IMC Final

Structure of the Ad Industry

5 major companies hold most of the power, and others exist too in varying sizes.

Advertising Appeals

7 types of appeal that are chosen based on the message strategy, the creative brief, the campaign objective, and the means-end chain to be conveyed.

Non-skippable In-stream Ad

A 15-20s ad that can't be skipped by the user.

Examples of Good and Bad Communications Objectives

A bad example is "we want everyone in town to want one of our banana slicers". This is too broad, gives no time frame, and also people don't know what a banana slicer even is. A good example is "three months after the campaign we will achieve a 20% unaided recall rate in a sample of viewers from the target population (seniors with mobility issues and arthritis)".

Feature Fatigue

A belief that we desire a bunch of features at purchase, when in reality all those features are just getting in the way when we go to use the product (ex - a universal controller has lots of functions and sounds tempting, but most aren't ever used). So the purchase process and usage process have a disconnect.

Cognitive Neuroscience

A brain-imaging process that tracks brain activity with electrical currents. Preference has a measurable reaction in the brain, so successful ads create higher emotional engagement and long term memory coding. Can also show us exactly what people were focusing on when an emotion happened.

Ambush Marketing

A brand attempts to associate itself with a team or event without buying the rights to do so, creating deliberate confusion.

Two dangers of using celebrity spokespeople

A celebrity endorsing too many products creates less likeability and attitude toward the brand, and negative publicity can damage the credibility of the product.

Trend - Changes in channel power

A channel is a producer, who sells to middlemen/wholesalers, who sell to retailers, who offer to consumers. Nowadays power is shifted to consumers due to the internet's search abilities and retailers control shelf space, using collected data to determine how to place brands.

Cognitive Strategy - Preemptive Messages

A claim of superiority based on a product's attributes with the goal of preventing the competition from making the same claim later (ex - Crest is "the cavity fighter", even though all toothpastes fight cavities).

Pink Pony Party succeeded because it had these parts in its strategy

A clear objective, a 5Cs analysis, a strategy (big idea) consistent with the objective/situation/target/brand, execution of communication with an integrated voice, evaluation of success, and a lasting brand impact.

Brand Communities

A community between owners of the brand that leads to a sense of identity and inclusion. Has shared values and experiences that integrate with feelings about the brand. Can't be created by the company, but the company can facilitate it with marketing. Company representatives should be involved with events.

Distractive Ambushing

A company designing a promotion or event near a major sporting event (ex - Mastercard sending catering trucks during the Olympics to give out free coffee)

Standardization

A company features a uniform product and message across all countries. Generates economies of scale in production and uses a universal promotion theme. Easier, but GIMC principles can and should still be used.

Direct Ambush Marketing

A company intentionally designs an ad or marketing campaign to capitalize on a major sporting event, appearing to be a sponsor without being one (ex - AMEX made ads after the olympics that used scenes from it).

Event Marketing

A company supports a specific event (not a person, group, or team). Involves setting up a display or booth at the event. Helps with recognition and creates close ties to customers. Also a morale booster for employees.

Potential Rating Index by Zip Marketing (PRIZM)

A company that identifies market segments (66 of them) in the USA and divides zip codes into them, since neighborhoods have common characteristics.

Scanner-Delivered Coupon

A coupon issued at a cash register, often for a competing brand when the item is scanned.

Testimonial Executions

A customer relates a positive experience with a brand. Most buyers believe what others say about a company more than what the company says about itself. Generates credibility. Great for services. Most believable when it involves actual customers (famous people are known to be getting paid).

Creative Brief

A document that guides the production of an ad campaign or for a specific commercial. A summary of the campaign.

Saturation Ambushing

A firm increases ads and marketing during a major event. Does Not mention the event, but the brand is still seen many times in its same context.

Intercompany tie-ins

A firm partners with another company, like with fast food chains tying in toys and movies.

Indirect Ambush Marketing

A firm suggests or hints at an association with an event. Includes allusion ambushing, distractive ambushing, saturation ambushing, incidental ambushing.

Top Choice

A first or second pick brand from the evoked set.

Stealth Marketing

A form of buzz marketing. Uses surreptitious practices, introducing a product without saying the presenter's sponsorship with the brand. Ex - a model orders a beer and tells everyone how great it is. Used more commonly since it's more likely to be shared, but it's better to be honest.

Cooperative Merchandising Agreements

A formal agreement between retailer and manufacturer to make a 2-way marketing effort (like when the manufacturer says they're a price leader in their ads, and then the retailer emphasizes it with an in-house offer to get their reward).

Need

A gap between a current state and a desired state. May be triggered by marketing communications. The most basic need is to avoid pain and seek pleasure, but most are related to values. Can come from a change in actual state (from a good state to a bad state), or a change in the ideal state (from a good state to a better state).

Buying Center

A group of individuals making a purchase decision on behalf of a business. Contains 5 roles, which may overlap, or have many people in one role.

Family Brands

A group of related products sold under one name (like Campbell's soup and veggie products). Doesn't work very well when new items don't fit under the same umbrella as the brand's core merchandise.

Long Tail

A group of websites that has less visits but many websites (often small businesses). Can be found with Google, and can unlock potential new audiences.

Routine Decision

A high frequency, low risk decision for low priced habitual items. We want to provide less info as marketers in this case to make it easy to process (like by using feelings instead of facts to sell).

Super Bowl Advertising

A massive part of TV advertising. These are teased on social media, and have whole separate marketing plans. Generate immediate buzz and feedback.

Cognitive Strategy - Generic Message

A message about the product's attributes or benefits without any claim of superiority. Works for brands already dominating the industry. Makes the brand synonymous with the product category. Helps stimulate awareness, trying to place the brand in one's cognitive memory and cognitive map.

Homeostasis

A natural craving for balance between a variety of urges in life.

Flanker Brand

A new brand sold in the same category as another product already owned by the brand (P&G own Old Spice, Olay, and Secret all in body wash and soap). Often done to diversify into different price ranges.

Spot Ad

A one-time placement of a commercial in a medium. Rates are negotiated individually based on how many times the ad appears.

Stealth Marketing

A person is paid to talk about the product to consumers, but the consumer doesn't realize they're paid. Creates a negative image about the product if the consumer finds out.

Cognitive Component of Attitude

A person's mental images, understanding, and interpretations of the person, object, or issue at hand.

Positioning Advertising Copy Testing (PACT)

A program created by ad agencies to help evaluate TV ads (but can be used for any type of ad).

Cause-Related Marketing

A program that ties in marketing with charity to generate goodwill. Businesses pay nonprofits in order to have their name or logo in their ad programs. Moves people to brand loyalty. But publicizing the campaign too much makes people think it's just for commercial gain, though, and if the company supports an unrelated cause it's seen as just feeding off of the nonprofit's reputation.

Spaghetti Sauce Example

A psychophysicist was hired to figure out why Prego's sauce wasn't selling. He made 45 varieties of sauces that were slightly different, and had people rate them. Instead of finding one "best" sauce he grouped data points and found groups of people who liked certain attributes best, finding segments of people who want a certain thing they don't have yet. This is horizontal segmentation. Differences in offerings make people happy.

Milkshake Example

A restaurant wanted to sell more milkshakes by researching what people wanted out of the milkshake. First used focus groups, but they didn't give great suggestions. So instead they observed. They found most buyers were people in business clothes, who wanted it as a snack between a short breakfast and a lunch break, since it was filling and easy to eat. So they added customizability to the shakes and made them thicker. They also sold a lot to kids, who are bought shakes by parents to keep the kid quiet and healthy, so they made it thinner and sweeter.

Market Segment

A set of businesses or a group of consumers with distinct characteristics.

Brand Equity

A set of characteristics unique to a brand that helps fight the brand parity problem. The difference in value between a no name product of the same exact make, and the same model with a brand name attached. Helps open the doors to foreign firms, brokers, and retailers.

Buying Teams

A team of buyers seeking vendors for their business. Usually are in the buying mode.

Price-Offs

A temporary reduction in price. Stimulates sales, reduces perceived purchase risk, encourages brand switching, and encourages stockpiling.

Employer Branding

A type of buzz marketing. When companies showcase employees talking about what it's like to work for that company. Used for both recruitment and advertising to customers to show pride in the company.

Comfort Marketing

A type of resonance marketing where consumers are reassured that a product stands the test of time, meant for value-driven consumers. Can bring back vintage jingles, characters, themes, etc.

Brand Ambassadors

A type of sponsored consumer in buzz marketing. They like the brand and get rewards in exchange for advocacy. Might even host parties centered around the brand.

Cultural Assimilator

A valuable member of a marketing team in international projects, helping people understand the nuances of purchasing in foreign countries. Helps companies overcome cultural differences. This is also aided by having a strong brand and a global presence.

Skippable In-stream Ads

A video ad that plays before, during, or after the main video that's skippable after a few seconds.

Buzz Marketing

AKA Word of Mouth Marketing. Emphasizes enthusiast customers passing along product information when they like a brand and tell others, are sponsored by a brand to tell others, or when company and agency employees are talking about the brand. Credible.

Demand Side Platforms (DSPs) and Supply Side Platforms (SSPs)

Act as brokers to connect buyers and sellers. DSPs help buyers manage ad inventory and SSPs help publishers get the best prices for their ad space.

Roles of Advertising Personnel - Production

Actually create advertisements (directors, photographers, etc.)

Parameters for an Effective Campaign

Ad goals derived from the firm's overall communication objectives Media appropriate for the target market's profile A tagline Consistency across visuals Stable positioning A clear campaign duration

2 Factors causing the Rise of Inbound Marketing

Ads are being ignored Consumers search more

Affective > Conative > Cognitive

Ads cause emotions, then a purchase is made immediately, then they cognitively understand the product after.

People tend to make these complaints about ads

Ads cause people to buy more than they can afford Emphasis on materialism Increases costs of goods and services Perpetuates stereotypes of certain groups Makes unsafe products look attractive Ads are often offensive Ads toward children are unethical.

Position-Based Attribution

Ads get attribution based on their position in the path (first and last get more weight). But this is ad hoc.

Media Options - Magazines Disadvantages

Ads require a lot of lead time Expensive to prepare On the decline (especially for lower income groups, so we can't advertise basic necessities) Little flexibility Clutter.

Flighting (Discontinuous) Campaign Schedule

Ads run only at certain times of the year, differing from the first 2 approaches. Used for things with seasonality (ski resorts, lawn mowing services).

Purpose Marketing/Pro-Social Marketing

Advertising focusing on values, behaviors, and beliefs of the company (ex - Patagonia talks about their social initiatives to remove dams).

3 methods for evaluating ad campaign messages

Advertising tracking research Copytesting Emotional reaction tests

3 Components of Attitude

Affective, cognitive, and cognitive.

Selection Criteria for Ad Agencies

Agency size (large enough that it's important, small enough that it isn't the worst if something goes wrong) Relevant experience with the industry (and no competing interests) Creative reputation Production and media-purchasing capabilities Other services available Client retention rates Personal chemistry

Ad Networks

Aggregates the supply of ad space from many publishers and presents it to the advertiser. Help buy and sell ad space and have algorithms to help their clients optimally place ads on various websites.

Linear Attribution

All ads or clicks get a uniform weight. Overweights ads that appear frequently and is ad hoc allocation.

Sales Promotions

All incentives offered to customers to encourage purchase.

Communications Budgets - What We Can Afford

Allocates marketing budgets after all other budgets, usually done when management doesn't recognize the benefits of marketing communications. Done by small new companies.

Communications Budgets - Percentage of Sales

Allocations are derived from last year's sales or this year's anticipated sales. It's simple but tends to change in the opposite direction of what might be needed (when sales go up the communication budget goes up, when it might not need to). Plus you might not be able to allocate to special needs or when competitive pressures rise.

Cognitive Strategy - Comparative Advertisement

Allows an advertiser to directly or indirectly compare a product to the competition, possibly using a pseudonym like "Brand X". Increases both brand awareness and message awareness, but some people think it's less believable.

Substantiation

An advertising claim must be proven with data, facts, or other reliable evidence, otherwise it may result in legal action. Doesn't apply to puffery. Marketing claims must reflect the typical experience a customer expects to encounter. Statements must be based on actual tests by professionals.

Correlation

An association between two things, either positive or negative.

Cognitive Dissonance

An attempt to bring actions in line with beliefs, by changing our beliefs to align with our choices. We do this by bolstering.

Cognitive Strategy - Unique Selling Proposition

An explicitly testable claim of uniqueness or superiority that can be supported in some manner.

Whistleblower

An individual willing to go public with charges about an organization doing something illegal or unethical. Risky.

Brand Associations

An intangible set of associations in the mind of the consumer. Might be experiential (associated with the product or service) or symbolic (regarding benefits associated with the product). Developed over time with IMC practices and are most impactful when they link brand qualities to personal values.

