: 1 Type: MC Page Ref: 46 Skill: Recall 60) Today, many agencies believe the complex and time-consuming nature of this task is better suited to specialist agencies.

A) media buying services B) creative services C) account services D) production management E) project management Answer: A Diff: 2 Type: MC Page Ref: 48 Skill: Applied 61) In a payment by results system the compensation is 10% commission rather than the traditional 15%.

A) True

.

2–14

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) False Answer: False Diff: 2 Skill: Recall

Type: TF

Page Ref: 55

62) The key responsibility of the copywriter is to come up with a message that stands out and is relevant to the potential customer.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 46 Skill: Applied 63) Advertising agencies are service organizations responsible for creating, planning, producing advertising and placing messages for their clients.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 33 Skill: Applied 64) The Canadian media is divided into three categories: broadcast, print and out-ofhome media.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 34 Skill: Recall 65) Television is the largest single medium, with advertising revenues of $3.5 billion.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 34 Skill: Recall 66) Advertising support companies include media representatives who sell time and space for a particular media.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 34 Skill: Applied 67) Media support services include the CRTC. A) True

.

2–15

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) False Answer: False Diff: 2 Skill: Applied

Type: TF

Page Ref: 34

68) Media research is concerned with quantitative measures of media exposure.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 35 Skill: Recall 69) Management of the advertising function usually falls under the jurisdiction of the marketing department in the client's organization.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 35 Skill: Recall 70) In a large multi-product company like Proctor and Gamble, key brands such as Tide, Mr. Clean and Swiffer would be the responsibility of the advertising manager.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 36 Skill: Applied 71) The advertising manager role is an advertising agency job.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 36 Skill: Applied 72) From the viewpoint of the agency, the advertising manager is the person it must satisfy first.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 38 Skill: Applied 73) As Canada is a diverse country, both geographically and culturally, organizations such as Molson Coors would likely employ an international management system in Canada.

.

2–16

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) True B) False Answer: False Diff: 3 Skill: Applied

Type: TF

Page Ref: 36

74) Sometimes it is necessary to run a short-term sales promotions campaign at the same time as a long-term image-building campaign.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 38 Skill: Applied 75) Changes to the account team are never a cause of account shifting.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 42 Skill: Applied 76) Creative boutiques are usually staffed by previous creative department employees of full-service agencies.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 47 Skill: Recall 77) A media buying service is a media specialist agency responsible for only purchasing media for the client.

A) True B) False Answer: False Diff: 1 Type: TF Page Ref: 48 Skill: Applied 78Digital agencies offer services such as search engine marketing.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 49 Skill: Applied 79) Agencies will accept assignments from a large advertiser, even if that client is in direct competition with a current client.

.

2–17

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) True B) False Answer: False Diff: 2 Skill: Applied

Type: TF

Page Ref: 5

80) The member of the account group whose responsibilities would include analyzing and capitalizing on business-building opportunities is the account executive.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 52 Skill: Applied 81) Clients often hire agencies because of the reputation of the creative staff.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 48 Skill: Applied 82) It is the responsibility of the account executive to make sure the final print or broadcast advertisement reaches the media destination on time.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 45 Skill: Applied 83) Today, all advertising agencies have online access to computer databanks containing media audience information.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 47 Skill: Applied 84) The AOR usually receives slightly more compensation than other agencies working with a client.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 53 Skill: Recall

.

2–18

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 85) In essence, the agency fee system promotes an efficient client-agency relationship where the client only pays for the services provided.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 54 Skill: Applied 86) Explain the role of The Institute of Communications Agencies (ICA).

Answer: The ICA is the national association representing full-service advertising agencies.

Its work is divided into two broad categories: external and internal. The ICA's external mission is to act on behalf of the agency industry as spokesperson, negotiator and defender of advertising. Its internal mission is to anticipate, serve and promote the interests of ICA members with particular regard to maintaining the highest possible standards of professional practice. It is the largest source for information and training for the industry.

Diff: 2 Type: ES Page Ref: 34 Skill: Recall 87) Explain why a company like McDonald’s would employ an international management system.

Answer: Companies operating on a global scale now view the world as one market and are switching to international management systems that divide the globe on a continental basis. This system is based on “Think globally, act locally.” In doing so, the time required to approve marketing and marketing communications plans in Canada is reduced. When McDonald’s set the objective of attracting people to buy more, it planned a campaign that included the successful tagline “I’m Lovin’ It.” Although this tagline was a German-developed strategy, McDonald’s tweaks the campaign country-by-country but the strategy stays the same.

Diff: 3 Type: ES Page Ref: 36 Skill: Applied 88) Explain the various factors that could lead to a client's advertising manager firing an agency.

Answer: There could be many reasons why an agency is fired. Most of these reasons have to do with the strength of the client-agency relationship. Common reasons for letting an agency go are client dissatisfaction with the quality of work, new client demands that can't be met, the absence of a team concept, philosophical differences, client consolidation, and mergers that result in account conflict situations.

Diff: 2 Type: ES Page Ref: 42 Skill: Applied

.

2–19

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 89) Explain the role of the Association of Canadian Advertisers (ACA).

Answer: The ACA's primary goal is to help Canadian companies that market and advertise their products maximize the value of their marketing communications investments. As the voice for Canadian advertisers, the ACA safeguards advertisers' rights to free speech and represents the views of advertisers before government and industry bodies.

Diff: 2 Type: ES Page Ref: 33 Skill: Recall 90) The position of advertising manager is usually a mid-management position in the client organization. What responsibilities does the advertising manager have regarding liaison with the advertising agency?

Answer: Advertising managers are the direct link with the advertising agency, and so must be in constant contact with agency personnel, checking the status of assignments and projects. One of the manager's key responsibilities is providing the agency with appropriate client information at the onset of new assignments. This involves compiling a creative briefing document. As work progresses, the advertising manager must provide the agency with feedback and carry agency proposals throughout the client corporate approval network.

Diff: 2 Type: ES Page Ref: 36 Skill: Applied 91) How is the responsibility for marketing planning and marketing communications divided between clients and their agencies?

Answer: Agencies perform various functions, tailoring their services to meet individual client needs. Large advertisers are typically staffed with marketing managers who will devise marketing strategies, and use agencies to develop and implement elements of the marketing communications component. Smaller advertisers may ask their agencies for marketing planning assistance. In either case, the agencyclient relationship is essentially a partnership, with each contributing to the planning and decision-making process.

Diff: 3 Type: ES Page Ref: 39 Skill: Applied 92) Describe the account director's role in an advertising agency.

Answer: The account director deals directly with senior members of the client organization and is responsible for how client accounts are handled at the agency. Specific responsibilities include long-term planning, deployment of agency personnel, and overall account profitability. He/she is also responsible for working with senior agency executives to seek new business for the agency.

Diff: 2 Type: ES Page Ref: 45 Skill: Recall

.

2–20

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

93) What role does the media buyer play in the media department of an advertising agency?

Answer: The media buyer is responsible for developing an intimate knowledge of the media marketplace and being aware of all developments affecting media buying.

Buyers must evaluate the competitive claims of the various media to make the most efficient and effective buys for their clients. Good negotiation skills are vital for this position.

Diff: 2 Type: ES Page Ref: 47 Skill: Recall 94) How does a client's Agency of Record (AOR) differ from any advertising agency with which they do business?

Answer: The AOR is the agency that handles the media buying for a large multiple-product advertiser. It is one of the agencies the parent advertiser employees. An AOR facilitates efficiency in the media buying process, often providing greater discounts to the client by purchasing all media on a large volume basis. The AOR is responsible for corporate media contracts under which other agencies will issue their placement orders, and usually receives a slightly higher rate of commission.

Diff: 3 Type: ES Page Ref: 53 Skill: Applied 95) Why has the commission system fallen out of favour with many clients?

Answer: The commission system is hinged to the media purchase. Television is very costly, driving the cost of media purchase higher, and therefore agency commission upward. Newer media are being downplayed because they cost less than television. Many advertisers perceive agency media purchase biased towards high cost media that serves the agency commission fee rather than the client’s needs.

Diff: 3 Type: ES Page Ref: 53 Skill: Applied 96) Compare and contrast the responsibilities of the client and the agency in a clientagency relationship.

Answer: Clients are responsible for providing the appropriate background information and a budget for the advertising assignment. Agencies then provide their expertise on creative and media strategies and executions. Clients coordinate advertising strategies with other marketing communications strategies whereas agencies offer planning assistance to solve the client's marketing problems. Agencies then recommend objective, customer-focused advertising strategies. Clients monitor the implementation of advertising campaigns and evaluate the effectiveness of

.

2–21

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e advertising programs. Agencies conduct research when necessary to support their advertising recommendations.

Diff: 3 Type: ES Page Ref: 36 Skill: Applied 97) How does a category manager's role differ from a brand manager?

Answer: A brand manager is responsible for the development and implementation of marketing programs for a specific brand. The brand manager works directly with the communications agencies. Typically, a brand manager reports to a category manager, who is responsible for developing and implementing the marketing activity for all products grouped in the category. The category manager adopts a more generalized view of the business than would a brand manager. Determining which brands receive more or less advertising support would be a decision for the category manager, not the brand manager.

Diff: 3 Type: ES Page Ref: 35 Skill: Applied 98) Which role within an agency is involved in managing production deadlines?

Answer: The production manager ensures all production activities are completed within scheduled time frames. He/she coordinates people, places and schedules with external companies involved in the production, including recruiting models, film crews, and costumes, for example. A traffic manager is responsible for ensuring that the final product (print or broadcast commercial) reaches the media destination on time.

Diff: 2 Type: ES Page Ref: 46 Skill: Recall 99) Explain why Molson Coors requires a three-region structure where marketing and communications strategies are developed to reflect the nature and character of each region's target audience.

Answer: Molson Coors develops unique regional campaigns for Western Canada, Ontario/Atlantic and Quebec. A national marketing team manages a group of brands referred to as "strategic national brands." Examples are Canadian and Coors Light. Each region has a staff of marketing, sales and promotion personnel who develop marketing and communications strategies and implement plans for these brands. According to Molson Coors, such a system allows a company to build on its strengths and chip away at its weaknesses.

Diff: 2 Type: ES Page Ref: 36 Skill: Applied 100) How does the McDonald's "I'm Lovin' It" campaign illustrate the often-used expression "Think globally and act locally."

Answer:

.

2–22

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Companies with growth aspirations now view the world as one market. To be as efficient as possible with marketing communications, multinational companies often develop global campaigns. Consider what McDonald's is attempting on a global scale. The corporate goal of McDonald's is to capture more meal occasions among young adults and families. What emerged was a concept and theme from their German agency that was approved for use in all countries where McDonald's operates: “I’m Lovin It.” Diff: 3 Type: ES Page Ref: 36 Skill: Applied 101) Agencies bring objectivity to the advertising planning process. How does this enhance a client's marketing communications strategy?

Answer: Many advertisers tend to used advertising that suits the company's established style or image, and often view a change in direction as a risk. Safe strategies are not necessarily the best strategies as they may not provide the most effective means of communicating with a target. The advertising agency is not directly associated with the internal environment and therefore can provide an objective perspective that might offer alternative directions for communicating with target markets. This external position can result in the development of customeroriented campaigns rather than company-oriented campaigns.

Diff: 3 Type: ES Page Ref: 40 Skill: Applied 102) A successful client-agency relationship is a two-way street. Describe the shortcomings that may lead to the deterioration of this relationship that may prompt the client to switch agency.

Answer: To encourage the best possible relationship between clients and agencies, and to clearly review the expectations of parties, clients must conduct agency reviews at planned intervals. A good relationship depends on honest, open communications between partners, an attitude of respect for each other, and the sharing of common goals. The client may be concerned about quality of the advertising executed, lack of media buys which could benefit the client, differences in management philosophy, changes in agency personnel, or cost-saving measures.

Diff: 2 Type: ES Page Ref: 42 Skill: Applied 103) Describe ways in which an advertising manager can ensure that the agency's advertising campaign is effective.

Answer: The advertising manager may request pre- and post-testing of customer attitudes and preferences to see if the advertising campaign was effective in changing customer purchasing decisions. The manager could also request post-buy media analysis to ensure that desired reach levels were achieved. The critical issue is to quantify the effectiveness of the campaign to ensure the advertising goals are

.

2–23

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e being met. Also, the manager carefully reviews budgets and planned media expenditures throughout the year, making changes when necessary.

Diff: 2 Type: ES Page Ref: 38 Skill: Applied 104) What advantages does using a media-buying service offer?

Answer: A media-buying service is a specialist agency responsible for planning and purchasing the most cost-efficient media for a client. In other words, it is responsible for gaining maximum exposure to a target audience at minimum cost.

In addition, a media-buying service often obtains government approvals and other required clearances, and generally takes care of the administrative work associated with the media buying transaction. Since efficiency is important, the use of a media-buying service might generate cost savings that can be reinvested in the creative product.

Diff: 2 Type: ES Page Ref: 48 Skill: Recall 105) Explain the difference between a boutique agency like Rethink and a full-service agency like Cossette Communications?

Answer: Cossette is a full-service agency that offers everything under one roof as well as international connections for global campaigns. Services include product and marketing research, creative planning and development, media planning and placement, sales promotion, public relations, direct response, and interactive communications planning and execution.

Rethink is a boutique agency focused on finding creative solutions. Rethink claims that research has knocked the stuffing out of advertising and that the average time between a client brief and a commercial going on air is about 42 weeks. Rethink works fast and loose, and dislikes comparisons to full-service agency operations. Their focus is on the creative; they don't do media or promotions. And their model doesn't work for everyone.

Diff: 3 Type: ES Page Ref: 43, 47 Skill: Applied 106) Describe the role of the copywriter in an agency.

Answer: The copywriter converts information provided by the client and account personnel (information on unique selling points, target-market profiles, purchase motivations, and so on) into an effective, persuasive sales message. The message must be presented in such a manner that it stands out and is relevant to potential customers. The copywriter develops the main idea of the advertisement in conjunction with the art director, then creates its various verbal components: the headline, sub-headlines, and body copy or text.

Diff: 2 Type: ES Page Ref: 46

.

2–24

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Recall 107) What are the advantages and disadvantages of the agency commission system?

Answer: The commission system is based on the cost of the media buy. Advantages of the commission system include simple to implemental services are provided at no extra cost, and it pressures agency to keep the costs down. Among the disadvantages is the fact that the agency makes a profit on some brands (larger budgets) and losses on others (smaller budgets). Payments are based on media cost and not the work provided, and agency recommendations for higher expenditures (such as television) may be perceived as self-serving.

Diff: 2 Type: ES Page Ref:54 Skill: Applied 108) As the advertising manager for Toyota, responsible for the complete line of vehicles that carry the brand name, would you work with one full-service agency or divide the business among several agencies? Justify your response.

Answer: Keeping an account team from one agency together over a number of assignments benefits both the client and the agency. Familiarity with the products and the way the client operates are obvious benefits. The agency team can draw upon past experiences with the client when considering which directions to pursue. Another benefit involves consistency in approach.

Diff: 3 Type: ES Page Ref: 50 Skill: Applied 109) What is the role of the media director in a large agency?

Answer: The media director is the senior manager of a media department. In larger agencies, the media director is ultimately responsible for all media plans. His/her approval is necessary before presentation of a media plan to the client. Working with other senior executives, the media director usually plays an active role in business presentations to new clients.

Diff: 2 Type: ES Page Ref: 47 Skill: Recall 110) Experiential marketing is becoming an important part of the communications mix for many companies. Why is this true?

Answer: Experiential marketing agencies specialize in face-to-face communications. They develop strategies that allow interaction with people to build brands. Sales promotions and event marketing play a key role. Tigris and The Hive are two leading experiential marketing agencies. Events leave potential customers with a lasting, memorable experience tied to the brand. It can be a more efficient way of reaching an audience, especially if the audience cannot be reached through mass

.

2–25

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e media. It is also more memorable than advertising in a cluttered media environment.

Diff: 3 Type: ES Page Ref: 49 Skill: Applied

.

2–26

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

Chapter 3 1) Market segmentation refers to the process of dividing a large market into A) smaller units for creative purposes B) smaller homogeneous markets C) different target areas for different agencies D) different product categories Answer: B Diff: 2 Type: MC Page Ref: 69 Skill: Recall 2) The ability of a company to target specific customers is based on the concept of A) positioning strategy B) double targeting C) brand preference D) market segmentation E) agency selection Answer: D Diff: 2 Type: MC Page Ref: 69 Skill: Recall 3) The definition of consumer buying behaviour includes A) mass consumption B) discretionary income C) satisfaction of needs and wants D) costs of goods purchased E) competitors Answer: C Diff: 2 Type: MC Page Ref: 61 Skill: Applied 4) Motives are the conditions that prompt the action that is taken to A) satisfy the need B) determine market segments C) design packaging D) create store displays E) create an image Answer: A Diff: 1 Type: MC Page Ref: 62 Skill: Recall 5) Maslow's hierarchy of needs and theory of motivation is based on the principle that A) consumers increase their standard of living B) the per capita income will increase every year C) the supply of goods and services will always increase D) the free market system will produce an increase in the standard of living

.

3–1

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e E) a person moves up to the next higher level need when the one lower is satisfied Answer: E Diff: 2 Type: MC Page Ref: 62 Skill: Applied 6) The highest level of Maslow's hierarchy of needs is A) esteem B) social C) physiological D) self-actualization E) safety Answer: D Diff: 1 Type: MC Page Ref: 63 Skill: Recall 7) The desire to be accepted by peers is commonly appealed to in advertising for products such as A) investments and security systems B) adventure travel C) personal care products and clothing D) groceries and housing E) higher education Answer: C Diff: 3 Type: MC Page Ref: 63 Skill: Applied 8) Esteem needs, as defined by Maslow, are addressed in commercials that portray people in A) major chain stores B) successful business roles C) retraining programs D) further education E) purchasing gasoline Answer: B Diff: 2 Type: MC Page Ref: 63 Skill: Applied 9) A decision to invest in mutual funds could be motivated by this need in Maslow's hierarchy.

A) physiological B) safety C) self-actualization D) social E) esteem Answer: B Diff: 2 Type: MC Page Ref: 63

.

3–2

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 10) Self-concept theory states that the self has four components. These are A) physiological, safety, social, esteem B) when, how, why and who buys C) introduction, growth, maturity and decline D) boomers, gen x, echo boomers, busters E) real self, self-image, looking-glass self and ideal self Answer: E Diff: 1 Type: MC Page Ref: 63 Skill: Recall 11) According to your textbook, personality, a person's distinguishing psychological characteristics, is influenced by A) advertising B) marketers C) self-perceptions D) sales pitches E) diet Answer: C Diff: 2 Type: MC Page Ref: 63 Skill: Applied 12) Many important consumer decisions are based on A) the real self and the self-image B) significant exposure C) the looking-glass self and the ideal self D) the intellectual self E) screened-out messages Answer: C Diff: 2 Type: MC Page Ref: 63 Skill: Applied 13) Consumers are quite selective about messages they receive. Consumers perceive messages that A) are easy to see or hear B) they want to remember C) are in their face D) are in line with their needs E) appeal to the real self Answer: D Diff: 2 Type: MC Page Ref: 66 Skill: Applied 14) The “Absolut Out” ad campaign is targeted to A) women

.

3–3

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) single moms C) gay community D) teens E) lumberjacks Answer: C Diff: 1 Type: MC Skill: Recall

Page Ref: 67

15) Delivering personal messages to consumers digitally at a time when they are making purchase decisions is referred to as A) selective exposure B) location-based marketing C) rewards marketing D) traditional marketing E) timely marketing Answer: B Diff: 2 Type: MC Page Ref: 77 Skill: Applied 16) Advertisers attempt to A) change consumer attitudes about themselves B) alienate current customers in pursuit of new customers C) show the target audience in a new light D) show how products agree with current attitudes E) develop the real self Answer: D Diff: 3 Type: MC Page Ref: 65 Skill: Applied 17) An individual's favourable or unfavourable feelings toward an idea or object are referred to as A) motives B) needs C) impressions D) attitudes E) perceptions Answer: D Diff: 1 Type: MC Page Ref: 65 Skill: Recall 18) TD Canada Trust appeals to the LGBT market because the bank wants to A) change attitudes of the gay community B) appeal to the needs of a large untapped market C) reduce their media spending D) change attitudes of their current customers E) reposition their brand

.

3–4

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: B Diff:3 Skill: Applied

Type: MC

Page Ref: 65

19) reference group or peer group for an individual is a group of people A) the individual wants to belong to B) the individual believes he/she belongs to C) with the same postal code D) forming an agency's focus group E) driving the same type of automobile Answer: B Diff: 2 Type: MC Page Ref: 66 Skill: Recall 20) By developing advertising messages based on teen situations, Right Guard Extreme is appealing to the teen audience. The company is relying on A) selective exposure B) selective retention C) self-actualization D) peer influence E) double targeting Answer: D Diff: 2 Type: MC Page Ref: 67 Skill: Applied 21) Seeing yourself as an athlete, musician or writer, even though you may not be any of these, is an example of which self-concept?

A) real self B) looking-glass self C) self-image D) ideal self E) selective perception Answer: C Diff: 2 Type: MC Page Ref: 63 Skill: Applied 22) Mark’s Work Wearhouse changed their name to Mark’s and now uses more women in their advertising. Use of a single marketing strategy for both sexes is termed A) unisex appeal B) double targeting C) sexual stereotyping D) reference group advertising E) gender positioning strategy Answer: B Diff: 2 Type: MC Page Ref: 68 Skill: Applied

.

3–5

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

23) Among the elements contributing to role and responsibility changes in parenting is A) government legislation B) double targeting C) increasing number of children with attitude D) the increasing number of two-income families E) the effectiveness of advertising Answer: D Diff: 2 Type: MC Page Ref: 68 Skill: Applied 24) Demographic segmentation means that markets are identified and pursued on the basis of variables such as A) location B) lifestyle C) behaviour D) age E) psychographics Answer: D Diff: 1 Type: MC Page Ref: 70 Skill: Recall 25) The most tech-savvy is/are A) Canada's intellectual elite B) baby boomers C) seniors D) the sandwich generation E) generations X and Y Answer: E Diff: 2 Type: MC Page Ref: 70 Skill: Recall 26) Eventually, the internet, cell phones and other forms of digital communication will play a larger role in the media mix, due to the influence of A) baby boomers B) the grey market C) generations X, Y, and younger D) early adopters E) smaller households Answer: C Diff: 2 Type: MC Page Ref: 70 Skill: Applied 27) Double targeting is an example of which method of segmentation?

A) psychographic segmentation B) geographic segmentation

.

3–6

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) behavioural segmentation D) gender segmentation E) reference group segmentation Answer: D Diff: 2 Type: MC Page Ref: 70 Skill: Applied 28) Research indicates high-end products, such as those by Mercedes-Benz, appeal primarily to which age group?

A) 55 - 70 B) 71 - 85 C) 18 - 24 D) 25-34 E) 35-54 Answer: E Diff: 2 Type: MC Page Ref: 70 Skill: Applied 29) When buying an automobile, safety, comfort, practicality and value are most important to which group?

A) Generation X B) women C) men D) teens and tweens E) Generation Y Answer: B Diff: 2 Type: MC Page Ref: 71 Skill: Applied 30) The ethnic market is growing. Wal-Mart is a leader in reaching these markets by running television commercials that feature A) ethnic minorities in Canada B) promotions C) Canadian icons D) Canadians who travel to different countries E) product demonstrations Answer: A Diff: 3 Type: MC Page Ref: 71 Skill: Applied 31) In some large cities, ethnic communities represent accessible market niches. For instance, it is estimated that in 2031 Toronto’s visible minorities will reach ________% of the population.

A) 11 B) 18 C) 33

.

3–7

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e D) 63 E) 57 Answer: D Diff: 2 Skill: Recall

Type: MC

Page Ref: 71

32) Psychographic segmentation examines individual lifestyles in terms of A) status and financial success B) activities, interests and opinions C) attitudes, interests and behaviours D) prestige, success and responsibility E) achievers, success and responsibility Answer: B Diff: 2 Type: MC Page Ref: 71 Skill: Recall 33) "Cosmopolitan Elites", "Les Chics" and "Lunch at Tim's" are A) psychographic clusters B) demographic segments C) geographic groups D) generation X and Y segments E) behavioral segments Answer: A Diff: 2 Type: MC Page Ref: 73 Skill: Applied 34) Environics Analytics identifies many lifestyle clusters in Canada. The category "Money & Brains" is an example. This group is described as A) high-achieving, cultured urban families B) successful suburban households starting to empty-nest C) upscale and educated professionals and their families D) wealthy middle-aged urban sophisticates E) prosperous Quebec suburban families Answer: C Diff: 2 Type: MC Page Ref: 73 Skill: Recall 35) Honda's advertisement delivering a message of protection and security to new parents focuses on which type of needs?

A) maternal needs B) social needs C) safety needs D) esteem needs E) self-actualization needs Answer: C Diff: 2 Type: MC Page Ref: 63

.

3–8

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 36) To know more about targets in the various regions of Canada, psychographic information is complemented with A) demographic segmentation B) database marketing C) behaviour response segmentation D) lifestyle positioning E) geographic segmentation Answer: E Diff: 1 Type: MC Page Ref: 74 Skill: Recall 37) Psychographic targeting helps advertisers create messages where the personality of the target matches the A) geographic region of the target B) income of the target C) benefits sought by the target D) personality of the product E) age group of the target Answer: D Diff: 3 Type: MC Page Ref: 71 Skill: Recall 38) When print ads in Quebec for Dr. Pepper capitalized on the medical image of the brand, this was an example of A) demographic segmentation B) geographic segmentation C) behaviour response segmentation D) repositioning E) psychographic segmentation Answer: B Diff: 3 Type: MC Page Ref: 74 Skill: Applied 39) Companies that use location-based targeting use information from A) smartcards B) customer databases C) visa bills D) smartphones E) price scanners Answer: D Diff: 3 Type: MC Page Ref: 77 Skill: Applied

.

3–9

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 40) The analysis of information that establishes relationships between pieces of information in order to identify effective marketing communications strategies is called A) CRM B) positioning C) data mining D) direct marketing E) behaviour-response marketing Answer: C Diff: 2 Type: MC Page Ref: 76 Skill: Applied 41) Shoppers Drug Mart uses email and direct-mail to communicate with its loyal customers. To do this, the company relies on A) geographic segmentation B) customer relationship management C) demographic segmentation D) AOI profiling E) psychographic segmentation Answer: B Diff: 3 Type: MC Page Ref: 76 Skill: Applied 42) Behavioural targeting involves A) age and income B) gender and ethnicity C) activities, interests and opinions D) individual behaviour E) media usage Answer: D Diff: 2 Type: MC Page Ref: 76 Skill: Recall 43) When advertisers create market segments based on purchase history, they are using A) geographic segmentation B) behavioural targeting C) gender segmentation D) demographic segmentation E) lifestyle segmentation Answer: B Diff: 2 Type: MC Page Ref: 76 Skill: Applied 44) Database management systems contain information about A) customer buying behaviour B) media spending

.

3–10

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) product trends D) sales trends E) market predictions Answer: A Diff: 2 Type: MC Skill: Applied

Page Ref: 76

45) Electronic trails are used in A) psychographic segmentation B) demographic segmentation C) behavioural targeting D) geographic segmentation E) competitor analysis Answer: C Diff: 3 Type: MC Page Ref: 76 Skill: Applied 46) Market positioning is a strategy based on A) sales promotions B) location of a product on the shelf C) competition D) pricing E) stock value of a company Answer: C Diff: 2 Type: MC Page Ref: 78 Skill: Applied 47) The "Pepsi Challenge" campaign is a classic example of A) lifestyle positioning B) brand-leadership positioning C) product-differentiation positioning D) head-on positioning E) competitive positioning Answer: D Diff: 3 Type: MC Page Ref: 79 Skill: Applied 48) A laundry detergent commercial that compares one brand's cleaning performance to another is an example of A) competitive positioning B) innovation positioning C) head-on (comparative) positioning D) repositioning E) product-differentiation positioning Answer: C Diff: 1 Type: MC Page Ref: 79

.

3–11

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 49) Air Miles has taken steps to build databases in order to A) be more efficient in advertising expenditure B) step up their mass advertising strategy C) experiment with new media D) discourage new market segments E) compete with Via Rail Answer: A Diff: 3 Type: MC Page Ref: Skill: Applied 50) In product-differentiation positioning, a product attribute is always presented as A) equal to or better than another brand B) technically innovative C) distinctly unique from all other products D) relevant to the consumer's lifestyle E) the leader in the product category Answer: C Diff: 2 Type: MC Page Ref: 80 Skill: Applied 51) Trop50 is a Tropicana juice that customers view as having 50% less sugar and calories than the leading orange juice. This image is an example of which marketing strategy?

A) head-on positioning B) innovation positioning C) product-differentiation positioning D) lifestyle positioning E) brand-leadership positioning Answer: C Diff: 2 Type: MC Page Ref: 81 Skill: Applied 52) The 4D- rule applies to A) loyalty-response B) psychographic segmentation C) developing a positioning statement D) behavioural segmentation E) developing advertising Answer: C Diff: 2 Type: MC Page Ref: 78 Skill: Recall 53) Positioning statements should A) guide the development of marketing communications

.

3–12

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) detail the history of the product C) demonstrate how to use the product D) describe where the product is on the shelf E) discuss the company stock value Answer: A Diff: 2 Type: MC Page Ref: 78 Skill: Applied 54) Coca-Cola’s signature "Coke is it" is an example of A) product differentiation positioning B) comparative positioning C) lifestyle positioning D) brand-leadership positioning E) technical innovation positioning Answer: D Diff: 2 Type: MC Page Ref: 79 Skill: Applied 55) Which of the following is the best example of innovation positioning?

A) “More people go with Visa” B) Aleve gives “12 hours” of pain relief C) "Always Coca-Cola" D) the “Pepsi challenge" E) "the world's first four-blade system" Answer: E Diff: 3 Type: MC Page Ref: 82 Skill: Applied 56) Repositioning is defined as changing the place A) of the retail location for the product B) that the agency has chosen for the TV spot C) of the product within the advertisement D) of the advertisement in the newspaper E) that a brand occupies in the consumer's mind Answer: E Diff: 1 Type: MC Page Ref: 84 Skill: Recall 57) If a positioning strategy is working, a company should A) decrease advertising spending B) avoid the temptation to change things C) replace the advertising agency D) make frequent changes in positioning and advertising strategy E) reposition before the market gets bored Answer: B Diff: 2 Type: MC Page Ref: 84

.

3–13

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 58) Psychographic information on a brand's target market allows advertisers to use A) brand-leadership positioning B) head-on positioning C) lifestyle positioning D) product-differentiation positioning E) innovation positioning Answer: C Diff: 2 Type: MC Page Ref: 82 Skill: Recall 59) Lifestyle positioning through advertising uses appeals such as A) leadership B) logic C) demonstration D) innovation E) humour Answer: E Diff: 2 Type: MC Page Ref: 82 Skill: Recall 60) Visa’s use of the signature “More people go with Visa” is an example of A) a geographic segmentation strategy B) comparative positioning C) global brand-leadership positioning D) product differentiation positioning E) innovation positioning Answer: C Diff: 2 Type: MC Page Ref: 80 Skill: Applied 61) Positioning refers to the place a brand occupies in the agency's campaign.

A) True B) False Answer: False Diff: 1 Type: TF Page Ref: 78 Skill: Recall 62) Marketers in the financial sector target women because they are aware that women control 80% of household spending.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 70 Skill: Applied

.

3–14

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

63) Beauty and personal care products are famous for appealing to safety needs.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 63 Skill: Applied 64) Numerous advertising examples can be cited to demonstrate advertising applications of Maslow's need theory; for example, safety needs are used to motivate people to purchase retirement savings plans.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 63 Skill: Applied 65) The role you play with yourself, such as that of an athlete, musician or writer, is a reflection of your self-image.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 63 Skill: Applied 66) Coca-Cola has successfully used product-differentiation positioning through its ad slogans "Coke is it" and "Can't beat the real thing."

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 79 Skill: Applied 67) Looking-glass self is how you think others see you.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 63Skill: Recall 68) Esteem needs are addressed in commercials that portray people in successful business roles—for example, an executive driving a BMW or Porsche.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 63 Skill: Applied

.

3–15

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

69) Consumers notice all messages they physically encounter.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 66 Skill: Applied 70) Ideal self is how you see yourself.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 63 Skill: Recall 71) Companies present their products to consumers so that the products agree with the prevailing attitudes of their target audience.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 65 Skill: Applied 72) Absolut vodka appeals to the gay community. This is an example of a company trying to change the values of the target market.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 65 Skill: Applied 73) Influence of family members on buying decisions depends on the product category being considered.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 67 Skill: Applied 74) Mark’s advertising appeals to baby boomers.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 69 Skill: Applied

.

3–16

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 75) AIOs include frequency of purchase.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 71 Skill: Applied 76) Double targeting involves devising separate marketing strategies for men and women.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 68 Skill: Recall 77) ”Suburban Gentry” is a market cluster segmented by geography.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 73 Skill: Applied 78) Database management systems contain details that marketers can use to communicate with individual customers effectively.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 76 Skill: Applied 79) Smartphones are used in locating individual customers for receiving special deals.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 77 Skill: Applied 80) Air Miles is an example of a customer rewards program used for data mining.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 76 Skill: Recall 81) The positioning strategy statement should be detailed.

A) True B) False

.

3–17

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: False Diff: 2 Skill: Applied

Type: TF

Page Ref: 78

82) Apple’s positioning statement forms a meaningful relationship with Apple customers.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 78 Skill: Applied 83) If a brand has a strong initial positioning, it is realistic to assume that the position will remain throughout the product lifecycle.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 83 Skill: Applied 84) In crowded markets, where competing products are perceived as similar by the target market, a lifestyle positioning strategy is effective.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 82 Skill: Applied 85) A good reason to reposition a product is when the preferences of the target market have changed.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 84 Skill: Applied 86) Explain the relationship between needs and motives with respect to marketing and advertising activity.

Answer: Needs suggest a state of deprivation—the absence of something useful. Motives are the conditions that prompt the action that is taken to satisfy the need (the action elicited by marketing and advertising activity). Marketing and advertising activity must sufficiently develop the target markets’ need, through an appealing presentation of appropriate benefits, so that the target is motivated to respond.

Diff: 2 Type: ES Page Ref: 62 Skill: Applied

.

3–18

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 87) How can marketers use the self-concept theory to their advantage?

Answer: Self-concept theory states that the self has 4 components: real self; self-image; looking-glass self; and ideal self. Marketers know that many important consumer decisions are based on the looking-glass self (how we think others see us) and the ideal self (what we aspire to). Many goods and services are bought on the basis of emotion: goods that help us feel better, look better, and take us to the next level of fulfillment are very attractive to us.

Diff: 3 Type: ES Page Ref: 63 Skill: Applied 88) Do all people respond to all marketing communications activity? Why or why not?

Answer: Consumers are not aware of all that goes on around them. They are quite selective about messages they receive, depending on their level of interest and need requirements. Theories of perception help to explain why all people do not respond to all marketing communications. Consumers accept messages they perceive as being in line with their own needs, personality, self-concept and attitudes. For example, health-conscious consumers will tune into messages containing phrases such as “lighter,” “less,” or “all-natural”.

Diff: 3 Type: ES Page Ref: 66 Skill: Applied 89) How important to marketers are the prevailing attitudes of their target audiences?

Answer: Marketers have found that product acceptance comes quicker when products are presented to consumers so that they agree with prevailing attitudes. They have found that it is expensive to try to change attitudes. Sometimes, however, the public at large may take exception to the message and the way a company presents its product. There can be a risk in alienating core customers—they may leave for another brand with a mainstream image.

Diff: 2 Type: ES Page Ref: 66 Skill: Recall 90) How can advertisers use reference groups to develop strategy?

Answer: A reference or peer group is a group to which an individual believes they belong, whether or not they actually do. A member of a reference group experiences considerable pressure to conform to the standards of the group to "fit in". This desire to fit in influences the type of products a member will purchase. With the right strategy, an advertiser need only associate their brand in a certain situation and the target will become interested in it.

Diff: 2 Type: ES Page Ref: 66 Skill: Applied 91) What impact do members of a family have on consumer behaviour?

.

3–19

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: Members of a family influence buying decisions. The actual impact each member has on the decision depends on the type of product or service under consideration.

Roles and responsibilities within families have changed with the times, and the lines of responsibility are blurred between the male and female head of the household. Also, children seem to have more influence on the products their parents buy.

Diff: 2 Type: ES Page Ref: 68 Skill: Applied 92) What are the three steps involved in market segmentation?

Answer: The ability of a company to target specific customers is based on the concept of market segmentation, which involves dividing a large market into smaller segments based on common needs or similar lifestyles. The first step is to identify potential market segments. The second step is to select the segments that offer the most potential. These are typically targets that offer the greatest profit potential.

The third step is to position the product so that it appeals to the target market.

Diff: 2 Type: ES Page Ref: 69 Skill: Recall 93) Explain the challenge that ethnic diversity presents to advertisers.

Answer: The Canadian population is changing from a predominately European background to an Asian background. Visible minorities in major Canadian cities are increasing rapidly so that by 2031, they will be the majority in Toronto and Vancouver. Wal Mart has embraced ethnic diversity in its advertising. Wal Mart adjusts its marketing to satisfy the needs of local culture-based groups and runs television commercials showing people of these visible ethnic groups. Omni Television provides programming targeted towards specific ethnic origins that attracts local and national advertisers wanting to reach specific audiences.

Diff: 3 Skill: Applied

Type: ES

Page Ref: 71

94) Demonstrate how psychographic research has been important in the development of advertising for automakers.

Answer: Psychographic information shows how an individual's interest in a particular product depends on his or her lifestyle. Automakers produce and market a range of vehicles to satisfy the requirements of the various lifestyle groups. Trendy sports cars with European styling appeal to upscale and educated professionals who are motivated by status and prestige. The Ontario Tourism Marketing Partnership used Environics Analytics’ psychographic target groups of “Adventurers with teenage children” and “Fun-loving families.” They concluded

.

3–20

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e that family-centered visuals could be used in all marketing communications but the message would be different for each target.

Diff: 2 Type: ES Page Ref: 75 Skill: Applied 95) How do marketers use location-based targeting to their advantage?

Answer: Location-based targeting uses consumers’ location information captured by signals from a smartphone. Check-in service organizations like Groupon bring special deals to people on their mobile devices in real time. Note that the customer signed on to the service giving permission to be sent the promotional communications. A customer in the grocery store can find out what’s on sale while they shop through the grocery aisles.

Diff: 3 Type: ES Page Ref: 77 Skill: Recall 96) How do companies apply market positioning principles?

Answer: Positioning can be defined as a selling concept that motivates purchase, or the image that marketers desire a brand or a company to have in the minds of consumers. Positioning is a strategy based on competition. It involves designing and marketing a product to meet the needs of a target market, and creating the appropriate appeals to make the product stand out from the competition in the minds of the target audience.

Diff: 2 Type: ES Page Ref: 78 Skill: Applied 97) Explain the concept of customer relationship management.

Answer: An organization collects demographic, psychographic, media and consumption information on customers in order to target them more effectively. Customer relationship management involves the use of this data in order to efficiently communicate with individual customers. Such information is available from a variety of external sources, including online databases. Data mining analyzes this information to look for relationships between pieces of information to allow for individual targeting and consumer-specific marketing programs. The increase of database or relationship marketing results in more direct response and digital communications between companies and customers.

Diff: 2 Type: ES Page Ref: 76 Skill: Recall 98) Discuss how positioning strategy applies to Coca-Cola’s marketing communications activities.

Answer: Positioning is a selling concept that motivates brand preference over the competition. The positioning strategy statement describes a primary benefit and

.

3–21

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e an image that is important to the target market. For example, Coca-Cola uses images and signatures that become synonymous with the brand. They communicate to consumers everywhere that they are the leader in the market.

“Coke is it’ or “Always Coca-Cola” are examples of universally recognizable signatures that reinforce the brand’s leadership position. The brand name, unique bottles, and popular slogans combine to be instantly recognized by customers everywhere, motivating thirsty people to prefer Coke products over the competition.

Diff: 3 Type: ES Page Ref: 79 Skill: Applied 99) Give an example and explain what is meant by "head-on positioning".

Answer: Head-on positioning is when a brand is presented as equal to or better than another brand. This positioning is usually initiated as a means of challenging the leader. The classic example of this positioning strategy is the “Pepsi Challenge.”

Pepsi advertisements show Coke drinkers preferring the taste of Pepsi over Coke.

One commercial showed a Coca-Cola delivery man succumbing to the taste of Pepsi.

Diff: 2 Type: ES Page Ref: 79 Skill: Applied 100) Explain how shifting gender roles in the household place men in traditionally unfamiliar situations. How can marketers take advantage of this knowledge?

Answer: Research indicates 51% of men are the primary grocery shopper in their household. Most of these shoppers (60%) make the decision about brand to purchase. Marketers need to develop advertising messages directed towards males when it comes to household goods. Also, men are more rational about their decisions. Advertising messages should use rational rather than emotional appeals. Also, women influence men in major buying decisions for financial products and automobiles. Companies need to use double targeting, where they develop communications aimed at both husband and wife.

Diff: 3 Skill: Applied

Type: ES

Page Ref: 68

101) List and define four of the lifestyle clusters used to classify Canadian consumers.

Answer: The clusters are defined by data collected and analyzed by the Prizm C2 segmentation system, a product of Environics Analytics. Four examples would include: Cosmopolitan Elite who are very affluent middle-aged and older city dwellers; Suburban Gentry who are well-off middle-aged suburban families with dual income; Urban Villagers who are wealthy middle-aged urban sophisticates and includes well-off immigrants; and Pets and PCs who are upscale suburban families with active, child-centered lifestyles.

.

3–22

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 1 Skill: Recall

Type: ES

Page Ref: 73

102) Give an example and explain what is meant by "Product-Differentiation Positioning".

Answer: This positioning strategy focuses on a unique attribute of a product—a feature that distinguishes it from all other products. Examples of features include performance quality, durability, reliability, or style. In the orange juice market, Tropicana’s Trop50 differentiates itself by communicating that it has 50% less sugar and calories than the competition. This is particularly interesting to consumers leading healthier lifestyles.

Diff: 2 Skill: Applied

Type: ES

Page Ref: 80

103) Explain why head-on positioning can be more risky than other positioning strategies?

Answer: This positioning strategy presents a brand as being equal or better than another brand. The message focuses on an attribute that is important to the target audience. Performance on that attribute is demonstrated in the advertising. Headon positioning strategies can be risky and expensive since the brand leader could respond to the challenge. Legal suits between Coca-Cola and Pepsi-Cola are notorious (the Cola Wars).

Diff: 3 Type: ES Page Ref: 79 Skill: Application 104) How does Molson Canadian and Coors Light advertising demonstrate lifestyle positioning?

Answer: Lifestyle positioning through advertising attaches a product to a desired lifestyle of the user. Lifestyle positioning is an effective technique to attract a specific target in crowded markets where competing products are perceived to be similar.

Young men, beautiful girls and party situations are common scenes in beer commercials. They depict the lifestyle desired by the 20-year-old target audience.

The product is shown to be a natural part of the contemporary lifestyle of a young beer drinker.

Diff: 2 Type: ES Page Ref: 82 Skill: Applied 105) What are the two primary factors that would prompt a company to reposition its brand?

Answer: Repositioning is defined as changing the place that a brand occupies in the consumer's mind in relation to competitive products. There are two primary

.

3–23

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e reasons for repositioning. One, the marketing activity of a direct competitor may change, and two, the preferences of the target market may change.

Diff: 1 Type: ES Page Ref: 83 Skill: Recall 106) Provide an example of how a current advertiser is using safety needs to motivate consumers to purchase its products.

Answer: Safety needs are the second level of needs in Maslow’s hierarchy of needs. It addresses people’s need for security, protection and comfort. Safety needs are used to motivate people to purchase automobiles, life insurance, and retirement savings plans. Allstate Insurance uses the slogan “You’re in good hands with Allstate” to tell customers that their needs for security, protection and comfort will be satisfied with Allstate insurance coverage.

Diff: 2 Type: ES Page Ref: 63 Skill: Applied 107) Why should advertisers pay more attention to communicating with Canadian women?

Answer: Thirty-one percent of Canadian women make more money than their husbands, and 20% earn the same amount. Women control 51% of private wealth, make 58% of investment decisions, and control 80% of household spending. Financial institutions capitalize on these numbers. RBC Financial, TD Canada Trust, and Scotiabank specifically target women in advertising their investment, insurance, and RRSP products.

Diff: 2 Skill: Applied

Type: ES

Page Ref: 70

108) Describe the components of the positioning strategy statement.

Answer: The positioning strategy statement should be clear, concise, and uncomplicated, while addressing the target market’s need and communicating the primary benefit to be offered. Many experts adopt the 4D positioning rule when devising a strategy statement. The strategy statements must be desirable to consumers, distinctive from the competition, deliverable by the company, and durable over time.

Diff: 2 Type: ES Page Ref: 78 Skill: Recall 109) Explain geographic segmentation and provide an example of how a current advertiser is using this strategy effectively.

Answer:

.

3–24

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Geographic segmentation refers to the division of a market into smaller geographic units. The region with the most obvious differences to the rest of Canada is Quebec, whose language and cultural characteristics necessitate the use of different marketing and advertising strategies. One brand that has done this successfully is Dr Pepper. In Quebec, the brand is uniquely associated with medicinal attributes. TV commercials and print ads use this association in their messages. For example, in print ads, the signature “Cure the thirst” is successful in appealing to Quebecers.

Diff: 2 Skill: Applied

Type: ES

Page Ref: 74

110) Explain the difference between the product differentiation positioning and innovation positioning.

Answer: Both positioning strategies focus on unique attributes. Innovation can be viewed as an attribute, just like performance, durability, reliability or style. Product differentiation focuses on the uniqueness of attributes of specific products, while innovation positioning focuses on innovation as an attribute of a company or a brand. A company adopts innovation positioning strategy when it wants to portray itself as being leading edge, the first to market something, or ahead of its competitors.

Diff: 3 Type: ES Page Ref: 81 Skill: Applied

.

3–25

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

Chapter 4 1) The business planning process involves making decisions about A) prices, suppliers and products B) competitors, consumers and capital C) markets, risks and consumer behaviour D) objectives, strategies and tactics E) a ten-year goal Answer: D Diff: 1 Type: MC Page Ref: 88 Skill: Recall 2) Objectives are statements that outline A) specific details of implementation B) necessary resources C) a mission statement D) what is to be accomplished E) a marketing strategy Answer: D Diff: 1 Type: MC Page Ref: 88 Skill: Recall 3) In the business planning process, another term for execution is A) concepts B) tactics C) objectives D) strategies E) mission Answer: B Diff: 1 Type: MC Page Ref: 88 Skill: Recall 4) Who formulates the overall strategic direction for an organization?

A) external planning consultants B) middle managers C) senior managers D) the media E) stock holders Answer: C Diff: 2 Type: MC Page Ref: 89 Skill: Applied 5) Marketing plans focus on such matters as A) return on investment B) target market C) operational challenges

.

4–1

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e D) human resource management E) value of stock Answer: B Diff: 3 Type: MC Page Ref: 89 Skill: Applied 6) Advertising can be further subdivided into A) direct response and interactive B) sales promotion and public relations C) creative plans and media plans D) public relations and events E) marketing and communications Answer: C Diff: 2 Type: MC Page Ref: 89 Skill: Recall 7) A mission statement is the foundation of A) the marketing plan B) the advertising plan C) the media plan D) the corporate plan E) the public relations plan Answer: D Diff: 2 Type: MC Page Ref: 90 Skill: Recall 8) Corporate objectives take their direction from A) the marketing strategy B) the customer C) the mission statement D) the business plan E) senior management Answer: C Diff: 2 Type: MC Page Ref: 91 Skill: Recall 9) Good objective statements are written in quantifiable terms so that A) opportunities can be identified B) they can be used in short-term planning C) they are easier to understand D) they can be measured E) they can be part of a manifesto Answer: D Diff: 2 Type: MC Page Ref: 91 Skill: Recall

.

