MMaS - Chapter 12: Advertising

engagement

(in advertising) psychological and behavioral measure of ad effectiveness designed to replace CPM

Near the turn of the twentieth century, the _____________ was established to verify magazine circulation claims.

Audit Bureau of Circulations

The first full-service ad agency was begun in 1869 by ___

F. Wayland Ayer

CPM refers to cost per million and is one standard for determining an ad's effectiveness.

False

False advertising and puffery are essentially the same.

False

The listening public was outraged when New York's WEAF-AM Radio Station began airing commercials in 1922.

False

______ refers to sophisticated, interactive web advertising, usually employing sound and video.

Rich Media

Ads touting a "midnight madness sale" or "back-to-school sale" are examples of promotional retail advertising.

True

VALS is a psychographic segmentation strategy that classifies consumers according to values and lifestyles.

True

Advertising copywriter ______ recognized in 1841 that there were merchants who needed to reach consumers other than their local newspaper readership. He contacted several Philadelphia newspapers and agreed to broker the sale of space between them and interested advertisers, thus inventing the advertising agency.

Volney B. Palmer

performance-based advertising

Web advertising where the site is paid only when the consumer takes some specific action

consumer culture

a culture in which personal worth and identity reside not in the people themselves but in the products with which they surround themselves

corrective advertising

a new set of ads required by a regulatory body and produced by the offender that correct the original misleading effort

prosumer

a proactive consumer

value-compensation program

ad agency-brand agreement that payment of the agency's fees is predicted on meeting preestablished goals

consumer juries

ad research technique in which people considered representative of a target market review a number of approaches or variations of a campaign or ad

recognition tests

ad research technique in which people who have seen a given publication are asked whether they remember seeing a given ad

awareness tests

ad research technique that measures the cumulative effect of a campaign in terms of a product's "consumer consciousness"

forced exposure

ad research technique used primarily for television commercials, requiring advertisers to bring consumers to a theater or other facility where they see a television program, complete with the new ads

recall testing

ad research techniques in which consumers are asked to identify which ads are most easily remembered

demographic segmentation

advertisers' appeal to audiences composed of varying personal and social characteristics such as race, gender, and economic level

psychographic segmentation

advertisers' appeal to consumer groups of varying lifestyles, attitudes, values, and behavior patterns

VALS

advertisers' psychographic segmentation strategy that classifies consumers according to values and lifestyles

ambient advertising

advertising content appearing in nontraditional venues; also known as 360 marketing

search marketing

advertising sold next to or in search results produced by users' keyword searches

permission marketing

advertising that the consumer actively accepts

accountability metrics

agreement between ad agency and client on how the effectiveness of a specific ad or campaign will be judged

return on investment (ROI)

an accountability-based measure of advertising success

shopbills

attractive, artful business cards used by early British tradespeople to promote themselves

programmatic buying

automated, data-driven buying of online advertising

neuromarketing research

biometric measures (brain waves, facial expressions, eye-tracking, sweating, and heart rate monitoring) used in advertising research

With the rapid industrialization and improved transportation of the 1880s, more product producers were chasing the growing purchasing power of more consumers. As a result, they were forced to differentiate their products, resulting in the development of

brands

cease-and-desist order

demand made by a regulatory agency that a given illegal practice be stopped

lead generation

directing users who've expressed an interest into a brand's sales pipeline

newsbook

early weekly British publication that carried ads

retainer

in advertising, an agreed-upon amount of money a client pays an ad agency for a specific series of services

commissions

in advertising, method of compensation for the placement of advertising in media, typically 15% of the cost of

cost per thousand (CPM)

in advertising, the cost of reaching 1,000 audience members, computed by the cost of an ad's placement divided by the number of thousands of consumers it reaches

island

in children's television commercials, the product is shown simply, in actual size against a neutral background

frequency capping

limiting the number of times an online user sees the same commercial message in a given period of time

copy testing

measuring the effectiveness of advertising messages by showing them to consumers; used for all forms of advertising

experiential marketing

melding of brands and experiences

banners

online advertising messages akin to billboards

clutter

overabundance of commercial messages

siquis

pinup want ads common in Europe before and in early days of newspapers

parity products

products generally perceived as alike by consumers no matter who makes them

toxic content

racist, misogynistic, threatening, or otherwise hateful online content

boutique agencies

smaller, more personalized and task-specific ad agencies

programmatic ad fraud

technological simulation of online of online activity designed to create billable ad impressions

unique selling proposition (USP)

the aspect of an advertised product that sets it apart from other brands in the same product category

e-commerce

the buying of products and services online

AIDA approach

the idea that to persuade consumers advertising must attract attention, create interest, stimulate desire, and promote action

puffery

the little lie or exaggeration that makes advertising more entertaining than it might otherwise be