Free CIM Level 3 Marketing Insights Practice Questions

Sample Practice Questions

Try these 10 sample questions from the CIM Level 3 Marketing Insights practice bank. Each includes the answer and explanation. Continue with the interactive practice above to review the full question set.

1. 1A firm commissions interviews with prospective buyers to answer its own new research question. What kind of source does this create?

   1. A.Primary researchCorrect answer: A
   2. B.Secondary research
   3. C.Published industry research
   4. D.Existing administrative records

   Explanation: The source states: "Primary research is focused on your business, gathering information from your own customers or potential customers (e.g. surveying or interviewing them).". The firm gathers new responses directly for its question. Published studies and pre-existing records do not describe this collection.

   Reference: Business Queensland: Planning and conducting market and customer research — Types of market and customer research

2. 2A software supplier sells licences to a chain of shops for business operations. Which transaction type is this?

   1. A.B2BCorrect answer: A
   2. B.B2C
   3. C.C2C
   4. D.C2B

   Explanation: The source states: "one company sells products or services directly to another company". Both parties transact as businesses; consumer models change one or both parties.

   Reference: Salesforce: B2B vs B2C vs D2C business models — What is B2B?

3. 3In CIM's five-stage buying-journey model, a consumer first hears of a brand through a friend's recommendation. Which stage is illustrated?

   1. A.Purchase
   2. B.Retention
   3. C.Advocacy
   4. D.AwarenessCorrect answer: D

   Explanation: The source states: "The consumer first becomes familiar with the brand". The focal consumer is becoming aware. The friend may advocate, but that is not the focal consumer's stage.

   Reference: CIM: Five stages of your customer buying journey — Five stages — 1. Awareness

4. 4A marketing audit identifies an established internal design capability that gives the firm an advantage. Which SWOT category fits?

   1. A.Threat
   2. B.Opportunity
   3. C.Weakness
   4. D.StrengthCorrect answer: D

   Explanation: The source states: "Strengths are positive aspects of your business that you can control.". The beneficial internal capability is a strength. Opportunities and threats are external, while weakness is an internal disadvantage.

   Reference: Australian Government: Do a SWOT analysis — Identify your strengths

5. 5An analyst uses an industry report compiled before the firm's current project. How should this information be classified?

   1. A.New experimental data
   2. B.Secondary researchCorrect answer: B
   3. C.New interview data
   4. D.New observation data

   Explanation: The source states: "Secondary research is about finding and analysing other existing information sources". It reuses existing information rather than collecting new experiments, interviews or observations.

   Reference: Business Queensland: Planning and conducting market and customer research — Types of market and customer research

6. 6A shop sells a jacket to an individual for personal use. Which transaction type applies?

   1. A.Business-to-business exchange
   2. B.Business-to-consumer exchangeCorrect answer: B
   3. C.Consumer-to-consumer exchange
   4. D.Consumer-to-business exchange

   Explanation: The source states: "a company sells products or services directly to individual customers rather than to other businesses.". The seller is a business and the buyer is an individual consumer.

   Reference: Salesforce: B2B vs B2C vs D2C business models — What is B2C?

7. 7A consumer has recognised a need and is actively weighing whether to buy an offer. Which stage of CIM's model is this?

   1. A.ConsiderationCorrect answer: A
   2. B.Retention
   3. C.Advocacy
   4. D.Purchase

   Explanation: The source states: "the consumer actively considers whether or not to buy". The consumer evaluates before purchase; later usage and recommendations belong to other stages.

   Reference: CIM: Five stages of your customer buying journey — Five stages — 2. Consideration

8. 8An audit finds the firm's slow order-processing system is losing customers. Which SWOT category best describes this internal problem?

   1. A.Internal weaknessCorrect answer: A
   2. B.External opportunity
   3. C.Internal strength
   4. D.External threat

   Explanation: The source states: "Weaknesses are negative factors internal your business.". The disadvantage lies inside the business. External opportunity or threat classifications change its origin; strength changes its effect.

   Reference: Australian Government: Do a SWOT analysis — Identify your weaknesses

9. 9Which existing internal source would most directly show what customers bought and when?

   1. A.Customer-service complaint logs
   2. B.Customer satisfaction survey responses
   3. C.The firm's sales recordsCorrect answer: C
   4. D.Social-media engagement summaries

   Explanation: The source states: "sales records". Sales transactions document purchases and dates. Complaints and surveys capture reported experience, while social interactions measure engagement.

   Reference: Australian Government: Do market research — 3. Research your customers — Using existing customer data

10. 10An individual sells a used camera to another individual through a marketplace. Which model describes the transaction?

    1. A.A business supplying another business
    2. B.A business supplying an individual
    3. C.An individual supplying another individualCorrect answer: C
    4. D.An individual supplying a business

    Explanation: The source states: "individual consumers sell goods or services directly to other consumers.". The marketplace facilitates a consumer-to-consumer exchange; it does not make either individual a business in the stated transaction.

    Reference: Salesforce: What is ecommerce? — Consumer-to-consumer (C2C)