Chapter 18-Advertising, PR and Sales Promotions

Question 1

What is advertising?

Answer 1

A paid form of communication delivered through media from an identifiable source about an organization, product, service, or idea designed to persuade the receiver to take some action now or in the future.

Question 2

Steps in planning and executing an ad campaign?

Answer 2

1. Identify target audience
2. Set advertising objectives (use advertising plan, then decide push or pull strategy)
3. Determine advertising budget
4. Convey the message
5. Evaluate and select media
6. Create advertisements
7. Assess impact

Question 3

What is an advertising plan?

Answer 3

A subsection of the firm’s overall marketing plan that explicitly analyzes the marketing and advertising situation, identifies the objectives of the advertising campaign, clarifies a specific strategy for accomplishing those objectives, and indicates how the firm can determine whether the campaign was successful.

Question 4

What is a pull strategy?

Answer 4

Strategy in which the goal is to get consumers to PULL the product through the marketing channel by demanding it.

Question 5

What is a push strategy?

Answer 5

Strategy designed to increase demand by motivating sellers- wholesalers, distributors, or salespeople- to highlight the product, rather than the products of competitors, and thereby PUSH the product onto consumers.

Question 6

Types of advertising:

Answer 6

• informative (create and build brand awareness)
• persuasive (occurs in growth and early maturity of product life cycle)
• reminder advertising

Question 7

Types of advertisements?

Answer 7

• Product-focused (informs, persuades or reminds customers about a specific product/service)
• Institutional ad type of ad that promotes a company, corporation, business, institution or organization (includes PSA (public service advertising: with a focus on public welfare to better society)

Question 8

What is social marketing?

Answer 8

The application of marketing principles to a social issue to bring about attitudinal and behavioral change among the general public or specific population segment.

Question 9

What is USP? (Unique Selling Proposition)

Answer 9

A strategy of differentiating a product by communicating its unique attributes; often becomes the common theme or slogan in the entire advertising campaign.

Question 10

What are types of appeals? (How advertisers appeal to consumers)

Answer 10

Informational appeals: offer factual info that encourages consumers to evaluate the brand favorably n the basis of the key benefits it provides
Emotional appeals: satisfy consumers’ emotional desires rather than their utilitarian needs

Question 11

What is media planning?

Answer 11

Process of evaluating and selecting the media mix that will deliver a clear, consistent, compelling message to the intended audience.

Question 12

What is the media mix?

Answer 12

Combination of the media used and the frequency of advertising in each medium.

Question 13

What is mass media?

Answer 13

Channels that are ideal for reaching large nos of anonymous audience numbers e.g. national newspapers, magazines, radio etc

Question 14

What is a media buy?

Answer 14

The actual purchase of airtime or print pages

Question 15

What is niche media?

Answer 15

Channels that are focused and generally used to reach narrow segments, often with unique demographic characteristics or interests e.g. speciality channels/magazines

Question 16

How do firms evaluate and select media?

Answer 16

• Media planning
  Select media mix
  Media buy = largest expense in advertising budget, so marketers must make their decisions carefully

Important to think about context e.g. radio: people listen to it on the go, so place more ads about groceries etc

Question 17

What is an advertising schedule?

Answer 17

The specification of the timing and duration of advertising:

3 types:
continuous: runs steadily throughout the year, suited to products + services consumed continually at relatively steady rates and require a steady level of persuasive/reminder advertising

flighting:
implemented in spurts, with periods of heavy advertising followed by periods with no advertising

pulsing: an advertising schedule that combines the continuous AND flighting schedules by maintaining a base level of advertising but increasing advertising intensity during certain periods

Question 18

What is a subhead?

Answer 18

An additional smaller headline in an ad that provides a great deal of info through the use of short and simple words

Question 19

What is a headline?

Answer 19

In an ad, large type designed to draw attention

Question 20

What is body copy?

Answer 20

Main text portion of an ad

Question 21

What are brand elements?

Answer 21

Characteristics that identify the sponsor of a specific ad

Question 22

What are brand elements?

Answer 22

Characteristics that identify the sponsor of a specific ad

Question 23

What are some ways the effectiveness of an advertising campaign is assessed?

Answer 23

Pretesting: asses beforehand to ensure the various elements are working in an integrated fashion

Tracking: assessments that monitor key indicators e.g. daily/weekly sales volume, while the ad is running to shed light on any problems with the message/medium

Posttesting: evaluation of an IMC campaign’s impact AFTER it has been implemented

Question 24

Why is it hard to assess sales impact?

Answer 24

There are many influences other than advertising on consumers’ choices, purchase behavior and attitudes. e.g. level of competitor’s advertising, economic conditions in target market, sociocultural changes, weather etc

Question 25

What are some examples of agencies that regulate advertising:

Answer 25

FTC (Federal Trade Commission), FCC (Federal Communications Commission), FDA (Food and Drug Administration)

Question 26

What is puffery?

Answer 26

The legal exaggeration of praise, stopping just short of deception, lavished on a product.

Question 27

What is PR?

Answer 27

The organizational function that manages the firm's communications to achieve a variety of objectives, including building and maintaining a positive image, handing or heading off unfavorable stories or events, and maintaining positive relationships with the media

Question 28

What is cause-related marketing?

Answer 28

Commercial activity in which businesses and charities form a partnership to market an image, product or service for their mutual benefit; a type of promotional campaign.

Question 29

Elements of PR toolkits?

Answer 29

Publicians, video and audio, public service announcements, annual reports, press kits, speeches, event sponsorships, electronic media e.g. websites, e-mail campaigns, social media

Question 30

What are sales promotions?

Answer 30

Special incentives or excitement-building programs that encourage the purchase of a product or service, such as coupons, rebates, contests, free samples and point-of-purchase displays

Question 31

Types of sales promotion?

Answer 31

- Coupons: offer discount on price of specific items when the items are purchased (offer valuable data to firms) - Deal: short-term price reduction - Premium: item offered for free/at a bargain price to reward some type of behavior e.g. buying, sampling, testing - Contest: brand-sponsered competition that requires some form of skill/effort - Sweepstake: a form of sales of promotion that offers prizes based on a chance drawing of entrant's names - Samples: offering potential customers opportunity to try product/service before making a buying decision - Loyalty program - Rebate- consumer discount in which a portion of the purchase price is retuned to the buyer in cash. Issued by manufacturer

Question 32

What is product placement?

Answer 32

Inclusion of a product in nontraditional situations, such as in a scene in a movie/television program/music video increases visibility of product, may be subtle or prominent