MKTG 301 - Practice Questions: Chapters 5,6,7

MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question.
1) Any direct interface between customers and a companywhether it is online, in-person, or over the phoneis called a(n)
________.
1) _________
A) touchpoint
B) customer target
C) customization
D) share of customer
E) analytic
2) Companies that successfully practice customer relationship management measure success by ________.
_________

2)

A) share of customer and lifetime value of the customer

B) PRIZM and VALS
C) cost of customer and duration of relationship with customer
D) business potential and industry potential
E) share of market and market growth rate
3) To determine ________, firms compare the investments they make in acquiring and retaining customers to the financial
return on those investments.
3) _________
A) positioning
B) brand personality
C) segmentation
D) share of customer
E) customer equity
4) Companies are most likely to use data mining results identifying unprofitable customers for ________. 4) _________
A) customer abandonment
B) customer retention
C) customer acquisition
D) customer loyalty
E) market basket analysis
5) Through ________ pricing, a marketer pays for an advertisement based on how many times an advertisement appears
on a webpage viewed by users. 5) _________
A) cost per order
B) cost per customer
C) cost per click
D) cost per impression
E) cost per conversion
6) A real estate company places ads on a local newspaper's website. The real estate company pays the newspaper based on
how many times readers of the newspaper's website select the ads and enter the real estate company's website. This is an
example of ________ pricing.
6) _________
A) cost per order

B) cost per click

C) cost per impression
D) cost per conversion
E) cost per customer
7) ________ are measures that marketers can use to watch the performance of their marketing efforts.

7) _________

A) Touchpoints
B) Data warehouses
C) Marketing metrics
D) Predictive analytics
E) Marketing controls
8) A consumer identifies evaluative criteria during the ________ step of the consumer decision-making process.
_________

8)

A) product choice
B) evaluation of alternatives
C) problem recognition
D) information search
E) postpurchase evaluation
9) Consumer satisfaction/dissatisfaction is part of the ________ step of the consumer decision-making process.
_________

9)

A) product choice
B) problem recognition
C) information search
D) postpurchase evaluation
E) evaluation of alternatives
10) The three main categories of influences that affect the consumer decision-making process are ________.
________

10)

A) environmental, familial, and sociocultural

B) internal, situational, and social
C) environmental, personal, and sociocultural
D) physical, emotional, and behavioral
E) sociocultural, behavioral, and external
11) Which of the following is the lowest level of needs on Maslow's hierarchy of needs?
A) physiological needs
B) ego needs
C) belongingness needs
D) self-actualization needs
E) social needs

11) ________

12) There are people who have similar income and education levels and often share tastes in clothing, decorating styles,
and leisure activities. These people also share many political and religious beliefs as well as ideas regarding valued
activities and goals. These people could all be categorized as being in the same ________. 12) ________
A) operant conditioning set
B) social class

C) regional group
D) microculture
E) family life cycle
13) The founder of the upscale shoe company Harry's Shoes Ltd. persuaded actors to wear prototypes of his company's
shoes to the Oscars. This shoe company believed that the actors would be ________ for the company.
13) ________
A) stewards
B) mass-classes
C) subcultures
D) opinion leaders
E) heuristics
14) Although much of the equipment used by dentists is thrown away after one use, many of the instruments used to
clean teeth, fill cavities, and deal with impactions and other dental problems are made of steel and must be sterilized. A
dentist is considering replacing his conventional steam sterilizer with a chemical sterilizer that cleans without rusting or
corroding instruments. Because the dentist is already familiar with sterilizers, he is looking to find the best price possible
on a chemical sterilizer. He is engaged in a ________.
14) ________
A) reverse marketing purchase
B) customer-reference purchase
C) modified rebuy
D) straight rebuy
E) reciprocal purchase
15) The group of people in the organization who participate in the purchase decision-making process is referred to as the
________.
15) ________
A) gatekeeper
B) purchasing office
C) buying center
D) purchasing hierarchy
E) resource center
16) Age, gender, place of residence, and income are all examples of ________.
A) positioning strategies
B) targeting strategies
C) segmentation variables
D) psychographics
E) market fragment strategies

16) ________

17) The supermarket sells boxes of pink diapers and blue diapers. This is an example of segmenting by ________. 17)
________
A) geocoding
B) ethnicity
C) social class
D) gender
E) age
18) Which of the following is a segmentation technique that combines geography with demographics?

