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E-Commerce 2019 Business

Technology and Society 15th Edition


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E-commerce 2019: business. technology. society., 15e (Laudon/Traver)
Chapter 7 Social, Mobile, and Local Marketing

1) All of the following were popular types of online marketing before 2007 except:
A) e-mail.
B) corporate websites.
C) mobile marketing.
D) display ads.
Answer: C
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 7.1: Understand the difference between traditional online marketing and the
new social-mobile-local marketing platforms and the relationships between social, mobile, and
local marketing.

2) Which of the following is not true about social marketing?


A) More than 50% of Twitter's ad revenues are generated by desktop users.
B) The top seven social networks account for over 90% of all visits.
C) Social marketing differs markedly from traditional online marketing.
D) In social marketing, business cannot tightly control their brand messaging.
Answer: A
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.1: Understand the difference between traditional online marketing and the
new social-mobile-local marketing platforms and the relationships between social, mobile, and
local marketing.

3) How much time a month does the average person spend using the Facebook app on mobile
devices?
A) about 3 hours
B) about 10 hours
C) about 13 hours
D) about 23 hours
Answer: C
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.1: Understand the difference between traditional online marketing and the
new social-mobile-local marketing platforms and the relationships between social, mobile, and
local marketing.

4) By 2020, it is estimated that advertisers will be spending which of the following amounts on
mobile marketing?
A) $11.3 million
B) $113 million
C) $11.3 billion
D) $113 billion
Answer: D

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Difficulty: Moderate
AACSB: Analytical thinking
Learning Objective: 7.1: Understand the difference between traditional online marketing and the
new social-mobile-local marketing platforms and the relationships between social, mobile, and
local marketing.

5) By 2020, spending on social marketing will triple the amount spent on mobile marketing.
Answer: FALSE
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 7.1: Understand the difference between traditional online marketing and the
new social-mobile-local marketing platforms and the relationships between social, mobile, and
local marketing.

6) In 2018, the amount spent on local online marketing exceeded the amount spent on mobile
marketing.
Answer: FALSE
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.1: Understand the difference between traditional online marketing and the
new social-mobile-local marketing platforms and the relationships between social, mobile, and
local marketing.

7) Snapchat is owned by Facebook


Answer: FALSE
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 7.1: Understand the difference between traditional online marketing and the
new social-mobile-local marketing platforms and the relationships between social, mobile, and
local marketing.

8) What has changed in online marketing since 2007?


Answer: Since 2007, Facebook and other social network sites have grown rapidly, smartphones
have taken the market by storm, and local marketing has taken off. Prior to 2007, online
marketing consisted of creating a corporate website, buying display ads on Yahoo and
purchasing AdWords on Google, and sending e-mail. The display ad was the most prevalent
form of online advertising. "Eyeballs" were the primary measure of a site's success, and
"impressions" were the measure of an advertising campaign's success. Today, marketing is based
on businesses marketing themselves as partners in multiple online conversations with customers
and critics. Marketing requires firms to locate and participate in conversations happening on
social media. Businesses can no longer tightly control their brand messaging. In 2007, mobile
marketing was in its infancy, but now the amount spent on mobile marketing has overtaken the
amount spent on desktop/laptop marketing.
Difficulty: Moderate
AACSB: Analytical thinking; Written and oral communication
Learning Objective: 7.1: Understand the difference between traditional online marketing and the
new social-mobile-local marketing platforms and the relationships between social, mobile, and
local marketing.
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9) Which of the following is known primarily for blogs?
A) Facebook
B) Tumblr
C) Google
D) Instagram
Answer: B
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

10) Which of the following is the first step in the social marketing process?
A) community
B) amplification
C) fan acquisition
D) engagement
Answer: C
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

11) Encouraging users to click a Like button is an example of which step in the social marketing
process?
A) fan acquisition
B) brand strength
C) community
D) amplification
Answer: D
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

12) Your Facebook News Feed includes all of the following except:
A) status updates.
B) app activity.
C) Likes.
D) Tweets.
Answer: D
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and

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Pinterest.

13) Which of the following statements about Facebook Exchange is not true?
A) It competes with Google Ads (formerly DoubleClick).
B) It allows advertisers to target ads.
C) It is a social search engine.
D) It involves cookies.
Answer: C
Difficulty: Difficult
AACSB: Information technology
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

14) Ads that appear in a Facebook user's News Feed are called:
A) Marketplace Ads.
B) Promoted Ads.
C) Page Post Ads.
D) Brand Ads.
Answer: C
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

15) About how many hours a month do online social network users spend, on average, on all
social networks combined?
A) 15
B) 20
C) 25
D) 30
Answer: C
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

16) Which of the following is a history of your actions on Facebook?


A) News Feed
B) Timeline
C) Ticker
D) Open Graph
Answer: B
Difficulty: Moderate
AACSB: Information technology
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
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and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

17) Sprout Social helped Wahl Professional improve its social media presence on which of the
following?
A) Facebook
B) Instagram
C) Twitter
D) Pinterest
Answer: B
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

18) All of the following marketing tools on Facebook require payment except:
A) Brand Pages.
B) Facebook Watch.
C) News Feed Page Post Ads.
D) Mobile Ads.
Answer: A
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

19) The ratio of impressions to fans is a measure of:


A) engagement.
B) amplification.
C) community.
D) fan acquisition.
Answer: D
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

20) Which of the following Twitter marketing tools provides marketers with a real-time digital
dashboard so they can see tweet activity about a TV show, commercial, or brand?
A) Promoted Trends
B) Amplify
C) Twitter Cards
D) Promoted Accounts
Answer: B
Difficulty: Moderate
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AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

21) Which of the following Twitter marketing tools involves a coupon or other promotional offer
that appears in users' Twitter timeline?
A) Promoted Tweet
B) Promoted Trend
C) Promoted Account
D) Twitter Card
Answer: D
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

22) Which of the following statements about Pinterest is not true?


A) Pinned photos and photo boards are available to all Pinterest users.
B) Men are Pinterest's fastest growing demographic.
C) Pinterest enables users to integrate their pins into their Facebook News Feeds and Twitter
streams.
D) Pinterest is the only one of the major social networks that does not accept paid advertising.
Answer: D
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

23) Which of the following are features of both Pinterest and Twitter?
A) tweets
B) hashtags
C) pins
D) Image Hover widget
Answer: B
Difficulty: Moderate
AACSB: Information technology
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

24) All of the following are Pinterest marketing tools except:


A) Brand pages.
B) Rich Pins.
C) Promoted Pins.
D) Promoted Accounts.
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Answer: D
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

25) The number of people exposed to pins on Pinterest is a measure of which of the following?
A) engagement
B) community
C) brand strength
D) fan acquisition
Answer: D
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

26) Which of the following is an online service specifically aimed at measuring the impact of
Pinterest and other visual social media?
A) TweetDeck
B) Curalate
C) Amplify
D) Webtrends
Answer: B
Difficulty: Moderate
AACSB: Information technology
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

27) Which of the following is another term for amplification?


A) impressions
B) reach
C) conversation rate
D) conversion ratio
Answer: B
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

28) All of the following are examples of dark social except:


A) e-mail.
B) tweets.
C) SMS texts.
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D) Snapchat.
Answer: B
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

29) As discussed in the chapter-opening case, Hubble used all of the following Facebook
marketing tools except:
A) Facebook brand page.
B) Facebook News Feed ads
C) Facebook Live.
D) Facebook’s Lookalike Audience lead generation tool.
Answer: D
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

30) Which of the following allows Facebook to track user behavior on other sites?
A) Open Graph
B) Like button
C) hashtags
D) Whatsapp
Answer: B
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

31) Which of the following is not true about Facebook News Feed Page Post Ads?
A) They have a tiny tag indicating that they are sponsored.
B) They can be liked, shared, and commented on, just like any news feed post.
C) They cannot contain links.
D) They have social context.
Answer: C
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

