part three Flashcards

1
Q

what does a high BDI/high CDI indicate?

A
  • high market share
  • good market potential
  • market usually represents good sales potential for product + brand
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2
Q

what does a low BDI/high CDI indicate?

A
  • low market share
  • good market potential
  • product category shows high potential but brand isn’t doing well; determine reason
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3
Q

what does a high BDI/low CDI indicate?

A
  • high market share
  • monitor for sales decline
  • category isn’t selling well but brand is; may be good market to advertise in
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4
Q

what does a low BDI/low CDI indicate?

A
  • low market share
  • poor marketing potential
  • product category + brand aren’t doing well; not likely good place to advertise
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5
Q

differentiate between the 3 methods of duration and scheduling

A

continuous: advertising every day, week or month; flighting: periods of on and off advertising; pulsing: combo of continuous and flighting, continuity is maintained but at certain periods advertising is increased

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6
Q

what is the index number a good indicator of?

A

the potential of the market

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7
Q

how do you calculate the index number?

A

(percentage of users in a demographic segment) divided by (percentage of population in the same segment), multiplied times 100

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8
Q

what does the BDI help marketers factor?

A

the rate of product usage by geographic area into the decision process (or where to promote)

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9
Q

how do you calculate the BDI?

A

(percentage of brand to total US sales in market) divided by (percentage of total US population in market), multiplied times 100

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10
Q

how do you calculate the CDI?

A

(percentage of total product category sales in market) divided by (percentage of population in the same segment), multiplied times 100

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11
Q

how do the calculations of CDI differ from BDI?

A

CDI uses product category information instead of brand information

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12
Q

penelope is the marketer for sassybrands, a company that sells high-end toilet paper and power towels. she wants a tv ad that will cover the entire buying cycle and build awareness around their new product: high-end tissues. which scheduling method should she use? why? (4) what are the disadvantages? (3)

A
  • continuity
  • constant reminder for regularly consumed products, covers entire buying cycle, effectiveness, awareness-building
  • high costs, potential for overexposure, media availability
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13
Q

kita is the marketer for oh.ho.flo, a company that specializes in minimalistic authentic christmas trees and valentine bouquets. since it’s such a niche company, kita is working with a pretty small budget. which scheduling method should she use? why? (3) what are the disadvantages? (2)

A
  • flighting
  • season product used only a couple times per year, highly cost effective
  • increased likelihood of wear out, lack of awareness/interest/retention during off-times, vulnerability to competing messages during off times
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14
Q

ishtar is the marketer for T-4-2, a specialty tea company that sells loose-leaf teas, tea brewers, iced and hot teas to-go, tea kettles, tea infusers, tea candies, tiny teas, tea shirts—the list goes on. ishtar has noticed a spike in to-go iced tea sales during the summer and wants to capitalize on this trend. what scheduling method should she use? why? what are the disadvantages? (3)

A
  • pulsing
  • good for products that have little sales variation from period to period, but might see some increase during certain times
  • moderately expensive, some overexposure, not appropriate for highly seasonal products
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15
Q

how many frequency exposures should penelope, kita, or ishtar aim for?

A

3 (min) to 12

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16
Q

what marketing factors increase frequency? (3)

A
  • high usage cycle (item purchased often)
  • high competition
  • new brand
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17
Q

what message factors increase frequency? (3)

A
  • new campaign
  • image advertising
  • complex + varied messages
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18
Q

what media factors increase frequency?

A

amount of clutter

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19
Q

what marketing factors decrease frequency? (3)

A
  • high brand loyalty and market share
  • high ability to process and recall messages
  • low usage cycle
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20
Q

what message factors decrease frequency? (2)

A
  • continuing campaign

- simple and single messages

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21
Q

what media factors decrease frequency? (5)

A
  • alignment with media content
  • continuous scheduling
  • fewer media
  • level of attention achieved by media
  • repeat exposures
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22
Q

why is clutter problematic?

A

no one message is able to stand out; the messages’ effectiveness cancel out each other

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23
Q

how often do continuity-scheduled advertisements appear?

A

every day, week, or month

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24
Q

what products are continuity-scheduled advertisements best for?

