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 transport goods to retailers
B. To manufacture products for customers
C. To calculate production costs
D. To communicate value to customers

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

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

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

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

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

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

5 What is the main aim of integrated marketing communication?

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

6 Which activity best demonstrates integrated marketing communication?

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

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

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

8 What is feedback in the communication process?

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

9 What does noise mean in marketing communication?

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

10 Which statement best defines promotion?

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

11 What should a marketer identify before selecting promotional tools?

Determining the promotion mix Easy
A. The factory location
B. The target audience
C. The accounting method
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. Outdoor advertising
B. Sales promotion
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. Size of storage shelves
B. Number of office desks
C. Age of factory machines
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. Maturity stage
C. Decline stage
D. Growth stage

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

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

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

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

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

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

18 Which activity is an example of direct marketing?

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

19 What is a primary purpose of public relations?

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

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

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

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. Reducing the product's manufacturing cost
B. Negotiating lower prices with distributors
C. Reminding customers to make repeat purchases
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. Informing retailers about production methods
B. Persuading buyers to prefer the brand
C. Replacing all existing distribution channels
D. Reducing the number of market segments

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. Personal selling
D. Outdoor advertising

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 coordinated promotion mix
C. A cost-based pricing method
D. A selective distribution policy

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 brand messages are inconsistent
D. The campaign frequency is excessive

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

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. Encoding
B. Feedback
C. Response
D. Channel selection

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. Feedback
C. Decoding
D. Response

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. Reducing service variability
C. Increasing production efficiency
D. Expanding supplier capacity

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. Objective-and-task method
B. Percentage-of-sales method
C. Affordable method
D. Competitive-parity 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 advertising with supporting sales promotion
B. Heavy public relations with no paid media
C. Heavy direct mail with limited retail support
D. Heavy personal selling with limited advertising

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 message requires no customization
B. The brand has low unit value
C. The market has few concentrated buyers
D. The product is purchased very frequently

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. Diversification strategy
B. Positioning 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. Total number of video views
B. Trial-registration conversion rate
C. Number of campaign employees
D. Average video production cost

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

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

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

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. Personalized targeting
C. Channel-member negotiation
D. Uncontrolled publicity

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. Issue a prompt factual statement and recall guidance
C. Delete customer complaints from public channels
D. Delay communication until media interest disappears

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. Run an A/B test using the same target audience
C. Ask employees which advertisement they prefer
D. Select the advertisement with more text

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. Increasing production capacity through demand
B. Reducing channel members' operating costs
C. Correcting a positioning-related perception
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. Publicity supported by frequent consumer contests
B. Mass advertising supported by price coupons
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. Repeating one advertisement without channel adaptation
B. Using the cheapest medium for all audience segments
C. Coordinating the core promise with channel-specific execution
D. Assigning every channel an unrelated promotional objective

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. Insufficient source reach
B. Inadequate media frequency
C. Distortion during decoding
D. Excessive post-purchase support

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

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. Competitive-parity method
B. Percentage-of-sales method
C. Affordable method
D. Objective-and-task 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 product differentiation makes advertising unnecessary
B. Its customers require less product information
C. Its retailers control access to final buyers
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. Specify measurable audience, change, and time frame
C. Choose social media because the audience is younger
D. Replace the objective with a larger budget

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

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. Send identical offers to every subscriber
B. Use transparent consent and preference controls
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. Increase celebrity endorsements immediately
B. Provide verified evidence and report corrective action
C. Issue vague statements about future intentions
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. Engagement proves that the campaign met its objective
B. Attention metrics may be disconnected from business outcomes
C. Reach should replace conversion measures
D. Negative comments always improve earned media

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. Encourage impulse purchases through price cuts
B. Create understanding and reduce perceived risk
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. Judge all channels solely by last-click sales
C. Use shared objectives and cross-channel performance measures
D. Give each agency complete message autonomy

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

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

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

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

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 brand linkage and distinctive execution
C. The sales force's territory structure
D. The distribution channel's inventory level

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

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. $1.52
B. $0.32
C. $2.08
D. $0.72