Exam 16: Direct-Response

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Explain what spam is.

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In direct-response marketing, a business responsible for making sure consumers receive whatever they requested in a timely manner is known as a service firm.

(True/False)
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What is the first step in the direct marketing process?

(Multiple Choice)
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Refer to the passage below to answer the questions that follow. Solumbria, a company that sells medically recommended sun protective clothing, has ads in several different magazines that give consumers information about their products. The headline of the ad says "Serious Sun Protection" surprinted over a man and a woman dressed head to toe in the protective clothing. The body copy then goes on to tout the benefits of sun protection, the comfort of the company's clothing, and how dermatologists have recommended Solumbria for their patients. The last paragraph of the copy says "For a FREE catalog of Solumbria hats, shirts, pants and accessories for men, women and children, call Sun Precautions: 1-800-882-7860." The ad also provides a web address. -Which of the direct marketing objectives does this scenario illustrate?

(Multiple Choice)
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What do direct marketers use to keep track of customers, identify prospective customers, and segment groups of customers and prospects?

(Multiple Choice)
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Refer to the passage below to answer the questions that follow. Proactive Solution is a skincare system to help people with acne. Proactive was originally sold only through direct marketing. The consumer had to enroll in the Proactive Solution Clear Skin Club. However, now some large malls have kiosks selling Proactive Solution products without the club membership, but the prices are much higher. Proactive Solution has had one of the longest-running infomercials on television, and its product line is also sold through magazine ads. Through these mediums, consumers can purchase the product directly by calling, mailing, or going through the Internet to submit an order. -Jill is a member of the Proactive Solution Clear Skin Club. She also received a telephone sales call trying to get her to purchase Proactive make-up. Jill had previously registered her phone number with the national Do Not Call Registry and is upset that she received this call. Can Proactive call her? Explain any restrictions they must be aware of.

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Laurie is a college professor who teaches a course in direct marketing. She is a member of the Direct Marketing Association (DMA), a trade association for businesses in the direct marketing industry, because it is a useful source of current information for her course. She receives direct mail offers, e-mails, and telemarketing calls from a variety of businesses that are also sent to other members of the DMA. What type of list is Laurie's name on?

(Multiple Choice)
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Combining direct-mail lists is called merging, and deleting the repeat names is called purging.

(True/False)
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One limitation of infomercials is that they cannot easily be introduced into foreign markets.

(True/False)
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Which type of offer is designed to gather leads, answer consumer questions, drive visits to a store, or set up appointments?

(Multiple Choice)
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________ is a type of marketing communication that has characteristics of advertising but also includes an element that allows the audience to make a direct response to the advertiser.

(Multiple Choice)
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MMT, Inc., a pharmaceutical company, considered using direct marketing. An important need the company had was to respond to the customers' responses by getting the product to the customers who ordered it within 48 hours. What step in the direct marketing process was MMT concerned about?

(Multiple Choice)
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Neal Murphy sells his company's unique gift items on television programs and entire channels dedicated to selling goods and services. Neal is using ________.

(Multiple Choice)
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Saul is planning a direct marketing campaign that has a relatively limited budget. To make the best use of his budget, Saul wants to identify which of the company's recent customers should be sent a full-length catalog and which of the company's recent customers should be sent a less expensive mini-catalog. Saul should use a(n)________ model.

(Multiple Choice)
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Cold call dialing techniques make it possible for telemarketing companies to call anyoneeven those with unlisted numbers.

(True/False)
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Which type of database provided by an outside firm contains information useful in segmenting as well as contact information?

(Multiple Choice)
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What is the purpose of the national Do Not Call Registry?

(Multiple Choice)
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Identify the five primary tools of direct marketing.

(Essay)
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Refer to the passage below to answer the questions that follow. Proactive Solution is a skincare system to help people with acne. Proactive was originally sold only through direct marketing. The consumer had to enroll in the Proactive Solution Clear Skin Club. However, now some large malls have kiosks selling Proactive Solution products without the club membership, but the prices are much higher. Proactive Solution has had one of the longest-running infomercials on television, and its product line is also sold through magazine ads. Through these mediums, consumers can purchase the product directly by calling, mailing, or going through the Internet to submit an order. -The infomercials and print ads allow consumers to purchase directly from the ad itself. There is a mail-in coupon order form, a toll-free phone number, and a web address given in the print ad that states, "Call Now!" Some infomercials even state that "calls received within the next 30 minutes will receive '2 Free Bonuses' when ordering." Name and describe the type of offer this is, and explain how it is different from the other type of offer.

(Essay)
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Which type of direct-marketing list is a list of some specific category, such as sports car owners, new homebuyers, graduating seniors, or subscribers to a magazine?

(Multiple Choice)
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