A

non-season products like food, household products, and other everyday products

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25
Q

how does pulsing differ from continuity?

A

pulsing includes continuity strategies with a heavy concentration of promotional efforts at certain times

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26
Q

what processes are best for the pulsing scheduled method? why?

A

consumer response processes that begin with model (e.g. affinity model) and those target valued consumers
bursts come around sales promotions or other major events

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27
Q

how does TRP differ from GRP?

A

-TRP does not include waste coverage (duplicated reach)

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28
Q

what does a rating point represent?

A

-1% of all households in a particular area tuned into a specific program

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29
Q

when is it more beneficial to select a medium with a higher CPM?

A

if it’s reaching more potential receivers

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30
Q

what are the promotional advantages of tv?

A
  • mass coverage + high reach = cost effective
  • captivating and attention getting
  • targets selectivity
  • flexibility
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31
Q

what are the promotional disadvantages of tv?

A
  • Fleeting messages
  • High costs
  • Audience distrust
  • Message avoidance
  • Increased clutter
  • Not for niche markets
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32
Q

what are the promotional advantages of radio?

A
  • Low cost to produce and purchase
  • Good for smaller niche markets
  • High receptivity
  • Selectivity
  • Flexibility; can be used in conjunction with other media (synergy). Stations and personalities enhance local involvement
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33
Q

what are the promotional disadvantages of radio?

A
  • Limited comm and creative options

- Less status and prestige

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34
Q

what are the promotional advantages of newspapers?

A
  • High penetration and flexibility
  • Geographic selectivity
  • Low cost
  • Match ads w/ editorial content
  • Timely (Published daily)
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35
Q

what are the promotional disadvantages of newspapers?

A
  • Low production quality
  • Short lifespan
  • Low attention-getting
  • Clutter
  • Declining circulation
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36
Q

what are the promotional advantages of magazines?

A
  • Segmentation and selectivity
  • High receptivity
  • High info content
  • Permanence
  • High quality reproduction
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37
Q

what are the promotional disadvantages of magazines?

A
  • Visual only
  • Limited frequency and reach
  • High competition
  • High clutter
  • Declining circulation
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38
Q

what are the promotional advantages of using the internet?

A
  • Target marketing
  • Sales potential
  • Message tailoring
  • Creativity, interactive capabilities
  • Exposure speed
  • Info access
  • Complementary IMC
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39
Q

what are the promotional advantages of using the internet?

A
  • Measurement problems
  • Clutter
  • Potential for deception
  • Privacy
  • Irritation
  • Annoyance
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40
Q

what does social media struggle with?

A

issues of privacy and surveillance.

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41
Q

index number definition

A

potential of the market

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42
Q

brand development index definition

A

determines sales potential for a certain brand

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43
Q

category development index definition

A

determines sales potential for a certain category

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44
Q

advantages of continuity

A

constant reminder, effective, builds awareness, covers entire buying cycle

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45
Q

disadvantages of continuity

A

costly, potential for overexposure, lack of media availability

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46
Q

advantages of flighting

A

good for seasonal products, cost effective

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47
Q

disadvantages of flighting

A

wearout, competing messages, lack of awareness during off season

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48
Q

advantages of pulsing

A

combination, use of affinity model

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49
Q

disadvantages of pulsing

A

expensive, overexposure

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50
Q

products for continuity

A

products consumed regularly, e.g. household items or food products

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51
Q

products for flighting

A

seasonal items or products consumed mostly during certain time periods

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52
Q

products for pulsing

A

products with little sales variation from period to period but might see some increase in certain months, e.g. beverages (hot/cold)

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53
Q

reach

A

amount of people who see the message

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54
Q

frequency

A

how often the message is sent

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55
Q

GRP

A

gross rating point = reach * frequency

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56
Q

TRP

A

target rating point = target reach * frequency

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57
Q

marketing factors that increase frequency

A

new product, new brand, high usage cycle, high competition

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58
Q

marketing factors that decrease frequency

A

brand loyalty, ability to recall messages, low usage cycle

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59
Q

message factors that increase frequency

A

new campaign, image advertising, complex/varied messages

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60
Q

message factors that decrease frequency

A

uniqueness, continuing a campaign, simple message, potential for wear-out

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61
Q

media factors that increase frequency

A

clutter

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62
Q

media factors that decrease frequency

A

alignment with media content, continuous scheduling, fewer media, level of attention, repeat exposure

