Marketing ch 17
Terms in this set (55)
What is advertising?
A paid form of communication delivered from an identifiable source, delivered through a communication channel, and designed to persuade the receiver to take some action now or in the future
WOM is NOT advertising
What are the steps when planning an ad campaign?
1. Identify target audience
2. Set advertising objectives
3. Determine the ad budget
4. Convey the message
5. Evaluate and select media
6. Create ads
7. Assess impact
What is entailed in identifying the target audience? What question is a marketer trying to answer in this step? Why is identifying the target audience important?
Who are we speaking to? Important because this is what the success of an advertising program depends on.
Advertising objectives are based on what? What are the purposes of advertisements and what is entailed in each? How does the product life cycle influence these purposes?
Based on: What are the goals?
Pull: Going after the consumer and they pull it through the supply chain
Push: Starting at the top and then pushing the product through the supply chain
1. Inform- build primary demand
Build demand through category
2. Persuade- build selective demand
Want consumers to want OUR brand
3. Remind- for mature product brands
Cont. advertising to keep brand known
What are the various focuses of advertisements and what is entailed in each?
Product Focused Ads: Toyota advertises Prius
Institutional Ads: Issues that relate to an overall industry
Public Service Ads and Social Mktg
What must firms consider when setting an advertising budget?
1. You need to prove that it is valuable
What is the role advertising plays?
2. Product Life Cycle
3. Nature of the Market
4. Conveying the Message
What is the purpose of the message in advertising? What is the unique selling proposition (USP)? What is the purpose of the USP?
1. Differentiate the product
2. Core benefits
3. Stands the test of time
Ex: Rice Krispies ad, DeBeers ad
What types of appeals do marketers use to portray their products/services? What do they entail? How do marketers assess which type of appeal to use?
How do you go about the argument?
Appeals: Information or Emotional
Publix ad vs Hyundai Assurance Ad
What is entailed in selecting and evaluating media? Which element is generally the largest expense in advertising budget? What is the difference between the mass media and niche media?
1. Mass and Niche Medium
2. Choosing the right Medium
3. Determine the advertising schedule
-Media buying is the most expensive, this is the actual purchase of airtime or print pages
-Mass: Channels that are ideal for reaching large numbers of anonymous audience members
-Niche: Channels that are focused and generally used to reach narrow segments, often with unique demographic characteristics or interests
What is the advertising schedule and what is entailed in each type?
The specification of the timing and duration of advertising:
1. Continuous- run steadily throughout the year
2. Fighting-periods of heavy advertising and periods of low advertising
Ex: Perfumes only advertise during holidays
3. Pulsing-baseline level, certain times of the year you have heavily advertising
Ex: Home Depot and Fathers Day advertising
What is entailed in the process of creating advertisements? The execution style and medium utilized are related in what way in this step? What is important to keep in mind in terms of creativity?
Put message into words, pictures, colors, music
Ex: Volkswagen "Drivers Wanted" Ad, wanted people to actually go to the dealer and buy the car was not as successful as their crash advertisement
What is entailed in assessing an advertisement's impact?
Pretesting -Testing the ad, before actually revealing it to the public
Tracking- What's going on with your brand as the ad campaign is going on
Post-testing- Making sure it is an impact afterwards
Who is the FCC and what is puffery?
Federal Communications Commission (1934):
-Regulate messaging that goes across states or borders
-Any communications that come by TV, radio, cable, telephone
-The legal exaggeration that is allowed in advertising to promote a product
-Ex: "Red bull gives you wings"
"Public relations" refers to what activities? Why has the importance of PR grown?
-"Free" Media attention
-Importance of PR has grown b/c cost of other marketing communications has increased
-Tools: News, Releases, annual reports, brochures, PSA's, press kits, event sponsorship
What are sales promotions? To whom are sales promotions targeted? What tools are utilized for sales promotions and what is entailed in each?
-All about trying to attract the target market
-Excitement building programs
-End user or channel members
Tools: discounts, coupons, POP displays, demonstrations, premiums, contests, sweepstakes, rebates, sampling
What are pop-up stores? What is cross-promoting?
Pop up stores:
-Seasonal, excess inventory, don't always have to sell
-Something that is not there all the time
-Promoting with multiple companies within advertising
-Kids meal...connects with a toy or character
What must retailers consider when evaluating a trade promotion?
1. The realized margin from the promotion
2. The cost of additional inventory carried due to buying more than normal amount
3.The potential increase in sales from promoted merchandise
4. Long term impact on sales of the promotion
5. Additional sales made to customers attracted to the store by promotions
designed to get consumers to pull the product into the supply chain by demanding it
designed to increase demand by motivating sellers-wholesaler, distributors, or salespeople-to highlight the product, rather than the products of competitors and thereby push the product onto consumers
communication used to create and build brand awareness with the ultimate goal of moving the consumer through the buying cycle to a purchase
communication used to motivate consumers to take action
communication used to remind consumers of product or to prompt repurchases
product focused advertising
used to inform, persuade, or remind consumers about a specific product or servive
a type of advertisement that informs, persuades, or reminds consumers about issues related to places, politics, or industry (Got Milk?)
public service advertising
advertising that focuses on public welfare and generally is sponsored by non profit organizations (Indoor Tanning is Out)
the application of marketing principles to a social issue to bring about attitudinal and behavioral change among the general public or a specific population segment
unique selling proposition
a strategy of differentiating a product by communicating its unique attributes (Nike...Just Do It)
used in a promotion to help consumers make a purchasing decision by offering factual information and strong arguments around relevant issues that encourage them to evaluate the brand favorably
aims to satisfy consumers emotional desires rather than utilitarian needs
the process of evaluating and selecting the media mix that will deliver a clear, consistent, compelling message to the intended message
the combination of the media used and the frequency of advertising in each medium
the actual purchase of airtime or print pages
channels that are ideal for reaching large numbers of anonymous audience members
channels that are focused and generally used to reach narrow segments, often with unique demographic characteristics or interests
the specification of the timing and duration of advertising
runs steadily throughout the year
advertising schedule implemented in spurts with heavy periods of advertising and periods of no advertising
combines continuous and flighting schedules by maintaining a base level but increasing intensity of ads during certain periods
assessments performed before an ad campaign
includes monitoring key indicators, such as daily or weekly sales volume while the ad is running to shed light on any problems with the message or medium
the evaluation of the IMC campaigns impact after it has been implemented
additional sales caused by advertising
the legal exaggeration of praise lavished on a product (Redbull gives you wings)
the organizational function that manages the firms communications to achieve a variety of objectives with the media (celebrity wearing certain brand)
cause related marketing
commercial activity in which businesses and charities partner to form a partnership to market an image (chilis and st jude)
special incentives or excitement building programs that encourage the purchase of a product or service
an item offered for free or at a bargain price to reward some type of behavior
a brand sponsored competition that requires some form of skill or effort
a form of sales promotion that offers prizes based on chance of drawing entrants name
trying the product before buying
specifically designed to retain customers by offering premiums or other incentives to customers who make multiple purchases over time
point- of- purchase display
a merchandise display at the point of purchase such as at the checkout counter in a grocery store
a consumer discount in which a portion of the purchase price is returned to the buyer in cash
inclusion of a product in nontraditional situations such as in a movie or TV scene (American idol and coke)
efforts of two or more firms joining together to reach a specific target market (J. Crew and Sperry)