4–2

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 10) A mission statement is a statement of A) the vision statement B) the corporate plan C) the price of a company’s products D) an advertising campaign E) a company’s weakest link Answer: B Diff: 2 Type: MC Page Ref: 90 Skill: Recall 11) To increase market share from 25% to 30% by 2016 is an example of A) a mission statement B) a marketing strategy C) a social responsibility objective D) a corporate objective E) a sales strategy Answer: D Diff: 2 Type: MC Page Ref: 91 Skill: Applied 12) After the corporate objectives are confirmed, the organization must identify the corporate strategies, which are plans outlining A) changing demographics B) the responsibilities of the advertising manager C) the media required D) the role of the marketing manager E) how the objectives will be achieved Answer: E Diff: 2 Type: MC Page Ref: 91 Skill: Applied 13) When Bell Canada bought Virgin Mobile Canada for $142 million, this was an example of: A) a penetration strategy B) a strategic alliance C) a divestment strategy D) an acquisition strategy E) consolidation Answer: D Diff: 2 Type: MC Page Ref: 92 Skill: Applied 14) The factors that a company must consider when corporate strategies are developed include A) customer wants B) management commitment

.

4–3

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) advertising agency recommendations D) market share E) return on investment Answer: B Diff: 3 Type: MC Page Ref: 91 Skill: Applied 15) When Target opened in Canada with in-store Starbucks cafes, this was an example of A) penetration strategy B) divestment strategy C) strategic alliance D) new product strategy E) acquisition strategy Answer: C Diff: 2 Type: MC Page Ref: 91 Skill: Applied 16) When a company focuses all of its financial and marketing resources to improve sales of its products, it is following a A) new product strategy B) penetration strategy C) acquisition strategy D) market strategy E) strategic alliance strategy Answer: B Diff: 2 Type: MC Page Ref: 91 Skill: Applied 17) Strategic alliances are popular among companies who wish to reduce costs and/or A) consolidate their operations B) invest in research and development C) acquire more companies D) improve operating efficiencies E) build its leadership position Answer: D Diff: 2 Type: MC Page Ref: 91 Skill: Applied 18) Where marketing planning is concerned, the major areas of marketing responsibility include: A) identifying financial resources B) identifying and selecting target markets C) media planning D) implementing corporate strategies E) acquiring an advertising agency Answer: B

.

4–4

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 3 Skill: Applied

Type: MC

Page Ref: 93

19) Following a divestment strategy, Proctor and Gamble recently sold its Pringles to Kellogg Co. because: A) it wanted to build a stronger global presence B) it wanted to focus on more profitable market segments C) research showed fewer people eat chips D) it wanted to pursue more research and development E) there are too many competitors in the snack market Answer: B Diff: 3 Type: MC Page Ref: 92 Skill: Applied 20) The objectives, strategies, and action plans developed by the marketing department are generally designed to help achieve A) higher revenues B) a wider customer base C) more sales D) overall company objectives E) less waste Answer: D Diff: 3 Type: MC Page Ref: 93 Skill: Recall 21) When talking about a market background or situation analysis, an example of an external influence is A) new-product success rates B) sales volumes C) technology trends D) seasonal analysis E) consumer data Answer: C Diff: 2 Type: MC Page Ref: 95 Skill: Recall 22) A SWOT analysis would be used to assist in marketing planning, and consists of a study of the brand's A) strategic goals, when, how, who B) sales volume, who, other products, and the media C) strengths, weaknesses, opportunities and threats D) market share, strengths, weaknesses, and budgets E) market research and budget analysis Answer: C Diff: 1 Type: MC Page Ref: 96 Skill: Recall

.

4–5

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

23) A product analysis could include A) economic trends B) regional market importance C) seasonal analysis D) social and demographic trends E) distribution trends Answer: E Diff: 2 Type: MC Page Ref: 96 Skill: Recall 24) Basic economic trends often dictate the nature of marketing activity. When the economy is healthy and growing A) more resources are allocated to marketing activity B) a more conservative approach is taken C) consumer confidence is low D) advertising activity declines E) management exercises more control Answer: A Diff: 3 Type: MC Page Ref: 95 Skill: Applied 25) Markets such as hotels and automobiles are segmented based on a combination of price and quality. When a marketer wants to know which segments are growing or declining, he/she undertakes a A) seasonal analysis B) media analysis C) economic trends analysis D) market segment analysis E) market size and growth analysis Answer: D Diff: 2 Type: MC Page Ref: 95 Skill: Applied 26) Consumer data falls into which section of the situation analysis?

A) product analysis B) target market analysis C) external influences D) competitive analysis E) SWOT analysis Answer: B Diff: 2 Type: MC Page Ref: 95 Skill: Recall 27) A product analysis assesses a product's A) seasonal analysis

.

4–6

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) consumer behavior C) technology trends D) sales volume trends E economic trends Answer: D Diff: 2 Type: MC Skill: Recall

Page Ref: 96

28) Information about the users of a product, such as age, gender, lifestyle and location, are included in the A) market share trends B) market segment analysis C) market share D) market analysis E) target market analysis Answer: E Diff: 2 Type: MC Page Ref: 95 Skill: Recall 29) Customers’ loyalty towards a product is reviewed in this part of the market analysis.

A) media analysis B) consumer data C) consumer behavior D) market size and growth E) regional market importance Answer: C Diff: 2 Type: MC Page Ref: 95 Skill: Recall 30) Current marketing communications activities are assessed under this section of the Situation Analysis.

A) competitive analysis B) product analysis C) market analysis D) external influences E) social and demographic trends Answer: B Diff: 2 Type: MC Page Ref: 96 Skill: Recall 31) The Nike campaigns that show athletes excelling in their sport is guided by A) new product activity B) positioning strategy C) marketing strategy assessment D) a strategic alliance E) an acquisition strategy

.

4–7

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: B Diff: 3 Skill: Applied

Type: MC

Page Ref: 97

32) The marketing department operates within guidelines established by A) customers B) the sales department C) competitors D) senior management E) the accounting department Answer: D Diff: 1 Type: MC Page Ref: 93 Skill: Recall 33) Coca-Cola and Pepsi rely heavily on media advertising and distribution strategies, which are both components of the A) financial summary B) competitive analysis C) target market profile D) marketing communications activities E) marketing mix Answer: E Diff: 3 Type: MC Page Ref: 100 Skill: Applied 34) A target market is a group of customers with A) certain similar needs and characteristics B) money to spend C) various backgrounds D political views E) varying lifestyles Answer: A Diff: 1 Type: MC Page Ref: 97 Skill: Recall 35) A psychographic profile includes information about the target audience's A) purchase behavior B) interests C) competitive response D) ethnic background E) education Answer: B Diff: 2 Type: MC Page Ref: 98 Skill: Applied 36) With its E-class Cabriolet, Mercedes-Benz targets .

4–8

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) men aged 35 to 45 B) men or women with incomes over $100,000 C) men with incomes over $100,000 D) women under 25 E) conservative thinkers Answer: B Diff: 2 Type: MC Page Ref: 99 Skill: Applied 37) Financial resources (the budget) are laid out in what section of the marketing plan?

A) media buying B) tactics C) target market D) strategy E) financial Answer: D Diff: 2 Type: MC Page Ref: 101 Skill: Recall 38) When developing a marketing plan, the manager identifies, or targets, markets that A) have no competition B) require less media exposure C) represent the greatest profit potential for the firm D) require a smaller media budget E) can be serviced by a boutique agency Answer: C Diff: 2 Type: MC Page Ref: 97 Skill: Applied 39) When determining a target market, geographic profiles are considered because A) differences in regional climate zones will affect distribution B) people in urban areas spend more C) some people prefer to shop online D) there are distinct regional differences that will influence marketing strategies E) most people live in cities Answer: D Diff: 2 Type: MC Page Ref: 98 Skill: Applied 40) The goal of contemporary communications is to engage the consumer. Engagement is driven by three factors: A) attention, interest and desire B) awareness, comprehension and conviction C) objectives, strategies and tactics D) price, place and product E) conditions, context and content

.

4–9

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: E Diff: 2 Skill: Recall

Type: MC

Page Ref: 103

41) Behavioral stages consumers go through when deciding what products to buy include A) attention, interest and desire B) awareness, comprehension and conviction C) objectives, strategies and tactics D) price, place and product E) conditions, context and content Answer: A Diff: 2 Skill: Recall

Type: MC

Page Ref: 103

42) Competition for attention is referred to as A) noise B) competitive attention C) competitive awareness D) strategic awareness E) acquisition strategies Answer: A Diff: 2 Type: MC Page Ref: 102 Skill: Recall 43) When a consumer thinks highly of a product after seeing an advertisement of the product, __________ has occurred.

A) positive value exchange B) successful value exchange C) superior value exchange D) intended value exchange E) failed value exchange Answer: A Diff: 2 Type: MC Page Ref: 102 Skill: Recall 44) Marketing communications strategies include A) specific tactics B) identification of the product line C) the pricing strategy D) a positioning statement E) description of the distribution channels Answer: D Diff: 3 Type: MC Page Ref: 106 .

4–10

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 45) AIDA is an acronym for a model that outlines A) the stages of an advertising campaign B) the stages of a communications plan C) the different phases of a product’s lifecycle D) the stages a consumer passes through when making a buying decision E) how agencies determine media selections Answer: D Diff: 2 Type: MC Page Ref: 103 Skill: Recall 46) There are various methods to developing a marketing communications budget, one of which is based on A) past sales B) intuition C) resources available D) on future sales E) economic trends Answer: A Diff: 3 Type: MC Page Ref: 109 Skill: Applied 47) The goal of contemporary communications is to engage the consumer. Engagement is driven in part by A) age of the consumer B) the quantity of advertising C) pre-existing brand interest D) the message of the ad E) the internet Answer: C Diff: 3 Type: MC Page Ref: 103 Skill: Applied 48) A sound marketing communications plan will include only those components that A) involve media B) involve advertising C) contribute to achieving the overall objectives D) are directed at more than one target market E) are measureable Answer: C Diff: 3 Type: MC Page Ref: 105 Skill: Applied 49) “To improve public awareness of our company’s actions in the area of social responsibility marketing” is an example of

.

4–11

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) a vision statement B) a marketing communications objective C) a value statement D) a best practice E) a media strategy Answer: B Diff: 3 Type: MC Page Ref: 107 Skill: Applied 50) “To create a 75% awareness level for the Schick Quattro razor among 16 to 29 year old males” is an example of A) a vision statement B) a marketing communications objective C) a value statement D) an advertising objective E) a media strategy

Answer: D Diff: 2 Skill: Applied

Type: MC

Page Ref: 109

51) A sales promotion section should be included in the marketing communications plan when A) competitors launch new products B) incentives are to be integrated into the advertising C) demographics change D) more statistics are required E) sales objectives are not met Answer: B Diff: 2 Type: MC Page Ref: 112 Skill: Applied 52) McDonald’s launched an integrated marketing communications campaign offering free cups of coffee. The key objective was to A) encourage more people to eat breakfast at McDonald’s B) increase awareness that McDonald’s is open in the morning C) alter customers’ perceptions about the quality of McDonald’s coffee D) build their company brand E) help their customers to stay awake Answer: C Diff: 3 Type: MC Page Ref: 110 Skill: Applied

.

4–12

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 53) Documenting the nature of what a message will be and how it will be communicated is in the A) creative plan B) media plan C) direct-response plan D) budget E) marketing plan Answer: A Diff: 2 Type: MC Page Ref: 109 Skill: Applied 54) Telemarketing, direct mail and direct response television are good examples of A) integrated communications B) public-relations techniques C) internal communications D) interactive advertising E) direct-response techniques Answer: E Diff: 1 Type: MC Page Ref: 112 Skill: Applied 55) The value of publicity is generally worth A) more than events and sponsorships deliver B) less than other forms of marketing communication C) the money paid to the news media D) much more than value derived from paid advertising E) far less than the effort it takes Answer: D Diff: 3 Type: MC Page Ref: 112 Skill: Applied 56) Communicating with members of the distribution channel is the job of the organization's A) sales force B) executive team C) advertising team D) promotions team E) marketing management team Answer: A Diff: 2 Type: MC Page Ref: 112 Skill: Applied

.

4–13

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 57) When organizations participate in planned events hosted by others, this may be referred to as: A) sales planning B) personal selling C) partnership marketing D) integrated marketing E) a sponsorship opportunity Answer: E Diff: 2 Type: MC Page Ref: 112 Skill: Applied 58) Sex, humour, celebrities and product comparisons are examples of: A) traditional and non-traditional techniques B) advertising objectives C) sales promotions D) appeal techniques E) targeting techniques Answer: D Diff: 2 Type: MC Page Ref: 109 Skill: Applied 59) At the conviction stage, the product has gained A) preference in the customer's mind B) interest from the customer C) awareness for the first time D) repeat purchases E) trial Answer: A Diff: 2 Type: MC Page Ref: 103 Skill: Applied 60) Defining the role that advertising and other forms of communications will play in selling a client’s product or service is part of the A) marketing communications objectives B) personal selling plan C) public relations plan D) interactive communications plan E) experiential marketing plan Answer: A Diff: 2 Type: MC Page Ref: 107 Skill: Applied 61) Strategic business planning involves making decisions about objectives, strategies and tactics.

A) True B) False

.

4–14

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: True Diff: 1 Skill: Applied

Type: TF

Page Ref: 89

62) A firm will look at marketing mix, target market, and control mechanisms that determine effectiveness of strategies in a marketing plan.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 89 Skill: Applied 63) Corporate plans are very specific—all activities related to product, price, distribution, and marketing communications are outlined in the plan.

A) True B) False Answer: False Diff: 1 Type: TF Page Ref: 89 Skill: Recall 64) A company’s mission statement is the foundation of the marketing communications plan.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 90 Skill: Applied 65) “To refresh the world” is an example of a corporate strategy.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 90 Skill: Applied 66) Kellogg’s sold Pringles as part of an acquisition strategy.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 92 Skill: Applied 67) By the comprehension stage in the ACCA model, interest has been created.

A) True B) False Answer: True

.

4–15

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Recall

Type: TF

Page Ref: 103

68) After marketing strategies are confirmed, corporate objectives are developed.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 89 Skill: Applied 69) Developing new products is an example of a corporate strategy.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 91 Skill: Applied 70) In contrast to corporate plans, marketing plans are very specific in nature.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 89 Skill: Recall 71) For Target, in-store Starbucks cafes is a strategic alliance.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 91 Skill: Applied 72) A situational analysis is sometimes called an environmental analysis.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 93 Skill: Recall 73) Economic trends are included in market analysis.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 95 Skill: Recall 74) How the seasons influence sales of a product is part of the market analysis.

A) True

.

4–16

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) False Answer: True Diff: 2 Skill: Recall

Type: TF

Page Ref: 95

75) A situation analysis includes information on external influences, a market analysis, a product analysis and a competitive analysis.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 95 Skill: Recall 76) Distribution and market share trends are considered within the product analysis.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 96 Skill: Recall 77) A SWOT analysis evaluates a brand's strengths, willingness, opportunities and trials.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 96 Skill: Recall 78) A positioning strategy statement is a working statement.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 97 Skill: Recall 79) Activities, interests and opinions are three essential characteristics of psychographic profile.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 98 Skill: Recall 80) “To generate an after-budget profit of $600,000 in the next 12 months” is an example of a marketing objective.

A) True B) False

.

4–17

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: True Diff: 2 Skill: Applied

Type: TF

Page Ref: 98

81) The first stage in the budgeting process of the marketing plan is the allocation of funds across all company products based on current priorities.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 101 Skill: Applied 82) Marketing control is the process of measuring and evaluating the results of marketing strategies and plans.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 101 Skill: Recall 83) Many marketing practitioners believe that the quality of a message doesn’t matter, as long it is delivered frequently enough.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 103 Skill: Applied 84) Public relations cannot play a key role in launching a new product.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 112 Skill: Applied 85) The creative plan documents what strategies and techniques will be used to communicate a message.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 109 Skill: Recall

.

4–18

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

86) Discuss the three variables in the business planning process.

Answer: The three variables are the objectives, strategies and execution. The objectives are statements that outline the corporate, marketing or advertising plan. Strategies are statements that outline how the objectives will be met and execution is when the tactical plans outline specific details of implementation. The corporate plan guides the marketing plan, and the marketing plan guides the marketing communications plan. Corporate plans are strategic while marketing and marketing communications plans are strategic and tactical.

Diff: 3 Type: ES Page Ref: 88 Skill: Applied 87) In accordance with guidelines established by senior management, the marketing department develops marketing plans. Discuss areas considered in a marketing plan.

Answer: The objectives, strategies and tactics of the marketing plan are designed to help achieve overall company objectives. The marketing department identifies and selects target markets, establishes marketing objectives, strategies and tactics, and evaluates and controls marketing activities.

Diff: 3 Type: ES Skill: Application

Page Ref: 93

88) Describe each of the following corporate strategies to achieve growth and give an example for each: penetration strategy, new products strategy, and strategic alliance.

Answer: Penetration strategy: A company like Coca-Cola, which wants to build on its leadership position in the world’s beverage market, focuses all of its financial and marketing resources on improving sales. It will invest heavily in marketing to keep its name top-of-mind and to build its distribution network for all of its beverage products. New products strategy: a company will invest in research and development in the pursuit of new products. Molson Coors launched Molson Canadian Wheat as an entry-level specialty beer targeted at adults 35 years and older. Strategic alliances are popular among companies wanting to find ways of reducing costs or improving operating efficiencies. An alliance is a relationship between two or more companies that decide to work co-operatively to achieve common goals. Starbucks’ alliance with Target is one example. There are Starbuck cafes inside Target stores.

Diff: 2 Type: ES Page Ref: 91 Skill: Applied 89) What are the factors to be considered when corporate strategies are being developed?

Answer:

.

4–19

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Corporate strategies are plans outlining how the corporate objectives will be achieved. The factors considered when strategies are being developed are marketing strength; degree of competition in markets the company operates in; financial resources (e.g. the availability of investment capital or the ability to borrow required funds); research and development capabilities; and management commitment.

Diff: 2 Type: ES Page Ref: 91 Skill: Applied 90) Explain what corporate strategy Proctor and Gamble was following when it sold its Pringles unit.

Answer: Rather than expanding, some companies are consolidating their operations by divesting themselves of products that are not profitable or no longer fit with corporate goals. It seems bigger is not always better! P&G sold its brand of sweet and savoury snacks to Kellogg Co. P&G sold Pringles, its brand of sweet and savoury snack foods. Pringles is the 4th largest in the category. In recent years, P&G has been weaning itself off food products, preferring to increase its presence in personal care and household products.

Diff: 2 Type: ES Page Ref: 92 Skill: Applied 91) Why is a situation analysis included as a section in a marketing plan and what type of information does it contain?

Answer: The situation analysis provides the background content to a marketing plan. The analysis compiles data and information about external and internal influences on the performance of a brand. External factors that are considered include economic trends, social and demographic trends, and technology trends. As well, information is compiled about the market, the target market, the product’s marketing mix strategy, and the competition.

Diff: 2 Type: ES Page Ref: 95 Skill: Recall 92) Why is it important to conduct a competitive analysis? Describe the two main marketing mix activities typically assessed in a competitive analysis.

Answer: It is wise to know a competitor’s products as well as your own. A review of marketing-mix activities for key competitors provides essential input on how to revise marketing strategies. Market share trends and assessment of marketing strategy are two main activities assessed in a competitive analysis. It is common to evaluate market share trends of all competitors from year to year, nationally and regionally. Such analysis provides insight into what brands are moving forward and what brands are moving backward. An attempt is made to link known marketing strategies to competitor brand performance. The following questions are addressed: What is the nature of competitor advertising, sales promotions,

.

4–20

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e and events and sponsorships? How much money do competitors invest in marketing? Have they launched any new products, and how successful are they?

Diff: 2 Type: ES Page Ref: 96 Skill: Recall 93) Describe how Nike’s positioning strategy affects their advertising.

Answer: A positioning strategy statement is the focal point from which relevant marketing and marketing communications strategies are developed.

Advertising agency recommendations must fit with a brand’s positioning strategy.

For example, Nike’s positioning strategy statement is about Nike bringing inspiration and innovation to every athlete in the world. This implies that the company is a leader in athletic shoe technology and that consumers will be inspired and confident when wearing Nike athletic shoes. Nike’s famous advertising tagline “Just Do It!” captures the essence of the positioning strategy.

Images in Nike ads show athletes excelling in their sport.

Diff: 2 Type: ES Page Ref: 97 Skill: Applied 94) What are three essential characteristics in a psychographic profile? Describe how this knowledge would influence the direction of communications message strategies.

Answer: The psychographic profile includes three essential characteristics: the target’s activities, interests, and opinions. Such knowledge provides clues that will influence the direction of message strategies (how to appeal to the target) and media strategies (how to best reach the target). For example, the highly soughtafter 18- to 25-year-old market watches much less television than in previous generations; current members of this demographic spend much more time online and with their cell phones. This presents a challenge for marketers wanting to reach them.

Diff: 2 Type: ES Page Ref: 98 Skill: Applied 95) What is a marketing strategy?

Answer: Marketing strategies are essentially the "master plans" for achieving marketing objectives. All elements of the marketing mix and marketing communications mix must act in unison. At this stage of the planning process, the role and importance of each component of the marketing mix is identified. Priority may be given to certain components depending on the nature of the market, the degree of competition, and knowledge of what motivates consumers to buy.

Diff: 2 Type: ES Page Ref: 99 Skill: Applied

.

4–21

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 96) Red Bull developed its marketing communications to attract the under-24-year-old youth target market. Describe how Red Bull’s communications strategy influenced the creative and media selection for its campaign.

Answer: Red Bull understood the youth market. Youth are distrustful of brands and companies, aren’t loyal to brands, and resist traditional marketing techniques.

Red Bull creates emotional ties with youth by treating them as individuals. The company uses events and experiences to reach this target market. Red Bull focuses on music, arts, and sports events. The Crashed Ice Festival in Quebec City draws millions of people. Red Bull pursues markets other brands reject.

Diff: 3 Skill: Applied

Type: ES

Page Ref: 104

97) Explain the process of marketing control and evaluation.

Answer: Since clearly defined and measurable objectives have been established, it is important that results be evaluated against the plans and against past performance.

Marketing control is the process of measuring and evaluating the results of marketing strategies and plans, and taking corrective action to ensure that marketing objectives are attained. For example, if marketing share objectives are not being achieved, then new marketing strategies may be considered.

Diff: 2 Type: ES Page Ref: 101 Skill: Applied 98) When it comes to getting consumers to pay attention to a message amidst noise and clutter, is the quality or the quantity of a message more important? Why? Answer: How much attention a consumer gives to a message is affected by several factors: the quality of the message itself, the channel of communications employed, and the presence of competing messages. Competition for attention is referred to as noise. The challenge is to create a message that will break through the clutter of competing messages and instill a positive impression in the receiver’s mind. If the message does not break through the clutter or is not perceived as relevant, the message strategy must be re-evaluated. Many practitioners believe the quality of the message (a message that employs the proper appeal techniques) is more important than the quantity of messages delivered. An ineffective message distributed frequently is no message at all.

Diff: 3 Type: ES Page Ref: 102Skill: Applied 99) What elements should a good statement of marketing communications objectives include? Provide an example.

Answer: A good statement of objectives will make it possible to quantify the success or failure of advertising by establishing minimum levels of awareness and purchase

.

4–22

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e motivation. It should also provide a description of the target market to be reached by advertising. An example would be: “To achieve a brand preference score of 40 percent among primary buyers (12 – 19 year old males)” Diff: 3 Type: ES Page Ref: 107 Skill: Applied 100) Why is a mission statement important? What makes a good mission statement?

Answer: A mission statement is the foundation of the corporate plan; it is a statement of the organization’s purpose. It reflects the operating philosophy of the organization and the direction the organization is to take. Such statements are related to the opportunities the company identifies for itself in the marketplace. A good mission statement is customer and marketing oriented, considers the competition, and looks to the long term.

Diff: 2 Type: ES Page Ref: 90 Skill: Applied 101) What type of communications activities are part of a direct-response plan?

Answer: Due to advances in communications technology, companies are now investing more heavily in direct-response techniques to get their message out. Direct response includes direct mail, direct-response television, catalogue marketing, and telemarketing activities. These types of communication activities can be measured for effectiveness more readily than mass communications.

Diff: 2 Type: ES Page Ref: 112 Skill: Recall 102) Describe the creative strategy behind Cadbury’s Dairy Milk Bubbly bar advertising.

Answer: Cadbury used a whimsical strategy to launch its Dairy Milk Bubbly bar. TV commercials used airships, tiny cars, and people in inflatable suits dropping tiny parachutes filled with bubbly bars on the houses below. The voice says the bars were made in “Joyville.” The theme was designed to appeal to 18- to 34-year-old women. The goal was to bring the magic of Joyville life to their daily routines.

Diff: 3 Skill: Applied

Type: ES

.

Page Ref: 110

4–23

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 103) List and describe the online and interactive advertising opportunities available to advertisers.

Answer: The internet and other forms of interactive communications such as cell phones, video games, and social media are gaining ground among the media alternatives available to advertisers. Company and product websites provide essential information. In terms of online advertising, companies can reach their target audiences through banner ads (ads in various sizes that viewers click on for more information), search advertising, sponsorship opportunities (advertising on websites of interest to a brand's or company's target audience), and email opportunities.

Diff: 2 Type: ES Page Ref: 111 Skill: Applied 104) Describe the role of a sales representative.

Answer: A company’s sales force is the basis of the personal selling plan. The job of the sales force is to communicate with members of the distribution channel. The sales representative communicates the benefits of products offered for sale in terms of how they will specifically resolve a potential customer's problem. As well, he/she communicates any support plans that will help the distributor resell the product.

Coordination of the personal selling effort with other marketing communications activities is crucial.

Diff: 2 Type: ES Page Ref: 112 Skill: Appled 105) Explain the ACCA behavioural model.

Answer: When deciding what products to buy, a consumer passes through a series of behavioural stages. Marketing communications can influence each stage. ACCA is a model that identifies 4 stages: awareness, comprehension, conviction, and action. Advertisements can help the consumer become aware of a product and how it can satisfy the customer’s needs. Advertising messages can help the consumer comprehend a product of interest. The customer can be motivated to purchase a product at the conviction stage. At this stage, advertising can help the customer evaluate the product’s benefits. Coupons and sales promotions can influence a customer to make the purchase (take action).

Diff: 2 Type: ES Page Ref: 103 Skill: Recall 106) Why is a geographic profile a necessary part of a target-market profile?

Answer: Much of Canada's population is urban, and certainly there are distinct regional differences that must be considered. Geography will influence decisions about regional versus national marketing strategies and will influence how a budget is allocated across the country. For example, Mercedes-Benz targets an upscale

.

4–24

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e market with its new E-class Cabriolet. The advertising is shown in cities with a population of 500,000 plus.

Diff: 2 Type: ES Page Ref: 98 Skill: Applied 107) What is the goal of the media plan, and what strategic decisions does it influence?

Answer: The goal of the media plan is to provide maximum impact within the budget and to reach the target market at the right time. Therefore, numerous strategic decisions must be made. An advertiser must determine which media to use; the best time to reach the target market and how often it must be reached; which markets to advertise in (geographically) and at what frequencies; and when and for how long the media campaign will run.

Diff: 2 Type: ES Page Ref: 111 Skill: Applied 108) Why are companies investing more heavily in direct response techniques to get their message out?

Answer: Due to advances in communications technology, companies are now investing more heavily in direct response techniques to get their message out. Direct response includes direct mail, direct response television, catalogue marketing, and telemarketing activities. These types of activities can be measured for effectiveness more readily than mass advertising. Consequently, managers who are being held more accountable for producing results are investing in direct response advertising.

Diff: 3 Type: ES Page Ref: 112 Skill: Applied 109) Explain Alexander Keith’s strategy to achieve growth.

Answer: Alexander Keith’s invested in research and new product development in 2012 to expand its product offerings beyond beer. Alexander Keith’s Original Cider is a beverage that offers both taste and refreshment. The product is targeted at 25- to 34-year-olds who enjoy sharing a good drink with friends. Growth is achieved by appealing to a new target market and by offering alternatives to a current market familiar with the brand.

Diff: 3 Type: ES Page Ref: 91 Skill: Applied 110) Why is experiential marketing (events and sponsorships) becoming more important?

Answer: Getting people more involved with brands—by having them experience the brands—is becoming more important to marketing organizations. This is especially appealing to the youth market which does not respond as well to mass

.

4–25

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e marketing. Through experiential marketing, individuals are targeted. When organizations participate in planned events hosted by others (a sponsorship opportunity) or create and implement a unique branded event, the target market gets more actively involved with a brand. Careful planning is needed if an organization is to achieve maximum value from an event.

Diff: 2 Type: ES Page Ref: 112 Skill: Application

.

4–26

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

Chapter 5 1) Once the advertising objectives are clearly defined, devising the message and media strategies are the task of the A) product manager B) client C) agency D) product mix E) account manager Answer: C Diff: 1 Type: MC Page Ref: 117 Skill: Recall 2) In the creative development process, one of the areas of client responsibility is A) creative execution B) production C) creative concept D) creative evaluation E) creative strategy Answer: D Diff: 3 Type: MC Page Ref: 118 Skill: Applied 3) In order to ensure consistency of thought and style to campaigns that stretch over extended periods of time, this is an important component of the creative development process: A) product mix B) media budget C) market place D) teamwork E) mission statement Answer: D Diff: 2 Type: MC Page Ref: 119 Skill: Recall 4) The document that contains vital information about the advertising task at hand is known as the creative brief. This is provided by the A) marketplace B) client C) sales team D) agency E) industry Answer: B Diff: 1 Type: MC Page Ref: 120 Skill: Recall

.

5–1

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 5) The document that is known as the creative brief provides a framework for discussion between A) the client and the agency B) the agency and the consumer C) the creative director and the creative team D) the agency and the media E) the media buyer and the client Answer: A Diff: 3 Type: MC Page Ref: 120 Skill: Recall 6) The market profile includes key issues on happenings in the marketplace, such as A) media strengths and weaknesses B) the agency creative team C) size and rate of growth in the market D) the creative brief E) tactical considerations Answer: C Diff: 2 Type: MC Page Ref: 120 Skill: Applied 7) In the product profile, these are identified and ranked by priority: A) client problems B) geographic markets C) slogans D) benefits offered E) major competitors Answer: D Diff: 2 Type: MC Page Ref: 120 Skill: Applied 8) Objectives that are focused on behavioural issues such as creating awareness are: A) sales objectives B) creative objectives C) media objectives D) advertising objectives E) marketing objectives Answer: D Diff: 3 Type: MC Page Ref: 126 Skill: Applied 9) This area of analysis may have an impact on the tone, style and appeal techniques used in advertising.

A) sales B) geographic C) competitive .

5–2

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e D) technological E) product mix Answer: C Diff: 3 Type: MC Skill: Applied

Page Ref: 124

10) When the creative team has completed an assignment in the form of rough layouts, storyboards or scripts, it is submitted to ________ for approval.

A) the client B) fellow designers C) senior agency personnel D) the general public E) a focus group Answer: C Diff: 2 Type: MC Page Ref: 119 Skill: Applied 11) The target market profile must be supplied to the agency by the A) Canadian Outdoor Measurement Bureau B) Statistics Department of Canada C) Audit Bureau of Circulation D) media E) client Answer: E Diff: 2 Type: MC Page Ref: 125 Skill: Recall 12) The starting point for any new advertising project is the A) signed contract B) market analysis C) target market analysis D) competitive analysis E) creative brief Answer: E Diff: 1 Type: MC Page Ref: 120 Skill: Recall 13) The task of developing the creative concept or "big idea" belongs to the A) client and creative director B) media planner, account executive and copywriter C) marketing manager and copywriter D) copywriter alone E) copywriter, art director and creative director Answer: E Diff: 2 Type: MC Page Ref: 120 Skill: Recall .

5–3

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

14) The advertising agency might gain general direction by noting the client's preference for ______________, but strategy is normally the domain of the agency.

A) the amount of product to be advertised B) emotional or humorous appeals C) the market segment to be targeted D) the amount of market research required E) the use of certain dayparts Answer: B Diff: 3 Type: MC Page Ref: 118 Skill: Applied 15) One of the key issues of the market profile include A) the creative strategy B) client management C) current overall sales D) the target audience description E) the identification of major competitors Answer: E Diff: 2 Type: MC Page Ref: 120 Skill: Applied 16) The advertising problem or opportunity may be better described as the A) unique selling point B) overall goal of the campaign C) product profile D) creative strategy E) creative execution Answer: B Diff: 2 Type: MC Page Ref: 126 Skill: Recall 17) To facilitate the creative thinking process, overall goals focus on issues that advertising can definitely influence, such as A) media exposure B) increasing sales C) creating awareness and preference D) product development E) budget realities Answer: C Diff: 3 Type: MC Page Ref: 126 Skill: Applied 18) Advertising objectives focus on A) behavioural issues B) product issues .

5–4

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) emotional issues D) rational issues E) positioning strategies Answer: A Diff: 2 Type: MC Skill: Applied

Page Ref: 126

19) "To achieve a brand awareness level of 60 per cent among the defined target market within 12 months of launching the product" is an example of A) a sales promotion objective B) a media objective C) a creative objective D) an advertising objective E) a marketing objective Answer: D Diff: 2 Type: MC Page Ref: 129 Skill: Applied 20) When a product is firmly established in the market, the marketing objectives usually reflect an attempt to A) use new media B) create awareness C) encourage product trial D) differentiate user segments E) convert light users into heavy users Answer: E Diff: 3 Type: MC Page Ref: 130 Skill: Applied 21) When Ford launched the Focus they incorporated music-themed creative for the internet. This was an effort to A) attract a new, younger target B) communicate promotion incentives C) increase variety of use D) communicate a positive corporate image E) communicate a product improvement Answer: A Diff: 3 Type: MC Page Ref: 130 Skill: Applied 22) To stimulate trial purchase of a product, quite often an advertising campaign will include A) head-to-head advertising B) new media C) a change to a boutique agency D) an increase in point of sale .

5–5

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e E) coupon incentives Answer: E Diff: 2 Type: MC Skill: Applied

Page Ref: 129

23) Multi-product firms such as Shell Oil may run a corporate advertising campaign as part of their A) search for an advertising agency B) market research C) product line extension D) repositioning E) corporate responsibility positioning Answer: E Diff: 3 Type: MC Page Ref: 132 Skill: Applied 24) Frequently the tagline or slogan in the creative execution captures the essence of A) the positioning strategy B) the target audience C) a product line extension D) the competition E) a character or spokesperson Answer: A Diff: 2 Type: MC Page Ref: 133 Skill: Applied 25) Statements that clearly indicate the information to be communicated to a target audience are referred to as A) support claims statements B) creative objectives C) taglines D) marketing objectives E) positioning statements Answer: B Diff: 3 Type: MC Page Ref: 133 Skill: Recall 26) The key benefit statement is A) the reason for using market research B) the reason for a larger budget C) the primary reason for buying the product over the competition D) the main reason for using a particular agency E) why certain media was used Answer: C Diff: 1 Type: MC Page Ref: 134 Skill: Recall .

5–6

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

27) Good support claims statements provide customers with A) good taste and good nutrition B) celebrity endorsements C) emotional appeals D) proof of promise made in the key benefit statement E) catchy slogans Answer: D Diff: 2 Type: MC Page Ref: 134 Skill: Applied 28) After confirming the message content (creative objective), the next stage in the process is to develop the A) creative execution B) client evaluation C) media buy D) creative strategy E) research plan Answer: D Diff: 2 Type: MC Page Ref: 136 Skill: Recall 29) One of the dangers of using humorous appeals is that A) the humour gets more attention than the product B) the client dislikes clever campaigns C) high frequency of exposure is required for effectiveness D) competitors do not use humour E) benefits are presented in a light-hearted manner Answer: A Diff: 2 Type: MC Page Ref: 139 Skill: Applied 30) Comparative campaigns are often undertaken by A) market leaders B) brands with younger target audiences C) a challenger brand D) well-known brands E) brands where lifestyle is a determining purchase factor Answer: C Diff: 3 Type: MC Page Ref: 138 Skill: Applied 31) The key to success in a campaign that relies on lifestyle-appeal techniques is A) differentiation of one brand from another B) association an individual can make with the advertised lifestyle C) a straightforward, no-nonsense message .

5–7

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e D) use of humour and sex appeal E) product superiority Answer: B Diff: 2 Type: MC Page Ref: 140 Skill: Applied 32) For negative appeals, such as insurance companies showing disasters homeowners could encounter, the product promise and benefits are based on an experience the potential buyer can A) increase B) replace with a substitute C) avoid D) use E) buy Answer: C Diff: 2 Type: MC Page Ref: 137 Skill: Applied 33) For factual appeals, the promise and benefits of the product are presented A) in a positive way B) in a negative way C) with the use of humour D) with the use of fear E) in a straightforward manner Answer: E Diff: 1 Type: MC Page Ref: 138 Skill: Recall 34) When comparative appeal techniques are used, the product is presented through A) testimonials B) a torture test C) comparison with another leading brand D) TV advertising only E) comparing consumer lifestyles Answer: C Diff: 2 Type: MC Page Ref: 138 Skill: Applied 35) Advertisements using a lifestyle appeal are based on A) psychographic data B) geographic data C) family income D) data on visible minorities E) demographic data Answer: A Diff: 2 Type: MC Page Ref: 140 .

5–8

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Recall 36) Once the strategy has been developed, the creative team must decide how to best present the product so that the message has the maximum impact on the target market. Creative execution deals with production and A) demographics B) size of budget C) tactical considerations D) new target markets E) market research Answer: C Diff: 2 Type: MC Page Ref: 142 Skill: Applied 37) Production considerations are addressed in which stage of the creative development process?

A) creative execution B) creative brief C) positioning strategy D) creative objectives E) creative evaluation Answer: A Diff: 1 Type: MC Page Ref: 142 Skill: Recall 38) In a testimonial advertisement, the message and the product are usually presented by A) cartoon characters B) a celebrity C) actors D) professional models E) a typical real-world user Answer: E Diff: 2 Type: MC Page Ref: 142 Skill: Recall 39) Endorsements of a product or service is presented by an organization or A) pets B) models C) an average person, off the street D) a demonstration E) a celebrity Answer: E Diff: 2 Type: MC Page Ref: 143 Skill: Applied 40) Product categories where the use of sexual appeals is popular and appropriate include .

5–9

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) travel and tourism B) household cleaners C) soft drinks D) footwear E) alcoholic beverages Answer: E Diff: 3 Type: MC Skill: Recall

Page Ref: 139

41) A potential danger of using celebrity endorsements is the celebrity is A) not credible B) underexposed C) receiving bad press D) overexposed E) the product is the hero Answer: D Diff: 2 Type: MC Page Ref: 143 Skill: Applied 42) Product demonstrations are used in advertisements when a company wants to A) use testimonials to support a product B) expose a competitor's product C) focus on product performance D) use a negative appeal E) promote multiple sales Answer: C Diff: 3 Type: MC Page Ref: 144 Skill: Recall 43) "Before and after" scenarios are examples of this presentation tactic: A) endorsement B) torture test C) testimonial D) product as hero E) product demonstration Answer: E Diff: 1 Type: MC Page Ref: 144 Skill: Applied 44) Pickup trucks like the Dodge Ram often use this tactic in their advertising: A) endorsement B) testimonial C) a comparative appeal D) a lifestyle appeal E) exaggerated product demonstration Answer: E .

5–10

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Applied

Type: MC

Page Ref: 145

45) Creative research is the process of measuring the effect of an advertising message on A) senior management of the client B) the target market C) a new client D) the internet E) social media Answer: B Diff: 1 Type: MC Page Ref: 147 Skill: Recall 46) Pre-testing is the process by which an advertisement, commercial, or campaign is evaluated before A) product launch B) any market research C) budget allocation D) storyboard selection E) media placement Answer: E Diff: 2 Type: MC Page Ref: 147 Skill: Applied 47) In recognition tests, respondents are asked if A) they have changed the product they use B) they can identify a brand name C) they can recognize a logo D) they have bought a specific product recently E) they can recall an advertisement for a specific product Answer: E Diff: 2 Type: MC Page Ref: 148 Skill: Applied 48) A Starch readership test is a post-test recognition procedure applied to both newspaper and magazine advertisements. The objective is to A) measure how many readers have seen the ad B) measure the cost of a specific media C) assess the ads of the competition D) directly measure the appeal of the creative E) increase subscribers Answer: A Diff2 Type: MC Page Ref: 148 Skill: Applied

.

5–11

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

49) Day-after recall testing is used by the broadcast media, in particular television. The objective is to A) find out which media the consumer used in the last 24 hours B) find out what products the consumer purchased recently C) determine the exposure and recall of particular commercials D) measure the creative content for the agency E) measure the reach of the media Answer: C Diff: 2 Type: MC Page Ref: 148 Skill: Applied 50) Opinion-measure testing exposes an audience to A) a test commercial B) a pilot program C) a postal questionnaire D) a mall survey E) a new product Answer: A Diff: 2 Type: MC Page Ref: 149 Skill: Recall 51) An eye movement camera test measures how a consumer A) buys a newspaper or magazine B) reads a book C) watches television D) reads and at what level E) scans the various components of an advertisement Answer: E Diff: 2 Type: MC Page Ref: 149 Skill: Recall 52) Another form of advertising research is the split-run test, usually in print media. This is when A) opinion measure testing is carried out B) two competitors advertise at the same time C) two different ads are run with the same coupon D) different forms of media are used E) different products are advertised at the same time Answer: C Diff:2 Type: MC Page Ref: 149 Skill: Recall

.

5–12

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 53) This team plays a dominant role in the development of the creative strategy.

A) media planning B) senior management C) market research D) brand management E) agency's creative team Answer: E Diff: 1 Type: MC Page Ref: 136 Skill: Recall 54) Attempting to accomplish too many goals at one time in an advertising campaign will only A) increase the amount of pre-planning research required B) create the need for a larger media budget C) increase the production costs D) impact the working relationship with the agency E) create confusion in the customer's mind Answer: E Diff: 2 Type: MC Page Ref: 126 Skill: Recall 55) Wheaties cereal tagline, “Breakfast of Champions” is an example of how a good advertising tagline A) enhances the client relationship B) provides more in-depth market research C) reduces media expenditures D) can outlast numerous advertising campaigns E) enhances product development Answer: D Diff: 3 Type: MC Page Ref: 121 Skill: Applied 56) The Pillsbury Doughboy is an example of how a character may be so closely associated with a product that A) only a humorous appeal can be used B) creative research is no longer needed C) fewer creative executions are required D) support-claims statements are unnecessary E) his presence is expected in the advertising Answer: E Diff: 3 Type: MC Page Ref: 124 Skill: Applied

.

5–13

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 57) A brand's reputation can also influence A) the production quality B) the tone and style C) the layout D) the visuals E) the message Answer: E Diff: 3 Type: MC Page Ref: 121 Skill: Applied 58 Brand names like McDonald’s that have a closely associated slogan (i.e. "I’m lovin’ it") have A) higher recall B) stronger executions C) higher prestige D) prominent placement in media E) larger advertising budgets Answer: A Diff: 3 Type: MC Page Ref: 121 Skill: Applied 59) Wal Mart uses this production consideration in their ads when they feature a diversity of ethnic people making the point that Wal Mart offers the value their families need: A) endorsements B) product comparisons C) product-as-hero D) testimonials E) demonstration Answer: D Diff: 3 Type: MC Page Ref: 143 Skill: Applied 60) In order for the audience to remember the name of the product in a television commercial, there must be sufficient A) brand registration B) production quality C) product comparison D) brand endorsement E) brand demonstration Answer: A Diff: 3 Type: MC Page Ref: 147 Skill: Applied 61) Through consultation with the agency's creative team, the client will play a dominant role in the development of creative-strategy statements.

A) True .

5–14

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) False Answer: False Diff: 2

Type: TF

Page Ref: 118Skill: Recall

62) Advertising agencies commonly have copywriters and art directors work together as a creative team.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 119 Skill: Recall 63) The creative team develops the creative concept or central theme/idea; this is referred to as the media plan.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 120 Skill: Applied 64) The client compiles a document containing vital information about the advertising task at hand. This is often referred to as the mission statement.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 120 Skill: Applied 65) One of the key issues addressed in the market profile is identification of major competitors and their market shares.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 120 Skill: Recall 66) Within the creative brief, the product profile will include an analysis of the media budget.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 120 Skill: Applied 67) The agency must supply the client with a complete profile of the target market.

A) True .

5–15

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) False Answer: False Diff: 2 Skill: Applied

Type: TF

Page Ref: 118

68) Tony the Tiger is so closely associated with Kellogg's Frosted Flakes that the audience expects his presence in the advertising.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 124 Skill: Applied 69) The creative strategy is a statement of how the message is to be communicated to the media.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 136 Skill: Applied 70) "To attract a new target market" is an example of a communications goal.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 126 Skill: Applied 71) Since the client's money is on the line, the client has every right to apply qualitative and quantitative research assessments at any stage of creative execution.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 118 Skill: Applied 72) Once the primary benefit the brand offers is identified, it should become the focal point of the advertising message.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 120 Skill: Applied 73) The Burger King campaign that focused on the Whopper hamburger was focusing on the brand's strength. .

5–16

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) True B) False Answer: True Diff: 2 Skill: Applied

Type: TF

Page Ref: 120

74) The creative team need not concern itself with what competitor brands are saying and how they are saying it.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 124 Skill: Applied 75) Typically, advertising campaigns are designed to resolve a specific problem or pursue an opportunity.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 126 Skill: Recall 76) Advertising objectives usually focus on product issues and are expressed in qualitative terms whenever possible.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 126 Skill: Recall 77) No matter how good a tagline is, it would never outlast an advertising campaign.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 123 Skill: Applied 78) The objective of Visa Canada’s campaign with the tagline “Do you smallenfreuden? was to get cardholders to use their cards more often.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 130 Skill: Applied

.

5–17

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 79) Shell Oil's campaign about sustainable development offers an example of how making the public aware of their actions improves people’s perception of Shell as a corporation.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 132 Skill: Applied 80) For positive appeals, the product promise and benefits presented are based on an experience the potential buyer can avoid by purchasing the advertised product or service.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 137 Skill: Recall 81) A support-claims statement provides proof of promise based on criteria such as technical performance or consumer preference data.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 134 Skill: Recall 82) Very often the use of fear and anger are associated with positive appeals.

A) True B) False Answer: False Diff: 1 Type: TF Page Ref: 137 Skill: Applied 83) An endorsement advertisement essentially amounts to a typical user of the product explaining how they have enjoyed the product in their everyday lives.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 143 Skill: Applied 84) Many advertisers worry that a humorous campaign will suffer from premature wearout after a few exposures: when the humour is familiar, it is no longer funny.

A) True B) False Answer: True .

5–18

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 3 Skill: Applied

Type: TF

Page Ref: 139

85) The Starch readership test evaluates a viewer’s reaction to a new television commercial.

A) True B) False Answer: False Diff: 1 Type: TF Page Ref: 148 Skill: Applied 86) Describe the client's role in the creative development process.

Answer: Early in the process, the client must provide enough market, competitor, customer and product information so that the agency understands the situation clearly. The client also plays a role in developing a list of creative objectives. The creative objectives identify the key benefits that are to be communicated to the target market. The last area of client responsibility is its involvement in the creative evaluation process.

Diff: 2 Type: ES Page Ref: 118 Skill: Applied 87) What is the purpose of the creative brief?

Answer: The creative brief is a document developed by the client that contains vital information about the advertising task at hand. The information contained in the brief is presented and discussed with the agency personnel so that copywriters and art directors fully understand the nature of the assignment. The brief is a discussion document that gets everybody thinking about the best approach for the advertising campaign.

