Week 3 - Advertising and Public Relations

Question 1

Advertising

Answer 1

Advertising is both a form of persuasive communication and an economic engine for media business.

Question 2

Advertising agency:

Answer 2

the companies hired and paid by advertisers

Question 3

Agency holding companies

Answer 3

These own the biggest advertising agencies, research firms, PR consultancies etc.

Question 4

Business to business vs. Consumer agencies

Answer 4

Business to business agencies: work for companies that are persuading other companies to buy from them.
Example: zip manufacturer advertising to jackets company.

Consumer agencies: persuade people in their network to buy goods.
Example: advert of a chocolate on the TV.

Question 5

General agencies vs. Specialty agencies

Answer 5

General agencies: invite business from all types of advertisers.
Example: internet agency.

Specialty agencies: tackle only certain type of clients.
Example: direct-to consumer (DTC), used most in the pharmaceutical industry.

Question 6

Traditional vs. Direct marketing

Answer 6

Traditional marketing: creation and distribution of persuasive messages, creating favorable feelings about the product.

Direct marketing: purchases now and there; immediate effect; over the telephone, mail, TV commercial channels etc.

Question 7

Agency networks vs. Stand-alone firms

Answer 7

Agency networks:
have branch offices in a number of cities worldwide; often traditional and consumer oriented. Use creative persuasion market research, media planning and buying.

Stand-alone firms:
Typically smaller with one office/branch.

Question 8

Account executive

Answer 8

moves the information between the agency and the client.

Question 9

Creative personnel:

Answer 9

people whose work relates directly to the creation of their firm’s media material, e.g. copywriters, art directors, print production personnel, TV/radio personnel, web producers etc.

Question 10

Market strategy: market segmentation and market research

Answer 10

constructing a detailed portrait of the intended audience and its position in the society – in order to know which customers they are aiming for.

Question 11

Sales pitch

Answer 11

a message that portrays the world of the intended audience, the problem in that world and why their product will solve it. An image of the product that will make the audience feel good and then purchase it.

Question 12

Branding

Answer 12

people will pay more for a well-regarded brand (example: Coca-Cola vs. generic soda).

Question 13

Media planners

Answer 13

Media planners are necessary due to media fragmentation leading to numerous vehicles for ads and difficulty deciding where to place them.

Media planners are provided with research about demographic and psychographic data, then a media plan is made.

Question 14

Media plan:

Answer 14

the list of media outlets in which companies advertise their products.

Question 15

Ad-campaigns

Answer 15

the entire set of advertisements using a particular theme to promote a certain product for a certain period of time.

Question 16

Competitive media reports (CMR):

Answer 16

firm that provides advertisers with info about their competitors.

Question 17

What are 3 ways Ad agency’s research division leads to evaluation of an ad’s success?

Answer 17

direct-marketing: counting the sales

web ad: counting number of clicks on the ad, although many argue that the ad can be
successful without people clicking on it

traditional ads: immediate results are impossible to observe, surveys to see of the
audience recalls the ad, than comparison to other ad memories, comparison of sales before and after the ad

Question 18

What is Native advertising?

Answer 18

ads that mimic editorial content or the form and function of the platform in which they appeal (e.g. articles advertising products appearing as genuine news’ articles on sites like Buzzfeed).

Question 19

Outdoor media in advertising?

Answer 19

billboards, signs, buses, trains etc.

Question 20

What is In-store media in advertising?

Answer 20

print and audiovisual ads that people see when they walk into retail spaces. Example: CBS had a company stamp 35 million eggs with its trade mark “eye” logo

Question 21

What do media planners examine when evaluating media outlets?

Answer 21

Media planners evaluate demographic, psychographic and lifestyle research to decide whether the audience segment they are aiming at can be found at that outlet, comparing cost and efficiency.

Question 22

What is the CPC model (cost per click) in advertising?

Answer 22

one of the first internet advertising models, the advertiser pays the publisher only when the ad is clicked on.

Question 23

What is CPM (cost per thousand) model in advertising?

Answer 23

M stands for mille (meaning 1000, like millennium). the basic measurement of advertising efficiency in all media, counting thousands of views; used by advertisers to evaluate how much space they will buy in a given medium and at what price.

Question 24

Publicity:

Answer 24

the practice of getting companies, people and products mentioned in the news and entertainment media in order to get members of the public interested in them.

Question 25

Public relations:

Answer 25

Public relations: information, activities and policies by which corporations and other organizations seek to create attitudes favorable to themselves and their work and counter adverse attitudes.

Question 26

What 4 ways define the relationship between PR and mass public media:?

Answer 26

1. Trying to counter negative media impressions of the client that were created by others.
2. PR practitioners do not pay for their media time, because they contribute to the news.
3. PR activity typically hides its commercial presence and the sponsor.
4. Advertisers supply the media with money, PR practitioners – with ideas for stories.

Question 27

What 3 types of work do PR practitioners carry out?

Answer 27

Media relations: they contact the media industry, coordinate the interviews and teach executives how to act in front of cameras.

Internal relations: presenting the views of the company to company workers and owners.

External relations: presenting the views to people outside the firm.

Question 28

Describe how public relations tell a story about a client via both hard and soft news?

Answer 28

Soft news: spreading news about research that is being carried out in a university is favorable publicity for the university

Hard news: providing satisfactory responses when reporters want to know what is going on during a company crisis

Question 29

What is a Press release and what makes one good?

Answer 29

the most basic product provided by PR practitioners.

A successful one finds a hook in the client’s tale that the reporter can use

The trick: press release with an angle interesting for the journalist and including different
points of view

Question 30

What basic functions should a good PR company do? (4 things)

Answer 30

Hire practitioners who can field questions from members of the press who come to them for stories.