Unique Selling Proposition

An offering or message that customer value, that is different from competition and that is difficult to copy.

Allusion Ambushing

An organization creates an impression that isn't a sponsor (like Nike running ads centered on the number 8, which is good luck in China where the Olympics are).

Corporate Social Responsibility

An organization's obligation to be ethical, accountable, and reactive to the needs of society. People want transparency, and driving social change.

Cognitive Strategy - Hyperbole

An untestable claim based on an attribute, like "best" or "greatest".

Sociological Analysis

Analyzes social class issues, trends, family life cycle changes, etc.

Media Strategy

Analyzing and choosing media for an advertising campaign. What station, what magazine, etc. People only use a few media pieces each and are very particular about it, so it's an important choice.

3 Approaches to Consumer Oriented Research

Anthropological approach Sociological analysis Psychological approach

Contact Point

Any place where consumers interact with or acquire info about a firm. We want to engage customers at every contact point.

Noise

Anything distorting or disrupting a message, which can occur at any state in the communication process. May include ignoring irrelevant tweets on Twitter, talking on the phone during an ad, ignoring a message and looking just at visuals, maybe there's too many ads that are like it so it goes unnoticed, etc. We want the message to cut through the noise and clutter.

Geo-Targeting Segmentation

Appealing to people in certain areas. Easier with GPS devices in smartphones. Uses messages tailored to the consumers, the region, and specific events (like ads for shovels after a snowstorm).

Interstitial Ad

Appear as full web pages before the user is directed to their goal website. Intrusive, but gain attention.

Banner Ads

Appear at the top of a webpage. The traditional display ad.

Trade Regulation Ruling

Applies to a whole industry. The FTC holds a hearing and makes a ruling that applies to every firm within the industry.

Develop Marketing Strategies

Apply positioning, differentiation, and branding strategies in a way that touches on all points in the marketing mix and applies to the objectives and target market.

360 Degree Ads

Are designed for mobile phones and provide a 360 degree view as the phone is moved around.

Response Samples

Are made available through TV, internet, social media, or other medium offers, requiring the person to request the sample.

5Cs - Collaborators

Are there potential partners that can help us achieve our goals? (ex - sponsors can help develop awareness, or people can work to develop collectively useful infrastructure.

Laddering

Asking people "why" they enjoy certain attributes of an item to reach an end value (a shoe has adaptive cushioning, which makes them run faster, which is important because they want to be fit, which is linked to their desire for health, which is the end value). Helps us market our products as facilitating consequences that lead us to values.

Self-Report Data

Asking people to report on their own behaviors. Easy to collect, and helps people understand motivations (why that brand? Flavor?) if we just ask. But people suck at self reporting (bad memory, not knowing their own motivations, reluctance to share info).

Quality Score

Assessed by the search engine so that they don't put up bad ads and alienate customers. Based on 3 factors.

Equity Assessment - Consumer Value

Assessed value based on input from consumers about things like familiarity, quality, purchase considerations, customer satisfaction, and willingness to seek out the brand.

Copytesting

Assessing a finished or nearly finished marketing piece to allow for responses to the message as well as format. Makes it easy to compare against other ads, and mimics how consumers see many ads at the same time in the wild. Uses portfolio tests and theater tests. Shows why an ad didn't work well, and how to fix it.

Entitlings

Attempts to claim responsibility for positive outcomes at events (ex - a firm associating with an athlete who wins the olympics).

Enhancements

Attempts to increase the impact of a desirable outcome of an event in the eyes of the public, making something small a bigger deal (ex - a local company emphasizes how being American helps the economy).

Credibility

Attractiveness Similarity Likeability Trustworthiness Expertise

Approaches to Product Positioning

Attributes, competitors, use/application, price-quality relationship, product user, product class, and cultural symbol.

Ad Exchanges

Auction-based. Content providers bid on supply side platforms, and advertisers make inputs to demand side platforms. Remnant can be sold directly. Bids are calculated and matched in real time.

Expandable Banner Ads

Automatically expand to a large portion of the user screen.

Transmission Devices

Avenues by which messages travel to audiences, including TV stations, newspapers, Facebook pages, etc. Persuasive devices have good alignment between recipient and the message, given the target market's behavior (like TV, magazines, etc.).

Types of Display Ads

Banner ads, interstitial ads, expandable banner ads, overlays, rich media, and 360 degree ads.

Animation Executions

Based on animated films and their success. Previously seen as negative since it was for children, not business people, but now it's even used in B2B.

Golden Triangle

Based on eye tracking data, the top left side of a webpage gets the most attention, and is thus the most expensive for viewers.

B2B Segmentation - Product Usage

Based on how companies use the product or service, like if a company requires protection services, we can advertise our services to them for multiple situations.

Common Law

Based on local customs, traditions, and precedents. Used as the basis for law in western countries.

Emotional Reaction Tests

Based on the concept that people remember emotional messages. Asks about someone's feelings after seeing an ad. Can also involve biometric research, warmth monitors, and cognitive neuroscience.

Emotional Appeals

Based on the idea that consumers ignore ads and rational appeals unless someone's in the market. Capture attention, creates emotional attachment. Good for brand loyalty. Best done with TV.

When does selecting a brand evaluation procedure happen?

Before the ad campaign starts. This allows us to integrate it in with coupons and promotions (assigning codes and numbers to tell us where the source is).

Auditing Corporate Social Responsibility

Being responsible causes the company to be more likely to survive, stay out of court, and avoid negative word of mouth. Includes purpose marketing/pro-social marketing.

Religions

Belief systems that tend to emphasize being good to others.

Generic Keywords

Bidding on generic words that aren't directly related to the company name (like if Hilton buys "bangkok hotels"). Raises awareness about the brand as an option.

Bolstering

Boosting up the choice we have already made, and trying to trash other choices we didn't choose to help us feel better about our decision. A part of cognitive dissonance.

What does advertising tracking research measure?

Brand and ad recognition Aided and unaided awareness Memorability Likeability Etc.

What is brand equity a result of?

Brand awareness Brand associations Brand loyalty Perceived quality/value.

Ethical Issues with Marketing

Brand infringement Professional services marketing for things like lawyers and doctors (may encourage misuse of products or use of untested products) Gifts and bribery in B2B Spam and cookies (invasive, intrusive, should it be sold?)

Advergames

Branded video games that can be played for free on gaming portals.

Inert Set

Brands a consumer is unaware of, but doesn't have any particular feelings about.

Evoked Set

Brands an individual considers in a purchasing situation. May be reviewed in the information search step, but mostly is part of evaluation of alternatives. Being part of the evoked set is the goal since in most decisions these are the only brands offered. This is done by repetition, and tying the name to the product's benefits.

Top of Mind Brands

Brands that are almost always mentioned when identifying brands in a product category.

What does copytesting measure?

Breakthrough ability, brand message/image, brand memory, enjoyment, engagement, potential responses of the consumer, and persuasive power of the ad.

75-15-10 Budget Allocation

Budget allocation is 75% to purchase media time or space, 15% for creative work, and 10% for actual production of ads. Smaller accounts may be 50-30-20.

Examples of Ad Goals

Building brand awareness, providing information, persuasion about a brand's superiority, supporting marketing efforts (like theme packaging, sales, or combination offers like McDonald's Monopoly), and encouraging action.

Promotion-prome

Buy whatever's on sale, and use promotions regularly to do so. Have little brand loyalty, though, so shouldn't be use for any promotions not related to sales/market share/traffic.

Solution Seekers

Buyers seeking solutions to specific problems and are in the buying mode.

Reinforcement Seekers

Buyers who want reassurance that they made the right decision in past purchase.

Education seekers

Buyers who want to browse, look, and learn ,but are not in the buying mode.

Head Loyalty

Buying based on reasoned evaluations, where we need solid information and rational arguments. The multi attribute model might play a role. Marketers want to provide info.

Heart Loyalty

Buying based on strong emotional connection to a brand, like "I'm a Mac person". Most difficult to achieve, built over repeated positive experiences. Marketers try to reinforce emotional connections.

Branded Keywords

Buying names relevant to the organization name, so no one else can siphon away their participants. Improves organic performance.

5 Forms of Alternative Marketing

Buzz marketing, guerilla marketing, lifestyle marketing, experiential marketing, and product placement and branded entertainment.

How is brand equity assessed?

By financial value, stock market value, revenue premium, and consumer value.

Calculating Cost per Thousand

CPM = (Rate / circulation) x 1,000

Calculating Cost per Rating Point

CPRP = Cost of media buy / vehicle's rating.

Calculating Cost per Rating Point

CPRP = rate / vehicle's rating.

C3 Ratings

Calculator the rating for an actual commercial time slot, not a TV program. People argue that not all ads get equal exposure, though, and ones in the middle of a set are ignored more. Can be done to rate each commercial, too.

2 Objectives of Display Ads

Can be designed like search ads for immediate actions, or can be like TV or print ads to increase brand awareness.

Social Media Planning - How will we measure success?

Can be done with volume (impressions, subscribers), engagements (likes, CTR, comments), conversion (purchase frequency, conversion rate).

Typical Persons

Can be either paid actors meant to resemble everyday people, or actual everyday people. More common nowadays. Build credibility by having multiple spokespeople.

2 Ways of Buying Display Ads

Can be sold as a cost per thousand impressions (with or without clicks, common for companies trying to build awareness or image; and pricing based on clicks if the company wants to maximize clicks and conversion rates.

Personalization of Websites

Can improve CTR, incorporating personal data, and automating it to change the website. But this has privacy concerns if info gets compromised, and may cause skepticism due to lack of transparency, many privacy policy updates, and profiting from info sales.

Criticisms with Sex Appeals

Can make people feel dissatisfied with their own bodies, and objectifies women.

Differences in B2B Segmentation

Can segment by industry, size, geographic location, product usage, and customer value.

Media Options - Newspapers Disadvantages

Can't be easily targeted to specific market segments (newspapers cover so many types of info) Poor buying procedures Poor quality reproduction Internet competition Short lives User base is aging out.

Conceptual Names

Capture the essence of what a company offers (Krispy Kreme).

Rate Cards

Cards distributed by publishers for each of their vehicles to give options.

Values and Lifestyles Typology (VALS)

Categorizes people into 8 groups based on resources and how action-oriented they are.

Preference

Changing or maintaining relative attitudes in comparison to another brand (ex - becoming #1 in industry quality)

Trends in the Consumer Buying Environment

Children grow up faster, gender complexity, busy lifestyles, diverse lifestyles, communication, experience pursuits, and health emphasis.

3 Steps for Doing Experiential Marketing

Choose a market segment to target Identify the right time and place to involve consumers with the brand (fitting their lives) Make sure the experience clearly reveals the brand's promise and represents it well to consumers

Steps in Advertising Campaign Management

Choose an ad theory or approach as a guide Develop guidelines to help everyone draw the line between ads and success Choose to either do ads in-house or through an agency Create parameters for the ad Prepare a creative brief to direct the actual design of the ad campaign

Benefits of Usage Segmentation

Classifies based on various levels of users Reduces large amounts of data down to a few cluster Assigns cluster numbers to customers in the database based on characteristics and purchases Measures the growth and migration of customers over time to evaluate market programs with Helps us develop marketing tailored to each cluster

Traits of effective POP displays

Clearly communicates info about the product's attributes Encourages customers to examine the product by picking it up Makes a succinct offer the customer immediately understands Gets attention Can be adapted by retailers Reusable Easy to assemble Easy to stock Integrates with other marketing messages

Media Options - TV Disadvantages

Cluttered ads (causing people to switch channels) Low recall DVR to skip commercials Short amount of copy Expensive.

Data Management Platforms

Collect, interpret, and sell customer browsing info that helps advertisers target their ads.

Internet Interventions

Combating negative word of mouth on the internet. This means carefully monitoring social media dn blogs and responding to things as soon as they come up.

Geodemographic Segmentation

Combines demographic, psychographic, and geographic info. Usually identifies consumers via mail.

Experiential Marketing

Combines direct marketing, personal selling, and sales promotions. Usually involves free samples and special events, with the goal of having them get hands on experience with the brand.

Overlays

Combining two or more consumer promotions into one campaign (like tying together sampling and coupons).

Pieces of a Creative Brief

Communication objective Target audience Message theme presenting selling points and ideas Support Constraints

Flighting Communication Schedule

Communications are only presented during peak times and not much at other times of the year (like Christmas).

Reactive Approaches

Companies react to unforeseen events.

Organizational Influences on the Buying Center

Company goals Operating environment Finances Market position Country of origin Etc.

Expressions of Innocence

Company leaders convince others that the company wasn't associated with the basis of the event. Includes expressions of innocence, excuses, justifications, and other explanations.

