Unit 13: Promotion Decisions - Practice Quiz

DEMKT503 — Marketing Management 60 Questions
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1 What is the primary role of promotion in marketing?

Role of promotion in marketing Easy
A. To calculate production costs
B. To transport goods to retailers
C. To communicate value to customers
D. To manufacture products for customers

2 Which promotional objective is especially important when a new product is introduced?

Role of promotion in marketing Easy
A. Creating customer awareness
B. Selecting raw materials
C. Reducing factory waste
D. Managing warehouse space

3 Which of the following is an element of the promotion mix?

Promotion mix Easy
A. Product design
B. Inventory control
C. Personal selling
D. Market segmentation

4 Which promotion mix element uses paid, non-personal messages from an identified sponsor?

Promotion mix Easy
A. Public relations
B. Personal selling
C. Advertising
D. Sales promotion

5 What is the main aim of integrated marketing communication?

Integrated marketing communication Easy
A. Using only one communication channel
B. Offering a different price everywhere
C. Delivering a consistent brand message
D. Changing the product each month

6 Which activity best demonstrates integrated marketing communication?

Integrated marketing communication Easy
A. Coordinating advertising and social media
B. Changing suppliers to reduce costs
C. Setting separate factory production targets
D. Expanding storage capacity for inventory

7 In the communication process, who creates and sends the message?

Communication concept and process Easy
A. Sender
B. Respondent
C. Receiver
D. Audience

8 What is feedback in the communication process?

Communication concept and process Easy
A. The interference with the message
B. The selected communication channel
C. The sender's original idea
D. The receiver's response

9 What does noise mean in marketing communication?

Communication concept and process Easy
A. Feedback returned by a receiver
B. Information that supports a message
C. Interference that distorts a message
D. A channel selected by a sender

10 Which statement best defines promotion?

Promotion Easy
A. Pricing used to recover costs
B. Communication used to influence buyers
C. Distribution used to deliver goods
D. Research used to measure demand

11 What should a marketer identify before selecting promotional tools?

Determining the promotion mix Easy
A. The factory location
B. The accounting method
C. The target audience
D. The supplier network

12 Which promotional tool is most suitable for explaining a complex product directly to a buyer?

Determining the promotion mix Easy
A. Sales promotion
B. Outdoor advertising
C. Personal selling
D. Public relations

13 Which factor commonly influences a company's choice of promotion mix?

Factors influencing the promotion mix Easy
A. Age of factory machines
B. Number of office desks
C. Size of storage shelves
D. Available promotion budget

14 During which product life-cycle stage is informative promotion often most important?

Factors influencing the promotion mix Easy
A. Introduction stage
B. Decline stage
C. Growth stage
D. Maturity stage

15 What is an early step in developing a promotion campaign?

Developing promotion campaigns Easy
A. Redesigning production equipment
B. Setting communication objectives
C. Replacing distribution partners
D. Closing retail locations

16 Why do marketers evaluate a promotion campaign after it runs?

Developing promotion campaigns Easy
A. To calculate employee wages
B. To inspect product materials
C. To measure campaign effectiveness
D. To select factory equipment

17 Which of the following is an example of consumer sales promotion?

Sales promotion Easy
A. A discount coupon
B. A product press release
C. A newspaper interview
D. A sales presentation

18 Which activity is an example of direct marketing?

Direct marketing Easy
A. Sending personalized promotional emails
B. Sponsoring a community festival
C. Displaying an unbranded store sign
D. Publishing a general news article

19 What is a primary purpose of public relations?

Public relations Easy
A. Controlling the manufacturing schedule
B. Setting the wholesale product price
C. Managing the physical distribution route
D. Building a favorable public image

20 Which feature is a major advantage of social media promotion?

Digital and social media Easy
A. Guaranteed positive feedback
B. Two-way customer interaction
C. Complete removal of costs
D. Automatic customer loyalty

21 A company launches an innovative water purifier, but potential customers do not understand how it differs from ordinary filters. Which promotional role should the company emphasize first?

