Chapter 17 Direct and Online Marketing: Building Direct Customer Relationships

1) Amazon.com was the first company to use ________, which is technology that sorts through
customer purchasing patterns to create personalized site content.
A) mass marketing
B) personalized marketing
C) records management
D) customer filtering
) colla!orati"e filtering
Answer#
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$) 2hat are the two main goals of direct marketing3
A) to identify a potential customer and o!tain an immediate response
B) to o!tain an immediate response and to facilitate a purchase
C) to o!tain an immediate response and !uild a lasting customer relationship
D) to pro"ide information and !uild a lasting customer relationship
) to sa"e marketing dollars and facilitate a purchase
Answer# C
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5) 6odern direct marketers rely hea"ily on data!ase technologies and the ,nternet, while early
direct marketers primarily used direct mailers, telemarketing, and ________.
A) door1to1door salespeople
B) catalogs
C) %.% promotions
D) e1mail
) inside salespeople
Answer# B
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') Amazon.com, eBay, and :,C. employ ________ as the only method of doing !usiness with
customers.
A) mass marketing
B) sales promotion
C) direct marketing
D) pu!lic relations
) personal selling
Answer# C
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;) Direct marketing is continuing to !ecome more ________ oriented.
A) tele"ision
B) 2e!
C) mail
D) telephone
) radio
Answer# B
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7) All of the following are !enefits of direct marketing for !uyers <C%- ________.
A) access to numerous products
B) access to product re"iews
C) guaranteed low prices
D) con"enience
) pri"acy
Answer# C
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0) All of the following are !enefits of direct marketing for sellers <C%- ________.
A) efficiency in reaching markets
B) price and program fle=i!ility
C) mass reach and fre>uency
D) lower cost1per1contact
) efficiency in order processing
Answer# C
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() .ne of the ad"antages of direct marketing for sellers is that direct marketing ________.
A) offers access to !uyers outside local markets
B) eliminates the need for a company to employ a sales force
C) pro"ides statistical information a!out industry !uying ha!its
D) pro"ides comparati"e information a!out customers and competitors
) a"oids e=penses related to a storefront, such as rent, insurance, and utilities
Answer# A
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)) 2hich of the following is essential for direct marketing to !e effecti"e3
A) an online presence
B) a good customer data!ase
C) a well1trained sales force
D) in!ound telephone marketing
) digital direct marketing technologies
Answer# B
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14) A customer data!ase is an organized collection of geographic, demographic, psychographic,
and ________ data a!out indi"idual customers or prospects.
A) ethical
B) cultural
C) medical
D) !eha"ioral
) sociological
Answer# D
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11) ,nformation a!out a customer?s age, income, and family make1up is in the ________ category
of a customer data!ase.
A) demographic
B) psychographic
C) geographic
D) !eha"ioral
) assessment
Answer# A
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1$) %sychographics data in a customer data!ase used !y direct marketers includes information
regarding a customer?s ________ and ________.
A) interests@ income
B) acti"ities@ opinions
C) age@ !uying preferences
D) opinions@ age
) ho!!ies@ income
Answer# B
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15) All of the following are common uses for a direct marketing customer data!ase <C%-
________.
A) generating sales leads
B) identifying prospecti"e customers
C) profiling customers !ased on pre"ious purchases
D) gathering marketing intelligence a!out competitors
) !uilding long1term customer relationships
Answer# D
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1') 9ow does data!ase marketing !enefit consumers3
A) Companies make name1!rand products and images readily a"aila!le to customers.
B) Companies match customer needs and interests with products and ser"ices.
C) Customers recei"e !etter prices on products and ser"ices that they need.
D) Customers recei"e faster and more relia!le ser"ice from companies.
) Customers recei"e instant credit from more companies.
Answer# B
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1;) All of the following are forms of direct marketing <C%- ________.
A) personal selling
B) pu!lic relations
C) telephone marketing
D) direct1mail marketing
) kiosk marketing
Answer# B
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17) 2hich kind of marketing in"ol"es sending an offer, announcement, reminder, or other item
to a person at a particular address3
A) kiosk marketing
B) digital direct marketing
C) catalog marketing
D) direct1mail marketing
) telephone marketing
Answer# D
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10) Catalogs, !rochures, CDs, and DADs are all e=amples of which type of marketing3
A) direct1response marketing
B) direct1mail marketing
C) digital direct marketing
D) kiosk marketing
) online marketing
Answer# B
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1() 2hich of the following reasons is BA*- likely to e=plain why direct1mail marketing dri"es
more than a third of all +.*. direct marketing sales3
A) less e=pensi"e than -A and magazine ads
B) high target market selecti"ity
C) a!ility to !e personalized
D) measura!le results
) fle=i!ility
Answer# A
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1)) -he use of which of the new forms of direct1mail marketing is !ooming3
A) fa= mail
B) e1mail
C) "oice mail
D) +.*. mail
) instant messages
Answer# B
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$4) 6ost companies that create print catalogs now also pro"ide ________ catalogs to eliminate
production, printing, and mailing costs.
A) DAD
B) e1mail
C) store
D) 2e!1!ased
) personalized
Answer# D
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$1) 2hich of the following is an ad"antage of printed catalogs o"er digital catalogs3
A) the a!ility to offer an almost unlimited amount of merchandise
B) efficiencies in production, printing, and mailing costs
C) a stronger emotional connection with customers
D) less competition for customers? attention
) real1time merchandising
Answer# C
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$$) 6arketers use ________ telephone marketing to recei"e orders from tele"ision ads and
catalogs.
A) in!ound
B) out!ound
C) interacti"e
D) direct1response
) !usiness1to1!usiness
Answer# A
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$5) 2hich of the following is an ad"antage of a well1designed and targeted telemarketing plan3
A) real1time merchandising
B) high recruitment and referral rate
C) purchasing con"enience for customers
D) emotional connections with customers
) limitless merchandise a"aila!le to customers
Answer# C
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$') 9ow has the Cational Do Cot Call &egistry changed the telemarketing industry3
A) -elemarketing for nonprofit groups has !ecome none=istent.
B) -elemarketing is no longer used !y small and medium sized companies.
C) -elemarketing has replaced direct mail and personal selling !ecause of low costs.
D) -elemarketers are more effecti"ely de"eloping relationships with new customers.
) -elemarketers are more effecti"ely managing relationships with e=isting customers.
