Mobile Marketing Practice Test 3 — Questions and Answers
Question 1: What does CPM stand for in mobile advertising?
- Cost per mobile
- Cost per mille (per thousand impressions) (Correct answer)
- Clicks per minute
- Cost per metric
Correct answer: Cost per mille (per thousand impressions)
CPM stands for cost per mille (thousand), representing the price an advertiser pays for one thousand ad impressions.
Question 2: Which of the following best describes a 'rewarded video' ad unit?
- A video ad that users cannot skip
- An ad where users voluntarily watch a video in exchange for in-app currency or benefits (Correct answer)
- A post-install video tutorial
- A live-streamed promotional event
Correct answer: An ad where users voluntarily watch a video in exchange for in-app currency or benefits
Rewarded video ads give users an incentive, such as extra lives or coins, in exchange for watching a full ad, resulting in high completion rates.
Question 3: In mobile analytics, what does 'DAU' stand for?
- Daily active users (Correct answer)
- Device attribution unit
- Digital ad usage
- Default app update
Correct answer: Daily active users
DAU measures the number of unique users who engage with an app on a given day, serving as a key indicator of engagement health.
Question 4: What is the primary advantage of using SMS marketing over push notifications?
- SMS supports rich media like video
- SMS reaches users without requiring app installation or opt-in via an app (Correct answer)
- SMS has higher open rates than push notifications
- SMS is always free to send
Correct answer: SMS reaches users without requiring app installation or opt-in via an app
SMS works on any mobile phone with a number, making it accessible to users who haven't installed your app, though it requires phone number opt-in.
Question 5: A marketer notices their app's Day 7 retention is 20%. What does this indicate?
- 20% of users made a purchase within 7 days
- 20% of users who installed the app are still using it 7 days later (Correct answer)
- The app crashed for 20% of users after 7 days
- 20% of sessions last longer than 7 minutes
Correct answer: 20% of users who installed the app are still using it 7 days later
Day 7 retention measures the percentage of users who return to an app exactly 7 days after their first session, indicating early-stage engagement quality.
Question 6: Which targeting approach uses data from a user's previous in-app behavior to serve relevant ads?
- Contextual targeting
- Behavioral targeting (Correct answer)
- Demographic targeting
- Geo targeting
Correct answer: Behavioral targeting
Behavioral targeting leverages past user actions—such as pages visited or products viewed—to deliver personalized and relevant ad experiences.
Question 7: What is 'LTV' (lifetime value) in the context of mobile app marketing?
- The total revenue a user generates throughout their relationship with the app (Correct answer)
- The length of time a user spends in the app per session
- The number of app store reviews a user leaves
- The cost to acquire one paying user
Correct answer: The total revenue a user generates throughout their relationship with the app
LTV estimates the total net revenue a user will generate over the entire duration they use the app, guiding how much marketers can spend on acquisition.
What does CPM stand for in mobile advertising?