32) Which of the following is a micro-blogging social network site that allows users to send and
receive 280-character messages, as well as news articles, photos, and videos?
A) Facebook
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B) Twitter
C) Pinterest
D) Instagram
Answer: B
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

33) Companies are not permitted to collect personal information from children under the age of
________ without parental consent.
A) 8
B) 10
C) 13
D) 16
Answer: C
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

34) Which of the following was the object of the FTC's highest penalty for a COPPA violation to
date?
A) Disney's Playdom
B) W3 Innovation
C) Snapchat
D) Yelp
Answer: A
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

35) Which of the following is most similar to Pinterest?


A) LinkedIn
B) Instagram
C) YouTube
D) Tumblr
Answer: B
Difficulty: Difficult
AACSB: Analytical thinking
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

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36) Which social marketing proved the most effective for ExchangeHunterJumper.com?
A) Facebook
B) YouTube
C) Pinterest
D) Instagram
Answer: A
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

37) Which of the following refers to the number of interactions among members of a group and
reflects the "connectedness" of the group, even if these connections are forced on users?
A) engagement
B) information density
C) social density
D) amplification
Answer: C
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

38) Which of the following refers to those forms of social sharing that occur off the major social
networks, through alternative communication tools?
A) social density
B) dark social
C) amplification
D) engagement
Answer: B
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

39) Which of the following is a real-time bidding system that allows advertisers to target their
ads to specific users based on personal information provided by Facebook?
A) Amplify
B) FBX
C) DoubleClick
D) PTAT
Answer: B
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
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and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

40) Which of the following social networks allows a user to buy products directly on its site and
pay with Apple Pay?
A) Twitter
B) LinkedIn
C) Pinterest
D) Snapchat
Answer: C
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

41) Which of the following involves using a variety of tools to encourage users to interact with
content and brand?
A) social density
B) engagement
C) amplification
D) dark social
Answer: B
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

42) Which of the following involves using the inherent strength of social networks to encourage
visitors and fans to share their Likes and comments with friends?
A) social density
B) engagement
C) amplification
D) dark social
Answer: C
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

43) Which of the following is a Facebook feature that allows app developers to integrate their
apps into the Facebook pages of users who sign up for the app?
A) Whatsapp
B) Like button
C) Messenger
D) Open Graph
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Answer: D
Difficulty: Moderate
AACSB: Information technology
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

44) Facebook's Messenger app allows users to make payments to advertisers via Stripe or PayPal
without having to leave the app.
Answer: TRUE
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

45) Facebook's Search functionality includes everyone's public posts, Likes, photos, and
interests, and makes them available to all users of Facebook, even those who are not friends.
Answer: TRUE
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

46) Facebook does not sell display ads.


Answer: FALSE
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

47) Brand pages on Facebook typically attract more visitors than a brand's website.
Answer: TRUE
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

48) Promoted Video is the source of over 50% of Twitter’s ad revenue.


Answer: TRUE
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.
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49) Pinterest's users are predominantly women.
Answer: TRUE
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

50) In 2018, Millennials made up almost 65% of Snapchat's monthly active U.S. users.
Answer: FALSE
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

51) What are some of the downsides of social marketing?


Answer: One problem is that brands lose a substantial amount of control over where their ads
appear in terms of other content and what people say about their brands on social sites. Ads
placed on Facebook according to an algorithm can be placed near content that does not represent
the values of the brand. This is not peculiar to social marketing, as advertising using Google's
advertising platform faces the same problem. This is very different, however, from TV ads where
brands maintain near complete control. Social sites are unique in that disgruntled consumers, or
just malicious people, can post material that is inaccurate and/or embarrassing.
Difficulty: Moderate
AACSB: Application of knowledge; Written and oral communication
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

52) Name and describe the five steps in the social marketing process.
Answer: The five steps in the social marketing process are fan acquisition, engagement,
amplification, community, and brand strength.

