Question 1

The initial stages, at the base of the communications effects pyramid, are harder to accomplish than those toward the top, such as trial and repurchase.

Accepted Answer

A) True 
 B)False

Question 2

According to the DAGMAR model, which of the following is a characteristic of a good objective?

Accepted Answer

A)  A good objective is elaborative in nature.
B)  A good objective specifies the target audience.
C)  A good objective avoids specifying a time period.
D)  A good objective specifies the current market share.
E)  A good objective is based only on sales results.F) A) and D)
G) A) and E)

Question 3

When using the competitive parity method to budgeting, the firm

Accepted Answer

A)  matches its percentage-of-sales expenditures with those of others in the market/industry.
B)  spends as much as it can.
C)  allocates some portion of planned sales for the period to advertising.
D)  spends the same total amount as its major competitors spend.
E)  bases its advertising and promotion expenditures on sales.F) A) and D)
G) A) and B)

Question 4

An inside-out planning process for integrated marketing communications (IMC) starts with the customer and builds backward to the brand.

Accepted Answer

A) True 
 B)False

Question 5

The _____ stage in Russell Colley's hierarchical model of the communication process deals with getting the consumer to purchase the product.

Accepted Answer

A)  action
B)  conviction
C)  screening
D)  comprehension
E)  awarenessF) C) and D)
G) A) and E)

Question 6

In the social consumer decision journey, the final objective, amplification, deals with designing the communications program, particularly as it relates to social media, to take the consumer to long-term behavioral changes.

Accepted Answer

A) True 
 B)False

Question 7

In the arbitrary allocation approach to budgeting, systematic thinking occurs and objectives are budgeted for.

Accepted Answer

A) True 
 B)False

Question 8

The first task in the objective and task method of budgeting is to

Accepted Answer

A)  conduct a system analysis.
B)  create an organizational budget.
C)  isolate advertising objectives.
D)  determine what tasks need to be accomplished.
E)  reevaluate objectives.F) C) and D)
G) B) and E)

Question 9

The carryover effect

Accepted Answer

A)  has no impact on sales objectives.
B)  has no effect on the relationship between advertising and sales.
C)  encourages the use of nonspecific objectives.
D)  is particularly apparent with mature, low-priced, and frequently purchased products.
E)  helps in determining the precise relationship between advertising and sales.F) B) and D)
G) A) and C)

Question 10

An advantage of sales-oriented objectives is that they provide sufficient guidance to those responsible for planning and developing the promotional program.

Accepted Answer

A) True 
 B)False

Question 11

_____ is an approach to setting advertising goals and objectives which states that communication effects are the logical basis for advertising goals and objectives against which success or failure should be measured.

Accepted Answer

A)  SOSTAC
B)  The hierarchy of effects model
C)  The BCG matrix
D)  The Ansoff matrix
E)  DAGMARF) None of the above
G) A) and C)

Question 12

Which of the following is true of marketing objectives?

Accepted Answer

A)  The only aim of a firm's marketing objectives revolves around buying the right media at the right price.
B)  They are usually defined in terms of specific outcomes such as sales volume, market share, profits, or return on investment.
C)  They are stated only in a company's communication plan.
D)  They are statements of what various aspects of the IMC program will accomplish and how a message will be delivered to the target audience.
E)  The only aim of a firm's marketing objective is to communicate information or a selling message about a product or service to theF) B) and C)
G) C) and E)

Question 13

DAGMAR MOD II was developed to alleviate problems with

Accepted Answer

A)  the response hierarchy used in the original DAGMAR model.
B)  the costs of using DAGMAR.
C)  the fact that DAGMAR ignores sales results.
D)  setting benchmark measures.
E)  creating measurable communications objectives.F) None of the above
G) C) and E)

Question 14

As a result of economies of scale, large advertisers

Accepted Answer

A)  are likely to enjoy more favorable advertising time and space than smaller advertisers.
B)  get lower advertising rates than smaller advertisers.
C)  accrue the disadvantages of advertising several products jointly.
D)  have higher average costs of production.
E)  must spend more money on advertising to realize a better return.F) None of the above
G) A) and D)

Question 15

Which of the following is considered a major criticism of the DAGMAR approach?

