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The use of e-mail as a marketing tool has really only been used by the usual e-commerce companies, such as Amazon.com.

A) True
B) False

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Name and define the three types of lists.

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Delivering ads through phone calls is known as ________.


A) phone marketing
B) telemarketing
C) one-to-one marketing
D) predictive marketing
E) inbound telemarketing

F) C) and E)
G) A) and D)

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Outbound telemarketing means the call center staff are calling unqualified numbers, sometimes just randomly selected, and this practice has a much lower response rate.

A) True
B) False

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Which type of list is the most valuable list to a marketer?


A) data list
B) house list
C) compiled list
D) response list
E) prospect list

F) B) and E)
G) C) and D)

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Which of the following is NOT an advantage of direct marketing over indirect marketing?


A) reduced waste
B) flexibility in both form and timing
C) ability to reach everyone in the marketplace
D) purchase not restricted to a location
E) marketer controls the product until delivery

F) A) and E)
G) D) and E)

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Which basic objective of direct marketing focuses on getting customers to order products and make payments or take some other action, such as visiting a dealer, returning a response card, or visiting a web site?


A) lead generation
B) traffic generation
C) create sales
D) enhancing awareness
E) enhancing attitude

F) B) and D)
G) A) and C)

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Direct marketers purchase or rent lists from ________.


A) list brokers
B) list managers
C) list owners
D) list retailers
E) list distributors

F) A) and B)
G) B) and E)

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Where does the database marketing process begin?


A) data entry
B) data clustering
C) information collection point
D) data assessment
E) data sharing

F) A) and D)
G) All of the above

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In newspapers, response cards may be either bind-ins or blow-ins.

A) True
B) False

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Which of the following is a disadvantage of catalogs?


A) high response rates
B) low cost per thousand
C) targeted
D) positive perceptions
E) all of the above

F) C) and E)
G) All of the above

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Although e-mail marketing is a very cost-effective way to reach millions of consumers, many people view it negatively and call it spam. Explain what spam is, and how can legitimate direct marketers respond to the criticisms surrounding e-mail marketing.

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Customer relationship management (CRM) identifies and analyzes patterns in customer behavior to maximize the profitability of each relationship.

A) True
B) False

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Sandy likes to read magazines while she works out on the elliptical machine at her health club. However, she hates the cards that fall out when she turns the pages, so the first thing she does when she gets a magazine is shake all those out into the trash. What are those cards called?


A) bind-ins
B) puff-ins
C) blow-ins
D) tie-ins
E) supplements

F) C) and E)
G) B) and D)

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Which of the following is a contact element that can be included in a direct-response advertisement?


A) toll-free phone number
B) order coupon
C) email address
D) web site address
E) all of the above

F) C) and D)
G) A) and E)

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A business responsible for making sure consumers receive whatever they requested in a timely manner in direct-response marketing is known as a service firm.

A) True
B) False

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MINI-CASE Solumbria, a company that sells medically recommended sun protective clothing, has ads in several different magazines that give consumers information about their products. The headline says "Serious Sun Protection" surprinted over a man and a woman dressed head to toe in the protective clothing. The body copy then goes on to tout the benefits of sun protection, their clothing, and how dermatologists have recommended Solumbria for their patients. The last paragraph of the copy says "For a FREE catalog of Solumbria hats, shirts, pants and accessories for men, women and children, call Sun Precautions: 1-800-882-7860." The ad also provides a web address. -Refer to Mini-Case. What type of offer does this ad represent?


A) one-step
B) two-step
C) primary
D) secondary
E) indirect

F) C) and D)
G) B) and D)

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MINI-CASE Solumbria, a company that sells medically recommended sun protective clothing, has ads in several different magazines that give consumers information about their products. The headline says "Serious Sun Protection" surprinted over a man and a woman dressed head to toe in the protective clothing. The body copy then goes on to tout the benefits of sun protection, their clothing, and how dermatologists have recommended Solumbria for their patients. The last paragraph of the copy says "For a FREE catalog of Solumbria hats, shirts, pants and accessories for men, women and children, call Sun Precautions: 1-800-882-7860." The ad also provides a web address. -Refer to Mini-Case. Once a consumer calls the phone number or visits the web site, he or she can purchase products by phone, mail, or the Internet. Which step of the direct marketing process gets the product to the customer who ordered it?


A) objectives/strategy
B) the offer
C) response/order
D) fulfillment
E) relationship building

F) None of the above
G) A) and B)

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Anthony working on an account interested in direct marketing targeting men who own sports cars. Anthony needs a _______ list?


A) marketing
B) house
C) response
D) satisfaction
E) compiled

F) A) and E)
G) C) and D)

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What does CRM stand for?


A) customer retention marketing
B) customer relationship management
C) customer retention management
D) continuity, retention, and monetary value, which are measures of direct marketing success
E) customer relationship marketing

F) A) and E)
G) B) and E)

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