Advertising and Promotion: Chapters 1-10 Flashcards
1
Q
What is Marketing
A
Activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.
2
Q
Marketing happens when:
A
-Two or more parties with unsatisfied needs
-Desire and ability to satisfy needs
-A way for the parties to communicate
-Something to exchange
3
Q
Marketing Mix
A
product, place, price, promotion, physical evidence, process, people
4
Q
Promotion
A
Coordination of all seller-initiated efforts to set up channels of information and persuasion to sell goods and services or to promote an idea
5
Q
Promotional Mix
A
PR, sales promo, direct marketing, digital marketing, advertising, personal selling
6
Q
Integrated Marketing Communication (IMC)
A
Strategic business processes used to unify all marketing communication messages to communicate the brand/product over time to consumers in a consistent way
7
Q
Characteristics of IMC
A
-creates a single unified voice
-begins with the consumer
-develops relationships with customers
-involves two-way communications
-focuses on stakeholders & customers
-generates a stream of communication
-measures results based on feedback
8
Q
IMC Planning
A
A process to conceive, develop, implement, and control the promotional mix elements to communicate effectively with the target audience
9
Q
IMC Planning Model
A
-Review the marketing plan
-assess marketing communication situation
-determine objectives
-develop programs
-implement and control plan
10
Q
In-House Advertising Agency
A
Companies set up their own internal ad agencies
11
Q
Advertising Agency
A
External agencies that are hired for skills, objectivity, and experience
12
Q
Full-Service Agency
A
Offers complete range of services including marketing, communications, and promotion services, performing research, and selecting media.
13
Q
Creative Boutiques
A
Specialize in and provide advertising creative services. Clients hire in search of inspiration to portray their brands or specific messages to more targeted audiences.
14
Q
Media Buying
A
Specialists at working with media companies and meeting media strategy and tactic decisions.
15
Q
Sales Promotion
A
companies specializing in sales promo (planning, creative, research, tie-in coordination, fulfillment, premium design, contest management).
16
Q
PR
A
develop and implement programs to manage an organization’s publicity, image and affairs with consumers and the public.
17
Q
Direct Response
A
provide their clients with a variety of services including database development and management, direct mail, research, media services, and creative production.
18
Q
Interactive
A
develop websites, kiosks, internet ads, and other forms of interactive advertising.
19
Q
Pros of In-House Agencies
A
Cost savings, more control, better coordination
20
Q
Cons of In-House Agencies
A
Less experience, less objectivity, less flexibility
21
Q
Financial Audit
A
Focuses on how the agency conducts its business
22
Q
Qualitative Audit
A
Focuses on the agency’s efforts in planning, developing, and implementing the client’s advertising programs and considers results
23
Q
Communication Process Model
A
Source –> (encoding) –> message –> medium –> (decoding) –> receiver –> feedback
Noise occurs when messages are competing
24
Q
Standard Learning Hierarchy
A
Cognition –> Affect –> Behaviour –> Attitude based on cognitive info processing
25
Low-Involvement Learning Hierarchy
Cognition --> Behaviour --> affect --> attitude based on behavioural learning process
26
Experiential Hierarchy
Affect --> Behaviour --> cognition --> attitude based on hedonic consumption
27
Consistent Stages
-->Cognitive (beliefs, thinking)
--> Affective (feelings)
--> Conative (behavioural)
28
Cognitive Processing of Communication
1. The cognitive response approach (exposure, cognitive responses, attitude, purchase intent)
2. The elaboration likelihood model (exposure, processing, brand attitude change if active cognitive processing)
29
Consumer Decision-Making process
Need recognition, information search, alternative evaluation, purchase decision, postpurchase evaluation
30
Internal Psychological Process
motivation --> perception --> attitude formation --> integration --> satisfaction
31
Problem Recognition
Occurs when consumer sees difference between current state and ideal state.
Need recognition: actual state moves downward
Opportunity recognition: ideal state moves upward
32
Primary demand
encourage consumers to use product category
33
Secondary demand
persuade consumers to use specific brand
34
Customer Needs
physiological, safety, belongingness, ego needs, self-actualization
35
Perception
The process by which sensations are selected, organized and interpreted.
