Chapter 22 Questions w:soolutions PDF

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Chapter 22 questions with solutions....

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Chapter 22—Social Media and Marketing TRUE/FALSE 1.

For most people, social media is a marketing experience.

ANS: F For most people, social media is meant to be a social experience, not a marketing experience. PTS: 1 REF: 803 OBJ: 22-1 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Customer | CB&E Model Online/Computer MSC: BLOOMS Level II Comprehension 2. A new alt-country band, Pike 27, wants to use a social media Web site to generate some buzz about their first album. Because of its large music-oriented following, MySpace would be a good site for the band to choose. ANS: TOP: KEY: MSC:

T PTS: 1 REF: 805 OBJ: 22-1 AACSB Reflective Thinking CB&E Model Strategy | CB&E Model Creativity | CB&E Model Online/Computer BLOOMS Level III Application 3.

ANS: TOP: KEY: MSC:

Social commerce combines social media with the basics of e-commerce.

T PTS: 1 REF: 805 AACSB Reflective Thinking CB&E Model Strategy | CB&E Model Online/Computer BLOOMS Level I Knowledge

OBJ: 22-1

4. In 2000, Jones Soda used its Web site to ask its mostly teenage customers to suggest new flavors, names, and labels and let other customers vote on which flavors should be introduced into stores. Jones Soda was practicing co-creation. ANS: F Using consumers to develop and market product is called crowdsourcing. PTS: 1 REF: 807 OBJ: 22-1 Thinking KEY: CB&E Model Strategy | CB&E Model Online/Computer MSC: BLOOMS Level III Application

TOP: AACSB Reflective

5. Erica was so impressed by the customer service she received from Mindware Toys that she tweeted all of her followers about her experience. Erica’s tweets are a good example of owned media. ANS: F Erica’s tweets are an example of earned media, not owned media. Earned media includes viral videos, retweets, comments on blogs, and other forms of customer feedback resulting from a social media presence. PTS: 1

REF: 808

OBJ: 22-2

TOP: AACSB Reflective

Thinking KEY: CB&E Model Strategy | CB&E Model Promotion | CB&E Model Online/Computer MSC: BLOOMS Level III Application 6. Marketers need to understand that, in cyberspace, paid media is essentially dead; consequently, they should no longer expend any resources into paid media. ANS: F Paid media is not dead but should serve as a catalyst to drive customer engagement. PTS: 1 REF: 808 OBJ: 22-2 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Promotion | CB&E Model Online/Computer MSC: BLOOMS Level II Comprehension 7.

Customers are on social media, and they expect their favorite brands will be there

as well. ANS: TOP: KEY: MSC:

T PTS: 1 REF: 808 OBJ: 22-2 AACSB Reflective Thinking CB&E Model Strategy | CB&E Model Online/Computer | CB&E Model Customer BLOOMS Level II Comprehension

8. The best way a company can increase sales using social media is to improve customer service. ANS: F The clearest path to increasing the bottom line using social media is to get customers talking about products and services, which usually translates into sales. PTS: 1 REF: 810 OBJ: 22-2 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Product | CB&E Model Online/Computer MSC: BLOOMS Level VI Evaluation 9. Malik hopes to use social media to find some new customers for his bicycle shop. Technorati and Tweetdeck would be good tools for this purpose. ANS: TOP: KEY: MSC:

T PTS: 1 REF: 812 OBJ: 22-3 AACSB Reflective Thinking CB&E Model Strategy | CB&E Model Creativity | CB&E Model Online/Computer BLOOMS Level III Application

10. While hundreds of metrics have been developed to measure social media’s value, these metrics are meaningless unless they are tied to key performance indicators. ANS: TOP: KEY: MSC:

T PTS: 1 REF: 811 AACSB Reflective Thinking CB&E Model Strategy | CB&E Model Online/Computer BLOOMS Level II Comprehension

OBJ: 22-3

11. Monette has posted over 100 book reviews on Amazon.com. She also frequently reviews products and services on Epinions and posts her impressions of local restaurants on Yelp.

As a social media user, Monette would best be characterized as a joiner. ANS: F Joiners are those who maintain a social networking profile and visit other sites. Monette would best be characterized as a critic because she posts comments, ratings, and reviews of products and services on blogs and forums. PTS: 1 REF: 813 OBJ: 22-4 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Customer | CB&E Model Online/Computer MSC: BLOOMS Level III Application 12. Research indicates that the number of people who contribute content on social media sites is actually decreasing. ANS: TOP: KEY: MSC:

T PTS: 1 REF: 813 AACSB Reflective Thinking CB&E Model Strategy | CB&E Model Online/Computer BLOOMS Level II Comprehension 13.