Diff: 2 Type: ES Page Ref: 120 Skill: Applied 88) How might a brand's existing reputation influence the advertising message?

Answer: While creative direction often changes with time, quite often an important element from previous campaigns is retained in a new campaign. Such an element may have contributed positively to the image of the brand. For example, a good slogan may outlast numerous advertising campaigns because it is closely associated with the brand name and has high recall with consumers. Also, a character or spokesperson may be so closely associated with a product that their presence is expected in advertising. Elements such as these have longevity, and therefore must be considered when new creative direction is contemplated.

Diff: 3 Type: ES Page Ref: 123 Skill: Applied

.

5–19

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 89) Provide an example of how an advertiser could use factual appeals in its advertising to communicate a product improvement.

Answer: In a factual appeal technique, the promise and benefit of a product are presented in a straightforward manner. Benefits are presented in a factual way and visuals state the obvious. This technique works well with products that appeal to rational buying motives. Crest 3D White toothpaste uses this technique. Their print ad clearly states that using Crest and Oral-B together will give the user a whiter smile in 1 day. The young lady in the visual has a white smile.

Diff: 2 Type: ES Page Ref: 138 Skill: Applied 90) How can competitive analysis serve as a guideline for creative direction?

Answer: A discussion of competitive creative strategies provides a more complete perspective on what is happening in the marketplace. The creative team should know what competitive brands are saying and how they are saying it. The direction an advertiser takes may be similar to, or totally different from, that of the competition. Competitive analysis may also have an impact on the tone, style and appeal techniques used. If one brand uses a particular style or appeal, it may not be in the best interests of a competing brand to use the same style, since the brands would not be clearly differentiated.

Diff: 3 Type: ES Page Ref: 124 Skill: Applied 91) Why is it important that the client provide the agency with a complete profile of the target market?

Answer: The better the knowledge of the target market, the easier the task of developing advertising messages. If adequate resources are allocated to consumer research (identify and understand the motivations behind consumers' purchases), the results can be used to develop convincing messages. The ability to associate product benefits with buying motivation or to present a product in a manner suited to a certain lifestyle is part of developing creative objective statements and creative strategy statements.

Diff: 2 Type: ES Page Ref: 125 Skill: Applied 92) Discuss why companies sometimes develop advertising designed to build and improve their corporate reputations with the public. Provide an example.

Answer: In addition to advertising specific products, multi-product firms may run a corporate advertising campaign. The corporate campaign is part of the company’s "corporate responsibility" positioning. Shell Oil, for example, ran an ad campaign about sustainable development. Making the public aware of their actions improves how people perceive Shell as a corporation. .

5–20

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Applied

Type: ES

Page Ref: 132

93) During the introductory and early growth stages of a product’s life cycle, it can be challenging to convince people to try the product out for the first time. How is advertising sometimes used to encourage trial purchase?

Answer: During the introduction and growth stages of the product life cycle, achieving high levels of product awareness and trial purchase are key objectives.

Sometimes incentives have to be offered to give consumers an extra nudge to buy.

If that is the case, the ads will carry a coupon, rebate offer or some other incentive. Incentives help reduce the risk of purchasing for the first time.

Diff: 2 Type: ES Page Ref: 129 Skill: Applied 94) How can agency creative people incorporate positioning into the creative process?

Answer: Positioning refers to the selling concept that motivates purchase of a particular brand. It involves instilling the brand image in the customer's mind. Agency creative people refer to the positioning statement when they are trying to discover the creative concept—that big idea for communicating the message effectively.

The positioning statement influences the content of creative objective statements and creative strategy statements.

Diff: 2 Type: ES Page Ref: 133 Skill: Applied 95) What role does the support claims statement play as an element in the creative objective?

Answer: The support claims statement describes the principal characteristics of the product or service that substantiate the promise made in the key benefit statement. It provides proof of promise based on criteria such as technical performance data or consumer preference data generated from marketing research.

Diff: 2 Type: ES Page Ref: 134 Skill: Applied 96) How does a factual appeal differ from a negative appeal?

Answer: In a factual appeal, the promise and benefits are presented in a straightforward, factual way. The message appeals to the rational buying motives of consumers, employing a direct, here's-what-the-product-does approach. A factual appeal approach is frequently used for proprietary medicines, such as cough and cold remedies. With negative appeals, the product promise and benefits are presented based on an experience the buyer can avoid by purchasing the advertised product or service. Very often the use of fear and anger are associated with negative appeals. .

5–21

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Applied

Type: ES

Page Ref: 137, 138

97) How are tactical considerations different from creative strategies?

Answer: Tactical considerations are addressed in the creative execution stage of the creative development process. At this stage, the agency's creative team evaluates specific ideas on presenting the client's product or service. These tactics are simply more precisely defined creative strategies. They undertake to answer what the best or most convincing way is to present a product so that the consumer will be motivated to take the desired action. The decision as to whether or not the advertisement should use a demonstration, a product comparison, a testimonial or a celebrity spokesperson falls under tactical considerations.

Diff: 2 Type: ES Page Ref: 143 Skill: Applied 98) When evaluating creative, why should a client be concerned about whether or not the advertising message is presented in good taste?

Answer: The client must be concerned about the actual message and the implied message since they are ultimately responsible for the truthfulness of the message.

Consumers may lodge complaints about ads they find offensive or that encourage risky behaviour. Legal counsel often has the final say regarding message content.

Diff: 2 Type: ES Page Ref: 147 Skill: Applied 99) Explain the advantages and disadvantages of opinion-measure testing.

Answer: Opinion-measure testing exposes an audience to test commercial messages in the context of special television programs. Advantages of this testing method are that it can measure audience awareness based on brand-name recall, measure the extent to which the main message is communicated, and measure the effect of the commercial on purchase motivation. A potential weakness is that the testing is done in an artificial environment.

Diff: 2 Type: ES Page Ref: 149 Skill: Applied 100) What research method is commonly used in broadcast media, particularly television, to assess impact of a message on a target audience?

Answer: In broadcast media, especially television, day-after recall (DAR) testing is conducted the day after an audience has been exposed to a commercial message for the first time. Randomly selected respondents are surveyed by telephone and asked about the primary selling message, likes and dislikes about the ad, areas of disbelief or confusion, and purchase motivation. DAR is a form of recognition and recall testing. .

5–22

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 3 Skill: Applied

Type: ES

Page Ref: 148

101) How are emotional appeals used in advertising? Provide an example.

Answer: Advertisers who use emotional appeals successfully do so by arousing the feelings of the audience or by showing the psychological satisfaction that can be gained by using the product. For example, Tim Hortons’ ”Welcome to Canada” campaign uses visual imagery to make an emotional connection between their customers and the company. Campaigns that promote awareness of social causes also use emotional appeals. Seeing a distraught man sitting on a curb in the dead of night after a drinking and driving accident, or hearing a young boy talk about the good times he had with his father who died of lung cancer, does tug at the heartstrings of viewers. Emotional advertising has impact!

Diff: 3 Type: ES Page Ref: 139 Skill: Applied 102) Describe the type of creative appeal used in the Porsche “Rules the bends” campaign.

Answer: In the luxury segment, the need to experience recognition and status is portrayed by showing a young business executive behind the wheel of a luxury automobile.

Images like these speak louder than words.

Porsche, for example, connects with an upscale professional target seeking adventure. The image and supporting body copy in the advertisement certainly appeal to those looking for a driving thrill.

Diff: 2 Type: ES Page Ref: 141 Skill: Applied 103) What role does a slogan play in a brand's positioning strategy? Provide an example.

Answer: Positioning refers to the selling concept or message that motivates purchase. It involves the message or image of the brand to be instilled in the customer’s mind.

The positioning statement influences the content of creative objective and strategy statements. The tagline or slogan portrays or summarizes the positioning strategy.

It plays a key role by ingraining the essence of the positioning strategy in the customer's mind. Consider the following examples: - Nike: “Just Do It” is an inspirational strategy to encourage people to participate or compete in sports to the best of their ability - Tim Hortons: "Always Fresh" is an obvious promise that drives the company’s success - Subway: “Think fresh. Eat fresh” is a promise of offering healthy, fast food for contemporary lifestyles.

Diff: 2 Type: ES Page Ref: 133 Skill: Applied

.

5–23

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 104) In what situation does advertising temporarily depart from communicating unique selling points to focus on the brand name and promotion?

Answer: The stage of the life cycle a product is in and the competitive environment of the marketplace often influence advertising objectives. At the introduction and growth stages, emphasis is on awareness and preference so the message deals with unique selling points. Here the goal is to differentiate one brand from another. In the mature stage, the message shifts to increasing frequency of use, expanding the variety of uses, or attracting new users to the product. To accomplish these goals, often an entire campaign can revolve around a special offer from a manufacturer. Consumers today are looking for better value in the products and services they purchase and advertising that communicates promotion incentives, such as contests, premium offers, rebate offers and loyalty programs, provide consumers with an additional incentive to buy. For example, the automobile industry frequently switches from image-oriented brand advertising to promote rebates, low financing and special option packages as a means of stimulating sales.

Diff: 3 Type: ES Page Ref: 127 Skill: Applied 105) How does having a complete profile of the target market assist the agency in the development of the creative strategy?

Answer: A complete target market profile includes all relevant demographic, psychographic and geographic information. The better the knowledge of the target market, the easier the task of developing advertising messages. If adequate resources are allocated to the collection of research information—to identifying and understanding the motivations behind consumers' purchases—such information can be used to develop convincing messages. The ability to associate product benefits with buying motives or to present a product in a manner suited to a certain lifestyle is part of developing creative objectives and creative strategy statements.

Diff: 3 Type: ES Page Ref: 125 Skill: Applied 106) Summarize the key elements of creative planning.

Answer: The marketing background is provided by the client to the agency. Analysis of the marketing background allows identification of a problem or an opportunity to be resolved by advertising. This is the overall goal of the campaign. Advertising objectives are generated based on problem identification. They are behaviour oriented and quantifiable. From the advertising objectives, creative objectives (which are content oriented), creative strategy (which guide the way to communicate the message) and creative execution (the tactical and production considerations) are developed. Finally, creative evaluation and research of the advertising is undertaken. .

5–24

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 3 Skill: Recall

Type: ES

Page Ref: 146

107) Describe the criteria clients using the managerial approach for evaluating creative may apply.

Answer: All or some of the following criteria may be applied: 1. In terms of content, does the ad communicate the creative objectives and reflect the positioning strategy?

2. Does the presentation (strategy and execution) mislead or misrepresent the intent of the message? Is it presented in good taste?

3. Is the ad memorable?

4. Is the brand recognition effective?

5. Should the advertisement be researched?

Diff: 2 Type: ES Page Ref: 147 Skill: Applied 108) Explain the factual-appeal technique.

Answer: In factual appeals, the promise and benefits are presented in a straightforward manner. Benefits are presented in a factual way and visuals are employed usually to state the obvious. Products such as medicinal products that appeal to rational buying motives tend to employ a "here's what the product does" approach. For example, A535 Rub relieves the tension of aching muscles.

Diff: 2 Type: ES Page Ref: 138 Skill: Applied 109) Explain why production requirements are often determined by the media budget.

Answer: The media budget can restrict which media to use. In turn the media that can be used in the campaign will determine production requirements. For example, if television is being used, the desired commercial length will affect production.

How many commercials will be needed? Can the same message be used online and in broadcast media? If print is used, size specifications affect production. Are there any restrictions on use of colour?

Diff: 2 Type: ES Page Ref: 143 Skill: Applied 110) What insights are gathered during pre-testing? How do these differ from insights gathered during post-testing?

Answer: Pre-testing allows a campaign to be evaluated before final production or media placement so that the strengths and weaknesses of the strategy and execution can be determined. Post-testing is the process of evaluating and measuring the effectiveness of an advertisement, commercial or campaign during or after it has

.

5–25

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e run. Post-testing provides information that can be used in future advertising planning.

Diff: 2 Type: ES Page Ref: 147 Skill: Applied

.

5–26

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

Chapter 6 1) In traditional print advertising, the central idea is conveyed primarily through A) the body text B) the size of the ad C) the headline and visual illustrations D) the art work E) the choice of media Answer: C Diff: 1 Type: MC Page Ref: 153 Skill: Applied 2) The primary purpose of the headline is to A) command the reader’s attention B) tell what product is for sale C) support the company’s brand D) entertain the reader E) educate the reader Answer: A Diff: 1 Type: MC Page Ref: 154 Skill: Applied 3) A headline for C-I-L Golfgreen lawn fertilizer reads “Instant Greenification.” This is an example of a A) question headline B) news headline C) promise-of-benefit headline D) curiosity headline E) command headline Answer: C Diff: 2 Type: MC Page Ref: 154 Skill: Applied 4) Budweiser’s headline “Hockey will never be the same” is an example of a A) news headline B) curiosity headline C) command headline D) promise-of-benefit headline E) question headline Answer: B Diff: 2 Type: MC Page Ref: 155 Skill: Applied 5) Visa’s headline, “Introducing the new generation of debt” is an example of a A) curiosity headline B) news headline

.

6–1

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) promise-of-benefit headline D) subheadline E) command headline Answer: B Diff: 2 Type: MC Page Ref: 155 Skill: Applied 6) The body copy is the part of the advertisement that A) is the narrative style copy B) is the proof of promise or product claim C) is the final copy element of the advertisement D) includes the 1-800 number E) provides the balance for the advertisement Answer: B Diff: 2 Type: MC Page Ref: 157 Skill: Applied 7) The final copy element in a print ad is also known as A) the signature B) the reason why copy C) the dialogue line D) the narrative copy E) the short copy Answer: A Diff: 2 Type: MC Page Ref: 158 Skill: Recall 8) Short copy is most appropriate for A) narrative copy B) endorsement advertising C) image advertising D) reason-why copy E) testimonial advertising Answer: C Diff: 2 Type: MC Page Ref: 158 Skill: Applied 9) An approach in which body copy has a beginning, middle and an end is called A) one line B) bullet-point C) a signature D) story E) a subhead Answer: D Diff: 2 Type: MC Page Ref: 157 Skill: Applied

.

6–2

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

10) Nike’s “Just do it” is an example of A) a headline B) body copy C) a subhead D) a signature E) short copy Answer: D Diff:3 Type: MC Page Ref: 158 Skill: Applied 11) One purpose of a signature is to A) capture the reader’s attention B) position the product in the customer’s mind C) provide more information D) keep body copy short E) integrate the headline with the illustration Answer: B Diff: 2 Type: MC Page Ref: 158 Skill: Applied 12) The art director develops thumbnail sketches, which are A) small, experimental drawings of design concepts B) ads in which the background extends to the page edge C) highly refined facsimiles of the finished ad D) ads that are balanced from left to right E) actual size drawings of an ad Answer: A Diff: 1 Type: MC Page Ref: 159 Skill: Recall 13) “Layout” refers to A) the cost of producing an ad B) thumbnail sketches C) the illustration in an ad D) the design and orderly formation of the various elements of an ad E) longer production times Answer: D Diff: 2 Type: MC Page Ref: 159 Skill: Recall 14) Balance refers to A) the use of left and right side B) the use of black and white C) the use of colour D) the flow of the advertisement

.

6–3

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e E) the use of various media Answer: A Diff: 2 Type: MC Skill: Recall

Page Ref: 160

15) Flow refers to A) the movement of the reader's eye B) the flow of white space C) the rate of art work from the creative team D) the time frame for the media campaign E) the flow of product from the client Answer: A Diff: 1 Type: MC Page Ref: 160 Skill: Recall 16) Generally speaking, the use of colour in an ad A) grabs attention B) has no effect on readership C) lowers product awareness D) is too expensive for most budgets E) distracts readers Answer: A Diff: 2 Type: MC Page Ref: 161 Skill: Applied 17) A bleed page in magazine advertising refers to when A) the white space extends to the edge of the page B) the coloured background extends to the edge of the page C) the colour bleeds into white D) the flow is affected by the colour E) there is an error in printing Answer: B Diff: 1 Type: MC Page Ref: 162 Skill: Recall 18) Spot colour attracts attention A) only in a full-page ad B) only for internet ads C) require longer production time D) in black and white mediums E) when it bleeds Answer: D Diff: 3 Type: MC Page Ref: 161 Skill: Applied 19) White space is

.

6–4

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) the part of the advertisement that is not occupied by other elements B) the margins around an advertisement C) the area where the visual goes D) part of a black and white advertisement E) the area where the text goes Answer: A Diff: 2 Type: MC Page Ref: 161 Skill: Applied 20) In this type of layout, the copy dominates one side of the ad and the picture dominates the other A) insert layout B) horizontal split C) vertical split D) poster E) multiple illustration Answer: C Diff: 2 Type: MC Page Ref: 164 Skill: Applied 21) The type of layout that is least likely to have a lot of illustrations is the A) horizontal split B) long copy C) poster D) insert E) vertical split Answer: B Diff: 2 Type: MC Page Ref: 164 Skill: Applied 22) The type of layout that relies almost entirely on visual presentation is called the A) horizontal split B) poster C) insert D) vertical split E) multiple illustration Answer: B Diff: 2 Type: MC Page Ref: 164 Skill: Applied 23) Insert layouts are commonly used to A) emphasize the product or package B) allow for long copy layouts C) create picture-dominant ads D) make the best use of white space E) present rough ideas to a client

.

6–5

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: A Diff: 3 Skill: Applied

Type: MC

Page Ref: 164

24) Copy is more convincing when A) customers don’t understand what makes a well-designed ad B) readers prefer newspapers more than the internet C) the design of an ad has little effect on purchasing decisions D) readers have a hard time recalling ads E) it is written in short words and sentences Answer: E Diff: 3 Type: MC Page Ref: 165 Skill: Applied 25) Out-of-home advertising is the current term for A) small home-based advertising agencies B) point-of-purchase advertising C) businesses run from home D) small catalogues E) outdoor posters, transit ads, outdoor digital displays and mural ads Answer: E Diff: 1 Type: MC Page Ref: 166 Skill: Recall 26) A research study conducted by Perception Research Services states that individuals who see an outdoor board are likely to be drawn to the name of the product. This has been measured at A) 45% B) 81% C) 68% D) 75% E) 52% Answer: D Diff: 2 Type: MC Page Ref: 167 Skill: Recall 27) Simplicity is the key to good advertising. The key to good outdoor advertising is A) multiple illustrations B) lots of white space C) telegraphic simplicity D) photography E) reason-why copy Answer: C Diff: 3 Type: MC Page Ref: 167 Skill: Applied

.

6–6

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 28) Successful ads select the right target, which means that A) the ad focuses on the product name B) the headline zeroes in on the main benefit of the product C) there should be something in the ad that the reader can readily relate to D) the copy should be written in the first person E) the image should be attention-grabbing Answer: C Diff: 2 Type: MC Page Ref: 165 Skill: Applied 29) With interior transit advertising, the consumer has more time to read the advertisement, as the average commuting time in Canadian markets larger than 1 million people is A) 18 minutes B) 10 minutes C) 28 minutes D) 44 minutes E) 35 minutes Answer: D Diff: 3 Type: MC Page Ref: 167 Skill: Recall 30) Exterior transit advertising reaches pedestrians and travellers in other vehicles, so the advertising must consist of A) corporate advertising B) a vertical split C) bold type, punchy copy D) black and white photography E) a long copy Answer: C Diff: 2 Type: MC Page Ref: 167 Skill: Applied 31) Point-of-purchase advertising A) promises a reward B) presents the selling proposition logically C) encourages impulse buying and last-minute choices D) invites the reader into the scene E) encourages comparison shopping Answer: C Diff: 2 Type: MC Page Ref: 168 Skill: Applied 32) When it comes to the point-of-purchase industry’s “four I's”, identification means A) the overall impression must be relevant to the customer B) the display must generate immediate impact

.

6–7

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) the brand must be boldly displayed D) the display must include a reason to buy E) the display must encourage impulse buying Answer: C Diff: 2 Type: MC Page Ref:169 Skill: Applied 33) Direct-response communication A) can only be used in print communications B) doesn’t require specific objectives C) is a one-on-one type of communication D) is used mainly to influence last-minute choices between comparable brands E) is called a personality announcement Answer: C Diff: 2 Type: MC Page Ref: 170 Skill: Applied 34) The most widely used form of direct-response advertising is A) telemarketing B) magazines and newspapers C) direct mail D) direct-response television E) direct-response radio Answer: C Diff: 2 Type: MC Page Ref: 170 Skill: Recall 35) The sections of a television commercial are typically divided into A) spaces of various size B) an opening, a middle, and a closing C) public and government networks D) 6 sections E) 15, 30 and 60 second sections Answer: B Diff: 2 Type: MC Page Ref: 170 Skill: Applied 36) A research study showed that 75% of all people who see an outdoor board are drawn to A) the visual B) the call to action C) the size of the letters D) the name of the product E) the product packaging Answer: D Diff: 2 Type: MC Page Ref: 167

.

6–8

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Recall 37) To ensure unity, a television commercial must A) last 60 seconds B) employ special effects C) involve animation D) integrate audio and video E) flow logically Answer: E Diff: 2 Type: MC Page Ref: 173 Skill: Applied 38) In a TV commercial, the voiceover and action should be focused squarely on A) the story board B) any special effects C) the audience D) the call to action E) the product Answer: E Diff: 3 Type: MC Page Ref: 173 Skill: Applied 39) The envelope in direct mail advertising must functions like A) the middle in television commercials B) the end section of television commercials C) a story board D) the copy of a print ad E) the headline in print advertising Answer: E Diff: 3 Type: MC Page Ref: 170 Skill: Applied 40) Advertisers generally use existing or original music for a TV commercial to A) ensure the ad is balanced B) ensure the ad has unity C) grab the viewer’s attention D) help TV ads compete with radio E) liven up a boring script Answer: C Diff: 2 Type: MC Page Ref: 173 Skill: Applied 41) Recently, the 15-second TV commercial has become more popular with advertisers because A) today’s people have shorter attention spans B) it saves money on media time

.

6–9

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) it’s easier to fit a message into 15 seconds D) 15-second ads have more impact E) 15-second ads are better-suited to special effects Answer: B Diff: 3 Type: MC Page Ref: 173 Skill: Applied 42) The style of TV ad that is most likely to show a product being associated with a particular lifestyle is A) demonstration ad B) slice of life ad C) testimonial D) celebrity endorsement E) YouTube Answer: B Diff: 2 Type: MC Page Ref: 174 Skill: Applied 43) "Talking head" type commercials have proven to be a very effective technique in convincing customers of the merits of a product. This technique uses A) testimonials B) live action C) musical commercials D) demonstrations E) animation Answer: A Diff: 2 Type: MC Page Ref: 174 Skill: Applied 44) Testimonials in commercials can come from a variety of sources, including A) celebrities B) animated characters like the Pillsbury Doughboy C) products D) hit music E) famous athletes Answer: B Diff: 2 Type: MC Page Ref: 174 Skill: Applied 45) The agency typically solicits estimates from commercial production companies who are interested in producing the commercial. This is the A) 2nd of 5 separate stages B) first of 5 separate stages C) first of 4 separate stages D) last of 4 separate stages E) the 3rd stage

.

6–10

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: C Diff: 2 Skill: Applied

Type: MC

Page Ref: 175

46) One of the factors that can add to the cost of producing a television commercial includes A) media costs B) additional storyboards C) additional research D) travel to distant locations E) script rewrites Answer: D Diff: 2 Type: MC Page Ref: 175 Skill: Applied 47) The objective of a direct-response television commercial is to A) catch a wider target audience B) capture candid responses from the television studio audience C) provide visuals that print ads can’t D) create awareness E) initiate immediate action from the customer Answer: E Diff: 2 Type: MC Page Ref: 176 Skill: Applied 48) To be successful, a direct-response commercial must incorporate A) sound effects and fast action B) a celebrity spokesperson C) a strong offer D) high-pressure tactics E) brand names Answer: C Diff: 3 Type: MC Page Ref: 176 Skill: Applied 49) The post-production stage of the commercial involves A) the analysis of the consumer reaction B) the client's reaction to the finished commercial C) all other media D) an analysis of the media costs E) putting the commercial together Answer: E Diff: 2 Type: MC Page Ref: 175 Skill: Recall

.

6–11

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 50) Many practitioners suggest that during a 30-second radio commercial, the brand or company name should be mentioned this many times: A) 6 B) 5 C) 2 D) 4 E) 3 Answer: E Diff: 2 Type: MC Page Ref: 177 Skill: Recall 51) In the type of radio ad called a “personality announcement,” the advertiser gives up control of A) when the ad is played B) which product benefits are included in the ad C) how often the ad is played D) the commercial delivery E) the advertising budget Answer: D Diff: 3 Type: MC Page Ref: 179 Skill: Applied 52) A radio script includes A) conversation, sound effects and voice-over B) conversation only C) cost of production D) name of the announcer E) name of the actor reading the script Answer: A Diff: 3 Type: MC Page Ref: 178 Skill: Applied 53) Traditional media are considered static while the internet is considered A) dynamic B) static also C) urgent D) inert E) focused Answer: A Diff: 2 Type: MC Page Ref: 179 Skill: Applied 54) In this type of radio commercial, the message simply states the facts: A) real situation B) slice of life C) straight announcement

.

6–12

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e D) personality E) musical Answer: C Diff: 1 Type: MC Skill: Applied

Page Ref: 179

55) The most common form of advertising on the internet is the A) banner ad B) navigation ad C) animation ad D) slice-of-life ad E) feature ad Answer: A Diff: 1 Type: MC Page Ref: 179 Skill: Recall 56) The style of banner ad appearing as a rectangular box or column down the side of a page is known as A) column B) straight announcement C) rich media D) skyscraper E) window ad Answer: D Diff: 3 Type: MC Page Ref: 179 Skill: Applied 57) Rich media are ads that A) are less costly B) include animation, sound, video and interactivity C) include colour photographs D) have surround sound E) use high definition Answer: B Diff: 3 Type: MC Page Ref: 180 Skill: Applied 58) On the web, people sweep the text in a pattern roughly shaped like a(n) A) box B) rectangle C) F D) A E) circle Answer: C Diff: 2 Type: MC Page Ref: 181 Skill: Applied

.

6–13

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

59) Viral marketing encourages the receiver of a message to A) make an immediate response B) purchase cold medication C) send a reply back to the sender D) pass the message along E) make repeat visits to a company’s website Answer: D Diff: 2 Type: MC Page Ref: 182 Skill: Applied 60) Web design is a combination of design features and A) emotional experiences B) formal writing styles C) the web browser D) banner ads E) traditional communications Answer: A Diff: 2 Type: MC Page Ref: 182 Skill: Recall 61) In print advertising, the central idea is primarily conveyed through the headline and visual illustration.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 153 Skill: Applied 62) According to David Ogilvy, ten times as many people read the headline of an ad compared to the body copy.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 154 Skill: Recall 63) Subheadlines are a mandatory component of a print ad.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 156 Skill: Applied 64) Words like "New!" or “Introducing” are often used in news headlines.

A) True

.

6–14

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) False Answer: True Diff: 2 Skill: Applied

Type: TF

Page Ref: 155

65) Short copy is most appropriate for image advertising.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 158 Skill: Applied 66) A signature and a tagline are the same thing.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 158 Skill: Applied 67) Thumbnail sketches are drawn after the rough art has been approved.

A) True B) False Answer: False Diff: 23 Type: TF Page Ref: 159 Skill: Applied 68) Unity refers to the blending of all elements of an ad to create a complete impression.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 161 Skill: Applied 69) Colour has no impact on how many people read an ad.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 161 Skill: Applied 70) Few ads in magazines are bleeds.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 162 Skill: Recall

.

6–15

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 71) White space is the border of a bleed ad.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 161 Skill: Recall 72) Full-page ads receive more readership than fractional-page ads.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 162 Skill: Recall 73) The insert layout is a visual illustration.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 164 Skill: Recall 74) Out-of-home advertising is often seen as a complementary medium.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 167 Skill: Recall 75) A direct mail piece should include multiple pieces in the mailing.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 170 Skill: Applied 76) The Pine-Sol Television commercial in which the dog jumps off the kitchen table when his owners come home showed a good opening, middle and closing.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 171 Skill: Recall 77) Video advertising is not for traditional-style advertisers who use television.

A) True B) False

.

6–16

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: False Diff: 3 Skill: Applied

Type: TF

Page Ref: 181

78) When it comes to television, a weak concept can be saved at the editing stage.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 175 Skill: Applied 79) Copy and illustrations for interior transit advertising can be detailed.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 167 Skill: Applied 80) The most critical decision for a radio commercial is casting the voice-over.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 177 Skill: Applied 81) Shelf-talkers, ad pads and floor ads are all examples of point-of-purchase advertising.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 169 Skill: Applied 82) In a television commercial, the middle section's purpose is to grab the viewer's attention and introduce the key benefit.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 170 Skill: Applied 83) In television, 30-second spots outperform 60-second spots.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 173 Skill: Applied

.

6–17

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

84) The famous Slap Chop and Graty commercial featuring Vince is an example of direct-response television advertising.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 176 Skill: Applied 85) Advertisers perceive video advertising to be similar to television commercials.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 181 Skill: Recall 86) What is the purpose of a headline in print advertising?

Answer: The primary purpose of the headline is to command the reader's attention. There are several types of headlines, each with a different function. The promise-ofbenefit headline makes an immediate promise to the reader. The curiosity headline stimulates the reader to seek more information. News headlines express a sense of urgency or announce something new. Command headlines politely ask the reader to do something.

Diff: 2 Type: ES Page Ref: 154 Skill: Recall 87) Why is the length of body copy a key issue, and is long copy “dead”?

Answer: One of the key issues in print advertising is the length of the body copy. If an ad has a long body copy, there must be a compelling reason to read it. In the age of the multi-tasking consumer, time is a precious commodity; thus, a rule of thumb might be to include only body copy that is absolutely essential. But long copy isn’t dead—it has moved to the internet. The purpose of many ads today is to drive people to a website where people can read and view content to their heart’s content. The objective of the print ad is simply to get them there.

Diff: 3 Type: ES Page Ref: 157 Skill: Applied 88) What is the purpose of the signature, the final copy element in a print advertisement?

Answer: The signature, also called a tagline, can include a company or product logo and a brand or company slogan. The purpose of the signature is to summarize the concept or central theme of the advertisement and to position the product in the customer's mind. The logo and slogan can reinforce a key benefit or reinforce a company position that applies to several products. The signature also helps to

.

6–18

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e position the product in the customer's mind. In addition, the signature provides continuity from one advertisement to another.

Diff: 2 Type: ES Page Ref: 158 Skill: Applied 89) What are thumbnail sketches and how are they used by an art director?

Answer: Thumbnail sketches are small, experimental drawings of various ideas and design concepts. Their purpose is to identify preliminary ads that can be used as a basis for more extensive design development. The art director experiments with thumbnail sketches until he/she develops the right design. Once the right thumbnail is accepted, the art director may choose to create the rough art—the ad in actual size with all ad elements in place.

Diff: 2 Type: ES Page Ref: 159 Skill: Applied 90) Why would an artist choose to use a black and white drawing in a magazine, when many of the other ads in the magazine are using colour photographs?

Answer: In the case of magazines, logic suggests that colour photography be used, but if so the end product will, of course, be similar to numerous other ads in the same publication. An artist’s drawing—something as simple as a black-and-white drawing—may command a higher level of attention through contrast. Reverse printing with white letters on a black background can attract more attention.

Also, black and white photos, line drawings or spot colour, can stand out in a colour medium.

Diff: 2 Type: ES Page Ref: 161 Skill: Applied 91) Explain why the movement of a reader's eye is important to advertisers and what "flow" means.

Answer: Flow refers to the movement of a reader's eye, from left to right and from top to bottom, when exposed to a print advertisement. When some people scan an advertisement, their eyes move diagonally, from upper left to lower right. Others follow a "Z" pattern, with eyes moving left to right across the top, then diagonally, from upper right to lower left, and then across the lower portion of the page to the right corner. Such reading patterns suggest the ideal locations for various elements of a print ad. For instance, headlines often appear at the top to attract attention while signatures appear at the bottom to encourage action.

Diff: 2 Type: ES Page Ref: 160 Skill: Applied 92) What is white space and why should its use be considered?

Answer:

.

6–19

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e White space is the part of the advertisement that is not occupied by other elements. Margins, for example, are considered white space. The careful use of white space can be an effective means of providing contrast and of focusing attention on an isolated element such as a shot of the product. White space is also a means of achieving an uncluttered appearance.

Diff: 2 Type: ES Page Ref: 160 Skill: Applied 93) Explain what is meant by “Successful ads must have visual magnetism.”

Answer: An ad should be constructed so that a single component dominates the area—a picture, a headline, or text. The more pertinent the picture, the more arresting the headline, the more informative the copy, the better the ad will be.

Diff: 1 Type: ES Page Ref: 164 Skill: Recall 94) What is out-of-home advertising and how is it best used as an advertising vehicle?

Answer: Out-of-home advertising is the term for advertising in formats such as outdoor posters, transit ads, outdoor digital displays, and mural ads. These formats usually function as supplemental media and seem to work best when introducing new products, building awareness, or adding reach to a campaign.

Diff: 2 Type: ES Page Ref: 166 Skill: Recall 95) Explain direct-response communications and name the more common types.

Answer: Direct refers to a marketing situation where there is a one-on-one link between the advertiser and customer through a phone call, letter, email, or print, radio, or television ad. A response opportunity is provided for the customer through a toll-free telephone number, reply card, or website address. Direct-response advertising aims to solicit a call for action quickly, either in the form of a purchase or as a request for further information. The more common types include direct-response print advertising in particular, direct mail, and direct-response television.

Diff: 2 Type: ES Page Ref: 170 Skill: Applied 96) Explain the key roles of the beginning, middle and closing of a television commercial. Use the Pine-Sol “Dog Tired” commercial to illustrate your example.

Answer: There are three distinct sections to a television commercial, the opening, middle, and closing. The opening must grab the viewer’s attention and introduce the key benefit. The middle elaborates on the key benefits. The closing usually focuses on the brand’s signature. In Dog Tired, the viewer’s attention is grabbed by a dog lying on a kitchen table. In the middle, the key benefits are made with the words:

.

6–20

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Pine-Sol cleans the dirt you see and the dirt you don’t see. The closing shows the signature, “The Thorough Clean.”

Diff: 2 Type: ES Page Ref: 170 Skill: Recall 97) Explain the slice of life style of television commercial and provide an example.

Answer: The slice of life option usually introduces a problem situation that is remedied by using the product (i.e., the product comes to the rescue of the person in the commercial). If not a problem situation, this type of ad simply shows people enjoying the product. For example, beer commercials often show 20-somethings enjoying a certain brand of beer—at the beach, the cottage, etc. The product is associated with a particular lifestyle.

Diff: 2 Type: ES Page Ref: 174 Skill: Applied 98) Should companies be concerned when consumer-generated ads, such as a YouTube commercial, are not of professional quality? Why or why not?

Answer: Anyone can produce a commercial and post it on YouTube. Typically, the quality of these commercials is of a lower standard, but sometimes it is perceived as the real thing. YouTube viewers aren’t looking for professional commercials—they want to be entertained. If a commercial is too slick, the advertiser loses credibility. Advertisers are using consumer-made commercials to generate buzz for their brands.

Diff: 2 Type: ES Page Ref: 175 Skill: Applied 99) Regarding television commercials, what happens at the pre-production stage?

Answer: A meeting is held with representatives of the production house, the agency (i.e., the creative team), and the client. The storyboard and script are reviewed, and final decisions and arrangements are made. Prominent areas of discussion are casting, the use of secondary suppliers (e.g., music specialists, editors, and mixers), and finding appropriate props, costumes, and film locations. Agreement of all parties is essential.

Diff: 3 Type: ES Page Ref: 175 Skill: Recall 100) Describe a banner ad.

Answer: The most common form of advertising on the internet is the banner ad. The banner ad stretches across the screen in a narrow band or appears in another shape such as a rectangle or column down the side of the webpage. The content of the ad is minimal. Its purpose is to stir interest so that the viewer clicks on the ad for

.

6–21

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e more information. Once the ad is clicked the viewer sees the ad in its entirety or accesses additional information from the advertiser's home page.

Diff: 2 Type: ES Page Ref: 179 Skill: Applied 101) When it comes to video advertising, why should you “choose short over long”?

Answer: Video advertising refers to video online. Advertisers view video advertising online as similar to television commercials. The online environment moves quickly, and a reworked 30-second TV ad will not appeal to internet surfers. One study found that most viewers would prefer shorter video ads, and that more 15second ads are viewed in full than are 30-second ads.

Diff: 2 Type: ES Page Ref: 181 Skill: Applied 102) Describe three types of body copy commonly used in print advertising.

Answer: Body copy is the informative or persuasive prose that elaborates on the central theme of the advertisement. Body copy substantiates the proof of promise or product claims. It also integrates the headline with the illustration. Body copy plays a key role in differentiating one brand from another and can present multiple features and benefits of a product. “Story” involves a beginning, middle and end. The beginning establishes the big idea, the middle gives reasons to buy the product, and the end offers a call to action. “Bullet point” highlights key benefits quickly. Benefits are listed in priority. This saves the reader time. “One line” includes a headline and visual illustration. Essentially, there is no body copy in this approach.

Diff: 2 Skill: Applied

Type: ES

Page Ref: 157

103) Should you limit the use of graphics on a webpage? Why or why not?

Answer: You should limit the use of graphics on a webpage. People like to navigate a site quickly. Too many full-page graphics take time to download and slow the navigation process considerably. Images must support key selling points, so they should be used wisely.

Diff: 2 Type: ES Page Ref: 182 Skill: Applied 104) Explain the relationship between the size of a newspaper advertisement and its ability to draw reader attention.

Answer: The decision to use a full page, a double-page spread, or a fractional page has an impact on how effectively an advertisement draws readers. Sometimes small ads

.

6–22

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e can achieve the same results as larger ones, saving the advertiser money for media buy. Generally, the larger the ad, the more readership.

Diff: 2 Type: ES Page Ref: 162 Skill: Applied 105) Explain how colour and contrast can be used in design to be an effective attentiongrabber.

Answer: In a black-and-white medium, reverse printing or spot colour can attract more attention. In a colour medium where photography prevails, black-and-white photos, line drawings, or spot colour can distinguish one ad from another. Colour or contrast in colour and style effectively grabs attention.

Diff: 2 Type: ES Page Ref: 161 Skill: Applied 106) Does purchase value of a product have a bearing on copy length? Explain.

Answer: Purchase value has a bearing on copy length. The higher the cost of the product or service, the more likely that the consumer will use advertising as a source of information, and thus more copy may be necessary.

Diff: 1 Type: ES Page Ref: 158 Skill: Applied 107) What makes good copy and layout? Discuss some tried and true tips discussed in this chapter.

Answer: Tips discussed in the chapter include focusing on the more critical elements; visual magnetism; selecting the right target; promising a reward; backing up the promise; and talking person-to-person. The Advertising in Action vignette, “Words versus Images” discusses how copy and design elements can work in effective advertising.

Diff: 3 Type: ES Page Ref: 164 Skill: Applied 108) “If simplicity is a key to good advertising, then telegraphic simplicity is the key to good outdoor advertising.” Explain what this means and how you could achieve telegraphic simplicity.

Answer: When it comes to outdoor advertising, people may drive by a street poster at 60 km per hour or rapidly walk by it, arms loaded with packages. There is not a lot of time for the ad to communicate. The ad must use techniques to effectively communicate the brand’s primary benefit. To be telegraphic, use no more than nine words (some experts say six). Include only essential components (e.g., headline and visual illustration or visual illustration and tagline).

Diff:2 Type: ES Page Ref: 167 Skill: Applied

.

6–23

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

109) Recommend some copy and design considerations when producing a direct mail piece.

Answer: Direct mail is the most widely used form of direct response advertising. Some copy and design recommendations are: (1) get the reader's attention with relevant copy or design that gets the mail opened; (2) personalize the mailing—it is a targeted media that relies on database marketing for success; (3) include a complete presentation to grab attention, stimulate interest, provide proof of the promise, handle objections, and close the sale; and (4) include multiple pieces in the mailing that will work together to communicate the same message.

Diff: 2 Type: ES Page Ref: 170 Skill: Applied 110) What are some of the creative considerations in developing a successful radio commercial?

Answer: Radio commercials face the challenge of grabbing the listener’s attention since people tend to tune out quickly and are typically listening to the radio while they are doing something else, To meet the challenge, the ad must be catchy and memorable. Radio ads should mention the advertiser's name often (at least 3 times in a 30 second commercial); be conversational with short sentences and words; express one central idea; use sound effects to create a visual image; and have a positive, cheerful and upbeat tone.

Diff: 2 Type: ES Page Ref: 177 Skill: Applied

.

6–24

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

Chapter 7 1) Reaching the desired target market efficiently through media is complicated by variables such as A) pricing policies B) product development C) distribution problems D) consumers’ media habits E) environmental concerns Answer: D Diff: 2 Type: MC Page Ref: 187 Skill: Applied 2) The direction a media plan takes is largely based on the client's A) budget B) marketing plan C) sales statistics D) corporate vision statement E) creative Answer: B Diff: 2 Type: MC Page Ref: 187 Skill: Recall 3) Media planning involves developing a plan of action for communicating messages to the right people, at the right time, and with the right A) schedule B) channels C) market D) frequency E) agency Answer: D Diff: 2 Type: MC Page Ref: 187 Skill: Recall 4) The client provides the agency's media personnel with background information, along with direction for developing the media plan in a document called A) a media brief B) a market profile C) a media strategy D) a creative brief E) the media plan Answer: A Diff: 2 Type: MC Page Ref: 188 Skill: Recall

.

7–1

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 5) The section of the media brief which gives the media planner a perspective on what is happening in the market and the level of competition within it is the A) product media profile B) market profile C) media objectives D) target market profile E) competitor's media usage Answer: B Diff: 2 Type: MC Page Ref: 188 Skill: Applied 6) The product/brand media profile, contained in the media brief, reviews A) the psychographics of the target market B) market size and growth trends C) competitor's media usage and spending D) historical media usage and spending trends E) the amount allocated to the media budget Answer: D Diff: 2 Type: MC Page Ref: 188 Skill: Recall 7) Information regarding who, what, when, where, and how, contribute to the determination of A) the target market profile B) the product media profile C) the competitors' media usage D) the market profile E) the media objectives Answer: E Diff: 2 Type: MC Page Ref: 191 Skill: Applied 8) Media planners are specialists who A) deal directly with media representatives B) purchase the time and space C) prepare the media brief D) put together detailed media strategies and tactics E) interpret the media plan Answer: D Diff: 2 Type: MC Page Ref: 190 Skill: Recall 9) The nature of the word "shotgun" suggests that the target market for which the shotgun strategy is best suited is more A) local B) provincial

.

7–2

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) specific D) general E) regional Answer: D Diff: 3 Skill: Applied

Type: MC

Page Ref: 193

10) From a strategic viewpoint, media planners know that online and mobile communications must be A) blocking out the competition's advertising B) expensive to create C) engaging D) fast-paced E) 3D Answer: C Diff: 2 Type: MC Page Ref: 196 Skill: Applied 11) In the case of a "profile-matching strategy", the customer target market is carefully defined by A) demographic, geographic, and psychographic variables B) customizing the product C) advertising in every newspaper D) working with an agency that has experience in the specific segment E) analyzing the previous sales history Answer: A Diff: 2 Type: MC Page Ref: 193 Skill: Applied 12) Which of the following publications would most likely be used in a "rifle" strategy?

A) Time Magazine B) Chatelaine Magazine C) Ski Canada Magazine D) Canadian Geographic Magazine E) Globe and Mail newspaper Answer: C Diff: 3 Type: MC Page Ref: 195 Skill: Applied 13) A rifle strategy is a matching strategy used in situations where A) the target market can be precisely defined by some common characteristic B) budgets are extremely tight C) commercial time can be purchased on all available stations at a fixed time D) the nature of the message has determined media selection E) there is great urgency in the call to action Answer: A

.

7–3

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 3 Skill: Applied

Type: MC

Page Ref: 195

14) The total, unduplicated audience potentially exposed one or more times to an advertiser's messages during a given time period is referred to as A) reach B) impressions C) continuity D) flexibility E) frequency Answer: A Diff: 2 Type: MC Page Ref: 197 Skill: Recall 15) Frequency refers to A) the type of TV commercial B) the length of an advertising campaign C) the average number of times an audience is exposed to an advertisement D) the delivery schedule of a newspaper or magazine E) the total number of potential audience Answer: C Diff: 1 Type: MC Page Ref: 197 Skill: Recall 16) When it comes to reach versus frequency, a new product that has a high awareness objective may place greater emphasis on A) flexibility B) GRP's C) impressions D) reach E) tactics Answer: D Diff: 3 Type: MC Page Ref: 198 Skill: Applied 17) If a message reaches 70 per cent of the target households three times in one week, what GRP level is attained?

A) 21 B) 2.1 C) 70 D) 2100 E) 210 Answer: E Diff: 3 Type: MC Page Ref: 198 Skill: Applied

.

7–4

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 18) The reach of a television program is also referred to as A) total exposures B) recency C) continuity D) duplication E) a rating Answer: E Diff: 1 Type: MC Page Ref: 198 Skill: Recall 19) The media model "recency" suggests that A) reach is always more important that frequency B) reach and frequency are less important than GRPs C) frequency is the most important variable D) reach and frequency must be balanced delicately E) advertising works best when consumers are ready to buy Answer: E Diff: 3 Type: MC Page Ref: 199 Skill: Applied 20) In advertising, "continuity" is A) the length of time required for a medium to be effective B) the total audience reached by the media plan C) measured by gross rating points D) purchasing media in blocks E) management's commitment to the campaign Answer: A Diff: 3 Type: MC Page Ref: 199 Skill: Recall 21) In advertising, a "hiatus" is when A) consumers leave a market B) there is a period of no advertising C) a product is withdrawn D) a magazine is cancelled E) a radio station changes its format Answer: B Diff:2 Type: MC Page Ref: 199 Skill: Applied 22) Purchasing media time in periodic waves, separated by periods of inactivity, is known as A) hiatus B) continuity C) flighting D) shotgun

.

7–5

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e E) flexibility Answer: C Diff: 2 Type: MC Skill: Recall

Page Ref: 199

23) A good example of what media planners refer to as "engagement" is A) channel surfing during television commercial breaks B) surfing the Internet C) listening to the radio while at work D) text-messaging while watching television E) 30 minutes of uninterrupted time reading a favourite magazine Answer: E Diff: 2 Type: MC Page Ref: 200 Skill: Applied 24) The ability to cancel a media buy is an indicator of the chosen media's A) effectiveness B) visibility C) coverage D) flexibility E) reach Answer: D Diff: 2 Type: MC Page Ref: 206 Skill: Applied 25) When a pizza restaurant places a full-page ad in the yellow pages each year, they are using which type of advertising schedule?

A) flighting B) continuous C) hiatus D) road-blocking E) breaching Answer: B Diff: 3 Type: MC Page Ref: 199 Skill: Applied 26) Network television and national magazines are obvious choices to achieve A) national coverage B) selective coverage C) rural coverage D) regional coverage E) concentrated coverage Answer: A Diff: 2 Type: MC Page Ref: 201 Skill: Applied

.

7–6

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 27) Selective spot television is an attractive option for A) concentrated coverage B) selective coverage C) rural coverage D) regional coverage E) national coverage Answer: D Diff: 2 Type: MC Page Ref: 202 Skill: Applied 28) When time and space are purchased in urban markets that have been identified as priorities, the media plan is referred to as A) a rifle strategy B) a concentrated strategy C) a roadblock D) a key market plan E) a selective coverage plan Answer: D Diff: 3 Type: MC Page Ref: 202 Skill: Recall 29) Providing coverage only in key markets is often considered an option when this is limited: A) continuity B) frequency C) budget D) reach E) distribution Answer: C Diff: 3 Type: MC Page Ref: 202 Skill: Applied 30) When a target market can be narrowly defined by a common characteristic, advertisers use a selective coverage plan with A) a roadblock B) continuity C) an even schedule D) a shotgun strategy E) a rifle strategy Answer: E Diff: 3 Type: MC Page Ref: 195 Skill: Applied 31) Media time and space are purchased in a uniform manner over a designated period, when advertisers use A) roadblock

.