36
Sensation
The immediate response of our sensory receptors to basic stimuli
37
Selective perception process
selective exposure --> selective attention --> selective comprehension --> selective retention
38
Consumer View
Product or service viewed in terms of its consequences
39
Marketer View
Products are viewed as bundles of attributes
40
Benefits to evaluate
functional, experiential, psychological
41
Routine response behaviour
purchases based on habitual routine decisions (brief internal search)
42
Limited problem solving
when a consumer has a limited amount of experience in purchasing a product/service but has knowledge of available brands/criteria
43
Extended problem solving
most complex and detailed form of decision making (extensive external search)
44
Zero-moment of truth (ZMOT)
immediate feeling after stimulus
45
Social consumer decision journey
1. considers purchase
2. evaluates brand
3. buy
4. interacts with brand after purchase
5. advocate for your brand
46
Influences on the consumer purchase decision
marketing mix, psychological influences (motivation, personality, perception etc.), sociocultural influences (social class, culture etc.), situational factors
47
Types of segmentation
geographic, demographic, psychographic, behavioural, socioeconomic
48
Favourable Brand Switchers
habitually purchase from a few favourites
49
New category users
customers that are not yet purchasing within a product category
50
Other brand switchers
purchase a few different brands within a category
51
Other brand loyals
purchase only one brand and are loyal
52
Goals
an achievable outcome that is typically broad and long-term (describes desired results)
53
Objectives
Defines measurable actions to achieve the overall goal. Specific actionable targets that need to be achieved within a smaller time frame
54
Value of setting objectives
communication function, planning and decision making, measurement and evaluation of results
55
The DAGMAR Approach
Define advertising goals for measuring advertising results. Recognition that communication effects are the logical basis for advertising goals and objectives against which success or failure should be measured
56
Four stages of communication task
awareness, comprehension, conviction, action
57
Behavioural Objectives
The link between attitude toward the brand (communication objective) and sales (marketing objective)
58
Objectives for specific Communication
One print ad or television commercial
59
Objectives for a specific campaign
advertising or sponsorship
60
Objectives for a complete IMC program
all promo tools
61
Positioning
Defined as the art and science of fitting the product or service to one or more segments of the broad market in such a way to set it apart from competition.
62
Market position strategy
concerns the final decision of the markets in which firms wish to compete. Develop a market partition, assess competitors' positions, assess brand position, determine positioning strategy, implement, monitor.
63
Market position
The reaction of the market to the firm's marketing programs
64
Brand Valuation model
estimates the brand's dollar value based on financial forecast, the role of the brand in the purchase decision, and strength of the brand (ability to create loyalty)
65
Young & Rubicam Brand Asset Valuator
knowledge and esteem affect brand stature, differentiation and relevance affect brand strength (ability to create loyalty). This encompasses overall brand value
66
Brand Positioning
A strategy related to the intended image of the product or brand relative to competing brands
67
Positioning Options
by end benefits, by brand name, by usage situation, by product category
68
Informational Motives
those in which a consumer perceives deficit in the current state and seeks a product that will return them to normal
69
Transformational Motives
A consumer perceives themselves as normal but desires to be improved or enhanced through a product
70
Advertising Creativity
the ability to generate fresh, unique, and appropriate ideas that can be used as effective solutions to communications problems
71
Ad to consumer relevance
involves ad characteristics that are meaningful to the target audience
72
Brand-to-consumer relevance
relates to the target audience's personal interest in the product and brand
73
Account planning
the account planner conducts research and gathers relevant info on a client's brand/product and target audience
74
Creative Process
Immersion/preparation (background info), digestion (work through info), incubation (let ideas develop), illumination (see solution), verification (refine idea and see if its appropriate).
75
Creative Brief outline
1. problem to address
2. Target audience & behaviour objectives
3. communication objectives
4. brand positioning strategy statement
5. creative strategy
6. supporting docs
76
Advertising Campaign
Set of interrelated and coordinated marketing communication activities that centre on a single theme or idea.
77
The rule of 3
Stories or jokes require 3 episodes for complete understanding
78
Message Appeals
Refers to the approach used to influence customers' attitudes toward the product/service/cause.
79
Rational appeals
focus on practical/functional/utilitarian needs
80
Emotional Appeals
focus on feelings and relate to the consumer's social/psychological needs
81
Two dimensions of credibility
expertise & trustworthiness
82
Straight sell
relies on a straightforward presentation of info about the product/service such as attributes or benefits
83
Scientific/Technical evidence
a variation of the straight sell where scientific or technical evidence is presented to support a claim
84
Demonstration
The product's actual use is shown
85
Comparison
Involves a direct or indirect comparison of a brand against the competition
86
Testimonials
A person speaks on behalf of the product based on their personal use/experiences
87
Slice of life
Based on a problem/solution type of format. Focuses on how the product can solve the consumer's problem
88
Animation
computer animated ad exceution
89
Personality Symbol
involves the use of a central character of personality symbol to deliver the message. Can be a spokesperson, character, animal etc.