Role of promotion in marketing Medium
A. Negotiating lower prices with distributors
B. Reminding customers to make repeat purchases
C. Reducing the product's manufacturing cost
D. Informing customers about the product's benefits

22 A well-known detergent brand faces several similar competitors and wants consumers to continue choosing it. Which promotional objective is most appropriate?

Role of promotion in marketing Medium
A. Persuading buyers to prefer the brand
B. Reducing the number of market segments
C. Informing retailers about production methods
D. Replacing all existing distribution channels

23 A software firm sells customized enterprise systems that require technical demonstrations and contract negotiations. Which promotion-mix element should receive the greatest emphasis?

Promotion mix Medium
A. Price-off coupons
B. Consumer publicity
C. Outdoor advertising
D. Personal selling

24 A beverage company uses television advertisements to build awareness, supermarket displays to attract attention, and discount coupons to encourage trial. What does this illustrate?

Promotion mix Medium
A. A product-line reduction strategy
B. A cost-based pricing method
C. A selective distribution policy
D. A coordinated promotion mix

25 A bank advertises itself as simple and customer-friendly, but its mobile app uses technical language and its sales staff emphasize exclusivity. What is the main integrated marketing communication problem?

Integrated marketing communication Medium
A. The media coverage is insufficient
B. The sales territory is too broad
C. The campaign frequency is excessive
D. The brand messages are inconsistent

26 A retailer uses the same value proposition, visual identity, and campaign theme in its stores, emails, website, and social media posts. What is the most likely benefit?

Integrated marketing communication Medium
A. Automatic elimination of competitors
B. Stronger and clearer brand positioning
C. Lower dependence on customer feedback
D. Complete control over media coverage

27 An advertisement uses unfamiliar technical terms, so customers misunderstand the product's main benefit. Which part of the communication process has primarily failed?

Communication concept and process Medium
A. Channel selection
B. Encoding
C. Feedback
D. Response

28 During a radio advertisement, poor reception prevents listeners from hearing the brand name clearly. In the communication process, the poor reception represents:

Communication concept and process Medium
A. Noise
B. Decoding
C. Response
D. Feedback

29 A museum finds that many residents know about a new exhibition but believe it is only suitable for experts. Which promotion task should the museum prioritize?

Promotion Medium
A. Changing audience perceptions
B. Expanding supplier capacity
C. Increasing production efficiency
D. Reducing service variability

30 A company has a fixed promotional budget and allocates funds among media based on the cost of achieving specific awareness and trial targets. Which budgeting approach is it using?

Determining the promotion mix Medium
A. Competitive-parity method
B. Objective-and-task method
C. Percentage-of-sales method
D. Affordable method

31 A new snack brand wants rapid national awareness among millions of consumers with a standardized message. Which allocation is most suitable?

Determining the promotion mix Medium
A. Heavy personal selling with limited advertising
B. Heavy direct mail with limited retail support
C. Heavy advertising with supporting sales promotion
D. Heavy public relations with no paid media

32 A manufacturer markets industrial generators to a small number of geographically concentrated business buyers. Which factor most strongly supports using personal selling?

Factors influencing the promotion mix Medium
A. The brand has low unit value
B. The message requires no customization
C. The product is purchased very frequently
D. The market has few concentrated buyers

33 A producer offers trade allowances to wholesalers so they will stock, display, and recommend a new product to retailers. Which promotional strategy is being used?

Factors influencing the promotion mix Medium
A. Positioning strategy
B. Diversification strategy
C. Push strategy
D. Pull strategy

34 A campaign generated many video views, but its objective was to increase free-trial registrations. Which measure would best evaluate campaign effectiveness?

Developing promotion campaigns Medium
A. Number of campaign employees
B. Average video production cost
C. Total number of video views
D. Trial-registration conversion rate

35 After identifying its target audience, a fitness brand decides that its campaign should increase unaided brand awareness from to within six months. What has the brand established?