7–7

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) even schedule C) blitz D) skip schedule E) rifle strategy Answer: B Diff: 2 Type: MC Skill: Applied

Page Ref: 203

32) This type of media schedule is used for products that are sold and purchased at traditional times of the year A) skip B) blitz C) seasonal D) pulsing E) roadblock Answer: C Diff: 1 Type: MC Page Ref: 204 Skill: Applied 33) This type of media schedule is characterized by low initial media weight which gradually builds to an intensive campaign A) seasonal B) build-up C) skip D) pulsing E) blitz Answer: B Diff: 2 Type: MC Page Ref: 204 Skill: Applied 34) A "skip schedule" is when advertisers A) purchase media time and space in a uniform manner B) change from one agency to another C) sell products at a seasonal time of the year D) purchase media time and space on an alternative basis E) launch a new product Answer: D Diff: 2 Type: MC Page Ref: 203 Skill: Recall 35) A "blitz schedule" is often associated with A) a grouping of advertisements B) the purchase of media on an alternate basis C) the purchase of media in a uniform manner D) seasonal times of the year E) a major event

.

7–8

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: E Diff: 2 Skill: Recall

Type: MC

Page Ref: 204

36) Prior to committing to a plan, media planners should analyze competitors’ A) websites B) annual sales C) target audience D) mission statements E) media usage and expenditure patterns Answer: E Diff: 3 Type: MC Page Ref: 205 Skill: Applied 37) The strategy of distributing media dollars more equitably across several media is often referred to as A) a concentrated media strategy B) a roadblock C) an assortment media strategy D) a build-up schedule E) flexibility Answer: C Diff: 3 Type: MC Page Ref: 207 Skill: Recall 38) The advantage of a concentrated media strategy is that A) many products can be advertised B) many media may be utilized C) media dollars can be saved D) advertising can be more focused E) multiple agencies may be used Answer: C Diff: 3 Type: MC Page Ref: 206 Skill: Applied 39) "Funnelling" in the media selection process involves A) developing budget summaries that outline spending B) moving additional dollars into the media budget C) pulsing D) moving from general types of media to a specific medium E) crafting the advertising message Answer: D Diff: 2 Type: MC Page Ref: 207 Skill: Recall 40) CPM is defined as

.

7–9

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) creative per media B) Consumer Protection Magazine C) cost per thousand D) media publishing cost E) client profile and media Answer: C Diff: 2 Type: MC Page Ref: 208 Skill: Recall 41) A media planner recommends a particular medium within a class because that medium A) will attract PR B) is new to the audience C) has an existing relationship with the agency D) is the most cost-efficient E) has time or space available Answer: D Diff: 3 Type: MC Page Ref: 208 Skill: Applied 42) The media schedule is normally presented in a calendar format. This is referred to as a(n) A) assortment strategy B) CPM C) blocking chart D) flight E) funnel Answer: C Diff: 2 Type: MC Page Ref: 209 Skill: Recall 43) A blocking chart outlines in one or two pages A) market coverage B) the media selected C) all of the details of the media execution.

D) the timing of the campaign E) a blitz schedule Answer: C Diff: 2 Type: MC Page Ref: 209 44) A system known as EDI is used in the industry for all four stages of a media buy. EDI stands for A) educated data incorporation B) early detection of inaccuracies C) electronic data interchange D) email direct interface

.

7–10

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e E) efficient distribution over the Internet Answer: C Diff: 2 Type: MC Page Ref: 210 Skill: Recall 45) BMW implemented its advertising campaign for the BMW 525i in only the Toronto, Montreal and Vancouver markets. This is an example of a A) blitz schedule B) key market plan C) profile-matching strategy D) skip schedule E) creative strategy Answer: B Diff: 3 Type: MC Page Ref: 202 Skill: Applied 46) "Media Advisor" is an example of a A) cost efficiency calculation B) television media planning software tool C) broadcast planning tactic D) budgeting strategy E) electronic data interchange Answer: B Diff: 2 Type: MC Page Ref: 210 Skill: Recall 47) The third step to the task method of budgeting involves A) determining the cost of the media and production B) cost of media only C) cost of creative D) schedule of media E) buy type and quantity of advertising Answer: A Diff: 3 Type: MC Page Ref: 215 Skill: Applied 48) Organizations directing consumer products at mass target markets tend to rely more heavily on A) advertising B) word of mouth C) contracts D) price E) personal selling Answer: A Diff: 2 Type: MC Page Ref: 211 Skill: Applied

.

7–11

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

49) The relative importance of advertising, and the budget required for advertising, varies from one state in the product life cycle to another. Advertising is more important in the A) cancellation B) decline C) growth D) maturity E) introduction and growth Answer: E Diff: 2 Type: MC Page Ref: 211 Skill: Applied 50) When a product enters the mature stage of the product life cycle, most advertisers shift the strategic focus from brand development to A) profit maximization B) sales C) brand preference D) improving market share E) securing growth Answer: A Diff: 3 Type: MC Page Ref: 212 Skill: Applied 51) In terms of marketing communications, the nature of the product (the degree of uniqueness) can influence the amount of money spent on A) advertising B) product development C) market research D) strategic alliances E) distribution Answer: A Diff: 2 Type: MC Page Ref: 212 Skill: Applied 52) One of the factors that can affect the advertising budget is the A) location of the company B) cost of developing an internet home page C) current recession D) management's perception of the value of advertising E) opinion of customers Answer: D Diff: 3 Type: MC Page Ref: 212 Skill: Applied

.

7–12

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 53) One method that can be used when creating an advertising budget is called the "percentage of sales". This is when A) an industry average is used B) the agency is paid by a commission on sales C) a sliding scale is used: the higher the sales, the more dollars for the advertising budget D) a fixed amount is allocated E) a predetermined percentage amount of sales is allocated Answer: E Diff: 3 Type: MC Page Ref: 213 Skill: Applied 54) Advertisers using the "industry average" approach base their advertising budgets on A) what other agencies are spending B) what consumers are spending C) the prime-time cost of a 30-second commercial D) what the cost is of market research E) what competitors are spending Answer: E Diff: 3 Type: MC Page Ref: 214 Skill: Applied 55) In this budgeting method, the company allocates a predetermined amount to advertising for each unit sold: A) industry average B) share of market C) fixed sum per unit sold D) task method E) percentage of sales Answer: C Diff: 1 Type: MC Page Ref: 214 Skill: Recall 56) Share of advertising refers to A) the number of loyal customers within a market segment B) the competitor's overall media budget C) the amount a brand invests in advertising as a percentage of the total category investment D) the portion of the overall marketing budget devoted to advertising E) the portion of the advertising budget placed in television Answer: C Diff: 3 Type: MC Page Ref: 216 Skill: Recall

.

7–13

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 57) The first step in the task method of budgeting is to determine A) existing share of market B) the cost of the advertising recommendation C) appropriate share of advertising D) the quantity of advertising E) what the advertising needs to achieve Answer: E Diff: 3 Type: MC Page Ref: 215 Skill: Applied 58) This budgeting method is based on the premise that advertising plays a key role in motivating consumers.

A) task (objective) method B) percentage of sales C) industry average D) fixed sum per unit sold E) share of advertising/share of market Answer: E Diff: 2 Type: MC Page Ref: 216 Skill: Applied 59) Components of media objective statements include A) Where is the competition advertising?

B) What is the message to be communicated?

C) Who is the competition?

D) What is the market share?

E) How much is the budget?

Answer: B Diff: 3 Type: MC Page Ref: 191 Skill: Applied 60) The total number of advertisements scheduled, multiplied by the total target audience potentially exposed to each occasion is referred to as the A) continuity B) number of impressions C) frequency D) gross rating points E) reach Answer: B Diff: 3 Type: MC Page Ref: 198 Skill: Applied 61) Efficiency in media planning can be defined as gaining maximum impact at minimum cost to the consumer.

A) True B) False

.

7–14

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: False Diff: 2 Skill: Applied

Type: TF

Page Ref: 187

62) The direction a media plan takes is largely based on the guidelines provided by the client's marketing plan.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 187 Skill: Applied 63) Media planners are specialists who determine the media strategies and tactics.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 190 Skill: Recall 64) It is now common for the client to brief the agency creative team and media team at the same time.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 188 Skill: Applied 65) Media objective statements should outline what the media plan should accomplish.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 191 Skill: Applied 66) Competitor's media usage and spending trends do not influence strategic media direction for a product.

A) True B) False Answer: False Diff: 1 Type: TF Page Ref: 189 Skill: Applied 67) A post-buy analysis is an analysis of actual audience delivery calculated after advertising has run.

A) True B) False

.

7–15

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: True Diff: 2 Skill: Recall

Type: TF

Page Ref: 190

68) Media planners use a target market profile to help them choose the best places and times to advertise.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 189 Skill: Applied 69) The nature of the word "shotgun" suggests that the target market can be precisely defined by some common characteristic.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 193 Skill: Applied 70) In Canada, the cost of one commercial on CSI or Grey’s Anatomy is in the $50 000 to $60 000 range.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 193 Skill: Recall 71) Flexibility is not a variable that will influence the media selection process.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 206 Skill: Applied 72) Creative strategy and media strategy should be developed separately.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 196 Skill: Applied 73) GRPs = Reach x Frequency A) True B) False Answer: True

.

7–16

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Recall

Type: TF

Page Ref: 198

74) Ski Canada would be an appropriate medium to select for a rifle strategy.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 195 Skill: Applied 75) Reach is the total area covered by one radio or television station.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 197 Skill: Applied 76) In any given market, households receive different numbers of exposures due to their different viewing habits.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 197 Skill: Applied 77) The reach of a television program is also referred to as a rating.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 198 Skill: Recall 78) Gross impressions are calculated by multiplying the estimated number of people who receive a message by the number of times they receive it.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 198 Skill: Applied 79) Traditional wisdom suggests that reach is a more important variable than frequency.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 199 Skill: Applied

.

7–17

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

80) Continuity is one of the first media planning variables to be sacrificed when budget becomes an issue.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 199 Skill: Applied 81) To engage the audience on mobile and online media, the creative should be entertaining.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 200 Skill: Applied 82) An even media schedule refers to the grouping of advertisements over intermittent lengths of time.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 203 Skill: Recall 83) Pulsing refers to the grouping of advertisements in flight, at different weights and duration over the course of a year.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 203 Skill: Applied 84) Providing coverage in only key markets is often considered an option when budget constraints do not allow for much flexibility.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 202 Skill: Applied 85) Media selection can be viewed as a "funnelling process" since the process involves moving from the specific types of media to a general medium.

A) True B) False Answer: False

.

7–18

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Applied

Type: TF

Page Ref: 207

86) Summarize the media planning process.

Answer: Media carry a brand's selling message to a predetermined target market. The selling success of any advertising campaign depends on the effectiveness of the media plan. Media planning involves developing a plan of action for communicating messages to the right people, at the right time, and with the right frequency. The process involves identifying the media objectives (who, what, when, where, and how), deciding media strategies (media selection, coverage, timing and weight), media execution (costs, scheduling, and buying of media), and evaluating media (post-buy analysis).

Diff: 2 Type: ES Page Ref: 189 Skill: Recall 87) The product brand media profile is particularly important if a client is briefing a new ad agency. Explain why.

Answer: The product/brand media profile provides a historical review of media use and spending trends. This review is wise if the client is briefing a new ad agency. An evaluation of the strengths and weaknesses of past media plans provides input for new plans. Such a review should produce strong feelings about what worked and what did not.

Diff: 2 Type: ES Page Ref: 188 Skill: Applied 88) Who is responsible for developing a media plan?

Answer: A media plan is a document that outlines all relevant details about how a client's budget will be spent: objectives are clearly identified, strategies are carefully rationalized, and execution details are documented. Media planners are specialists who put together the detailed media strategies and tactics. They assess input from the client and devise a plan that will achieve the stated objectives. Media planners must present and defend their recommendations.

Diff: 2 Type: ES Page Ref: 187 Skill: Recall 89) Why is it important that a well-defined target-market profile be provided to media planners?

Answer: The more precise the target market definition is, the greater the likelihood that the planners will make a more effective and efficient media recommendation. All relevant demographic, psychographic and geographic information available influences media strategy and execution. Knowing the activities and interests of

.

7–19

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e the target market can enable media planners to choose the best times and places in which to advertise.

Diff: 2 Type: ES Page Ref: 189 Skill: Recall 90) Explain the "rifle strategy" used to match media with markets.

Answer: A rifle strategy is a matching strategy used in situations where the target market can be precisely defined by some characteristic, such as employment in a certain industry, having a certain occupation, or having a particular leisure time interest.

In many situations, a specific medium can reach this target market. For instance, Ski Canada would be an appropriate media choice to reach those with an interest in downhill skiing.

Diff: 2 Type: ES Page Ref: 195 Skill: Applied 91) Compare gross impressions to gross rating points.

Answer: A media plan's impressions are referred to as gross impressions, calculated by multiplying the actual number of people who receive a message (reach) by the number of times they receive it (frequency). In television advertising, the amount (weight) of advertising in a market is determined by a rating system, and expressed in terms of gross rating points (GRPs). These are an aggregate of total ratings in a schedule, usually in a weekly period, against a predetermined target audience. It is a description of audience delivery without regard to duplication or repeat exposure to the media vehicles, thus the word gross. Reach multiplied by frequency results in GRPs. Diff: 3 Type: ES Page Ref: 198 Skill: Applied 92) Advertisers are becoming more concerned about engagement when attempting to reach their target market. What does the term engagement mean and why is it important to advertisers?

Answer: Interactive media (Internet, cell phones, and video games) are part of the consumer’s lifestyle—they have become essential tools that people interact with on a daily basis. Therefore, rather than stressing reach and frequency, digital media strategy focuses on timing and engagement. In the context of advertising, engagement refers to how involved an individual is with the media when the advertising message is delivered— the higher the degree of involvement, the greater the likelihood of the message being noticed.

Diff: 3 Type: ES Page Ref: 200 Skill: Applied 93) Explain the media concept called "recency."

Answer:

.

7–20

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Recency is a model that suggests that advertising works best by reminding consumers of a product when they are ready to buy. With recency, the key issue is the timing of the advertising, rather than the weight of the advertising. Some believe that if recency is properly executed with creative that works, a single impression can influence behaviour if it is delivered at the right time.

Diff: 3 Type: ES Page Ref: 199 Skill: Recall 94) Explain the principles of continuity and flighting.

Answer: Continuity is the length of time required to ensure that a particular medium affects a target market. For example, will the schedule be 4, 6, or 8 weeks long? Quite often continuity is the first variable to give way when lack of budget becomes an issue. More moderate advertisers tend to stretch dollars over a time period by purchasing media time in "flights". Flighting refers to the purchase of media time in periodic waves, separated by periods of inactivity. This inactive period between flights is known as a hiatus.

Diff: 3 Type: ES Page Ref: 199 Skill: Applied 95) What is national coverage and how can it be achieved?

Answer: National coverage requires media coverage wherever the product is available. If a product is distributed widely, the advertiser can select media that have national scope, such as network television (i.e. Grey’s Anatomy) and national magazines (i.e. MacLean’s). Newspapers in major metropolitan areas, which provide national coverage, such as the Globe and Mail, are also excellent vehicles to use.

Diff: 2 Type: ES Page Ref: 201 Skill: Applied 96) What is a build-up schedule?

Answer: A build-up schedule is characterized by low initial media weight, often due to selective use of media, which gradually builds to an intensive campaign in subsequent time periods, with an increase in media weight and the use of additional media. Such a strategy is often called a teaser campaign, and is often associated with new product launches.

Diff: 2 Type: ES Page Ref: 204 Skill: Recall 97) When would advertisers use a seasonal schedule?

Answer: A seasonal schedule is used for products that are sold and purchased at traditional times of the year. Media advertising is usually heavy in the pre-season, and then tapers off in the purchase season. Products may advertise lightly at other times of the year, but will increase weight considerably in the pre-selling season. RRSP's,

.

7–21

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e for example, are advertised heavily in January and February just before the deadline for contributions.

Diff: 2 Type: ES Page Ref: 204 Skill: Recall 98) How do advertisers choose which media to use?

Answer: Advertisers can choose between broadcast, print, out-of-home, direct-response and the various forms of digital media. Each medium has its own advantages and disadvantages so selection is largely based on the nature of the product, the description of the target market and the media they refer to most often, and the budget available. Typically, an advertiser will not rely solely on one medium but rather a combination to achieve the stated objectives of a campaign. They may identify a primary medium and support it with secondary media.

Diff: 2 Type: ES Page Ref: 206 Skill: Applied 99) What is a concentrated media strategy and what are its advantages?

Answer: To maximize the potential of scarce media dollars, media planners often recommend a primary medium that provides an effective and efficient means of reaching a target market. Such a plan is referred to as a concentrated media strategy, since most media dollars are allocated to a primary medium. The advantage of a concentration strategy is potential media cost savings, since the purchase of one medium in larger quantities creates higher discounts. Secondary media are then used selectively to complement the primary medium.

Diff: 3 Type: ES Page Ref: 206 Skill: Applied 100) Advertisers often wind up spending more money on advertising when the brand is in the growth stage of its product life cycle. Explain.

Answer: In the growth stage, competition is present, so competitors' advertising budgets enter the picture. A manager is concerned about two objectives: continuing to build awareness, and creating brand preference in the customer's mind.

Accomplishing both objectives costs money. Securing growth and improving market share in a competitive environment is a challenge and requires a budget that will attract users of competitive brands.

Diff: 3 Type: ES Page Ref: 212 Skill: Applied 101) Explain how the degree of uniqueness of a product can have an influence on the amount of money that is spent on advertising.

Answer: Assuming a high-interest unique selling point exists, an advertiser must invest heavily in advertising to establish in consumers' minds the perceived value of the

.

7–22

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e unique selling point. For example, every time Tide launches a new laundry detergent product, it makes a significant investment in advertising, both to generate awareness, and to get current users to switch. Tide Pods was launched in Canada with a multi-million dollar campaign that used traditional, digital, mobile and social media. The product offers three essential benefits—it cleans, removes stains and brightens.

Diff: 3 Type: ES Page Ref: 212 Skill: Applied 102) Explain the role of the media buyer.

Answer: The media buyer purchases the time and space according to the approved media plan. Media buyers need to interpret the work of media planners and to make decisions regarding actual buys. The media buyer acts as a "negotiator" with media representatives. He or she must maximize the efficiency of the media budget by seeking favourable media positions and negotiating the best rates possible in light of the plan.

Diff: 2 Type: ES Page Ref: 190 Skill: Recall 103) Describe the percentage-of-sales method of budgeting.

Answer: If a company uses the percentage-of-sales method it usually forecasts the salesdollar volume for the forthcoming year and allocates a predetermined percentage amount of those sales to advertising. Management determines the percentage to be used. Percentages are often past industry averages or the amount the advertiser has used in the past.

Diff: 3 Type: ES Page Ref: 213 Skill: Recall 104) What are the basic steps of the task method of budgeting?

Answer: In contrast to other methods, the task, or objective, method shows how advertising can influence sales instead of being dependent upon sales. It involves a few basic steps: defining the communications objectives, determining the type and quantity of advertising needed, and determining the cost of the advertising recommendation. This is considered the most scientific budgeting method.

Diff: 3 Type: ES Page Ref: 215 Skill: Recall 105) Describe the three decisions involved in the media selection process.

Answer: The first decision is selecting the type of media that will best allow the advertisers to meet the objectives for the product and to execute its advertising strategies. The second decision involves comparing the class options within the type of media recommended. For example, what class of magazine should be used? Will it be

.

7–23

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e general interest, business, men's or women's magazines? The third decision is recommending which particular medium within a class provides the most costefficient means of delivering the advertiser's message.

Diff: 2 Type: ES Page Ref: 208 Skill: Recall 106) In what circumstances would advertisers choose a build-up schedule?

Answer: A build-up schedule is characterized by low initial media weight often due to selective use of media. The schedule gradually builds to an intensive campaign.

The build-up strategy is often associated with new product launches (e.g. new movies being released by Hollywood studios). Such a strategy is often called a teaser campaign.

Diff: 2 Type: ES Page Ref: 204 Skill: Applied 107) Describe a selective coverage plan. Provide an example.

Answer: A selective coverage plan ignores factors such as levels of distribution, population by area, or geographic product development. Instead, this selection method attempts to reach a desired target market regardless of geographic location. A selective coverage plan works because of the nature of the advertised product, the common characteristic of the target market, and the availability of a specialized medium. For example, Photo Life magazine would be an advertising vehicle appropriate for reaching a photography enthusiast.

Diff: 2 Type: ES Page Ref: 203 Skill: Recall 108) In what circumstances would an advertiser employ a regional coverage strategy?

Answer: Advertisers who choose to advertise regionally might compare the total volume of the product category in each region to determine the allocation of advertising dollars. If a brand was underperforming in a region that was growing in importance, more advertising weight would be allocated to that region.

Diff: 3 Type: ES Page Ref: 201 Skill: Applied 109) When would an advertiser use a profile-matching strategy?

Answer: In the case of a profile-matching strategy, the customer target market is carefully defined by demographic, psychographic, and geographic variables. When using this strategy, the advertising message is placed in media whose readers, listeners, or viewers have a similar profile to that of the product's target market. For example, Rogers Sportsnet appeals to a mainly male audience.

Diff: 2 Type: ES Page Ref: 193 Skill: Applied

.

7–24

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

110) What constitutes a well-written media objective?

Answer: Media objectives are clearly-worded statements that describe the target audience and outline what the media plan should accomplish. Media objectives can be developed in response to the questions concerning who, what, where, when and how. Media objectives set priorities and establish guidelines for agency media planners.

Diff: 2 Type: ES Page Ref: 190 Skill: Applied

.

7–25

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

Chapter 8 1) The total average daily circulation of Canadian daily newspapers is 6.0 million copies.

The total number of Canadian daily newspapers that contribute to that circulation is A) 55 B) 68 C) 96 D) 147 E) 121 Answer: E Diff: 2 Type: MC Page Ref: 220 Skill: Recall 2) The percentage of Canadians who visit a daily newspaper website each week is A) 50 B) 33 C) 5 D) 12 E) 24 Answer: E Diff: 2 Type: MC Page Ref: 220 Skill: Recall 3) The highest-circulation tabloid in Canada is A) Montreal Gazette B) Toronto Sun C) Ottawa Sun D) Vancouver Province E) Le Journal de Montréal Answer: E Diff: 2 Type: MC Page Ref: 220 Skill: Recall 4) Community newspapers are truly an advertising medium for A) local retailers B) younger readers C) business-to-business D) national advertisers E) French-Canadians Answer: A Diff: 2 Type: MC Page Ref: 220 Skill: Applied 5) The key difference between tabloids and broadsheets is A) amount of advertising B) size

.

8–1

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) content D) cost E) number of sections Answer: B Diff: 2 Type: MC Skill: Applied

Page Ref: 220

6) The term circulation refers to A) the number of free inserts per issue B) the number of copies sold per issue C) the type of advertising included in the print media D) the number of copies printed per issue E) the average number of copies distributed per issue Answer: E Diff: 2 Type: MC Page Ref: 220 Skill: Applied 7) Readership data about newspapers is compiled by an industry-sponsored measurement organization called A) BBM B) Print Measurement Bureau C) Canadian Circulation Audit Board D) NADbank Inc. E) Audit Bureau of Circulation Answer: D Diff: 2 Type: MC Page Ref: 221 Skill: Recall 8) The largest circulation of a broadsheet daily newspaper is of A) The Gazette B) The Globe and Mail C) The Toronto Star D) The National Post E) The Toronto Sun Answer: C Diff: 2 Type: MC Page Ref: 221 Skill: Applied 9) There are ______ agate lines per inch of depth in most newspapers.

A) 16 B) 14 C) 12 D) 15 E) 24 Answer: B Diff: 2 Type: MC Page Ref: 228

.

8–2

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Recall 10) The two broad forms of newspaper advertising are A) full page and fractional B) contract and open line C) daily and community D) display and classified E) national and retail Answer: D Diff: 2 Type: MC Page Ref: 223 Skill: Applied 11) The revenues generated by advertising significantly offset the production and overhead costs of publishing a newspaper. Advertising accounts for approximately ________ of newspaper space.

A) 48% B) 55% C) 60% D) 40% E) 30% Answer: C Diff: 2 Type: MC Page Ref: 223 Skill: Recall 12) Display advertising is defined as any advertisement A) that demonstrates a product B) that appears on the front page banner C) that appears on the back page D) that is full page E) appearing in any part of the publication, excluding the classified section Answer: E Diff: 2 Type: MC Page Ref: 223 Skill: Recall 13) Very often ads placed by national advertisers include a hooker. This identifies A) an unethical issue B) an additional insert C) if the article continues on another page D) local retailers where the product can be purchased E) it as a classified advertisement Answer: D Diff: 2 Type: MC Page Ref: 224 Skill: Applied 14) This type of advertising generates about two-thirds of a newspaper's revenues.

A) pre-printed inserts

.

8–3

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) national C) retail D) classified E) free-standing inserts Answer: C Diff: 2 Type: MC Skill: Recall

Page Ref: 224

15) Pre-printed inserts are also referred to as A) broadsheets B) flexform advertising C) classified advertising D) free-standing inserts E) tabloids Answer: D Diff: 2 Type: MC Page Ref: 224 Skill: Recall 16) Newspapers serve a(n) ________ so they are attractive to local merchants.

A) older market B) affluent market C) well-defined geographic area D) urban market E) grassroots market Answer: C Diff: 2 Type: MC Page Ref: 224 Skill: Applied 17) An advantage of newspapers is A) lack of target market orientation B) picture quality C) high cost of advertising placement D) coverage and reach E) short lifespan Answer: D Diff: 2 Type: MC Page Ref: 225 Skill: Applied 18) Flexform refers to an advertisement that A) is full colour B) covers two full pages C) comes as an insert D) is a centrefold E) does not conform to normal shapes Answer: E Diff:2 Type: MC Page Ref: 225

.

8–4

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Recall 19) Newspapers offer merchandise tie-in opportunities, such as A) yearly contracts B) flexform ads C) editorial support D) co-operative advertising E) long copy ads Answer: D Diff: 2 Type: MC Page Ref: 226 Skill: Applied 20) One of the biggest drawbacks of newspaper advertising is A) lack of competition B) its size C) its short lifespan D) the expense of an individual newspaper E) its long lead time Answer: C Diff: 2 Type: MC Page Ref: 226 Skill: Applied 21) Newspaper readers tend to go through the entire paper suggesting A) position charges for placement in specific sections is wasteful B) a high possibility for exposure for advertised products C) that newspaper readers are scanners D) newspapers have a long lifespan E) that the editorial content is equally strong in each section Answer: B Diff: 3 Type: MC Page Ref: 225 Skill: Applied 22) Among the largest local investors in newspaper advertising are A) schools and hospitals B) associations and services C) retailers and automobile dealers D) employers and industry E) municipal and national governments Answer: C Diff: 3 Type: MC Page Ref: 226 Skill: Applied 23) A luxury automobile ad placement with paid positioning in the business section of the newspaper demonstrates A) merchandising opportunities B) editorial support

.

8–5

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) upscale markets D) more educated markets E) co-operative advertising Answer: B Diff: 3 Type: MC Skill: Applied

Page Ref: 226

24) If an advertiser wants to run an ad that is 5 columns x 10 inches deep, the size of the ad in agate lines would be A) 750 lines B) 500 lines C) 700 lines D) 250 lines E) 50 lines Answer: C Diff: 3 Type: MC Page Ref: 228 Skill: Applied 25) The transient rate applies to A) casual advertisers B) some sections of the paper C) community newspaper advertisers D) inserts E) volume-discount advertisers Answer: A Diff: 2 Type: MC Page Ref: 229 Skill: Recall 26) Modular agate line advertising is A) larger than agate line ads B) smaller than agate line ads C) more expensive than agate line advertising D) easier than agate line ads to work out cost E) wider than agate line ads Answer: D Diff: 2 Type: MC Page Ref: 228 Skill: Applied 27) With regard to rate schedules, rates charged by line go down A) as the size of the advertisements increase B) if advertisements are spaced apart by set periods of time C) if the ad is in the same location as before D) based on the amount of white space in advertisements E) as the number of lines increases over a specified period Answer: E Diff: 2 Type: MC Page Ref: 229

.

8–6

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Recall 28) The position charge is usually quoted as a percentage increase over the insertion cost.

On The Globe and Mail's rate card, a specific page request can add ________ to the cost of insertion A) 15% B) 20% C) 40% D) 25% E) 10% Answer: C Diff: 2 Type: MC Page Ref: 233 Skill: Recall 29) When advertisers agree to a "run of press," it means that A) the publisher will decide on black and white or colour B) the ad may be run as a pre-printed insert C) ads will be placed in all media that the publisher may own D) the publisher will run ads when space is available E) advertisements will be placed at the discretion of the publisher Answer: E Diff: 2 Type: MC Page Ref: 233 Skill: Recall 30) Pre-printed insert costs are usually quoted A) for delivery only B) with a run of the press agreement C) the same way as standard advertising rates D) on a when required basis E) on a cost per thousand basis Answer: E Diff: 2 Type: MC Page Ref: 233 Skill: Recall 31) If an 8-page insert in the Toronto Star has a CPM rate of $10.00, then 421 700 inserts would cost A) $2 272 500 B) $227.25 C) $42,170 D) $450 000 E) $22 139.25 Answer: C Diff: 3 Type: MC Page Ref: 233 Skill: Applied

.

8–7

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 32) Current readership statistics show that daily newspapers reach _____ percent of adults daily.

A) 40% B) 55% C) 30% D) 75% E) 80% Answer: A Diff: 2 Type: MC Page Ref: 222 Skill: Recall 33) Details of a newspaper ad request are communicated via a(n) A) insertion order B) make good C) tear sheet D) cost per thousand E) split run Answer: A Diff: 2 Type: MC Page Ref: 234 Skill: Recall 34) So that advertisers can see how their ad actually appeared, newspapers issue a(n) A) make good B) tear sheet C) split run D) insertion order E) CPM Answer: B Diff: 2 Type: MC Page Ref: 234 Skill: Recall 35) Since the circulations and costs of advertising (line rates) vary among newspapers, the advertiser must have a way of comparing the alternatives. To make this comparison, the advertiser may use a standard figure called the A) position charges B) multiple page charges C) line rate D) cost per thousand (CPM) E) split runs Answer: D Diff: 2 Type: MC Page Ref: 234 Skill: Recall 36) Supermarkets, department stores and shopping malls often purchase double-page spreads, which are also known as a A) flexform ad

.

8–8

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) continuous ad C) ROP D) free-standing insert E) double truck Answer: E Diff: 2 Type: MC Skill: Recall

Page Ref: 233

37) In terms of content and audience reached, magazine publications fall into two major categories: A) general interest and special interest B) consumer and business C) entertainment and sports D) horizontal and vertical E) trade and association Answer: B Diff: 1 Type: MC Page Ref: 235 Skill: Applied 38) Magazine readership figures are tracked by A) Print Measurement Bureau B) Marketing magazine C) Media Advisor D) NADbank E) BBM Answer: A Diff: 2 Type: MC Page Ref: 237 Skill: Applied 39) Business magazines can be broadly subdivided into subject areas such as trade, industry, professional, and institutional. Sub-classifications of these general areas would include A) hotels and restaurants B) sports and recreation C) lifestyle D) health E) arts and entertainment Answer: A Diff: Type: MC Page Ref: 236 Skill: Recall 40) Business magazines can be classified as horizontal. This means A) that they appeal to people at the same level of responsibility B) they are distributed as part of a newspaper C) distribution is only in Canada D) circulation is always the same

.

8–9

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e E) advertising contracts have to be even Answer: A Diff: 2 Type: MC Page Ref: 236 Skill: Recall 41) Foodservice and Hospitality magazine is an example of A) a horizontal publication B) a regional edition C) a general interest publication D) a vertical publication E) a consumer publication Answer: D Diff: 2 Type: MC Page Ref: 236 Skill: Applied 42) Paid circulation refers to A) subscription sales only B) trade subscriptions C) subscriptions and newsstand sales D) free distribution E) newsstand sales only Answer: C Diff: 2 Type: MC Page Ref: 236 Skill: Recall 43) A controlled circulation magazine A) is distributed free to a predetermined target B) is an insert inside a newspaper C) appeals to all market segments D) is also classified as junk mail E) is restricted by law Answer: A Diff: 2 Type: MC Page Ref: 236 Skill: Recall 44) The frequency of publication varies from one magazine to another. The most common frequencies are A) monthly and weekly B) bi-weekly and quarterly C) 10 times a year D) bi-annually E) bi-monthly Answer: A Diff: 2 Type: MC Page Ref: 236 Skill: Recall

.

8–10

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

45) Because of the relative infrequency (in comparison to newspapers) of magazine publications, the advertiser gets the benefit of A) split runs B) digest sizing C) more advertising D) less costs E) longevity Answer: E Diff: 2 Type: MC Page Ref: 239 Skill: Applied 46) An example of a vertical publisher is A) Canadian Business B) National Post Business C) ROB Magazine D) Canadian Grocer E) Profit Answer: D Diff: 3 Type: MC Page Ref: 236 Skill: Recall 47) The primary advantage of magazines is A) number of ads in a single issue B) cost C) frequency D) target-market selectivity E) lead time Answer: D Diff: 2 Type: MC Page Ref: 240 Skill: Applied 48) Some publications offer some form of geographic flexibility. An example in Canada is A) Canadian Grocer B) Canadian Geographic C) Maclean's D) Ski Canada E) Toronto Life Answer: C Diff: 3 Type: MC Page Ref: 239 Skill: Recall 49) In comparison to newspapers, a key disadvantage to magazines is A) quality of reproduction B) life span

.

8–11

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) demographic selectivity D) geographic flexibility E) frequency Answer: E Diff: 2 Type: MC Skill: Applied

Page Ref: 240

50) A pass-along reader represents a bonus to an advertiser in a magazine at no additional cost. This is A) split run availability B) loss of revenue C) bonus circulation at no additional cost D) retail advertising E) an increase in frequency Answer: C Diff: 2 Type: MC Page Ref: 239 Skill: Applied 51) One of the disadvantages for advertising in magazines is the A) expensive distribution B) long lead times C) lack of preferred positions D) ability to change advertising at short notice E) only option is full colour Answer: B Diff: 2 Type: MC Page Ref: 240 Skill: Applied 52) A technique in which the coloured background of an ad extends to the edge of the page is called A) Spot colour B) Full colour C) A gatefold D) A placement E) A bleed Answer: E Diff: 2 Type: MC Page Ref: 241 Skill: Recall 53) A gatefold advertisement in a magazine is one that A) folds out spanning 2, 3 or 4 pages B) is the front cover C) is a preferred position D) is inside the front cover E) is an insert Answer: A

.

8–12

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Recall

Type: MC

Page Ref: 241

54) Obtaining a specific page or section within a magazine is referred to as A) a space contract B) a split run C) obtaining a bleed D) a position charge E) preferred position Answer: E Diff: 2 Type: MC Page Ref: 242 Skill: Recall 55) Gluing items such as recipe booklets or small catalogues into magazines is known as A) tipping B) bleeding C) gifting D) gatefolding E) sampling Answer: A Diff: 2 Type: MC Page Ref: 243 Skill: Recall 56) When advertisers agree to purchase space in consecutive issues of a magazine they are offered a A) short rate B) corporate discount C) transient rate D) frequency discount E) continuity discount Answer: E Diff: 2 Type: MC Page Ref: 245 Skill: Applied 57) The insertion order date in a magazine is the closing date for A) ordering space B) distribution C) art work D) production of the advertisement E) copy Answer: A Diff: 2 Type: MC Page Ref: 247 Skill: Recall 58) Advertisers purchasing ad space in some of today's national magazines can also advertise on the publication's

.

8–13

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) sister publications B) back cover C) special supplements D) website E) regional edition Answer: D Diff: 3 Type: MC Skill: Applied

Page Ref: 248

59) Should an advertiser not use all of the estimated space in their contract by the end of the year, the advertiser would have to A) place more advertisements B) carry the unused space into the next year's contract C) pay a penalty D) pay higher rates the following year E) pay the magazine Answer: E Diff: 2 Type: MC Page Ref: 247 Skill: Applied 60) Advertisers can partially overcome the problem of clutter in magazines by A) using spot colour B) placing several ads in the same publication C) purchasing left side pages D) using bold stroke cartoons E) ordering preferred positions Answer: E Diff: 3 Type: MC Page Ref: 240 Skill: Applied 61) Circulation is defined as the average number of copies per issue of a publication that are sold by subscription only.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 220 Skill: Recall 62) Of the total number of daily newspapers, 13 are published in French.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 220 Skill: Recall

.

8–14

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 63) The largest daily Canadian newspaper is The Globe and Mail, which has an average Monday-to-Friday circulation of 421 700 per day.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 221 Skill: Recall 64) Newspaper readership tends to increase as a person’s level of education and income increases.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 222 Skill: Applied 65) Community newspapers are generally larger-circulation newspapers published more than once a week and directed at regional audiences.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 220 Skill: Recall 66) Broadsheets are flat, with only a vertical centrefold, and resemble an unbound magazine.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 220 Skill: Recall 67) The profiles and consumer behaviour characteristics of newspaper readers are compiled by an industry-sponsored measurement organization called NADbank Inc. A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 221 Skill: Recall 68) Modular agate line advertising is a standardized unit of space.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 228 Skill: Applied

.

8–15

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

69) Flexform advertisements are modular agate line advertisements.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 225 Skill: Applied 70) There are two broad forms of newspaper advertising: general and retail advertising.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 223 Skill: Recall 71) A hooker, also called a tag, identifies local retailers where the product can be purchased.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 224 Skill: Recall 72) Classified advertising appears in a much-read section of the newspaper.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 224 Skill: Recall 73) Because of its geographic selectivity, newspaper advertising is useful for national advertisers following a key market media strategy.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 224 Skill: Applied 74) Newspapers are often referred to as the “sales action” medium.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 226 Skill: Recall 75) The actual readership of a magazine may be much greater than its circulation.

.

8–16

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) True B) False Answer: True Diff: 3 Skill: Applied

Type: TF

Page Ref: 239

76) The transient rate for a newspaper ad is a one-time rate or base rate applied to casual advertisers.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 229 Skill: Recall 77) For advertisers using newspapers or magazines, the addition of a website means they can reach the same audience profile but in a different way.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 248 Skill: Applied 78) Tipping refers to the bonus advertisers pay to magazine sales representatives for placing their ad in a desirable position, such as the inside front cover.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 243 Skill: Recall 79) The placing of advertisements anywhere within the regular printed pages of a newspaper is referred to as ROP (run of press, run of paper).

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 233 Skill: Recall 80) If an advertiser was trying to reach a business audience at the senior management level, a horizontal publication would be more appropriate than a vertical publication.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 236 Skill: Applied

.

8–17

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 81) Vertical publications are magazines that only print advertising in columns.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 236 Skill: Recall 82) There is a trend toward larger sized magazines.

B) False Answer: False Diff: 2 Type: TF Page Ref: 237 Skill: Applied 83) The circulation of magazines and newspapers in Canada is audited by ABC. A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 237 Skill: Applied 84) An advertiser wishing to advertise only in the Atlantic provinces can take advantage of the flexibility offered by regional editions of high-circulation consumer magazines.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 238 Skill: Applied 85) CPM is a quantitative measure of competing magazines’ efficiency.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 247 Skill: Applied 86) Newspaper revenue is generated from four advertising sources. Explain.

Answer: Advertising accounts for roughly 60 per cent of newspaper space. The four areas of revenue are: general (national) advertising retail advertising, classified advertising, and preprinted inserts (retail flyer advertising). General or national advertising features products/services marketed on a national or regional basis.

Retail advertising is placed by department stores, supermarkets, drugstores and other large retailers. Classified advertising produces a significant amount of revenue. Classified ads provide readers with opportunities to acquire goods and services from a variety of sources, including other readers. Preprinted inserts are

.

8–18

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e used by larger retailers and are commonly known as flyers. Seventy percent of Canadians list flyers as a major source of shopping information.

Diff: 2 Type: ES Page Ref: 223 Skill: Applied 87) What are community newspapers and who typically advertises in them?

Answer: Community newspapers are generally smaller-circulation newspapers published once a week—sometimes more often in larger markets. Community newspapers are targeted to a local audience, which makes them appealing to the local market and independent advertisers. Also, a weekly community newspaper stays in the home longer than a daily, owing to its weekly distribution cycle.

Diff: 2 Type: ES Page Ref: 220 Skill: Applied 88) Compare and contrast the two formats of Canadian newspapers: tabloids and broadsheets.

Answer: Tabloids are flat, with only a vertical centerfold. In terms of size, the tabloid page is 10 to 10 3/4 inches wide by 11 to 14 inches in depth. Broadsheets are much larger newspapers. A broadsheet page is 10 to 12 inches wide by 20 to 22 inches deep. The majority of Canadian daily newspapers are published in broadsheet format—the Globe and Mail is an example.

Diff: 2 Type: ES Page Ref: 220 Skill: Applied 89) Describe the role of NADbank Inc. Answer: Readership data about newspapers is compiled by an industry-sponsored measurement organization called NADbank Inc. This organization provides advertisers, advertising agencies, and daily newspapers with accurate and credible information on newspaper readership, retail data, and consumer behaviour. This information helps media planners decide on the appropriate medium for their communications. NADbank updates its data annually by conducting a detailed survey of Canadian adults.

Diff: 2 Type: ES Page Ref: 221 Skill: Applied 90) What are preprinted inserts and what type of advertiser tends to use them?

Answer: Preprinted inserts, also referred to as free-standing inserts or flyers, are inserted into the fold of the newspaper and look like a separate, smaller section.

Newspapers often have several different inserts. Seventy percent of Canadians rate flyers as their major source of local shopping information. Large users of inserts include supermarkets, department store chains, and automotive and hardware chains. Diff: 2 Type: ES Page Ref: 224

.

8–19

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Recall 91) Newspaper advertising is useful for national advertisers following a key market media strategy. Explain why.

Answer: A key market media strategy is based on placing ads in media at times purchased by urban markets identified as priorities. Newspapers serve a well-defined geographic area (town, city, trading zone; so they can reach markets identified as important). For the national advertiser, newspapers offer placement on a marketby-market basis. The advertiser can select specific newspaper markets across Canada, or all the markets in a region.

Diff: 3 Type: ES Page Ref: 223 Skill: Applied 92) Is newspaper advertising suitable for advertisers with a very broad target audience?

Explain your answer.

Answer: Yes, newspapers effectively reach a broad cross-section of the Canadian adult population. Current readership statistics show that newspapers reach 40 percent of adults. Some 15.9 million Canadians read a daily newspaper in a typical week and 6.7 million read a daily newspaper online each week. Readership does not vary significantly across region or age group. Readership increases proportionately with higher income and more education. For advertisers with loosely defined target market profiles, newspapers represent significant reach opportunities.

Diff: 3 Type: ES Page Ref: 221 Skill: Applied 93) Do newspapers offer a high possibility of exposure for product and services being advertised? Explain your answer.

Answer: Newspapers are an engaging medium—people devote a considerable amount of time to reading the paper, and tend to consume it more carefully than other media such as radio or television. Although readership patterns vary among individuals, readers do tend to go through the entire paper, which means that advertisements have a high possibility of exposure.

Diff: 2 Type: ES Page Ref: 225 Skill: Applied 94) "There is nothing as stale as yesterday's news." Which disadvantage of newspaper does this phrase sum up?

Answer: This phrase sums up any newspaper's biggest drawback—a short lifespan. Since a daily newspaper is around for only one day or less, the likelihood of an advertisement receiving exposure is drastically reduced if the newspaper is not read on the day of distribution. To reach an audience, an ad may need to be placed several times during the week. In a digital environment, readers tend to go back

.

8–20

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e several times throughout the day so the opportunity for multiple exposures of advertising is greater.

Diff: 2 Type: ES Page Ref: 226 Skill: Applied 95) How is the cost of placing a newspaper ad determined?

Answer: The basic procedure for buying newspaper space is to determine the size of the ad either in agate lines or modular agate lines. Cost is calculated by multiplying the width of the ad (number of columns) by the depth of the ad (inches of depth) by 14 (the number of agate lines per inch). Other factors that influence costs include the number of insertions, creative considerations such as the use of colour, and position charges, if applicable.

Diff: 3 Type: ES Page Ref: 228 Skill: Applied 96) Explain the factors that can affect newspaper rate schedules.

Answer: First, rates charged by line go down as the volume of lineage increases over a specified period. Second, costs for the addition of colour or preferred positions are quoted separately. Third, the line rates may vary from one section of a newspaper to another.

Diff: 2 Type: ES Page Ref: 229 Skill: Recall 97) Why would an advertiser pay a position charge for their newspaper advertising placement?

Answer: To deal with the disadvantage of clutter, many advertisers request favourable positions, either for a particular section, or the first few pages of the newspaper.

The privilege of having a preferred position in a newspaper comes at a higher cost, referred to as a position charge. This charge is normally quoted as a percentage increase over the insertion cost. The advertiser usually justifies the additional expense by referring to the improved recognition and recall that can result. Unless a preferred position charge is paid, newspaper publishers reserve the right to place advertisements at their discretion.

Diff: 2 Type: ES Page Ref: 233 Skill: Applied 98) Explain the difference between a horizontal business magazine and a vertical one, providing examples.

Answer: Business magazines can be classified as horizontal or vertical. A horizontal publication appeals to people who occupy the same level of responsibility in a business—the senior management level, for example. Horizontal publications tend to be more general in content, dealing with business issues and trends, for

.

8–21

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e example. Canadian Business and Profit are examples of horizontal business publications. Vertical publications appeal to all levels of people in the same industry. All specialized business classifications and corresponding magazines fall into this category. Canadian Grocer, for example, appeals to those people employed in the food processing and food distribution business in Canada.

Diff: 2 Type: ES Page Ref: 236 Skill: Applied 99) Magazines are often referred to as being a "class" medium rather than a "mass" medium, and yet they have the ability to give advertisers what they want most— direct reach to a precisely defined target. Explain.

Answer: Both consumer magazines and business magazines have target audiences that are well defined by some combination of demographic and psychographic variables.

Consumer magazines are divided into 50 subclasses based on the magazine’s content and audience. Business magazines are also subdivided into classes and tend to be very specialized with content appealing to a particular industry, trade or professional group. Therefore, advertisers with well-defined target markets can select specific magazines by using a profile-matching strategy (i.e. by selecting magazines whose audience closely matches the product's target market).

Diff: 3 Type: ES Page Ref: 235 Skill: Applied 100) What is the difference between the primary reader and the pass-along reader of a magazine?

Answer: The primary reader of a magazine is the person who qualifies as a reader because he or she lives or works in the household or office where the publication is initially received. The pass-along reader is a person who reads a publication but is not living or working in the location where the publication is originally received.

The combination of primary readers and pass-along readers equals total readership.

Diff: 2 Type: ES Page Ref: 239 Skill: Recall 101) Compare the lifespan of a magazine to the lifespan of a newspaper.

Answer: Because of the relative infrequency (in comparison to newspapers) of magazine publications (weekly, biweekly, monthly), the advertiser gets the benefit of longevity. Magazines remain in the home and are read intermittently over a period of time. Some magazines, such as Canadian Geographic, may be kept in the home permanently as part of a collection. Newspapers, on the other hand, are kept around for only one day or less.

Diff: 2 Type: ES Page Ref: 239 Skill: Applied

.

8–22

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 102) Magazines offer advertisers some degree of creative flexibility. Explain how.

Answer: Most magazines offer gatefolds (multiple-page fold-outs), double-page spreads, and bleeds (colour extends to the edges of the page). They can also accommodate special features such as scent strips, pop-up coupons (coupons with a perforated edge appearing on top of an advertisement for a product), and even product samples.