Trend - Emphasis on measurable results

Company leaders want tangible outcomes and observable results. People are less willing to funnel money into ads that won't achieve what they want. It is suggested, though, that we stop viewing ads as an expense and start seeing them as investments.

How does one identify their desired brand image?

Compare the current image with competitors, see how people outside the company see the brand, identify the image and it's strengths and weaknesses, and then work to correct misconceptions.

Positioning - Competitors

Compares our product to a competitor's (Chevy comparing itself to Toyota).

Equity Assessment - Revenue Premium

Compares the branded product to the same product without a brand name.

Survivors

Concerned with safety and security, focused on meeting needs instead of fulfilling desires. Brand loyal, buying discounted stuff.

The Benefits of a Brand Image for Consumers

Confidence that it will be the same everywhere Assurance about a purchase decision that a consumer lacks experience with Reduces search time Provides psychological reinforcement/social acceptance of a purchase

Music Appeals

Connect with emotions, memories, and experiences. Tends to be intrusive, but memorable (jingles). Gains considerable attention and increases persuasiveness.

Affective Strategy - Resonance

Connecting a brand to consumer experiences like nostalgia, vintage, authenticity, and tradition (ex - Subaru tapping into the nostalgia of buying a first car).

Believers

Conservative, conventional consumers who focus on tradition, family, religion, community. Prefer established brands and American made products.

Warmth Monitor

Consumers are asked to move a joystick or mouse in one direction to indicate warm feelings about an ad, and another for cooler feelings. Can be done over the internet.

Affect Referral

Consumers choose brands they like best, or have emotional connections to. This saves mental energy and speeds up decisions, helps with repurchase, and makes emotional bonds with brands useful by stopping consideration of alternatives (generating loyalty and brand equity).

Continuous Campaign Communications Schedule

Consumers purchase durable goods on an as needed basis, so this pattern uses level amounts of ads to keep the brand repetitively in front of consumers.

Trend - Increases in global competition

Consumers want high quality and low prices, and delivery from across the globe makes it competitive.

Greenback Greens

Consumers who buy green products but aren't politically active.

Focus Group

Consumers who talk about a certain topic in front of a panel that tracks consumer comments and ideas.

Implied Names

Contain recognizable words or word parts that convey what a company does (Home Depot).

Affective Component of Attitude

Contains feelings or emotions a person has about the object, topic, or idea. Can be affected by the product, its name, etc.

Social Publishing

Content creation and sharing. Blocks, Flickr, YouTube, Tumblr.

Trustworthiness of Reviews

Content is more trusted when it comes from someone you know, so companies can often offer customers a forum for discussing and reviewing purchases.

Owned Media

Content shared by the company's property (such as through their own website).

Ways to Increase Display Ad Effectiveness

Contextual ads matching site topic Highly visible ads Retargeting ads for consumers who previously visited the company's site Morphing display ads based on the consumer's inferred cognitive style

Pulsating Communication Schedule

Continuous ads and communications during the year with high intensity at specific times. Low level ads are just used to drum up business at times when the thing isn't normally bought.

USPS

Controls mailed marketing materials and investigates mail fraud.

Alcohol Tobacco, Firearms and Explosives Division (ATF)

Controls when sale, distribution, and advertising of alcohol and tobacco are at issue.

Conversion Metrics

Conversions on social media might not necessarily result in sales, but gives us info on people who looked for more information on a site (and tells us our ability to lead individuals to desired action).

Authoritative Executions

Convince a viewer of a brand's superiority by using an expert authority, scientific evidence, or survey evidence. Seen as highly credible. Works best in print ads. Relies on cognitive processes.

Types of Trade Incentives

Cooperative merchandising agreements Premiums and bonus packs Cooperative advertising.

Strategic Marketing Plan

Coordinates the marketing mix to achieve harmony in the messages sent. Pulls all company activities together into one consistent effort.

Intangible Components of a Brand Image

Corporate personnel's behavior Environmental policies Corporate culture Media reports Country location.

Ad ranks are based on 2 factors

Cost per click bid amount Quality score of the ad.

Respondent Behavior Evaluations

Counts visible customer actions, like store visits, inquiries, and purchases.

Bounce-Back Coupons

Coupons found inside packages to encourage repeat purchase.

Types of Consumer Promotions

Coupons, premiums, contests/sweepstakes, refunds/rebates, samples, bonus packs, and price-offs.

Positioning - Use or Application

Creates a memorable set of uses (Arm & Hammer baking soda and its many uses).

Likeability

Creates a positive response in consumers.

Expertise

Creates believability. Valuable in persuasive arguments.

Liking

Creating or maintaining a positive attitude, building confidence in the brand or company (ex - wanting 35% of people to rate the brand as high quality).

Adaptation

Creating products and marketing messages designed for and adapted to individual countries.

Source characteristics related to spokespeople in an ad campaign

Credibility, attractiveness, similarity, likeability, trustworthiness, expertise.

What are the steps of making a strategic marketing plan?

Current situation analysis SWOT analysis/5Cs analysis Defining marketing objectives Target market Develop marketing strategies Use marketing tactics Implementation Evaluation of performance

Two elements of positioning that are particularly important

Customer evaluations of the brand, and the brand's standing relative to the competition.

Fear Appeals

Customer risk depends on severity of events that could happen, and current vulnerability of experiencing the consequences. Need a moderate level of fear.

5Cs Analysis

Customers, company, collaborators, competitors, and climate.

Data Selling

Data is collected by brokers and is sold to clearinghouses to create profiles on you as a consumer. Works with social media, credit card purchases, facebook, online search, your driver's license, public information, etc. Has ethical and social issues.

Steps for Creating Search Ads

Decide relevant keywords and how much to bid on them, design the ads that would appear in search results, launch the campaign, and prepare landing pages.

Heuristics

Decision rules designed to reduce the options to a manageable set. In a buying center, these are driven by company goals, rules, budgets, etc.

Why are ads hard to evaluate?

Delayed impact Consumers might change their minds after arriving at a store (ex - it's out of stock, or something else is on sale) Brand might not be part of the evoked set until the ad is seen, so it isn't considered until the future or if the consumer becomes dissatisfied with the current option

Samples

Delivery of a product to consumers for use. Very good for helping sales since people want to reciprocate.

Derived demand

Demand based on the production and sale of their goods or service, like when steel is demanded more because the cars are being sold a ton. Usually related to straight rebuys.

Attractiveness

Depends on physical and personality characteristics. Works better than unattractive spokespeople, and personality builds bonds with the audience.

Marketing Communications Objectives

Derived from the company's overall marketing objectives. Might emphasize developing brand awareness, encouraging repeat purchase, or multiple goals at once. These help achieve marketing objectives.

Evaluate Performance

Determine how you will figure out if you were successful or not.

Steps in doing an event or sponsorship

Determine objectives Match the audience to the company's target market Promote the sponsorship or event Advertise at the event Track results.

Social Media Planning - Where will we say it?

Determine the platform. Each one helps us in different ways. Includes social community, social publishing, social entertainment, and social commerce.

Equity Assessment - Stock Market Value

Determines the value through stock valuation.

Roles of Advertising Personnel - Creatives

Develop and design advertisements. Have long hours and lots of pressure. May also be freelance instead of working for the agency.

Tie-Ins

Developing a consumer promotion with another product or company.

Demographics - Gender

Different genders use different things, need them for different reasons, or want similar products for different features.

Split Run / A-B Tests

Different versions of the ad run in different vehicles/markets.

Rotoscoping

Digitally painting or sketching figures onto live sequences. Can have live actors and animated ones in the same frame. Very expensive.

Image-Destroying Activities

Discrimination, harassment, pollution, misleading, deception, and offensive communications.

Ad Exchanges

Display the placement and pricing of advertisements based on real time supply and demand. This is known as programmatic buying. This bidding is automatic and happens in the fraction of a second.

Theater Test

Displays a set of ads, including the ones being tested (testers don't know which one).

Portfolio Test

Displays an array of print ads containing the one being evaluated (testers don't know which one).

Demonstration Execution

Displays how a product works, communicating benefits well. Also shows how to use the product. Often done with TV or videos.

Concrete Visuals

Displays something recognizable as a person, place, or thing. Leads to favorable attitudes and are more easily remembered.

Positioning - Product User

Distinguishes a brand based on who might like it (GoDaddy reaches out to small businesses).

Selective Samples

Distributed at sites like fairs, parades, hospitals, restaurants, etc.

Two things new entrants in a product category have to deal with

Distribution and advertising. Usually distribution is hard since massive companies already control self space, and large TV ads are prohibitively expensive, so small businesses turn to digital advertising instead.

Justice

Distributive justice says everyone gets the same outcomes in the end. Procedural justice says different outcomes are alright as long as everyone has the same opportunities.

Second Chancers

Divorcees between 40 and 59 who are more happy with lives and spend less time pleasing others. Focus more on having enriching lives for themselves.

Do's and Don'ts for Agencies Giving Pitches

Do - Listen Let the client talk Prepare Make a good first impression Believe in what you're presenting Don't - Try to solve the whole problem in the pitch Assume all clients are the same Be critical of the product Overpromise Spend a lot of time on credentials and references

Individualism

Do what's best for individual actors - every person maintains their own self interest and autonomy as long as they don't harm others

4 Criteria for if a Sex Appeal Objectifies Women

Does the woman have a choice or voice in the situation? Is she reduced to just a provocative body part? Is the image manipulated so it's not physically possible to look that way? And would you be comfortable seeing someone you know in the image?

Downsides to Copy Testing

Doesn't favor conative and affective approaches (favors cognitive strongly) Stifles creativity to help produce ads that stand out Consumers don't know what makes an effective ad, so why ask?

Downsides to Advertising Tracking Research

Doesn't provide diagnostics, showing the reasons why ads fail.

Sweepstakes

Don't require action by the consumer, and people can enter multiple times. Chances of winning must be stated clearly.

Vendor Audit

Done by an audit team that evaluates the supplier's ability to meet demand, provide quality products, and deliver on time.

Inbound Marketing

Draws in the consumer and positions the company as a target for consumers to search for.

Social Media Use - Leveraging to Amplify a Message

Echoing company goals with posts, pushing towards communication goals.

Thinkers

Educated, conservative practical consumers who like knowledge and responsibility. Like durability, functionality, and value.

Types of Trade Show Buyers

Education seekers, reinforcement seekers, solution seekers, buying teams, power buyers.

New trends in marketing communications

Emphasis on measurable results of advertising, integration of digital media, integration of multiple device platforms, changes in channel power shifting to consumers and retailers, globalized competition, more brand parity, and emphasis on customer engagement.

Impacts of Mobile Technology on Communication

Emphasizes visually rich content since there's less inclination to read for long periods Provides location information Can easily compare prices and reviews More time is spent on apps than browsers Phone ads are seen as intrusions into something personal

Internal Stakeholders

Employees. Should be communicated with using a combination of PR and HR. Employee behavior should reflect the IMC message, so we want them to be aware of company activities and goals.

Image-Building Activities

Empowerment of employees, charitable contributions, sponsoring local events, selling environmentally safe products, outplacement programs, supporting community events.

Terminal Values

End states we want to achieve like freedom, social recognition, respect, etc.

Objectives of Sponsorships

Enhancing company image Increasing a firm's visibility Differentiating a company from competitors Showcasing goods and services Helping a firm develop closer relationships with current and prospective customers Selling excess inventory.

B2B Segmentation - Geographic Location

Especially important for hotspots like Silicon Valley.

Defining Market Objectives

Establish targets like higher sales, increased market share, etc. as well as how you're going to measure it.

Equity Assessment - Financial Value

Estimates the cash flow of a brand based on its characteristics, calculated to get a net present value.

Tools used by companies to help face ethical challenges

Ethics training, codes of ethics, and ethics consulting systems for use with special dilemmas.

Constraints

Every legal and mandatory restriction, providing protection for trademarks, logos, and registrations. And specify disclaimers that have to be in the ad.

Rights

Every person has an inalienable set of rights to be respected and protected

Message Evaluation Techniques

Examine the message and design of the ad, coupon, or direct marketing piece. INcluding studying actors in ads, people who speak on the radio, etc. Looks at recall, recognition, emotions, attitudes, and behaviors as responses in the audience.

Advertising Tracking Research

Examines ads post-launch to monitor performance. Can compare to competition and over time. Help determine when an ad is being worn out.

Usage Segmentation

Examines groups based on usage or purchases like the brand's best or heaviest users, and their casual users, and nonusers. Tries to give the best customers the highest level of service while trying to promote the company to lighter users in a way that moves them up a usage group.

Current Situation Analysis

Examining the firms' ongoing market situation, and asking "why" and "so what"? (ex - Apple learned consumers don't use laptops to check email since it's too slow, and smartphones are too small, so they made the iPad).