Answer#
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$;) 2hy are historically online shops such as Dappos.com and EohnandFiras.com adding
catalogs to their marketing methods3
A) to entertain customers with interesting products
B) to offer a wider array of merchandise
C) to sa"e money and increase profits
D) to attract the attention of new customers
) to reduce the need for telemarketers
Answer# D
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$7) 2hich of the following is the most accurate name for a 541minute tele"ision ad"ertising
program marketing a single product3
A) direct1response -A ad"ertisement
B) home shopping channel
C) integrated marketing
D) direct1response commercial
) infomercial
Answer#
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$0) 2hat are two ma/or forms of direct1response tele"ision marketing3
A) home tele"ision response and direct1response -A ad"ertising
B) home shopping channels and infomercials
C) home1selling and toll1free response
D) call1in response and we!1site response
) home shopping channels and podcasts
Answer# B
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$() Direct1response ad"ertisements always contain ________, making it easier for marketers to
gauge the effecti"eness of their sales pitches.
A) a mailing address for comments
B) a 11(44 num!er or 2e! address
C) a hit !utton to record the num!er of "iewers
D) an order num!er
) pop1ups
Answer# B
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$)) 2hy ha"e direct1response tele"ision commercials seen an increase in popularity in recent
years3
A) ,t is has !ecome simpler to replicate the success of classic direct1response -A ads that
introduced items such as the Aeg1.16atic.
B) -raditional !roadcast and ca!le ad"ertising has !ecome prohi!iti"ely e=pensi"e for many
ma/or corporations.
C) -he a!ility to track phone calls and 2e!1site hits makes it easy to measure the return on
ad"ertising in"estment.
D) -he sophisticated image of home shopping channels has gi"en direct1response commercials
more credi!ility.
) Consumers are more likely to respond to this type of marketing than to other forms of direct
marketing.
Answer# C
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54) A tele"ision program or entire channel dedicated to selling goods and ser"ices is known as
aGn) ________.
A) direct1response tele"ision ad"ertisement
B) home shopping channel
C) infomercial
D) digital catalog
) kiosk
Answer# B
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51) Hirms , such as Fodak and Hu/i, are placing ________ in stores, airports, and other locations
to pro"ide people with information a!out products and ser"ices or to ena!le customers to place
orders.
A) kiosks
B) -A monitors
C) wireless networks
D) cell phones
) "ending machines
Answer# A
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5$) &ing1tone gi"eaways, mo!ile games, and te=t1in contests are all e=amples of ________
marketing.
A) kiosk
B) online
C) podcast
D) "odcast
) mo!ile phone
Answer#
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55) 6arketers "iew mo!ile phones as the ne=t !ig marketing medium for all of the following
reasons <C%- ________.
A) 6ore consumers are using their cell phones for te=t messaging, surfing the 2e!, and
watching "ideos.
B) +nlike telemarketing, mo!ile phone marketing is initially appealing to most cell phone users.
C) Cell phones are "ery popular with the highly desira!le 1(1to15'1year1old demographic.
D) Cell phone users can respond instantly to time1sensiti"e offers.
) 6ost consumers always ha"e their cell phones with them.
Answer# B
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5') 2hich of the following ena!les consumers to download files from the ,nternet to a handheld
de"ice3
A) telemarketing
B) interacti"e -A
C) podcasting
D) infomercials
) direct1mail
Answer# C
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5;) ________ allows consumers to gain additional information a!out a product through the use
of a remote control.
A) 6o!ile phone marketing
B) ,nfomercials
C) %odcasting
D) Aodcasting
) ,nteracti"e tele"ision
Answer#
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57) 2hat is the fastest growing form of direct1marketing3
A) mo!ile1phone marketing
B) online marketing
C) interacti"e -A
D) direct1response tele"ision
) podcasts
Answer# B
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50) -he ,nternet ga"e !irth to ________, which operate only on the ,nternet.
A) !rick1and1mortar companies
B) click1and1mortar companies
C) !ig !o= companies
D) click1only companies
) 2e!1and1mortar companies
Answer# D
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5() As one of the first ________, Amazon.com changed the rules of marketing and set the !ar
high for the online customer e=perience.
A) e1tailers
B) transaction sites
C) content sites
D) search engines
) click1and1mortar companies
Answer# A
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5)) New York Times on the 2e!, *%C.com, and ncyclopedia Britannica .nline are known as
________ !ecause they pro"ide financial, research, and other information.
A) search engines
B) content sites
C) portals
D) ,*%s
) e1tailers
Answer# B
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'4) ________ is the term used to descri!e a company that does not use online marketing.
A) .ffline !usiness
B) Brick1and1mortar
C) Click1and1mortar
D) 1!usiness
) Corporate site
Answer# B
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'1) -he growth of the ,nternet caused many !rick1and1mortar firms to ________ in response to
customer demands and a changing marketplace.
A) !ecome click1only firms
B) send out more catalogs
C) !ecome click1and1mortar firms
D) de"elop more infomercials
) e=pand their outside sales forces
Answer# C
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'$) 2hich of the following is C.- one of the four ma/or online marketing domains3
A) B$C G!usiness1to1consumer)
B) B$& G!usiness1to1retailer)
C) B$B G!usiness1to1!usiness)
D) C$C Gconsumer1to1consumer)
) C$B Gconsumer1to1!usiness)
Answer# B
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'5) -he popular press has paid the most attention to ________ online marketing, which is the
online selling of goods and ser"ices to final consumers.
A) B$C
B) B$B
C) C$C
D) C$B
) glo!al
Answer# A
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'') B$B uses all of the following online resources to reach new !usiness customers <C%-
________.
A) trading networks
B) social networks
C) e1mail
D) online product catalogs
) customized 2e! sites
Answer# B
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';) -he online e=change of goods and information !etween final consumers is called ________.
A) B$C
B) B$B
C) C$C
D) C$B
) social networking
Answer# C
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'7) Amazon.com Auctions, eBay, and Craigslist.com are popular market spaces that facilitate the
online e=change of goods and information and are e=amples of ________ online marketing.
A) B$C
B) B$B
C) C$C
D) C$B
) glo!al commerce
Answer# C
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'0) 2hat is the !enefit to companies of using !logs as marketing tools3
A) Blogs pro"ide companies with additional re"enue.
B) Blog content is easy to filter, monitor, and control.
C) Bong1term customer relationships can !e de"eloped through !logs.
D) Demographic information a!out customers can !e easily tracked.
) Blogs are an ine=pensi"e yet personal way to reach a fragmented audience.
Answer#
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'() 2hich of the following is a potential draw!ack to ad"ertising on a !log3
A) -he content of a !log is difficult to control.