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63
Q

print media

A

Cost per thousand (CPM) = (cost of space/circulation) * 1000

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64
Q

broadcast media

A

cost per rating point (CPRP) = (cost of duration/program rating)

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65
Q

television households

A

number of households that have a tv

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66
Q

program rating

A

(households watching show/total of households that own a tv)

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67
Q

share of audience

A

(households watching show/total households using tv at a specified time)

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68
Q

households using tv

A

number of tvs being used during a specific time period

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69
Q

promotional tv advantages

A

mass coverage, attention getting, flexibility, targets selectivity

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70
Q

promotional tv disadvantages

A

high cost, fleeting message, audience distrust, clutter, not for niche markets

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71
Q

promotional radio advantages

A

low cost, good for niche, higher receptivity, selectivity, and flexibility

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72
Q

promotional radio disadvantages

A

limited communication, lack of creativity, less status/prestige

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73
Q

promotional magazine advantages

A

high quality, high receptivity, segmentation/selectivity, high information, permanence

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74
Q

promotional magazine disadavantages

A

long lead time, visual only, high competition, high clutter, declining circulation

75
Q

promotional newspaper advantages

A

geographic selectivity, high involvement, low cost, placed by editorials/ads/promotions, high penetration and flexibility, short lead time

76
Q

promotional newspaper disadvantages

A

low quality, short lifespan, not attention getting, selective reading exposure, declining circulation, clutter

77
Q

The Internet advantages

A

target marketing, message tailoring, interactive capabilities, information access, sales potential, creativity, exposure/speed, complement to IMC

78
Q

The Internet disadvantages

A

clutter, deception, privacy/surveillance, irritation/annoyance

79
Q

features of Web 2.0

A

shift of power from publishers to consumers, “pull” environment, interactivity, “rich” media, gamification, brand equity

80
Q

theoretical perspectives: cognitive response model. what two thoughts are related? what’s the impact of attitude?

A
  • exposure + thoughts + attitudes = purchase intent
  • ad execution thoughts, source oriented thoughts
  • attitude towards ad influences attitudes about brands
81
Q

theoretical perspectives: ELM

A

involvement, motivation, ability; central vs peripheral

82
Q

factors that determine effectiveness: personal (3)

A

perceived interactivity, involvement, flow

83
Q

factors that determine effectiveness: website/brand (6)

A

actual interactivity, usability, modality, number of functions, fit with brand image, type of product

84
Q

bought media

A

traditional ads; company paying for media exposure (e.g. magazine ad)

85
Q

owned media

A

website, blog, facebook, twitter; something the company owns and controls

86
Q

earned media

A

publicity, social media, “buzz,” viral; promotion through other people

87
Q

7 types of social media functionality

A

identity, presence, relationships, reputation, groups, conversations, sharing

88
Q

identity

A

users reveal themselves

89
Q

presence

A

users know that others are there

90
Q

relationships

A

users relate to each other

91
Q

reputation

A

users know where they and the brand stand

92
Q

groups

A

users belong to something

93
Q

conversations

A

users communicate

94
Q

sharing

A

users exchange content

95
Q

word of mouth advantages

A

credible, rich, influential, increases recall, engagement, motivation and persuasion

96
Q

EWoM

A

larger reach, short lifespan, measurable

97
Q

what is social capital? why is it important?

A
  • utility derived from social connections to achieve goals

- used for promotion, to spread message within network of associations and the audience will promote for you

98
Q

market mavens

A

opinion leaders; center of networks, access to a large amount of market info and proactively engage in conversations with others

99
Q

social hubs

A

network bridges

100
Q

social ties

A

strong: close friends/family

101
Q

viral marketing; what does it try to tap into?

