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35 terms

MKT 301 Test #3

11/5/13 Test Date
STUDY
PLAY
Advertising
primary means to communicate with customers
difficult to measure effectiveness
facilitates customers awareness and knowledge by providing information
persuade potential customer that brand is superior
short and long term effects
Goal of Advertising
AIDA: Attention, Interest, Desire, Action
e.g. infomercial
Goal of Advertising
should influence Cognition, Affect (attitudes) and Behavior
Product Life Cycle and Advertising
Intro = awareness and information
Growth = enhance positive attitudes
Maturity = remind customers
Decline = reductions in ad spending
Integrated Marketing Communications (IMC)
concept of designing marketing communications programs that coordinate all promotional activities
Steps to Develop an IMC
Identify the Target Audience
Specify the Promotion Objectives
Set the Budget
Select the Right Promotional Tools
Design the Promotion
Schedule the Promotion
Assess your Success
Dyadic Communication
designing advertising messages
has 3 components
1. source encodes a message
2. the message
3. receiver decodes message
Cognitive Ads
engage consumer's brain
One-Sided Cognitive Ads
express product's benefits
e.g. phone
Two-Sided Cognitive Ads
express pros and cons
e.g. pharmaceuticals
Noncomparative ad
One brand is mentioned and its features, attributes, image, etc. are conveyed
Comparative Ad
Brand and competitive brand are mentioned
Usually not done by market leaders
e.g. Pepsi vs. Coca-Cola
Drama Ad
A problem is depicted and the brand is featured as the solution
Advertising Appeals to...
Sex, Humor and Fear
Humor Ad
May break through clutter & be buzz-worthy
Usually not cost efficient
May remember joke not product
May insult viewer
May "wear out"
Fear Ad
Use negative emotions
For a fear appeal to be effective, the ad must provide a solution to reduce the consumer's fear
Subliminal Ad
placing fleeting or hidden images in commercial content in the hopes that viewers will process them unconsciously
Shown fast enough that viewers cannot point to the ad
Considered unethical and have never been shown to work
Image Ad
Are more abstract; used to convey an image
Great for positioning
Endorsement Ad
have brand spokesperson
Celebrity: positive association for spokesperson transfers to brand
Experts: gives credibility to the product because expert knows more than us
Regular People: gives credibility, they are like us and may not be getting paid
Media Decisions
How much to spend
When to schedule the ads
Which media to use
Percentage of Sales
Percentage is determined by prior years' sales or industry norms
Percentage is then adjusted depending upon this year's goals
Competitive Party
Determine what competitors are spending
Information is tracked by 3rd parties
In various industries, there is proportionality between ad spending and their incomes
Strategic Advertising Goal
Set a strategic goal(s) (awareness, attitude change, etc.) and then work backwards to determine how much should be spent to reach the goal
Advertising is viewed as an investment which will return sales and profits
GRP's
reach times frequency
Reach
The share of your target that has seen your ad at least once
goal is to expose as many of the target customers as possible
Frequency
The average number of times target saw the ad (within set duration)
depends on the goal
Continuous Advertisment
regularity in ad exposure
Occasional Advertisment
pop up from time to time
Seasonal Advertisment
infrequent and focused on the preterm season for the product
Day After Recall tests (DAR)
Ask random samples of households
Recognition Tests
When can't remember any more ads, ask
Mere Exposure
Sheer familiarity from repeated exposure may enhance viewer's favorability
Concept Testing
3-4 focus groups of 8-10 screened participants are shown the ideas of the ad
Ads are usually in preliminary development
Consumers' responses to ad, brand, etc. are evaluated
Copy Testing
Large random samples of consumers view a TV program and ads; after 30 minutes, consumers take survey
Ad evaluation items:
Stimulation, Information, Negative emotion, Transformation,
Identification
Advertising Tested via...
Concept and copy testing
Memory tests (recall and recognition)
Attitudinal tests, and
Behavioral measures