OBJ: 22-4

A publicly accessible Web page that serves as an interactive journal is called a

tweet. ANS: F A publicly accessible Web page that serves as an interactive journal is called a blog. A tweet is the name given to a post on Twitter. PTS: 1 REF: 814 OBJ: 22-5 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Creativity | CB&E Model Online/Computer MSC: BLOOMS Level I Knowledge 14. Mary is a stay-at-home mom who loves to cook. She shares recipes and cooking tips on her popular blog, What’s Cooking with Mary. Because of her blog’s popularity, many food and cookware companies send her products to try, hoping for a good review. Sometimes Mary even receives money in exchange for a review. Under Federal Trade Commission regulations, Mary is obligated to disclose any financial relationship she may have with these companies. ANS: TOP: KEY: MSC:

T PTS: 1 REF: 815 AACSB Reflective Thinking CB&E Model Strategy | CB&E Model Online/Computer BLOOMS Level III Application

OBJ: 22-5

15. A large part of Twitter’s success results from the one-dimensional nature of the platform—it is limited to text messages only, which makes it simpler for people to use than platforms that allow the sharing of photos or external links. ANS: F Twitter is actually a very versatile platform, and tweets can be amended with photos, videos, and external links. PTS: 1 Thinking

REF: 815

OBJ: 22-5

TOP: AACSB Reflective

KEY: CB&E Model Strategy | CB&E Model Creativity | CB&E Model Online/Computer MSC: BLOOMS Level II Comprehension 16.

Facebook can best be characterized as a media sharing site.

ANS: F Facebook is best characterized as a social networking site. PTS: 1 REF: 816 OBJ: 22-5 Thinking KEY: CB&E Model Strategy | CB&E Model Online/Computer MSC: BLOOMS Level II Comprehension

TOP: AACSB Reflective

17. Estefan works as a production editor for a major textbook publisher. He hopes to build a list of freelancers whom he can call on to edit and proofread materials for his company. LinkedIn would be a good place for Estefan to find such individuals. ANS: TOP: KEY: MSC:

T PTS: 1 REF: 818 OBJ: 22-5 AACSB Reflective Thinking CB&E Model Strategy | CB&E Model Promotion | CB&E Model Online/Computer BLOOMS Level III Application 18.

Teenage boys make up the vast majority of YouTube users.

ANS: F YouTube attracts a diverse base of users: Age and gender demographics are remarkably balanced. PTS: 1 REF: 818 OBJ: 22-5 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Customer | CB&E Model Online/Computer MSC: BLOOMS Level II Comprehension 19. Alison visits Reddit and Digg several times each day, where she posts links to material she finds interesting. She also votes either up or down links that others have posted based on whether she liked or disliked them. Alison clearly enjoys using social news sites. ANS: TOP: KEY: MSC:

T PTS: 1 REF: 819 OBJ: 22-5 AACSB Reflective Thinking CB&E Model Strategy | CB&E Model Creativity | CB&E Model Online/Computer BLOOMS Level III Application

20. A review site allows consumers to post, read, rate, and comment on opinions regarding a wide variety of goods and services. ANS: TOP: KEY: MSC:

T PTS: 1 REF: 819-820 OBJ: 22-5 AACSB Reflective Thinking CB&E Model Strategy | CB&E Model Creativity | CB&E Model Online/Computer BLOOMS Level I Knowledge

21. Marketers have largely been frustrated in their attempts to engage with consumers through virtual worlds and online gaming because consumers of these environments are usually so intent on playing the games that they notice little else.

ANS: F The field of virtual worlds is a growing consideration for social media marketing. Several businesses have developed advantageous presences in virtual world environments. PTS: 1 REF: 821 OBJ: 22-5 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Creativity | CB&E Model Online/Computer MSC: BLOOMS Level II Comprehension 22. The major impact of new platforms such as the iPhone and Blackberry on social media Web sites is that consumers can access such sites from virtually anywhere. ANS: TOP: KEY: MSC:

T PTS: 1 REF: 822 OBJ: 22-6 AACSB Reflective Thinking CB&E Model Strategy | CB&E Model Creativity | CB&E Model Online/Computer BLOOMS Level II Comprehension

23. This morning, Katrina received the following text message on her cell phone: Don’t forget your haircut appointment today at 10 am with Jane at HairNow. See you soon. This is an example of a mobile ad. ANS: F HairNow is using mobile marketing, but this specific example would best be characterized as an SMS (short message service), not a mobile ad. PTS: 1 REF: 823 OBJ: 22-6 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Promotion | CB&E Model Online/Computer MSC: BLOOMS Level III Application 24. strategies.