Diff: 2 Type: ES Page Ref: 239 Skill: Applied 103) Explain the four main disadvantages of magazine advertising.

Answer: Four disadvantages of magazine advertising are: long lead times, referring to the fact that ad space must be booked and material submitted an average of 4 weeks before publication; clutter, referring to the clustering of ads near the front and back of the magazine; high production and space costs; and the low frequency that magazines offer (in comparison with newspapers). The long lead time does not allow the advertiser flexibility of changing ad content should market conditions change.

Advertisers can try to overcome clutter by ordering and paying for preferred positions. Because of high production costs, magazines may not be an efficient buy for local or regional advertisers. Because of low frequency, some advertisers buy space in several magazines that reach similar target audiences.

Diff: 2 Type: ES Page Ref: 240 Skill: Applied 104) Explain tipping in magazine advertising.

Answer: Magazines offer advertisers the creative flexibility of inserting practically any size of business reply card, small multiple-page insert, or booklet. Tipping (gluing) items such as recipe booklets or small product catalogues is now very popular.

The brochure or catalogue is easily removed once the magazine is purchased.

Diff: 2 Type: ES Page Ref: 243 Skill: Recall 105) Advertisers that purchase space in specific magazines with greater frequency will qualify for a variety of discounts. Describe some of the more common discounts offered by magazines.

Answer: A frequency discount refers to a discounted page rate, with the discount based on the number of times an advertisement is run. The more often the ad is run, the lower the unit cost for each ad. A continuity discount is an additional discount offered to advertisers that agree to purchase space in consecutive issues of a magazine over time. Large advertisers that use the same magazine to advertise a variety of products may qualify for a corporate discount, which takes the total number of pages purchased by the company into consideration.

Diff: 2 Type: ES Page Ref: 245 .

8–23

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 106) If ABC Company entered into a space contract with Canadian Geographic to purchase 12 four-colour pages throughout the year, but by the end of the contract period had only purchased eight pages, what would happen?

Answer: At the end of the year, adjustments are made (whether positive or negative) when actual usage of space is known. Should the advertiser not meet their estimates, a short rate would be due the publisher. In other words, the advertiser would have to pay the difference between the 12-times rate and the 8-times rate to the magazine.

Diff: 3 Type: ES Page Ref: 246 Skill: Applied 107) How have the information age and the electronic revolution changed the nature of newspaper and magazine publishing? What has this meant for advertisers?

Answer: While the printed format remains the dominant form, major daily newspapers and national magazines have launched websites and digital editions available on a variety of electronic devices. Digital editions allow advertisers to reach the same audience profile but in a different way.

Diff: 2 Type: ES Page Ref: 248 Skill: Applied 108) Explain why newspapers are often referred to as the "sales action" medium.

Answer: Newspapers offer merchandise tie-in opportunities, such as co-operative advertising with local distributors or ads containing coupons or other promotional incentives geared toward trial purchase or building loyalty. Newspapers are often referred to as the "sales action" medium since many ads carry incentive-oriented promotions that encourage purchase.

Diff: 2 Type: ES Page Ref: 226 Skill: Applied 109) Compare a digest-size magazine to a standard-size magazine. Include at least one example of each size.

Answer: A digest-size magazine’s approximate dimensions are 5½ inches X 7¼ inches (14 cm X 18.4 cm), with a two-column printing format. Reader’s Digest/Sélection du Reader’s Digest is a good example of this type of format. The dimensions of a standard-size magazine are 8 inches X 11 inches (20.3 cm X 27.9 cm), with a three-column format. Among the popular magazines that appear in this size and format are Maclean’s, Chatelaine, Canadian Business, and Canadian Geographic.

Diff: 2 Type: ES Page Ref: 237 Skill: Applied

.

8–24

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 110) Given that circulation and the costs of advertising (line rates) vary among newspapers, how do advertisers compare alternatives for cost efficiency?

Answer: To make this comparison, the advertiser may use a standard figure called the CPM. CPM is the actual cost of reaching 1000 readers in a market. The formula for calculating CPM involves dividing the unit cost of the message by the circulation in thousands. CPM is quantitative. The demographic profile of readers is not reflected in the calculation. Note: the higher the circulation of a newspaper, the lower the CPM. Diff: 3 Type: ES Page Ref: 234 Skill: Applied

.

8–25

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

Chapter 9 1) The latest statistics available reveal that the percentage of Canadian households that are reached by both television and radio is A) 99% B) 85% C) 76% D) 68% E) 60% Answer: A Diff: 1 Type: MC Page Ref: 254 Skill: Recall 2) On a daily basis, radio reaches what percentage of adults?

A) 81 B) 10 C) 74 D) 98 E) 66 Answer: A Diff: 2 Type: MC Page Ref: 254 Skill: Recall 3) New technologies are affecting the way people watch television. Perhaps the biggest change of all is A) consumers watch far less TV B) consumers now control when, where and how they receive advertising messages C) consumers are choosier about what they watch D) there are more 30-second commercials E) consumers watch far more TV Answer: B Diff: 2 Type: MC Page Ref: 254 Skill: Applied 4) Together, the CBC and CTV national networks reach 99 per cent of A) men B) English-language households C) women D) adults 18 and over E) French-language households Answer: B Diff: 1 Type: MC Page Ref: 254 Skill: Recall

Copyright © 2015Pearson Canada Inc.

9–1

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 5) The percentage of Canadians living in households equipped with cable or satellite is A) 78% B) 65% C) 50% D) 99% E) 90% Answer: E Diff: 2 Type: MC Page Ref: 254 Skill: Recall 6) The Pacific network is an example of one of the CBC's A) regional networks B) competitors C) international networks D) chinese-language networks E) specialty networks Answer: A Diff: 1 Type: MC Page Ref: 255 Skill: Applied 7) A multitude of specialty networks is available to viewers. Some of the more popular include A) TSN B) CBC North C) Global TV D) CTV Ontario E) Pay-Per-View Answer: A Diff: 2 Type: MC Page Ref: 255 Skill: Applied 8) What medium does the “tuned-in generation” avoid?

A) online video games B) music C) the internet D) television E) cell phones Answer: D Diff: 2 Type: MC Page Ref: 255 Skill: Applied 9) Which device allows viewers to edit out commercials?

A) live television B) smartphones C) internet D) personal video recorders

Copyright © 2015Pearson Canada Inc.

9–2

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e E) live radio Answer: D Diff: 2 Type: MC Skill: Applied

Page Ref: 255

10) The number of specialty and traditional channels has led to A) planning inflexibility B) lower costs C) more people watching TV D) less targeting E) audience fragmentation Answer: E Diff: 2 Type: MC Page Ref: 255 Skill: Applied 11) Stations such as HGTV (home and garden) are attractive to advertisers wanting to A) reach pay-TV audiences B) increase reach C) reach specific demographic and lifestyle targets D) reach smaller audiences E) cut costs Answer: C Diff: 2 Type: MC Page Ref: 255 Skill: Applied 12) Studies show that early adopters of personal video recorders (PVRs) watch 60% of their televisions viewing from their computers, and skip ____% of the ads in these programs.

A) 50% B) 20% C) 90% D) 75% E) 35% Answer: C Diff: 1 Type: MC Page Ref: 255 Skill: Recall 13) Alternative viewing of television content is a function of A) lifestyle B) values C) residence D) age E) income Answer: D Diff: 2 Type: MC Page Ref: 256 Skill: Applied

Copyright © 2015Pearson Canada Inc.

9–3

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

14) An advantage of television as an advertising medium is A) impact and effectiveness B) audience fragmentation C) commercial avoidance D) planning flexibility E) the ability to reach anyone, anywhere Answer: A Diff: 2 Type: MC Page Ref: 259 Skill: Applied 15) Television advertising has several advantages. Consumer ability to identify the packages of new products is the result of A) frequency of messages B) high reach C) coverage flexibility D) demographic selectivity E) demonstration capability Answer: E Diff: 2 Type: MC Page Ref: 260 Skill: Applied 16) Television offers high reach potential and relatively low CPMs, but in real spending terms, it is very expensive. The cost of a 30-second commercial during a Stanley Cup Playoff game on CBC can be as high as A) $110 000 B) $20 000 C) $125 000 D) $52 000 E) $45 000 Answer: D Diff:3 Type: MC Page Ref: 260 Topic: Recall 17) Smaller budget advertisers can purchase commercial time from A) individual stations B) national networks C) CBC D) CTV E) CNN Answer: A Diff: 2 Type: MC Page Ref: 260 Topic: Applied 18) Generally, advertisers prefer that their commercials be placed A) first or last in a cluster

Copyright © 2015Pearson Canada Inc.

9–4

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) last in a cluster C) in the middle of a cluster D) outside of a cluster E) first in a cluster Answer: A Diff: 2 Type: MC Page Ref: 261 Skill: Applied 19) For advertisers with precisely defined target markets, the use of television is wasteful because A) it offers creative flexibility B) the message will reach many outside the target C) commercials are placed in a cluster D) programs are only compatible with specific audiences E) spots can be purchased from individual stations Answer: B Diff: 3 Type: MC Page Ref: 261 Skill: Applied 20) Audience fragmentation is the result of several factors, including A) increased magazine readership B) new digital channels C) the lack of specialty networks D) text-messaging E) MP3 players Answer: B Diff: 3 Type: MC Page Ref: 261 Skill: Recall 21) A challenge in buying television spots is A) long lead time required B) too many options to choose from C) coverage flexibility D) high frequency requirements E) no demographic selectivity Answer: A Diff: 2 Type: MC Page Ref: 260 Skill: Applied 22) Ratings are estimated based on data collected by A) telephone surveys B) people meters and panels C) cable boxes D) satellites E) telephone surveys and cable meters Answer: B

Copyright © 2015Pearson Canada Inc.

9–5

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Applied

Type: MC

Page Ref: 257

23) Television requires significant lead time from advertisers. For example, network buys are negotiated in June for A) the eight-week summer season B) the fall season C) a complete broadcast year D) the winter season E) specials Answer: C Diff: 2 Type: MC Page Ref: 261 Skill: Applied 24) The normal length of television commercials is A) infomercials B) 60 seconds C) 30 seconds D) 15 seconds E) 45 seconds Answer: C Diff: 1 Type: MC Page Ref: 262 Skill: Recall 25) Many advertisers are reallocating media budgets in accordance with the latest trends.

Traditional TV advertisers have reduced their presence on conventional television in favour of A) magazines B) radio C) newspaper D) specialty cable channels E) online advertising Answer: D Diff: 3 Type: MC Page Ref: 262 Skill: Applied 26) When buying television time, the advertiser has several options, one of which is A) split runs B) co-op advertising C) selective-spot advertising D) four-week blocks E) seasonal purchases Answer: C Diff: 2 Type: MC Page Ref: 262 Skill: Applied

Copyright © 2015Pearson Canada Inc.

9–6

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 27) The visible placement of branded merchandise in television shows, films, and video games is referred to as A) branded content B) sponsorship C) product placement D) a selective spot E) a billboard Answer: C Diff: 2 Type: MC Page Ref: 264 Skill: Applied 28) A Coca-Cola glass that is highly visible during the American Idol television show is an example of A) sponsorship B) upfront buying C) local advertising D) product placement E) selective-spot sales Answer: D Diff: 2 Type: MC Page Ref: 264 Skill: Applied 29) In contrast to network and selective spot advertising, local advertising is A) non-commissionable B) not available in prime time C) not prone to clutter D) only purchased by agencies E) more expensive to produce Answer: A Diff: 2 Type: MC Page Ref: 265 Skill: Applied 30) For national television, advertising costs depend largely on A) the size of the potential market B) the laws of supply and demand C) cable and satellite providers D) the CRTC E) fixed prices Answer: B Diff: 2 Type: MC Page Ref: 265 Skill: Applied 31) A product placement that integrates a product into the script of a show is known as A) pre-emption B) zapping C) branded content

Copyright © 2015Pearson Canada Inc.

9–7

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e D) a reach plan E) spot advertising Answer: C Diff: 2 Type: MC Skill: Applied

Page Ref: 265

32) Once the new season’s program schedule is announced, the networks have a deadline, by which time most advertisers place their orders for the coming broadcast year. This is called A) contract commitments B) D-Day C) the media planning period D) seasonal scheduling E) forward booking Answer: B Diff: 2 Type: MC Page Ref: 266 Skill: Applied 33) If overbooking of the available advertising time occurs as a result of the volume of orders, television networks allocate preference based on A) rulings by the CRTC B) length of contract C) who the advertiser is D) frequency potential E) content of commercial Answer: A Diff: 2 Type: MC Page Ref: 260 Skill: Applied 34) A variety of discounts are available to television advertisers, depending on the extent of their advertising commitment. What is NOT a typical discount offered by television networks and stations?

A) frequency discount B) volume discount C) recency discount D) continuity discount E) seasonal discount Answer: C Diff: 3 Type: MC Page Ref: 269 Skill: Applied 35) In the case of sports programs, hockey and baseball broadcasts appeal largely to a particular viewing audience that is A) a mass audience aged 18-55 B) males aged 8-28 C) males aged 18-49

Copyright © 2015Pearson Canada Inc.

9–8

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e D) males aged 25-65 E) females aged 15-35 Answer: C Diff: 2 Type: MC Skill: Recall

Page Ref: 266

36) Prime-time television viewing is usually designated as A) 9-10 p.m.

B) 6-10 p.m.

C) 9 p.m.-1 a.m.

D) 8-12 p.m.

E) 7-11 p.m.

Answer: E Diff: 2 Type: MC Page Ref: 266 Skill: Recall 37) Television rates are lowest during A) prime time B) late fringe C) midday D) early fringe E) daytime Answer: E Diff: 2 Type: MC Page Ref: 266 Skill:Applied 38) An audio recording posted online is called A) a podcast B) internet radio C) product placement D) grid card E) digital radio Answer: A Diff: 2 Type: MC Page Ref: 275 Skill: Applied 39) The placement of two 15-second television commercials for the same product, so that one appears at the start and one at the end of a cluster, is known as A) clutter B) clustering C) optimizing D) split 30s E) piggybacking Answer: D Diff: 2 Type: MC Page Ref: 268 Skill: Recall

Copyright © 2015Pearson Canada Inc.

9–9

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

40) Late night talk shows that air between 11 p.m. and 1 a.m. fall into which daypart?

A) prime time B) fringe time C) overnight D) late night E) daytime Answer: B Diff: 3 Type: MC Page Ref: 266 Skill: Applied 41) Rates on a grid card are adjusted periodically, and are affected by factors such as A) inventory of time available B) frequency and volume of ads C) who the advertiser is D) content of commercial E) package deals Answer: A Diff: 3 Type: MC Page Ref: 268 Skill: Applied 42) A frequency discount is usually earned when buying television time as A) a minimum number of spots over a specified period of time B) seasonal advertising C) package plans D) continuous advertising E) volume advertising Answer: A Diff: 2 Type: MC Page Ref: 269 Skill: Applied 43) If a commercial message reaches 20 per cent of target households in a market and the commercial is scheduled five times per week, how many GRPs does it achieve?

A) 20 GRPs B) 75 GRPs C) 25 GRPs D) 100 GRPs E) 4 GRPs Answer: D Diff: 3 Type: MC Page Ref: 269 Skill: Applied 44) The summer television season usually occurs from mid-June to mid-September.

Networks offer discounts during this season that can be as high as A) 25-30% B) 5-10%

Copyright © 2015Pearson Canada Inc.

9–10

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) 10-15% D) 15-20% E) 20-25% Answer: D Diff: 2 Skill: Recall

Type: MC

Page Ref: 272

45) Networks and stations offer package plans in order to sell A) advertising on U.S. channels B) popular television series C) billboards D) fringe or daytime spots E) prime time spots Answer: D Diff: 2 Type: MC Page Ref: 272 Skill: Applied 46) A Run-of-Schedule discount offered to an advertiser will allow the television station to A) schedule a commercial at its discretion B) consult an advertiser to choose when its commercial will air C) edit a contract at any time D) pre-empt any commercial E) cancel a commercial at any time Answer: A Diff: 2 Type: MC Page Ref: 273 Skill: Recall 47) The situation where a special program replaces a regularly scheduled program is known as A) optimizing B) run of schedule C) D-Day D) media convergence E) pre-emption Answer: E Diff: 2 Type: MC Page Ref: 273 Skill: Applied 48) A software program that searches a TV ratings database for daypart or program combinations that increase target reach is referred to as a(n) A) selective spot B) pre-emption C) optimizer D) narrowcasting E) reach program

Copyright © 2015Pearson Canada Inc.

9–11

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: C Diff: 2 Skill: Recall

Type: MC

Page Ref: 273

49) FM radio stations reach what percentage of Canadians 12 years of age and older?

A) 35% B) 45% C) 51% D) 79% E) 97% Answer: D Diff: 3 Type: MC Page Ref: 276 Skill: Recall 50) When CTV streams its news programs directly on to their web site, this is an example of A) PVRs B) horizontal rotation C) media optimizers D) media convergence E) podcasting Answer: D Diff: 3 Type: MC Page Ref: 257 Skill: Applied 51) Unlike digital audio, satellite radio offers audiences A) CD quality sound B) commercial-free programming C) accessibility from any receiver D) perfect sound within the station's coverage area E) the placement of 15-second commercials in clusters Answer: B Diff: 1 Type: MC Page Ref: 275 Skill: Applied 52) Radio attracts the greatest number of listeners A) during the 6 p.m. news B) during late night programming C) in the morning D) during the afternoon rush-hour E) at lunch hour Answer: C Diff: 2 Type: MC Page Ref: 276 Skill: Applied 53) The difference between AM and FM radio is characterized by

Copyright © 2015Pearson Canada Inc.

9–12

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) the way demographics change according to daypart B) the call letters they are assigned C) audience profiles D) the way in which the signals are transmitted E) radio station formats Answer: D Diff: 2 Type: MC Page Ref: 275 Skill: Applied 54) Adult contemporary stations play popular and easy-listening music, current and past, and generally appeal to A) 25- to 54-year-old males B) 45- to 65-year-olds C) 18- to 34-year-olds D) 25- to 49-year-olds E) teens and tweens Answer: D Diff: 2 Type: MC Page Ref: 278 Skill: Recall 55) A total audience plan in radio advertising is a A) frequency discount B) run-of-schedule rate C) selective-spot buy D) continuity discount E) reach plan Answer: E Diff: 2 Type: MC Page Ref: 282 Skill: Recall 56) Local clients such as a neighbourhood restaurant or grocery store are attracted to radio because of A) ease of coordination B) audience fragmentation C) message retention D) national coverage E) low cost Answer: E Diff: 2 Type: MC Page Ref: 280 Skill: Applied 57) Radio stations often change their format to A) surprise listeners B) reach an underserved target C) increase listenership D) become more entertaining

Copyright © 2015Pearson Canada Inc.

9–13

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e E) appeal to a younger demographic Answer: B Diff: 2 Type: MC Page Ref: 278 Skill: Applied 58) One of the disadvantages of radio as an advertising medium is A) reach potential B) cost C) limited flexibility D) message retention E) frequency Answer: D Diff: 2 Type: MC Page Ref: 281 Skill: Applied 59) Of all the places Canadian consumers listen to the radio, a high amount of listening is done A) while waiting for the bus B)while driving C) at the gym D) outside E) at the grocery store Answer: C Diff: 2 Type: MC Page Ref: 276 Skill: Applied 60) Horizontal rotation refers to the placement of commercials based on the A) time of year B) station format C) time of day within various dayparts D) selection of AM vs. FM E) day of the week Answer: E Diff: 2 Type: MC Page Ref: 282 Skill: Recall 61) The latest statistics reveal that 90% of the population lives in households equipped with cable or satellite.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 254 Skill: Recall 62) Consumers have less control over their consumption of media than ever before.

A) True

Copyright © 2015Pearson Canada Inc.

9–14

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) False Answer: False Diff: 2 Skill: Applied

Type: TF

Page Ref: 254

63) In Canada, there are only 10 specialty networks.

A) True B) False Answer: False Diff: 1 Type: TF Page Ref: 255 Skill: Applied 64) People over the age of 55 spend more than 30 hours a week watching television.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 257 Skill: Recall 65) If a television program has a rating of 16, it means that it reaches 16% of that market's population.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 257 Skill: Applied 66) On a seasonal basis, there is a drop-off in television viewing in the summer.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 272 Skill: Applied 67) Advertisers with smaller budgets cannot purchase commercial air time from individual stations.

A) True B) False Answer: False Diff: 1 Type: TF Page Ref: 268 Skill: Applied 68) Audience fragmentation is a problem for television advertising but not for advertising over radio.

A) True B) False

Copyright © 2015Pearson Canada Inc.

9–15

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: False Diff: 1 Skill: Applied

Type: TF

Page Ref: 281

69) A commercial shown on any of the top 20 television shows in Canada has the potential to reach more than one million viewers.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 259 Skill: Recall 70) Television is primarily a mass-reach medium but it can target demographic groups based on the nature of the programming.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 260 Skill: Applied 71) Television advertising involves relatively low production costs.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 261 Skill: Recall 72) Television clutter refers to the scheduling of too many breaks during a program.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 261 Skill: Recall 73) For advertisers with precisely defined target markets, the use of television advertising is very effective.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 261 Skill: Applied 74) For some homes, television is a 600-channel universe!

A) True B) False Answer: True

Copyright © 2015Pearson Canada Inc.

9–16

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Recall

Type: TF

Page Ref: 261

75) PVRs allow viewers to edit out commercials.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 261 Skill: Applied 76) Fringe time is defined as any viewing period outside of prime time.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 266 Skill: Recall 77) Network advertising is suitable for advertisers whose products and services are widely distributed and who have relatively large media budgets.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 262 Skill: Applied 78) Network shows such as Hockey Night in Canada allocate a certain portion of the commercial time available to local stations for selective-spot sales.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 263 Skill: Applied 79) The most prominent and ongoing television sponsorship in Canada is Grey’s Anatomy.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 263 Skill: Applied 80) Coca- Cola is a major sponsor for American Idol.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 264 Skill: Applied

Copyright © 2015Pearson Canada Inc.

9–17

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

81) Adult contemporary is the most popular radio station format for those between 25 to 54 years old.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 278 Skill: Recall 82) Radio is usually referred to as a frequency medium.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 278 Skill: Applied 83) Early fringe viewing time would be noon to 4 p.m.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 282 Skill: Applied 84) In a reach plan, commercials are rotated through the various dayparts in accordance with a predetermined frequency.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 282 Skill: Applied 85) If an advertiser purchases 120 radio spots during the breakfast daypart at a 30-second rate of $80, the total cost would be $9 600 A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 285 Skill: Applied 86) What changes to the landscape of the Canadian television industry signal the potential loss of advertising revenues in the future?

Answer: Several trends are converging on the industry: consumers’ fascination with the internet has created opportunities for alternative forms of broadcasting shows; emerging technologies in the form of the PVR (personal video recorder) allow viewers to record shows and edit out commercials automatically; and mobile

Copyright © 2015Pearson Canada Inc.

9–18

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e technologies such as smartphones, iPods, and other portable music/video players are extremely popular with younger targets—the more time they spend with these devices, the less time they spend watching television.

Diff: 2 Type: ES Page Ref: 255 Skill: Applied 87) What are some of the advantages of advertising on television?

Answer: Advertisers can use the combination of sight and sound that television offers to create maximum impact on the viewing audience. It is a medium that is ideally suited for delivering an exciting and emotional message. Television’s reach is astounding, particularly in prime time. A commercial shown on any of the top 20 shows in Canada has the potential to reach more than one million viewers.

Further, television reaches a broad range of demographics and in many cases mirrors the Canadian population on specific demographics. Advertisers with large budgets can use television effectively to build frequency and be selective regarding markets they wish to advertise in. Television also offers creative flexibility. It is the appropriate medium for verifying a product’s claims because it can show the product being used, which provides proof. Convincing product demonstrations provide potential customers with a reason to buy the product.

Diff: 2 Type: ES Page Ref: 259 Skill: Applied 88) What is clutter and how can it be a disadvantage to television as an advertising medium?

Answer: Television clutter refers to the clustering of too many commercials during a program break or the scheduling of too many breaks during a program. The level of clutter has a direct bearing on both viewing patterns and message recall.

Viewers are likely to reach for the remote control when a program pauses for a commercial in a cluttered environment, or they are apt to leave the room temporarily. Network promos at every break that plug upcoming shows add to the clutter. Too much clutter negates much of the reach potential of television.

Diff: 2 Type: ES Page Ref: 261 Skill: Applied 89) Why would an advertiser consider selective-spot advertising instead of network advertising?

Answer: Selective-spot advertising offers two advantages to advertisers. First, it provides a network advertiser the opportunity for incremental coverage in key markets where more frequency is desired. At a regional level or local station level, stations fill in the balance of programming time with non-network programs and sell commercial time directly to clients wanting to advertise in that market. Second, advertisers with smaller budgets or advertisers following a key-market media

Copyright © 2015Pearson Canada Inc.

9–19

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e strategy can choose only markets that are important to their situation (e.g., markets where they have good distribution).

Diff: 2 Type: ES Page Ref: 262 Skill: Applied 90) Explain why advertisers look for sponsorship opportunities in television advertising.

Answer: Television sponsorship allows advertisers to take “ownership” of television properties that are targeted at their consumer audience. If the fit is right, the advertiser can leverage the sponsorship by extending the package to include consumer and trade promotions, and alternative media exposure.

Diff: 2 Type: ES Page Ref: 263 Skill: Applied 91) How do the networks handle the numerous orders from advertisers placed on or before the declaration date?

Answer: Major networks such as the CBC, CTV, and Global operate in a similar manner: they book time in mid- to late-June to cover a 52-week period starting in September. Once the new season’s program schedules are announced, the networks establish a declaration date (referred to as D-Day), at which time most advertisers place their orders for the coming broadcast year. Every effort is made to accommodate each order as placed. If overbooking should occur as a result of the volume of orders, preference is allocated according to the following priorities: (1) incumbency position, (2) length of contract, (3) volume of contract, and (4) start date.

Diff: 2 Type: ES Page Ref: 266 Skill: Applied 92) Explain how a reach plan can be applied to buying advertising.

Answer: The reach plan is an interesting concept for television. Commercials are rotated vertically throughout the day, and horizontally during the week. Since the demographics of the audience change throughout the day, the number of people reached in a particular target group will vary with the schedule. However, with respect to the entire viewing audience, reach will be maximized and the plan is purchased at a discounted rate, a trade-off that must be considered against daypart scheduling.

Diff: 2 Type: ES Page Ref: 269 Skill: Applied 93) How does a frequency discount differ from a continuity discount?

Answer: A frequency discount is usually earned through the purchase of a minimum number of spots over a specified period of time. Offered on a percentage basis, the discount increases with the number of spots purchased in the stated period of

Copyright © 2015Pearson Canada Inc.

9–20

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e time. For example, the purchase of 5 to 10 spots per week may earn a 5% discount, 11 to 15 spots per week a 10% discount, and so on. A continuity discount is earned when advertisers purchase a minimum number of designated spots over an extended period (usually 52 weeks, but the period may be shorter).

The value of the continuity discount may increase with the number of spots purchased. For example, purchasing a minimum number of prime-time spots, perhaps two per week over 52 weeks, may earn the advertiser a 4% discount. If that number increased to three spots, the discount may move to 6%, and so on.

Diff: 2 Type: ES Page Ref: 269 Skill: Applied 94) What impact will the growing penetration of specialty networks have on the future of advertising?

Answer: There are 47 specialty channels (29 English and 18 French) and 88 digital channels (76 English and 12 French) in Canada. These channels, combined with traditional broadcasters such as the CBC, CTV, Global, and TVA, provide so much choice for viewers that audiences have become fragmented. From an advertising perspective, television is viewed as the optimal mass medium—it delivers a large audience quickly. But the size of the audience for any particular show is diminishing when there are so many channels to choose from. In more positive terms, the specialty channels do offer some targeting capability, though the audience that the advertiser reaches is usually smaller than on conventional networks. Advertising rates are lower on specialty channels, and because of the targeting capability, advertisers are moving their dollars in that direction.

Diff: 2 Type: ES Page Ref: 255 Skill: Applied 95) Explain how media convergence will change the way advertisers buy television advertising in Canada.

Answer: Media convergence is when a single company buys a variety of media outlets.

For example, Bell Media has ownership interests in television, digital and radio: CTV (21 stations nationally), specialty channels such as Bravo and Discovery Channel, associated websites of all stations, as well as the CHUM group of radio stations. With convergence the premise is simple: If the advertiser doesn't generate sufficient reach in one medium (e.g. television), additional reach is possible by advertising on other media outlets controlled by the media company.

Package deals embracing a number of different media outlets produce economies of scale when buying media time and space. Advertisers will have to look beyond the 30-second commercial if they are to reach their target audience. The new combination might include a 30-second spot on a conventional network or cable channel, product placement in a show, sponsorship of a show downloaded from the internet, and an ad on a mobile newscast.

Diff: 3 Type: ES Page Ref: 257 Skill: Applied

Copyright © 2015Pearson Canada Inc.

9–21

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

96) What is a PVR and what impact might it have on the television industry?

Answer: A personal video recorder (PVR) allows consumers to digitally record and store their favourite shows for later viewing—a phenomenon referred to as video-ondemand. Commercials can be skipped in the recording process—a frightening thought for the networks and advertisers. Research studies from the United States reveal that early adopters of PVRs watch 60 percent of their television from their computer, and they skip 90 percent of the ads in these programs. Such a high degree of skipping is a concern to advertisers. Ownership of PVRs is increasing in Canada. From an advertiser’s perspective, any form of commercial avoidance is a potential issue. To compensate, advertisers are looking at options such as product placement in shows, branded content, and sponsorship opportunities.

Diff: 2 Type: ES Page Ref: 256 Skill: Applied 97) Explain how advertisers can use media optimizers to buy time on television more efficiently.

Answer: An optimizer is a software program that searches the immense Nielsen TV ratings database for BBM Bureau of Measurement database for daypart or program combinations that increase target reach (or reduce the cost of buying it).

According to Bill Harvey, a marketing expert, “All media optimization models require the input of media audience and cost data . . . and the input of the brand’s requirements in terms of budget, target audience, reach/frequency, types of programs . . . The model is a complex set of equations which considers all of this input, and [generates] one or more ‘best schedules’ within the budget constraint.”

Diff: 2 Type: ES Page Ref: 273 Skill: Recall 98) Compare the Adult Contemporary (AC) radio station format to Golden Oldies.

Answer: There are a variety of radio station formats. The content of each format is designed to appeal to a specific target group, usually defined by age and interests.

Adult contemporary stations play popular and easy listening music, current and past, and generally appeal to an audience in the 25- to 49-year-old range. Golden Oldies stations have stronger appeal among 35- to 45-year-olds. Based on the degree of competition to reach a specific demographic group, stations often change their format to reach an underserved target audience.

Diff: 2 Type: ES Page Ref: 277 Skill: Applied 99) How does a radio station determine its music program format?

Answer: The variety of radio formats in urban markets reflects each individual station’s desire to be successful. Finding the right niche (a niche that is underserved in a

Copyright © 2015Pearson Canada Inc.

9–22

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e market) makes a station attractive to a particular group of advertisers. The main considerations are the age demographics of the local market and the number of competitive stations appealing to similar target audiences. Based on the degree of competition for a listening audience (e.g., competition to reach a particular demographic group), stations often change their format to reach a target that is underserved.

Diff: 3 Type: ES Page Ref: 278 Skill: Applied 100) Describe product placement and provide one example.

Answer: Product placement refers to the visible placement of branded merchandise in television shows, films, and video games. In any given show, numerous products are given exposure; such exposure has more credibility with the audience than regular advertising. Coca-Cola is a prominent brand on American Idol, one of the most watched programs every year. Product placement is a growing form of marketing communications. In North America alone (in 2010), spending on product placement in all media amounted to $4.7 billion.

Diff: 3 Type: ES Page Ref: 264 Skill: Applied 101) What advantages can radio offer a local retail advertiser like a corner grocery store?

Answer: For local-market advertisers, the advantages of radio outweigh the disadvantages.

The low cost of radio advertising attracts local clients for whom advertising would otherwise not be affordable. Radio stations appeal to more precisely defined audiences so that dollars are not wasted reaching people outside the target. The audience can be reached throughout the day or week on several occasions and the cost of high frequency is reasonable. The lead time required is short so that copy changes can be made on short notice.

Diff: 3 Type: ES Page Ref: 278 Skill: Applied 102) Is radio a supplementary medium or can radio help build brands? Provide support for your answer.

Answer: Media planners often view radio as a supplementary medium, playing a supporting role so it can't be recommended for building brand awareness. Recent marketing research conducted by the Radio Marketing Bureau, however, along with some real case studies, strongly suggests that radio can definitely help increase awareness and build the brand. Consider what IKEA is doing. Using radio, IKEA was able to connect with current and potential customers “quickly, frequently, and cost effectively.” The addition of radio to the media mix had a positive impact on IKEA’s business. Using radio in key markets helped achieve high brand awareness along with strong sales growth. The company gained

Copyright © 2015Pearson Canada Inc.

9–23

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e efficiency, reach, and mileage for their media dollar by using radio as a lead component of their media strategy.

Diff: 2 Type: ES Page Ref: 280 Skill: Applied 103) Explain why message retention presents a challenge to effective radio advertising.

Answer: Several factors restrict the retention ability of radio messages. First, radio messages are short; there is limited opportunity for the communications of detail in 30 seconds. Second, radio is a background medium; therefore attention levels of listeners are potentially lower. Third, clutter is a problem, particularly on AM stations. Finally, radio is only a sound medium; as a result, there is no chance for the customer's mind to register the way a package looks, and there can be no product demonstration.

Diff: 2 Type: ES Page Ref: 281 Skill: Applied 104) What are some of the disadvantages of television advertising?

Answer: Television offers high reach potential and relatively low CPMs, but in real spending terms it is very expensive. The cost of a prime time 30-second commercial on the CBC can be as high as $52 000 while on the CTV network it can be as high as $110 000 (e.g., during a leading show such as Big Bang Theory), though the average costs are not nearly that high. In addition to the cost of media time, television advertising involves high production costs; the cost for a finished 30-second commercial ranges between $150 000 and $250 000. Network promos at every break that plug upcoming shows add to the clutter. Too much clutter negates much of the reach potential of television. For advertisers with target markets precisely defined in terms of a combination of demographic, psychographic, and geographic variables, the use of television advertising is wasteful, since the message reaches many people outside the target definition.

Creative limitations, commercial avoidance and audience fragmentation are also problems with television advertising. Finally, there is a long lead time to purchasing television spots and network contracts are usually non-cancellable.

Consequently, there is little flexibility in planning.

Diff: 2 Type: ES Page Ref: 260 Skill: Applied 105) Describe the potential discounts available to radio advertisers.

Answer: There are several discounts offered by television: frequency, volume and continuity discounts; seasonal discounts, package plans; and run of schedule.

Advertisers may be able to take advantage of: a frequency discount which is a discounted rate earned through the purchase of a minimum number of spots over a specified period of time; a volume discount where the advertiser is charged a lower rate for buying a large number of spots; or a continuity discount for

Copyright © 2015Pearson Canada Inc.

9–24

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e purchasing a minimum number of spots over a specified period (usually 52 weeks). For advertisers wishing to purchase spots in off peak seasons (i.e.: summer time), there is a seasonal discount. Networks and stations offer package plans to sell off fringe or daytime spots at a discount, sometimes in combination with a prime time purchase. When advertisers allow the station to run their ads at the station’s discretion, this is called a run of schedule discount.

Diff: 2 Type: ES Page Ref: 269 Skill: Recall 106) Explain how television ratings are determined.

Answer: Media-viewing data are collected by BBM Canada/Sondages BBM. BBM uses paper diaries to collect data on single weeks of viewing in 40 markets across Canada as well as people meter technologies to collect television audience data at the national level, and in key markets such as Toronto, Vancouver, Calgary, Edmonton, and Montreal. A people meter is a portable pager-sized device that is carried by a television viewer panel member. It automatically detects inaudible codes that broadcasters embed in their programming. At the end of each day, the device is attached to a base unit and the codes are downloaded to BBM for tabulation. Data collected from the people meter panel and diaries are used to determine the rating of a program. Ratings are audience estimates expressed as a percentage of a population in a defined geographic area. If a program has a rating of 20, it reaches 20% of that market’s population.

Diff: 2 Type: ES Page Ref: 257 Skill: Applied 107) What is branded content, and how has it impacted the story line of popular television shows? Support your answer with an example.

Answer: Branded content (sometimes called product integration or branded entertainment) takes placement a step further and integrates the brand into the script of the show.

Sometimes an advertiser can benefit from both of these opportunities at the same time. For example, an episode of Mad Men involved Jaguar automakers. The British automaker enjoyed several weeks in the limelight as part of the storyline on the show. The agency in the series, Sterling Cooper Draper Price, was pitching for its first car account. One week the talk about Jaguar was all positive but the storyline took a negative turn in the second week. A key member on the client side (Jaguar) told the agency (Sterling Cooper Draper Price) he would consider them for the account if he could have one night with the female agency office manager. After some back door maneuvering and office politics, the agency office manager agreed and the Jaguar account went to Sterling Cooper Draper Price.

That Jaguar was in the storyline can be viewed as being positive for the automaker, although some may think the story painted a negative picture for Jaguar.

Diff: 3 Type: ES Page Ref: 265 Skill: Applied

Copyright © 2015Pearson Canada Inc.

9–25

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

108) List the dayparts in television used to determine the rates for commercials.

Answer: Television can be divided into three broad time categories: prime time (7 to 11 p.m.); fringe time (early fringe 4 to 6 p.m. and late fringe 11 p.m. to 1 a.m.); and daytime (sign on to 4 p.m.). Most network programs are scheduled during prime time and the shows with the largest audience are shown between 8 and 10 pm. In early fringe time, viewing is lower among adults but higher among kids returning home from school. Late fringe has a smaller viewing audience. Daytime television has a relatively low reach potential, except for reaching young children.

Rates vary according to program and reach: highest during prime time and lowest during daytime.

Diff: 2 Type: ES Page Ref: 266 Skill: Applied 109) What impact are iPods and other portable devices having on radio advertising?

Answer: Younger age groups are tuning out radio altogether in favour of iPods, MP3 players, and computers where they control the content. A podcast is an audio recording posted online, much like a short radio show. A podcast is generally free, and a person can listen to it whenever they like. Radio stations have entered the pod world, as have content aggregators such as Apple and Yahoo. Some advertising models have emerged.

Diff: 2 Type: ES Page Ref: 275 Skill: Applied 110) In what ways does radio offer flexibility?

Answer: Radio offers flexibility in three areas: creative, time scheduling, and market scheduling. In terms of creative, copy changes can be made on short notice to meet the needs of changing competitive situations as well as the needs of local markets. With respect to scheduling, the lead time required is short (two weeks or less); however, demand for popular stations in urban markets is quite high.

Nonetheless, schedules can be “heavied up” (i.e., advertising can be increased) on short notice if the competitive situation so dictates. Strategically, radio is an ideal medium for advertisers who are following a key-market plan. Because stations are local and reach a specific demographic, an advertiser can select popular stations in each urban market it has designated as a priority. Consequently, the advertiser is not paying for any wasted reach.

Diff: 2 Type: ES Page Ref: 280 Skill: Applied

Copyright © 2015Pearson Canada Inc.

9–26

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

Chapter 10 1) Out-of-home media includes A) newspapers B) radio C) web banners D) packaging E) in-store advertising Answer: E Diff: 1 Type: MC Skill: Applied

Page Ref: 291

2) Outdoor advertising reaches a massive cross-section of a city's population A) 24 hours a day, 7 days a week B) during daylight hours C) when in a vehicle D) 24 hours a day, 5 days a week E) after dark Answer: A Diff: 2 Type: MC Page Ref: 291 Skill: Applied 3) The only advertising medium that is growing faster than out-of-home advertising is A) television B) radio C) online D) magazine E) transit shelter Answer: C Diff: 2 Type: MC Page Ref: 291 Skill: Recall 4) The most commonly used form of outdoor advertising is A) superboards B) bus shelter ads C) transit ads D) billboards E) posters Answer: E Diff: 1 Type: MC Page Ref: 292 Skill: Recall 5) The primary advantage of backlit posters is A) they are available as a display shipper B) they are inexpensive C) they compete with media columns

.

10–1

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e D) they are portable E) the image enhancement they offer Answer: E Diff: 2 Type: MC Page Ref: 293 Skill: Applied 6) The responsibility of COMB is to A) compile reliable circulation data B) ensure outdoor advertising is kept clean and neat C) regulate outdoor advertisers D) ensure outdoor advertisements stay within regulated sizes E) ensure cities are paid for outdoor advertising fees Answer: A Diff: 2 Type: MC Page Ref: 291 Skill: Recall 7) A type of superboard that rotates is called a A) bigboard B) spectacular C) 3-D billboard D) superflex E) trivision Answer: E Diff: 2 Type: MC Page Ref: 293 Skill: Recall 8) Superboards typically tend to generate A) moderate frequency and moderate reach B) moderate-to-high frequency and moderate-to-high reach C) low reach and low frequency D) low-to-moderate reach with heavy frequency E) low-to-moderate frequency with heavy reach Answer: D Diff: 3 Type: MC Page Ref: 293 Skill: Applied 9) Advertisers can purchase outdoor poster space either as single panels or as a(n) A) internet banner B) magazine ad C) newspaper ad D) television commercial E) showing Answer: E Diff: 2 Type: MC Page Ref: 292 Skill: Applied

.

10–2

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 10) In transit-shelter advertising, the colour reproduction is A) oversized B) generally not backlit C) ineffective on readership D) of inferior quality E) of superior quality Answer: E Diff: 2 Type: MC Page Ref: 294 Skill: Applied 11) Digital sign units display ads that are generally A) 10-15 seconds in length B) 2-3 seconds in length C) 30 seconds in length D) 60 seconds in length E) 5-10 seconds in length Answer: A Diff: 2 Type: MC Page Ref: 295 Skill: Recall 12) Rear-illuminated units positioned adjacent to high-traffic streets in the downtown core of major markets are referred to as A) mall posters B) transit shelters C) backlits D) street-level advertising E) banners Answer: D Diff: 2 Type: MC Page Ref: 295 Skill: Recall 13) Full-motion video displays that offer the flexibility to change creative quickly are available in A) transit stations only B) rural markets C) along major highways D) all markets E) key urban markets Answer: E Diff: 2 Type: MC Page Ref: 295 Skill: Applied 14) Mall posters are A) transit posters B) backlit posters C) ceiling hanging banners

.

10–3

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e D) window displays E) interactive video displays Answer: B Diff: 2 Type: MC Page Ref: 297 Skill: Recall 15) According to CBS Outdoor data, A) up to 90% of a city’s population drives cars and 10% takes buses B) up to 10% of a city’s traffic is concentrated on 90% of its streets C) up to 90% of a city’s traffic is concentrated on 10% of its streets D) up to 10% of drivers read 90% of outdoor advertising E) More than 90% of drivers read at least 10% of outdoor advertising Answer: C Diff: 3 Type: MC Page Ref: 297 Skill: Recall 16) Outdoor advertising provides advertisers with the opportunity to reach a A) large market inexpensively B) specific target market C) large cross-section of consumers D) young market niche E) target market by being creative Answer: C Diff: 3 Type: MC Page Ref: 297 Skill: Applied 17) To maximize the frequency of the message and extend the daily viewing by consumers, posters are often A) enlarged B) illuminated C) brightly coloured D) located on busy streets E) located near the downtown core Answer: B Diff: 3 Type: MC Page Ref: 292 Skill: Recall 18) Full-motion video displays are remotely programmable, which provides advertisers with the flexibility to A) change creative quickly B) turn the display on and off C) control the volume D) get more reach E) make the display interactive Answer: A Diff: 2 Type: MC Page Ref: 295 .

10–4

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 19) There are several advantages to outdoor advertising, one of which is A) prestige B) target flexibility C) stand-alone medium D) target market selectivity E) production costs Answer: B Diff: 2 Type: MC Page Ref: 297 Skill: Applied 20) Outdoor advertising can reinforce the message of other media by A) extending the total reach and frequency B) being obtrusive C) increasing target market selectivity D) minimizing costs E) increasing exposure to motorists Answer: A Diff: 2 Type: MC Page Ref: 297 Skill: Applied 21) All outdoor advertising rates are quoted on a A) 8-week basis B) weekly basis C) 12-week basis D) bi-weekly basis E) 4-week basis Answer: E Diff: 2 Type: MC Page Ref: 301 Skill: Recall 22) The nature of the outdoor advertising medium is such that to get attention it must rely on A) cost B) a captive audience C) instant visual impact D) backlit posters E) previous product awareness by the viewer Answer: C Diff: 3 Type: MC Page Ref: 298 Skill: Applied 23) The cost efficiency for outdoor advertising improves when A) daily travel patterns of people are considered B) cost of production is considered

.

10–5

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) back lights are not used D) outdoor advertising is less creative E) the content is constantly changing Answer: A Diff: 3 Type: MC Page Ref: 298 Skill: Applied 24) There are a few disadvantages to purchasing outdoor media, one of which is A) target reach and frequency B) geographic flexibility C) creative limitations D) compatibility with other media E) visual impact Answer: C Diff: 2 Type: MC Page Ref: 298 Skill: Applied 25) Some critics of outdoor advertising refer to it as “pollution on a stick” because it A) has low reproduction quality B) is flashy and expensive C) is not recyclable D) clutters the landscape E) has little creative impact Answer: D Diff: 2 Type: MC Page Ref: 299 Skill: Applied 26) Outdoor advertising space is sold in periods of A) twelve weeks B) eight weeks C) six weeks D) four weeks E) one week Answer: D Diff: 2 Type: MC Page Ref: 301 Skill: Recall 27) Media space is purchased on the basis of the advertising weight level desired by the advertiser, expressed in terms of A) frequency B) market size C) reach D) cost per thousand E) gross rating points Answer: E Diff: 2 Type: MC Page Ref: 301

.

10–6

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 28) A volume discount is a reduced rate A) for preferred customers B) only available to large companies C) based on the dollar amount purchased D) for extended buys, such as 12 weeks or more E) provided to those who pay cash Answer: C Diff: 2 Type: MC Page Ref: 303 Skill: Applied 29) If transit shelters sold by CBS Outdoor for a 4-week period at a 50 GRP level cost $42,000, then the total cost for a 12-week campaign would be A) $84,000 B) $252,000 C) $210,000 D) $168,000 E) $126,000 Answer: E Diff: 3 Type: MC Page Ref: 303 Skill: Applied 30) Interior cards are print advertisements contained in A) vending machines B) grocery carts C) public transit vehicles D) display shippers E) an info shelf Answer: C Diff: 1 Type: MC Page Ref: 303 Skill: Recall 31) Unlike other out-of-home media, only interior cards can offer advertisers this option: A) higher reproduction qualities B) interactivity C) longer copy D) more graphics E) either horizontal or vertical positioning Answer: C Diff: 2 Type: MC Page Ref: 303 Skill: Applied 32) A seventy poster is located A) in transit shelters B) at bus stations

.

10–7

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) on the back of the bus D) on the exterior of subway cars E) on the inside of surface transit vehicles Answer: C Diff: 2 Type: MC Page Ref: 303 Skill: Applied 33) One type of bus wrap is called A) a backlit B) a fullback C) a quarterback D) a tail poster E) a backwrap Answer: B Diff: 2 Type: MC Skill: Applied

Page Ref: 304

34) When speaking of transit wraps, a mural covers A) a whole transit shelter B) the inside of a bus C) a wall in a subway station D) a whole bus E) one side of a bus Answer: E Diff: 3 Type: MC Page Ref: 304 Skill: Applied 35) A transit shelter unit consists of A) vertical interior cards B) exterior bus posters C) Two street level backlit posters D) wall banner E) superboard Answer: C Diff: 3 Type: MC Page Ref: 294 Skill: Applied 36) Standard size specifications encourage cross-usage of various out-of-home media.