A

users create exponential growth and “buzz,” synonymous with word of mouth; attempts to tap into existing social networks and capitalize on social capital for promotion

102
Q

promotional objectives of viral marketing

A

to create buzz

103
Q

characteristics of viral marketing campaigns

A

messages that elicit an emotional response
U: uncertainty
A: adversive: people get hurt/embarrassed
A: affirmation
A: appetitive: funny/cool content

104
Q

Dunbar’s number

A

people can only have relationships with 150 people

105
Q

significance of Dunbar’s number

A

more open to message = more credible = less likely to counter-argue

106
Q

weaknesses of viral marketing

A
  • boomerang; in an attempt to connect or capitalize on trends (e.g. be funny), company drives away consumers by being offensive (audience tracks message back to brand –> lost control of message –> negative word of mouth)
  • must rely on other strategies as well
  • success not measurable
107
Q

guerrilla marketing

A

unconventional and low budget brand experiences designed to grab attention and create buzz and/or publicity and attention; high-impact

108
Q

guerrilla marketing vs. viral marketing

A

guerrilla is not necessarily persuasive or used to leverage social networks, greater focus on mass communication than interpersonal

109
Q

three roles of public relations

A

management function which:

  • evaluates public attitude
  • identifies the policies and procedures for an organization with public interest
  • executes a program of action to earn public understanding and acceptance
110
Q

marketing public relations

A

integration of PR into the promotional mix

111
Q

relationship between marketing and public relations

A
separate functions (traditional
coordinated and equal
integrated
112
Q

six functions of MPR

A
  • building market excitement before media ads break
  • creating news where there is no news
  • introducing a product with little or no advertising
  • building brand-to-customer bonds
  • influencing influentials, giving info to opinion leaders
  • defending products at risk, giving consumers reasons to buy
113
Q

advantages of MPR

A

cost effective, highly targeted way to conduct PR, 3rd party endorsement, achievement of credibility, break through clutter, circumvent resistance to sales efforts, improved customer media involvement, influence opinion leaders, improved ROI

114
Q

disadvantages of MPR

A

lack of control over media coverage, difficult to tie in slogans, media time and space aren’t guaranteed, receiver not making connection to source, no standards for measurement

115
Q

internal/associated audiences of MPR

A

stockholders & investors, customers & clients, employees, community members, vendors & suppliers

116
Q

ways to reach MPR internal/associated audiences

A

newsletters, bulletin boards, direct mail/email, annual reports

117
Q

external/independent audiences of MPR

A

educators, governments, financial groups, civic & business organizations, the media

118
Q

ways to reach MPR external/independent audiences

A

public relations ads, press releases, conferences, research reports

119
Q

tools of PR

A

interviews, press releases, press conferences, exclusives, community involvement, the internet

120
Q

ways to measure PR effectiveness (4)

A

ratio of positive to negative articles –> percent of pos/neg articles overtime –> percent of pos/neg articles by subject/publication/reporter/target audience,

121
Q

publicity definiton

A

the generation of news about a person, product, or service that appears in the media

122
Q

publicity vs PR

A

publicity is: short-term, subset of PR, not always positive, often originates outside the firm

123
Q

media relations

A

maintaining a positive, professional relationship with the media in general or with media that specialize in covering a specific industry (not interested in products, but ideas and trends)

124
Q

advantages of publicity

A

credible, news value, word-of-mouth, endorsed by media

125
Q

disadvantages of publicity

A

timing, inaccuracy/omission

126
Q

corporate advertising definiton

A

extension of the PR function that does not promote a product or service, but the entire organization

127
Q

objectives of corporate advertising

A

smooth labor relations, establish diversified company identity, create a positive image for the firm, communicate the organizations viewpoint, boost employee morale

128
Q

types of corporate advertising

A

image, event, advocacy, cause-related

129
Q

what’s the purpose of image advertising? list the types.

