Digital Marketing Strategy 3e by Simon Kingsnorth Chapter 1: The foundations of digital marketing Test bank answers 1. a), b), d), e) 2. False 3. c) 4. b) 5. b) 6. c) 7. a) 8. d) 9. True 10. False: 11. b) 12. False 13. c) 14. b) 15. b) 16. True 17. a) 18. c) 19. c) 20. a), b)
Digital Marketing Strategy 3e by Simon Kingsnorth Chapter 1: The foundations of digital marketing Test bank 1. Which four of the following make up ‘The 4 Ps of Marketing’? a) Price b) Promotion c) Process d) Place e) Product 2. True or false: ‘Below-the-line’ promotion refers to mass marketing such as TV adverts. 3. Which one of the following is NOT one of Porter’s Five Forces? a) Threat of new entrants b) Bargaining power of suppliers c) Bargaining power of competitors d) Threat of substitute products or services 4. A Brand or Perceptual Positioning Map maps a company’s position in the market from which perspective? a) Suppliers b) Consumers c) Competitors d) Regulators 5. What does CPA stand for? a) Customer per acquisition b) Cost per acquisition c) Cost per average margin d) Customer per average cost 6. What does CLTV stand for? a) Competitor Lifetime Value b) Customer Lifetime View c) Customer Lifetime Value d) Competitor Lifetime View 7. What is the formula for calculating CLTV? a) CLTV = Lifetime x Avg margin b) CLTV = Lifetime x Avg cost c) CLTV = Lifecycle x Avg price d) CLTV = Lifecycle x Avg revenue 8. What type of segmentation groups customers by age range?
a) b) c) d)
Geographic Benefit Psychographic Demographic
9. True or false: Geographic marketing can help inform data selection for digital marketing strategy. 10. True or false: People in the same demographic will often behave similarly. 11. Why is it important to work with up-to-date behavioural data? a) Because customers may move to a new area b) Because customers may experience lifestyle changes c) Because customers may change their job d) Because customers may hear about a competitor. 12. True or false: The benefits of a product will be the same for everyone within a segment. 13. Which type of segmentation would help a company to understand whether their customers are motivated by ‘green’ products? a) Benefit b) Behavioural c) Psychographic d) Geographic 14. How many personas would a business create, on average? a) 1-5 b) 5-10 c) 10-15 d) 15-20 15. What do the letters on the BCG Matrix stand for? a) Boston Consumer Group b) Boston Consulting Group c) Bolton Consulting Group d) Bolton Consumer Group 16. True or false: Products categorized as ‘Dogs’ tend to break-even. 17. Which products give a high market share in a high-growth environment? a) Stars b) Dogs c) Cash cows d) Question marks 18. A digital marketing business may seek to move SEO from what to what on the BCG Matrix?: a) A Cash cow to a Star
b) A dog to a Cash Cow c) A Question mark to a Star d) A Question mark to a Cash cow 19. Which product category on the BCG Matrix requires an investment decision to be made? a) Cash cow b) Star c) Question mark d) Dog 20. What does the BCG show? There may be more than one correct answer. a) The position and value of each product b) The cashflow and profitability of each product c) The position and benefit of each product d) The strategy for marketing each product
Discussion questions: 1) What does the threat of new entrants in the marketplace mean for digital marketing? 2) How can psychographic segmentation inform digital marketing strategy? 3) What type of digital marketing questions could the Boston Consulting Group (BCG) Matrix be used to address?
Digital Marketing Strategy 3e by Simon Kingsnorth Chapter 2: Understanding the digital ecosystem Test bank answers 1. c) 2. b) 3. True 4. a), d) 5. c) 6. a), b), d) 7. False 8. a), c) 9. False 10. a), b) 11. b) 12. b) 13. False 14. a), b), d) 15. d) 16. b) 17. True 18. a) 19. c) 20. b)
Digital Marketing Strategy 2e by Simon Kingsnorth Chapter 2: Understanding the digital ecosystem Test bank 1. Which of the following is NOT an element of the digital ecosystem? a) Brand and proposition effect b) The halo effect c) Outdoor advertising d) Attribution and omni-channel 2. What digital marketing might companies start with if they are on a limited budget? a) PPC b) SEO c) Banner advertising d) Apps 3. True or false: PPC can inform SEO strategy. 4. What two factors make some search words expensive? a) Volume b) Attribution c) Social media d) Competition 5. How often should SEO analytics be reviewed? a) Daily b) Weekly c) Monthly d) Yearly 6. What three trends might show up in SEO analysis? a) Topics b) Device c) Age d) Time of day 7. True or false: SEO should be separate from content. 8. Which two of the following affect social media impact? a) Regularity of posts b) Banner ads c) Engagement d) Up-to-date data 9. True or false: The number of social media followers a company has demonstrates impact.