Social marketing campaigns begin with fan acquisition, which involves using any of a variety of
means, from display ads to News Feed and page pop-ups, to attract people to your Facebook
page, Twitter feed, or other platform like a Web page. The next step is to generate engagement,
which involves using a variety of tools to encourage users to interact with your content and brand
located on your Facebook or Web pages. You can think of this as "starting the conversation"
around your brand.

Once you have engaged visitors, you can begin to use social site features to amplify your
messages by encouraging users to tell their friends by clicking a Like button, or by sending a
message to their followers on Twitter. Amplification involves using the inherent strength of
social networks to continue the spread of its message. Once you have gathered enough engaged
fans, you will have created the foundation for a community — a more or less stable group of fans
who are engaged and communicating with one another over a substantial period of time (say
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several months or more). The ultimate goal is to enlarge your firm's "share of the online
conversation." The process ends with strengthening the brand and, hopefully, additional sales of
products and services.
Difficulty: Moderate
AACSB: Application of knowledge; Written and oral communication
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

53) Name and describe five of the marketing tools available with Facebook.
Answer: Marketing tools available with Facebook include: Right-hand Sidebar Ads, News Feed
Page Post Ads, Brand Pages, Reactions Buttons, video ads, mobile ads, and Facebook Exchange
(FBX).

Right-hand Sidebar Ads are display ads shown in the right column on a user's profile and home
Facebook pages. They are often used to direct users to off-Facebook content such as website
landing pages and content offers.

The News Feed is the most prominent place for advertisements. The News Feed is the center of
the action for Facebook users and where Facebook users spend most of their time because that is
where posts from their friends appear.

Page Post Ads appear in a user's News Feed along with all of the other posts and status updates
that normally appear from friends. Page Post Ads have a tiny tag that indicates that they are
sponsored (i.e., are advertisements) but otherwise look very similar to posts from friends. They
have social context ("John Smith and Jane Doe like Pottery Barn") and can be liked, shared, and
commented on, just like any other post. Page Post Ads can contain text, photos, video, and links.
They can be used for many of marketing objectives, such as increasing brand engagement,
obtaining Likes for the brand's Facebook page, and encouraging app installs and engagement.
Companies pay to promote or boost Page Post Ads to extend their reach.

Nearly all Fortune 1000 companies, and hundreds of thousands of smaller firms, have Facebook
brand pages, similar to brand websites, on Facebook as an adjunct to their main website. The
purpose of a brand page is to develop fans of the brand by providing users opportunities to
interact with the brand through comments, contests, and offerings. Using social calls to action,
such as "Like us on Facebook" and "Share," brand pages can escape their isolation and make it
more easily into users' social networks, where friends can hear the message. Social brand pages
have many more social opportunities for fans to like and comment than are typical of traditional
web pages. However, corporate websites have, over time, adopted many social features and the
two are now often indistinguishable. Brand pages on Facebook typically attract more visitors
than a brand's website.

Reactions buttons enable users to share their feelings with friends and friends of friends about
content and other objects they are viewing and Web sites they are visiting. The Reactions buttons
provide amplification for marketers.

Facebook also offers video ads, mobile ads (its mobile ad platform is its fastest growing revenue

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stream), ads on its Facebook Messenger instant messaging app and on Facebook Watch, its
video-on-demand service, and Facebook Exchange (FBX), a real-time ad exchange, which
enables marketers to sell ads and retarget ads.
Difficulty: Moderate
AACSB: Application of knowledge; Written and oral communication
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

54) What are the basic steps in creating a Pinterest marketing campaign?
Answer: The first step is to create a brand page and pin photos of your products, ensuring that
you change your selections regularly and use high quality photos. Next, use URL links and
keywords so that followers can easily find and buy the projects you have pinned. Use of hashtags
helps organize your photos.

Using Pinterest Rich Pins, such as Product Pins help businesses in industries that are cost
competitive like food, retail, or movie distribution. Adding Pin It buttons also encourages
followers to pin your photos to their own boards and share them with friends. Developing theme-
based boards also enhances the entertainment and branding aspects of Pinterest.