Marketers have so far found few ways to integrates apps into their marketing

ANS: F An app can generate customer engagement when it is well branded and integrated into a company’s overall marketing strategy. PTS: 1 REF: 823 OBJ: 22-6 Thinking KEY: CB&E Model Strategy | CB&E Model Online/Computer MSC: BLOOMS Level II Comprehension

TOP: AACSB Reflective

25. Sebastian operates a local coffee shop. He publishes a blog about the shop but updates it only occasionally. He usually posts entries on coffee-related trivia. Every now and then, he posts an entry promoting a new product. Given Sebastian’s relatively weak online presence, a marketing-oriented widget would likely be just the thing to generate some buzz about his coffee shop. ANS: F A marketing-oriented widget can be an effective tool for organizations that regularly publish compelling online content, such as news, daily specials, or coupons—but Sebastian’s blog would not seem to be one of them.

PTS: 1 REF: 824 OBJ: 22-6 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Creativity | CB&E Model Online/Computer MSC: BLOOMS Level III Application MULTIPLE CHOICE 1. Marla is a 55-year-old woman who wants to use a social network site to stay in touch with her son, who is away at college. She also hopes to make contact with some old high school friends. Which of the following is Marla most likely to use for this purpose? a. MySpace b. YouTube c. Facebook d. Bebo e. Flickr ANS: C The largest area of growth in new profiles on Facebook is the baby boomer segment, who use it as a way to connect with old friends and keep up with family. Other social networks, like MySpace and Bebo, offer alternative networks to other demographics. YouTube and Flickr are media sharing sites, not social network sites. PTS: 1 REF: 805 OBJ: 22-1 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Creativity | CB&E Model Online/Computer MSC: BLOOMS Level III Application 2. Noah is a budding photographer who is proud of his work. He wants to share his photos with others online. Which of the following is Noah MOST likely to use to share his photos? a. Twitter b. Google c. Bebo d. Flickr e. Groupon ANS: D Flickr is a popular photo sharing site, where millions of people upload new photos daily. PTS: 1 REF: 805 OBJ: 22-1 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Creativity | CB&E Model Online/Computer MSC: BLOOMS Level III Application 3. a. b.

Social media: cannot be compared to traditional advertising in any meaningful way is thought of by most people as any tool or service that assists conversation

c.

has less sophisticated ways of measuring how marketers meet and interact with consumers than traditional advertising offers more one-to-one ways to meet consumers than traditional marketing media has not yet had a major impact on the way marketing works

d. e.

ANS: D In many ways, social media can be defined relative to traditional advertising. For example, while traditional marketing media offers a mass media method of interacting with consumers, social media offers more one-to-one ways to meet consumers. PTS: 1 REF: 806 OBJ: 22-1 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Creativity | CB&E Model Promotion | CB&E Model Online/Computer MSC: BLOOMS Level II Comprehension 4. a. b. c. d. e.

All of the following are examples of social media tools and platforms EXCEPT: a media sharing Web site an AM/FM transistor radio an iPhone a blog Twitter

ANS: B Social media includes tools and platforms such as social networks, blogs, microblogs, and media sharing sites. PTS: 1 REF: 806 OBJ: 22-1 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Creativity | CB&E Model Online/Computer MSC: BLOOMS Level IV Analysis 5. Groupon.com offers discounts on products and services in specific cities. The concept of Groupon is that the discount for the product or service can be claimed only if a certain number of people purchase it. Groupon would BEST be described as a: a. media sharing site b. microblog c. social networking site d. virtual world e. social commerce site ANS: E Social commerce is a subset of e-commerce that involves the interaction and user contribution aspects of social online media to assist the online buying and selling of products and services. PTS: 1 REF: 806 OBJ: 22-1 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Promotion | CB&E Model Online/Computer MSC: BLOOMS Level III Application 6.

More and more companies are increasing their interactive marketing budgets.