B) Ad"ertising on a !log is typically e=pensi"e.
C) ,t is difficult to use !logs to reach highly targeted audiences.
D) Blogs are losing popularity as consumers !egin to fa"or newer ,nternet forums.
) Blogs do not pro"ide the kind of personalized medium that today?s marketers want.
Answer# A
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')) ________ online marketing sites are online e=changes in which consumers search out sellers,
learn a!out their offers, and initiate purchases.
A) B$C
B) B$B
C) C$C
D) C$B
) B$&
Answer# D
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;4) 2hen consumers can dri"e transactions with !usinesses, what type of online marketing is
!eing used3
A) !logs
B) podcasting
C) social networking
D) !usiness1to1consumer
) consumer1to1!usiness
Answer#
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;1) Hor most companies, the first step in conducting online marketing is to ________.
A) send e1mails
B) create a 2e! site
C) create a 2e! community
D) place promotions online
) de"elop search1related ads
Answer# B
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;$) 2hat is the main purpose of a corporate 2e! site3
A) to sell the company?s products directly
B) to !uild customer goodwill
C) to show a catalog and gi"e shopping tips
D) to gi"e out coupons and tell a!out sales e"ents or contests
) to point out and e=plain competitors? weaknesses
Answer# B
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;5) ________ are designed to !uild customer goodwill and to supplement other sales channels,
rather than to sell the company?s products directly.
A) 6arketing 2e! sites
B) Corporate 2e! sites
C) *mall !usiness 2e! sites
D) Con1profit corporation we! sites
) &ich media display ads
Answer# B
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;') ________ are designed to engage consumers in interactions that will mo"e them closer to a
direct purchase or other marketing outcome.
A) Corporate 2e! sites
B) 6arketing 2e! sites
C) 2e! communities
D) Brand 2e! sites
) Affiliate programs
Answer# B
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;;) -o attract new "isitors and to encourage re"isits, online marketers should pay close attention
to the se"en Cs of effecti"e 2e! site design. 2hich of the following is C.- one of the se"en Cs3
A) conte=t# the site?s layout and design
B) content# te=t, pictures, sounds, and "ideo that the 2e! site contains
C) commerce# the site?s a!ility to ena!le commercial transactions
D) customer# the way the customer is gi"en incenti"es to use the 2e! site
) connection# the degree that the site is linked to other sites
Answer# D
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;7) .f the se"en Cs of effecti"e 2e! site design, ________ refers to the ways that the site
ena!les user1to1user communication.
A) conte=t
B) content
C) community
D) customization
) cause
Answer# C
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;0) According to the se"en Cs of effecti"e 2e! site design, a 2e!site?s capa!ility to ena!le
commercial transactions is its le"el of ________.
A) customization
B) content
C) connection
D) commerce
) communication
Answer# D
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;() ________ are online ads that appear !etween screen changes on a 2e! site, especially while
a new screen is loading.
A) %op1unders
B) ,nterstitials
C) *earch1related ads
D) Conte=tual ads
) Banner ads
Answer# B
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;)) 2hich of the following types of ads can users !lock through the use of applications
de"eloped !y 2e! !rowser pro"iders3
A) !anners
B) pop1ups
C) conte=tual ads
D) pop1unders
) rich1media ads
Answer# B
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74) Display ads that use eye1catching techni>ues such as float, fly, and snap!ack are called
________.
A) !anners
B) pop1ups
C) conte=tual ads
D) pop1unders
) rich1media ads
Answer#
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71) A large percentage of online ad"ertising e=penditures goes towards ________, which are
te=t1!ased ads and links that appear alongside search engine results.
A) content sponsorships
B) reminder ad"ertisements
C) informati"e ad"ertisements
D) conte=tual ad"ertisements
) corporate sponsorships
Answer# D
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7$) 2hen companies work with each other online and offline to promote each other, they are
creating ________.
A) search1related ad"ertisements
B) conte=tual ad"ertisements
C) interstitial relationships
D) content sponsorships
) alliance and affiliate programs
Answer#
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75) 2hat does the term viral marketing mean3
A) ,t is another term for online privacy.
B) ,t is another term for online security.
C) ,t refers to pro!lems associated with computer "iruses.
D) ,t refers to word1of1mouth marketing that occurs online.
) ,t refers to negati"e pu!licity associated with company !logs.
Answer# D
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7') 2hich of the following is a primary disad"antage of "iral marketing3
A) -he costs of "iral marketing are too high for most companies.
B) -he !rand associated with the "iral message is usually forgotten.
C) 6arketers ha"e little control o"er who recei"es the "iral message.
D) Airal messages are offensi"e to many potential customers.
) Airal messages are !locked !y most search engines.
Answer# C
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7;) All of the following are e=amples of online social networks <C%- ________.
A) !logs
B) 6y*pace.com
C) Iou-u!e
D) interstitials
) "irtual worlds
Answer# D
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*kill# Concept
.!/ecti"e# 101'
77) .nline communities where people socialize or e=change information and opinions are called
________.
A) corporate 2e! sites
B) marketing 2e! sites
C) online social networks
D) interacti"e 2e! sites
) affiliate programs
Answer# C
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70) 2hich of the following is a challenge of marketing through online social networks3
A) +sers often resent an intrusi"e marketing message.
B) =isting networks are resistant to direct ad"ertising.
C) 6ost e=isting networks are already controlled !y ma/or corporations.
D) Airtual worlds will most likely replace social networks in the near future.
) 6easuring the fre>uency and "olume of network usage is difficult.
Answer# A
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7() 2hat characteristic of niche sites makes the medium 6.*- appealing to marketers3
A) audience sizes larger than those of social networking sites
B) wide "ariety of demographics and purchasing patterns
C) audiences of people with similar interests
D) commercial transaction capa!ilities
) podcasting and "odcasting capa!ilities
Answer# C
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.!/ecti"e# 101'
7)) +nsolicited and unwanted commercial e1mail is known as ________.
A) phishing
B) e1tailing
C) display ads
D) pop1unders
) spam
Answer#
Diff# 1 %age &ef# ;17
*kill# Concept
.!/ecti"e# 101'
04) According to your te=t!ook, what is the most likely future for online marketing3
A) .nline marketing will replace magazines, newspapers, and e"entually stores as sources for
information and products.
B) -he growth of online marketing will continue !ut at a much slower pace.
C) -he use of online marketing will decline until its effecti"eness can !e !etter measured.
D) .nline marketing will remain an important approach in an integrated marketing mi=.
) .nline social networking will !ecome the primary type of online marketing.