Incorporating Facebook and Twitter into the campaign draws users from those networks onto
Pinterest and integrating with those services allows users to navigate seamlessly from Facebook
and Twitter to Pinterest. Being active on social media is also important to get the most out of it.
Difficulty: Moderate
AACSB: Application of knowledge; Written and oral communication
Learning Objective: 7.2: Understand the social marketing process from fan acquisition to sales
and the marketing capabilities of social marketing platforms such as Facebook, Twitter, and
Pinterest.

55) Which of the following is not true about mobile marketing?


A) There is significant overlap between local and mobile marketing.
B) By 2022, spending on mobile marketing is expected to comprise almost 75% of all digital ad
spending.
C) A substantial part of mobile marketing should be counted as social marketing.
D) People use most of their mobile minutes while they are on the go, outside of the home.
Answer: D
Difficulty: Difficult
AACSB: Application of knowledge
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

56) Which of the following is the top app in terms of both audience size and share of time spent?
A) YouTube
B) iTunes
C) Twitter
D) Facebook
Answer: D
Difficulty: Moderate
AACSB: Application of knowledge
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Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

57) On average, users use about ________ apps a month on their smartphone.
A) 10
B) 15
C) 20
D) 50
Answer: C
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

58) Which of the following statements is not true?


A) Google is the leading platform for mobile display ads.
B) Google has four of the top eight apps.
C) Google still dominates mobile advertising in terms of U.S. revenue, but Facebook has gained
significant market share.
D) Google generates over 50% of all mobile search ad spending.
Answer: A
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

59) Which of the following is the most popular use for mobile devices?
A) shopping
B) socializing
C) entertainment
D) performing tasks, such as finances
Answer: C
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

60) Which of the following is the second-most popular mobile marketing format?
A) search engine advertising
B) display advertising
C) video advertising
D) mobile messaging
Answer: B
Difficulty: Difficult
AACSB: Application of knowledge
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

61) Which of the following accounts for the most time people spend using a mobile device?
A) watching video
B) social networks
C) listening to music
D) reading news and magazines
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Answer: C
Difficulty: Moderate
AACSB: Information technology
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

62) While using apps, users spend over 90% of the time on just ________ of them.
A) 2
B) 3
C) 4
D) 5
Answer: D
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

63) In which year did spending on mobile marketing first exceed the amount spent on
desktop/laptop marketing?
A) 2014
B) 2015
C) 2016
D) 2017
Answer: B
Difficulty: Difficult
AACSB: Application of knowledge
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

64) Which of the following accounts for the most mobile ad spending?
A) display ads
B) search engine advertising
C) video ads
D) SMS text messages
Answer: B
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

65) Which of the following is not a major provider of mobile display advertising?
A) MoPub
B) inMobi
C) AdMob
D) Webtrends
Answer: D
Difficulty: Difficult
AACSB: Application of knowledge
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

66) Which of the following is the leading mobile retailer in the United States?
A) Walmart
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B) Amazon
C) Google
D) QVC
Answer: B
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

67) Which of the following is not a technology for enabling proximity marketing?
A) Lens Studio
B) NFC
C) BLE
D) QR codes
Answer: A
Difficulty: Moderate
AACSB: Information technology
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

68) Which of the following statements about BLE is not true?


A) Only Apple iPhones can use BLE.
B) BLE uses less power than traditional Bluetooth or GPS.
C) BLE has a two-way, push-pull communication capability.
D) BLE is more accurate than targeting through Wi-Fi triangulation.
Answer: A
Difficulty: Moderate
AACSB: Information technology
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

69) What percentage of the population use a mobile device to research products online before
purchasing?
A) about 25%
B) about 33%
C) about 50%
D) about 75%
Answer: C
Difficulty: Difficult
AACSB: Application of knowledge
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

70) Traditional retail products and travel services are the source of much of the current growth in
m-commerce.
Answer: TRUE
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

71) Purchases made on tablet computers are the fastest growing and largest source of m-
commerce revenues.
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Answer: FALSE
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

72) SMS text messaging generates most of mobile marketing spending.


