public relations and sponsorship

Question 1

public relations

Answer 1

organizational activity involved in fostering goodwill between a company and its various publics, eq: employees, suppliers, stockholders, governments, the public, labor groups, citizen action groups

Question 2

public relations activities and functions

Answer 2

• advice and counsel : provide guidance to management on public issues
• publications - newsletter, reports
• publicity - media coverage
• relationships with other publics
• corporate image advertising : positive image through advertising
• public opinion research : help to understand public attitudes
• miscellaneous activities : event sponsorship, community involvement

Question 3

marketing public relations

Answer 3

proactive : CREATE OPPORTUNITES AND BUILD CREDIBILITY
- based on company’s marketing objectives
- offensively oriented and opportunity seeking
- credibility accounts for the effectiveness
- product releases, executive statement releases, and feature articles

reactive: RESPOND TO CRISIS AND PROTECT THE COMPANY’S REPUTATION
- in response to external influences
- repair company reputation, loss of market share, and regain lost sales

Question 4

rumors and urban legends

Answer 4

commercial rumors : widely spread, unverified propositions

conspiracy rumors : involve supposed company policies or practices that are threatening or undesirable to consumers

contamination rumors : deal with undesirable or harmful product or store features

Question 5

best way to handle commercial rumors

Answer 5

rumor control
1. stay alert
2. evaluate its effects
3. launch a media campaign

an anti- rumor campaign should:
1. focus on specific points
2. emphasize that it is untrue
3. pick appropriate media and vehicles
4. credible spokeperson

Question 6

strategies to combat a rumor that won’t go away

Answer 6

1. refutation : directly deny the rumor with logical reasoning with concrete support, ex: FDA confirmation
2. storage : use personal story
3. retrieval : use survey asking participants to share their experiences

Question 7

WOM

Answer 7

informal communication among consumers about products and services; complex and difficult to control

factors affecting WOM’s influence
- interpersonal relationship
- advertising effectiveness
- opinion leaders

Question 8

buzz creation

Answer 8

systematic and organized effort to encourage people to talk favorably about a particular brand and recommend its usage to others who are part of their social network

Question 9

viral marketing

Answer 9

use social networks to increase brand awareness or other marketing objectives through a self-replicating, viral process SPREAD OF VIRUS

• there must be a tipping point, or moment of critical mass when enough people are “infected”

Rules for social epidemics:
- law of the few
- stickiness factor
- power of context

Question 10

igniting explosive self-generating demand

Answer 10

• design the product to be unique or visible
• select and seed the vanguard : choose small group of influential people to introduce a product to the market
• ration supply : limit the availability of the product
• use celebrity icons
• tap the power of lists : top 10
• nurture the grass roots : support from local community

Question 11

sponsorship marketing

Answer 11

investments in events or causes to support corporate objectives (enhance company image) or marketing objectives (increase brand awareness)

event sponsorship : ties a brand to a brand meaningful athletic, entertainment, cultural, social, or other type of high- interest public activity

factors in selecting sponsorship events
- image matchup
- target audience fit
- sponsor misidentification
- clutter
- economic viability

Question 12

custom and ambushing events

Answer 12

• custom events : own events, total control, less costly
• ambushing events : a brand or company intentionally associates itself with an event often a high-profile one without official sponsorship, seeking to gain exposure and benefit from the event’s popularity without paying sponsorship fees. FREE PUBLICITY

Question 13

cause-related marketing

Answer 13

company donates to a specific cause every time a customer takes an action that benefits a company

benefits
- enhances corporate or brand image
- prevent negative publicity
- generates incremental sales
- increase brand awareness
- broadens customer base
- new market segments
- increase sales at retail level

Question 14

industry responses to environmental problems

Answer 14

• green advertising
• packaging responses
• seal-of-approval programs ; energy rating
• cause-oriented programs
• point-of-purchase

Question 15

industry response : manufacturer waste options

Answer 15

1. recycling
2. incineration
3. source reduction
4. landfills