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Chapter 5 Secondary Data & Packaged Information
1) Which type of data refers to information that is developed or gathered by the researcher
specifically for the research project at hand?
A) basic data
B) related data
C) proprietary data
D) primary data
E) secondary data
Answer: D
2) When it is determined that the research project will require primary data, secondary data
should:
A) be discarded.
B) not be collected as it will be a waste of resources.
C) be consulted anyway.
D) be utilized only if it conforms to the findings contained in the primary data.
E) be used only in cases where the primary data is not gathered using accepted industry
standards.
Answer: C
3) Which type of data refers to data that have been gathered by someone other than the
researcher and/or for some other purpose than the research project at hand?
A) basic data
B) unrelated data
C) published data
D) primary data
E) secondary data
Answer: E
4) Which of the following represents an application of secondary data?
A) predicting broad changes in culture
B) selecting a street location for a new car wash
C) economic-trends forecasting
D) corporate intelligence
E) All of the above are applications of secondary data.
Answer: E
5) The most significant demographic group for decades has been the baby-boomer
population, defined as:
A) those born between the years 1928 and 1945.
B) those born between the years 1946 and 1964.
C) those born between the years 1965 and 1979.
D) those born between the years 1977 and 1994.
E) none of the above
Answer: B
6) Which of the following would be classified as a part of internal secondary data?
A) internal database
B) online information database
C) demographic data within a company's target market
D) any government data
E) data within libraries
Answer: A
7) Which of the following best represents a field within a database?
A) anything outside the company laboratory
B) a database record
C) records within customer names
D) customer names within a record
E) a data mine
Answer: D
8) Which of the following best describes CRM?
A) Certificate for Records Management; awarded by the MRA after passing certain recordkeeping requirements
B) Customer Relationship Management; the use of internal databases to strengthen customer
relationships
C) Certified Records Manager; awarded by the MRA for successfully passing a series of
courses related to database management
D) Customer Requirement Mandate; referring to customer requests that must be honored at
all costs
E) None of the above; there is no such thing as CRM.
Answer: B
9) Which of the following secondary data sources represents an ethical issue in terms of
customer privacy issues?
A) published sources
B) fields
C) records
D) internal databases
E) external databases
Answer: D
10) Micromarketing is possible due to:
A) data mining
B) secondary data
C) databases
D) B and C above
E) A and C above
Answer: E
11) External secondary data may be grouped into which three sources?
A) published, syndicated services data, and databases
B) published, nonpublished data, and other electronic sources
C) syndicated services data, external data, and complex data
D) fields, records, databases
E) published, fields, CRMs
Answer: A
12) ________ services offer a wide variety of indexes, directories, and statistical and full-text
files, all searched by the same search logic.
A) Syndicated data
B) Online information base
C) Aggregator
D) Data mining
E) Micromarketing
Answer: C
13) Which of the following was NOT discussed in the text as an advantage of using
secondary data?
A) may be obtained quickly
B) may be obtained in any form desired by the researcher
C) is relatively inexpensive
D) is usually available
E) may achieve the research objective
Answer: B
14) Which of the following was NOT discussed in the text as a disadvantage of using
secondary data?
A) there is a mismatch of the units of measurement
B) data may be collected too quickly, causing problems with the project schedule
C) differing classifications of the data in terms of what is available and what is needed
D) the data may be outdated
E) reporting units are incompatible with research needs
Answer: B
15) Which of the following reporting units contain BOTH Metropolitan SAs and
Micropolitan SAs?
A) Core Bulletin Statistical Association
B) Combination of Business and Suburban Areas
C) Confederation of Business Statisticians of America
D) Core Based Statistical Areas
E) None of the above: the terms "Micropolitan SAs" and "Metropolitan SAs" are used
interchangeably.
Answer: D
16) Metropolitan SAs can best be described as:
A) statistical reporting units with a population of 50,000 or more.
B) statistical reporting units with at least one urbanized area populated by 50,000 or more.
C) statistical reporting units with at least one urban cluster populated by 10,000 or more.
D) statistical reporting units with at least one urban cluster populated by more than 10,000
but less than 50,000.