Answer# D
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01) ,n an attempt to take ad"antage of impulsi"e !uyers, heat merchants use ________ to decei"e
customers.
A) direct1mail marketing
B) telephone marketing
C) direct1response tele"ision marketing
D) mo!ile phone marketing
) kiosk marketing
Answer# A
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.!/ecti"e# 101;
0$) 2hich of the following is a type of identity theft that uses decepti"e e1mails and fraudulent
we! sites to fool consumers into re"ealing their personal data3
A) unauthorized groups
B) re"erse information
C) "iral feeds
D) phishing
) spyware
Answer# D
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.!/ecti"e# 101;
05) 2hich of the following is C.- a deception or fraud concern for ,nternet users and
marketers3
A) phishing
B) "iral marketing
C) ea"esdropping
D) access !y unauthorized groups
) spyware
Answer# B
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.!/ecti"e# 101;
0') 2hat happened in direct response to the H-C finding that many 2e! sites were collecting
personal information from children without disclosure or parental permission3
A) California enacted the California .nline %ri"acy %rotection Act.
B) Congress passed the Children?s .nline %ri"acy %rotection Act.
C) Children !egan to !e targeted !y more 2e! sites.
D) -he Direct 6arketing Association de"eloped a J%ri"acy %romise to American Consumers.J
) Conprofit organizations !egan auditing companies? pri"acy and security measures.
Answer# B
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0;) All of the following are the likely results of direct marketing a!uses <C%- ________.
A) decreased consumer response rates
B) decreased returns on ad"ertising e=penses
C) increasingly negati"e consumer attitudes
D) re>uests for more ,nternet o"ersight and legislation
) re>uests for more restricti"e legislation of direct marketing
Answer# D
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*kill# Concept
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07) Direct marketing rarely occurs on a one1to1one, interacti"e !asis.
Answer# HAB*
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.!/ecti"e# 1011
00) 6ega 6usic sells products to customers only through its 2e!1site. 6ega 6usic employs the
direct model as its marketing approach.
Answer# -&+
Diff# 5 %age &ef# ')1
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*kill# Application
.!/ecti"e# 1011
0() Hor customers, the !enefits of direct marketing are that it is an easy, pri"ate, and con"enient
way to shop.
Answer# -&+
Diff# 1 %age &ef# ')$
*kill# Concept
.!/ecti"e# 1011
0)) -oday?s marketers use data!ase marketing to promote their offerings through personalized
communications to small target groups or e"en indi"idual customers.
Answer# -&+
Diff# 1 %age &ef# ')'
*kill# Concept
.!/ecti"e# 1011
(4) -he marketing manager of Charlie?s Car %arts uses a customer data!ase to e1mail
promotional information to customers. -he demographic information in the data!ase pro"ides
the manager with the data he needs regarding his customers? !uying preferences.
Answer# HAB*
Diff# 5 %age &ef# ')5
AAC*B# Analytic *kills
*kill# Application
.!/ecti"e# 1011
1(;
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(1) Data!ase marketing re>uires little initial in"estment !eyond training personnel to code and
mine data.
Answer# HAB*
Diff# $ %age &ef# ');
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($) -hough direct1mail permits high target1market selecti"ity and can !e personalized, it does
not allow easy measurement of results.
Answer# HAB*
Diff# $ %age &ef# ')7
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(5) Catalog marketing has grown e=plosi"ely during the past $; years, and recently the ,nternet
has helped !oost its popularity e"en more.
Answer# -&+
Diff# $ %age &ef# ')0
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.!/ecti"e# 101$
(') 2ith in!ound telephone marketing, the company pro"ides a toll1free phone num!er to
recei"e orders from tele"ision ads, print ads, direct mail, and catalogs.
Answer# -&+
Diff# $ %age &ef# ')0
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(;) Do1not1call legislation has made telemarketing an ineffecti"e form of direct marketing,
especially for nonprofit groups.
Answer# HAB*
Diff# $ %age &ef# ')(
*kill# Concept
.!/ecti"e# 101$
(7) Because of its association with somewhat >uestiona!le pitches and get1rich1>uick schemes,
direct1response tele"ision is !ecoming less popular than traditional !roadcast and ca!le
ad"ertising.
Answer# HAB*
Diff# $ %age &ef# ;44
*kill# Concept
.!/ecti"e# 101$
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(0) Iou recei"e a te=t message from +pscale Hurnishings a!out an upcoming sale on custom
furniture. +pscale Hurnishings is de"eloping a direct customer relationship with you through
kiosk marketing.
Answer# HAB*
Diff# 5 %age &ef# ;41
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*kill# Application
.!/ecti"e# 101$
(() Because se"eral satellite !roadcast systems are now offering ,-A capa!ilities, interacti"e -A
is likely to !ecome a more widely used direct marketing medium.
Answer# -&+
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()) -oday, many click1and1mortar companies are e=periencing more online success than their
click1only competitors.
Answer# -&+
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.!/ecti"e# 1015
)4) B$C 2e! sites deal with e=changes !etween !usinesses and companies.
Answer# HAB*
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)1) +nlike ,nternet consumers, traditional offline consumers initiate and control contact with
marketers.
Answer# HAB*
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)$) *ales "ia B$B online marketing are e=pected to decrease in the ne=t decade.
Answer# HAB*
Diff# $ %age &ef# ;47
*kill# Concept
.!/ecti"e# 1015
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)5) Business customers of Dell Computer ha"e access to customized 2e! sites that include
purchasing and asset management reports and system1specific technical information. Dell uses
B$B online marketing.
Answer# -&+
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AAC*B# Analytic *kills
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)') Companies such as eBay and ."erstock.com facilitate C$C online marketing.
Answer# -&+
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);) C$B online marketing often in"ol"es the interchange of information through ,nternet forums,
including customers? praise for and complaints a!out products.
Answer# -&+
Diff# $ %age &ef# ;4(
AAC*B# +se of ,-
*kill# Concept
.!/ecti"e# 1015
)7) Companies conduct online marketing !y creating a 2e! site, placing ads and promotions
online, setting up or participating in online social networks, or mailing catalogs to potential
customers.
Answer# HAB*
Diff# $ %age &ef# ;4)
AAC*B# +se of ,-
*kill# Concept
.!/ecti"e# 101'
)0) Catalie Brennan has !een sa"ing her money to !uy a B62 con"erti!le. Catalie has spent
hours on the B62 2e! site choosing the e=terior and interior colors and studying the "arious
options and models. Catalie has !een using B62?s marketing 2e! site.