A
  • create a favorable mental image (GE commercial)

- general image, positioning ads, sponsorship, recruitment, financial support

130
Q

event sponsorship

A

activity to promote a product, cause, organization (krispy kreme run)

131
Q

advocacy advertising

A

supports cause, view, or interest (energy tomorrow)

132
Q

cause-related advertising

A

sales linked to a cause or nonprofit (RED campaign)

133
Q

advantages of corporate advertising

A

excellent vehicle for positioning the firm, takes advantage of benefits derived from PR, reaches a selected target market

134
Q

disadvantages of corporate advertising

A

questionable effectiveness, questions constitutionality/ethics, lack of consumer interest

135
Q

support media

A

uses a variety of nontraditional channels to deliver communications and to promote products and services

136
Q

examples of support media

A

billboards, transit, out of house, street furniture

137
Q

branded entertainment

A

blends marketing and entertainment

138
Q

advantages of support media

A

wide local coverage, high frequency, geographic flexibility, creativity, timeliness, creation of awareness, efficiency, sales effectiveness, production capability, source association, cost, targeting, acceptance

139
Q

disadvantages of support media

A

waste coverage, limited message ability, wearout, high cost, measurement problems, image problems, lack of control, limited appeal, competition,

140
Q

direct marketing definition

A

interactive system of marketing that uses one or more advertising media to effect a measurable response and or transaction at any location

141
Q

growth of direct marketing because…

A

more credit cards, changing structure of society, and technological advances

142
Q

one step approach

A

goal is to generate an immediate sale when ad is shown

143
Q

two-step approach; differentiate the two efforts

A

may involve one or more medium; 1st effort to screen or qualify potential buyer, 2nd to generate a response

144
Q

CPO

A

cost per order: evaluates effectiveness of a direct ad based on number of calls generated

145
Q

CLTV

A

customer lifetime value: determines dollar value associated with a long term relationship with a customer from direct marketing

146
Q

media vehicle

A

the specific program, publication, or promotional piece used to carry an advertising message

147
Q

reach

A

the number of different audience members exposed at least once to a media vehicle(s) in a given period (actual audience)reach of one program, two programs, duplicated reach of both, unduplicated reach of both

148
Q

coverage

A

a measure of the potential audience that might receive an advertising message through a media vehicle

149
Q

frequency

A

the number of times a target audience is exposed to a media vehicle(s) in a specific time period

150
Q

index number

A

a ratio used to describe the potential of a market. derived by: dividing the percentage of users in a market segment by the percentage of population in the same segment and multiplying by 100

151
Q

brand development index (BDI)

A

an index that is calculated by taking the percentage of a brand’s total sales that occur in a given market as compared to the percentage of the total population in the market; the higher the BDI number, the greater the potential that exists

152
Q

category development index (CDI)

A

an index that is calculated by taking the percentage of a product’s category’s total sales that occur in given market area as compared to the percentage of the total population in the market; the higher the CDI number, the greater the potential that exists for that category products

153
Q

continuity

A

a media scheduling strategy where a continuous pattern of advertising is used over the time span of the advertising campaign

154
Q

flighting

A

a media scheduling pattern in which periods of advertising are alternated with period of no advertising

155
Q

pulsing

A

a media scheduling method that combines flighting and continuous scheduling

156
Q

unduplicated reach

A

the number of persons reached once with a media exposure

157
Q

duplicated reach

A

individuals exposed to the same commercial on two or more media vehicles

158
Q

program rating

A

the percentage of TV households in an area that are tuned to a program during a specific time period

159
Q

gross ratings points (GRPs)

A

a measure that represents the total delivery or weight of a media schedule during a specified time period. GRPs are calculated by multiplying the reach of the media schedule by the average frequency

160
Q

target ratings points (TRPs)

A

the number of persons in the primary target audience that the media buy will—and the number of times

161
Q

cost per thousand (CPM)

A

a computation used in evaluating the relative cost of various media vehicles that represents the cost of exposing 1,000 members of a target audience to an advertising message (relative cost of print media)

162
Q

cost per ratings point (CPRP)

A

a computation used by media buyers to compare the cost-efficiency of broadcast programs that divides the cost of commercial time on a program by the audience rating (relative cost of broadcast media)

163
Q

television households

A

number of households that own a TV

164
Q

households using TV (HUT)

A

percentage of homes in a given area where TV is being watched during a specific time period

165
Q

share of audience

A

percentage of households using TV in a specific time period that are tuned to a specific program

166
Q

which type of social media functionality uses data privacy controls and tools for user self promotion? what is its function?