E) statistical reporting units with at least one urban cluster populated by more than 10,000 but
less than 50,000, plus adjacent territory that has a high degree of social and economic
integration.
Answer: B
17) Micropolitan SAs can best be described as:
A) statistical reporting units with a population of 50,000 or more.
B) statistical reporting units with at least one urbanized area populated by 50,000 or more.
C) statistical reporting units with at least one urban cluster populated by 10,000 or more.
D) statistical reporting units with at least one urban cluster populated by more than 10,000
but less than 50,000.
E) statistical reporting units with at least one urban cluster populated by more than 10,000 but
less than 50,000, plus adjacent territory that has a high degree of social and economic
integration.
Answer: E
18) A boat manufacturer wishes to use secondary data to locate cities that may offer good
market potential for its yachts. It needs cities with average incomes exceeding $75,000.
However, the secondary information source found the income category of $50,000 and over.
This represents:
A) differing class definitions of the data.
B) a mismatch of the units of measurement.
C) outdated data.
D) data having high credibility.
E) incompatible reporting units.
Answer: A
19) Which of the following was NOT discussed as a method of evaluating secondary data?
A) What was the purpose of the study?
B) How readily available is the information to the public?
C) Who collected the information?
D) How consistent is the information with other information?
E) How was the information obtained?
Answer: B
20) A study is released that shows that a majority of Americans want to keep the penny in
circulation. It is learned that the study was conducted by the zinc industry (most pennies are
made with zinc). This illustrates:
A) there are ethical issues in secondary data; some secondary data are not objective.
B) it is difficult to conduct accurate research when you are dealing with emotional issues
such as keeping the penny in circulation.
C) even though the study was sponsored by the zinc industry, the research company
conducting the research would not be unethical in reporting the data.
D) research results may be used to determine national policy.
E) the FTC protects the public from manipulations of fact.
Answer: A
21) When two or more secondary sources provide conflicting information, you should:
A) select the one source that has been in business the longest.
B) evaluate the information from each source and select the source that best suits your needs
for reliable and valid information.
C) probably abandon the project if there is conflicting information; you will never have
objective results upon which to base your decision.
D) call the client/manager and ask which source is desired.
E) report the discrepancies immediately to the two sources.
Answer: B
22) Which of the following secondary information sources provides a baseline of data every
10 years?
A) baseline reports
B) NAICS (decade report)
C) census of the population
D) Survey of Buying Power
E) Decennial Marketing Research Handbook
Answer: C
23) Online information about the U.S. Census may be found at:
A) the U.S. census org.
B) www.census.gov.
C) www.directory of Government Documents.com.
D) http://The U.S. Statistical Abstract.
E) Online Census Guidebook.org.
Answer: B
24) ________ is the tool used for searching data collected by the ACS.
A) Geodemographic information systems (GIS)
B) Performer Q®
C) IBISWorld Industry Reports
D) American Factfinder
E) Esri’s Tapestry™ Segmentation
Answer: D
25) Which of the following will now provide current data about communities every year
instead of once every 10 years?
A) U.S. Census Annual Update Files
B) The American Community Survey
C) Annual Census Update
D) The Annual American Community Update Record
E) Census - Annual Release
Answer: B
26) A form of external, secondary data that is collected in a standard format and made
available to subscribers is:
A) published data.
B) syndicated data.
C) trade association publications.
D) business periodicals.
E) syndicated services data.
Answer: B
27) Q Scores measures the appeal of different performers such as actors/actresses,
announcers, sports celebrities, and so on. The ratings of different performers are made
available to all subscribers, so a client firm may be in a better position to select a company
spokesperson for their company. Q Scores is an example of:
A) syndicated data.
B) packaged services.
C) Entertainer Employment Act Services.
D) customized services.
E) Nielsen Ratings services.
Answer: A
28) Packaged services differ from syndicated data services. In the former, each client is
provided with:
A) data shared from a common database.
B) no data.
C) intermittent service.
D) data collected in a standard format.
E) the same service as a result of a common process.
Answer: E
29) The Nielsen TV ratings would be considered an example of:
A) syndicated processing firms.