Answer# -&+
Diff# 5 %age &ef# ;4)
*kill# Application
.!/ecti"e# 101'
)() Banners are online ads that pop up !etween changes on a 2e! site.
Answer# HAB*
Diff# $ %age &ef# ;11
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.!/ecti"e# 101'
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))) %ermission1!ased e1mail ad"ertising allows marketers to send tailored messages to targeted
customers who choose to ha"e chosen to recei"e them.
Answer# -&+
Diff# 1 %age &ef# ;17
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*kill# Concept
.!/ecti"e# 101'
144) *ince the introduction of the Do1Cot1Call &egistry, fraudulent schemes such as in"estment
scams and phony collections for charity ha"e !een on the decline.
Answer# HAB*
Diff# $ %age &ef# ;10
*kill# Concept
.!/ecti"e# 101;
141) ,n a !rief essay, e=plain the ma/or !enefits of direct marketing to !oth customers and
sellers.
Answer# Hor customers, direct marketing is con"enient, easy to use, and pri"ate. ,t gi"es !uyers
ready access to a wealth of products and information, at home or work and around the glo!e. ,t is
immediate and interacti"e. Hor sellers, direct marketing is powerful for !uilding customer
relationships. +sing data!ase marketing, marketers can target small groups or indi"idual
consumers, tailor offers to indi"idual needs, and promote these offers through personalized
communications. ,t pro"ides great timing and offers a low1cost, efficient alternati"e for reaching
markets. Direct marketing has !ecome the fastest1growing form of marketing.
Diff# $ %age &ef# ')$
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14$) 9ow can a customer data!ase !e used as a relationship1!uilding tool3
Answer# A customer data!ase is an organized collection of data a!out indi"idual customers or
prospects, including detailed geographic, demographic, psychographic, and !eha"ioral data.
Companies can mine their data!ases to learn a!out customers in detail, and then fine1tune their
market offerings and communications to the special preferences and !eha"iors of target segments
or indi"iduals. As the customer relationship continues, the company can learn more a!out the
customer and can more accurately fine1tune its offerings to satisfy the customer?s needs.
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1()
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145) ,n a short essay, identify the ma/or ad"antage of the following forms of direct marketing#
telephone, direct1mail, catalog, direct1response tele"ision, and kiosk.
Answer# -elephone marketing pro"ides purchasing con"enience and increased product and
ser"ice information. Direct mail marketing permits selecti"ity and personalization. Catalog
marketing allows customers to !uy /ust a!out anything they desire, and through online catalogs
marketers can use real1time merchandising, adding or remo"ing products !ased on their
a"aila!ility. Direct1response tele"ision marketing allows li"e demonstrations without salespeople
coming to your home or !usiness. Fiosk marketing places information and ordering machines in
con"enient places, such as airports, stores, and malls.
Diff# 5 %age &ef# ');1;41
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.!/ecti"e# 101$
14') 9ow has the implementation of the Cational Do1Cot1Call &egistry changed telephone
marketing3
Answer# -he Cational Do1Cot1Call &egistry was created !y legislation passed in $445@ it !ans
most !usiness telemarketing calls to registered phone num!ers. 9owe"er, people can still recei"e
calls from nonprofit groups, politicians, and companies with which they ha"e recently done
!usiness. 6illions of customers ha"e /oined the do1not1call list, and !usinesses that !reak the
laws can !e fined hea"ily. -he use of unsolicited out!ound telemarketing has greatly decreased
due to the law, !ut in!ound consumer telemarketing and out!ound !usiness1to1!usiness
telemarketing remain strong and growing. 6any telemarketers are shifting their call1center
acti"ity from making unsolicited cold calls on often resentful customers to managing e=isting
customer relationships. -hey are de"eloping Jopt1inJ calling systems, in which they pro"ide
useful information and offers to customers who ha"e in"ited the company to contact them !y
phone or e1mail.
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14;) Bist and !riefly descri!e the four ma/or online marketing domains.
Answer# a. B$C G!usiness1to1consumer) online marketing in"ol"es !usinesses selling goods
and ser"ices online to final consumers. -oday, almost anything can !e purchased online.
!. B$B G!usiness1to1!usiness) online marketing in"ol"es !usinesses using 2e! sites, e1mail,
online product catalogs, online trading networks, and other online resources to reach new
!usiness customers, !etter ser"e e=isting !usiness customers, and o!tain !uying efficiencies
and !etter prices.
c. C$C Gconsumer1to1consumer) online marketing in"ol"es consumers !uying or
e=changing goods or information directly with one another. 2e! sites such as eBay and
Craigslist.com facilitate C$C trading, and !logs are an influential source of consumer1to1
consumer information sharing.
d. C$B Gconsumer1to1!usiness) online marketing in"ol"es consumers searching out online
sellers, learning a!out their offers, and initiating purchases, sometimes e"en setting the
terms of a transaction.
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147) 9ow do ,nternet consumers differ from traditional offline consumers3
Answer# -hey differ in their approaches to !uying and in their responses to marketing. -he
e=change process "ia the ,nternet has !ecome more customer1initiated and customer1controlled.
,n traditional marketing, the audience is somewhat passi"e@ in online marketing, customers
acti"ely select which 2e! sites they will "isit and what marketing information they will recei"e
a!out which products and under what conditions.
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140) Compare and contrast the purpose and content of a corporate 2e! site to that of a marketing
2e! site.
Answer# Corporate 2e! sites are designed to !uild customer goodwill and to supplement other
sales channels, rather than to sell the company?s products directly. -hey offer a rich "ariety of
information and other features in an effort to answer customer >uestions, !uild closer
relationships, and generate e=citement a!out the company. ,n contrast, marketing 2e! sites are
designed to go !eyond the function of a corporate 2e! site and actually engage consumers in an
interaction that will mo"e them closer to a direct purchase. A marketing 2e! site allows
customers to "iew, research, and purchase specific items.
Diff# 5 %age &ef# ;4)
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14() -o attract new "isitors and to encourage re"isits, online marketers should pay close
attention to the se"en Cs of effecti"e 2e! site design. Briefly descri!e four of these se"en Cs.