Answer: FALSE
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

73) What are the implications for marketers given that users spend over 75% of their total mobile
time using apps and that on average, users only use about 20 apps a month?
Answer: The implications for marketers are quite clear: if consumers are primarily using apps
rather than browsing the Web on their mobile devices, marketers need to place ads in apps where
most of the action is for attracting consumers, and that means social, entertainment, and game
sites. Second, if mobile consumers only use, on average, 20 apps, then marketers need to
concentrate their marketing in these popular apps, let's say, the top 100. Niche marketers, on the
other hand, can concentrate their ads in apps that support that niche. A distributor of diving
equipment, for instance, could place ads in apps devoted to the diving community. There may
not be many users of the app, but those who do use it are highly motivated on the topic. Another
implication for marketers is that rather than focus on mobile display ads that are difficult to read,
the best ad may be an entertaining video ad that captures the viewer's attention or an ad in an app
that is precisely targeted to the consumer's current activities and interests.
Difficulty: Moderate
AACSB: Application of knowledge; Written and oral communication
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

74) How does the multi-screen environment change the marketing funnel?
Answer: Consumer purchasing behavior changes in a multi-screen world. Consumers will often
use two or more screens at once, tweeting when watching a TV show, or moving seamlessly
from a TV ad, to a mobile search for more information, and finally making an online purchase.
Also, the more screens people use, the more shopping and purchasing they do. One conclusion is
that the more screens consumers have, the more consumer touchpoints or marketing
opportunities exist. The implications of the multi-device platform, or screen diversity
environment, are that marketing needs to be designed for whatever device the consumer is using,
and consistent branding across platforms will be important.

Screen diversity means that one ad size, for instance, will not fit all situations, and that branding
images will need to be adjusted automatically based on the device the consumer is using. From a
design perspective, graphics and creative elements will appear differently depending on the
screen. The requirement to find customers on multiple screens can add considerably to the cost
of marketing online. Companies may find that they need to develop a presence and market not
only on Web sites, but on mobile Web sites, and/or smartphone apps as well. Perhaps they may
not be able to afford all three and may want to choose only one. In that case, which is the best?
Much depends on what the point of the marketing is. To drive sales, a Web site might be more
effective, but to drive brand awareness, and engagement, social and entertainment apps might be
better.
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But even beyond screen adaptability, a multi-screen world means merchants need to be on all
platforms, and to be integrated across platforms, to send a coherent message and to create a
convenient consumer platform. The marketing environment today is much more complex than
placing banner ads on pages or on search engine results pages on the Web.
Difficulty: Difficult
AACSB: Application of knowledge; Written and oral communication
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

75) How do people use their mobile devices today?


Answer: Most people believe that people use their mobile devices on the go, but in fact,
according to one of the very few studies of actual mobile behavior, almost 70% of all mobile
minutes occur in the home. People spend over 6 hours with digital media on average daily, and
over three and a half of these hours is spent using mobile devices—smartphones and tablets.
Recent data show that entertainment, not shopping or buying, is the primary focus (at least in
terms of time) for mobile device users. Of the three hours and a half a day that people are
spending using their mobile devices, 45 minutes is spent on social networks, while watching
video accounts for about 38 minutes. Listening to music accounts for over 1 hour, and over 20
minutes are spent playing mobile games.
Difficulty: Moderate
AACSB: Application of knowledge; Written and oral communication
Learning Objective: 7.3: Identify the key elements of a mobile marketing campaign.

76) Which of the following is currently a small part of the online marketing universe, but is
expected to triple over the next five years?
A) desktop/laptop display advertising
B) location-based (local) mobile marketing
C) mobile marketing
D) social marketing on Facebook
Answer: B
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 7.4: Understand the capabilities of location-based local marketing.