B) syndicated data services firms.
C) standardized processing firms.
D) packaged services firms.
E) CRM firms.
Answer: B
30) A company offering a predetermined marketing research process to generate information
to measure customer satisfaction would be an example of a(n):
A) experimental services firm.
B) syndicated data services firm.
C) packaged services firm.
D) geodemography research firm.
E) synthetic services firm.
Answer: C
31) Esri's Tapestry Segmentation system, which profiles neighborhoods according to each
client's customer demographics, is an example of a(n):
A) syndicated data service.
B) customized segmentation process.
C) marketing research service for forestry products.
D) packaged service.
E) data mining service.
Answer: D
32) Which of the following is NOT the type of marketing decision for which packaged
information is typically applied?
A) measuring consumer attitudes and opinions
B) market segmentation
C) monitoring media usage and promotion effectiveness
D) market tracking studies
E) All of the above are applications of packaged information.
Answer: E
33) Which item below is NOT a key advantage of syndicated data?
A) the currency of the information
B) the client has absolute control over which data are to be collected
C) the shared costs
D) high quality of the data
E) data are quickly disseminated to users
Answer: B
34) The key advantage of using a packaged services firm is:
A) reducing the cost of the research project.
B) benefiting from the ability to customize specific components of the project.
C) taking advantage of the experience of the research team offering the service.
D) benefiting from industry-specific expertise provided by the research firm.
E) taking advantage of the long-term viability of the data resulting from the project.
Answer: C
35) Which of the following is a disadvantage of packaged services?
A) The company providing the standardized service may not know the idiosyncrasies of the
buyer firm's industry.
B) The company providing the standardized service may be biased about the idiosyncrasies
of the buyer firm's industry.
C) Buyers have little control over what information is collected.
D) It is regulated by the FTC, Standardized Services Division.
E) Data are distributed only every six months to end users.
Answer: A
36) Which of the following is an area to which packaged information may be effectively
applied?
A) measuring consumer attitudes and opinion polls
B) defining market segments
C) conducting market tracking
D) monitoring media usage and promotion effectiveness
E) all of the above
Answer: E
37) The primary benefit of geodemography is that:
A) demographic information may be detailed down to census blocks.
B) demographic information is available on all standard geographical areas (whether relevant
to the application or not).
C) demographic information is available on arbitrarily (i.e., area relevant to the application)
defined geographical areas.
D) demographic forecasts may be made quickly and accurately.
E) demographic data are available in increments as small as millimeters.
Answer: C
38) Packaged information services collect market tracking data at the household level by
using:
A) video cameras, 35 mm cameras, tape recorders, and scanning devices.
B) panels of auditors, diaries of store managers, and video cameras.
C) consumer protocol data, household pantry inventories, and private investigators.
D) panels of consumers who may use scanning devices, diaries, and home audits.
E) focus groups, ethnographic studies, and diaries.
Answer: D
39) Consumers create a great deal of information through blogs, discussion boards, forums,
user groups and the like. This information is valuable to companies and would be called:
A) government protected media.
B) consumer generated media.
C) distributor created media.
D) spurious information.
E) WOM, "Word of the Month" media.
Answer: B
40) Nielsen's service that is designed to gather and report WOM or online "buzz" about
companies and their products and services is known as:
A) Online Reporter.
B) WOMDataMetrics.
C) NielsenBlogMagnet.
D) BuzzMetrics.
E) WOMSphereReporter.
Answer: D
41) Marketing researchers must evaluate secondary information to determine if it is reliable.
This involves investigating all of the following, EXCEPT:
A) the purpose of the study.
B) who collected the information.
C) the timing of the study.
D) how the information was obtained.
E) consistency with other information.
Answer: C
42) Which of the following standardized information services firms is developing a device
that will automatically record media (radio, TV, or web pages) to which a person is exposed?
A) ACNielsen
B) Information Resources, Inc.
C) CGM
D) Arbitron
E) AllMediaRecording, Inc.
Answer: D
43) ________ is a term which refers to online consumer word of mouth.
A) Blogging
B) Twitter
C) ChatBack
D) SKOPOS
E) Buzz
Answer: E
44) ________ is an umbrella term which refers to the online posting of consumer opinions,
comments, and personal experiences.