Trade Promotions

Exist within the distribution channel. Incentives used by manufacturers and other members of the channel to purchase goods for eventual resale

Problems with Pretesting

Expensive May have misleading results since it doesn't mimic wild situations Creatives don't like it since we don't give their ideas a chance before fiddling with it.

Means-End Conceptualization of Components for Advertising Strategy (MECCAS) Model

Explains ways to move consumers from the product attributes to personal values by highlighting the product's benefits (ex - milk has calcium, which is connected to healthy bones, which makes people feel wise for drinking it.

Excuses

Explanations to convince the public that the firm wasn't responsible for the predicament or that it couldn't have been foreseen, so they shouldn't be held responsible.

Apologies should contain...

Expression of regret/embarrassment/guilt Statement saying it was inappropriate/taking responsibility Rejection of the inappropriate behavior Commitment that it won't happen again An offer of restitutive action (compensation, penance).

The Benefits of a Brand Image for a Company

Extension of positive customer feelings to new products Ability to charge more Customer loyalty and frequent purchases Positive word of mouth Higher channel power Ability to attract quality employees Efficient allocation of marketing budgets Competitive advantage Favorable ratings by analysts

Support

Facts that substantiate the message theme.

Greenwashing

Faking being green when they actually aren't. Damages a reputation.

5Cs - Climate

Figuring out if the market is ready for the offering. Need to know about knowledge about the product, infrastructure supporting it, synchronicity (does it need a bunch of users to work?), perceived need of the product, and attitudes at the time (and how pliable they are).

Target Market

Find out who the marketing is going to be aimed at.

First Interaction Attribution

First ad or click accounts for 100% of the sale. Ignores ads later in the funnel that cover the customer, and overweights ads that appear frequently.

Timeline of the Development of Digital Marketing

First banner ad came out for AT&T, and was super successful. These were popular until the tech bubble popped in the late 90's. Then in 1998 Google came about with search ads.

Stages of Choosing from Options

First cut consideration set, which we cut down with an involved, rational process. Reduced consideration set, which we cut down with affect to get the result that "feels right".

Visual Ads

Focus on optical elements of the presentation. Tend to lead to favorable attitudes and are more easily remembered since they're stored in both sides of the brain. These can also be imagined if listened to (like radio soda ads having fizzing sounds).

How did manufacturers react to the increase in private brands?

Focused on in-store selling Focused on a few core brands Focused on brand community and social network Increased advertising Expanded product offerings

Quantum Journey

Focusing on completing a specific task across multiple devices, like choosing a restaurant to eat at by searching nearby restaurants, looking at reviews on a phone, and using GPS to get there.

Encoding

Forming verbal and nonverbal cues. Taking an idea and transforming it into an attention getting message by designing it around cues and such.

Media Planner

Formulas a program stating where and when to place ads. Work closely with creatives to determine what media will be used. Also conduct research to match the product with the market and media.

Premiums and Bonus Packs

Free merch given to the retailer for placing orders on a certain date, or for a minimum order size.

Two factors involved in determining how involved we are when we make a decision

Frequency (how often the decision is made) and risk (how bad the situation will be if things don't go as planned).

Social Entertainment

Gaming, play, alternate reality games. Second Life, Zynga.

Media Options - Newspapers Advantages

Geographic selectivity/local market access Short lead time High credibility More copy detail Great audience interest Cumulative volume discounts Coupons and special-response features.

Challenges of Big Data

Getting the right data and analysis technique Doesn't capture all facets of consumer behavior many business units have to work in tandem

Store or Manufacturer Premiums

Gifts given by either the retail store or the manufacturer when the customer buys something, like toys that come with kids' meals.

Free-in-the-Mail Premiums

Gifts received for purchasing products after the customer mails in their proof of purchase.

Professional Samples

Given in fields like dentists, doctors, etc. who provide patients with free drug samples

Roles of Advertising Personal - Account Executives

Go-betweens for the agency and the business. May be actively involved in finalizing contracts, soliciting accounts, and helping the company define the overall IMC program and how ads fit into their market strategy.

Achievers

Goal oriented, conservative consumers who like career and family. Prefer established products that demonstrate one's success to others.

Steps in Choosing an Ad Agency

Goal setting Having selection criteria Getting pitches (shootout) for addressing a problem Agency selection based on chemistry

Tangible Components of a Brand Image

Goods sold Retail outlets where it is sold Ads Marketing communications Name and logo Package and labels Employees

Media Options - TV Advantages

Greatest reach Cost per person reached is low Intrusive Offers creativity with visuals and sounds Demonstrations are possible Can segment by show or channel.

Traits of a Viable Market Segment

Group inside must be similar in attitudes/needs/interest/opinions, the segment must differ from the population as a whole, the segment must be big enough to be financially viable, must be reachable through some sort of media or marketing communication method.

National Advertising Division (NAD)

Handles complaints about unfair ads or marketing communications. Negotiates with advertisers to see if they can modify or discontinue their advertisement. But they're not a legal entity, so the companies don't have to abide by their decision - it's voluntary.

Continuous Campaign

Has a constant stream of media, best for when purchases can happen at any time. Rotates ads frequently.

Media Options - Out of Home Advantages

Has a long life Quality exposures for local firms since locals will see it Low cost Broad reach and high frequency Large visuals Digital boards have high resolution and modification abilities.

CEO Spokespersons

Have likeability and attractiveness. Don't have trustworthiness, expertise, and credibility.

Successful Homeowners

Have the highest incomes of all millennials.

Real Persons

Have trustworthiness, similarity, and credibility, but attractiveness and likeability are lower.

What situations call for higher frequency of ads?

Having a short purchase cycle (ex - seasonal items) Having a new message Having low brand loyalty to start off Having a transformational creative approach When brand attitude is poor.

Inquiry Tests

Having people using special promo codes during redemption.

Advantages of Industry Self-Regulation

Hears cases sooner and at a lower cost to companies involved. People with experience in advertising are the ones who hear the complaints.

Proactive Approaches

Help prevent negative publicity from happening in the first place. May include entitlings and enhancements.

Test Markets

Help us examine many elements of a marketing communication program in one setting before bringing it to a national market. Cost-effective and resembles an actual buying situation more than other tests. Scanner data makes results easily available.

Quantitative Tools

Help us generalize results from quantified data. Uses large representative samples and structured data collection. Data analysis is statistical.

Social Media Use - Listening to Social Conversations

Help us understand customers without surveys or focus groups. Uses perceptual maps, sentiment analysis, text mining. Can also predict customer satisfaction and their future purchase behavior.

Four Components of Successful Brand Rejuvenation

Helping former customers rediscover the brand (such as via nostalgia) Offering timeless value Staying true to the OG but contemporizing Building a community

Trend - Emphasis on customer engagement

Helps build loyalty, and emphasizes two-way communication. Have to offer incentives for the consumer to interact with the company.

Humor Appeals

Helps capture attention and cut through clutter, and people like them more. A good mood becomes associated with the product. But this is culture-sensitive, and we have to be careful so people remember the brand (not just the joke). Should incorporate attributes, customer benefit, and personal value obtained from the product.

Social Media Use - Participating in Social Discussions

Helps companies react to real time events, and interact with them to solicit suggestions and respond to comments.

Benefits of Big Data

Helps lead to massive benefits for companies (ex - Uber's surge pricing) helps with promotions (linking things like geographic data to consumer needs) helps optimize operations.

Market Research

Helps us get associations and insights from consumers so we can develop them and work them into marketing to connect product attributes with values. Ideally we'll use both qualitative and quantitative data.

Qualitative Tools

Helps us provide insights and deeper understanding, using small non-representative samples and unstructured data collection. Data analysis is nonstatistical.

Principles companies use to increase the probability that substantiation will be acceptable by the FTC and courts

Hiding qualifiers at the bottom of an ad aren't accepted (since it's assumed those aren't read) Evidence has to be for the exact product being tested, not a similar product Evidence should come from experts in the field and be considered valid (companies doing their own research isn't acceptable) Studies should all be in agreeance about the outcome (can't use a positive outlier as solid evidence).

Media Options - Magazines Advantages

High levels of market segmentation by topic High audience interest in a topic Longer copies with more detail Long lives beyond one issue Direct response possibilities High color quality Reading during leisure for fewer distraction physical samples and QR codes

Brand Image

How consumers and businesses feel about the organization as a whole as well as its product. A consumer perception affected by ads, promotions, personal selling, website, etc. When tarnished, sales plummet, and rebuilding an image is difficult. This can be rejuvenated or adjustes, though. Consumer beliefs about a firm are more important than whatever the firm itself thinks it is.

Reach

How many people in the target audience were exposed to the message at least once. Raises awareness.

Frequency

How many times a target is exposed to an ad in a specific period. Helps raise knowledge/liking of something.

Digital Marketing

IMC tools that work with the internet. This is continuously evolving. Content has instant real-time communications. Web participation is necessary for companies. Can't measure impact easily though.

Surveys

INfer something about a population using a representative sample of individuals, best done with random sampling.

B2B Segmentation - Size

Identifies companies based on sales volume or number of employees, affecting how we approach them.

Lifestyle Marketing

Identifies market methods associated with hobbies and entertainment venues of a target audience Has offbeat and relaxed settings like farmer's markets, festivals, craft shows, etc. Find a venue and match it with the target market.

Target Market Research

Identifies those who will be the recipient of a communications design, seeing the best market for a particular benefit of a good or service.

5 Key Public Relations Functions

Identify internal and external stakeholders Assess the corporate reputation Audit corporate social responsibility Create positive image-building activities Prevent or reduce image damage.

Consumer Purchasing Process

Identifying a need or want, information search, evaluation of alternatives, purchase decision, and postpurchase evaluation.

The B2B Buying Process

Identifying needs (sometimes from derived demand) Establishing need specifications Identifying vendors and taking bids Vendor evaluation Vendor selection Negotiation of terms Postpurchase evaluation

SWOT Analysis

Identifying the company's strengths, weaknesses, opportunities, and threats present. May also be a 5Cs analysis.

Modifying Cognitive Maps with Marketing

If we create new linkages between a brand name and positive concepts, we've won. New info either strengthens an existing linkage, or a new linkage is made when the message has no current linkages. Links are made better when the info is repeated a bunch and can be easily recalled. Strengthening existing linkages is easy - adding or modifying existing linkages is hard.

Implementation

Implementing the plan.

New trends in the use of private labels

Improved quality Perception of high value Loyalty toward retail outlets (and lower loyalty toward specific brands) Differentiating between retail outlets Increased advertising Higher quality of store displays

Conative > Cognitive > Affective

Impulse buys, followed by understanding the product during consumption, then developing feelings towards it.

Experiencers

Impulsive, young consumers who spend on fashion, entertainment, and socializing.

Brand-Associated Score

In recognition tests, the percent of people who recall seeing the ad or any part of the ad that IDs the brand.

Noting Score

In recognition tests, the percent of people who remember the ad.

Corrective Advertising

In severe cases, the firm must produce corrective ads to bring consumers back to a neutral state from before the false ads occurred.

Initial Screening

In vendor evaluation, is used to narrow down the vendor to 3-5 competitors.

Video Ads

Include YouTube, Roku, Hulu, etc. Usually used for awareness, not clicks, so we use impressions to measure effectiveness.

Rich Media

Include interactive components like videos, hyperlinks, or audio.

Creating Positive Image-Building Activities

Includes cause-related marketing and green marketing.

In-store Marketing Displays

Includes ceiling banners, overhead mobiles, signage, end-aisle displays, video screens, etc. Consumers make about 60% of purchase decisions in a store, but most companies don't do a lot of in-store advertising.

Retailers prefer promotions that...

Increase store traffic Increase sales attract new customers increase the basket size

Indirect Benefits of Sponsorships

Increased awareness of product/service Improved competitive potion Improved brand image Reaching new target markets.

Direct Benefit of Sponsorships

Increased sales.

Search Engine Optimization (SEO)

Increasing the probability that a company/brand will be a top search result. Accounts for 50% of all online investment. Can pay an engine for a better search position.

Buyers

Individuals given the responsibility of making the purchase.

Deciders

Individuals who authorize purchase decisions.

Gatekeepers

Individuals who control the flow of info to members of the buying center.

Need for Cognition

Individuals who engage in and enjoy mental activities. These people with high needs spend more time on searching.

Influencers

Individuals who shape purchasing decisions by providing info or criteria for evaluating alternatives.

Trend - Experience Pursuits

Indulging in things like vacations, fancy dinners, and so on. Buying experiences instead of things.

Buzz Score

Info provided by a research firm showing how many times a brand receives mention on social media networks within a specific time frame

Trend - Children Grow up Faster

Information flow causes children to grow up faster, while adults refuse to grow old (dressing younger, driving sports cars, etc.).