Developing promotion campaigns Medium
A. A channel compensation policy
B. A competitive pricing formula
C. A product development schedule
D. A measurable communication objective

36 A premium coffee brand wants first-time buyers to try its product without permanently lowering its listed price. Which sales promotion is most appropriate?

Sales promotion Medium
A. Increasing payments to sales staff
B. Reducing the regular price indefinitely
C. Distributing free product samples
D. Publishing an annual company report

37 A retailer runs discounts every weekend for several months. Sales rise during each offer but fall sharply afterward. What is the most likely long-term risk?

Sales promotion Medium
A. Customers may delay purchases until discounts
B. Suppliers may stop producing related products
C. Customers may become unaware of the retailer
D. Competitors may lose access to distribution

38 An online bookstore sends different email recommendations based on each customer's previous purchases and browsing behavior. Which direct-marketing advantage is being used?

Direct marketing Medium
A. Mass-market standardization
B. Uncontrolled publicity
C. Channel-member negotiation
D. Personalized targeting

39 A food company discovers a possible safety defect in one product batch. Which public relations response is most appropriate?

Public relations Medium
A. Continue routine advertising without mentioning it
B. Delay communication until media interest disappears
C. Issue a prompt factual statement and recall guidance
D. Delete customer complaints from public channels

40 A fashion retailer wants to compare two social media advertisements that have equal budgets but different calls to action. Which method provides the clearest evidence of which version performs better?

Digital and social media Medium
A. Post each advertisement on a different platform
B. Select the advertisement with more text
C. Ask employees which advertisement they prefer
D. Run an A/B test using the same target audience

41 A firm has strong distribution and competitive pricing, but customers incorrectly believe its product is intended only for experts. Which promotional role should receive priority?

Role of promotion in marketing Hard
A. Correcting a positioning-related perception
B. Reducing channel members' operating costs
C. Increasing production capacity through demand
D. Informing the market about product availability

42 A technology firm sells a complex enterprise system to a small number of identifiable purchasing committees. Which promotion mix is most defensible?

Promotion mix Hard
A. Mass advertising supported by price coupons
B. Publicity supported by frequent consumer contests
C. Personal selling supported by targeted content
D. Retail displays supported by broad sponsorships

43 A campaign uses identical claims across television, email, retail displays, and social media, but each channel targets a different stage of the buyer journey. What best demonstrates effective IMC?

Integrated marketing communication Hard
A. Using the cheapest medium for all audience segments
B. Coordinating the core promise with channel-specific execution
C. Assigning every channel an unrelated promotional objective
D. Repeating one advertisement without channel adaptation

44 A campaign receives high exposure, but research shows that consumers interpret the slogan as implying poor quality. Which communication-process failure is most directly indicated?

Communication concept and process Hard
A. Excessive post-purchase support
B. Distortion during decoding
C. Insufficient source reach
D. Inadequate media frequency

45 A mature brand faces low involvement, habitual purchasing, and little perceived difference among competing products. Which promotional objective is most strategically suitable?

Promotion Hard
A. Reinforce recall and switching resistance
B. Create extensive technical knowledge
C. Eliminate all short-term incentives
D. Replace distribution with media exposure

46 A manager chooses the promotion budget by estimating communication tasks, assigning costs to each task, and revising the total when objectives exceed available resources. Which budgeting method is being used?

Determining the promotion mix Hard
A. Percentage-of-sales method
B. Objective-and-task method
C. Affordable method
D. Competitive-parity method

47 Two brands sell similar products. Brand A has a highly differentiated offering and strong consumer awareness, while Brand B sells an undifferentiated product through independent retailers. Why might Brand B rely more heavily on trade promotion?

Factors influencing the promotion mix Hard
A. Its customers require less product information
B. Its retailers control access to final buyers
C. Its product differentiation makes advertising unnecessary
D. Its independent retailers eliminate channel conflict

48 A campaign objective states, "Improve brand image substantially among younger consumers." What is the most important improvement before media selection?