A) Online information databases
B) Consumer-generated media (CGM)
C) ChatBack
D) Blogging
E) Buzz
Answer: B
45) It is never prudent to search secondary data until you have fully consulted the primary
data you have collected.
Answer: False
46) Secondary data refers to information that is developed or gathered by the researcher
specifically for the research project at hand.
Answer: False
47) There are so many uses of secondary data that it is rare for a marketing research project to
be conducted without including some of this information. In fact, some projects may be based
exclusively on secondary data.
Answer: True
48) A wealth of secondary data is available concerning the lifestyles and purchasing habits of
demographic groups. Since the people in demographic groups tend to make similar purchases
and have similar attitudes, this secondary data is heavily scrutinized by marketers.
Answer: True
49) Internal secondary data refers to any information that is stored in the internal memory of
a computer.
Answer: False
50) A database refers to a collection of data and information describing items of interest.
Each unit of information in a database is called a record.
Answer: True
51) CRM stands for Custom Reporting Methods and refers to a standardized process used by
secondary data firms to report data.
Answer: False
52) External secondary data was classified in the textbook into three sources: published,
nonpublished, and video.
Answer: False
53) Data mining is the name for software that is now available to help managers make sense
out of seemingly senseless masses of information contained in databases.
Answer: True
54) Syndicated sources of secondary data cover a variety of general topics of interest to the
public and are widely available in libraries.
Answer: False
55) Aggregator, or data bank, services offer a wide variety of indexes, directories, and
statistical and full-text files, but they are all compiled using the same search logic.
Answer: True
56) The textbook highlighted Target's successful micromarketing practices by explaining
how the company increased sales of products used by new mothers and babies.
Answer: True
57) One of the advantages of using secondary data is that it is usually available free of
charge.
Answer: False
58) An example of a disadvantage of secondary data not being reported in measurement units
that match the researchers needs would be: income being reported before tax, household
income instead of per capita, and after-tax income.
Answer: True
59) Procter & Gamble, owning the major market share for disposable diapers, published a
research report showing that cloth diapers were as harmful to the environment as disposable
diapers. This example illustrates why it is important to evaluate all secondary research and
fully understand the true purpose of the research.
Answer: True
60) If two secondary sources of information report different information for what appears to
be the same entity, a researcher should avoid using either information source at all costs.
Answer: False
61) The American Community Survey (ACS) may represent the most significant change in
the availability of secondary data to be used for marketing research purposes in several
decades.
Answer: True
62) Core-based statistical areas (CBSAs) are economic reporting units used by the Census
Bureau.
Answer: False
63) A great deal of "census" information is actually based upon statistical sampling.
Answer: True
64) Packaged information is a type of secondary data in which the data collected and/or the
process of collecting the data are prepackaged for all users.
Answer: True
65) Unlike syndicated data, the data from a packaged service will differ for each client.
Answer: True
66) Because firms subscribing to syndicated data share the costs of data collection and
dissemination, the information comes to them at a lower cost than if they collected it
themselves.
Answer: True
67) Firms subscribing to syndicated data have substantial control over what information is
collected and the format of the information (i.e., class definitions).
Answer: False
68) Packaged services firms are marketing a process more than anything else. Examples
include standardized methods of measuring customer satisfaction or providing a system for
segmenting the market.
Answer: True
69) A key advantage of a packaged service is the shared costs among many firms of the data
that are collected.
Answer: False
70) Tracking consumer attitudes and opinions is not the kind of information that is available
from standardized information firms.
Answer: False
71) Although useful information, geodemographic information is limited in that one must use
only pre-defined geographical boundaries such as cities, counties, or state definitions.
Answer: False
72) A researcher's use of secondary data often depends on whether the reporting unit matches
the researcher's need.
Answer: True
73) Caution is especially in order with Internet sources because few quality standards are
applied to most Internet sites.
Answer: True
74) Tracking studies gather data from retail stores by using either scanner data or by
conducting retail-store audits.
Answer: True
75) Whereas market tracking studies are done at the retail store level by either scanning data
or auditing, there is no market tracking conducted within households.