Two stages in the consumer purchasing process most important to IMC

Information search and evaluations of alternatives.

VALS Categories

Innovators, thinkers, achievers, experiencers, believers, strivers, makers, survivors.

Stages of Buzz Marketing

Inoculation, incubation, and infection.

Overlay

Interstitial ads with a transparent background.

Product-Specific Research

Involves identifying key product characteristics that become selling points, like finding out what the most desirable features of a phone or restaurant are. Requires an understanding of the product's benefits to consumers that are derived from its use.

Post Purchase Evaluation

Involves the usage experience, if the user tells others, options for disposing of the object, and the potential for repurchase.

Qualities of Packaging

Is a marketing opportunity. Contains logo and brand name, has terms to pique interest (new, adult formula, industrial strength), has special offers or tie-ins, and has QR codes to access info.

Myths in Social Media - It's free and doesn't take much work

It actually needs investment and must be continuously maintained.

Direct Sampling

Items are mailed or delivered to consumers.

Evaluation helps us with...

Justifying continued spending Learning from our actions, avoiding costly mistakes.

Where can we do pretesting?

Labs (artificial, and expensive though), focus groups, online (cheap with wide samples), embedded in TV or theater, or on-air in different cities or people.

Big Data

Large volumes of varied data that come in at high velocity.

Theocratic Law

Law based on religious teachings.

MAO in Search - Motivation depends on...

Level of involvement Need for cognition Level of shopping enthusiasm

Ways to Use Social Media to Engage with Consumers

Listening to social conversations Participating in social discussions leveraging social media to amplify a message

Designated Marketing Areas

Local markets that hold info about TV stations. Help advertisers understand whether or not an ad reached a target market, and whether a program has a good audience for their campaign.

2 processes can be used to analyze an ethical concept

Logic and reasoning (leading to common sense conclusions) Gut instinct (people know deep down if what they're doing is right or wrong)

Content Grazing

Looking at two or more screens at the same time for unrelated content.

Psychological Approach

Looks at psychological motives for product purchases like feeling sexy, or intelligence, etc.

Extensive Decision

Low frequency, high risk. Detailed search and evaluation that has effortful processing, usually involving big ticket items like houses, cars, etc. Marketers in these product lines should use information rich marketing.

Limited Decision

Low frequency, low risk. Has some search and evaluation, often rooted in heuristic/affective judgements to save time and effort (such as for sweaters and pants).

Demographics - Income

Low income people buy mostly necessities, higher income folk buy sundry items (expensive things like vacations, cars, higher end clothes). Wealthy folk purchase luxury products like yachts and planes.

Advantages of In-House Agencies

Lower costs Consistent brand messages Better understanding of the product and mission Faster ad production Working closer with the CEO Low turnover rate in the creative team

Why is PR more valuable internationally nowadays

MOre international firms mean they have to ensure good relations with every country they're a part of. Terrorism and war has increased sensitivities between nations, and bad publicity in one country can impact the company in the rest of the world.

Considerations for Collecting Research

Maintain confidentiality, participants must know what's going to be done with the data, informed consent must be obtained.

Positioning - Cultural Symbol

Making the product seem like a symbol for the country (GM calling its cars the symbol of America). Hard to accomplish.

Communications Budgets - Payout Planning Budget

Management establishes a ratio of ads to sales or market share, which allocates more early on and expects payouts in later years. Helps build brand equity and awareness early on, so you just have to worry about maintenance later.

PR Department

Manages publicity and communications with every group in contact with the company. May be internal or hired out to a PR firm. Should reflect the IMC message in events, activities, and news releases.

Problems with Slotting Fees

Manufacturers say it's extortion Gatekeepers small manufacturers.

Communications Budgets - Objective and Task

Marketers recognize what they want to do, then calculate the cost of it to derive a budget. Relates costs to objectives, but also may be hard for large companies with complex goals and many avenues of execution. Used by 50% of firms.

Components of a Media Plan

Marketing analysis Advertising analysis Media strategy Media schedule Justification and summary.

Successful premium programs have

Match with the target market, reinforcing the firm's image (doesn't seem cheap, ties in with products), should be integrated with other parts of IMC, and can boost sales.

Advantages for Small Agencies

May be more in tune with conditions and changes in the area, and receive closer attention and more responsive service from the people they work with.

Contests and Sweepstakes

May or may not boost sales, but the intrinsic rewards bring customers back. Require the target market to want the prizes. Can help encourage participation by allowing small, incremental rewards.

Collecting Metrics on the Internet

May use number of visits (which is broken into new and repeat visitors), page views, time on each page, where people are leaving (high bounce rates), shopping cart abandonment, etc.

Communications Budgets - Meet the Competition

Meant to prevent loss of market share. Matches amounts spent by the competition, often found in competitive markets with intense rivalry. But these dollars might not be met efficiently, since matching spending doesn't guarantee success.

Volume Metrics

Measure the level of traffic to social media sites, starting with total views and counting how many people are new followers and how many are lost over time.

Biometric Research

Measures physiological reactions, since unconscious feelings direct attention, behavior, learning, and memory. Includes eye tracking, heartbeat, perspiration, respiration, and movement tracking to get an idea of how much emotional engagement is happening.

Cost Per Rating Point (CPRP)

Measures relative efficiency of a media vehicle relative to a firm's target market. More accurately measures a campaign's efficiency than CPM does Measures the cost of reaching 1% of the target market.

Cost per Rating Point (CPRP)

Measures the cost of reaching 1% of the target market. A better measure of vehicle efficiency than CPM.

Factors influencing the effectiveness of product placement and branded entertainment

Media used Supporting promotional activities Consumer attitude toward placements Placement characteristics Regulations

Power Buyers

Members of upper management or key purchasing agents with the authority to buy.

Hits

Mentions of a company's name in the news. The goal of a PR firm, although it might be positive, negative, or neutral.

3 Categories of Evaluation Tools for IMC Systems

Message evaluations Online evaluations Respondent behavior evaluations.

Problems with Price-Offs

Might negatively impact the profit margin Encourages price sensitivity Can cheapen the brand

Struggling Aspirationals

Millennials who are healthy, fit, environmentally conscious. Care about bargains, but aspire to high quality products.

Active Affluents

Millennials who love outdoors and leisure travel.

Demographics - Ethnicity

Minorities have a lot of buying power, but it means companies have to adapt their message for them.

Micro Moments

Moments relating to - I want to know - I want to do - I want to go - I want to buy

Exit Fees

Monies paid to remove an item from a retailer's inventory, like if the producer comes up with a new product to replace an old one. Often requested if the new version of the product fails, or if a current version must be removed from inventory.

Children's Advertising Review Unit (CARU)

Monitors advertising directed toward children below 12, and online practices of websites targeted at kids under 13. Handles complains about ads toward children and can pre-screen ads for that audience to highlight and potential problems.

Food and Drug Administration (FDA)

Monitors food and drug ads to make sure they're accurate.

Ethics

Moral principles serving as guidelines for individuals and organizations.

Time Decay Attribution

More recently shown ads get more weight. But weights are ad hoc, overweights ads that appear frequently, and it's unclear why ads later in the funnel should have higher weight.

Experiment-Based Attribution

Most accurate, but difficult and expensive to manage.

Brand Preferred

Most common group. Chooses between small sets of brands, and goes for the one with promotions. Ignores promotions for brands not being considered. Ideal for promotions since it enhances loyalty and prevents them from choosing a competitor.

Celebrity Spokespersons

Most common, but are in decline due to high costs. Usually done when the person enhances the brand's equity. Creates emotional bonds with brands by transferring the celebrity's affect to the product. Can also use celebrity voice overs, dead people, or social media endorsements. Celebrities have all 5 of the credibility characteristics.

Behavioral Evaluations

Most indicative of sales.

Three Exposure Hypothesis

Most planners believe that three exposures are required for an ad to be effective, regardless of individual needs or wants. But people believe clutter has diminished the viability of this hypothesis. First exposure gives attention, 2nd exposure causes recognition of the message, and the 3rd exposure causes comfort and message acceptance.

Time spent on external search depends on...

Motivation Ability Attitudes toward brands Personal values Perceived costs vs. benefits.

International Issues for Sales Promotion Programs

Must meet local regulations, Consumers might not like some forms of promotions (ex - coupons are looked down on, or contests violate religious norms), and emphasis placed on these promotions varies by country.

Guidelines for Ads toward Children

Must not have unreasonable expectations (toys should be played with in the ad), shouldn't blur the line between fantasy and reality. Must say clearly what accessories do and do not come with the toy, Items that require supervision must show an adult nearby, products and ad content should be appropriate for kids.

Overt Names

Names revealing what a company does (American Airlines).

Social Media Planning - What will we say?

Need to know why consumers want to interact with us (deals? Ideas? Humor?). Can also use social media to test messages for other platforms. Content is also often spontaneously generated in response to events.

Determining Effectiveness of Outbound Marketing

Need to make sure the ad was the reason someone bought, not that the ad was just conveniently tere (attribution).

Trends on Social Media for Companies

Needing to engage competently on social media Automation of platforms for constant connections and good response times A strategic investment (that's not free)

Media Service Companies

Negotiate and purchase media packages for companies.

Trend - Integration of digital media

New marketing techniques want to create experiences with the brand by cutting traditional media expenditures and funneling into social media.

Trend - Increases in brand parity

New products are offering identical benefits to old ones, so marketers have to try and convince consumers that their particular iteration is superior.

Sex Appeals

No longer has shock value, but today most prefer subtle innuendo, cues, suggestions, subliminal techniques, etc. Has poor recall, but lots of attention catching.

Myths in Social Media - Social media is a panacea

No, it's just another tool. Our marketing and brand foundations have to be strong for it to work.

Myths in Social Media - Successful content has to go viral

No, value comes from a targeted set of users who are more likely to act on your message.

Bumper Ad

Non-skippable video ads of less than 6 seconds.

Storytelling Executions

Not including an encounter, like slice of life approaches. Instead a brand is at the periphery of the plot (not at the center). (ex - a Subaru ad where a dat hands his daughter car keys, and the brand doesn't appear until the end).

The more specific your targeting is to the needs of the customer, the more likely it is to be...

Noticed, processed favorably, and a route to persuasion.

Anthropological Approach

Observes consumers using the good or service.

Guerilla Marketing

Obtains instant results with limited resources, focusing on finding new ways of doing things. First they discover touchpoints with customers (where they eat, sleep, drink, etc.) then find ways to reach them there. Ex - Twinkie made a tagline and mascot and food trucks for their comeback.

Types of Trade Allowances

Off-invoice allowances, slotting fees, exit fees

Coupons

Offer a price reduction to the customer. Creates brand awareness and commitment, even if not redeemed.

Consumer promotions

Offered directly to people who actually use the product.

Co-branding/Alliance Branding

Offering two or more brands in one single marketing offer. Can include ingredient branding, cooperative branding, and complementary branding.

Law

Offers guidelines about what is right and wrong and acceptable/unacceptable in an area.

Interviews

Often use laddering, and have open ended questions (what's your opinion on...?) or closed-ended questions (do you play an instrument?). Includes probing questions and other things letting people elaborate.

Aspects of Digital Marketing

Online advertising, interactive marketing, mobile marketing, e-commerce, viral marketing, email marketing, consumer generated reviews, blogs, social networks.

Trade Shows

Opportunities for manufacturers to find new customers, sell new products, scope out competition, and negotiate special deals. Buyers can compare merchandise and make contacts with a lot of people at the same time.

Sales Funnel Efficiency

Organizes information into an inverted pyramid, showing how many initial visitors get funneled into loyal customers (visits > clickthrough > browsing products > cart making > purchase > create an account)

Justification and Summary

Outlines the measures of goal achievement and explains the rationale for each media choice.

Crowdsourcing

Outsourcing the creative aspect of an ad or campaign to the public. Creates a viral buzz. Cost of running the campaign, prizes, etc. is about the same as a pro company. Works best when you target towards current customers and customers with high brand loyalty, but less successful for increasing a customer base. Also doesn't have the same consistent image or theme over time.

Four Categories of Brand Names

Overt, implied, conceptual, and iconoclastic. Overt and implied are easy to market, but conceptual and iconoclastic take more effort to connect the name to the product.

Paid Search Ads

Paid ads at the top and side of search results.

Types of Media Share in Digital Marketing

Paid media, owned media, and earned media.

Recall

Participants are given the ads embedded in something, and we later ask if they remember it. Unfairly favors cognitive appeals, though, and can be influenced by program content. Also doesn't indicate persuasion, just reception of the ad, and is subject to the mere measurement effect.

Tracking Studies

Participants in an experimental group were shown the ad and was contrasted with a control group. Then we correlate the ad with purchase history.