18) ________

A) geocoding
B) geotargeting
C) geodemography
D) psychographics
E) geodiversity
19) According to the 80/20 rule, which of the following is true? 19) ________
A) 80 percent of a product's marketing cost should be equal to 20 percent of the firm's total marketing budget.
B) 20 percent of a product's customers account for 80 percent of the product's marketing expenditures.
C) 80 percent of a product's sales come from 20 percent of the product's purchasers.
D) 80 percent of a product's customers account for 20 percent of the product's marketing expenditures.
E) 80 percent of a product's market should be consumers who are 20 or older.
20) To market Suave shampoo, Unilever used PRIZM to identify neighborhoods with high concentrations of young
working women. These women responded best to advertisements conveying the message that Suave is inexpensive, yet
will make their hair "look like they spend a fortune on it." What segmentation tool did Unilever use in this example?
20) ________
A) geotargeting
B) ethnography
C) geodemography
D) projective techniques
E) the hierarchy of needs
21) Starting in February and ending sometime in late April, department stores promote the fact that they stock a wide
range of formal attire for high school proms. The dresses and tuxedos are available year-round, but the heaviest
promotion of these products occurs in spring, when most proms are held. This spring promotion to high school students
is based primarily on ________. 21) ________
A) usage occasion
B) geodemography
C) social class
D) lifestyle
E) psychographics
22) Before selecting a targeting strategy, marketers should ________.
A) implement a positioning strategy
B) finalize the marketing mix
C) select media for an advertising campaign
D) develop segment profiles
E) compare target markets

22) ________

23) Which of the following best explains why a company would adopt an undifferentiated targeting strategy?
________

23)

A) to more efficiently focus on customer relationship management

B) to take advantage of economies of scale
C) to reach the underserved "bottom-of-the-pyramid" consumers
D) to move a product to the next stage of its product life cycle
E) to remove the need for disintermediation
24) Jolene Enterprises mass produces an all-purpose floor cleaner, mass distributes it, and mass promotes it. This firm

uses a(n)________.

24) ________

A) undifferentiated targeting strategy

B) segmented strategy
C) differentiated targeting strategy
D) concentrated targeting strategy
E) focused targeting strategy
25) Which of the following would most likely be used in the process of developing and implementing a positioning
strategy?
25) ________
A) NAICS
B) a perceptual map
C) VALS
D) a geographic information system
E) PRIZM
Questions 26 28 refer to the data provided in the chart below.
Keyword

Clicks

kale recipe 169

local kale 146
shake
Kale
79
Delightz
healthiest 75
shake
healthy shake 10
snack
extreme 5
health shake
veggie

Impressions

Average
Cost per
click
$0.30
$0.50

Total
Cost

Average
Position

Conversion

Cost per
conversion

Conversion
rate

10,000
3,000

Click
through
rate
1.69%
4.87%

$50.70
$73.00

3.2
4.3

3
3

$16.90
$24.33

1.78%
2.05%

2,000

3.95%

$0.50

$39.50

2.0

$7.90

6.33%

1,819

4.12%

$0.55

$41.25

1.2

$41.25

1.33%

1,500

0.67%

$0.65

$6.50

1.6

$6.50

10.00%

112

4.46%

$0.25

$1.25

1.1

$1.25

20.00%

26) Which keyword has the worst Average position?

A) kale recipe
B) local kale shake
C) healthiest shake
D) healthy shake snack
E) tasty kale workout
27) Which keyword is the most efficient at generating conversions?
A) local kale shake
B) Kale Delightz
C) healthiest shake
D) healthy shake snack
E) extreme health shake veggie
28) Which keyword is reaching the widest audience?
A) kale recipe
B) local kale shake
C) healthiest shake

D) healthy shake snack

E) tasty kale workout

1) A
2) A
3) E
4) A
5) D
6) B
7) C
8) B
9) D
10) B
11) A
12) B
13) D
14) C
15) C
16) C
17) D
18) C
19) C
20) C
21) A
22) D
23) B
24) A
25) B
26) B
27) E
28) A