Business Ch 7 Flashcards
What are the 2 types of advertising?
Product- messages designed to sell a particular good or service
Institutional- messages that promote concepts, ideas, philosophies, or goodwill for industries, companies, organizations, or government entities
What are the 3 categories that product and institutional advertising fall under?
Informative
Persuasive
Reminder-oriented
What are the different kinds of advertising used at the various stages of the product life cycle (introductory, growth, maturity, decline)?
Informative (pioneer) advertising - used to build initial demand for a product in the introductory phase
Persuasive (competitive) advertising - attempts to improve the competitive status of a product, institution, or concept, usually in the growth and maturity stages
Comparative advertising - compares products directly with their competitors either by name or by inference
Cause (advocacy) advertising- institutional messaging that promotes a specific viewpoint on a public issue as a way to influence public opinion and the legislative process
The main goal of advertising is to
Inform,persuade, remind
What are the different advertising media?
Digital
Sponsorship- exposure to target audience and association with
image of the event
Billboard- allow advertisers to change message throughout the day
What are the pros and cons of using TV as an advertising medium?
Easiest way to reach a large number of consumers
Most expensive
What is digital advertising and what are the drivers of digital advertising spending?
The largest and fastest-growing advertising medium
Online video and social media are the drivers of advertising spending
Display Advertising (banners, online video, and social media) Viral Advertising – creates a message that is novel or entertaining enough for consumers to forward it to others, often through social networking sites, spreading it like a virus.
What is sponsorship advertising?
Providing funds for a sporting or cultural event in exchange for a
direct association with the event
Benefits: exposure to target audience and association with
image of the event
What are the factors to consider when choosing an advertising media?
THE COST OF THE MEDIA
THE AUDIENCE REACHED BY IT
How is advertising and media measured? Define audience, impression, frequency, cost-per-thousand (CPM)
The number of different target consumers who are exposed to a commercial at least once during a specific period and frequency.
Audience- As the size of the audience increases so does the total cost
Frequency- Number of times an individual is exposed to a message
CPM- a paid advertising option where companies pay a price for every 1,000 impressions an ad receives
