Test 1 - Ch 1 Flashcards
Year of the first printed ad in English
1477
Examples of very early advertisements dated back to
4000 BC
“Advertise” originally meant
“to announce”
“Advertising” as defined by the AMA today:
“Any paid form of non-personal communication about an organization, product, service, or idea by an identified sponsor.”
Three criteria must be met for a communication to be classified as advertising:
Communication must be : paid for, delivered mass media, attempting to persuade/ brand recognition
Personal communication
converts it into a sales pitch not advertising
Advertisements
Specific messages designed to persuade an audience
Advertising Campaign
series of ads connected with a theme or idea
Integrated Brand Promotion (IBP)
Coordinating promotional tools with advertising to build and maintain brand awareness, identity, and preference
Marketing
the process of planning and executing the conception, pricing, distribution, and promotion of ideas, goods, and services to create exchanges that satisfy the perceived needs, wants, and objectives of individuals and organizations.
Marketing mix
price, place, promotion, product (ad is promotion)
Role of Advertising in Marketing & brand promotion
ad is promotion, brand development, market segmentation/ differentiation/ positioning, profit generation
Brand equity
(value) no one can take away from the brand, created by strong ads (volvo is safety)
Structure of ads industry
Advertisers, Advertising and promotion agencies, External facilitators, Media Organizations, Target Audiences
4 types of advertisers
Trade resellers (Walmart), social org (red cross), Manufacturers and service firms (procter & gamble), Government (army)
Advertising agencies
calls audience attention to a particular product or service
o Full service
Advertising agency service - everything included, made for you
o Creative boutique
Advertising agency service - slogans, jingles
o Interactive
Advertising agency service - internet, touchscreen
o In-house
Advertising agency service - company create own’s advertising (SF)
o Media specialties
Advertising agency service - buy media (planning what shows, which newspaper) buy time and space
o Promotion agencies
Advertising agency service - coupon, sweepstakes, frequent flyer program
o Direct marketing
Advertising agency service - email, snail mail (junk mail) catalogues.
Promotion Agencies
aims to promote or sell products & increase brand recognition
o Direct Marketing/ Database
Promotion agency service - collection of customer data
o E-commerce
Promotion agency service - online store
o Sales Promotion
Promotion agency service - temp campaign to increase interest
o Event Planning
Promotion agency service - booth or activity (SF at balloon festival)
o Design Firms
Promotion agency service - company merch (SF waterbottle)
o Public Relations Firms
Promotion agency service - editorial content (magazines, newpaper, interviews)
Agency Compensation
payment for agency
Comission
15% airtime fees
Markup charges
Production cost + fixed %
Fees system
hourly rates
Pay-for-results
this ad helps sales or views, brand awareness. Tightly specified objectives
External Facilitators
Marketing and Advertising Research Firms. Consultants, Production facilitators, Software firms
Media Organizations
Broadcast (TV/radio), Print, Interactive media (online shopping), support media (yellowpages, sponsorship)
Target Audiences
Household consumers, Businesses, Professionals, Government organizations