Most of this investment will be made in: a. b. c. d. e.

search marketing display advertising mobile marketing social media e-mail marketing

ANS: A Most spending in this area will go to search marketing (almost doubling by 2014), but substantial investments will also be made in mobile marketing and social media. PTS: 1 REF: 806 OBJ: 22-1 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Creativity | CB&E Model Online/Computer MSC: BLOOMS Level II Comprehension 7. Because of the influence of social marketing, the interaction between producer and consumer has become LESS focused on: a. engaging b. listening c. understanding d. entertaining e. influencing ANS: D Because of social media, the interaction between producer and consumer has become less about entertaining and more about listening, influencing, and engaging. PTS: 1 REF: 806 OBJ: 22-1 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Creativity | CB&E Model Customer | CB&E Model Online/Computer MSC: BLOOMS Level II Comprehension 8. a. b. c. d. e.

Using consumers to develop and market product is called: crowdfunding co-creation brainstorming closed innovation crowdsourcing

ANS: E This is the definition of crowdsourcing, which describes how the input of many people can be leveraged to make decisions that used to be based on the input of only a few people. PTS: 1 REF: 807 OBJ: 22-1 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Product | CB&E Model Customer | CB&E Model Online/Computer MSC: BLOOMS Level I Knowledge 9.

Which of the following is an example of owned media?

a.

The tweet that Winnie—who works out regularly at FitBody Bootcamp—sent to her followers about how much weight she’s lost since she’s been working out An e-mail sent by Garrett to the manager of FitBody Bootcamp, asking about what types of workout programs the gym offers The Facebook page created by FitBody Bootcamp to let members know about special events at the gym The display advertisement that FitBody Bootcamp purchased on the local newspaper’s Web site The blog “Feeling the Burn,” maintained by Andy, who is one of the instructors at FitBody Bootcamp

b.

c.

d.

e.

ANS: C Owned media is online content that an organization itself creates and controls. PTS: 1 REF: 808 OBJ: 22-2 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Promotion | CB&E Model Online/Computer MSC: BLOOMS Level III Application 10. a. b. c. d. e.

Content that a company purchases to be placed online is called: owned media paid media controlled media earned media broadcast media

ANS: B This is the definition of paid media, which is similar to marketing efforts that use traditional media, such as newspaper, magazine, and television advertisements. PTS: 1 REF: 808 OBJ: 22-2 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Promotion | CB&E Model Online/Computer MSC: BLOOMS Level I Knowledge 11. One reason why negative customer comments and complaints are important to an organization is that they can: a. quickly be hidden from competitors b. be used in future advertising campaigns c. help the organization identify “problem” customers, who are then typically removed from mailing lists d. bring to light unknown brand flaws e. generate sympathy for the organization when consumers realize that “no one is perfect” ANS: D

Negative comments and complaints are of particular importance to an organization because they can illuminate unknown brand flaws and because they are the comments that tend to go viral. PTS: 1 REF: 809 OBJ: 22-2 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Customer | CB&E Model Online/Computer MSC: BLOOMS Level IV Analysis 12. Angela and Dominic own Cincy by the Slice pizzeria. They are interested in keeping track of the number of mentions their store receives on sites like Twitter and Facebook, but they are unsure of which steps to take next. Which of the following resource would best meet their needs? a. A listening platform with key word report capabilities b. An insight platform that offers online focus group solutions c. Web analytics software d. An advanced customer database with predictive application e. A social customer relationship management system ANS: A Such a platform would allow the organization to track discussions, understand sentiment, and identify influencers to improve overall marketing strategy. See Exhibit 22.1 PTS: 1 REF: 809 OBJ: 22-2 TOP: AACSB Reflective Thinking KEY: CB&E Model Strategy | CB&E Model Creativity | CB&E Model Online/Computer MSC: BLOOMS Level III Application 13. Social media strategist Jeremiah Owyang has identified eight stages of effective listening. Which of the following scenarios is an example of “Stage 8” listening? a. An online clothing retailer asks customers to complete a satisfaction survey, which it uses to improve customer service b. A local restaurant searches Twitter to find out what people are saying about today’s specials c. A software company allows customer service representatives to make real-time responses to customer queries d. A soft drink manufacturer uses social media notification tools to learn what the competition might be up to e. An online bookseller examines customers’ product reviews, comments, and past purchases to suggest additional titles customers might enjoy ANS: E Stage 8 listening involves being pro...