10. Why is content strategy important? There may be more than one correct answer. a) To be ready to react to opportunities b) To have content that can be used across channels c) To be able to segment customers d) To understand the position and value of a product 11. Select the correct option below to complete this statement: ‘Content strategy should be…’ a) Reactive b) Proactive c) Deductive d) Passive 12. Which one of the following factors informs which channels are chosen for content strategy? a) Time of day b) Relevance c) PR d) Brand perception 13. True or false: Display advertising just refers to banner ads. 14. Why is it important to ensure customer data is up-to-date? There may be more than one correct answer. a) To target customers with the right message b) To send messages at the right time c) To obtain personal information on customers d) To avoid breaching regulations 15. Which of the following is less likely to play a part on brand perception? a) Downsizing decisions b) PR c) Customer service d) Company costs 16. What is the halo effect a result of? a) Below-the-line advertising b) Above-the-line advertising c) Across-the-line advertising d) None of the above 17. True or false: The halo effect could result in higher app downloads. 18. Which of these statements is true? a) All marketing activities should reinforce a brand b) Only digital marketing activities should reinforce a brand c) Only offline marketing activities should reinforce a brand d) Social media cannot reinforce a brand
19. What does ‘attribution and omni-channel’ refer to? a) Digital ecosystem channels working separately b) Digital ecosystem channels being linked through SEO c) Digital ecosystem channels interacting and being tracked together d) Digital ecosystem channels interacting but being tracked separately 20. Which of the following affects every metric? a) SEO b) Customer satisfaction c) Data strategy d) The halo effect
Discussion questions: 1) How can PPC and SEO influence each other to benefit a company’s digital marketing strategy? 2) Think of an example of content that could be could used across multiple formats. What would be the most appropriate channel for each format? 3) Think of an example of where the halo effect may have played a part in the success of a well-known brand or campaign.
Digital Marketing Strategy 3e by Simon Kingsnorth Chapter 3: Integrating digital into wider organization strategy Test bank answers 1. d) 2. d) 3. a) 4. False 5. a), b), c), d) 6. a), b) 7. c) 8. False 9. a), b), c) 10. b) 11. False 12. a) 13. True 14. False 15. a), b), c) 16. c) 17. b) 18. d) 19. d) 20. a)
Digital Marketing Strategy 3e by Simon Kingsnorth Chapter 3: Integrating digital into wider organization strategy Test bank 1. Which of the following Is not part of the framework of a business? a) Company structure b) Regulatory challenges c) Culture d) Competitor structure 2. Which one of the following is not a common business model? a) Niche B2C b) Mass market B2C c) B2B d) B2S 3. What does FMCG stand for? a) Fast-moving consumer goods b) Fast-moving culture globally c) Fast-margin consumer goods d) Free-moving customer groups 4. True or false: Freemium is a business model where everything is available for free. 5. Which of the following challenges relate to globalization? There may be more than one correct answer. a) Payment methods b) Internet connection c) Language d) Culture 6. Which of the following statements is correct? There may be more than one correct answer. a) Global strategy can include an aim to minimize global presence. b) Using different alphabets may be a challenge online. c) Global strategy means ensuring products are relevant worldwide. d) Smartphones are not a factor in global strategy. 7. Which of the following encompasses what ‘Brand’ refers to? a) Values b) Visual identity c) Values and visual identity d) Digital design guidelines 8. True or false: A company’s mission sits above its vision. 9. Which of the following influence culture? There may be more than one correct answer.
a) b) c) d)
Location Leadership Office layout Revenue
10. Which digital marketing channel would best suit a customer service focused business? a) PPC b) Social media c) Banner ads d) SEO 11. True or false: Innovation refers specifically to technology. 12. Which of the following definitions of innovation is most accurate? a) Innovation is the development of new ideas and the application of those ideas to the progress of the company b) Innovation is the development of new ideas whether applied to the company or not c) Innovation is the development of ideas led by a single person and applied to the company d) Innovation is the development of ideas across the company, whether applied or not. 13. True or false: Research is vital to drive strategy. 14. True or false: Research can predict the future. 15. Which of the following can research show? There may be more than one correct answer. a) Buying patterns b) Customer interests c) What customers are dissatisfied with d) What customers think of competitors 16. What can’t quantitative research provide? a) The what b) The where c) The why d) The when 17. What can qualitative research provide? a) Data to apply to sales b) The motivations of customers c) Competitor information d) Company vision 18. What does KPI stand for? a) Key process indicator b) Key profit indicator c) Key product indicator
d) Key performance indicator 19. Which one of the following is not a KPI? a) Customer satisfaction b) Profit c) Sales d) Customer motivation 20. What should digital marketing KPIs be aligned with? a) Broader business KPIs b) Innovation c) Business culture d) Business model
Discussion questions: 1) Which business model would be suitable for a business providing digitization of VHS recordings? What should their digital strategy focus on? 2) Discuss the benefits and risks of a freemium business model. 3) Consider how a business’s culture could affect its KPIs.