Psychographics

Patterns of responses revealing a person's activities, interests, and opinions. Can be combined with demographics to get a better understanding of the target market.

Display Ad Networks

Pay websites for ad space, then charge advertisers to run ads on their network. Can report back on ad performance. There's a lot of remnant, though, since it's hard to find advertisers that relate to the websites.

Social Media Endorsement

Paying someone to post a promotional post on social media.

Myths in Social Media - It's easy to see the value in social media and convince others to go forward

People are actually still skeptical and see it as just a way to get likes, not a marketing tool. Need to demonstrate brand building and bottom line impact to convince people it's good.

Trend - Busy Lifestyles

People are more active and busy so free time is restricted, and convenience items are more frequently bought.

Trend - Diverse Lifestyles

People aren't following traditional "grow old, marry, have kids' ' path anymore. Adults move back home to live with parents and to remain single, or get divorced. Also includes LGBTQ+ folks.

Problems with the Hierarchy of Effects Model

People don't always take that route in order, people sometimes don't know what brand they even buy for commodities like flour, and people can buy without having a preference due to other incentives (like price).

Mere Measurement Effect

People know they're being observed, and answer differently to please the observer.

Trend - Integration of media platforms

People nowadays have replaced TV with tons of other screens and devices, so we need to reach them on multiple platforms.

Demographics - Age

People of different ages use different items entirely. Using children as a segment is controversial, but makes tons of money since they're impressionable. Tweens also can use the internet to make purchases early on.

Problems with Refunds and Rebates

People often wait until a rebate is offered before buying something so it hurts the purchase process. Plus increasing the rebate amount doesn't help sales, but lowering it hurts sales.

Why is viral content contagious?

People use content as a social currency Triggered by events causing people to seek out info Elicits high arousal emotions Used as a public symbol of otherwise private behavior Has practical value Has emotional/informative stories

Trends on Social Media for Consumers

People want to be engaged with companies (for discounts, info, entertainment...) Bigger and better content to encourage deeper interactions Emphasis on interactive content Emphasis on visual content LinkedIn's use for B2B connections Google+ disappeared (had no apparent advantage)

Trend - Health Emphasis

People want to have youthful experiences and healthy lifestyles, seeking healthy products.

Users

People who actually use the good or service.

Self-Selection

People who are fans of a product are automatically more likely to like that product's page or interact with it, so we shouldn't value that product's social media presence by comparing likes of fans vs. non-fans.

Spokespeople/Sources

People who deliver an ad visually or verbally. Choosing this person is a critical choice.

Enthusiasm for Shopping

People who enjoy shopping do more in depth searches.

Maximizing

People who find the best possible option in a group.

Homophily

People with similar interests tend to be long to the same social community or group (so if you and a friend both buy something, is it actually because you did it first, or because you have the same tastes?)

Costs vs. Benefits

Perceived costs vs. perceived benefits are weighted. Higher perceived benefits from a purchase increase the inclination to search. Costs include price, time spent on searching, anxiety related, opportunity cost of doing other things instead, etc.

Individual Influences on the Buying Center

Personality of people in the roles, socially constructed roles (how much people perceive they're supposed to be involved in the process), matching of the individuals' goals and the organization's goal, level of power held by the person, avoidance of risk, levels of cognitive involvement, and personal objectives.

Other Explanations

Persuade individuals that the event doesn't actually represent what the firm or individual is really like, so they shouldn't judge too harshly.

Pulsating Schedule

Place ads in various media consistently, and then boostin the number of ads around holidays. Done for retailers when people are likely to make special purchases.

Positioning Maps

Place brands on a map based on two dimensions (like hedonic/utilitarian, and reliable/unreliable). Fill it in with companies that already exist, and find gaps that can be capitalized on.

Bonus Packs

Placing an additional amount of items in a special product package. May increase consumption for some products, but not ones that have a constant consumption rate (like toothpaste).

Cross-Ruffing Coupons

Placing coupons for one product on top of another product. Usually done to encourage consumers to buy another product by the same manufacturer.

Social Community

Platforms that create relationships, connections, discussions. Used for friends, followers, and fans. Facebook, LinkedIn, Google+, and Twitter.

Social Media

Platforms where consumers actively create content to influence other consumers' purchasing decisions.

True Blue Greens

Politically active consumers who buy environmentally safe products always.

Sources of the Big Idea

Positioning, the unique selling proposition, brand image and personality, and inherent drama from everyday events (giving implications for the product's benefits).

3 Factors Determining Quality Score

Potential clickthrough rate ad relevance to customers Quality of the landing page

Positioning - Product Class

Presenting a brand as part of a certain group of products (Denny's marketing itself as a diner rather than a family restaurant).

Federal Trade Commission (FTC)

Presides over marketing communications to enforce antitrust laws and protect businesses from each other. Make sure that ads aren't unfair to the competition and don't restrict free trade. Later was expanded to prohibit false and misleading ads.

Price-Sensitive

Price is the only criterion for a decision, so they won't buy based on brand name. Take advantage of promotions reducing price. Shouldn't be targeted for promotions that don't have to do with sales, market share, or customer traffic.

Morals

Principles or beliefs that individuals hold concerning what is right and wrong.

Premiums

Prizes or gifts received when buying a product. The original price is paid for at full price, and the next is gotten at a discount or free. Used to build a brand.

9 PACT Principles when Testing a Communication Piece

Procedure should be relevant to the objective being tested (ex - to test coupons, we can evaluate a coupon's copy to see how well it stimulates purchases) Researchers should agree about how results are going to be used when selecting test instruments Cutoff scores should be used to prevent biases Multiple measures should be used to get precise evaluation Test should be based on psychology to accurately predict human responses Testing should use multiple exposures to the ad Alternative ads should all be in the same stage of development Prevent biases with experimental designs and controls The sample should be representative Test must be reliable and valid.

Fantasy Executions

Produce images of a make believe experience. Can be anything from realistic to irrational. Often found in cologne ads.

Things Rational Appeals can Focus On

Product features, competitive advantage, price, popularity, new.

Conditions required for buzz marketing to occur

Product must be new, unique, or superior Brand must stand out Ads should be memorable, intriguing, different, and unique Must be customer involvement with the brand

Three Approaches to Communications Research

Product-specific research Consumer oriented research Target market research.

Positioning - Price-Quality Relationship

Products that are expensive advertise their quality, and cheap products tend to emphasize value.

Intracompany tie-ins

Promotion of two products from the same company.

4 Categories of Consumers (WRT Promotions)

Promotion-prone, brand loyal, brand preferred, and price sensitive.

Private Brands

Proprietary brands marketed by an organization and sold within the organization's outlets. Take up a ton of retail space and people can't usually tell the difference. Cuts out the middleman and helps differentiate the store itself from competing retailers.

Purposes of Packaging

Protection Ease of shipping and handling Easy shelf placement Preventing theft Preventing tampering Meeting needs of speed and convenience and portability Communicates a marketing message

Expert Spokespeople

Provide backing for testimonials, can demonstrate products, serve as authoritative figures, and enhance credibility in informative ads. Are credible by default and may also be trustworthy, attractive, and likeable.

Trade Allowances

Provide financial incentives to channel members to motivate purchases.

Marketing Analysis

Provides a review of the marketing program, including a statement about current sales, market share, prospects to be solicited. Can reflect a pricing strategy based on the product, its benefits/characteristics, and an analysis of the competitive environment.

Slice of Life Execution

Provides a solution to everyday problems. Involves - Encounter - Problem - Interaction - Solution

Media Options - Radio Advantages

Provides an intimate experience between listener and ad Utilizes repetition Have easily defined target markets Has intimacy/credibility between radio personalities and listeners Music can match the audience Flexibility in ad making Mobility Low cost for local firms

Council of Better Business Bureaus

Provides resources to consumers and businesses, and takes complaints about unethical practices or unfair treatment. Creates reports about companies and helps make sure people are dealing with firms that don't have many problems.

Cross-Ruffing

Provides samples of one product on another product.

3 factors that disconnect the purchase mindset and usage mindset

Psychological immune system, cognitive dissonance, and feature fatigue.

Types of Communications Schedules

Pulsating, flighting, and continuous campaign.

Brand Loyal

Purchase only one brand, and don't substitute even if deals are present. Don't offer promotions to them, because they'll buy regardless.

Media Buyers

Purchase the space and negotiate rates, times, and schedules for ads. Watch for deals and tie-ins with media outlets.

Media Sampling

Put the sample in a media outlet (like perfume samples in magazines).

Holistic Research

Qualitative research that studies the person, their culture, their group, and so on in a natural setting.Primary Research: The generation of novel data.

When asked to rank qualities of a brand image by importance, people said...

Quality of goods, then willingness to stand by its product when something goes wrong, then perceptions of how helpful and professional they are with customers.

Calculating Rating Point

RP = (circulation / total target size) x 100.

Calculating TV Rating

Rating = number of households tuned into a program / number of total households in the market.

Damage Control

Reacting to negative events caused by company error, consumer grievances, and unjustified or exaggerated negative press.

Secondary Research

Reading others' articles (tend to be more theoretical, but informative), popular press (news, magazines, etc.) industry guides (including analyst reports, macro trends, etc.) and the Kreg Guide (has a library of secondary sources).

2 types of Post-tests

Recall studies Tracking studies.

Things a Brand Logo Should Be

Recognizable Familiar Creating a unanimous meaning in the target market Evoking positive feelings

Advantages of Outside Agencies

Reduced costs Greater expertise Having an outsider's perspective Having access to top talent Better buying pull for getting media

Global Standardization of Brands

Reduces costs and allows for the transference of best practices from one country to another, and has higher perceived quality from being globalized and not local. But they have to meet each country's labeling and packaging requirements.

Refunds and Rebates

Refunds are for soft goods (food, clothing) and rebates are for hard products (automobiles, appliances, etc.). Often go unclaimed. Most successful when seen as new and not an expected discount.

FCC

Regulates TV, radio, etc. particularly to monitor ads toward children. Don't control content of ads in mass media, nor do they control which products can be advertised.

Search Ads

Relate to search engines and work with how consumers search for relevant terms instead of just pasting a specific URL. Companies bid on words and multiword phrases.

Alternative Marketing

Relies on buzz, word of mouth, and lifestyle messages at times and in places where consumers relax to enjoy hobbies/events.

Iconoclastic Names

Represent something unique, different, and memorable (Reebok).

Trustworthiness

Represents the degree of confidence or level of acceptance consumers place in the message from the spokesperson. Tends to come with likeability.

Assessing the Corporate Reputation

Reputation influences willingness of consumers to buy products and willingness of investors to invest, and employees' willingness to work there. DOne via surveys, interviews, and monitoring online chatter.

Considerations for International PR

Requires cultural assimilators to ensure correct use of a foregin language, legality of a sponsorship, and that it doesn't violate local cultural norms.

Self-Liquidating Premiums

Requires the customer to buy something for a small price (like $5 + shipping, and two proofs of purchase). The fee covers the item's cost.

Contest

Requires the participant to perform an activity and do the best (illegal in some states)

4 ways of measuring behavioral evaluations

Response rates Online metrics Test markets Purchase simulations.

Problems with Off-invoice Allowances

Retailers are reluctant to purchase without an allowance present. Encourages undesirable forward buying. Discount is also not passed to consumers.

Traits of Successful Bonus Packs

Reward loyalty with free product, encourages brand switching if it's a better deal than competitors, good for building relationships with retailers and customers, have a 20-40% bonus (too large bonus makes people think price went up to compensate).

Three Types of Decisions Based on the Frequency/Risk Model

Routine decisions, limited decisions, and extensive decisions.

Hand Loyalty

Routine problem solving, buying on proximity, habit, and impulse. Awareness is critical, so we want our brand to be in the evoked set to exploit this.

5Cs - Competition

SWOT is used to analyze competition and also our own company, looking at strengths, weaknesses, opportunities, and threats. We need to ask why it's a strength/weakness, why it's important, and so on.

Traits of Strong Brands

Salience Have investment in communications to portray the brand Repeatedly used to store in long-term memory Authentic and unique Have trust in the reliability of the brand Have customized experiences Offer value Use social media Use mobile ads Act ethically

In-Store Distribution

Sampling in-store.

Recency Theory

Says a consumer exhibits selective attention and only focuses on ads fitting their needs, so ads that are close to a purchase decision time are more powerful. Also when someone contemplates future purchases, ads about the purchase are more likely to be noticed. By this rule we should always advertise to be there when the consumer needs us.

Means-End Theory

Says an ad should contain a message or means that leads the consumer to a desired end state. The end states are personal values, so the person believes the product will help them achieve a personal value.