Answer# a. Conte=t# the site?s layout and design
!. Content# the te=t, pictures, sound, and "ideo that the 2e! site contains
c. Community# the ways that the site facilitates user1to1user communication
d. Customization# the site?s a!ility to tailor itself to different users or to allow users to
personalize the site
e. Communication# the ways the site ena!les site1to1user, user1to1site, or two1way
communication
f. Connection# the degree that the site is linked to other sites
g. Commerce# the site?s capa!ilities to ena!le commercial transactions
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.!/ecti"e# 101'
14)) Descri!e two ways that marketers can participate in online social networks. 2hat are the
challenges and ad"antages of these approaches3
Answer# 6arketers can engage in online communities !y participating in e=isting 2e!
communities or setting up their own. 6any ma/or !rands ha"e set up 6y*pace pages and
profiles and opened "irtual stores in "irtual worlds such as *econd Bife. Companies can
efficiently market to many potential customers as more and more people participate in online
social networks. 9owe"er, participating successfully in e=isting online social networks presents
challenges. Hirst, online social networks are new and results are hard to measure, and most
companies are still e=perimenting with how to use them effecti"ely. *econd, such 2e!
communities are largely user controlled, so a company must learn how to add "alue for
consumers in order to a"oid !eing seen as an intrusion. -o !e effecti"e, marketers must !ecome a
"alued part of the online e=perience. -o a"oid the mysteries and challenges of !uilding a
presence on e=isting online social networks, many companies are now launching their own
targeted 2e! communities. -hough marketers ha"e control of their own targeted 2e!
communities, they must then independently market and maintain the network.
Diff# $ %age &ef# ;151;1;
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.!/ecti"e# 101'
1)$
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114) ,nternet marketing practices ha"e raised a num!er of ethical and legal >uestions. 2hy is
in"asion of pri"acy perhaps the num!er1one online marketing concern3
Answer# 2e! site acti"ities pro"ide e=tensi"e personal information. -his may lea"e consumers
open to information a!use if companies make unauthorized use of the information in marketing
their products or e=changing data!ases with other companies. Critics worry that through
data!ase marketing, marketers know too much a!out consumers? li"es and may not use that
information responsi!ly, taking unfair ad"antage of consumers.
Diff# $ %age &ef# ;1(
AAC*B# thical &easoning
*kill# Application
.!/ecti"e# 101;
111) Adams Cutlery has always relied upon ad"ertising to market its products to final customers.
9owe"er, the marketing team at Adams Cutlery now wants to !egin a direct marketing campaign
consisting of a company 2e! site, e1mails to current customers, and an online catalog. 2hich of
the following would the marketing team e=pect to gain as a result of implementing this direct
marketing plan3
A) the a!ility to increase the range of products the company offers
B) a wealth of information a!out competitors and their products
C) more control o"er customers? interactions with the company
D) the a!ility to learn more a!out their customers and tailor offerings to fit their needs
) a higher cost1per1contact that could pro"e to !e more cost effecti"e than ad"ertising in mass
media
Answer# D
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.!/ecti"e# 1011
11$) Hinancial ser"ices pro"ider +*AA sends materials a!out teaching teenagers how to dri"e
safely to +*AA customers who ha"e children approaching dri"ing eligi!ility age. +*AA is using
________ information from a customer data!ase to determine which customers should recei"e
the materials.
A) demographic
B) geographic
C) psychographic
D) !eha"ioral
) key contact
Answer# A
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115) Hiona Bam!rech is the marketing director of a charity that raises funds to help pro"ide
educational ser"ices to children and families in de"eloping countries. Hiona wants to reach a
select market of indi"iduals who ha"e recently donated to international charities. 2hich of the
following types of direct marketing will Hiona most likely use3
A) direct1mail marketing
B) catalog marketing
C) telephone marketing
D) kiosk marketing
) direct1response tele"ision marketing
Answer# A
Diff# $ %age &ef# ');
AAC*B# Analytic *kills
*kill# Application
.!/ecti"e# 101$
11') .rganic Designs is a small, successful chain of stores offering stylish clothes made of all1
organic materials for infants, toddlers, and young children. 6ost of the .rganic Designs stores
are located in ur!an areas. Cow .rganic Designs is considering using direct marketing to reach
potential customers who li"e outside of the company?s e=isting markets, with the goal of creating
emotional connections and long1term relationships with a new group of customers. 2hich of the
following methods of direct marketing would most likely !e effecti"e in accomplishing this
goal3
A) mo!ile phone marketing
B) interacti"e -A marketing
C) catalog marketing
D) kiosk marketing
) direct1response tele"ision marketing
Answer# C
Diff# $ %age &ef# ')71')0
AAC*B# Analytic *kills
*kill# Application
.!/ecti"e# 101$
11;) :utter :uys is a gutter installation company in *outhern California that used to generate
most of its sales through telemarketing !ut now uses direct mail to reach prospecti"e customers.
2hich of the following most likely e=plains the reason that :utter :uys switched from
telemarketing to direct mail3
A) Hederal -rade Commission?s Anti1*pam Act
B) %ri"acy %romise to American Consumers
C) California .nline %ri"acy %rotection Act
D) Children?s .nline %ri"acy %rotection Act
) Cational Do Cot Call &egistry
Answer#
Diff# 1 %age &ef# ')01')(
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*kill# Application
.!/ecti"e# 101$
1)'
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117) Ceal 6urphy sells his company?s uni>ue gift items on tele"ision programs and entire
channels dedicated to selling goods and ser"ices. Ceal is using ________.
A) direct1response tele"ision ad"ertising
B) ,nternet1!ased infomercials
C) B$B online marketing
D) prime1time selling
) "odcasting
Answer# A
Diff# $ %age &ef# '))
AAC*B# Analytic *kills
*kill# Application
.!/ecti"e# 101$
110) A producer of !e"erages and snack foods wants to market its products to the 1(1to15'1year1
old demographic !y pro"iding incenti"es to respond instantly to time1sensiti"e offers. 2hich of
the following forms of direct marketing would this producer most likely choose3
A) interacti"e -A
B) direct1response -A
C) mo!ile phone
D) direct mail
) podcasting
Answer# C
Diff# 5 %age &ef# ;4$
AAC*B# Analytic *kills
*kill# Application
.!/ecti"e# 101$
11() Company < !egan as a !rick1and1mortar company. 2hich of the following statements
6+*- !e true3
A) By adding online marketing options, Company < would !ecome a click1and1mortar company.
B) Company < is also considered a click1only dot1com.
C) Company < should not !e concerned a!out consumer1to1consumer online marketing.
D) Company < is pro!a!ly not making a profit.
) By adding online marketing options, Company < would !ecome a click1only company.
Answer# A
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11)) .ffice Depot is a click1and1mortar company. 2hich of the following is BA*- likely to !e
an ad"antage that .ffice Depot has o"er click1only competitors3
A) .ffice Depot is a known name with greater financial resources.