Digital Marketing Strategy 3e by Simon Kingsnorth Chapter 4: Understanding the evolving digital consumer Test bank answers 1. True 2. a), c) 3. False 4. b) 5. a), b), d) 6. True 7. a), b) 8. True 9. False 10. a) 11. b) 12. c) 13. a), b) 14. c) 15. b) 16. d) 17. b) 18. a), b) 19. b) 20. a)
Digital Marketing Strategy 3e by Simon Kingsnorth Chapter 4: Understanding the evolving digital consumer Test bank 1. True or false: Everyone is somewhere on the digital scale. 2. Which two of the following are considerations for digital consumers being anywhere? a) Internet connectivity b) SEO c) Sound on videos d) Images on websites 3. True or false: Most digital consumers are young. 4. Which one of the following is a ‘pull’ factor? a) New developments in technology b) Consumers demanding faster shopping c) Consumers shopping from their beds d) Companies offering discounts 5. Which of the following are factors in digital consumer decision-making? There may be more than one correct answer. a) Price b) Shipping cost c) Revenue d) Discounts 6. True or false: Consumers are involved in decisions about how their data is used. 7. Which of the following are ‘push’ factors? There may be more than one correct answer. a) Tablets b) Smartphones c) Customer demand d) Customer response 8. True or false: 4G is now available across three quarters of the world. 9. True or false: Segmentation is the same as personalization. 10. Which of the following statements is true? a) More purchasers use mass online marketplaces than niche sites b) More purchasers use niche sites than online marketplaces c) More purchasers access online marketplaces on Smartphones than tablets d) More purchasers access online marketplaces when travelling
11. Which word completes this sentence: ‘Digital consumer behaviour is constantly…’ a) Static b) Changing c) Push d) Pull 12. Which of the following is the correct definition of a digital native? a) Someone who uses digital technology b) Someone who was alive before digital technology c) Someone who has grown up with digital technology d) Someone who influences digital technology 13. What approach suits personalization? There may be more than one correct answer. a) Targeted b) Direct c) Segmented d) Mass 14. If someone was ‘wholly digital’, what would this mean? a) That they used digital technology for certain tasks b) That they did all their shopping online c) That they have a ‘digital first’ approach d) That they have a Smart home 15. Which of the following is a benefit to being someone born in a ‘pre-digital’ generation? a) They have grown up with technology b) They have seen changes in technology c) They have had to teach themselves technology d) There are no benefits 16. Which of the following words completes this sentence: ‘Each consumer is…’ a) Digital b) Native c) Social d) Individual 17. Which one of the following describes how ‘push’ factors work? a) They change consumer behaviour as consumers have asked for it b) They change consumer behaviour even though consumers didn’t ask for it c) They change products by responding to consumer behaviour d) They change products by predicting consumer behaviour 18. If someone was at a mid-point on the digital scale, which of these might describe their behaviour? There may be more than one correct answer. a) They use a Smartphone for social media every day, but nothing else b) They use a Tablet to read newspapers but prefer printed books
c) They use a mobile phone only to make calls and are not on social media d) They use a computer in the office but do not own a Smartphone 19. Which one of the following is responsible for many digital ‘push’ factors? a) Smartphones b) Internet connectivity c) Online marketplaces d) Social media 20. Why must companies constantly change? a) Because consumers will b) Because they are regulated c) Because of social media d) Because of digital natives
Discussion questions: 1) Consider all of the factors which might be important with digital consumers being anywhere. How would this affect digital marketing strategy? 2) Which factors have most influence – push or pull? 3) How do you think digital consumers will change in the next 5 years?