Hierarchy of Effects Model

Says consumers walk through 6 steps when making a purchase - awareness of offerings, knowledge about the product, liking of the product, conviction that the brand is the best, and the actual purchase. Building brand loyalty requires all 6 steps. Parallels the cognitive > affective > conative model (cognitive relates to brand awareness and knowledge, affective relates to liking, preference, and cognition, and conative relates to the purchase).

Variability Theory

Says variable encoding occurs when a consumer sees the same ad in different environments, which improves recall. So using multiple types of media is good.

Media Strategy

Says what media is to be used and any creative considerations.

Media Schedule

Says when ads appear in individual forms.

What are 3 types of outbound marketing?

Search ads, display ads, and video ads.

Conative Message Strategies

Seek to lead directly to consumer responses. Support promotional efforts like coupons, cash back rebates, etc. Can also encourage people to access a website. Encourage quick action by saying "not available in stores" or "limited time only". Uses conative > cognitive > affective route. Encourages viewers to purchase the brand, which will change cognitions and behavior. Works on the Purchase stage of the hierarchy.

Demographics

Segmentation using population characteristics like gender, age, income, and ethnicity. Not easy to segment with since it's so coarse and we can't infer motivation from it.

Benefit Segmentation

Segmenting based on the benefit consumers get from a product instead of the person themselves (ex - gym people go socially, or to self improve, or maintain weight...). The most insightful type, since people buy things to do a certain job for us. Also accommodates flexibility.

Generational Segmentation

Segments based on common experiences and events that create bonds between people who are about the same age. Leads to common preferences for products, and similar responses to the same type of marketing appeal. Millennials get the most ad dollars, since most want to be active participants with brands that are very accepting of other people.

Makers

Self-sufficient consumers who carry out projects, respect authority, and don't care much about material possessions.

Content Publishers

Sell space to advertisers on websites.

What are the 7 factors in communication?

Senders, encoding, transmission devices, decoding, feedback, noise, and recipients.

Media Options - Out of Home Disadvantages

Short exposure time (and areas with high exposure times have high costs, like traffic jams) Brief messages Little segmentation is possible Lots of clutter

Media Options - Radio Disadvantages

Short exposure time, low attention Hard to reach national audiences Information overload Radio stations often compete for the same target market

Levels used to assess an IMC program

Short-term outcomes (sales, redemption rates) Long-term results (brand awareness, brand loyalty, brand equity) Product and brand specific awareness Affective responses (liking the company, positive brand image)

Social Media Planning - What's the objective?

Should aim to build awareness, knowledge, brand equity, sales, etc. like other campaigns. More than just likes and followers. Can offer customer service or gather feedback.

Traits of Successful Sampling Programs

Should be related to and based on the IMC program, introduces a new product or new version of a product, can help introduce to a new market or new prospects, needs to target the right audience at the right place at the right time to be successful.

Company Employees as Brand Ambassadors

Should have honesty about - relationship to the company - identity - opinion of the brand

Engagement Metrics

Show how well people interact with the social media platforms, offering 2 way communication.

Cognitive Maps

Simulate knowledge structures and memories embedded in an individual's mind. How people store, retrieve, and evaluate information. Contain someone's assumptions, beliefs, interpretations, feelings, attitudes, etc. (ex - thinking about a restaurant makes you think of food, slow service.. And then you think of other places with slow service).

Aakre's Dimensions of Brand Personality

Sincerity, Excitement, Competence, Sophistication, Ruggedness.

Content-Sharing Websites

Sites where content is shared as a platform (YouTube, LinkedIn).

Review Websites

Sites where people leave word of mouth reviews about a company which can reduce the need for traditional advertising or amplify its effectiveness.

In- or On-Package Premiums

Small gifts like toys in cereal boxes. May be hidden inside, or visible (ex - extra razor blades).

International Implications of Media Choices

Some media are more prevalent in some countries than others. About 6 global agencies do almost 75% of all media buying. A global agency isn't feasible in every country. And we need to attend to cultural norms.

Stakeholder

Someone who has a vested interest in the organization's activities (profits, community well-being, etc.). Includes employees, unions, shareholders, government, special-interest groups, media, etc. PR groups should monitor their opinions and attitudes.

MAO in Search - Ability

Someone's education level combined with specific knowledge they have about brands in a category. Educated people can have more involved searches if they know a lot about the category, but also might know so much that they don't spend tons of time on it. People with not enough knowledge also don't spend tons of time searching since they don't know what questions to ask. People with middle knowledge spend the most time searching.

Administrative Complaint

Something issued by the FTC that leads to a formal proceeding similar to a court trial. If the judge concludes that a violation of law occurred, a cease and desist order is issued.

Consent Order

Something issued by the FTC when a law has been violated, ordering the company to stop a disputed practice without admitting guilt.

Things that are tested in pretesting

Source factors (are they credible, persuasive, likable?), factors of the message, if the medium works, physiological/neurological measures, etc.

Point of Purchase (POP) Displays

Special exhibits near cash registers, at ends of aisles, in entryways, or elsewhere that they're noticed. Effectiveness is measured by linking the display to the point of sale register and using codes to see if the consumer pitched up the item from that spot.

Qualities of Good Communications Objectives

Specify the target Indicate a time frame State the outcome and what we're measuring Measurable (quantifiable with a baseline level and an expected outcome) Realistic given constraints.

Types of during run tests

Split run / A-B tests Inquiry tests Recognition tests.

Native Advertising

Sponsored content that looks like a real article. Has high clickthrough rates, but they have to emulate the tone of unsponsored stuff.

2 strategies for companies engaging in GIMC

Standardization and adaptation.

Steps for creating Search, Display, and Video Ads

Start with the goal, select a target audience, create an ad, set a budget, and measure and monitor results.

Instrumental Values

States and behaviors allowing us to strive toward terminal values (cheerfulness, intellect, honesty, etc.).

Advertising Analysis

States the advertising strategy and budget.

International Positioning Considerations

Strategies have to adapt to a new culture and choose a new positioning approach (while keeping the overall theme and brand consistent).

Redemption Rates

Studied to measure behavioral effectiveness of coupons, premiums, rebates, direct mail pieces, etc. Helps counteract the fact that sales are influenced by many factors - when a coupon is used, we know it was directly because of the campaign's efforts (more accurate than measuring sales).

Purchase Simulation Tests

Study consumer behavior in a controlled lab environment by completing a simulated shopping exercise between ads. Doesn't use direct questioning so it's internationally viable and accurate.

Recognition Tests

Subject to false claims, interviewer bias, reliability concerns.

Innovators

Successful and receptive to new technology, with a taste for upscale products.

Paid Media

TV ads, commercials, etc. that are paid for.

Media Options

TV, radio, out of home advertising, print media, magazines, newspapers.

National Advertising Review Board (NARB)

Takes on complaints that can't be resolved by the NAD. A private board that can order a firm to discontinue ads, similar to an FTC consent order. If a business refuses, it gets elevated to the FC.

Dynamic Advertising

Television networks obtain customer info from research firms and combine it with their own data to send targeted ads to their viewers. Can also send follow-up ads to someone's smartphone (retargeting).

How is causation proven?

Temporal precedence (if one thing occurs before another, it was most likely a causative factor), random assignment to a condition, and eliminating all alternative explanations.

Concerns with Trade Promotions

Tend to be used to boost short term growth (without consideration for the overall IMC effort) Cause retailers to stock the product without trade deals Are costly (and the cost is passed onto consumers) Some industries refuse to sell products without a trade deal existing

Pretesting

Testing an ad using experts or panels before an ad runs. This doesn't usually have reliable results, though, since customers aren't used to seeing unfinished ads and mockups get lower scores.

Intrusion Value

The ability of a medium to capture the audience's attention without their effort.

Extrinsic Value of Contests

The actual attractiveness of the prize.

Moment-Based Marketing

The advertiser waits for the right moment to send their message to the consumer.

Roles of Advertising Personal - Account Planners

The advocate for the consumer in the ad agency, making sure the executive and client understand the customers.

Cost per Click (CPC)

The amount a firm bids on a particular keyword. Depends on competition, budget, expected clickthrough, and conversion rate.

Dwell Time

The amount of time users spend engaged with an ad

Data Science

The analytic process of exploring and modeling information to inform marketers' decisions.

Generalized Second-Price Auction Approach

The approach used by Google, where people pay the price of the bidder right below them.

Global Adaptation of Brands

The brand or product is offered differently in each region, causing it to be seen as a local brand.

Inept Set

The brands in a person's memory that aren't considered due to negative feelings.

Big Idea

The central takeaway consumers should understand after the campaign. The culmination of all work done so far.

Trade Incentives

The channel member performs a function to receive funds. Used to increase purchases of the brand or encourage the channel member to push the manufacturer's brand.

Media Multiplier Effect

The combined impact of two or more media is greater than using either media alone. Has stronger brand recognition and impression. Ad awareness is strongest when consumers are exposed to ads on multiple platforms.

Factors determining what the sales vs. expenditures graph looks like

The communications goal Threshold effects Diminishing returns Carryover effects Wear-out effects Decay effects

New Task

The company considers a good or service for the first time, or it's been a while, so there is input from a number of buying center members and a lot of time is spent.

Conative Component of Attitude

The component that holds an individual's actions, intentions, or behavior.

Internal Search

The consumer thinks about brands they would consider, eliminating brands associated with negative experiences or ones they know little about. Being part of this internal search set with high levels of brand awareness or equity is key.

Integrated Marketing Communications (IMC)

The coordination of all marketing communication in a company into a program designed to maximize impact on customers. Speaking for the brand with one clear, unified voice that gives us a sustainable competitive advantage over others.

Opportunities to See (OTS)

The cumulative exposures achieved in a given time period (like placing 2 ads on a TV show for 4 weeks, we have 8 OTS).

Reactance

The customer arguing against an ad, saying things like "I'd never be in that situation", and causing it to get tuned out.

Product Positioning

The customer's ideas about a company or brand and its products relative to competitors. Includes things like quality, price, methods of distribution, packaging, image, etc. Can help the same company diversify its products and target markets (so they don't gouge themselves).

Green Marketing

The development and promotion of products that are environmentally safe. Consumers favor this, but won't sacrifice quality, price, convenience, availability, or performance for it. Sometimes it's best not to mention green-ness so it doesn't hurt the brand image or make it appeal exclusively to environmentally friendly people.

Cost Per Mille (CPM)

The dollar cost of reaching 1,000 members of a media vehicle's audience.

Involvement

The extent to which a task or stimulus is relevant to a consumer's existing needs, wants, or values. Determined by things like cost of the product and its importance, which raise involvement (more time is spent on a house vs. a pair of shorts).

Face Validity

The extent to which an item measures what it's intended to measure.

External Validity

The extent to which findings can be generalized to a target population.

Internal Validity

The extent to which responses to the questions are free from bias. Bias can come from the order of questions in a survey, the researchers, the types of questions, and contextual factors.

Packaging

The final opportunity for a brand to make an impression on a consumer. Helps bring home the points brought up in ads, and can aid impulse buys if done well.

Leverage Points

The foundation of a big idea. Connections to values, and parts of ourselves. We want to move the consumer closer to purchase and loyalty using these points. This is done with appeals and message strategies.

Platonic Notion

The idea that you can present an object and tell people that they want it. But this doesn't work - in reality there is no one universal object. Minute differences in offerings is what makes us happy.

Delayed Impact of Brands

The impact of ads is delayed since people have their own search processes, or wait until a need arises. Measuring long-term impact of ads is hard, but ignoring long term effects causes an underestimated ROI by up to 40%.

Gross Rating Points (GRPs)

The impact of the ad on the target. Multiply the media's rating by the OTS. Gives an idea about the odds of someone in the target actually seeing the commercial.

Causation

The inference that a change in one variable directly causes a change in the other variable. False causation is common, and may be due to a third variable, reverse causation, or random effects.

Branded Entertainment

The integration of entertainment and ads by embedding brands into the storyline of the movie, TV show, or other entertainment medium (ex - Up in the Air has American Airlines prominently).

Online/Offline Marketing Synergy

The interaction between online and offline ads can cause online marketing to lead to offline purchases, or vice versa.

Cooperative Branding

The joint venture of two or more brands into a new product or service (American Airlines and Visa on one credit card).

Tagline

The key word or phrase in an ad that is memorable and identifies the uniqueness of the brand, or conveys meaning. Provide consistency across platforms.

Last Click Attribution

The last ad or click gets 100% of the sale. Ignores other media channels that helped move the customer along, and it overweights ads that appear frequently.

Executional Framework/Execution

The manner in which an ad appeal is presented and the message conveyed.

Cooperative Advertising

The manufacturer reimburses a retailer with a percentage of ad costs associated with advertising the products in the retailer's ad. The retailer has to follow the manufacturer's specific advertising guidelines, and in return the retailer gets more ads out there, and association with a national brand.