90
Fantasy
showing an imaginary situation or illusion involving a consumer and the product
91
Dramatization
creates a suspenseful situation or scenario in the form of a short story. Often use the problem/solution approach
92
Combinations
combinations of marketing techniques
93
Reasons to measure effectiveness
avoid costly mistakes, evaluating alternative strategies, increase advertising efficiency, determine if objectives are achieved
94
Reasons not to measure effectiveness
Cost, research problems, disagreement of what to test, objections of creative specialists
95
What to test
creative theme, creative tactics, promotional tools
96
Metrics used in evalutation: processing measures
Attention, learning, acceptance, emotional response, ad recognition/recall
97
Metrics used in evalutation: Communication effects measures
category need, brand awareness, brand attitude, brand purchase intention
98
The testing process
1. concept testing
2. rough testing
3. finished art or commercial testing
4. market testing (post-testing)
99
Animatic roughs
succession of drawings or cartoons, rendered artwork, still frames, simulated movement
100
Photomatic rough
succession of photos, real people/scenery, still frames
101
Live action rough
live motion, stand-in/non-union talent, nonunion crew, limited props, full union crew, exotic props/studio sets/special effects
102
Portfolio tests (lab tests)
test finish print ads. Expose a group of respondents to a portfolio consisting of both control and test ads. Asked what info they recall from the ads
103
Readability tests (Flesch formula)
gives a readability score for text based on the average number of syllables per 100 words
104
Dummy advertising vehicles
ads are placed in dummy magazines developed by an agency that are distributed to a random sample in predetermined areas. They are then interviewed
105
Theatre test
invitation to view pilots of proposed TV programs so audiences' responses can be compared to normative responses
106
On-air test
insert commercials into actual programs in certain test markets
107
inquiry tests
measure advertising effectiveness on the basis of inquiries generated from ads appearing in print media
108
recognition tests
allows the advertiser to measure impact of ad
109
Recall tests
attempt to measure recall of specific ads
110
Test marketing
test designed to measure their advertising effects in specific test markets before releasing
111
Single source tracking studies
track the behaviours of consumers from the television set to the purchase
112
Tracking studies
measures the effect of advertising on awareness, recall, interest, and attitudes toward the ad/brand as well as purchase intentions
113
Media Planning
A series of decisions to deliver the message to the target audience
114
Media Strategy
action designed to attain the media objectives. Includes the medium, general category of media channels, and specific media category
115
Media Tactics
more specific media decisions involving media vehicle (type of television show to advertise on)
116
Media planning challenges
insufficient info, inconsistent tech, inconsistent terminology, need for flexibility, role of media planners, measuring effectiveness
117
Media Strategy decisions
media mix, target audience coverage, geographic coverage, scheduling, reach and frequency
118
Brand Development Index
BDI = (% of total brand sales/population in geographical area) x 100
119
Category Development Index
CDI =(% of product category sales/population in geographical area) x 100
120
Scheduling
Objective is to time promotional efforts to coincide with the highest potential buying times
121
Continuity
a continuous schedule refers to constant advertising throughout the year either daily, weekly, or monthly
122
Flighting
Schedule that has intermittent periods of advertising
123
Pulsing
A combination of continuity and flighting (continuity with periods of increased advertising)
124
Reach
whether the message should be seen or heard by more people
125
Frequency
Whether the message should be heard by fewer people but more often
126
Message factors determining frequency
complexity, uniqueness, new vs. continuing campaigns, image vs product sell, variation, wear out, advertising units
127
Gross Rating Points
based on the total audience the media schedule may reach. GRP = reach of 1% x frequency of 1
128
Relative cost estimates
cost paid for the ad relative to the audience reached
129
CPM
cost of ad space / circulation x 1000
130
CPRP
cost of commercial time / program rating
131
The concave downward function
based on the microeconomic theory of the law of diminishing returns (as the amount of advertising expenditure increases, incremental value decreases)
132
S-shaped response model
initial outlays of promotional dollars will have little impact on sales. Suggests that there are incremental values to be accrued from additional dollar outlays but only to a point.
133
The affordable method
determines what level of advertising expenditure they feel they can afford and set the amount as the ad budget
134
The arbitrary method
no real rhyme or reason for chosen budget
135
percentage of sales method
budget based on a chosen percentage of sales
136
Competitive parity
budgets are set by matching the percentage advertising/sales ratios of competitors
137
ROI
advertising expenditures should be considered an investment returning sales as a result
138
objective and task method
involves establishing objectives, determining the specific tasks associated with attaining them and determining costs
139
Payout planning
the plan is developed by projecting revenues from a product over 2-3 years. Based on expected return, marketers can decide on necessary expenditure
140
Allocation
determines relative expenditures across IMC tools and markets while considering market-share goals and organizational factors