Digital Marketing Strategy 3e by Simon Kingsnorth Chapter 5: Barriers, considerations and data protection in digital marketing strategy Test bank 1. Which of the following have resulted in barriers or considerations for digital marketing? There may be more than one correct answer. a) GDPR b) Social media c) Smart devices d) The internet 2. True or false: Social media has created skills gaps. 3. True or false: Digital marketing is totally reliant on digital skills. 4. What is someone called who is slow to take up technology? a) A laggard b) An innovator c) A digital native d) A barrier 5. Which of the following is NOT a barrier to a company adopting new technology? a) Lack of historical performance b) The cost of upskilling c) Getting buy-in from senior leadership d) Consumer internet usage 6. What are two methods for addressing skills gaps? a) Training b) Competition c) Recruitment d) Strategy 7. True or false: If everyone is ‘in the same boat’ then there is no competitive disadvantage. 8. What is the preferred route to addressing skills gaps when a team already exists? a) Learning on the job b) Recruitment c) Trial and error d) Training 9. Which of the following is a resource challenge? There may be more than one correct answer. a) Head count b) Budget
c) Regulation d) Time 10. Which of the following is NOT a project management method? a) PRINCE2 b) Agile c) Active d) Lean 11. Which type of chart shows the elements of a project, the timelines and how they fit together? a) Grant b) Gantt c) Graph d) Gate 12. Which of the following is a challenge to business priorities? There may be more than one correct answer. a) The economy b) A new CEO is appointed c) Recruitment of a new social media manager d) Regulation changes 13. True or false: It is important to build some ‘quick wins’ into a strategy. 14. What is the name for the back-up plan to put in place when adopting new technology? a) Roll-out plan b) Roll-back plan c) Roll-stop plan d) Roll-tech plan 15. True or false: Individuals may be innovators in some areas and laggards in others. 16. Which of the following can help with training? There may be more than one correct answer. a) Recruiting new people with the required skills b) Seeing if anyone in the organisation has existing skills c) Seeing if partner organisations can offer learning d) Learning on the job 17. Which of the following is NOT a benefit of training? a) It is cheaper than recruitment b) The spend can be justified by the outcome c) A team can be trained together d) Trial and error allows for learning 18. Which of the following statements are true with regard to technology? There may be more than one correct answer.
a) b) c) d)
Companies may adopt technology before their customers are ready for it Companies may adopt technology because it is available Companies may adopt technology to meet customer expectations Companies may adopt technology due to GDPR
19. Where do the ‘Late Majority’ sit on the Technology Adoption Curve? a) Between Innovators and Early Majority b) Between Early Majority and Laggards c) Between Early Adopters and Laggards d) Between Laggards and Innovators 20. What is it important to always have in place to ensure business priorities can be achieved? There may be more than one correct answer a) Milestones b) Training c) A back-up plan d) Recruitment
Discussion questions: 1) Where do you think you sit on the Technology Adoption Curve, and why? 2) What challenges could a social media platform face if unexpected regulation was put in place and a new CEO was appointed at the same time? 3) What sort of ‘quick wins’ could a digital marketing strategy consider?
Digital Marketing Strategy 3e by Simon Kingsnorth Chapter 5: Barriers, considerations and data protection in digital marketing strategy Test bank answers 1. a), b), c) 2. True 3. True 4. a) 5. d) 6. a), c) 7. True 8. d) 9. a), b), d) 10. c) 11. b) 12. c) 13. False 14. b) 15. True 16. b), c) 17. d) 18. a), c) 19. b) 20. a), c)
Digital Marketing Strategy 3e by Simon Kingsnorth Chapter 6: Enabling technologies for online marketing and digital transformation Test bank answers 1. c) 2. False 3. a), c), d) 4. b) 5. b) 6. True 7. a), c) 8. True 9. b) 10. d) 11. True 12. True 13. d) 14. c) 15. c) 16. b) 17. a) 18. c) 19. a) 20. c)
Digital Marketing Strategy 3e by Simon Kingsnorth Chapter 6: Enabling technologies for online marketing and digital transformation Test bank 1. a) b) c) d)
Which of the following defines digital transformation? A company embedding digital technology A company creating a digital version of a product A company transforming its culture A company creating a proof of concept
2. True or false: Digitization and digitalization are the same thing. 3. Which of the following are hallmark traits of digital transformation? There may be more than one correct answer. a) A can do, collaborative attitude b) Embedding digital into existing processes c) Agile and adaptive ways of working d) A focus on outcomes rather than process 4. Why is it important to understand the drivers for digital transformation? a) Because it can require changes in roles b) Because it can be costly c) Because it could be regulated d) Because it needs to align with existing processes 5. Which generational demographic comprises most of the workforce? a) Baby Boomers b) Millennials c) Generation X d) Generation Z 6. True or false: If a company fits its existing processes into digital transformation, this is evolution, not transformation. 7. Which of the following can be barriers to digital transformation? a) Budgets b) Agile methodologies c) Legacy systems d) Millennials 8. True or false: The business model of a company must be reviewed as part of digital transformation. 9. According to McKinsey’s 2017 study, what percentage of industries are digitized? a) Less than 30 per cent