B) .ffice Depot has a large, esta!lished customer !ase.
C) By offering online marketing, .ffice Depot offers customers more options.
D) Customers can find a local store and check its a"aila!le stock online.
) .ffice Depot focuses on large accounts through its online presence and small !usinesses
through its retail stores.
Answer#
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1$4) :reen :ardens is a click1and1mortar seller of gardening and landscaping goods and
e>uipment, !ut the marketing department wants to promote the :reen :ardens 2e! site. 2hen
customers are una!le to find a product they need on the shel"es of their local :reen :ardens, the
marketing department wants them to search for the product on the :reen :ardens 2e! site.
2hich of the following marketing de"ices is the !est match for this goal3
A) kiosks
B) e1mail
C) mo!ile phones
D) telemarketing
) catalog marketing
Answer# A
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1$1) ABC Company sells directly to final consumers and a"oids intermediaries, while catering to
a !road group of demographic segments. -his marketer falls under which online marketing
domain3
A) B$C
B) B$B
C) C$C
D) C$B
) A or C
Answer# A
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1$$) Eane Cheatham, a stay1at1home mother, regularly posts new entries on a widely read !log.
,n these entries, she often re"iews consumer products that she uses during the course of her day.
Eane participates in ________.
A) C$B online marketing
B) C$C online marketing
C) "iral marketing
D) content sponsorship
) online social networks
Answer# B
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1$5) By using %riceline.com, potential !uyers can !id for airline tickets, hotel rooms, rental cars,
cruises, and "acation packages. ,t is then up to sellers to decide whether or not to accept an
offered !id. -his is an e=ample of ________.
A) B$B online marketing
B) C$C online marketing
C) B$C online marketing
D) C$B online marketing
) multi1channel marketing
Answer# D
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1$') Con"erse has a 2e! site that welcomes consumers to Jthe Con"erse Century,J in"ites
readers to post their Con"erse stories, and offers a wide "ariety of Con"erse shoes for direct
purchase. -he site e"en allows customers to indi"idually design their own shoes. -he Con"erse
site is most accurately categorized as which of the following types of 2e! sites3
A) a B$B site
B) a C$B site
C) a C$C site
D) a corporate site
) a marketing site
Answer#
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1)0
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1$;) .scar A"iation has a corporate 2e! site. %rospecti"e customers are most likely a!le to do
all of the following on the site <C%- ________.
A) learn a!out .scar?s philosophy
B) ask online >uestions
C) en/oy entertainment features on the site
D) purchase products
) register to recei"e more information from the company
Answer# D
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1$7) ,n attempting to design an effecti"e 2e! site, Company A tried to address all of the se"en
Cs. -he site, howe"er, has a weak layout and design. 2hich C does this represent3
A) customization
B) content
C) conte=t
D) connection
) community
Answer# C
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1$0) Iou are looking up airline schedules on the ,nternet. A !ar at the top of the screen reads,
J*tay at 9oliday ,nn and get a $; percent discountKJ -his is aGn) ________.
A) !anner
B) pop1under
C) content sponsorship
D) pop1up
) interstitial
Answer# A
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1$() Iou ha"e accessed fare information on Corthwest Airlines? 2e! site. Iou want to compare
it with +nited Airlines? fares. ,n !etween screen changes, an ad appears from Alamo Car &ental.
-his is aGn) ________.
A) !anner
B) pop1up
C) content sponsorship
D) pop1under
) interstitial
Answer#
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1$)) +ptown Cleaning Crew is a company that pro"ides house cleaning ser"ices in ma/or ur!an
and su!ur!an areas. 6arketers at +ptown Cleaning Crew de"eloped a short, humorous "ideo
promoting the company?s ser"ices, and they hope that customers who see the "ideo will !e so
entertained that they will pass it on to their friends and colleagues. -he marketers at +ptown
Cleaning Crew are using ________.
A) a content sponsorship
B) "iral marketing
C) C$B marketing
D) rich media ads
) a marketing 2e! site
Answer# B
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154) &unners can compare performances, set up profiles, and meet new friends on Cike?s Cike
%lus 2e! site. Cike %lus is an e=ample of a ________.
A) C$C marketing site
B) "iral marketing site
C) 2e! community
D) alliance and affiliate program
) conte=tual ad"ertisement
Answer# C
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151) After selecting a sweater on the Band?s nd 2e! site, Felly .ldham filled out the re>uired
customer and credit card information. A !o= with a checkmark inside was ne=t to the following
statement #JIes, , would like to recei"e promotional information "ia e1mail from Band?s nd.J
-he statement suggests that Band?s nd is using which of the following marketing tools3
A) spam
B) phishing
C) catalog marketing
D) niche marketing
) permission1!ased e1mail marketing
Answer#
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15$) Charlie %utnam recei"ed an e1mail promoting a new financial ser"ices institution that offers
surprisingly low mortgage rates. -he e1mail simply asked customers to pro"ide their address,
date of !irth, social security num!er, and current mortgage information in order to recei"e a free
loan >uote. *uspicious of the offer, Charlie researched the company and disco"ered that the e1
mail was a fraud. -his is an e=ample of ________.
A) online ea"esdropping
B) phishing
C) malware
D) heat marketing
) "iral marketing
Answer# B
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Refer to the scenario below to answer the following questions
-he -re!le Clef offers a complete line of sheet music, musical instruments, and no"elty
gifts of a musical nature. ,n recent years, owner :ary Dahn has e"en ser"ed as the local
representati"e of se"eral musical instrument manufacturers, pro"iding a contact person for three
local school districts. J,f we don?t ha"e it, chances are e=cellent that we can get it for you,J :ary
tells all -re!le Clef "isitors and customers.
6ost walk1ins are particularly interested in a specific piece of sheet music from a
particular era or /ust !rowsing among the hundreds of musical knick1knacks in the store. :ary
spends most of his time making presentations to !eginning music students at the local schools
and making !i1weekly "isits to the schools in order to deli"er instruments, to make minor repairs
when possi!le, or to pick up instruments to ship to the manufacturer for more complicated
repairs.
After dragging his feet for >uite some time, :ary was con"inced that a -re!le Clef 2e!
site could !enefit a "ariety of customers. 9e !egan with a simple site e=plaining store hours and
depicting types of gifts and ser"ices a"aila!le. -he site recei"ed so much response that :ary
added a >uestion1and1answer option. Luestions poured in, ranging from J2here can , get the
sheet music for ?9ello, Dolly?3J to JDo you carry clarinet reeds3J to J6y sa=ophone needs two
new pads. 2hen will you !e at lmhurst school to repair it3J -he 2e! site is now a!le to accept
credit card orders, and gifts can e"en !e wrapped and shipped for no e=tra charge.
