Future Business Leaders of America (FBLA) Marketing Practice Test

How do companies typically develop e-mail lists for advertising?

1. By acquiring influencers’ lists

2. By using addresses of current customers

3. By purchasing e-mail lists exclusively

4. By generating random addresses

The correct answer is: By using addresses of current customers

Companies typically develop e-mail lists for advertising by using addresses of current customers, which is generally considered the most effective and ethical approach. This method leverages existing relationships and trust, as these individuals have already engaged with the company and expressed interest in its products or services. In many cases, current customers are more likely to respond positively to marketing communications because they have previously made purchases or have opted in to receive information. Using addresses of current customers enables companies to target their messaging more effectively, tailoring offers or updates that resonate with individuals who are already familiar with the brand. Moreover, this approach often results in higher engagement rates, as these customers are more inclined to open and interact with emails from brands they recognize and appreciate. Acquiring lists from influencers or purchasing e-mail lists can lead to less targeted and potentially lower-quality outreach, as these individuals may not have a direct interest in the products or services being advertised. Generating random addresses is not a viable strategy in email marketing, as it often violates consent regulations and leads to poor engagement and damage to brand reputation.