The station poster is the same size as the A) king poster B) bus mural C) transit shelter poster D) seventy poster E) platform poster Answer: C Diff: 2 Type: MC Page Ref: 305

.

10–8

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 37) One of the advantages of transit as an advertising medium is A) no creative limitations B) a relaxed environment C) high target market selectivity D) continuous exposure E) unlimited space to work with Answer: D Diff: 3 Type: MC Page Ref: 306 Skill: Applied 38) Posters located on the subway wall opposite waiting riders are called A) subway backlits B) triples C) platform posters D) murals E) interior posters Answer: C Diff: 2 Type: MC Page Ref: 305 Skill: Recall 39) When a single advertiser has control of every advertising space in a subway station, this is called A) station ration B) station creation C) station domination D) station aggravation E) station sensation Answer: C Diff: 1 Type: MC Page Ref: 306 Skill: Recall 40) Commuters using transit tend to be creatures of routine. As a result, an advantage of transit advertising is A) high number of impressions on the target market B) target market specificity C) media environment is often crowded D) large advertising space to work with E) covers urban areas only Answer: A Diff: 2 Type: MC Page Ref: 306 Skill: Applied 41) Transit riders cut across all demographics, with the heaviest concentration in the A) female category

.

10–9

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) adult category C) professional category D) youth category E) senior category Answer: B Diff: 2 Type: MC Skill: Recall

Page Ref: 306

42) Transit advertising are often the choice of media planners when the target market A) tends to be busy and distracted B) is not brand-loyal C) is more highly educated D) consists of a small demographic E) is fairly broad in scope Answer: E Diff: 2 Type: MC Page Ref: 307 Skill: Applied 43) One of the disadvantages of making transit a media choice is A) selective market coverage B) low reach and frequency C) often crowded interior environment D) large amount of space for creative E) messages cannot be easily changed Answer: C Diff: 2 Type: MC Page Ref: 307 Skill: Applied 44) The first thing to consider when purchasing transit space is A) where competitors are advertising B) volume discounts C) the size of the target market D) target market demographics E) the desired weight level in each market Answer: E Diff: 3 Type: MC Page Ref: 308 Skill: Applied 45) GRP stands for A) gross regional points B) geographic regional purchases C) gross rating points D) gross rating purchases E) geographic rating points Answer: C Diff: 2 Type: MC Page Ref: 308

.

10–10

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Recall 46) Transit rates and discounts are available for set periods of time, with the discount A) set at a fixed amount B) increasing with number of advertising cards C) increasing with the time commitment D) only available upon certain payment terms E) depending on previous dealings with the advertiser Answer: C Diff: 3 Type: MC Page Ref: 308 Skill: Applied 47) The type of discount available to transit advertisers that meet a 12-, 24-, or 52-week time commitment is referred to as a A) reach plan B) total audience plan C) volume discount D) frequency discount E) continuity discount Answer: E Diff: 2 Type: MC Page Ref: 308 Skill: Recall 48) Cinema advertising is becoming a big hit with companies seeking to reach A) younger consumers B) children C) seniors D) married adults E) baby boomers Answer: A Diff: 2 Type: MC Page Ref: 310 Skill: Recall 49) The place where you will find wild postings is A) in the movie theatre B) on the hoarding of construction sites C) in washroom stalls D) in a sports arena E) in shopping malls Answer: B Diff: 2 Type: MC Page Ref: 311 Skill: Recall 50) Clorets gum chose this medium because the audience profile was in an environment where one is self-conscious that bad breath might occur.

A) food court video screens

.

10–11

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) airport display advertising C) washroom advertising D) arena advertising E) elevator advertising Answer: E Diff: 2 Type: MC Page Ref: 310 Skill: Applied 51) Budweiser advertised in washrooms because A) it was more affordable B) it’s close to where purchase decisions to buy its products are made C) their customers would find it humorous D) there was a captive audience E) people tend to read in washrooms Answer: B Diff: 2 Type: MC Page Ref: 309 Skill: Applied 52) According to Point-of-Purchase Advertising International, in the United States, the percentage of brand purchase decisions made in-store is A) 58% B) 70% C) 61% D) 89% E) 42% Answer: B Diff: 2 Type: MC Page Ref: 312 Skill: Recall 53) Home Hardware uses what it calls a demomercial to A) upsell customers to a higher-priced product B) encourage impulse purchases C) highlight the benefit of products unique to the company D) demonstrate how to use a product E) teach customers how to perform do-it-yourself project Answer: C Diff: 3 Type: MC Page Ref: 313 Skill: Applied 54) A shelf-talker is an example of a(n) A) audiovisual display B) station poster C) display card D) wild posting E) transit ad Answer: C

.

10–12

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Applied

Type: MC

Page Ref: 315

55) Large department stores like Future Shop, Best Buy and Canadian Tire are integrating this type of point-of-purchase advertising into their stores.

A) shopping cart advertising B) Ad-tiles C) vending machine D) digital communications E) display shipper Answer: D Diff: 2 Type: MC Page Ref: 313 Skill: Applied 56) The in-store advertising and merchandising concepts used by supermarkets and convenience stores are designed to A) capture a fast-moving target market B) stimulate impulse purchases C) fit on modular display racks D) compete with big-box stores E) appeal to specific demographics Answer: B Diff: 2 Type: MC Page Ref: 315 Skill: Applied 57) At-Retail advertising has many merits, including A) creative flexibility B) message receptiveness C) many different types simultaneously displayed D) placement always effective E) no waste Answer: B Diff: 2 Type: MC Page Ref: 315 Skill: Applied 58) When impulse buying is not a factor, point-of-purchase can still influence buying decisions by A) making consumers want more than they came for B) making consumers feel good about themselves C) using long copy D) informing and educating consumers E) being interactive Answer: D Diff: 3 Type: MC Page Ref: 316 Skill: Applied

.

10–13

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 59) A display of Ritz crackers beside a new flavour of Campbell's soup is an example of A) end-aisle display B) display shipper C) new product introduction D) cross-promotion E) interactive display Answer: D Diff: 3 Type: MC Page Ref: 316 Skill: Applied 60) In order for a Coca-Cola field sales representative to get a display erected at a Safeway store, he/she must A) select a good location B) ensure the store is not already cluttered C) provide free product D) develop a cross-promotion E) secure permission from Safeway’s head office Answer: E Diff: 3 Type: MC Page Ref: 318 Skill: Applied 61) Out-of-home media is always located outdoors.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 291 Skill: Applied 62) Many forms of out-of-home advertising actually reach the consumer when they are in a position to make a buying decision.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 291 Skill: Applied 63) COMB’s audit of outdoor media is based on municipal or provincial traffic counts.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 291 Skill: Recall 64) Outdoor posters are often referred to as billboards.

A) True B) False

.

10–14

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: True Diff: 2 Skill: Applied

Type: TF

Page Ref: 292

65) At night, exterior bus posters will take on a three-dimensional effect.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 293 Skill: Applied 66) Street-level advertising helps reach people in hard-to-target urban areas.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 295 Skill: Applied 67) Wall banners cannot be removed and reused.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 296 Skill: Applied 68) Significant exposure levels for outdoor advertising occur in the first 4 weeks of a campaign.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 297 Skill: Applied 69) One of the weaknesses of outdoor advertising is that it’s not a good complementary medium.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 297 Skill: Applied 70) A weight level of 50 GRPs delivers exposure opportunities equal to half the population of the market.

A) True B) False Answer: True

.

10–15

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 3 Skill: Applied

Type: TF

Page Ref: 301

71) Interior transit cards located above windows have a vertical orientation.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 303 Skill: Applied 72) Advertising rates for wraps are the same as other forms of transit ads.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 304 Skill: Recall 73) A disadvantage of transit advertising is that it can’t reach a mass audience quickly.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 306 Skill: Recall 74) Spectaculars can be an example of airport display advertising.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 309 Skill: Applied 75) Outdoor advertising can be effective in generating product awareness when used as a primary medium, particularly if a shotgun media strategy is used.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 298 Skill: Applied 76) A light viewer of television, who is hard to reach regardless of the weight level purchased, may be easier to reach via outdoor advertising.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 298 Skill: Applied

.

10–16

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

77) Transit advertising has the flexibility of using longer copy.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 303 Skill: Applied 78) Research shows that nearly 75% of all purchase decisions are made right in the store.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 315 Skill: Recall 79) Some displays and point-of-purchase materials never get placed in the store.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 316 Skill: Recall 80) A king poster is located on the tail of surface transit vehicles.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 303 Skill: Recall 81) Interior cards are printed advertisements located in bars and restaurants.

A) True B) False Answer: False Diff: 1 Type: TF Page Ref: 303 Skill: Recall 82) Outdoor advertising space is typically purchased on a market-by-market basis.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 297 Skill: Applied 83) Transit advertising rates are unaffected by the number of markets being covered.

A) True B) False

.

10–17

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: False Diff: 2 Skill: Applied

Type: TF

Page Ref: 307

84) On a market-by-market basis, the dollar outlay for transit media space is relatively high.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 307 Skill: Applied 85) It can be effective for an upscale brand like Mercedes-Benz to use wild postings slapped up on the hoarding of construction sites.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 311 Skill: Applied 86) Why would an advertiser invest in the high cost of producing a backlit poster?

Answer: A backlit poster is a luminous sign containing advertising graphics printed on translucent vinyl material. Colour reproduction and impact are among the advantages offered by a backlit poster. At night, the lighted display takes on a three-dimensional effect. The primary advantage of backlit posters is the image enhancement they offer; there is strong visual impact in the day and at night. The cost of producing backlit posters is quite high, but the opportunities for exposure are estimated to be twice that of a standard poster.

Diff: 2 Type: ES Page Ref: 293 Skill: Applied 87) Describe the factors that are contributing to the popularity of outdoor advertising.

Answer: The specialization and fragmentation in other media has caused advertisers to shift dollars toward outdoor. Many planners now pay more attention to when and why consumers come in contact with media and advertising messages, and believe the proximity and timing of advertising exposure are important. Outdoor ads can reach people when they are ready to buy. Finally, new technologies are transforming a static medium to a dynamic and interactive one.

Diff: 3 Type: ES Page Ref: 291 Skill: Applied 88) How can outdoor advertising reinforce the message of other media?

Answer:

.

10–18

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Outdoor advertising offers compatibility with other media and can reinforce the message of other media in two ways. First, it can extend the total reach and frequency of a campaign beyond what a single medium can do. Second, outdoor advertising can increase the total number of impressions made on a target market that may consume another medium lightly.

Diff: 3 Type: ES Page Ref: 297 Skill: Applied 89) Outdoor media space is purchased on the basis of the advertising weight level desired by the advertiser. Explain what this means.

Answer: Advertising weight level is expressed in terms of GRPs—gross rating points. This is a weighting factor that combines reach and frequency variables. In the case of outdoor advertising, GRP is defined as the total circulation of a specific outdoor advertisement expressed as a percentage of the market's population. For example, on a weekly basis, a weight level of 100 GRPs offers exposure opportunities to the whole population of a market. A weight level of 50 GRPs offers one half the exposure opportunities.

Diff: 3 Type: ES Page Ref: 301 Skill: Applied 90) Explain the meaning of volume discounts and continuity discounts as it applies to outdoor advertising.

Answer: When purchasing media, outdoor media usually offer advertisers volume discounts, a reduced rate based on dollar volume purchased, and continuity discounts, which are a reduced rate for extended buys such as 12 weeks, 16 weeks, etc.

Diff: 2 Type: ES Page Ref: 303 Skill: Applied 91) Why are transit riders an attractive audience for advertisers?

Answer: Transit riders are a captive audience that often have a need for visual stimulation.

Bored with travelling on buses and subways cars, riders frequently read advertising messages often over and over again. For habitual transit users, there is a potential for the message to be seen repeatedly.

Diff: 2 Type: ES Page Ref: 303 Skill: Applied 92) What are the two options available in the exterior bus poster format?

Answer: The first option is a king poster located only on the side of surface transit vehicles only. It is a large format 139 inches by 30 inches. The second option is called a seventy poster, which is a smaller format that is either located on the side or tail of surface transit vehicles. Exterior bus posters are very mobile: they move

.

10–19

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e through every area of a city and are seen by motorists, transit riders, and pedestrians.

Diff: 2 Type: ES Page Ref: 303 Skill: Applied 93) Compare spectaculars (superboards) to regular billboards.

Answer: Regular billboards are the most common form of outdoor advertising. They are made of stripped sheets of specially designed paper to withstand all kinds of weather. Regular billboards are strategically located on major routes and are often illuminated. Advertisers can purchase poster space either in single panels or in multiple panels. In contrast, a spectacular is an oversized display unit. If it includes space extensions it is called a superboard. Spectaculars can be made of either paper or vinyl material. A recent innovation is the computer-designed 3-D billboard that produces a product replica as large as 16 metres high. The new trivision board is a three-sided board that rotates. Superboards are ideal for prime locations where no new billboard space is available. Since spectaculars are usually one-of-a-kind structures fabricated at great expense, they require a longterm commitment from the advertiser.

Diff: 2 Type: ES Page Ref: 292, 293 Skill: Applied 94) One of the advantages of outdoor advertising is targeting flexibility. Explain what this means.

Answer: Advertisers that want to advertise in only certain areas can do so with outdoor advertising. Outdoor units are typically purchased on a market-by-market basis. In major cities, advertisers can use outdoor posters to target neighbourhoods based on a combination of demographic and geographic characteristics. They can use outdoor advertising to supplement a national campaign in another medium.

Diff: 2 Type: ES Page Ref: 297 Skill: Applied 95) Discuss options for advertising in arenas and stadiums.

Answer: Advertising in arenas and stadiums can reach a more targeted audience. Options include signs fixed on arena boards, backboard signs placed on backstops and outfield fences, etc. Companies pay megabucks to adorn arenas with their name.

Rogers Arena in Vancouver, the AirCanada Centre in Toronto and the Bell Centre in Montreal are some examples. In hockey arenas, ads can be underneath the ice, behind the players’ benches, and in the penalty box. At ballparks, rotating signs behind home plates are popular, and there are courtside signs on basketball courts.

Diff: 2 Type: ES Page Ref: 310 Skill: Applied 96) What is the main reason for the use of point-of-purchase advertising?

.

10–20

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: Point-of-purchase advertising is a form of at-retail media. It is advertising at or near the paying area at retail stores. The main reason is to remind consumers of a product just before they make a purchase decision. It influences last-minute purchase decisions, especially for unplanned purchases. Studies conducted by Point-Of-Purchase Advertising International in the United States reveal that “70% of all purchase decisions at mass merchandisers are made in-store.” Therefore, a compelling advertising message at just the right time could lead to an immediate purchase.

Diff: 2 Type: ES Page Ref: 312 Skill: Applied 97) Describe the innovative in-store advertising and merchandising options available to supermarket chains and convenience store chains.

Answer: Among the options are grocery cart advertising and floor ads. Grocery cart advertising uses full-colour posters attached to the ends of shopping carts.

Shoppers facing an approaching cart are exposed to the message while the shopper pushing the cart also sees a message from inside the cart. Floor ads are portable floor decals—often called ad-tiles—that carry advertising messages.

They will not scuff or peel. Floor ads cut through the clutter of other forms of instore advertising.

Diff: 2 Type: ES Page Ref: 315 Skill: Applied 98) What is meant by the term "display shipper"?

Answer: A display shipper is a cardboard shipping carton containing a predetermined amount of merchandise, which, when assembled, forms a temporary display at the point of purchase. Designed to encourage impulse purchases, display shippers are often used to merchandise seasonal products.

Diff: 2 Type: ES Page Ref: 314 Skill: Recall 99) Explain the primary function of an exterior store sign.

Answer: The primary function of a store sign is to identify the business. The style and lettering of the sign becomes familiar to customers and helps draw them to the business. The logo style of the business sign is integrated with other forms of store advertising. The golden arches of McDonald’s is an example of a familiar sign that can be seen and identified from a great distance by motorists or pedestrian traffic. The same logo appears on menu boards and promotional signs inside stores. Store signs and logos play a prominent role in message strategy and execution.

Diff: 2 Type: ES Page Ref: 313 Skill: Applied

.

10–21

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

100) How can product manufacturers get their point-of-purchase materials erected in store?

Answer: Manufacturers generally require permission from the retail store's head office to erect display units in corporate-owned retail stores. Even if permission is granted, if and how display units will be utilized is often left to the discretion of store managers. Securing co-operation from retail managers is the responsibility of the field sales force.

Diff: 2 Type: ES Page Ref: 316 Skill: Applied 101) Street-level advertising can help reach consumers in hard-to-target urban areas.

Explain.

Answer: Street-level advertising is illuminated from behind and are positioned adjacent to high-traffic streets in the downtown core of major markets. Many of these signs are now popping up along sidewalks and in public squares where there is a good deal of pedestrian foot traffic during the daytime. The signs are visible to vehicle traffic as well. Street-level ads are stand-alone structures that contain only the advertising message.

Diff: 2 Type: ES Page Ref: 295 Skill: Applied 102) Explain how outdoor advertising can be effective in generating product awareness.

Provide an example to support your answer.

Answer: When used as a primary medium, particularly if a shotgun media strategy is used (e.g., if an advertiser wanted to reach all adults aged 18 to 49 in specific markets), outdoor advertising can be effective in generating product awareness. As an example, watchmaker TAG Heuer uses outdoor posters to make a quick impression on upscale consumers in key urban markets. These outdoor ads reach busy executives and professionals who commute to downtown Toronto each day.

The outdoor ads complement TAG Heuer’s magazine campaign where more product details are communicated.

Diff: 2 Type: ES Page Ref: 298 Skill: Applied 103) The costs of outdoor advertising are high in two areas. Explain.

Answer: First, the costs of producing finished materials for vehicles, such as backlit posters, mall posters, and transit shelters, are high (printing on a plastic vinyl material is expensive). Second, the absolute cost of buying media space is high. A four-week showing of horizontal outdoor posters in Toronto CMA at a 25-GRP level costs $139,569. At 100-GRP level the cost increases to $478,521. Costs can add up quickly.

.

10–22

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Recall

Type: ES

Page Ref: 299

104) Explain how content flexibility is an advantage of outdoor advertising. Provide an example.

Answer: Due to advancing technology, an additional advantage of outdoor media is content flexibility. Unique to digital signs and full-motion video displays is the fact that content can be changed quickly, based on market conditions, competitive activity, or the advertiser's desire to simply display a different message. A fast-food restaurant, for example, could deliver a breakfast message in the morning and a dinner message in the afternoon. Digital signs and full-motion video screens are now part of the urban advertising landscape.

Diff: 2 Type: ES Page Ref: 298 Skill: Applied 105) How might outdoor advertising have a negative impact on the image of a product?

Answer: Advertising in a quality magazine can enhance a brand's image. In contrast, the association of a product with an outdoor medium that clutters the landscape may have a negative impact. Many critics of outdoor advertising refer to it as "pollution on a stick." Outdoor advertising lacks prestige relative to other forms of advertising.

Diff: 1 Type: ES Page Ref: 299 Skill: Applied 106) Explain how impulse purchasing is an advantage of at-retail media.

Answer: In the case of frequently purchased products such as candies, snack foods, toiletries, and beverages, at-retail media advertising stimulates impulse purchasing. Furthermore, research studies indicate that more than two-thirds of all purchase decisions are made right in the store. Such unplanned behaviour creates ample opportunity for point-of-purchase advertising to influence last-minute decisions. It is often referred to as the “last chance” medium.

Diff: 2 Type: ES Page Ref: 315 Skill: Applied 107) Why is market coverage of transit advertising an advantage?

Answer: In any given market, transit advertising covers all sectors of the community industrial, commercial, and residential areas, where other forms of out-of-home media may not be available. Transit riders cut across all demographics, with the heaviest among adults. The combination of high reach and frequency of transit advertising gives advertisers an extremely high number of impressions on the target market.

Diff: 2 Type: ES Page Ref: 307 .

10–23

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 108) Explain how transit advertising is purchased.

Answer: Transit advertising space is sold on the basis of 4 week minimums and is available on a market-by-market basis. The first thing to consider when purchasing transit space is the weight level desired in each market. Transit weight is expressed in terms of GRPs (gross rating points), with GRP referring to the total circulation of a showing expressed as a percentage of a market's population. As mentioned, all rates are based on the purchase of a four-week period, starting with a base rate for each market purchased. Usually a continuity discount is available to advertisers that meet predetermined time commitments, with the percentage of the discount increasing with the time commitment.

Diff: 2 Type: ES Page Ref: 308 Skill: Applied 109) If an advertiser was to purchase exterior king bus posters in Toronto at a level of 75 GRPs at a cost of $110 000 and at a level of 50 GRPS in Hamilton at a cost of $12 500, what would be the cost of a 16-week campaign?

Answer: All rates are based on the purchase of a four-week period.

Toronto: $110 000 + Hamilton: $12 500 ______________________ = $122 500 (for four weeks) x 4 = $490 000 for a 16-week campaign Diff: 3 Type: ES Page Ref: 308 Skill: Applied 110) What are "wild postings" and what unique advantages can they offer advertisers?

Answer: Wild postings are ads that are slapped on the hoarding at construction sites. Once the domain of concert and sports promoters, they are now a strategic element of many mainstream advertisers' media plans. They give a brand a hip, urban feel that appeals to the hard-to-reach youth market. Unfortunately, they can be torn down easily. Owners of the construction site are paid for using their property.

Much like an over-sized outdoor poster, the advertising message appears on the boards that surround the construction site.

Diff: 2 Type: ES Page Ref: 311 Skill: Applied

.

10–24

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

Chapter 11 1) Among the forms of direct response advertising available, the most common is A) direct mail B) DRTV C) telemarketing D) direct response print E) catalogues Answer: A Diff: 1 Type: MC Page Ref: 320 Skill: Recall 2) In terms of net advertising revenues in Canada, direct mail ranks A) second B) third C) fourth D) fifth E) sixth Answer: C Diff: 2 Type: MC Page Ref: 320 Skill: Applied 3) In terms of net advertising revenues in Canada, direct mail generates A) $1.24 billion B) $2.2 billion C) $0.5 billion D) $3.0 billion E) $3.5 billion Answer: A Diff: 2 Type: MC Page Ref: 320 Skill: Recall 4) One of the major forms of direct-response advertising includes A) telemarketing B) promotions C) point-of-purchase transactions D) personal selling E) radio commercials Answer: A Diff: 1 Type: MC Page Ref: 321 Skill: Applied 5) The shift to direct response advertising follows on the heels of companies adopting software technology that encourages database management techniques and the implementation of A) customer loyalty points programs

.

11–1

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) customer value programs C) social media programs D) customer relationship management programs E) viral marketing campaigns Answer: D Diff: 2 Type: MC Page Ref: 320 Skill: Applied 6) Direct response advertising is advertising through any medium designed to generate a response by any means, such as mail, television, telephone, or print ad, that is A) inexpensive B) measurable C) creative D) profitable E) national Answer: B Diff: 2 Type: MC Page Ref: 320 Skill: Applied 7) A 60-second commercial seen on conventional television stations encouraging people to try a new skin cream is an example of A) direct response television (DRTV) B) telemarketing C) catalogue marketing D) direct mail E) direct-response print Answer: A Diff: 2 Type: MC Page Ref: 321 Skill: Recall 8) The use of direct mail is widespread because it’s a medium that enables the sender to A) use leaflets B) include images C) reach a local audience D) send short messages E) personalize messages Answer: E Diff: 2 Type: MC Page Ref: 321 Skill: Applied 9) Direct mail is a form of advertising communicated to prospects via A) statement stuffers B) television C) catalogues D) telecommunications E) the postal service

.

11–2

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: E Diff: 2 Skill: Applied

Type: MC

Page Ref: 321

10) A statement stuffer is an additional offer that rides along with the delivery of another offer or with the delivery of a A) newspaper B) brochure C) monthly statement D) reply card E) postage-paid return envelope Answer: C Diff: 1 Type: MC Page Ref: 322 Skill: Recall 11) A statement stuffer is also known as a A) leaflet B) catalogue C) bounce back D) folder E) flyer Answer: C Diff: 2 Type: MC Page Ref: 322 Skill: Recall 12) Specialized or individually prepared direct mail offers sent directly to prospects are called A) personal packs B) single-piece direct mail C) solo direct mail D) cooperative direct mail E) customized direct mail Answer: C Diff: 2 Type: MC Page Ref: 323 Skill: Recall 13) Typically, folders and leaflets are printed on A) newsprint B) heavier stock C) translucent paper D) lightweight letter stock E) white paper Answer: B Diff: 2 Type: MC Page Ref: 322 Skill: Applied

.

11–3

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 14) A popular means for demonstrating how a product works, how nice a vacation resort is, or how well an automobile performs is a A) DVD B) reply card C) sales letter D) folder E) flyer Answer: A Diff: 2 Type: MC Page Ref: 322 Skill: Applied 15) In business-to-business markets, advertisers find ________ useful for demonstration purposes.

A) flyers B) reply cards C) DVDs D) sales letters E) folders Answer: C Diff: 2 Type: MC Page Ref: 322 Skill: Applied 16) Compared to solo direct mail, co-operative direct mail A) is commonly employed in business-to-business communication B) is more expensive C) has lower response rate D) has a higher response rate E) consists of specialized offers sent directly to prospects Answer: C Diff: 2 Type: MC Page Ref: 324 Skill: Applied 17) Response rates tend to be much higher for solo direct mail than for co-operative direct mail because it A) stands alone B) is personalized C) offers better discounts D) has high reach E) is geographically flexible Answer: B Diff: 2 Type: MC Page Ref: 324 Skill: Applied 18) Co-operative direct mail has proven to be one of the most effective forms of print media for A) increasing telephone inquiries

.

11–4

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) generating responses to coupons C) driving website traffic D) generating trial purchases E) selling expensive automobiles Answer: D Diff: 2 Type: MC Page Ref: 324 Skill: Applied 19) A envelope containing a variety of offers from non-competitive products is an example of A) solo direct mail B) DRTV C) co-operative direct mail D) bounce back E) selective direct mail Answer: C Diff: 1 Type: MC Page Ref: 324 Skill: Applied 20) One of the advantages to using direct mail is A) editorial support B) control of delivery C) audience selectivity D) the cost per exposure E) image Answer: C Diff: 2 Type: MC Page Ref: 325 Skill: Applied 21) The national reach potential is very high for A) telemarketing B) DRTV C) bounce backs D) co-operative direct mail E) selective direct mail Answer: D Diff: 2 Type: MC Page Ref: 325 Skill: Applied 22) Canada Post’s research indicates that 89 percent of people will open a direct mail piece if it A) comes from a local company B) comes from a company they know C) comes from a Fortune 500 Company D) looks intriguing E) has a stamp on it

.

11–5

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: B Diff: 2 Skill: Recall

Type: MC

Page Ref: 324

23) Canada Post's research indicates that 79 per cent of people will open a direct mail piece if A) their name is on it B) it is an unusual shape C) the offer is on the envelope D) the envelope is full colour E) the envelope is thick Answer: A Diff: 2 Type: MC Page Ref: 324 Skill: Recall 24) A proper mailing list offers an advertiser not only demographic selectivity but also the opportunity to A) enhance its image B) ensure quality of reproduction C) include long copy D) deliver messages to specific geographic locations E) control the delivery date Answer: D Diff: 2 Type: MC Page Ref: 325 Skill: Applied 25) The success of a direct mail campaign is measured in one way—the sales generated by the mailing. As a general rule, business-oriented direct mail receives _____of responses within the first week of the mailing A) 25% of responses B) 10% of responses C) 15% of responses D) 20% of responses E) 5% of responses Answer: C Diff: 2 Type: MC Page Ref: 325 Skill: Recall 26) In comparison to magazines, direct mail A) needs more research B) must solicit support from newspapers C) costs less per exposure D) must grab attention without editorial assistance E) doesn’t need to be as attractive Answer: D Diff: 2 Type: MC Page Ref: 326 .

11–6

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 27) To reach its target audience, specific neighbourhoods can be targeted with A) social networking B) newspaper media C) postage-paid envelopes D) rented address lists E) geomapping Answer: E Diff: 2 Type: MC Page Ref: 329 Skill: Applied 28) One of the disadvantages of direct mail is A) lack of measurability B) lack of advertiser control C) clutter D) its reputation as "junk mail" E) lack of creative flexibility Answer: D Diff: 2 Type: MC Page Ref: 327 Skill: Applied 29) Three basic steps are involved in buying direct mail: obtaining a proper prospect list, conceiving and producing the mailing piece, and A) distributing the final version B) purchasing media space C) creating the catalogue D) obtaining a 1-800 number E) analyzing the response rate Answer: A Diff: 1 Type: MC Page Ref: 327 Skill: Applied 30) The backbone of an entire direct mail campaign is the A) inexpensive costs B) direct mail list C) quality of the paper D) lack of competition E) Canada Post system Answer: B Diff: 2 Type: MC Page Ref: 327 Skill: Applied 31) When Shoppers Drug Mart accumulates considerable data on customers through its Optimum Card, they are able to create A) a merge/purge

.

11–7

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) a house list C) a list broker D) an external list source E) a response list Answer: B Diff: 2 Type: MC Skill: Applied

Page Ref: 327

32) When numerous lists are purchased, they are often combined and stripped of duplicate names through this process: A) response listing B) compiling C) list brokering D) house listing E) merge/purge Answer: E Diff: 2 Type: MC Page Ref: 328 Skill: Applied 33) A buyer can provide the profile of the target customer and receive a list of possible prospects on a cost-per-name basis from a A) list broker B) direct response agency C) co-operative direct mail D) Canada Post E) house list Answer: A Diff: 2 Type: MC Page Ref: 328 Skill: Recall 34) A response list is a list of A) magazine subscribers B) current customers C) publication information D) proven mail-order buyers E) brokers Answer: D Diff: 1 Type: MC Page Ref: 329 Skill: Recall 35) Targeting an audience based on demographic, psychographic and behavioural data is known as A) geomapping B) house list C) response list D) circulation list

.

11–8

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e E) merge/purge Answer: A Diff: 2 Type: MC Skill: Recall

Page Ref: 329

36) Lists prepared from government, census, telephone, warranty, and other publication information are referred to as A) house lists B) circulation lists C) merged lists D) response lists E) compiled lists Answer: E Diff: 2 Type: MC Page Ref: 329 Skill: Applied 37) Circulation lists are magazine subscription lists that target potential customers by A) number of children B) interest or activity C) income D) age E) city Answer: B Diff: 2 Type: MC Page Ref: 329 Skill: Recall 38) The most common means of direct mail delivery is Canada Post. One of the options Canada Post offers for direct mail is A) First-class mail B) Purolator C) parcel post D) priority post E) express Answer: A Diff: 2 Type: MC Page Ref: 331 Skill: Applied 39) The practice of including a pre-printed reply card or envelope which is postage-paid is classified as A) first-class mail B) express post C) business reply mail D) third class mail E) priority post Answer: C Diff: 2 Type: MC Page Ref: 331 .

11–9

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Recall 40) There are two types of direct-response television, one of which is A) short form B) interactive C) branded D) corporate E) traditional Answer: A Diff: 2 Type: MC Page Ref: 333 Skill: Applied 41) Long-form commercials are commonly referred to as A) infomercials B) time-dependent commercials C) demo commercials D) prolonged commercials E) consumer-response commercials Answer: A Diff: 3 Type: MC Page Ref: 333 Skill: Applied 42) One of the advantages of direct-response television advertising includes its A) production values B) credibility C) opportunity for demonstration D) image E) its lifespan Answer: C Diff: 2 Type: MC Page Ref: 334 Skill: Applied 43) An infomercial may last as long as A) 60 seconds B) 60 minutes C) 5 minutes D) 12 minutes E) 90 seconds Answer: B Diff: 2 Type: MC Page Ref: 333 Skill: Recall 44) In direct response television advertising, unsold inventory available on short notice at a lower cost is called A) leftover time B) free time

.

11–10

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) discounted inventory D) remnant time E) circulation waste Answer: D Diff: 2 Type: MC Skill: Recall

Page Ref: 334

45) One purpose of outbound telemarketing is to A) generate classified ads B) develop new accounts C) take orders D) answer customer inquiries E) deal with outdoor products and services Answer: B Diff: 2 Type: MC Page Ref: 338 Skill: Applied 46) A central operation from which a company operates its inbound and outbound telemarketing programs is a A) call centre B) clearing house C) advertising agency D) fulfillment organization E) support contact centre Answer: A Diff: 2 Type: MC Page Ref: 337 Skill: Recall 47) Catalogues are distributed by large retail chains and other direct-marketing organizations. The largest catalogue in Canada is from A) Canadian Tire B) Harry Rosen C) Mountain Equipment Co-op D) IKEA E) Sears Answer: E Diff: 2 Type: MC Page Ref: 340 Skill: Applied 48) Direct mail is a good medium for A) distributing free samples B) using colour C) cost per exposure D) editorial support E) long lifespan Answer: A

.

11–11

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Applied

Type: MC

Page Ref: 325

49) Advantages of first-class mail include A) prestige B) geographic flexibility C) lifespan D) cost savings E) the return of undeliverable mail Answer: E Diff: 2 Type: MC Page Ref: 331 Skill: Applied 50) Given that telemarketing is not a well-liked by consumers, perhaps the future success of telemarketing lies in A) co-operative telemarketing B) PIPEDA C) inbound telemarketing D) solo telemarketing E) outbound telemarketing Answer: C Diff: 3 Type: MC Page Ref: 338 Skill: Applied 51) One element of a successful telemarketing is to A) read the script verbatim B) focus on new customers C) establish rapport and gain attention quickly D) use long sentences E) treat all customers identically Answer: C Diff: 3 Type: MC Page Ref: 339 Skill: Applied 52) Organizations wanting to reach female homeowners who are interested in decorating would be interested in a circulation list of A) subscribers to a home decorating magazine B) loyalty card members of a home decorating store C) a report on home decorating businesses D) compiled lists of homeowners E) proven mail order buyers Answer: A Diff: 3 Type: MC Page Ref: 329 Skill: Applied 53) Audience selectivity of direct mail reduces

.

11–12

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) cost B) advertiser control C) circulation waste D) duplication E) measurability Answer: C Diff: 2 Type: MC Skill: Applied

Page Ref: 325

54) Factors that contribute to the high absolute costs of direct mail include A) marketing research B) agency fees C) circulation D) fulfillment E) applicable taxes Answer: D Diff: 3 Type: MC Page Ref: 326 Skill: Recall 55) A "house list" is defined as an internal customer list. An example would be A) the census B) the book-of-the-month club buyers C) the telephone directory D) a magazine subscription list E) a retail loyalty program such as Shoppers Optimum Answer: E Diff: 3 Type: MC Page Ref: 327 Skill: Applied 56) According to experts, producing a 30-minute infomercial costs at least A) $150,000 B) $20,000 C) $10,000 D) $5,000 E) $50,000 Answer: A Diff: 2 Type: MC Page Ref: 334 Skill: Recall 57) Direct home shopping is a service provided by cable television channel A) HGTV B) TSN C) TSC D) WTN E) PBS Answer: C

.

11–13

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Recall

Type: MC

Page Ref: 334

58) A list of Chatelaine Magazine subscribers is an example of a A) merge/purge B) compiled list C) house list D) circulation list E) response list Answer: D Diff: 2 Type: MC Page Ref: 329 Skill: Recall 59) One of the disadvantages of direct-response television is A) late night scheduling B) fulfillment C) cost D) its inflexibility E) consumer skepticism about the message Answer: E Diff: 2 Type: MC Page Ref: 334 Skill: Applied 60) An insert that is strip-glued (a gum-like glue) directly into a publication is called a A) sample B) gatefold C) flexform D) reply card E) tip-in Answer: E Diff: 2 Type: MC Page Ref: 336 Skill: Recall 61) Direct response advertising is a form of advertising that communicates messages directly to prospective customers.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 320 Skill: Recall 62) Direct response advertising is advertising through any medium designed to generate a response by any means that is measurable.

A) True B) False Answer: True

.

11–14

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Applied

Type: TF

Page Ref: 320

63) Direct mail is a form of advertising communicated to prospects only through the postal service.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 321 Skill: Applied 64) As an advertising medium, direct mail ranks second.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 320 Skill: Recall 65) Co-operative direct mail has a higher response rate than solo direct mail.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 324 Skill: Applied 66) Direct mail fits between traditional mass media and online media.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 324 Skill: Applied 67) A credit-card holder being offered special savings on a hotel package via a monthly charge-account statement is an example of a bounce back.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 322 Skill: Applied 68) Telemarketing involves the use of telecommunications.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 321 Skill: Recall

.

11–15

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

69) A DVD may be sent to a serious prospect for more expensive products.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 322 Skill: Applied 70) Unaddressed mail offers some degree of personalization and garners a higher response rate than personalized mail.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 323 Skill: Applied 71) Statement stuffers are bounce backs.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 322 Skill: Recall 72) Selective direct mail is another term for solo direct mail.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 323 Skill: Applied 73) Co-operative direct mailing has proven to be on of the most effective forms of print media for generating trial purchase.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 324 Skill: Applied 74) Almost ninety percent of people are likely to open direct mail if it looks interesting.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 324 Skill: Recall 75) A good mailing list results in minimal circulation waste.

.

11–16

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) True B) False Answer: True Diff: 3 Skill: Applied

Type: TF

Page Ref: 325

76) Direct mail can be effective for national advertisers who want to target a geographic area where sales are lower than average.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 325 Skill: Applied 77) When the absolute costs of direct mail are tallied, they are usually lower than other print media.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 326 Skill: Applied 78) Direct mailings to businesses may be discarded, particularly if several mailings from different suppliers are received at the same time.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 327 Skill: Applied 79) It is estimated that less than 50 percent of the success or failure of any mail campaign hinges upon the database that is used.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 327 Skill: Applied 80) The merge/purge process combines numerous purchased lists without regard for duplicate names.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 328 Skill: Recall

.

11–17

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 81) A list of book-of-the-month-club buyers is an example of a compiled list.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 329 Skill: Applied 82) Circulation lists are prepared from government, census, telephone, warranty, and other publication information.

A) True B) False Answer: False Diff: 1 Type: TF Page Ref: 329 Skill: Recall 83) First class mail is a way of distributing direct mail.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 331 Skill: Applied 84) Infomercials can last for up to 90 minutes..

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 333 Skill: Applied 85) The Sears catalogue is distributed to more than three million households.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 340 Skill: Recall 86) Name and briefly describe at least three major forms of direct response advertising.

Answer: Direct mail is a form of advertising communicated to prospects via the postal service or independent delivery agents.

Direct response print is a response-oriented message delivered to prospects by magazine or newspaper advertisements.

Direct response television (DRTV) is a form of advertising communicated to prospects via television commercials (e.g., infomercials or messages seen on cable channels, or 60 second commercials seen on conventional television stations that encourage people to buy something immediately).

.

11–18

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Direct response interactive involves placing ads on the internet that include a call to action. When people click on a banner ad, they are redirected to a site where additional information is provided.

Telemarketing involves the use of telecommunications to promote the products and services.

Catalogues are important communications vehicles for retail organizations.

Catalogues promote the sale of goods or motivate consumers to visit stores.

Diff: 2 Type: ES Page Ref: 321 Skill: Applied 87) Why has the use of direct mail become widespread.

Answer: The use of direct mail is widespread because it enables senders to personalize messages with the prospect’s name, send lengthy messages (e.g., copy-oriented sales messages along with reply cards), and obtain a high degree of geographic coverage economically. There are numerous options available to companies wishing to use direct mail, and these can be combined to form a compelling package of information.

Diff: 2 Type: ES Page Ref: 321 Skill: Applied 88) What is meant by co-operative direct mail?

Answer: Co-operative direct mail contains special offers from non-competing products.

Consumer goods marketers commonly employ this method. A typical mailing would contain coupons for a variety of grocery, drug, and related products, for example. Co-operative direct mailing has proven to be one of the most effective forms of print media for generating trial purchases.

Diff: 2 Type: ES Page Ref: 324 Skill: Applied 89) How is the success of a direct mail campaign measured?

Answer: The success of a direct mail campaign is measured in one way—the sales generated by the mailing. As a general rule, business-oriented direct mail receives 15 percent of the responses within the first week of the mailing. Early responses, used in conjunction with historical conversion patterns, can be used to project sales for a longer period of time.

Diff: 2 Type: ES Page Ref: 325 Skill: Applied 90) What are the three basic steps involved in buying direct mail?

Answer: The three basic steps involved in buying direct mail are obtaining a proper prospect list, conceiving and producing the mailing piece, and distributing the final version. Both the accuracy and definition of the list can have a significant

.

11–19

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e bearing on the success or failure of a campaign. When designing a direct mail package, the advertiser usually engages the services of a specialist organization.

The most common method of distribution is Canada Post.

Diff: 2 Type: ES Page Ref: 327 Skill: Recall 91) Explain the function of a list broker.

Answer: Prospects that have a history of responding to mail offers, particularly those whose demographics closely mirror those of current customers, are attractive. A list broker can assist in finding those prospects. The buyer provides the broker with the profile of the target customer, and the broker supplies a list of possible prospects on a cost per thousand basis. List brokers charge more if additional requests on variables for prospects are made.

Diff: 2 Type: ES Page Ref: 328 Skill: Applied 92) Direct response television advertising does not always try to sell something. List other objectives of direct response advertising.

Answer: A good commercial will meet other objectives in addition to selling. These objectives include generating leads, driving traffic to retail stores, creating awareness for new products, and protecting or enhancing brand image.

Advertisers combine a brand message with the DRTV technique of encouraging action.

Diff: 2 Type: ES Page Ref: 334 Skill: Applied 93) Why are direct mail lists considered to be the backbone of campaigns?

Answer: Both the accuracy and definition of the list can have a significant bearing on the success or failure of a campaign. It is estimated that as much as 60 percent of the success or failure of any mail campaign hinges on the database that is used.

Companies recognize that it costs much more to acquire a new customer than it does to keep an existing one. As a result, companies are compiling databases to keep track of existing customers and are forming relationships with them through the mail and through electronic means. Direct mail lists are secured from both internal and external sources.

Diff: 2 Type: ES Page Ref: 327 Skill: Applied 94) Compare the two types of telemarketing.

Answer: Inbound telemarketing refers to the reception of calls by the order desk or customer inquiry and direct response calls often generated through the use of tollfree numbers. Outbound telemarketing, on the other hand, refers to calls that a

.

11–20

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e company makes to its customers in order to develop new accounts, generate sales leads, and even close a sale.

Diff: 2 Type: ES Page Ref: 337 Skill: Applied 95) Why is the future success of telemarketing probably in inbound telemarketing?

Answer: Given that telemarketing is not well-liked by consumers, telemarketing’s future success lies in inbound calls. Organizations will have to integrate 1-800 telephone numbers into their other forms of advertising, encouraging consumers to make an inbound call. Alternatively, as many companies are now doing, the creation and implementation of customer-relationship management programs allow for communications with customers in a variety of formats.

Diff: 2 Type: ES Page Ref: 338 Skill: Applied 96) What is the primary advantage to telemarketing? And, what is the major drawback?

Answer: The primary advantage of telemarketing is that it can complete a sale for less cost than is needed to complete a sale using such techniques as face-to-face communications or mass advertising. Also, the response rate for telemarketing is about 100 times greater than direct mail. A drawback is the negative perceptions people have about this communication technique. Consumers tend to dislike the persistence and abusiveness of callers. Negative consumer attitudes persist even though legitimate organizations are trying to contact consumers in a very professional manner.

Diff: 3 Type: ES Page Ref: 338 Skill: Applied 97) What is dimensional direct mail?

Answer: Dimensional mail can take any form other than the typical flat piece of mail. An object may be in the envelope, for example, or a unique box or package contains the mail offer. For this reason, dimensional mail stands out from standard-looking direct mail pieces.

Diff: 2 Type: ES Page Ref: 324 Skill: Recall 98) One of the advantages of direct mail is high reach. Explain why this is an advantage.

Answer: Solo direct mailings reach everyone the advertiser would like to reach—unlike other media, which reach only a portion of the target. For example, a life insurance or credit card organization that wants to reach all university graduates may be able to obtain access to such a list of students. For co-operative direct mailings (i.e., mass distribution to selected Canadian households), the national

.

11–21

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e reach potential is very high. In this case, there is much circulation waste but the response rates are usually adequate to cover the costs of mass mailings.

Diff: 2 Type: ES Page Ref: 325 Skill: Applied 99) Explain the disadvantages of direct-response television advertising.

Answer: The first disadvantage is time—even a 60-second commercial faces time constraints. The second is lifespan—commercials are fleeting. Frequency is necessary. The third is image—consumers are often skeptical about the message, and find claims unbelievable.

Diff: 2 Type: ES Page Ref: 334 Skill: Application 100) Explain the advantages and disadvantages of a solo direct mail strategy.

Answer: Solo, or selective direct mail refers to specialized or individually prepared directmail offers sent directly to prospects. The advantage is that due to the high degree of personalization, response rates are much higher than for co-operative direct mailings. In local markets, solo direct mail can target potential customers in the immediate area of a retailer or service. Using a shotgun approach, the mailing increases awareness of the business and often includes an incentive to encourage action by perspective customers. A disadvantage of solo direct mail is that all the cost is absorbed by the advertiser. In co-operative direct mail, the costs are shared by all the advertisers participating in the mailing.

Diff: 2 Type: ES Page Ref: 323 Skill: Applied 101) What factors affect the production costs of a direct mail package?

Answer: Various factors such as size, shape, number of pieces, use of colour, and other variables influence cost. Costs are usually quoted on a per-thousand basis, with larger runs incurring lower unit costs. Once printed, the cost of stuffing and sealing envelopes, affixing labels, sorting, binding and stacking the mailer, and distribution must be factored in.

Diff: 2 Type: ES Page Ref: 329 Skill: Applied 102) Describe three kinds of lists.

Answer: A response list is a list of proven mail-order buyers. Such lists include people who buy from a book-of-the-month club or those who order from co-operative direct mailing firms. Circulation lists are magazine subscription lists that target potential customers by an interest or activity. A publishing company, for example, rents its list of subscribers to any other business that is interested in a similar target.

Compiled lists are prepared from government, census, telephone, warranty, and

.

11–22

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e other publication information. These are the least expensive of the lists and are not always personalized.

Diff: 2 Type: ES Page Ref: 329 Skill: Recall 103) Explain why direct mail would be attractive to advertisers that want to deliver messages to customers one-on-one.

Answer: Using direct mail, advertisers can pinpoint and reach targets that are precisely defined in terms of demographics. Direct mail also offers high reach compared to other media. Solo direct mailings are personalized and reach everyone that the advertiser would like to reach. A proper mailing list offers an advertiser not only demographic selectivity but geographic flexibility as well. And finally, direct mail delivered to the household does not compete with other media at the time they are received.

Diff: 2 Type: ES Page Ref: 325 Skill: Applied 104) Provide highlights of the Canadian Marketing Association’s (CMA) code of privacy.

Answer: The CMA’s privacy code gives every Canadian the right to: consent before one’s personal information is transferred to a third party; access information held about him/her; obtain the source of one’s name on marketing lists; correct erroneous information; remove one’s name from telephone and direct mail marketing lists.

Diff: 2 Type: ES Page Ref: 338 Skill: Applied 105) Explain how companies like Shoppers Drug Mart develop house lists.

Answer: A house list is an internal customer list generated by a company. A popular way of creating this list is through customer sign-up to a loyalty program. Shoppers’ Optimum rewards program collects considerable data about the buying behaviour of its customers enrolled in the rewards program. From the data, customized mail offers can be directly sent to current customers who have agreed to receive such offers.

Diff: 2 Type: ES Page Ref: 327 Skill: Applied 106) The most common means of delivery for direct mail is through the postal system.

Describe three mailing options offered through the postal system.

Answer: Although it is more costly, some direct mail is delivered using first-class mail.

The advantages of first-class mail are quicker delivery (if time is important), the return of undeliverable mail, and mail forwarding if the addressee has moved.

Most direct mail pieces—whether single pieces, bulk items, catalogues, or co-

.