Answer: False
76) One method of collecting marketing tracking data at the household level is by providing
panel members with wands or scanners that they use to scan the UPC codes on the products
they purchase.
Answer: True
77) Some methods used to gather marketing tracking data collected at the household level are
by providing panel members with wands or scanners that they use to scan the UPC codes on
the products they purchase, by asking them to keep diaries of their purchases, and by having
auditors conduct audits in the consumers' household.
Answer: True
78) The SKOPOS service RepliKator™ measures consumer reaction to radio messages.
Answer: False
79) Because of increasing mobile connectivity, eWOM (or "buzz") has experienced an
extremely fast growth rate around the world in the last few years.
Answer: True
80) One advantage of the Gallup Poll is that the company has been tracking the same
attitudes and opinions over many years, and business executives can track how these
attitudes, such as attitudes toward private brands, are changing.
Answer: True
81) Walt Lewis was interested in knowing how best to allocate territories in Texas to the
new, 10-member sales force he hired. While the sales force was undergoing training, Walt
sought some secondary data that would help him allocate sets of counties to the salespersons.
He knew he had to be equitable and felt strongly that each set of counties should have a
market potential about equal to all the other sets. He needed some quantifiable measure of the
market potential for each county, and he didn't want to use any Census data because he felt
like this was outdated. Which of the following sources of secondary data would you
recommend that Walt use?
A) Hire marketing research firm, Decision Analyst, Inc.
B) Seek an aggregator known for compiling local directory information.
C) Call the Office of Management and Budget (OMB) to access the most recent Metropolitan
SAs.
D) Call the Office of Management and Budget (OMB) to access the most recent Micropolitan
SAs.
E) Consult the most recent American Community Survey (ACS) in the geographic region.
Answer: E
82) Clay Holladay owns a chain of radio stations. The advertising time he sells to advertisers
is directly related to the number of persons who are listening to each station in each radio
market. Clay purchases estimates of the number of persons who listen to the different radio
stations in each market from Arbitron, a marketing research firm. In every radio market
Arbitron gathers the same data; the number of persons listening to every program on each
station as well as their age and gender. Arbitron records this information in a database and
they offer it to every person who wishes to subscribe to it for a fee. Arbitron is an example of
a:
A) syndicated processing firm.
B) syndicated data services firm.
C) packaged services processing firm.
D) standardized services firm.
E) micromarketing firm.
Answer: B
83) Tapestry Segmentation, an Esri service described in the text, applies a process of
segmentation that identifies neighborhoods by major demographic and consumption patterns
and then determines which of these neighborhood "segment types" represents the client's
potential customers. Which of the following best illustrates how this service was explained in
your text?
A) Esri segments were examined to determine which segments were likely to be gourmet
coffee drinkers. Once the segments were identified, Esri could provide direct mail lists that
identified the names and addresses of gourmet coffee drinkers. This allowed Donofrio's
Coffee to send these "likely" customers a frequent user card to promote their patronage.
B) The owner of a Nature's Beauty retail store has a loyalty club of 400 members who
purchase regularly, and she wants to attract other prospective customers who match the club
member demographic and lifestyle profile. By determining the distinguishing characteristics
of the club members, the owner can identify the Tapestry Segmentation segments, i.e.
"Metropolitans," "Metro Renters," etc. which will allow the owner to locate and establish
communications with members of these segments.
C) Esri has data stored in a common database that identifies zip code areas that offer the most
potential in terms of sales for a gourmet coffee shop like Donofrio's. Donofrio's subscribed to
this information for a fee, and the information was used to help find new coffee shop
locations.
D) Present customers for a gourmet coffee shop were determined. Esri then, through its
Community Tapestry syndicated data service, found census data which identified household
addresses of the present customers. This information allowed Donofrio's Coffee to target
customers with promotional offers to induce greater sales during warm months of the year.
E) None of the above. There was no example illustrating how Community Tapestry was
applied.
Answer: B
Test Bank for Marketing Research
Alvin C. Burns, Ronald F. Bush
9780133074673, 9780134895406, 9780134167404