J, don?t know how we did it without our 2e! site,J :ary admitted. J,t allows us to !e so
responsi"e. And our no"elties sales ha"e dou!ledKJ
155) 2hat type of online marketing is :ary Dahn using to promote the -re!le Clef3
A) B$B
B) B$C
C) "iral marketing
D) social networking
) conte=tual ad"ertising
Answer# B
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15') 2hich of the following B*- descri!es the -re!le Clef3
A) a !rick1and1mortar company that is now a click1only retailer
B) a dot1com that has added a storefront to ser"ice local customers
C) a click1and1mortar company that used to !e a !rick1and1mortar retailer
D) a !rick1and1mortar retailer that is struggling to compete with click1only firms
) a !rick1and1mortar company that esta!lished a 2e! community for musicians
Answer# C
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15;) 6any -re!le Clef customers are seeking specific sheet music that :ary does not always
ha"e in1stock. :ary would like to pro"ide a link on the store?s 2e! site to a sheet music supplier
with which he does !usiness. .n which of the following 2e! site design elements should :ary
focus3
A) conte=t
B) community
C) customization
D) connection
) content
Answer# D
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157) 9ow does direct marketing gi"e !uyers access to more comparati"e information a!out
companies, products, and competitors3
Answer# Catalogs and 2e! sites, !oth forms of direct marketing, can pro"ide e=tensi"e product
information and helpful product re"iews. Customers can easily research companies, products,
and competitors !y comparing information in catalogs or on !usiness1to1consumer and
consumer1to1consumer 2e! sites.
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150) 9ow does online marketing pro"ide fle=i!ility for sellers3
Answer# .nline marketing allows the marketer to make ongoing ad/ustments to its offers and
programs. .nline catalogs, if used, can !e ad/usted daily or e"en hourly if needed. Because the
,nternet is a glo!al tool, it allows !uyers and sellers to click from one country to another country
in seconds.
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15() 2hat kind of information is likely to !e included in a !usiness1to1!usiness customer
data!ase3
Answer# Data might include products and ser"ices purchased !y the customer, pro/ected
customer spending, competing suppliers, status of current contracts, key contacts and personal
information, and assessments of competiti"e strengths and weaknesses in selling and ser"icing
the account.
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15)) 2hy are people reached !y direct mail !etter prospects for a company than those reached
!y mass media such as tele"ision or magazines3
Answer# +nlike mass media, direct mail allows for high target1market selecti"ity, so only
consumers who are likely to !ecome customers can !e contacted@ in addition, direct mail can !e
personalized for each indi"idual, which helps to !uild customer relationships.
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1'4) 2hy are printed catalogs still thri"ing in the face of the growing popularity of 2e!1!ased
catalogs3
Answer# %rinted catalogs are more effecti"e at creating an emotional connection with customers
and continue to !e one of the !est ways to lead customers to online catalogs.
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1'1) =plain how the creation of the Cational Do1Cot1Call &egistry may ha"e helped
telemarketers more than it hurt them.
Answer# ,nstead of making cold calls to people who are likely to resent the intrusion,
telemarketers ha"e switched gears and now focus on managing e=isting customer relationships
through Jopt1inJ calling systems that pro"ide useful information and offers to customers who
ha"e gi"en the company permission to contact them.
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1'$) 2hy is the use of direct1response tele"ision growing in popularity3
Answer# Direct1response -A commercials are usually less e=pensi"e to produce than traditional
tele"ision ad"ertisements, and the media purchase is less costly@ also, it is easy for marketers to
track the effecti"eness of a direct1response -A commercial !ecause the ads always include a 11
(44 num!er or 2e! address.
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1'5) %ro"ide an e=ample of how a marketer uses kiosk marketing.
Answer# Answers will "ary. 6any airlines and hotels use kiosks as self1ser"ice check1in
de"ices@ many retail stores offer in1store ordering kiosks@ kiosks in -arget stores connect
customers to rele"ant articles from Consumer Reports magazine.
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1'') 9ow can firms that use new direct marketing technologies a"oid !acklash from consumers
who "iew such marketing as an in"asion of pri"acy3
Answer# 6arketers should always target their direct marketing offers carefully and !ring real
"alue to customers through direct marketing.
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1';) 2hat types of ser"ices do B$B marketers offer online3
Answer# 6ost ma/or B$B marketers now offer product information, customer purchasing, and
customer support ser"ices online.
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1'7) =plain how a company !enefits from monitoring the !logosphere.
Answer# By staying up1to1date with the content on rele"ant !logs, a company can gain insights
from its consumers and ad/ust its marketing programs accordingly@ for e=ample, a company
might learn a!out the weaknesses or strengths of a new marketing campaign !y monitoring
reactions on !logs.
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1'0) %ro"ide two reasons that many companies are shifting more of their marketing dollars to
online ad"ertising.
Answer# 6ore companies are increasing the portion of their marketing !udget spent on online
ad"ertising !ecause consumers are spending more and more time on the ,nternet. &ich media ads
are particularly effecti"e in engaging "iewers, and search1related ads reach an audience likely to
!e interested in the product.
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1'() 2hat is the purpose of content sponsorship3 %ro"ide an e=ample of content sponsorship.
Answer# Content sponsorships are a form of ,nternet promotion@ many companies gain e=posure
on the ,nternet !y sponsoring special content on "arious 2e! sites, such as news and financial
information. *ponsorships are !est placed in carefully targeted sites where they can offer
rele"ant information or ser"ice to the audience. *cotts, the lawn1and1garden company sponsors
the Bocal Horecast section on 2eatherChannel.com.
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1')) =plain the goal of "iral marketing.
Answer# Airal marketing is the ,nternet "ersion of word1of1mouth marketing. Airal marketing
in"ol"es creating a 2e! site, e1mail message, or other e"ent that is so infectious that customers
will want to pass it along to their friends.
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1;4) 9ow has the direct marketing industry taken steps to address pri"acy and security concerns3
Answer# *ome companies use a nonprofit self1regulatory organization that audits a company?s
security and pri"acy measures and then appro"es 2e! sites that meet its pri"acy and security
standards. -he Direct 6arketing Association has started a %ri"acy %romise that asks mem!er
companies to agree to notify customers a!out the use of their pri"ate information and to honor
customer re>uests to Jopt1outJ of recei"ing further solicitations.
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