11–23

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e operative mailings—are delivered using third-class mail. The advantage over first-class mail is the cost savings. Finally, there is business reply mail. For the benefit of the recipient, an individual can respond at the expense of the advertiser.

A pre-printed reply card or envelope is included in the direct mail package.

Diff: 2 Type: ES Page Ref: 331 Skill: Applied 107) Describe the advantages of long-form direct-response television advertising.

Answer: Direct-response television (DRTV) advertising has the ability to communicate in detail the benefits of a product/service being advertised. Infomercials, or longform DRTV, allow for lengthier and more dramatic demonstrations. These commercials encourage consumers to move closer to a buying decision.

Infomercials are now entertaining with less hard sell than in the past. The effectiveness of the ad can be measured immediately. Finally, serious mainstream marketing companies are now investing in DRTV. Diff: 2 Type: ES Page Ref: 333 Skill: Applied 108) Describe direct home shopping.

Answer: Direct home shopping is a service provided by cable television channel TSC (The Shopping Channel). Messages to prospects are shown in the form of close-up shots of the product, or, in the case of clothing and accessories, by models wearing the goods. Athletic equipment is often demonstrated on this channel.

Details about how to order are broadcast frequently and a 1-800 number is usually shown on the screen along with a description of the product. Home shopping offers the shopper a great deal of convenience.

Diff: 2 Type: ES Page Ref: 334 Skill: Applied 109) How can companies make their telemarketing campaigns more successful?

Answer: Companies should target present customers with whom they have a relationship.

The script should be adjusted to suit the audience. Telemarketers should be prepared, and be able to get attention and establish a quick rapport with customers. They should also empathize with customers. Telemarketing scripts should be short and simple, and make it easy for the receiver to say yes (by offering a free trial, discount or return option).

Diff: 2 Type: ES Page Ref: 339 Skill: Applied 110) Explain the advantages that bounce backs offer.

Answer: A bounce back (statement stuffer) is an advertisement distributed via monthly account statements or with delivery of another offer. Capitalizing on the ease of

.

11–24

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e purchasing by credit, such mailings make it very convenient for the prospective customer to take action. The prospect is reached at a very low cost. Usually, the credit card number is the only information that the seller requires.

Diff: 2 Type: ES Page Ref: 322 Skill: Applied

.

11–25

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

Chapter 12 1) In the digital universe, control has shifted from the advertiser to the A) marketer B) partner C) customer D) web host E) search engine Answer: C Diff: 2 Type: MC Page Ref: 346 Skill: Applied 2) In Canada, we now spend ________ of our media time online.

A) 12% B) 5% C) 25% D) 8% E) 28% Answer: E Diff: 2 Type: MC Page Ref: 347 Skill: Recall 3) The Interactive Advertising Bureau reports that in 2011 online advertising revenues reached A) $7.5 billion B) $0.5 billion C) $1.5 billion D) $2.0 billion E) $2.6 billion Answer: E Diff: 1 Type: MC Page Ref: 347 Skill: Recall 4) Statistics Canada reveals that________ percent of Canadians have internet access at home.

A) 79 percent B) 25 percent C) 50 percent D) 90 percent E) 65 percent Answer: A Diff: 1 Type: MC Page Ref: 347 Skill: Recall

.

12–1

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 5) The country whose population spends the most amount of time per month on the internet is the A) United States B) China C) Canada D) United Kingdom E) South Korea Answer: C Diff: 1 Type: MC Page Ref: 347 Skill: Applied 6) Proctor and Gamble recognizes the value of online advertising and allocates percent of their marketing budget to it.

A) 25-35 B) 50-60 C) 75-85 D) 40-45 E) 90-95 Answer: A Diff: 3 Type: MC Page Ref: 346 Skill: Recall 7) In terms of time spent with media on a weekly basis, Canadians spend the most time A) browsing the internet B) reading the newspaper C) browsing through magazines D) watching television E) listening to the radio Answer: D Diff: 2 Type: MC Page Ref: 347 Skill: Recall 8) As of 2012, the percentage of Canadian internet users who have ordered goods online is A) 25 percent B) 20 percent C) 43 percent D) 56 percent E) 35 percent Answer: D Diff: 1 Type: MC Page Ref: 352 Skill: Recall 9) Marketers are trying to figure out to what degree engagement with a brand results in A) positive publicity B) brand awareness

.

12–2

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e C) viral social media D) liking a brand E) consumer purchases Answer: E Diff: 3 Type: MC Skill: Applied

Page Ref: 349

10) The internet is a true source of information and entertainment for consumers and is a(n) _________ medium.

A) intrusive B) participative C) interruptive D) exclusive E) collaborative Answer: B Diff: 1 Type: MC Page Ref: 349 Skill: Recall 11) Using the same ad online that is used offline is A) a good strategy to increase purchase B) more effective for the online ad C) less effective for the online ad D) a good strategy to engage the consumer E) allows the consumer to participate online Answer: C Diff: 3 Type: MC Page Ref: 349 Skill: Applied 12) Interactive communications are more about _______________ than about the number of impressions.

A) selling B) engagement C) targeting D) measurement E) response rates Answer: B Diff: 3 Type: MC Page Ref: 349 Skill: Applied 13) What type of targeting online is Molson using when it advertises on TSN.ca for its Canadian and Coors Light brands?

A) daypart B) behavioural C) psychographic D) demographic E) physiological

.

12–3

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: D Diff: 2 Skill: Applied

Type: MC

Page Ref: 349

14) Prime time for online advertising is A) commuting to work B) at home during the early evening C) during the day D) late evening E) commuting home from work Answer: C Diff: 2 Type: MC Page Ref: 350 Skill: Applied 15) Behavioral targeting online is based on A) previous online purchases B) the internet provider C) daypart D) demographics E) previous surfing patterns Answer: E Diff: 2 Type: MC Page Ref: 350 Skill: Applied 16) Yahoo! and Facebook are examples of A) measurement companies B) portal sites C) cookies D) sponsors E) ad networks Answer: B Diff: 2 Type: MC Page Ref: 351 Skill: Applied 17) the number of times an ad is sent to a visitor of a web page is referred to as: A) a visit B) download rate C) a clickthrough D) an ad view E) the clickthrough rate Answer: D Diff: 2 Type: MC Page Ref: 353 Skill: Recall 18) Impressions are the standard way of determining A) online sales

.

12–4

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) the size of the audience C) the browsing period D) exposure of an ad E) the clickthrough rate Answer: D Diff: 2 Type: MC Skill: Applied

Page Ref: 353

19) A measurement that allows an advertiser to judge the response to an online ad is referred to as A) a clickthrough B) a browsing period C) an interstitial D) a visit E) an ad view Answer: A Diff: 2 Type: MC Page Ref: 353 Skill: Recall 20) The percentage of impressions that result in an ad click is the A) visit rate B) click rate C) clickthrough rate D) impression rate E) ad view rate Answer: B Diff: 3 Type: MC Page Ref: 353 Skill: Applied 21) In order to track an individual's surfing behavior, a(n) ________ is placed on a consumer's web browser or hard drive.

A) impression B) cookie C) clickthrough D) ad view E) click Answer: B Diff: 1 Type: MC Page Ref: 350 Skill: Applied 22) One of the primary benefits of online advertising is A) advertiser control B) low CPM C) geographic flexibility D) creative flexibility E) targeting

.

12–5

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: E Diff: 3 Skill: Applied

Type: MC

Page Ref: 350

23) This is the type of advertising, in which the advertiser’s listing is placed within or alongside search results in exchange for paying a fee each time someone clicks on the listing A) sponsorship B) contract-based C) view D) pay-per-click E) banner Answer: D Diff: 2 Type: MC Page Ref: 354 Skill: Recall 24) Types of banner ads include rectangle, big box, leaderboard and A) vertical B) perfect square C) landscape D) oblong E) skyscraper Answer: E Diff: 2 Type: MC Page Ref: 354 Skill: Applied 25) Generally, response rates or click rates are higher for this type of banner: A) rectangular B) big box C) animated D) leaderboard E) pre-roll Answer: C Diff: 2 Type: MC Page Ref: 354 Skill: Recall 26) This type of banner employs multiple panels that are launched when the banner is clicked on.

A) videostrip banner B) leaderboard C) window ad D) expandable banner E) push down banner Answer: D Diff: 2 Type: MC Page Ref: 354 Skill: Recall

.

12–6

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

27) There are several interactive communications objectives. The one which the internet does a great job at is A) building brand image B) offering incentives C) generating leads D) creating brand awareness E) conducting transactions Answer: D Diff: 2 Type: MC Page Ref: 351 Skill: Applied 28) Video advertising is attractive to advertisers because A) visitors can skip the ads B) visitors are forced to view the ad C) advertisers can create unique commercials D) advertisers can show longer ads E) video ads are similar to television advertising Answer: E Diff: 3 Type: MC Page Ref: 355 Skill: Applied 29) If an ad was to move within a transparent layer over the page and play within a specific area of the page, it would be an example of A) a floating ad B) a permission-based email C) a banner ad D) a window ad E) a videostrip Answer: A Diff: 2 Type: MC Page Ref: 355 Skill: Recall 30) A form of display advertising that includes animation, sound, video, and interactivity is called A) animated media B) real-time media C) electronic media D) rich media E) social media Answer: D Diff: 2 Type: MC Page Ref: 354 Skill: Recall 31) When an advertiser commits to an extended relationship with another website, it is called a(n)

.

12–7

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) ad supplier B) partnership C) sponsorship D) strategic alliance E) limited partnership Answer: C Diff: 2 Type: MC Skill: Recall

Page Ref: 356

32) Success of an email ad depends on A) quality of the email list B) going viral C) length of the email D) how informative the content is E) sponsorship Answer: A Diff: 2 Type: MC Page Ref: 356 Skill: Applied 33) Mercedes-Benz Canada used this online advertising strategy when viewers participated by using keyboard sequences to drive the action.

A) search advertising B) display advertising C) video ads D) sponsorships E) content marketing Answer: E Diff: 3 Type: MC Page Ref: 357 Skill: Applied 34) If during one million impressions, there are 20 000 clicks on the banner, the clickthrough rate is A) 8% B) 1% C) 10% D) 2% E) 4% Answer: D Diff: 2 Type: MC Page Ref: 353 Skill: Applied 35) Unilever uses this online advertising: aside from its corporate website, each of its brands has a page.

A) an interstitial B) a microsite C) a media banner

.

12–8

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e D) a podcast E) rich media Answer: B Diff: 1 Type: MC Skill: Recall

Page Ref: 359

36) This banner format is a tall, skinny oblong that appears at the side of a web page.

A) navigation bar B) superstitial C) interstitial D) rectangle E) skyscraper Answer: E Diff: 2 Type: MC Page Ref: 354 Skill: Applied 37) When a user chooses to receive messages from a particular advertiser, the advertising strategy is called A) permission-based email B) banner advertising C) YouTube D) advertiser-generated message E) sponsored email Answer: A Diff: 1 Type: MC Page Ref: 356 Skill: Recall 38) A couple of high school students generating their own ad for the Apple iPod Mini and posting it on YouTube is an example of A) sponsorship B) a videostrip C) content marketing D) a pre-roll ad E) a post-roll ad Answer: C Diff: 2 Type: MC Page Ref: 357 Skill: Recall 39) Dove's video ad titled "Dove Beauty Sketches" was viewed by more than 100 million people when it was A) posted on social media B) played in movie theatres C) posted on Dove's website D) shown on Entertainment Tonight E) aired on television Answer: A

.

12–9

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Applied

Type: MC

Page Ref: 369

40) An advantage of online advertising is A) high click rates B) very little cluttering C) privacy is well controlled D) large amount of consumer data is collected E) depth of content Answer: E Diff: 3 Type: MC Page Ref: 360 Skill: Applied 41) A disadvantage of online advertising is A) targeting capability B) reach C) click rates D) timing E) tracking Answer: C Diff: 3 Type: MC Page Ref: 360 Skill: Applied 42) Kraft Canada commits to an extended relationship with TSN.ca for the annual Kraft Celebration Tour. This is an example of a A) leaderboard B) permission-based e-mail C) sponsorship D) podcast E) banner ad Answer: C Diff: 2 Type: MC Page Ref: 356 Skill: Applied 43) Unlike television commercials, the webisode A) is animated B) is shorter than 30 seconds C) appears on YouTube D) focuses on selling the product E) focuses more on creativity to engage users Answer: E Diff: 2 Type: MC Page Ref: 357 Skill: Recall 44) Ads placed during an online video are called A) floating ads

.

12–10

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) mid-roll ads C) webcasts D) sponsorships E) leaderboards Answer: B Diff: 2 Type: MC Skill: Recall

Page Ref: 355

45) When online users choose to receive messages from particular advertisers, this is an example of A) sponsored e-mail B) opt-in direct email C) sponsorship D) spam E) banners Answer: B Diff: 2 Type: MC Page Ref: 356 Skill: Recall 46) The most popular model for pricing ads on the internet is A) pay-for-performance B) CPM C) flat fee D) sponsorship E) CPC Answer: B Diff: 2 Type: MC Page Ref: 361 Skill: Recall 47) CPM is the price charged for displaying an ad A) 100 times B) 1 million times C) 100,000 times D) 1,000 times E) 2,000 times Answer: D Diff: 2 Type: MC Page Ref: 361 Skill: Recall 48) Pricing models based on cost-per-click are becoming more popular, but they are plagued with all kinds of A) security issues B) performance issues C) technical problems D) usage restrictions E) click fraud

.

12–11

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: E Diff: 2 Skill: Applied

Type: MC

Page Ref: 363

49) The Interactive Advertising Bureau is actively promoting a new set of terms to measure social media efforts. One of these terms is A) viral click rate B) conversation reach C) clickthrough D) visits E) click rates Answer: B Diff: 2 Type: MC Page Ref: 369 Skill: Recall 50) The shift in control over communications caused by social media is called A) brand democratization B) YouTube channels C) company blogs D) spamming E) fan pages Answer: A Diff: 3 Type: MC Page Ref: 364 Skill: Applied 51) The number of unique visitors per month in all sites related to a conversation in which the advertiser is participating is called A) interaction rate B) tracking C) time spent D) conversation-relevant link E) conversation reach Answer: E Diff: 2 Type: MC Page Ref: 369 Skill: Recall 52) QR codes on products can be read by smartphones with a downloaded QR code reader. To access additional information about the product using its QR code, the user must A) sign in to a website B) take a picture of a product’s barcode C) access their email D) click on to the product’s website E) have a location tracker on their smartphone Answer: B Diff: 2 Type: MC Page Ref: 373 .

12–12

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Recall 53) A promotion communicated through text messaging involves A) “call to action” short codes B) video messaging C) QR codes D) downloaded pictures E) company blogs Answer: A Diff: 2 Type: MC Page Ref: 371 Skill: Applied 54) Users who click on a brand’s “Like” button on Facebook become members of the brand’s A) microsite B) fan page C) company blog D) webisode E) YouTube channel Answer: B Diff: 2 Type: MC Page Ref: 365 Skill: Applied 55) AXE uses social media through A) display advertising B) an AXE website C) a dedicated channel on YouTube D) sponsorship E) viral marketing Answer: C Diff: 2 Type: MC Page Ref: 366 Skill: Applied 56) Google’s service AdWords is used to determine the ads that appear on the search results page. If awareness is the advertiser’s objective, Google’s costs are based on A) cost-per-click B) cost per thousand impressions C) cost-per-acquisition D) cost per million impressions E) flat-fee Answer: B Diff: 2 Type: MC Page Ref: 367 Skill: Applied 57) Many companies are reluctant to invest in social media communications because A) there is a lack of sound measuring devices for ROI

.

12–13

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) all age groups are engaged C) there is a high cost in engaging users D) there is a lack of control over indirect contact with potential consumers Answer: A Diff: 2 Type: MC Page Ref: 367 Skill: Recall 58) Banner ads purchased on Facebook can be paid according to: A) size of banner B) type of banner C) cost-per-click D) cost-per-million E) length of contract Answer: C Diff: 2 Type: MC Page Ref: 367 Skill: Applied 59) Sponsorships of contests on a website are more likely to use this type of fee system.

A) flat fee B) microsite C) cost per thousand rate D) sponsorship E) pay-per-performance Answer: A Diff: 3 Type: MC Page Ref: 363 Skill: Recall 60) A mutual funds company posts articles on its website on a regular basis to discuss market issues and recommend financial products. This is an example of a A) podcast B) webisode C) company blog D) banner ad E) microsite Answer: C Diff: 2 Type: MC Page Ref: 366 Skill: Applied 61) Internet is just ahead of television and radio in terms of the amount of time adults spend with each medium on a weekly basis.

A) True B) False Answer: False Diff: 1 Type: TF Page Ref: 346 Skill: Recall

.

12–14

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 62) In contrast to the younger generation, Canadian boomers are not replacing familiar traditional technology like television.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 347 Skill: Applied 63) The effectiveness of internet advertising is widely accepted.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 348 Skill: Applied 64) Advertisers must effectively integrate online advertising with other forms of advertising.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 349 Skill: Applied 65) Targeting online is very difficult because it is hard to collect data on website visitors.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 349 Skill: Applied 66) The internet should be viewed as a complementary medium that supports communication strategies that are implemented by traditional media.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 349 Skill: Applied 67) Behavioral targeting depends on uploading a cookie.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 350 Skill: Applied

.

12–15

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 68) The internet is now the most popular means of delivering information about sales promotion offers that act as immediate motivation to buy a product.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 352 Skill: Applied 69) Search advertising is also known as pay-per-click advertising.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 354 Skill: Applied 70) Conversation reach is based on visitors per year.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 369 Skill: Applied 71) Clickthrough refers to the number of times users click on a banner ad.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 353 Skill: Recall 72) Video advertising is attractive to advertisers because it is different than television advertising.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 355 Skill: Applied 73) Sponsorships allow an advertiser to have a successful ad campaign without necessarily having to drive traffic to its company website.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 356 Skill: Applied

.

12–16

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 74) Similar to print advertising, an online banner ad is simply the beginning of a process of transferring information.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 360 Skill: Applied 75) The goal of a viral campaign is to create content that people feel compelled to pass on to friends.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 356 Skill: Applied 76) Facebook has a high click rate.

A) True B) False Answer: False Diff: 2 Type: TF Skill: Applied

Page Ref: 365

77) A company blog is an effective way to present relevant information in a positive manner.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 366 Skill: Applied 78) Search engines such as Google use auction-style bidding for determining what to charge advertisers for placing ads on the search results page.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 367 Skill: Applied 79) Lower traffic sites are more likely to use a flat-fee system.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 363 Skill: Applied

.

12–17

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 80) Crowdsourcing can replace an advertising agency to complete business-related tasks.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 364 Skill: Applied 81) Mobile media allows advertisers to target consumers based on their real time location.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 371 Skill: Applied 82) Advergaming refers to the placement of ads in commercially sold games or in games played online.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 374 Skill: Recall 83) Research shows that gamers hate the presence of ads.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 374 Skill: Applied 84) iAd is an Apple system that allows for full screen video and interactive advertising content to be served within an application.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 372 Skill: Applied 85) Research indicates that mobile ads are not as effective as standard banners on the internet.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 372 Skill: Recall

.

12–18

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 86) What is crowdsourcing?

Answer: When a company invites the public to participate in the marketing of its brands, it is employing a technique referred to as crowdsourcing. Crowdsourcing uses the “collective intelligence of the public at large to complete business-related tasks that a company would normally either perform itself or outsource to a third-party provider [e.g., an advertising agency producing a television commercial].” When crowdsourcing is employed, an organization capitalizes on the vision, creativity, and enthusiasm people have for the brand. In a marketing communications context, the task can be completed more quickly and at a much lower price.

Diff: 3 Type: ES Page Ref: 364 Skill: Applied 87) Describe the two primary ways of buying social media advertising on Facebook.

Answer: The two options for purchasing advertising on Facebook are banner ads and promoted-posts-for-brand pages. The banner option is similar to online banners.

The advertiser chooses between a CPM (cost per thousand impressions) and a CPC (cost per click) model for purchase. The posts-for-brand-pages option allows advertisers to pay for posts to be more prominently displayed on news feeds.

Diff: 2 Type: ES Page Ref: 367 Skill: Applied 88) Describe the benefits associated with a company blog.

Answer: Just like other forms of online communications, blogs are being integrated into a companies’ overall marketing strategy. A company’s blog is proving to be an effective means of presenting relevant information in a positive manner. A blog allows an organization to communicate with customers and the public in a very relaxed environment—people access the blog because they want to read it. In the context of public relations, an organization can control the message content. A brand has an opportunity to develop an online personality that goes beyond what can be accomplished by traditional media alone. Although blogs are not usually written to sell products or services directly, by providing useful information in the blog, customers can be influenced to make a purchase.

Diff: 2 Type: ES Page Ref: 366 Skill: Applied 89) What is search advertising?

Answer: With search advertising, an advertiser’s listing is placed within or alongside search results in exchange for paying a fee each time someone clicks on the listing in those search results. This is also known as pay-per-click advertising. Most search engines, such as Google and Yahoo!, set advertisers against one another in auction-style bidding for the highest positions on search results pages.

.

12–19

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Applied

Type: ES

Page Ref: 354

90) What is daypart targeting?

Answer: Daypart targeting is a planning option for interactive communications. Prime time for communications online is during the day when people are at work or at play.

The at-work audience is large and is a demographically attractive group of people with higher than average incomes and education, and who tend to research and buy online.

Diff: 2 Type: ES Page Ref: 350 Skill: Recall 91) What is behavioural targeting and how does it work?

Answer: Behavioural targeting involves the delivery of ads based on a consumer's previous surfing behaviour. An individual's surfing behaviour is tracked by placing a cookie, which is a small text file, on a consumer's web browser or hard drive. The cookie can be used to remember a user's preferences. With behavioural targeting, fewer people are reached less frequently than other media but consumers are reached directly and at an opportune time. The actual results of a campaign can be measured and evaluated immediately.

Diff: 2 Type: ES Page Ref: 351 Skill: Applied 92) Explain clickthrough and clickthrough rate.

Answer: Clickthroughs, or clicks, refer to the number of times that users click on a banner ad. When the viewer clicks the ad they are transferred to the advertiser's web site or to a special page where they are encouraged to respond in some way to the ad.

The clickthrough rate, or click rate, indicates the success of an advertiser in attracting visitors to click on their ad. It is the ratio of ad clicks to ad impressions.

For example, if during one million impressions, there are 20 000 clicks on the banner ad, the clickthrough rate is 2 percent.

Diff: 2 Type: ES Page Ref: 353 Skill: Applied 93) The Interactive Advertising Bureau is actively promoting a new set of four terms to measure social media efforts. Name and briefly describe each of the terms.

Answer: Interaction Rate: The proportion of users who interact with an ad or application Time Spent: The length of a specific visit or session Conversation Reach: The number of unique visitors per month in all sites related to the conversation in which the client (brand advertiser) is participating Conversation-Relevant Links: The number of links to and from content that contains phrases from all sites identified as part of the client’s campaign

.

12–20

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Recall

Type: ES

Page Ref: 369

94) What is a sponsorship and how can it be advantageous for an advertiser?

Answer: With a sponsorship, an advertiser commits to an extended relationship with another website. For example, Kraft Canada sponsors the annual Kraft Celebration Tour on TSN and TSN.ca. TSN and its broadcast personalities and TSN.ca actively promote the sponsorship. Sponsorships usually target the content, rather than the audience, and allow advertisers to have a successful ad campaign without necessarily having to drive traffic to its web site. In the case of Kraft, TSN.ca is one of Canada’s busiest websites, so Kraft benefits from TSN.ca’s popularity and the traffic the website draws (high reach and frequency).

Diff: 2 Type: ES Page Ref: 356 Skill: Applied 95) One of the most promising applications in online advertising is permission-based email. Why is its use among advertisers growing so quickly?

Answer: Permission-based e-mail is where a user chooses to receive messages from a particular advertiser. This form of advertising is relatively inexpensive, response rates are easy to measure, and it is targeted at people who want information about certain goods and services. Email is an efficient method of delivering new product information and information about promotional offers.

Diff: 2 Type: ES Page Ref: 356 Skill: Applied 96) Provide statistics on the use of internet in Canada.

Answer: The latest Statistics Canada survey reveals that 79% of Canadian households have internet access. Over 50% of these households use more than one type of device to go online. Canadians spend 28% of media time online. The average Canadian spends 45 hours a month browsing the internet with most of that time spent on social network sites such as Facebook. This is more time online than highly wired societies such as China, South Korea, and the United States. Younger Canadians spend more time on the internet than on television. Boomers are not replacing familiar traditional media. Boomers still watch more videos on television, but 43% say they watch video content on a computer each week. The internet reaches a cross section of all age groups including a high proportion of middle-to-upperincome households.

Diff: 2 Type: ES Page Ref: 347 Skill: Applied 97) What is rich media?

Answer:

.

12–21

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Rich media are online banner ads that include animation, sound, video, and interactivity. Often referred to as animated banners, these banners have higher click rates than static banners. These ads come in a variety of styles to grab the viewer’s attention in different ways. They may be inside the banner or outside the banner. An expandable banner employs multiple panels that are launched when the banner is clicked on. A videostrip shows a strip of video in the banner space but when clicked on expands to reveal the video and accompanying audio in a full-sized panel. A push down banner slides advertiser content out of the way to reveal additional content rather than covering it up. Outside-the-banner options include the floating ad, which moves within a transparent layer over the page and plays within a specific area of the page. A window ad downloads itself and plays instantly or when a new page is loading. A wallpaper ad is a large image that replaces web background.

Diff: 2 Type: ES Page Ref: 354 Skill: Recall 98) Explain the flat-fee model for buying media space on the internet, providing an example.

Answer: Some websites charge a flat fee for advertising—typically, a set amount for the length of time the ad appears on the site. This practice is more common for sponsorships of contests or other special activities on a website. Fee structures vary from one site to another. For example, TSN.ca might offer a flat-fee sponsorship opportunity to an advertiser in combination with a pay-forperformance advertising package. At TSN, advertisers who choose a sponsorship package will receive preferred positions for their banner ads. Lower traffic sites are more likely to use the flat-fee system.

Diff: 2 Type: ES Page Ref: 363 Skill: Applied 99) Explain the pay-for-performance model for buying media space on the Internet.

Answer: Advertisers must remember that the purpose of the banner is to stir initial interest so that the viewer clicks the ad for more information. Once the ad is clicked, the viewer sees it in its entirety. Since clicking is the desired action, many websites use a cost-per-click pricing model. The benefit of this system is clear: the degree of clicking achieved by an ad indicates the effectiveness of the ad.

Diff: 2 Type: ES Page Ref: 363 Skill: Applied 100) What is the definition of mobile marketing?

Answer: Mobile marketing is defined as a set of practices that enables organizations to communicate and engage with their audience in an interactive and relevant manner through any mobile device or network. Opportunities for advertisers to communicate with consumers exist through text messaging, video messaging,

.

12–22

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e mobile applications, QR codes, and online video games. Advertisers can do mobile advertising in a location-based targeted manner, using a person’s location information (available through GPS chips in smartphones).

Diff: 2 Type: ES Page Ref: 369 Skill: Recall 101) What are the advantages to mobile advertising?

Answer: Canadians are using their smartphones virtually everywhere they go.

Smartphones should be an ideal medium for advertisers to reach consumers.

Factors such as the penetration of smartphones, the ability to offer locationspecific messages, and consumers’ willingness to make online transactions are advantages to advertisers. Several smartphones typically offer the ability to send and receive emails and access the web, take photographs and videos, download applications and play music and video games. Therefore marketers can reach consumers through a variety of online advertising and they can do so in a highly targeted manner.

Diff: 2 Type: ES Page Ref: 370 Skill: Applied 102) How is a webisode different from a television commercial?

Answer: A webisode (webcasting) involves the production of an extended commercial that includes entertainment value in the communications. Unlike television commercials, the webisode focuses more on creativity in order to engage users.

While consumers are using digital video recorders to skip television ads they don't like, they are using the internet to tune in to commercials they want to see.

Diff: 2 Type: ES Page Ref: 357 Skill: Applied 103) In terms of video game advertising, an organization can go in two directions.

Explain.

Answer: An organization could create its own branded game or place ads in commercially sold games. Many brands have developed their own games to play at their website. Such games promote interactivity and offer good entertainment value.

In commercially sold games, there are many diverse possibilities including fully integrated opportunities (having a game designed around a brand), interactive product placements, outdoor-style billboards, and 30-second video spots.

Regardless of the option used, ads in games get noticed due to the intensity of the behaviour while gamers are playing—they see and recall brand messages.

Diff: 2 Type: ES Page Ref: 374 Skill: Applied 104) Email opens up an opportunity for viral marketing. Explain this statement.

Answer:

.

12–23

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Viral marketing refers to a situation in which the receiver of a message is encouraged to pass it on to friends. A research study in the United States reports that almost 90 per cent of adult internet users share content with others via email.

The goal of a viral campaign is to create content that people feel compelled to pass around.

Diff: 2 Type: ES Page Ref: 356 Skill: Applied 105) Describe what a rented email list is and where it comes from.

Answer: A rented list is usually obtained from a list broker. Typically, these lists include "opt-in" names and addresses. Opt-in means the people on the list have agreed to receive direct mail. Receivers may unsubscribe if they are no longer interested in the content of received emails.

Diff: 2 Type: ES Page Ref: 356 Skill: Recall 106) How are marketers interested in reaching the youth market using text messaging to their advantage?

Answer: Text messaging refers to the transmission of text-only messages. Texting is popular because of its speed, portability and low cost. Marketers are experimenting with using text messaging to reach younger targets. They run promotions that include: "call-to-action" short codes. Codes are usually mentioned in other media used to create awareness of the promotion. Cell phone users can punch in the codes in order to participate in contests, download free music, and receive ring tones or prizes.

Diff: 2 Type: ES Page Ref: 371 Skill: Applied 107) Explain why many companies are reluctant to invest in social media communications.

Answer: The absence of sound metrics (beyond click rates) to determine return on investment are a hurdle for advertisers to invest in social media advertising.

Many executives wonder about the value of a “like” and what impact it may have on sales. In the U.S., Coca-Cola has questioned the value of buzz created by online conversations. They did not see any statistically significant relationship between their buzz and their short-term sales.

Diff: 2 Type: ES Page Ref: 368 Skill: Applied 108) What does the term “consumer-generated content” mean?

Answer: Messages delivered on social networks are created mainly by amateurs.

Consumer-generated content refers to content created by consumers for

.

12–24

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e consumers. People create this content without being asked and in many cases it presents the brand effectively. People who do this are often called brand evangelists and will do anything to promote their favourite brand.

Diff: 2 Type: ES Page Ref: 364 Skill: Applied 109) Explain what the IMU measures and describe at least three types of banner ads.

Answer: Display advertising includes banner ads in a variety of sizes as established by the Interactive Advertising Bureau. The standard sizes for banner ads are based on International Measurement Units (IMU). The IMU refers to the width and depth of an ad. For example, the rectangle banner ad is 180 X 150 IMU. A big box is a larger rectangle (300 X 2 50 IMU) that offers even greater width and depth to an ad. A leaderboard stretches across the top of a webpage (728 X 90 IMU). A skyscraper is a tall, slim, oblong ad that appears at the side of a webpage (160 X 600 IMU). A larger ad such as the big box offers the opportunity to deliver a more complete message, even if the user does not click on it.

Diff: 2 Type: ES Page Ref: 354 Skill: Applied 110) How is the internet useful to marketers for generating leads?

Answer: Consumers willingly disclose information about themselves when entering contests, and when they are searching for information online. Any information collected can be analyzed and mined to identify potential targets and to customize messages that are suited for that market. The internet plays an essential role in collecting data for future marketing endeavours.

Diff: 2 Type: ES Page Ref: 352 Skill: Applied

.

12–25

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

Chapter 13 1) Sales promotion can be defined as activity that provides special incentives to bring about A) more movement in the product life cycle B) immediate response from consumers C) more creative advertising D) more web sites E) greater competitor activity Answer: B Diff: 2 Type: MC Page Ref: 381 Skill: Recall 2) Trade promotion activities are targeted towards A) consumers B) sales force C) marketers D) media E) distributors Answer: E Diff: 2 Type: MC Page Ref: 381 Skill: Applied 3) A frequent- buyer (loyalty) program is an example of A) consumer promotion B) sponsorship C) trade allowance D) trade promotion E) public relations Answer: A Diff: 2 Type: MC Page Ref: 381 Skill: Applied 4) One of the common types of trade promotions activities is A) video games B) DVDs C) free radio advertising D) co-operative advertising funds E) social media Answer: D Diff: 2 Type: MC Page Ref: 382 Skill: Applied 5) Advertising and promotion are not necessarily viewed as two separate entities, since the strategy today is about A) event marketing

.

13–1

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) the World Wide Web C) the agency's responsibility D) an integrated marketing approach E) public relations and sponsorship Answer: D Diff: 2 Type: MC Page Ref: 382 Skill: Applied 6) There are two basic types of promotion strategy: push and pull. In a push strategy, demand is created by A) becoming a major sponsor B) distributing coupons C) directing efforts at consumers D) directing efforts at intermediaries E) blitz media campaigns Answer: D Diff: 2 Type: MC Page Ref: 382 Skill: Recall 7) It is common for companies to combine pull and push promotion strategies which means they direct their attention at both A) final users and the media B) primary suppliers and channel members C) competitors and final users D) strategic partners and the media E) final users and channel members Answer: E Diff: 2 Type: MC Page Ref: 383 Skill: Applied 8) The most common objective of a consumer promotion activity is to have the consumer make A) a trial purchase B) a request for a coupon C) a recommendation D) a request for product information E) a request for a sample Answer: A Diff: 2 Type: MC Page Ref: 383 Skill: Recall 9) A second objective of consumer promotion is to encourage A) protection of loyalty B) increase in listings C) word-of-mouth advertising D) sales support

.

13–2

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e E) a building of volume Answer: A Diff: 2 Type: MC Skill: Recall

Page Ref: 383

10) Which of the following is an example of a consumer promotion activity?

A) co-operative advertising allowance B) premiums C) performance allowance D) payola E) delayed payment incentive Answer: E Diff: 3 Type: MC Page Ref: 384 Skill: Applied 11) According to statistics, 5.7 billion of these were distributed to Canadian households in 2009.

A) coupons B) samples C) contests D) cash refunds E) premiums Answer: A Diff: 2 Type: MC Page Ref: 385 Skill: Recall 12) Of the 5.7 billion coupons distributed by the packaged goods industry annually, how many are redeemed?

A) 1.1 billion B) 650 million C) 330 million D) 225 million E) 95 million Answer: E Diff: 3 Type: MC Page Ref: 385 Skill: Recall 13) Considering only those coupons redeemed for packaged goods, 2009 statistics showed consumers saved approximately A) $54 million B) $135 million C) $75 million D) $68 million E) $156 million Answer: E Diff: 3 Type: MC Page Ref: 385 .

13–3

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Recall 14) The average face value of a redeemed coupon in 2009 was: A) $0.74 B) $1.35 C) $0.25 D) $2.00 E) $1.55 Answer: B Diff: 3 Type: MC Page Ref: 385 Skill: Recall 15) When a product is new or relatively new and a trial purchase is the primary objective, a marketer will most often use A) an in-store coupon B) instantly redeemable coupon C) on-pack self-coupon D) in-pack self-coupon E) media-delivered coupon Answer: E Diff: 3 Type: MC Page Ref: 385 Skill: Applied 16) To encourage repeat purchases and continued brand loyalty, marketers most often use A) media-delivered coupons B) cross-coupon C) in-pack self-coupons D) in-store delivered coupons E) soon-to-expire coupons Answer: C Diff: 2 Type: MC Page Ref: 386 Skill: Applied 17) Media-delivered coupons are coupons distributed A) inside consumer goods B) through television stations C) through in-store kiosks D) through radio stations E) in newspapers, magazines or online Answer: E Diff: 1 Type: MC Page Ref: 385 Skill: Recall 18) If Kellogg’s Corn Flakes includes an in-pack coupon for Tropicana Orange Juice, this type of coupon is an example of a(n) A) cross-ruff

.

13–4

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) in-store delivered coupon C) media-delivered coupon D) rebate E) free sample Answer: A Diff: 2 Type: MC Page Ref: 386 Skill: Applied 19) Evaluating the financial impact of a coupon offer includes A) interest rates B) handling costs C) creative costs D) free samples E) advertising costs Answer: B Diff: 3 Type: MC Page Ref: 387 Skill: Applied 20) In-store delivered coupons are distributed by A) using a swipe card B) in-store display centres C) catalogues D) newspapers E) Canada Post Answer: B Diff: 2 Type: MC Page Ref: 386 Skill: Applied 21) According to Resolve Corporation research, the average redemption rate for coupons distributed through addressed direct mail is A) 22.5% B) 6.5% C) 15% D) 1% E) 10% Answer: B Diff: 2 Type: MC Page Ref: 386 Skill: Recall 22) Among media-delivered coupons, this distribution method has a higher rate of redemption than magazines.

A) direct mail B) online C) television D) newspaper E) free-standing insert

.

13–5

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: A Diff: 2 Skill: Recall

Type: MC

Page Ref: 386

23) This consumer promotion activity is considered to be the most effective method of generating trial purchase.

A) rebate B) coupons C) free sample D) contest E) loyalty program Answer: C Diff: 2 Type: MC Page Ref: 387 Skill: Applied 24) Cross sampling refers to an arrangement whereby A) one product carries a sample of another product B) multiple products are sampled and compared C) a competitor's product is sampled D) a cash refund is returned to the consumer E) free samples are distributed Answer: A Diff: 2 Type: MC Page Ref: 387 Skill: Applied 25) A small replica pack of Cascade dishwashing detergent delivered to consumers by mail is an example of a(n) A) on-pack premium B) cross sample C) instant premium D) free sample E) specialty pack Answer: D Diff: 2 Type: MC Page Ref: 387 Skill: Applied 26) A game contest (or instant win) is a promotion vehicle that includes a number of A) seasons B) predetermined winning tickets C) market segments D) different competitors E) sports Answer: B Diff: 2 Type: MC Page Ref: 390 Skill: Recall

.

13–6

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 27) These sales promotion methods are considered to be the most effective in inducing trial purchases: A) contests B) cash refunds C) free samples D) coupons E) rebates Answer: C Diff: 2 Type: MC Page Ref: 387 Skill: Recall 28) Frequently, Tim Hortons offers its Roll Up the Rim toWin promotion. This is an example of A) couponing B) an instant win contest C) a rebate D) a sweepstakes E) sampling Answer: B Diff: 2 Type: MC Page Ref: 391 Skill: Applied 29) Because of consumer involvement, contests A) are self-liquidating B) are well supported by the retail trade C) help dramatize a unique selling point D) are the most effective promotion for generating product trial E) are cost-effective Answer: B Diff: 2 Type: MC Page Ref: 392 Skill: Applied 30) A rebate is a predetermined A) raincheck on unavailable product B) amount of money returned to the consumer C) recall of coupons D) free offer E) bargain price Answer: B Diff: 1 Type: MC Page Ref: 392 Skill: Recall 31) The most common type of refund is the A) premium B) multiple-purchase refund C) single-purchase refund

.

13–7

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e D) slippage E) buy one, get a dollar back Answer: C Diff: 2 Type: MC Page Ref: 393 Skill: Recall 32) This type of sales promotion has become so ingrained in the automobile industry that consumers now postpone their new car purchases while they wait for an attractive ________.

A) rebate offer B) premium C) loyalty program D) coupon E) contest Answer: A Diff: 2 Type: MC Page Ref: 393 Skill: Recall 33) The main goal of a premium is to A) increase sales B) reward the customer for making the purchase C) create brand loyalty D) entice trial purchase E) provide added value to customers Answer: E Diff: 2 Type: MC Page Ref: 394 Skill: Applied 34) An "on-pack" premium promotion is when A) a consumer collects proof of purchase B) a consumer is involved in a frequent buyer program C) an item is attached to a package D) a consumer buys in bulk E) a consumer picks an instant win package Answer: C Diff: 2 Type: MC Page Ref: 394 Skill: Recall 35) Shoppers Drug Mart's Optimum rewards program allows shoppers to redeem points for A) future purchases B) beauty makeovers C) air travel D) Shoppers Drug Mart "money" E) items in a gift catalogue Answer: A

.

13–8

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Applied

Type: MC

Page Ref: 394

36) The best known and longest running loyalty program in Canada is offered by A) Air Canada B) Air Miles C) Canadian Tire D) Pepsi-Cola E) Esso Answer: C Diff: 3 Type: MC Page Ref: 394 Skill: Recall 37) The marketer who pioneered the delayed payment incentive concept in Canada is A) Canadian Tire B) Tim Hortons C) Maxwell House D) Leon's Furniture E) Shoppers Drug Mart Answer: D Diff: 2 Type: MC Page Ref: 396 Skill: Recall 38) The benefit of loyalty programs for the marketer is A) the customer information it is collecting B) retention of current customers C) relationship building D) the brand awareness it is creating E) increasing profits Answer: A Diff: 3 Type: MC Page Ref: 394 Skill: Applied 39) When Melitta coffee offered consumers a chance to win tickets to HSBC Stars on Ice and a 75-cent coupon for any Melitta coffee, it was offering a A) sweepstakes B) cross sample C) delayed payment premium D) cross-promotion E) combination offer Answer: E Diff: 2 Type: MC Page Ref: 397 Skill: Applied 40) An objective of trade promotion is to A) encourage consumer loyalty

.

13–9

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) promote competition C) encourage just-in-time inventory management D) secure merchandising support from distributors E) have consumers make trial purchases Answer: D Diff: 2 Type: MC Page Ref: 398 Skill: Applied 41) One objective of trade promotion is to secure a listing with distributors. A listing is defined as A) an offer to provide trade allowances B) an agreement with retailers to distribute a manufacturer’s goods to consumers C) an agreement with a wholesaler to distribute a manufacture’s goods to retailers D) merchandising support E) loading up at the end of a promotion Answer: C Diff: 3 Type: MC Page Ref: 398 Skill: Recall 42) Trade promotion is supposed to A) pull a product through is distribution channel B) secure end users C) be an exchange of services between two companies D) build brand loyalty for end users E) Secure merchandising support from distributers Answer: E Diff: 2 Type: MC Page Ref: 398 Skill: Recall 43) A dealer premium is an additional incentive offered by a manufacturer to a distributer to A) increase profit margins B) encourage a special purchase C) increase advertising D) reduce inventory E) increase stock turns Answer: B Diff: 2 Type: MC Page Ref: 399 Skill: Recall 44) Dealer display material consists of self-contained, custom-designed merchandising units that A) are charged to the retailer B) display the retailer's name and image C) are the responsibility of the agency D) display a manufacturer's product

.

13–10

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e E) contain free samples Answer: D Diff: 2 Type: MC Skill: Recall

Page Ref: 400

45) To facilitate the selling process, the sales force must provide dealers and retailers with A) a loyalty program B) a combination premium C) a free sample D) point-of-purchase displays E) collateral materials Answer: E Diff: 2 Type: MC Page Ref: 400 Skill: Applied 46) Premiums are usually offered by manufacturers in the form of A) price discounts B) exclusive contest ballots C) coupons D) cash-back E) merchandise Answer: E Diff: 2 Type: MC Page Ref: 399 Skill: Applied 47) Organizations now use promotions, particularly contests, as a means to A) increase store traffic B) engage customers checking out brands on a website C) develop effective reach D) increase the number of coupons redeemed E) increase the number of impressions Answer: B Diff: 3 Type: MC Page Ref: 381 Skill: Applied 48) A study by Promotion Research Group found that ________ per cent of branded merchandise recipients in a business-to-business situation rated branded promotion merchandise the best method for building brand loyalty.

A) 56 B) 15 C) 74 D) 25 E) 40 Answer: A Diff: 2 Type: MC Page Ref: 401 .

13–11

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Recall 49) This type of promotion can be implemented much more frequently than premium offers and contests.

A) cash refunds B) free samples C) coupons D) trade shows E) sweepstakes Answer: C Diff: 2 Type: MC Page Ref: 384 Skill: Applied 50) Fast-food restaurants consistently use premiums because premiums A) build loyalty with repeat customers only B) are low cost C) can differentiate between competing products D) are a form of co-operative advertising E) are only for new customers Answer: E Diff: 3 Type: MC Page Ref: 394 Skill: Applied 51) If 1000 coupons are distributed and 75 are returned, then the redemption rate is A) 75% B) 15% C) 7.5% D) 0.75% E) 10% Answer: C Diff: 2 Type: MC Page Ref: 386 Skill: Applied 52) Which sales promotion technique is long-term in nature?

A) sampling B) loyalty programs C) rebates D) coupons E) premiums Answer: B Diff: 3 Type: MC Page Ref: 405 Skill: Applied 53) A cereal box that contains a voucher that can be used for $1 off a complementary product is referred to as a A) refund

.

13–12

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) cross-ruff C) premium D) price-off E) bonus pack Answer: B Diff: 2 Type: MC Skill: Applied

Page Ref: 386

54) After purchasing a Nintendo game, a customer sends in a proof of purchase and receives a cheque from the manufacturer for $5. This is an example of a A) manufacturer's coupon B) bonus offer C) through-the-mail premium D) rebate E) sample Answer: D Diff: 2 Type: MC Page Ref: 392 Skill: Applied 55) A free toy inside a box of Fruit Loops is an example of a(n) A) bonus offer B) delayed payment incentive C) in-pack premium D) cross-ruff E) sample Answer: C Diff: 2 Type: MC Page Ref: 394 Skill: Applied 56) A temporary price reduction designed to encourage larger purchases by distributors is referred to as a A) rebate B) performance allowance C) merchandising allowance D) trade allowance E) refund offer Answer: D Diff: 1 Type: MC Page Ref: 398 Skill: Recall 57) The Air Miles points a consumer collects on a credit card is an example of a A) loyalty program B) cross-ruff C) premium D) sweepstakes E) trade allowance

.

13–13

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: A Diff: 3 Skill: Applied

Type: MC

Page Ref: 394

58) The industry term for the situation where a rebate offer creates a sale, but the customer never redeems the offer is A) misredemption B) slippage C) dealer premium D) collateral E) trade allowance Answer: B Diff: 2 Type: MC Page Ref: 392 Skill: Recall 59) Contests are most appropriate at which stage of the product life cycle?

A) trial stage B) mature stage C) growth stage D) decline stage E) introductory stage Answer: B Diff: 3 Type: MC Page Ref: 389 Skill: Applied 60) While promotion strategies bring positive results in the short-term, the long-term risks of repeated promotions include A) hurting the brand’s image B) alienating distributers C) increasing costs D) bringing attention to competitor’s products E) government interference Answer: A Diff: 2 Type: MC Page Ref: 404 Skill: Applied 61) Sales promotion can be defined as activity that provides special incentives for an organization's sales force over the long term.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 381 Skill: Recall 62) Trade promotions refer to those activities designed to encourage distributors to purchase additional volume.

.

13–14

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) True B) False Answer: True Diff: 1 Skill: Recall

Type: TF

Page Ref: 398

63) In a push strategy, the organization creates demand by directing promotional efforts at consumers or final users of the product.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 382 Skill: Recall 64) Companies such as Kraft, Colgate, Palmolive and Apple advertise their products heavily to end users while their sales force sells the products among business customers or channel members.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 383 Skill: Applied 65) One objective of consumer promotion activity is to protect distributor loyalty.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 383 Skill: Applied 66) Coupons, samples, contests and premiums are examples of activities that would be considered a pull strategy.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 382 Skill: Applied 67) Trade shows are organized each year by an industrial association to demonstrate the latest products of member manufacturers.

A) True B) False Answer: True Diff: 3 Type: TF Page Ref: 400 Skill: Recall

.

13–15

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 68) Frequent coupon users are more likely to be females over the age of 55.

