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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.
Q.
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.
Correct answer is option 'B'. Can you explain this answer?
Verified Answer
As Internet marketing has matured, it has driven two trends: a narrowe...
The second paragraph of the passage describes pay-per-click search engines as an example of the trend towards "campaigns that can target specific consumer groups and quantify the return on marketing investments." The correct answer will stick very closely to the text that describes pay-per-click search engines.
(A) The passage states that upon clicking an ad, a consumer “is directed to the company’s website.” This does not mean, however, that the consumer will necessarily purchase something on the company’s website. While some consumers may translate into paying customers, nothing in the passage suggests that this is the case for “most” consumers. 
(B) CORRECT. Ads that attract minimal interest will lead to minimal consumer clicks. Since “a company is charged only when a consumer clicks on the ad,” it follows that this company will incur relatively little cost for these few clicks.
(C) Since consumers do not actually see the websites of companies until after they have clicked on an ad, the relative merits of a company's website have no bearing on an individual’s interest in a particular ad.
(D) The passage provides no information about how a company’s brand impacts the benefit it receives from pay-per-click ads.
(E) While the passage states that companies “can track a consumer’s online behavior” using web-analytic technology, this technology is not a prerequisite for companies to advertise on pay-per-click search engines. The word “always” renders this choice incorrect. 
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Most Upvoted Answer
As Internet marketing has matured, it has driven two trends: a narrowe...
Explanation:

Cost Incurred for Ads with Minimal Interest:
- The passage states that companies are charged only when a consumer clicks on the ad and is directed to the company’s website.
- This means that companies will only incur costs when there is genuine interest from consumers who click on the ad.
Therefore, it can be inferred from the passage that companies will incur relatively little cost for ads that attract minimal interest from consumers.
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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.Q.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.Correct answer is option 'B'. Can you explain this answer?
Question Description
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.Q.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.Correct answer is option 'B'. Can you explain this answer? for GMAT 2024 is part of GMAT preparation. The Question and answers have been prepared according to the GMAT exam syllabus. Information about 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.Q.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.Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for GMAT 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for 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.Q.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.Correct answer is option 'B'. Can you explain this answer?.
Solutions for 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.Q.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.Correct answer is option 'B'. Can you explain this answer? in English & in Hindi are available as part of our courses for GMAT. Download more important topics, notes, lectures and mock test series for GMAT Exam by signing up for free.
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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.Q.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.Correct answer is option 'B'. Can you explain this answer? defined & explained in the simplest way possible. 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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.Q.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.Correct answer is option 'B'. 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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.Q.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.Correct answer is option 'B'. 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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.Q.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.Correct answer is option 'B'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice 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.Q.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.Correct answer is option 'B'. Can you explain this answer? tests, examples and also practice GMAT tests.
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