Week 8 - Persuasion 1 (Advertising & Marketing)

Question 1

Define Marketing

Answer 1

The activity and processes for creating, communicating delivering and exchanging offerings that have value for customers, clients, partners and society at large

Question 2

What is the Two-Fold goal of customers?

Answer 2

Attract customers

Keep and grow current customers

Question 3

What are Needs, Wants and Demands?

Answer 3

Needs: States of felt deprivation

Wants: The form human needs take as they are shaped by culture and personality

Demands: Human wants that are backed by buying power

Question 4

2 key processes of the Marketing Process?

Answer 4

Create value for customers and build customer relationships

Capture value from customers in return to create profits and customer equity

Question 5

What are the 4 Marketing Mix?

Answer 5

Product, Price, Distribution & Promotion

Question 6

What are the 8 Product Variables of the Marketing Mix?

Answer 6

Product Variable
Price Variable
Place Variable
Promotion Variable
People Variable 
Physical Evidence Variable
Process Variable 
Partnership Variable

Question 7

Explain Product Variable

Answer 7

Can be a good, service, an idea or combination thereof

Question 8

Explain Price Variable

Answer 8

Relates to the decisions and actions associated with establishing pricing objectives and policies and determining product prices

Question 9

Explain Place Variable

Answer 9

To satisfy customers products must be available at the right time and in convenient locations

Question 10

Explain Promotion Variable

Answer 10

Activities used to inform individuals or groups about the organisation and its products

Question 11

Explain People Variable

Answer 11

Refers to and includes the people involved with preparing, producing and presenting the product

Question 12

Explain Physical Evidence Variable

Answer 12

The elements associated with the product used to demonstrate the product and what it is (eg location, lighting)

Question 13

Explain Process Variable

Answer 13

Involves things such as automation or use of self-service technology

Question 14

Explain Partnership Variable

Answer 14

Establishing, maintaining and nurturing partnerships throughout the supply chain

Question 15

Define Advertising

Answer 15

A paid non-personal communication about an organisation and its products transmitted to a target audience through mass media.

Question 16

What are the 4 major decisions that need to be considered when developing an advertising program?

Answer 16

Objective Decisions
Budget Decisions
Message Decisions/Media Decisions
Advertising Evaluation

Question 17

What is included in Objective Decisions? (2)

Answer 17

Communication objectives

Sales objectives

Question 18

What is included in Budget Decisions? (2)

Answer 18

Affordable approach

Percent of sales

Question 19

What is included in Message Decisions/Media Decisions? (3)

Answer 19

Message strategy and message execution
Impact and engagement
Major media types

Question 20

What is included in Advertising Evaluation? (3)

Answer 20

Communication impact
Sales and profit impact
Return on advertising

Question 21

What are objectives?

Answer 21

A specific communication task to be accomplished with a specific target audience during a specific period of time

Question 22

What are the 3 purposes of Objectives?

Answer 22

Inform: Build primary demand
Persuade: Build selective demand
Remind: Maintain relationship

Question 23

What should objectives be based on?

Answer 23

Past decisions about the target market, position and the marketing mix

Question 24

What are the 2 key factors that are considered when creating a budget?

Answer 24

distribution of buyers

type of product

Question 25

What is the Percent of Sales Approach?

Limitation

Answer 25

Adjusting past sales according to expected increase/decrease

Based on flawed assumption that sales create advertising and not vice versa

Question 26

What is the Objective and Task Approach?

Limitation?

Answer 26

Determining campaign objectives and list tasks that will achieve these objectives
MOST LOGICAL

Difficult to estimate which tasks will achieve the campaign objectives

Question 27

What is the Competition-Matching Approach?

Limitation?

Answer 27

Aim to match the major competitors budgets in absolute dollars or to allocate the same percentage of sales for advertising that competitors do

Misses the opportunity to stand out

Question 28

What is the Arbitrary Approach?

Limitation

Answer 28

A high-level executive in the company states how much to spend on advertising for a certain period.

Often leads to overspending and underspending

Question 29

What 3 things are appealing in advertising?

Answer 29

Meaningful
Believable
Distinctive

Question 30

What are some message execution styles?

Answer 30

Slice of life, life style, fantasy, musical

Question 31

What are the 4 steps in selecting advertising media?

Answer 31

Reach, frequency, impact and engagement
Choosing the media type
Selecting media vehicles
Choosing media timing

Question 32

What are the 3 types of ways to assess effectiveness of advertising?

Answer 32

Before Campaign: pre-test: consumer panel
During Campaign: inquiries
After Campaign: post-test: recognition test, recall test