Reach out to entertainment companies to coordinate the production of audiovisual materials (example: universities can create a YouTube channel providing behind-the- scenes content).

Make digital vehicles that encourage target audiences to interact with the company (example: they may create a Twitter account that answers customers).

Build a strong, open, honest relationship between an organization and its audience.

Question 31

What are 5 especially prominent PR activities?

Answer 31

1) Corporate communications: creation and presentation of a company’s overall image to its employees and to the public at large.
2) Financial communications: helping a client’s interactions with lenders, shareholders and stock market regulators proceed smoothly
3) Health care: helping hospitals, health maintenance organizations, pharmaceutical firms and providers in relation to government regulations, international sales and tension with partnering organizations or angry members of the public.
4) Public affairs: helping companies dependent on government contracts that worry about lawmakers imposing regulations which will have negative effects on the firm.
5) Crisis management: activities that help a company respond to its business partners, the general public or the government in the event of an unforeseen disaster affecting its images and products.

Question 32

What are publicity outlets in PR? what functions do they serve?

Answer 32

Materials are distributed to publicity outlets. They are:

1. open to input from PR practitioners;
2. reach target audiences;
3. appropriate for the ideas, products and services that the firm is trying to push.

Question 33

What are information subsidies?

Answer 33

An information subsidy is the provision of ready-to-use newsworthy information to the news media by various sources interested in gaining access to media time and space. Typical forms of information subsidies include press releases, as well as press seminars and conferences.

PR materials help to lower the costs of reporting by saving time and money. The PR department division provides the media platform with its basic schedule, summarizing key issues for reporters and answering their questions in press briefings. By doing so, journalists can budget their time efficiently and gather basic information about the daily issues that they will later work on and consider critically.

Question 34

What are the dangers of information subsidies?

Answer 34

Journalists can be selective.

You have to have strong relationships with the members of the press to get on the path of media coverage.

Journalists often seek “exclusive” deals – interviews or behind-the scenes sights.

What begins as an attempt to present a favorable image may end bad for the PRs client
(through an investigation report, for example).

Question 35

What are integrated marketing communication (IMC), or marketing communications?

Answer 35

These represent the coordination of PR and advertising:

• blending (integrating) different ways to communicate to an organization’s various audiences and markets
• creating a campaign that sends different yet consistent messages around particular themes to present the client positively

Question 36

What is relationship marketing?

Answer 36

determination by the firm to maintain long-term contact with its customers. Example: regular mailing of brochures which encourage repeat purchases and keep the person connected to the firm.

Question 37

What is paid media in advertising and public relations?

Answer 37

create situations when platforms are paid a fee in order to place PR messages, traditional advertising.

Question 38

What is Owned media in advertising and public relations?

Answer 38

platforms that the practitioners’ clients own in order to present their favorable messages

Question 39

What is Earned media in advertising and public relations?

Answer 39

practitioners persuade platforms to present their clients’ messages without directly charging them because the company’s message is interesting or useful to the platforms, audiences, PR etc.

Question 40

What is Convergence in advertising and public relations?

Answer 40

multiple media are involved and intertwined, e.g. a press release containing text and audiovisual materials that can be used on TV or online.

Marketing communication + PR + advertising = convergence canvas and a wide reach of the company’s targeted audience

Question 41

What is Branding as a marketing strategy?

Answer 41

associating a company or product with media activities in ways that are not obviously intrusive and that the target audience enjoys.

Question 42

What is Event marketing as a marketing strategy?

Answer 42

Creating compelling circumstances that command attention in ways that are relevant to the product. The product is the focus of the activity.

a) Grassroots: companies pay non-professionals to set up parties that promote the items.
Example: moms who like certain children’s products

b) Guerilla events
Example: Red Bull sponsoring a scientific mission

Question 43

What is Event sponsorship as a marketing strategy?

Answer 43

Companies pay money to be associated with particular activities that their target audience enjoys.

Example: sports, concerts, charities

Question 44

What is Product placement as a marketing strategy?

Answer 44

A firm inserting its brand in a positive way into fiction or nonfiction content.

a) Barter: products used in TV shows/movies provided for free by the manufacturer in exchange for publicity.

b) Product integration:
manufacturers pay for placement.

Example: paying TV reality stars to discuss their product, often seen online with social influencers

Question 45

What is Direct marketing?

Answer 45

Direct marketing: uses media vehicles created by the manufacturer to send persuasive messages to the target audience (e.g. dial 800 to buy it now!).

Question 46

What is Database marketing?

Answer 46

Database marketing: uses databases that contain lists of potential customers that can be targeted for future purchases.

Question 47

What is Commercialism?

Answer 47

ideology in which the buying and selling of goods is a highly promoted value.

Defenders state:

• It helps societies achieve a high standard of living.
• People need to feel good about themselves and advertising provides a products to achieve that.

Oppositionists/detractors state:
* It is leading people to purchase unneeded things.
* It has a hidden curriculum – a body of knowledge that people unconsciously absorb when
consuming ads.
* People are defining themselves by products which become essential aspects of life;
society is a huge marketplace.
* Advertising to kids is ethically unacceptable; children influence their parents’ spending.
* Destruction of the environment

Question 48

What are “primary media communities” in advertising?

Answer 48

Target-minded media help the persuasive industry do their job by building “primary media communities”, which exclude people who do not fit their desired profiles “in order to make the community more efficient for the advertisers. Examples: using words like “this is not for everyone” and programs with “attitude” sparking controversy.

Question 49

What is tailoring in media content?

Answer 49

Tailoring: aiming media content and ads at particular individuals, e.g. by highly personalized delivery. Customized media are still expensive, so they are reserved for upscale audience