Developing promotion campaigns Hard
A. Increase message frequency across every channel
B. Replace the objective with a larger budget
C. Specify measurable audience, change, and time frame
D. Choose social media because the audience is younger

49 A premium brand experiences increased unit sales during deep discount periods, but repeat purchase and perceived quality decline afterward. Which conclusion is most appropriate?

Sales promotion Hard
A. The discount has created only positive reference prices
B. The promotion may attract deal-prone buyers and erode positioning
C. The promotion has improved long-term brand equity
D. The sales increase proves advertising effectiveness

50 An online retailer sends personalized offers based on browsing behavior. Conversions rise, but complaints increase after customers discover that their data was used without clear consent. What should the firm prioritize?

Direct marketing Hard
A. Use transparent consent and preference controls
B. Send identical offers to every subscriber
C. Increase personalization intensity
D. Remove all customer-level measurement

51 A manufacturer faces credible allegations of environmental harm. Which public-relations response is most likely to restore legitimacy?

Public relations Hard
A. Provide verified evidence and report corrective action
B. Issue vague statements about future intentions
C. Increase celebrity endorsements immediately
D. Shift communication toward unrelated product benefits

52 A brand's campaign generates millions of impressions and high engagement, but assisted conversions fall and negative comments dominate. Which evaluation is most accurate?

Digital and social media Hard
A. Negative comments always improve earned media
B. Reach should replace conversion measures
C. Attention metrics may be disconnected from business outcomes
D. Engagement proves that the campaign met its objective

53 A new service has high customer involvement, significant perceived risk, and no established category norms. Which promotional role is most critical during market introduction?

Role of promotion in marketing Hard
A. Create understanding and reduce perceived risk
B. Encourage impulse purchases through price cuts
C. Defend mature-market share through sponsorships
D. Remind existing users to repurchase routinely

54 A company measures each agency by its own channel results, causing television, search, and sales teams to optimize conflicting messages. Which governance change best supports IMC?

Integrated marketing communication Hard
A. Reduce communication to one promotional medium
B. Use shared objectives and cross-channel performance measures
C. Give each agency complete message autonomy
D. Judge all channels solely by last-click sales

55 A pharmaceutical advertisement uses highly technical language for a general audience. Although exposure and attention are high, comprehension is poor. Which intervention addresses the primary barrier?

Communication concept and process Hard
A. Use simpler encoding matched to audience knowledge
B. Move the advertisement to a more expensive medium
C. Increase message repetition without changing content
D. Add more technical evidence to the existing message

56 A firm selects a push strategy for a new product. Which sequence best reflects that strategic choice?

Determining the promotion mix Hard
A. Influencer content, coupons, and direct consumer ordering
B. Consumer advertising, viral sharing, and retailer response
C. Publicity, consumer education, and voluntary retailer adoption
D. Trade incentives, salesperson effort, and channel stocking

57 A product is technically complex, purchased infrequently, and sold to a geographically concentrated group of industrial buyers. Which factor combination most strongly favors personal selling?

Factors influencing the promotion mix Hard
A. Low involvement, broad reach, and simple benefits
B. High complexity, concentrated buyers, and substantial risk
C. Frequent purchase, low price, and standardized demand
D. Strong habit, mass awareness, and minimal explanation

58 Pretesting shows that an advertisement is memorable but consumers attribute it to a competitor. Which campaign element should be revised first?

Developing promotion campaigns Hard
A. The campaign's total media expenditure
B. The sales force's territory structure
C. The distribution channel's inventory level
D. The brand linkage and distinctive execution

59 A retailer offers a buy-one-get-one promotion, but consumers stockpile the product and purchases collapse for several weeks afterward. Which metric would best prevent an inflated assessment of success?

Sales promotion Hard
A. Number of promotional displays installed
B. Immediate coupon redemption rate
C. Incremental sales across the full post-promotion period
D. Total units sold during the promotion only

60 A direct-mail campaign has a response rate of 4%, an average contribution margin of $38 per responder, and a cost of $1.20 per household mailed. Ignoring fixed costs, what is the expected contribution per household?

Direct marketing Hard
A. $2.08
B. $1.52
C. $0.32
D. $0.72