A

identity; extent to which users reveal themselves

167
Q

which type of social media functionality manages the structural and flow properties in a network? what is its function?

A

relationships; extent to which users relate to each other

168
Q

which type of social media functionality is based on membership rules and protocols? what is its function?

A

groups; extent to which users are ordered or form communities

169
Q

which type of social media functionality uses a content management system and social graph? what is its function?

A

sharing; extent to which users exchange, distribute, and receive content

170
Q

which type of social media functionality focuses on creating and managing the reality, intimacy, and immediacy of the content? what is its function?

A

presence; extent to which users know if others are available

171
Q

which type of social media functionality monitors the strength, passion, sentiment and reach of users and brands? what is its function?

A

reputation; extent to which users know the social standing of others and content

172
Q

which type of social media functionality involves the velocity and risk of starting and joining it? what is its function?

A

conversations; extent to which users communicate with each other

173
Q

according to the seven types of social media functionality, what are the primary differences between youtube and facebook?

A

YouTube:

  • primarily about sharing
  • followed by conversations, Groups, Reputation
  • and finally identity, Presence, Relationships

Facebook:

  1. ) Relationships
  2. ) Presence, Identity, Conversation, Reputation
  3. ) Sharing, Groups
174
Q

what is the difference between strong ties and weak times?

A

strong: strongest and most immediate social connections (e.g. close friends, nuclear family); weak: more distant connections, indirect (e.g. acquaintances)

175
Q

penelope, the sassybrands manager, is working with a pretty extensive budget to promote her new line of high-end tissues. she wants to create a really chic, sleek, attention-grabbing advertisement that gets the word out to a lot of people. which promotional medium is the best solution for her? why? what are some disadvantages?

A
  • TV
  • mass coverage with high reach makes it cost effective, captive and attention getting
  • increased clutter, high costs, audience distrust, message avoidance
176
Q

ishtar is trying to promote the T-4-2 specialty summer promo. she wants to use multiple media to advertise the promotion and wants to capitalize on local celebrities. she’s also working with a smaller budget. which promotional medium is the best solution for her? why? what are some disadvantages?

A
  • radio
  • low cost, niche market, high receptivity, flexibility to use with other media, enhance local involvement
  • limited communication and creative options, less status and prestige
177
Q

kita wants to market oh.ho.flo specifically to central ohio and southeastern iowa because those two areas are just obsessed with minimalistic christmas trees. she’s unsurprisingly working with a smaller budget and as the holiday season nears there’s been a lot of buzz around decorations. she wants to be able to reach her audience daily. which promotional medium is the best solution for her? why? what are some disadvantages?

A
  • newspapers
  • high penetration and flexibility, geographic selectivity, low cost, match ads with editorial content, timely
  • low production quality, short lifespan, low attention-getting, clutter, declining circulation
178
Q

penelope of sassybrands wants to incorporate another medium into her high-end tissue campaign. she still wants to stay in theme of her chick, sleek, attention-grabbing campaign, targeting an upper class and fashionable demographic. she also wants to elaborate on the benefits of the product. which promotjional medium is the best solution for her? why? what are some advantages?

A
  • magazines
  • segmentation and selectivity, high info content and receptivity, high quality reproduction
  • visual only, limited reach, high competition and clutter, declining circulation
179
Q

word of mouth disadvantages

A

facts can be distorted by many people

180
Q

which two metrics are used to assess the effectiveness of direct marketing?

A

cost per order (CPO) and customer lifetime value (CLTV)

181
Q

what are some factors that have contributed to billboard advertising success?

A
  • increase in number of women in workforce
  • vehicles on road
  • innovation through technology
182
Q

what is corporate advertising an extension of? how does it differ from other forms of advertising? what is it designed to do and how?

A
  • the pr function
  • doesn’t promote specific product or service
  • promote the overall firm by: enhancing its image, assuming a position on a social issue/cause, or seek direct involvement in something
183
Q

what are examples of PR tools? (6)

A

press releases, press conferences, exclusives, community involvement, the internet, interviews