Mktg 301 Final Exam
Comprehensive Questions with
Verified Answers Graded A+
Selling Concept vs Marketing Concept
What are *Promotions*? - Answer: The ways in which marketers *communicate* to the
customer using *integrated marketing* (short & long term)
Integrated Marketing - Answer: - Short & long term ways of reaching the customer
*- Short term:* Starbucks star dash, fundraising events
*- Long term:* Budweiser, Geico
Promotion Mix Tools - Answer: *1. Advertising*
*2. PR/Publicity*
*3. Direct Marketing*
*4. Sales Promotion*
*5. Personal Selling*
Goals of Promotion Mix - Answer: - To persuasively *communicate customer value* and build
customer relationships
- To deliver a *clear, consistent, and compelling* message (by using same font, colors, music
across all advertising)
- "Integrated Marketing Communications:" using multiple mechanisms
,Advertising (#1 of promo mix) - Answer: Key characteristics:
*- Paid*
*- Nonpersonal communication*
*- Identified sponsor*
Brand Content Management - Answer: Juggling *paid, owned, shared, and earned media*
Paid Media - Answer: Advertisements and billboards paid for by the company
Owned Media - Answer: Internet sites, such as websites, blogs, Facebook, and Twitter accounts,
that are owned by an *advertiser*
Shared Media - Answer: Media shared by *consumers* with other consumers via social media,
blogs, and word of mouth
Earned Media - Answer: Media exposure that comes without payment (such as features on the
Today Show or Ellen)
Broadcasting/Narrowcasting - Answer: Companies are doing less *broadcasting* and more
*narrowcasting* as a result of more focused and segmented media
Madison & Vine (aka Product Placing) - Answer: - When *advertising and entertainment* merge
together (NYC & Hollywood)
- Cost effective
- Higher reach bc it's embedded in movies
Product Placement ex. - Answer: - Apple represents 30% of all placements
, - Grey Poupon mentioned in rap music
Informative Advertising - Answer: - Build *primary* demand (knowledge)
- Good for introducing a *new product category*
- ex: iPhone commercial informing people how to use it when it was first released
Persuasive Advertising - Answer: - Build *secondary* demand (preference)
- Good for direct or indirect *brand comparisons*
- ex: choose Energizer bc it's the *longest lasting* battery
Reminder Advertising - Answer: - Increase *frequency* of purchase
- Good for *mature products* (cash cows) and *seasonal* products
- ex: creating a *new image* around the Bud Light brand with "Dilly Dilly"
Budget Decisions - Answer: *1. Affordable method*
*2. Percentage-of-sales method*
*3. Competitive-parity method*
*4. Objective-and-task method*
Affordable method - Answer: How much can we *afford* to advertise?
Percentage-of-sales method - Answer: Industry average spends *3% of sales on advertising,*
but it varies for each sector
Competitive-parity method - Answer: Matches whatever your competitors are spending (ex:
Pepsi spends same amount as Coke)
Comprehensive Questions with
Verified Answers Graded A+
Selling Concept vs Marketing Concept
What are *Promotions*? - Answer: The ways in which marketers *communicate* to the
customer using *integrated marketing* (short & long term)
Integrated Marketing - Answer: - Short & long term ways of reaching the customer
*- Short term:* Starbucks star dash, fundraising events
*- Long term:* Budweiser, Geico
Promotion Mix Tools - Answer: *1. Advertising*
*2. PR/Publicity*
*3. Direct Marketing*
*4. Sales Promotion*
*5. Personal Selling*
Goals of Promotion Mix - Answer: - To persuasively *communicate customer value* and build
customer relationships
- To deliver a *clear, consistent, and compelling* message (by using same font, colors, music
across all advertising)
- "Integrated Marketing Communications:" using multiple mechanisms
,Advertising (#1 of promo mix) - Answer: Key characteristics:
*- Paid*
*- Nonpersonal communication*
*- Identified sponsor*
Brand Content Management - Answer: Juggling *paid, owned, shared, and earned media*
Paid Media - Answer: Advertisements and billboards paid for by the company
Owned Media - Answer: Internet sites, such as websites, blogs, Facebook, and Twitter accounts,
that are owned by an *advertiser*
Shared Media - Answer: Media shared by *consumers* with other consumers via social media,
blogs, and word of mouth
Earned Media - Answer: Media exposure that comes without payment (such as features on the
Today Show or Ellen)
Broadcasting/Narrowcasting - Answer: Companies are doing less *broadcasting* and more
*narrowcasting* as a result of more focused and segmented media
Madison & Vine (aka Product Placing) - Answer: - When *advertising and entertainment* merge
together (NYC & Hollywood)
- Cost effective
- Higher reach bc it's embedded in movies
Product Placement ex. - Answer: - Apple represents 30% of all placements
, - Grey Poupon mentioned in rap music
Informative Advertising - Answer: - Build *primary* demand (knowledge)
- Good for introducing a *new product category*
- ex: iPhone commercial informing people how to use it when it was first released
Persuasive Advertising - Answer: - Build *secondary* demand (preference)
- Good for direct or indirect *brand comparisons*
- ex: choose Energizer bc it's the *longest lasting* battery
Reminder Advertising - Answer: - Increase *frequency* of purchase
- Good for *mature products* (cash cows) and *seasonal* products
- ex: creating a *new image* around the Bud Light brand with "Dilly Dilly"
Budget Decisions - Answer: *1. Affordable method*
*2. Percentage-of-sales method*
*3. Competitive-parity method*
*4. Objective-and-task method*
Affordable method - Answer: How much can we *afford* to advertise?
Percentage-of-sales method - Answer: Industry average spends *3% of sales on advertising,*
but it varies for each sector
Competitive-parity method - Answer: Matches whatever your competitors are spending (ex:
Pepsi spends same amount as Coke)
