CPM CPM Distribution Channels & Integrated Marketing Communications 2 — Questions and Answers
Question 1: The 'AIDA' model in marketing communications stands for:
- Awareness, Interest, Desire, Action (Correct answer)
- Attention, Intent, Direction, Acquisition
- Awareness, Influence, Data, Analytics
- Acquisition, Interaction, Demand, Advocacy
Correct answer: Awareness, Interest, Desire, Action
The AIDA model describes the consumer journey through Awareness, Interest, Desire, and Action — a framework for structuring persuasive communications.
Question 2: Which distribution strategy grants a single retailer exclusive rights to sell a product within a defined geographic area?
- Selective distribution
- Intensive distribution
- Exclusive distribution (Correct answer)
- Direct distribution
Correct answer: Exclusive distribution
Exclusive distribution limits product availability to one authorized dealer per territory, often used for luxury or high-involvement products to maintain brand prestige.
Question 3: In the context of IMC, 'media mix' refers to:
- The ratio of paid to earned media
- The combination of communication channels used to reach target audiences (Correct answer)
- The editorial vs. advertising content ratio on a platform
- The share of voice across competitors
Correct answer: The combination of communication channels used to reach target audiences
The media mix specifies which combination of channels (TV, digital, print, social, etc.) will be used to deliver the campaign message to target audiences.
Question 4: Which type of intermediary takes title (ownership) of goods and resells them, bearing inventory risk?
- Agent
- Broker
- Merchant wholesaler (Correct answer)
- Manufacturer's representative
Correct answer: Merchant wholesaler
Merchant wholesalers purchase and take title to goods, assuming inventory risk, before reselling to retailers or other businesses.
Question 5: What is the goal of 'frequency' in media planning?
- Reaching as many unique individuals as possible
- Ensuring the target audience sees the message enough times to take action (Correct answer)
- Minimizing cost per thousand impressions
- Maximizing the time between ad exposures
Correct answer: Ensuring the target audience sees the message enough times to take action
Frequency measures the average number of times the target audience is exposed to a message, with sufficient repetition needed to drive recall and action.
Question 6: A retailer's private label brand competing directly with a manufacturer's brand on the same shelf is an example of:
- Horizontal conflict
- Vertical channel conflict (Correct answer)
- Direct channel conflict
- Gray market activity
Correct answer: Vertical channel conflict
Vertical channel conflict occurs between different levels of the same channel, such as a retailer's store brand undercutting the manufacturer's brand it also stocks.
CPM CPM Distribution Channels & Integrated Marketing Communications 2
The 'AIDA' model in marketing communications stands for: