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# As Internet marketing has matured, it has driven

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Math Forum Moderator
Status: Greatness begins beyond your comfort zone
Joined: 08 Dec 2013
Posts: 1375

Kudos [?]: 782 [1] , given: 66

Location: India
Concentration: General Management, Strategy
GPA: 3.2
WE: Information Technology (Consulting)
As Internet marketing has matured, it has driven [#permalink]

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07 Sep 2016, 03:06
1
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3
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Question 1
00:00

Question Stats:

66% (02:27) correct 34% (01:29) wrong based on 219

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Question 2
00:00

Question Stats:

61% (01:33) correct 39% (00:34) wrong based on 214

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Question 3
00:00

Question Stats:

79% (01:31) correct 21% (00:38) wrong based on 213

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Question 4
00:00

Question Stats:

90% (01:52) correct 10% (00:17) wrong based on 201

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As Internet marketing has matured, it has driven two trends: a narrower focus on pitching specific consumer groups and a more robust effort to measure the outcomes of marketing campaigns. In the pre-Internet world,advertisers were content to pay for television commercials whose audience was relatively broad and whose effect was not easily quantifiable. While a company might use viewership ratings to get general data about the size and demographics of the audience for its commercials, there was no way to measure the extent to which these commercials translated into actual sales.

In contrast, many companies are now moving their marketing dollars away from traditional advertising outlets towards Internet-based campaigns that can target specific consumer groups and quantify the return on marketing investments. For example, pay-per-click search engines allow companies to pay for small text advertisements that are displayed only when users search for specific words relevant to the products and services sold by that company. A company is charged only when a consumer clicks on the ad and is directed to the company’s website, thereby
ensuring that the company’s advertising dollars are spent capturing consumers that demonstrate some interest in its offerings. Further, using sophisticated web-analytic
technology, companies can track a consumer’s online behavior and determine the exact amount of any online purchases made.

Though hailed as more cost-effective, Internet advertising has its limits. Proponents of print media argue that newspaper ads more effectively promote brand awareness
and thereby provide better value. Further, fraud, intense competition, and the rise of ancillary services—such as firms that companies must hire to navigate complex webtracking
tools—render Internet marketing more costly than some companies realize.
1. Each of the following can be inferred from the passage as a possible consequence of the rise of Internet marketing EXCEPT
A. a decrease in the percentage of marketing dollars spent on television advertising
B. an increased emphasis on measuring the specific outcomes of ad campaigns
C. the appearance of new marketing-related service firms
D. a decreased emphasis on “brand awareness” as a major marketing goal
E. the emergence of “pay-per-click” search engines

[Reveal] Spoiler:
D

2. The author of the passage would be most likely to agree with which of the following statements?
A.Companies should invest their marketing dollars only in campaigns that can target very specific consumer groups.
B. Traditional advertising outlets are usually not worth the cost for large companies.
C. Companies can significantly decrease their overall marketing expenditures by shifting to the use of payper- click search engines.
D. For companies that place a premium on precisely measuring the return on their advertising investment,Internet ads will likely be more effective than
E. Contrary to popular belief, advertising in traditional outlets is actually less expensive than advertising on the Internet.

[Reveal] Spoiler:
D

3. Which of the following can be inferred from the passage about the use of pay-per-click search engines ads?
A. Most consumers that respond to these ads translate directly into paying customers.
B. Companies will incur relatively little cost for ads that attract minimal interest from consumers.
C. Companies with the most impressive websites will draw the most attention to their ads.
D. Companies with the best brands benefit the most from the ads.
E. Companies that use these ads always have webanalytic technology on their websites.

[Reveal] Spoiler:
B

4. The third paragraph of the passage serves to
B. demonstrate the cost-effectiveness of Internet advertising
C. argue against proponents of print media
D. provide further detail on the specific example mentioned in the second paragraph
E. contrast newspaper ads with television commercials

[Reveal] Spoiler:
A

[Reveal] Spoiler: Question #1 OA
[Reveal] Spoiler: Question #2 OA
[Reveal] Spoiler: Question #3 OA
[Reveal] Spoiler: Question #4 OA

_________________

When everything seems to be going against you, remember that the airplane takes off against the wind, not with it. - Henry Ford
The Moment You Think About Giving Up, Think Of The Reason Why You Held On So Long
+1 Kudos if you find this post helpful

Kudos [?]: 782 [1] , given: 66

Math Forum Moderator
Status: Greatness begins beyond your comfort zone
Joined: 08 Dec 2013
Posts: 1375

Kudos [?]: 782 [1] , given: 66

Location: India
Concentration: General Management, Strategy
GPA: 3.2
WE: Information Technology (Consulting)
Re: As Internet marketing has matured, it has driven [#permalink]

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07 Sep 2016, 03:07
1
KUDOS

_________________

When everything seems to be going against you, remember that the airplane takes off against the wind, not with it. - Henry Ford
The Moment You Think About Giving Up, Think Of The Reason Why You Held On So Long
+1 Kudos if you find this post helpful

Kudos [?]: 782 [1] , given: 66

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Joined: 05 Nov 2012
Posts: 537

Kudos [?]: 548 [0], given: 606

Concentration: Technology, Other
Re: As Internet marketing has matured, it has driven [#permalink]

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07 Sep 2016, 07:04
Top Contributor
8 mins. All correct. 2:30 mins for para.
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Kudos [?]: 548 [0], given: 606

Intern
Joined: 24 Oct 2016
Posts: 13

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Location: India
WE: Research (Investment Banking)
Re: As Internet marketing has matured, it has driven [#permalink]

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14 Apr 2017, 23:18
Easy one!! Definitely not a 700+ para!
Took 7.5 minutes, all correct without a guess!