Accepted Answer

A)  its belief that the only relevant measure of advertising objectives is sales
B)  its focus on using sales-based objectives rather than communications-based objectives
C)  its inability to define what constitutes a good advertising objective
D)  its reliance on the hierarchy of effects model
E)  its lack of concern with the quantitative assessment of the impact on awarenessF) B) and E)
G) A) and C)

Question 16

Under the DAGMAR model, a _____ can be performed by, and attributed to, advertising rather than to a combination of marketing factors.

Accepted Answer

A)  human resources task
B)  financial task
C)  communications task
D)  marketing task
E)  product production taskF) A) and E)
G) B) and C)

Question 17

A(n)  _____ is a method for allocating budgets that is designed to determine the investment value of the advertising appropriation.

Accepted Answer

A)  payout plan
B)  instant rebate
C)  profit chart
D)  beat-sheet
E)  incentive programF) B) and C)
G) A) and B)

Question 18

The concept of advertising expenditures producing long-term, rather than immediate, results is known as

Accepted Answer

A)  the carryover effect.
B)  the communication effect.
C)  the low-involvement effect.
D)  the halo effect.
E)  the mirror-image effect.F) B) and D)
G) All of the above

Question 19

As a tool for budget allocation, multiple regression analysis is most often employed in budget models using

Accepted Answer

A)  computer simulations.
B)  competitive parity.
C)  arbitrary allocations.
D)  percentage of sales.
E)  downward curves.F) B) and E)
G) B) and C)

Question 20

Which of the following statements is true of communications objectives?

Accepted Answer

A)  When setting objectives using the communications effect pyramid, the last step to reach is trial.
B)  Sales goals cannot be translated into communications objectives.
C)  Marketing and advertising managers don't usually rely on experience and intuition when setting communications goals.
D)  Communications objectives are the criteria used in the DAGMAR approach to setting advertising goals.
E)  Communications objectives are used particularly when the advertiser seeks an immediate response.F) C) and D)
G) A) and E)

Exam 7: Establishing Objectives and Budgeting for the Promotional Program

An inside-out planning process for integrated marketing communications (IMC) starts with the customer and builds backward to the brand.

Correct AnswerverifiedShow Answer

A(n) _____ is a method for allocating budgets that is designed to determine the investment value of the advertising appropriation.

Correct AnswerverifiedShow Answer

DAGMAR MOD II was developed to alleviate problems with

Correct AnswerverifiedShow Answer

Under the DAGMAR model, a _____ can be performed by, and attributed to, advertising rather than to a combination of marketing factors.

Correct AnswerverifiedShow Answer

Which of the following statements is true of communications objectives?

Correct AnswerverifiedShow Answer

An advantage of sales-oriented objectives is that they provide sufficient guidance to those responsible for planning and developing the promotional program.

Correct AnswerverifiedShow Answer

As a tool for budget allocation, multiple regression analysis is most often employed in budget models using

Correct AnswerverifiedShow Answer

_____ is an approach to setting advertising goals and objectives which states that communication effects are the logical basis for advertising goals and objectives against which success or failure should be measured.

Correct AnswerverifiedShow Answer

Which of the following is true of marketing objectives?

Correct AnswerverifiedShow Answer

In the arbitrary allocation approach to budgeting, systematic thinking occurs and objectives are budgeted for.

Correct AnswerverifiedShow Answer

The first task in the objective and task method of budgeting is to

Correct AnswerverifiedShow Answer

As a result of economies of scale, large advertisers

Correct AnswerverifiedShow Answer

According to the DAGMAR model, which of the following is a characteristic of a good objective?

Correct AnswerverifiedShow Answer

Which of the following is considered a major criticism of the DAGMAR approach?

Correct AnswerverifiedShow Answer

The concept of advertising expenditures producing long-term, rather than immediate, results is known as

Correct AnswerverifiedShow Answer

When using the competitive parity method to budgeting, the firm

Correct AnswerverifiedShow Answer

The initial stages, at the base of the communications effects pyramid, are harder to accomplish than those toward the top, such as trial and repurchase.

Correct AnswerverifiedShow Answer

The _____ stage in Russell Colley's hierarchical model of the communication process deals with getting the consumer to purchase the product.

Correct AnswerverifiedShow Answer

The carryover effect

Correct AnswerverifiedShow Answer

In the social consumer decision journey, the final objective, amplification, deals with designing the communications program, particularly as it relates to social media, to take the consumer to long-term behavioral changes.

Correct AnswerverifiedShow Answer

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