77) Macy's deployed which of the following technologies in many of its retail stores in 2014?
A) QR codes
B) iBeacon
C) E9-1-1
D) Geo-search
Answer: B
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.4: Understand the capabilities of location-based local marketing.

78) Which of the following dominates the local mobile search market?
A) Twitter
B) Apple
C) Facebook
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D) Google
Answer: D
Difficulty: Easy
AACSB: Application of knowledge
Learning Objective: 7.4: Understand the capabilities of location-based local marketing.

79) Apple's iBeacon uses which of the following technologies?


A) BLE
B) NFC
C) E9-1-1
D) QR codes
Answer: A
Difficulty: Moderate
AACSB: Information technology
Learning Objective: 7.4: Understand the capabilities of location-based local marketing.

80) Which of the following is the leading location-based mobile ad format?


A) search ads
B) display ads
C) native/social ads
D) video ads
Answer: A
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.4: Understand the capabilities of location-based local marketing.

81) Google uses which of the following to build a global database of wireless access points and
their geographic locations?
A) E9-1-1
B) Street View cars
C) iBeacons
D) BLE
Answer: B
Difficulty: Moderate
AACSB: Information technology
Learning Objective: 7.4: Understand the capabilities of location-based local marketing.

82) Eddystone is an open-source standard for beacon technology.


Answer: TRUE
Difficulty: Moderate
AACSB: Application of knowledge
Learning Objective: 7.4: Understand the capabilities of location-based local marketing.

83) A cell phone's GPS is accurate to within five feet of the actual location of the phone.
Answer: FALSE
Difficulty: Moderate
AACSB: Information technology
Learning Objective: 7.4: Understand the capabilities of location-based local marketing.
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84) What technologies and techniques are employed in location-based mobile marketing?
Answer: There are two general types of location-based marketing techniques: geo-aware and
proximity marketing. Geo-aware techniques identify the location of a user's device and then
target marketing to the device, recommending actions within. Proximity marketing techniques
identify a perimeter around a physical location, and then target ads to users within that perimeter,
recommending actions possible within the fenced-in area. The perimeter can be from hundreds of
feet (in urban areas) to several miles (in suburban locations). For instance, if users walk into the
geo-fenced perimeter of a store, restaurant, or retail shop, they will receive ads from these
businesses. Both techniques utilize the same locating technologies. GPS is the most accurate
positioning method in theory, but in practice, the signal can be weak in urban areas, nonexistent
inside buildings, signals can be deflected, and it can take a long time (30-60 seconds) for the
device to acquire the signal and calculate a position. Wi-Fi location is used in conjunction with
GPS signals to more accurately locate a user based on the known location of Wi-Fi transmitters,
which are fairly ubiquitous in urban and suburban locations. Apple's iBeacon technology uses
Bluetooth low energy (BLE), which uses less battery power than traditional Bluetooth or GPS
and is more accurate than targeting through Wi-Fi triangulation.
Difficulty: Moderate
AACSB: Application of knowledge; Written and oral communication
Learning Objective: 7.4: Understand the capabilities of location-based local marketing.

85) Why is local mobile marketing so attractive to marketers?


Answer: Consumers who seek information about local businesses using mobile devices are
much more active and ready to purchase than desktop users. In part this is because desktop
searchers for local information are not in as close proximity to merchants as are mobile
searchers. A recent Google survey found over 80% of U.S. consumers use smartphones or tablet
computers to conduct local searches on search engines for a variety of local information such as
business hours, local store addresses and directions, and availability of local information through
the purchase process, and 50% of smartphone users visited a store within a day of their local
search, and 18% made a purchase within a day. The survey also found that over 60% of
smartphone users wanted ads customized both to their city/zip code and to their immediate
surroundings. As a result, almost 80% of U.S. marketing professionals recently surveyed
indicated that they have increased spending on location-based mobile advertising.
Difficulty: Moderate
AACSB: Application of knowledge; Written and oral communication
Learning Objective: 7.4: Understand the capabilities of location-based local marketing.

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