Kudos [?]: 1 [0], given: 11

Manager
Joined: 06 Oct 2015
Posts: 86

Kudos [?]: 9 [0], given: 47

Re: As Internet marketing has matured, it has driven [#permalink]

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17 Apr 2017, 05:17
2. The author of the passage would be most likely to agree with which of the following statements?
A.Companies should invest their marketing dollars only in campaigns that can target very specific consumer groups.
B. Traditional advertising outlets are usually not worth the cost for large companies.
C. Companies can significantly decrease their overall marketing expenditures by shifting to the use of payper- click search engines.
D. For companies that place a premium on precisely measuring the return on their advertising investment,Internet ads will likely be more effective than
E. Contrary to popular belief, advertising in traditional outlets is actually less expensive than advertising on the Internet.

The OA for this question is D But I chose C. Please anyone explain.

Kudos [?]: 9 [0], given: 47

Senior Manager
Joined: 09 Feb 2015
Posts: 359

Kudos [?]: 24 [0], given: 188

Location: India
Concentration: Social Entrepreneurship, General Management
GMAT 1: 690 Q49 V34
GPA: 2.8
Re: As Internet marketing has matured, it has driven [#permalink]

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18 Apr 2017, 01:03
NaeemHasan wrote:
2. The author of the passage would be most likely to agree with which of the following statements?
A.Companies should invest their marketing dollars only in campaigns that can target very specific consumer groups.
B. Traditional advertising outlets are usually not worth the cost for large companies.
C. Companies can significantly decrease their overall marketing expenditures by shifting to the use of payper- click search engines.
D. For companies that place a premium on precisely measuring the return on their advertising investment,Internet ads will likely be more effective than
E. Contrary to popular belief, advertising in traditional outlets is actually less expensive than advertising on the Internet.

The OA for this question is D But I chose C. Please anyone explain.

C is not right because in third paragraph it is mentioned that companies land up investing more than they think in terms of fraud prevention and Etc.
It is true they spend less on ads comparatively but land up spending more overall.

Kudos [?]: 24 [0], given: 188

VP
Joined: 14 Nov 2016
Posts: 1024

Kudos [?]: 923 [0], given: 339

Location: Malaysia
As Internet marketing has matured, it has driven [#permalink]

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10 Jun 2017, 18:24
1
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BOOKMARKED
As Internet marketing has matured, it has driven two trends: a narrower focus on pitching specific consumer groups and a more robust effort to measure the outcomes of marketing campaigns. In the pre-Internet world, advertisers were content to pay for television commercials whose audience was relatively broad and whose effect was not easily quantifiable. While a company might use viewership ratings to get general data about the size and demographics of the audience for its commercials, there was no way to measure the extent to which these commercials translated into actual sales.

In contrast, many companies are now moving their marketing dollars away from traditional advertising outlets towards Internet-based campaigns that can target specific consumer groups and quantify the return on marketing investments. For example, pay-per-click search engines allow companies to pay for small text advertisements that are displayed only when users search for specific words relevant to the products and services sold by that company. A company is charged only when a consumer clicks on the ad and is directed to the company’s website, thereby ensuring that the company’s advertising dollars are spent capturing consumers that demonstrate some interest in its offerings. Further, using sophisticated web-analytic technology, companies can track a consumer’s online behavior and determine the exact amount of any online purchases made.

Though hailed as more cost-effective, Internet advertising has its limits. Proponents of print media argue that newspaper ads more effectively promote brand awareness and thereby provide better value. Further, fraud, intense competition, and the rise of ancillary services—such as firms that companies must hire to navigate complex web-tracking tools—render Internet marketing more costly than some companies realize.
1. One example of the “traditional advertising outlets” referred to in the second paragraph is

(A) pay-per-click search engines

(B) online newspapers

(C) television

(D) simple websites

(E) online auctions

[Reveal] Spoiler:
C

2. According to the passage, advertisers typically can obtain data that estimates each of the following EXCEPT:

(A) the number of people watching a company’s television commercial

(B) the ratio of women to men watching a company’s television commercial

(C) the dollar amount of online purchases made by a consumer arriving at a company’s website through a pay-per-click advertisement

(E) the cost of fraud associated with Internet marketing

[Reveal] Spoiler:
E

3. The author of the passage would be most likely to agree with which of the following statements?

(A) Companies should invest their marketing dollars only in campaigns that can target very specific consumer groups.

(B) Traditional advertising outlets are usually not worth the cost for large companies.

(C) Companies can significantly decrease their overall marketing expenditures by shifting to the use of pay-per-click search engines.

(D) For companies that place a premium on precisely measuring the return on their advertising investment, Internet ads will likely be more effective than traditional outlets.

(E) Contrary to popular belief, advertising in traditional outlets is actually less expensive than advertising on the Internet.

[Reveal] Spoiler:
D

_________________

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"Each stage of the journey is crucial to attaining new heights of knowledge."

Last edited by Vyshak on 10 Jun 2017, 22:39, edited 1 time in total.
Topic Merged. Refer to the above discussions.

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As Internet marketing has matured, it has driven   [#permalink] 10 Jun 2017, 18:24
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