A) True B) False Answer: False Diff: 1 Type: TF Page Ref: 385 Skill: Applied 69) A company can implement a contest however they want.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 391 Skill: Applied 70) Contests are more effective in inducing trial purchases than coupons and free samples.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 389 Skill: Applied 71) Experiential marketing is another name for on-site sampling.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 388 Skill: Recall 72) A delayed payment incentive promotion is when a consumer is granted a grace period during which he or she pays no interest or principal for the item purchased.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 396 Skill: Applied 73) The method by which coupons are delivered depends on the demographics of the consumer.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 385 Skill: Recall

.

13–16

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 74) A Cheerios box containing a small sample package of Lucky Charms cereal is an example of cross sampling.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 387 Skill: Applied 75) A free sample is a free product distributed to loyal customers.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 387 Skill: Recall 76) Experiential marketing involves potential customers interacting directly with the product.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 389 Skill: Recall 77) McDonald's "Monopoly" promotion is an example of a game contest.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 391 Skill: Applied 78) Slippage is when a distributor loses customers during a promotion.

A) True B) False Answer: False Diff: 3 Type: TF Page Ref: 393 Skill: Applied 79) Rebates can also occur before the final purchase has been made.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 392 Skill: Recall 80) Premiums can be offered to consumers as a mail-in. In other words, consumers send in a proof of purchase and the item is returned by mail.

.

13–17

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) True B) False Answer: True Diff: 1 Skill: Applied

Type: TF

Page Ref: 394

81) Beer manufacturers see premium offers as a vital tool for building business during the critical summer months.

A) True B) False Answer: True Diff: 1 Type: TF Page Ref: 394 Skill: Applied 82) Loyalty programs are not popular with customers.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 396 Skill: Applied 83) For the organization, a benefit of a loyalty program is the information it is collecting about customer purchase behaviour.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 396 Skill: Applied 84) A trade allowance is when a consumer returns a product and wishes to purchase something of more value.

A) True B) False Answer: False Diff: 2 Type: TF Page Ref: 398 Skill: Recall 85) A retail in-ad coupon is a coupon printed in a retailer’s weekly advertising material.

A) True B) False Answer: True Diff: 2 Type: TF Page Ref: 399 Skill: Applied 86) Explain the difference between consumer promotions and trade promotions.

Answer:

.

13–18

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Sales promotion activity can be divided into two broad categories: consumer promotions and trade promotions. Consumer promotions refer to those activities that are designed to stimulate consumer purchase, in effect to help pull the product through the distribution channel. Trade promotions refer to those activities designed to encourage distributors to purchase additional volume and provide additional support to stimulate consumer purchase. In effect, trade promotions help push the product through the distribution channel.

Diff: 2 Type: ES Page Ref: 381 Skill: Applied 87) Promotion strategy is the battle plan that outlines the means of achieving the objectives. Explain the two basic types of promotion strategy: push and pull.

Answer: In a pull strategy, the organization creates demand by directing promotional efforts at consumers. These activities cause consumers to search for the product in stores. By asking for the product, they can put pressure on the retailer to carry it.

Pull strategies rely on coupons, free samples, contests, premiums, cash back offers, and loyalty programs. In a push strategy, the organization creates demand for a product by directing promotional efforts at intermediaries, who in turn promote the product among consumers. Push strategies tend to rely on a mixture of personal selling and trade promotion techniques to create demand. Common types of trade promotion activities include price discounts and allowances, cooperative advertising funds, and point-of-purchase display materials.

Diff: 2 Type: ES Page Ref: 381 Skill: Applied 88) What are three common objectives for consumer promotion activity?

Answer: The most common objective of consumer promotion activity is to have the consumer make a trial purchase. In the case of a new product, the marketer is concerned that the initial trial and consumer acceptance of the product occur quickly. Even when a product is firmly established on the market, marketers will still attempt to secure trial purchase by non-users. A second objective is to protect loyalty by offering incentives that encourage repeat purchases. For example, a coupon distributed by the purchased product itself is a good way to maintain customer loyalty. A third objective of consumer promotion activity is to encourage multiple purchases. A contest that encourages multiple entries, or a cash refund whose value increases with the number of purchases made, are examples of promotions with a multiple purchase objective.

Diff: 2 Type: ES Page Ref: 383 Skill: Applied 89) Explain why coupons are effective in achieving consumer promotion objectives.

Answer: Coupons are price-saving incentives offered to consumers to stimulate quicker purchase of a specific product. Marketing organizations use coupons more

.

13–19

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e frequently than any other type of consumer promotion. Coupons are an excellent medium for achieving several marketing objectives at various stages of the product life cycle. Coupons can encourage trial purchase among new users (and encourage competitive brand users to switch brands), and they can encourage repeat purchases by current users (thus building brand loyalty).

Diff2 Type: ES Page Ref: 384 Skill: Applied 90) Explain the different types of coupons that are distributed through the physical packaging of goods sold.

Answer: Product-delivered coupons appear in or on the package. The in-pack self-coupon is redeemable on the next purchase of the same product. The package is usually flagged somehow to draw attention to the coupon included inside. An on-pack self-coupon usually appears on the back or side panel of the package and is valid for future purchase of the same product. An instantly redeemable coupon is redeemable when the product carrying the coupon is purchased. Another variation is the cross-ruff, an in-pack or on-pack coupon valid on the purchase of a different product.

Diff: 2 Type: ES Page Ref: 386 Skill: Applied 91) What impact has the internet had on consumer promotion trends?

Answer: More and more brands promote online contests as a means of driving traffic to their website. As well, broadcast and print media encourage potential participants to visit the website for contest details and to register in the contest. Online communications help to create excitement for a contest and provide a convenient means of communicating complex details such as contest rules and regulations.

Social media delivers promotion details and encourages the consumer to engage with a brand. Social media is much less costly than traditional advertising media.

As well, many companies distribute coupons to consumers who request them while visiting the company website.

Diff: 2 Type: ES Page Ref: 403 Skill: Applied 92) How is the success or failure of a coupon offer determined?

Answer: Coupon success is determined by redemption rate. The redemption rate refers to the number of coupons returned to the manufacturer expressed as a percentage of the total coupons in distribution. For example, if 1.5 million coupons were distributed and 75,000 were returned, then the redemption rate is 5.0 percent (75,000 divided by 1,500,000 times 100%).

Diff: 2 Type: ES Page Ref: 386 Skill: Applied

.

13–20

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 93) Why is sampling considered the most effective method of generating trial purchase?

Answer: A free sample is a free product distributed to potential users either in a small trial size or in its regular size. Sampling eliminates a consumer's initial financial risk.

Unlike any other type of promotion, sampling is the only alternative that can convert a trial user to a regular user solely on the basis of product satisfaction.

Diff: 1 Type: ES Page Ref: 387 Skill: Applied 94) The various types of consumer promotions are each suited for achieving specific objectives. What specific objectives are contests best suited for?

Answer: Contests are designed and implemented to create temporary excitement about a product. As a marketing vehicle, contests tend to attract the current users of a product but are less effective in inducing trial purchases than are coupons and samples. Consequently, contests are most appropriate in the mature stage of the product life cycle, when the aim is to retain current market share.

Diff: 2 Type: ES Page Ref: 389 Skill: Applied 95) Rebate offers are often subject to slippage. What is slippage?

Answer: Rebates are a predetermined amount of money returned to the consumer by the manufacturer after the purchase has been made. Slippage happens when a consumer starts collecting proofs of purchase for a refund offer, but neglects to follow through and submit a request for the refund. In effect, the manufacturer does not pay the rebate for purchases induced by the promotion. Time-pressed consumers often forget about the rebate offer.

Diff: 2 Type: ES Page Ref: 393 Skill: Recall 96) Provide examples of Canadian retailer loyalty programs.

Answer: A loyalty program offers consumers a small bonus, such as points or "play money," when they make a purchase. In Shopper's Drug Mart's Optimum rewards program, shoppers accumulate points that are redeemable on future purchases.

Canadian Tire's program is, perhaps, the best-known and longest-running frequent-buyer program in Canada. It rewards regular shoppers who pay for merchandise with cash or a Canadian Tire credit card with Canadian Tire "money" worth up to 5% of the value of the purchase. Canadian Tire now allows customers to collect virtual money on the company’s house credit card, its website, and its affiliate MasterCard. Hotel rewards programs such as Six Continents’ Priority Club or Choice Hotels’ Choice Club are often duplicated by competitors. In the airline industry today, offering a frequent-flyer program seems mandatory if an airline is to be on the consumer’s consideration list.

Diff: 2 Type: ES Page Ref: 394 .

13–21

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 97) What promotional objectives can be achieved through trade promotions?

Answer: For any new product, the objective of trade promotion is to secure a listing with distributors. A listing is an agreement made by a wholesaler to distribute a manufacturer's product to the retailers it supplies. A second objective of trade promotions is to build volume, either on a seasonal basis or on a preplanned cyclical basis throughout the year. For example, it is quite common for a company to offer trade allowances and other merchandising programs quarterly for key products. A third objective is to secure merchandising support from distributors.

Manufacturers will offer complete promotion programs to encourage display activity, feature pricing, and retail advertising support.

Diff: 2 Type: ES Page Ref: 398 Skill: Applied 98) What is the difference between a trade allowance and a performance allowance?

Answer: A trade allowance is a temporary price reduction designed to encourage larger purchases by distributors. Such price reductions may be offered in the form of a percentage reduction from list price, a predetermined dollar amount off list price, or as a free goods offer. A performance allowance is an additional discount (over and above a trade allowance) offered by manufacturers to encourage retailers to perform a specific merchandising function (e.g., display the product at retail, provide an advertising mention in a retail flyer, or offer a lower price at retail for a short period).

Diff: 2 Type: ES Page Ref: 398 Skill: Applied

99) How often should a company use a promotion activity?

Answer: How frequently an activity should be used depends on the type of activity and the consumer purchase cycle. Once a year is usually adequate to generate "excitement" over a brand. A contest might be used in peak season to counter competitive activity, or once during a traditionally low season to stimulate sales.

In general, coupon activity can be implemented much more frequently than cash refunds, premium offers, and contests, and is less disruptive to the regular sales message. There is a risk that too much promotion can cheapen the image of a brand.

Diff: 2 Type: ES Page Ref: 404 Skill: Applied 100) Why are dealer premiums controversial?

Answer:

.

13–22

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A dealer premium is an additional incentive offered to a distributor by a manufacturer to encourage special purchase or to secure additional merchandising support from a retailer. Premiums are usually offered in the form of merchandise (e.g., a set of golf clubs, or other forms of sports- and leisure-oriented equipment and clothing). The value of the premium increases with the amount of product purchased by the retailer. Some distributors forbid their buyers to accept premiums because they feel only the individual buyer, rather than the organization, benefits. Such a situation, often referred to as payola, may lead a buyer to make unnecessary purchases and ignore the objectives of the distributor.

The other side of the argument is that the purchase of a manufacturer’s products at a large savings (through allowances and premiums) offers direct, tangible benefit to the buying organization. These practices are perceived by many to be unethical, and perhaps they should not occur.

Diff: 2 Type: ES Page Ref: 399 Skill: Applied 101) Why is it important for marketers to prevent a promotion from being disruptive to the continuity of the product's regular sales message?

Answer: Consumers who are continually exposed to low prices may see the sale price as the regular price, eventually hurting the brand image. Or, consumers may begin to believe a brand is in trouble. They could desert it for another brand. When you consider the psychology of buying, brands are often a personal statement, and people like winning brands. In general, coupon activity can be implemented much more frequently than cash refunds, premium offers, and contests, and is less disruptive to the regular sales message.

Diff: 2 Type: ES Page Ref: 404 Skill: Applied 102) Which media would you recommend to support a contest?

Answer: A contest requires a significant investment in media advertising. In effect, the focal point of a brand’s advertising switches temporarily from the product to the contest in an attempt to build excitement for the brand. To create awareness for the contest, a multimedia mix is frequently used (e.g., broadcast media to generate excitement, with print and online media to communicate details). Point-ofpurchase advertising is essential to draw attention to the promotion. Because of consumer involvement, contests are usually well received and supported by the retail trade; indeed, they are often launched with trade promotion programs to encourage feature pricing and maximize display activity at retail.

Diff: 2 Type: ES Page Ref: 392 Skill: Applied 103) Describe the various methods of sample distribution.

Answer:

.

13–23

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A free sample is free product distributed to potential users either in a small trial size or in its regular size. The most frequently used method of sample distribution is in-store. There are several variations on in-store sampling: product demonstrations and sampling in stores, saleable sample sizes (small replica pack sizes of the actual product), and cross-sampling. Cross-sampling refers to an arrangement whereby one product carries a sample of another product. Other alternatives for delivering free samples include co-operative direct mail (provided the sample is small and light enough to be accommodated by the mailing envelope), home delivery by private organizations, event sampling, and sample packs that are distributed to specific target markets. On-site sampling (experiential sampling) is a newer method for sample distribution.

Diff: 2 Type: ES Page Ref: 387 Skill: Recall 104) Explain experiential marketing and provide an example.

Answer: Companies are discovering new ways of delivering samples while at the same time generating positive publicity for the brand involved in the promotion. Some refer to it as on-site sampling; others call it experiential marketing. Regardless of what it is called, it involves potential customers interacting directly with the product. True experiential marketing goes beyond distributing samples. An example is McDonald’s launch of its premium coffee blend in 2009. A free sample was given on site with no purchase necessary: just drop in and have a cup!

McDonald’s wanted customers to know that it was a great place for coffee—a great way for them to start their day.

Diff: 2 Type: ES Page Ref: 388 Skill: Applied 105) Provide two examples of a game contest.

Answer: A game (or instant win) contest is a promotion that includes a number of predetermined winning tickets. Packages containing winning certificates are redeemed for prizes. Variations of this type of contest include collect-and-wins, match-and-wins, and small instant-wins combined with a grand prize contest.

Restaurants such as McDonald's and Tim Hortons use this promotion vehicle frequently. McDonald's runs a game fashioned after the board game Monopoly, and Tim Horton’s offers "Roll Up the Rim to Win" every spring.

Diff: 2 Type: ES Page Ref: 390 Skill: Applied 106) What objectives can rebate offers help accomplish?

Answer: Refunds (rebates) are designed to achieve several objectives; hence, they can be offered in various formats. For packaged-goods companies, cash refunds are a useful promotion technique in the mature stage of the product life cycle. One objective that rebates help achieve is to reinforce loyalty effectively by tempting

.

13–24

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e consumers to make multiple purchases. Another objective rebates help achieve is increasing the frequency of purchase of a product. Strategically, refund offers for packaged-goods items should be advertised at point of purchase since it is when consumers are at point of purchase that they make brand-buying decisions.

Diff: 2 Type: ES Page Ref: 392 Skill: Applied 107) What objectives are achieved through the use of premiums?

Answer: A premium is an item offered free or at a bargain price to encourage consumers to buy a specific product. The goal of a premium offer is to provide added value to new and repeat purchasers. The premium can increase the quantity of brand purchases made by consumers, help retain current users, attract competitive users, and provide a merchandising tool to encourage display activity in stores. A good premium offer enhances differentiation between competing products.

Diff: 2 Type: ES Page Ref: 394 Skill: Applied 108) What is a delayed payment incentive? Provide an example.

Answer: In a delayed payment incentive promotion, a consumer is granted a grace period during which he or she pays no interest or principal for the item purchased. Once the purchase is made from the retailer, a finance company assumes the agreement and charges interest if full payment is not made by the agreed-upon date. Leon's Furniture pioneered the delayed payment concept in Canada with promotions called the "Don't Pay a Cent Event" and the "No Money Miracle".

Diff: 2 Type: ES Page Ref: 396 Skill: Applied 109) What is the purpose of branded promotion merchandise?

Answer: Branded promotion merchandise is defined as useful or decorative products featuring an organization’s logo or brand mark that are distributed to existing customers and prospects in appreciation for their business and their loyalty. As a promotional vehicle, branded promotion merchandise can be used in both consumer and trade programs. There are limitless ways to use this merchandise; some popular uses include business gifts, free goods at orientation programs, components of a corporate communications program or incentive program, and giveaways at trade shows.

Diff: 2 Type: ES Page Ref: 401 Skill: Applied 110) Why do manufacturers often introduce new products or advertising campaigns at trade shows?

Answer:

.

13–25

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Trade shows are typically organized by an industry association annually to demonstrate the latest products of member manufacturers. The unique benefit of a trade show is that it allows buyers and other decision-makers to come to a central location to secure the most recent product information from suppliers. For retailers and manufacturers, it is an important opportunity to develop a prospect list that the sales force can follow up on. Participants compete for visitors’ attention at the show and usually invest considerable money to build unique and enticing display exhibits.

Diff: 2 Type: ES Page Ref: 400 Skill: Applied

.

13–26

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Chapter 14 1) To build better relations with customers and to achieve business objectives, an organization must embrace all communications channels and devise a(n) A) external marketing plan B) integrated communications strategy C) media plan D) business-to-business plan E) event campaign Answer: B Diff: 2 Type: MC Page Reference: 409 Skill: Applied 2) This type of marketing focuses on giving target market customers a brand-relevant experience that adds value to their lives: A) buzz marketing B) public relations C) event marketing D) experiential marketing E) word-of-mouth Answer: D Diff: 2 Type: MC Page Reference: 409 Skill: Recall 3) Unlike advertising, public relations is a form of communications A) designed and created by agencies B) free of any costs and controlled by no one C) controlled and paid for by government D) determined by the media E) controlled and paid for by a sponsor Answer: D Diff: 2 Type: MC Page Reference: 410 Skill: Applied 4) Public relations is defined as “the strategic management of relationships between an organization and its diverse publics, through the use of communication, to achieve mutual understanding, realize organizational goals, and serve _______________.”

A) businesses B) the public interest C) non-profit organizations D) sponsors E) the corporation Answer: B Diff: 1 Type: MC Page Reference: 409 Skill: Recall

.

14–1

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 5) In terms of public relations, internal publics include A) customers B) prospective shareholders C) the financial community D) community organizations E) the media Answer: A Diff: 3 Type: MC Page Reference: 410 Skill: Applied 6) A good public relations plan involves open honest communications with A) only the media B) current customers only C) shareholders and employees only D) both external and internal publics E) customers, shareholders and employees only Answer: D Diff: 2 Type: MC Page Reference: 410 Skill: Recall 7) Employees, distributors, shareholders and regular customers are all part of an organization's A) target audience B) influence group C) opinion leaders D) internal public E) external public Answer: D Diff: 2 Type: MC Page Reference: 410 Skill: Applied 8) The role of public relations falls into six key areas, one of which is A) communicating product features B) facilitating direct response C) motivating purchase D) increasing sales E) community relations building Answer: E Diff: 2 Type: MC Page Reference: 410 Skill: Recall 9) How a company manages its public relations during a crisis is called A) public affairs B) lobbying C) fundraising D) reputation management .

14–2

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e E) publicity Answer: D Diff: 2 Skill: Recall

Type: MC

Page Reference: 410

10) A form of paid communication that undertakes the task of enhancing a company’s image and creating goodwill toward a company is A) advocacy advertising B) publicity C) seeding D) corporate advertising E) reputation management Answer: D Diff: 2 Type: MC Page Reference: 410 Skill: Recall 11) Messages in corporate advertising differ from messages in corporate public relations because in corporate advertising A) media exposure is paid for B) messages are always concerned with specific products C) media exposure is free D) publicity firms develop the message E) media exposure relies on media relations Answer: A Diff: 2 Type: MC Page Reference: 410 Skill: Applied 12) Toyota faced this type of situation when it had to recall over four million vehicles in North America because of sticky gas pedals.

A) publicity B) product placement C) reputation management D) advocacy advertising E) public affairs Answer: C Diff: 2 Type: MC Page Reference: 411 Skill: Applied 13) When an organization faces a delicate situation, the most critical element is A) a visible, strong leader B) government intervention C) a contingency advertising budget D) withholding information from the media E) avoiding consumer questions and requests Answer: A Diff: 3 Type: MC Page Reference: 412 .

14–3

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 14) Opportunities to communicate newsworthy information about a product or service include A) a minor price reduction B) a new advertising campaign C) a new spin on an old benefit D) a desire to sell more products E) the launch of a new product Answer: E Diff: 2 Type: MC Page Reference: 413 Skill: Applied 15) Newsworthy information is usually communicated by a press release or A) product placement B) lobbying C) press conference D) corporate advertising E) email Answer: C Diff: 1 Type: MC Page Reference: 413 Skill: Recall 16) Companies that use this strategy believe that products that are featured in shows have more credibility with viewers. What is the strategy?

A) reputation management B) product placement C) press release D) corporate advertising E) advocacy advertising Answer: B Diff: 2 Type: MC Page Reference: 413 Skill: Applied 17) In a survey, what percent of respondents recalled seeing the Coca – Cola brand in the TV show American Idol?

A) 39% B) 64% C) 50% D) 3% E) 25% Answer: B Diff: 2 Type: MC Page Reference: 414 Skill: Recall 18) Weaving a brand into the storyline of a show, movie, or video game is known as .

14–4

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) branded content B) buzz marketing C) sponsorship D) endorsement E) social media Answer: A Diff: 2 Type: MC Skill: Applied

Page Reference: 414

19) Community relations are an important tool for communicating A) corporate social responsibility B) new product launches C) discoveries D) policy decisions of government E) profit results Answer: A Diff: 2 Type: MC Page Reference: 414 Skill: Applied 20) When a product is given free to trendsetters in the hope that they will create buzz about the product, _______ is being used.

A) community relations B) branded content C) product seeding D) fundraising E) product placement Answer: C Diff: 1 Type: MC Page Reference: 414 Skill: Recall 21) One way companies are generating product publicity is A) buying advertising space B) paying a journalist to write an article on their behalf C) posting their own messages on their own website D) community relations E) product seeding Answer: C Diff: 3 Type: MC Page Reference: 413 Skill: Applied 22) One of the goals of fundraising campaigns for organizations like the United Way or Salvation Army is A) lobbying B) to foster community relations C) issue management D) to change government policy .

14–5

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e E) to communicate what the organization is all about Answer: E Diff: 2 Type: MC Page Reference: 414 Skill: Applied 23) In order to predispose people to donate, public relations is used to A) expose a particular brand B) educate the public about how funds will be used C) handle a crisis D) communicate a company's stand on an issue E) change government policy Answer: B Diff: 3 Type: MC Page Reference: 414 Skill: Applied 24) A public relations plan usually involves five steps, the first of which is A) establish objectives B) just do it C) evaluation D) situation analysis E) devise a strategy Answer: D Diff: 1 Type: MC Page Reference: 416 Skill: Applied 25) Regardless of the situation or desired outcome, public relations objectives tend to be similar to A) advertising objectives B) government policies C) sales promotion objectives D) marketing objectives E) corporate mission statements Answer: A Diff: 2 Type: MC Page Reference: 416 Skill: Applied 26) Realistic expectations of public relations should be stated in terms of what it can A) expect in terms of profit B) achieve in terms of market share C) influence D) achieve in specific sales E) achieve in quantitative terms Answer: C Diff: 3 Type: MC Page Reference: 416 Skill: Applied

.

14–6

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 27) Public relations can play a key role in A) the mature stage of the life cycle B) advertising campaigns C) launching new products D) the growth stage of the product life cycle E) the decline stage of the product life cycle Answer: C Diff: 2 Type: MC Page Reference: 416 Skill: Applied 28) Publicity objectives should take into account the media through which the message will be transmitted and the target audience reached by the media. Audience objectives are expressed in terms of A) CPM B) voice share C) gross impressions D) GRPs E) market share Answer: C Diff: 2 Type: MC Page Reference: 417 Skill: Applied 29) When developing a public relations strategy, the timetable should be designed so that the message A) reaches the general public before trade audiences B) is only released once opinion leaders have endorsed it C) is spread after an advertising campaign has been launched D) does not precede the product's availability E) reaches opinion leaders in advance of the public Answer: E Diff: 3 Type: MC Page Reference: 418 Skill: Applied 30) When a company sponsors an event in order to promote a newsworthy activity related to a product, they are using A) branded content B) product placement C) product seeding D) buzz marketing E) a borrowed-interest strategy Answer: E Diff: 3 Type: MC Page Reference: 418 Skill: Applied 31) In order to find out how much exposure was actually received as a result of their public relations activities, a company performs .

14–7

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e A) lobbying B) market research C) concept testing D) product publicity E) content analysis Answer: E Diff: 1 Type: MC Skill: Recall

Page Reference: 420

32) Aside from press releases and press conferences, the PR arsenal for plan execution includes A) a situation analysis B) aligning with advertising objectives C) reputation management D) content analysis E) annual reports Answer: E Diff: 3 Type: MC Page Reference: 418 Skill: Applied 33) The gathering of news reporters to witness the release of important information about a company or product is a A) feature story B) press release C) press kit D) video news release E) press conference Answer: E Diff: 1 Type: MC Page Reference: 421 Skill: Recall 34) A press release is the term used for a A) document containing the essential elements of a news story B) package that includes press releases and photographs C) document that outlines news and events for employees D) gathering of news reporters E) blog Answer: A Diff: 2 Type: MC Page Reference: 421 Skill: Recall 35) Public relations is often perceived negatively by the consumer—it is associated with terms such as “propaganda” and A) spin B) spam C) buzz .

14–8

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e D) false advertising E) untrustworthy Answer: A Diff: 1 Type: MC Skill: Applied

Page Reference: 425

36) As a means of personalizing a corporation, corporate blogs are written by A) journalists B) industry associations C) celebrities D) lobbyists E) CEOs of large corporations Answer: E Diff: 2 Type: MC Page Reference: 423 Skill: Applied 37) One of the biggest disadvantages of public relations is A) lack of control of the message B) credibility C) persuasiveness D) doesn’t sell products E) doesn’t build relationships Answer: A Diff: 2 Type: MC Page Reference: 425 Skill: Applied 38) When a company uses a tactic that creates an emotional connection with a consumer, the company is using A) experiential marketing B) publicity C) corporate advertising D) sales promotion E) event sponsorship Answer: A Diff: 2 Type: MC Page Reference: 426 Skill: Recall 39) Nike's coordination of various marketing communications activities for road races in large urban markets is an example of A) institutional advertising B) public relations C) event marketing D) sales promotion E) corporate citizenship Answer: C Diff: 2 Type: MC Page Reference: 428 .

14–9

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 40) Event marketing is big business. The sponsorship market in Canada is estimated to be worth A) $3.6 billion B) $1.54 billion C) $7.8 billion D) $2.2 billion E) More than $10 billion Answer: B Diff: 2 Type: MC Page Reference: 428 Skill: Recall 41) Companies financially support events in return for A) names of attendees B) products/services associated with the event C) advertising privileges associated with the event D) VIP privileges associated with the event E) future rental of the event venue Answer: C Diff: 3 Type: MC Page Reference: 428 Skill: Applied 42) In the area of sports sponsorship, the brands that sponsor the Olympics and FIFA World Cup are A) rural B) global C) provincial D) regional E) local Answer: B Diff: 2 Type: MC Page Reference: 428 Skill: Applied 43) The Air Canada Centre, Rogers Arena, Bell Centre and Rexall Place are examples of A) ambush marketing B) festival sponsorship C) experiential marketing D) venue sponsorship E) advertising Answer: D Diff: 2 Type: MC Page Reference: 430 Skill: Applied 44) The International Olympic Committee ambush marketing rules A) protect sponsors .

14–10

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) encourage non-sponsors to place products at the Olympics C) protect athletes from marketers D) advertise sponsors E) link sponsors to venues of the Olympics Answer: A Diff: 3 Type: MC Page Reference: 430 Skill: Applied 45) In the United States, Levi Strauss & Company recently signed a 20-year namingrights deal for the San Francisco 49ers’ brand new stadium. The cost of the deal was A) $100 million B) $5 million C) $300 million D) $220 million E) $15 million Answer: D Diff: 2 Type: MC Page Reference: 431 Skill: Recall 46) The Toronto International Film Festival approaches sponsorships as A) silencing third parties B) a necessary evil C) borrowed interest D) capitalistic E) true partnerships Answer: E Diff: 2 Type: MC Page Reference: 43 Skill: Applied 47) The primary benefit that companies such as BMW and BMO Financial Group gain by sponsoring the arts is A) goodwill from the public B) brand insistence C) an increase in corporate fleet sales D) an increase in repeat sales E) an increase in consumer sales Answer: A Diff: 3 Type: MC Page Reference: 435 Skill: Applied 48) What separates cultural events from sports and entertainment events is A) the number of sponsors B) audience size C) the location D) publicity E) goodwill .

14–11

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Answer: B Diff: 3 Skill: Applied

Type: MC

Page Reference: 435

49) The partnership between a company like CIBC and a non-profit entity such as the Canadian Breast Cancer Foundation is referred to as A) cause marketing B) public relations C) venue marketing D) product placement E) sponsorship Answer: A Diff: 2 Type: MC Page Reference: 434 Skill: Applied 50) Festivals are a worthwhile sponsorship investment because they A) are usually televised B) receive a higher level of media coverage C) have a lower CPM D) reach a youth audience E) reach a cross-section of adult target audiences Answer: E Diff: 3 Type: MC Page Reference: 433 Skill: Applied 51) The need for companies to be differentiated within events they sponsor calls for A) less advertising B) more lower level competitor sponsors C) a wider target audience D) exclusivity E) more companies to share the cost Answer: D Diff: 3 Type: MC Page Reference: 436 Skill: Applied 52) The crucial consideration when sponsoring events is A) exclusivity B) role of the advertising and promotion C) image of the event D) choice of target E) the long-term benefit Answer: D Diff: 3 Type: MC Page Reference: 436 Skill: Applied

.

14–12

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 53) Before committing financial resources to an event, a company should establish firm objectives in terms of A) corporate advertising B) product demonstration C) awareness and association scores D) reach E) geographic selectivity Answer: C Diff: 2 Type: MC Page Reference: 436 Skill: Applied 54) One reason many companies are reluctant to enter into sponsorship programs is because they are A) difficult to implement B) difficult to measure C) prohibitively expensive D) risky to undertake E) a drain on resources Answer: B Diff: 3 Type: MC Page Reference: 437 Skill: Applied 55) In addition to the benefits of awareness and increased sales, event sponsorships can help companies generate A) lower marketing costs B) goodwill C) new clients D) company pride E) lower media costs Answer: C Diff: 2 Type: MC Page Reference: 437 Skill: Applied 56) The industry benchmark for publicity generated for every dollar spent on sports sponsorship is currently A) 6:1 B) 2:1 C) 5:1 D) 3:1 E) 4:1 Answer: E Diff: 2 Type: MC Page Reference: 437 Skill: Recall 57) The primary advantage of event marketing is A) image .

14–13

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e B) increased sales C) media coverage D) new clients E) target marketing Answer: E Diff: 2 Type: MC Skill: Applied

Page Reference: 438

58) The most prominent disadvantage to events and sponsorships is A) the ambush marketing tactics B) the high cost C) the intrusive media coverage D) overcrowding E) the clutter of signage Answer: B Diff: 2 Type: MC Page Reference: 438 Skill: Applied 59) A major challenge of event marketing and sponsorship is A) targeting B) public image C) association scores D) media coverage E) measuring effectiveness Answer: E Diff: 2 Type: MC Page Reference: 438 Skill: Applied 60) McDonald’s kicked off its “Champions of Play” program in conjunction with its ongoing sponsorship of the London 2012 Olympic Games. This is an example of A) cross pollination B) sponsorship agreement C) borrowed-interest strategy D) experiential marketing E) venue marketing Answer: C Diff: 2 Type: MC Page Reference: 418 Skill: Recall 61) Advertising is controlled by the media, whereas public relations is controlled and paid for by a sponsor.

A) True B) False Answer: False Diff: 1 Type: TF Page Reference: 410 Skill: Applied .

14–14

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

62) At the product level, publicity is used to launch goods.

A) True B) False Answer: True Diff: 2 Type: TF Page Reference: 413 Skill: Applied 63) External publics are usually communicated with regularly.

A) True B) False Answer: False Diff: 2 Type: TF Page Reference: 410 Skill: Applied 64) Distributors and suppliers are part of an organization's internal publics.

A) True B) False Answer: True Diff: 2 Type: TF Page Reference: 410 Skill: Applied 65) A smart company today takes a proactive stance and communicates the good things it is doing loudly and clearly.

A) True B) False Answer: True Diff: 1 Type: TF Page Reference: 410 Skill: Applied 66) Corporate public relations delivers a message that shows the good things a company is doing.

A) True B) False Answer: True Diff: 1 Type: TF Page Reference: 410 Skill: Applied 67) A company delivering messages about its stance on protecting the environment is an example of reputation management.

A) True B) False Answer: False Diff: 2 Type: TF Page Reference: 410 Skill: Applied

.

14–15

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e 68) How well an organization manages a crisis situation has a direct impact on how the public perceives the outcome.

A) True B) False Answer: True Diff: 2 Type: TF Page Reference: 411 Skill: Applied 69) 64 per cent of respondents to a survey recalled the Coca-Cola brand versus 39 per cent who recalled the Ford brand after viewing American Idol.

A) True B) False Answer: True Diff: 2 Type: TF Page Reference: 413 Skill: Recall 70) Branded content is when a brand is mentioned on a social media site or within a video game.

A) True B) False Answer: False Diff: 3 Type: TF Page Reference: 414 Skill: Recall 71) Essentially, publicity must be newsworthy; what may seem like news to a company may not be news to the media.

A) True B) False Answer: True Diff: 2 Type: TF Page Reference: 413 Skill: Applied 72) Publicity consists of public interest programs that deal with governments.

A) True B) False Answer: False Diff: 2 Type: TF Page Reference: 412 Skill: Applied 73) Giving a product free to trendsetters who, in turn, influence others to hopefully purchase it is called product seeding.

A) True B) False Answer: True Diff: 2 Type: TF Page Reference: 414 Skill: Recall .

14–16

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e

74) Content analysis refers to knowing how much exposure was actually received as a result of public relations activities.

A) True B) False Answer: True Diff: 2 Type: TF Page Reference: 420 Skill: Recall 75) A borrowed-interest strategy promotes a newsworthy activity that is related to the product in order to spark interest among editors.

A) True B) False Answer: True Diff: 2 Type: TF Page Reference: 418 Skill: Recall 76) The PR arsenal includes web sites, infomercials and rich media.

A) True B) False Answer: False Diff: 3 Type: TF Page Reference: 418 Skill: Applied 77) One of the biggest advantages of public relations is the control of the message by the company.

A) True B) False Answer: False Diff: 2 Type: TF Page Reference: 425 Skill: Applied 78) The primary audience of an annual report consists of current and prospective investors and stakeholders.

A) True B) False Answer: True Diff: 2 Type: TF Page Reference: 424 Skill: Applied 79) Social media has transferred control of the message from the organization to the consumer.

A) True B) False Answer: True Diff: 2 Type: TF Page Reference: 422 .

14–17

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Skill: Applied 80) Venue sponsorship is another form of event sponsorship.

A) True B) False Answer: True Diff: 2 Type: TF Page Reference: 430 Skill: Recall 81) Ambush marketing is a strategy used by sponsors to increase their coverage at a sponsored event.

A) True B) False Answer: False Diff: 2 Type: TF Page Reference: 430 Skill: Applied 82) The Air Canada Centre, Rogers Arena and Rexall Place are all examples of venue marketing.

A) True B) False Answer: True Diff: 2 Type: TF Page Reference: 430 Skill: Applied 83) The industry benchmark for sports sponsorship is currently 4:1, meaning $4 in sponsorship and its marketing support for every $1 spent on exposure (e.g., free air time).

A) True B) False Answer: False Diff: 3 Type: TF Page Reference: 437 Skill: Applied 84) Preteens and teens are difficult to reach through conventional media but can be reached effectively through sponsorship of rock concerts and music tours.

A) True B) False Answer: True Diff: 2 Type: TF Page Reference: 437 Skill: Applied 85) A concern among sponsors is the clutter of advertising and signage at events.

A) True B) False Answer: True .

14–18

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 1 Skill: Recall

Type: TF

Page Reference: 438

86) What is product publicity?

Answer: Publicity is one aspect of public relations. Publicity is news about a product, service, or idea that appears in the print or broadcast media. Essentially, publicity must be newsworthy; what may seem like news to a company may not be news to the media. Newsworthy information includes launching a new product, revealing new information based on research evidence (i.e., a discovery), securing a significant contract that will generate new jobs, and achieving significant sales and profit results.

Diff: 2 Type: ES Page Reference: 412 Skill: Applied 87) What are the basic differences between advertising and public relations?

Answer: In advertising, messages can be controlled by the company whereas in public relations, messages are determined by the media, regardless of the information supplied by the company. Unlike advertising, which is a form of communication paid for by the company, public relations employs a message strategy not usually paid for by the company. Public relations messages appear in the news media, or on social media sites such as Facebook and YouTube, and offer legitimacy that advertising does not.

Diff: 2 Type: ES Page Reference: 410 Skill: Applied 88) Public relations must be sensitive to two different publics. Name and describe these audiences.

Answer: Internal publics are those with whom an organization communicates regularly— employers, distributors, suppliers, shareholders, and customers. External publics are more distant and are communicated with less frequency. They include the media, governments, prospective shareholders, the financial community, and community organizations.

Diff: 2 Type: ES Page Reference: 410 Skill: Recall 89) What role can public relations play for a company facing a crisis?

Answer: Public relations is a vital form of communication for a company during a crisis. It simply makes good business sense to invest in a program that will protect a reputation that takes years to build. How a company manages its public relations during a crisis often influences the final outcome in the public’s mind. When an organization faces a delicate situation, the most critical element is leadership. A strong leader, willing to be visible on all issues, is essential. .

14–19

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 2 Skill: Applied

Type: ES

Page Reference: 410

90) With regard to publicity, list opportunities for communicating newsworthy information about a company to the media.

Answer: Opportunities to communicate newsworthy information include: launching a new product, revealing new information based on research evidence (i.e., a discovery), securing a significant contract that will generate new jobs, and achieving significant sales and profit results. Newsworthy information is usually communicated by a press release or press conference.

Diff: 2 Type: ES Page Reference: 413 Skill: Applied 91) What is product placement? Provide an example.

Answer: Product placement is the insertion of brand logos or branded merchandise into movies, television shows, and video games for clear brand exposure. Apple is an innovator in product placement. Companies that use product placement believe that products featured in shows have more credibility with viewers and have a better chance of being noticed and remembered. The visibility of Coca-Cola logos and products on American Idol and Pepsi-Cola logos and products on The X Factor are examples of product placement.

Diff: 2 Type: ES Page Reference: 413 Skill: Applied 92) What is a borrowed-interest strategy? Give an example.

Answer: A company may employ a borrowed-interest strategy in order to spark interest among editors. A borrowed-interest strategy promotes a newsworthy activity that is related to the product. An example of a borrowed-interest strategy could be when a company or brand participates in or sponsors an event, or if a brand is going to launch a big sales promotion activity to stimulate sales. An Olympic sponsorship is a newsworthy activity for companies such as Bell, Coca-Cola and McDonalds.

Diff: 2 Type: ES Page Reference: 418 Skill: Recall 93) Describe what a company must do to ensure a successful sponsorship.

Answer: There must be sound business reasons for participating, and the activity must be carefully and seamlessly integrated with corporate marketing and marketing communications plans. The organization must leverage its website, incorporate the sponsorship into advertising and public relations campaigns, and run thematic promotions to get all customer groups involved. The various forms of marketing communications must complement each other. .

14–20

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e Diff: 3 Skill: Recall

Type: ES

Page Reference: 437

94) How can public relations aid in a not-for-profit organization's fundraising efforts?

Answer: Some people perceive the organization to be a big “money hole” and wonder where all of the donations go. To change this perception, public relations is used to educate the public about how the funds are used, and therefore to predispose people to give, to solicit commitment, and to make people feel good about giving.

The goal of fundraising campaigns for the not-for profit organizations is to create a positive image and secure support by sending the public a message that clearly states what the organization is all about.

Diff: 3 Type: ES Page Reference: 414 Skill: Applied 95) What criteria should be considered when planning public relations?

Answer: The strategic role of public relations should be examined in terms of how well it can reach opinion leaders well in advance of the general public; maximize the news value of new product introductions, new advertising campaigns, and event sponsorships; time events to reinforce the advertising and sales promotions campaigns and maintain high visibility; and reach markets that might not be targeted by advertising.

Diff: 3 Type: ES Page Reference: 418 Skill: Applied 96) Describe cause marketing and provide an example.

Answer: Cause marketing involves a partnership between a company and a non-profit organization for mutual benefit. The relationship can have a positive effect on a consumer’s perception of the company and its products. People like to do business with companies that support their favourite causes. CIBC enjoys this benefit as the ongoing title sponsor of the Canadian Breast Cancer Foundation CIBC Run for the Cure.

Diff: 2 Type: ES Page Reference: 434 Skill: Applied 97) How has social media affected public relations?

Answer: The emergence of social media has transferred control of the message from the organization to the consumer. Because of social media, many public relations experts recommend a change in the tone and style when delivering company and brand messages. Traditionally, public relations messages have been associated with “spin” – where the organization delivers the message the way they want.

Now organizations need to be transparent if the goal is to engage the public in the conversation. Social media offer new and innovative ways to help a business .

14–21

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e achieve its communications objectives. Social media techniques are much less expensive than traditional advertising. The loss of message control by a company using social media can be weighed against additional exposure and engagement opportunities with potential customers.

Diff: 2 Type: ES Page Reference: 423 Skill: Applied 98) In an era of social responsibility, explain how companies foster a good public image in the communities in which they operate.

Answer: Many companies encourage their employees to give back to the community; some even provide a few hours of work time each week to get involved. Community relations officers of large organizations arrange community events and often provide funds or other resources to sponsor community events and teams. Tim Hortons is an excellent example of a community oriented company. They sponsor many community events such as Timbits Minor Sports, and send thousands of underprivileged kids to camp through the Tim Hortons Children’s Foundation.

Diff: 2 Type: ES Page Reference: 414 Skill: Applied 99) What role would public relations play in a new product introduction?

Answer: In the case of a new product introduction, the role of public relations is to reach those parties who have the power to influence others. Product seeding involves giving a product free to trendsetters who in turn influence others to become aware of a new product and to perhaps purchase the product. Trendsetters create buzz by chatting about the product whenever possible.

Diff: 2 Type: ES Page Reference: 414 Skill: Applied 100) Compare public relations objectives to advertising objectives.

Answer: When a product is being launched, both public relations and advertising focus on creating awareness. Both positively affect attitudes and cause consumers to act.

For public relations, objectives such as building recognition, creating a positive image, introducing new products, and engaging consumers with a brand are realistic objectives. Publicity objectives can be more sharply focused on a specific task and be quantitative. Publicity objectives should include the media used.

Diff: 2 Type: ES Page Reference: 416 Skill: Recall 101) What is a blog and how can it affect an organization?

Answer: A blog is a frequent, chronological publication of personal thoughts at a website.

Blogs are the property and works of people who like to editorialize and, for example, challenge the integrity of an organization. While an organization cannot .

14–22

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e control this situation, it must live with the reality that negative things are being said about it. A corporate blog can be an effective tool to fight back or to present information about a company and its brands. Today, consumer-generated content in a blog carries just as much weight as information presented by corporations and traditional media. Blogs enable companies to speak directly to consumers—many CEOs of large corporations blog. This personalizes the structured corporate world they live in.

Diff: 2 Type: ES Page Reference: 423 Skill: Applied 102) Describe social media and provide examples.

Answer: Social media are the online tools that people use to share content, profiles, opinions, insights, experiences, perspectives and media itself, thus facilitating conversations and interaction online between groups of people. Blogs, online discussion groups, tweets, uploaded photos, video sharing online are among these social media tools. The emergence of social media has transferred control of the message from the organization to the consumer—the consumer can read the message, formulate an opinion on it, and communicate that opinion to others.

Communication has shifted from being a monologue to dialogue.

Diff: 3 Type: ES Page Reference: 422 Skill: Applied 103) How are public relations activities evaluated?

Answer: Public relations activities are evaluated through a variety of research methods that can be either quantitative or qualitative in nature. In some way, results achieved should be compared to the objectives that were originally established for the program. If, for example, the objective of a campaign was to alter the public's perception about a company, a focus group could be used before and after the campaign. Shifts in attitudes and opinions in the post-campaign group would determine the effectiveness of the campaign. Alternatively, a company could conduct a public opinion poll before and after the campaign.

Diff: 2 Type: ES Page Reference: 420 Skill: Applied 104) Outline some vital tips an organization should take to ensure effective communications with the public during a crisis.

Answer: How well an organization manages communications about a crisis has a direct impact on how the public perceives the outcome. In communications, the organization should handle the following: take responsibility for the crisis; one person must assume a leadership role; people need support as well as information about the crisis; communications should be clear about what was wrong, what was being done to fix things, and what steps the organization is taking so that a

.

14–23

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e repeat of the problem doesn’t occur; and once the issue has been contained, the public should be advised that the company is open for business again.

Diff: 3 Type: ES Page Reference: 412 Skill: Applied 105) Explain the concept of venue marketing and provide at least two examples.

Answer: Venue marketing or venue sponsorship is another form of event sponsorship.

Here, a company or brand is linked to a physical site, such as a stadium, arena, or theatre. In Canada, examples include the Air Canada Centre (home of the Toronto Maple Leafs and Raptors), Rogers Arena (home of the Vancouver Canucks), Bell Centre (home of the Montreal Canadiens) and Rexall Place (home of the Edmonton Oilers). Title positions on these venues break through the clutter of other forms of advertising. The cost of venue marketing is high: Air Canada paid $20 million for the naming rights of the Leafs’ home rink.

Diff: 2 Type: ES Page Reference: 430 Skill: Applied 106) What separates cultural event sponsorships from sports and entertainment event sponsorships?

Answer: What separates these events is the audience size. Depending on the sponsor, this can be an advantage or disadvantage. A company such as Molson prefers the mass-audience reach of a sporting event whereas Mercedes-Benz or BMW may prefer to reach a more selective and upscale audience through an arts event.

Perhaps only 2500 people attend a particular cultural event, but those people most likely fit the demographic and psychographic profile of the target market.

Diff: 3 Type: ES Page Reference: 435 Skill: Applied 107) Why is exclusivity important to event sponsors?

Answer: The need for companies to be differentiated within events they sponsor calls for exclusivity, meaning that direct competitors are blocked from sponsorship. Also, a concern among sponsors is the clutter of lower-level sponsors in non-competing categories that reduce the overall impact of the primary sponsor. Typically, sponsorships are offered on a tiered basis with sponsors on lower tiers having fewer privileges.

Diff: 2 Type: ES Page Reference: 436 Skill: Recall 108) What is the role of a press conference?

Answer: A press conference is a gathering of news reporters invited to witness the release of important information about a company or product. Because the conference is time consuming for the media representatives, it is usually reserved for only the .

14–24

Test Item File to accompany Tuckwell, Canadian Advertising in Action, 10e most important announcements. Information about a crisis situation, or the signing of a sports star, for example, is usually handled by a press conference.

Diff: 2 Type: ES Page Reference: 421 Skill: Applied 109) Explain the disadvantages of event marketing and sponsorship.

Answer: The most prominent disadvantage is cost. Any event on a national or international scale involves significant financial commitment, and to enjoy the benefits of such events, the commitment is necessary for an extended period. Opting in and out of big events leaves a confusing image with the public. One complaint commonly raised by event participants is the clutter of advertising and signage at events. As well, the presence of ambush marketing tactics by competitors is diluting the product category exclusivity aspect of event participation. Finally, accurately measuring the effectiveness of the event or sponsorship is difficult.

Diff: 2 Type: ES Page Reference: 438 Skill: Applied 110) How can a corporate or brand website be used as a public relations tool?

Answer: Since the purpose of the website is to communicate information about a company or brand, it can be an effective public relations tool. Visitors to a web site quickly form an impression about the company based on the experience they encounter at the site. Therefore, the site must download quickly and be easy to navigate.

Including some form of entertainment or interactive activity also enhances the visit. The website provides an opportunity to inform the public of an organization's latest happenings. It is now quite common to post all press releases about a company on a corporate web site.

Diff: 2 Type: ES Page Reference: 421 Skill: Applied

.

14–25