Problems with Test Markets

The market being tested must resemble the target market, competing companies can respond by introducing promotions in the market to confound results or by preparing a counter marketing campaign, if the test is too short it might not have reliable results, but if it's too long, the market situation might change and the test won't be generalizable.

Complementary Branding

The marketing of two brands together for co-consumption (Velveeta cheese and Rotel tomatoes).

Attitude

The mental position towards a topic, person, or thing that influences feelings, perceptions, learning, and subsequent behaviors (like a positive attitude toward a brand makes someone more likely to buy it).

Medium

The method of communication, like TV.

Clutter

The most common form of noise.

Comfortable TV Watchers

The most traditional group of millennials who just like watching TV.

Clickthroughs

The number of individuals who clicked on a brand message and were taken to the website.

Circulation

The number of people the vehicle reaches, total.

Effective Frequency

The number of times a target audience must be exposed to a message to achieve a goal. Implies a minimum number of exposures is needed. Too few exposures means goals won't be met, too many means wastes resources. Helps drive home brand recall with repetition.

Gross Impressions

The number of total exposures of the audience to the advertising.D oesn't account for the percentage of total audience that sees the ad.

Marketing Objectives

The objectives of the company with regards to what they want to get out of marketing. These examples are sales volume, profit, market share, etc.

Senders

The one sending the message, including firms trying to get a customer's attention.

Read-Most Score

The percent of people who report consuming half the ad or more.

Ratings

The percentage of a firm's target market exposed to a certain medium.

Ratings

The percentage of a firm's target market exposed to a certain medium. AKA Rating Point.

Effective Reach

The percentage of an audience that must be exposed to a particular message to achieve a goal.

Recipient

The person receiving the message. The effectiveness of the message depends on their motivation, ability, and opportunity to interpret the message.

Hedonism

The philosophy of life that maximizes pleasure and reduces pain.

Ingredient Branding

The placement of one brand within another brand (Dell computers using Intel processors).

Zero Moment of Truth

The point at which a consumer finishes weighing alternatives and decides to pick a brand.

Sales-Expenditures Relationship - Diminishing Returns

The point of saturation where further expenditures have a minimal impact. This is where the shape of the sales-expenditures curve has a concave downward function. Eventually sales increases get to be less than what is spent on marketing.

Sales-Expenditures Relationship - Threshold Effects

The point where advertising programs begin to have a significant effect on consumer responses It takes time, and many interactions with a brand, to convince someone to buy. This can be made to happen sooner with coupons, samples, etc. Easy to achieve with new and innovative products.

Problems with Trade Allowances

The price reduction isn't passed on to consumers Forward buying Diversion.

Marketing Mix

The price, product, positioning, and promotions of marketing. Promotion has been expanded to include social media, digital marketing, and other new alternative methods of communication.

Message Strategy

The primary tactic or approach used to deliver the message. Is either cognitive, affective, or conative.

Value

The principles or moral standards held by a person or social group. What we see as important in life. These determine our needs, and thus determine what we buy. We're especially driven to seek pleasure and avoid pain.

2 Differences Between National Ads and International Ads

The process changes in terms of how agencies are selected and how they interact (giving gifts, only giving cards to trusted allies, etc.) and planning varies since media selection is privy to laws and there are many processes involved.

Market Segmentation

The process of identifying groups most likely to purchase the brand based on their needs, attitudes, and interests. Heterogeneity creates opportunities to make new things. We can't segment "everyone", that's not realistic. People are bad at telling us what they want, so we have to use research, observation, and data to glean their needs.

Advertising Campaign Management

The process of preparing and integrating a specific advertising program in conjunction with the overall IMC massage. Lays the groundwork for the overall campaign.

Inoculation

The product is introduced.

Incubation

The product is used by innovators and trendsetters. Word of mouth marketing doesn't start until after this point, usually.

Dwell Rate

The proportion of ad impressions resulting in a super engaging with the ad (clicking on it, mousing over it).

Virality

The rate of diffusion, and the speed at which something spreads.

Feedback

The receiver's response to the sender. May include purchases, inquiries, complaints, questions, store visits, etc.

Globally Integrated Marketing Communications (GIMC)

The same trends happening in America's ad agencies also happen on a global scale. The goal is still to coordinate marketing across all platforms, but this is harder due to national and cultural differences in target markets.

Continuity

The schedule used during a campaign.

Vehicle

The specific outlet within a medium, like the ABC channel.

Brand Logo

The symbol used to identify a brand. Accentuates the brand name. Poorly designed logos suggest an inferior brand, but it doesn't have to be so complex it contains every element of the brand's meaning. Changing logos is possible but is risky and expensive. They can be rejuvenated to add new elements and expand a firm's target audience.

Modified Rebuy

The team considers and evaluates alternatives because of dissatisfaction with a current vendor, the rise of a better buy, end of a contract, or limited/infrequent experience with the good or service.

Validity

The test is generalizable in its results to other groups.

Reliability

The test is repeatable with the same results.

Rate

The total cost of a media buy

Ads are misleading when...

The typical person is left with a false impression or misrepresentation that relates to the product, and the misrepresentation induces people or the typical person to make a purchase

Brand Loyalty

The ultimate goal of building a powerful brand. Allows customers to choose that brand over anything else (despite price difference). Driven by emotional connection to a brand.

Visual Esperanto

The universal language that makes global advertising possible for anything. Transcends cultural differences using visuals. Even brand identity can be converted into visuals.

Brand Extension

The use of an established brand name on products or services not related to the core brand (Nike extended from shoes into clothing).

Intrinsic Value of Contests

The value associated with participating, particularly with contests where someone can show off their skills.

Brand

The word, term, or phrase features as the name of a product, product line, or company. Takes up mental real estate.

Trend - Communication Revolution

There have been advances in social media and telecommunications, altering word of mouth communication.

Verbal or Written Ads

These emphasize the copy. Are less easily remembered (stored only on the left side of the brain). We used to use it almost exclusively for B2B stuff, since it was considered rational, but now we use visuals, too.

How can brands influence the information search with IMC?

They can make the value and comparison to other brands easy to understand (for external search), they can make the brand memorable and linked to values and experiences (for internal search), and they can make search harder by obfuscating information or making comparisons hard (like the mattress industry, since all mattresses are basically the same).

Myths in Social Media - Social media will replace traditional media

They should really work hand in hand since they all get processed differently and work with different avenues.

How do we know what strategy to use in our message?

Think about communications objectives for the campaign, the brand's personality and positioning, the consumer, and what messages competitors are sending.

Sales-Expenditures Relationship - Communication Goals

This determines the ad's goal, budget, and message to be sent (ex - if the goal is to create awareness first and brand preference later, the early awareness ads won't generate tons of sales).

Response Efficacy

Three factors determine whether or not you make a choice based on fear appeals -Intrinsic and extrinsic rewards from the choice -The response costs of making the choice -One's self-efficacy in making the choice themselves If one believes there are net positive consequences, they'll do it.

Cross-Promotion

Ties together companies and activities around a theme. Ex - Ebay creates a camp touring the country in a bus, teaching people how to use it. Allows earning prizes from Sony and Baskin-Robbins.

Evaluation Criteria for Sponsorship Opportunities

Time frame of sponsorship, fees and payment terms, indirect and direct benefits to the sponsor, audience/target market (attendance records, projections, demographic info, etc.), protection of sponsorship investment (category exclusivity, protection against ambush marketing), other sponsors, marketing and sales opportunities at the event, and media coverage.

Differences in Media Costs are based on...

Time of purchase (not size of the agency) knowledge of the marketplace ability to negotiate package deals

Ways to Enhance Inbound Marketing

To be easily found on web searches (by being relevant and authoritative) Creating good content (contributing to the company reputation, and answering needs beyond basic product info) Optimizing landing pages to turn customers into consumers.

6 Reasons to use Guerilla Marketing

To find a new way to communicate with consumers, to interact with consumers, to make ads accessible to consumers, to impact a spot market, to create buzz, to build relationships with consumers.

Cookies

Trackers that track how people use the internet.

Types of Trade Promotions

Trade allowances Trade contests Trade incentives Trade shows

Trend - Gender Complexity

Traditional gender roles are getting blurred or ignored.

Communication

Transmitting, receiving, and processing information. A receiver needs to comprehend the information to have communication. This is the essence of advertising.

Strivers

Trendy funlovers who like others' approval and opinions. Demonstrate to peers their ability to buy.

Effective Messaging Strategies

Try to evoke feelings or emotions and match them with a good, service, or company feature. Enhances recall, likeability, and comprehension of the ad. Should elicit emotions causing the consumer to act. Affective > conative > cognitive, hoping to influence attitudes toward the brand to later change cognitions and behavior. Works on the Liking, Preference, and Conviction stages of the hierarchy.

Impression Management

Trying to project a certain type of image, and controlling what identities a company displays to others. Maximizes positive characteristics while minimizing negative ones.

Remnant

Unsold ad space on websites.

Scarcity Appeals

Urges customers to buy because of a limitation of time or products. This increases perceived value.

Tips for International Communications

Use local partnerships with marketing research or ad firms, segment to different countries differently, identify local competitors and understand how your market is perceived currently, and use solid communications objectives with linguistics so it's understood.

How to Pick Targets

Use your company's capabilities and see how it matches the target Find a group underserved by competitors See how size, conversion potential, and profitability play out

Multiattribute Model

Used for examining high involvement processes. Says a consumer's attitude towards a brand is determined by the brand's performance on certain attributes (which are each weighed by importance). Higher ratings mean a higher chance of purchase. Despite this, ads should only provide one or two benefits so the viewer isn't overloaded.

Social Commerce

Used for facilitating online buying and selling, reviews and ratings, and deal sites. Groupon, Yelp.

Online Evaluation Metrics

Used for online ads and social media campaigns. Provides accurate, real time measures of consumer reactions.

Civil Laws

Used in European countries. A broad set of legal principles where decisions have been made on legal codes written over time.

Informative Executions

Used mostly in radio. Best for high involvement situations.

Marketing Tactics

Used to guide the day to day activities necessary to support the marketing strategies.

TV Rating

Used to see how well an ad in a certain TV show can reach its audience. Doesn't guarantee commercial success, just the show's success.

Communications Research

Used to understand the product and the consumers who might buy it. We have to know what a consumer considers when buying the product, and we should get insights on how, when, and why products are used.

5 Roles in Buying Centers

Users, buyers, influencers, deciders, gatekeepers.

Advertising and Media Selection in B2B

Uses many types of media, not just business venues, since decision makers also use normal goods and services, reaching them at work is hard, and clutter in traditional business media is hard to cut through. Ads are also more like normal ads using different types of appeals. Trade journals are still used though to reach buying centers.

Regression or Model-Based Attribution

Uses models or regression based approaches. Scientific, but ignores that some ads are viewed just because they're on a relevant site even though they may have no impact themselves.

Cognitive Message Strategy

Uses rational arguments and pieces of information to reach consumers. Requires cognitive processing. Describes the product's attributes or benefits that are obtained by purchasing the product. Uses the cognitive > affective > conative path. We hope then that cognition will change attitudes and behavior. Works on the Awareness and Knowledge stages of the hierarchy.

Ways that we use Sex Appeal

Uses subliminal messaging, sensuality (subtle sexual approaches), sexual suggestiveness (sex is about to take place), nudity or partial nudity, overt sexuality, and decorative models (individuals being used to associate a product with sexuality).

Utilitarianism

Uses the "greatest happiness" principle. Do what maximizes utility for the greatest number of people. But this may disadvantage the minority.

B2B Segmentation - Industry

Uses the North American Industry Classification System (NAICS). Examines industries that can be broken down into small subcomponents (construction, wholesale trade, healthcare, etc.)

Positioning - Attributes

Uses traits and characteristics to set a brand apart from others (hummus brand with 8 flavor combinations).

Communications Budgets - Quantitative Models

Using computer simulations to model the relationship between advertising and sales. Limited to large organizations with strong stats departments.

Justifications

Using logic designed to reduce the degree of negativity associated with the predicament, by making the event seem trivial or saying that it was unavoidable.

Disadvantages of Coupons

Usually used by people who have that brand preference anyway May also be counterfeited or redeemed for the wrong product Consumers become conditioned to use them May be seen as cheap, or unfavorable May cause price wars by shifting focus to price

Challenges to Social Media Measurements

Usually we measure followers, shares, likes, etc. since we can't connect it to impact on sales. But problems include self-selection and homophily.

Alternative Media Venues for Placing Ads

Video games, cinemas, ads in public locations, and ads on items (bags, receipts, tickets).

7 Best Practices for Effective Ads

Visual consistency, repeated taglines, consistent positioning, simplicity, effective flow (beginning to middle to end), identifiable selling point, and campaign duration.

Abstract Visuals

Visuals where the subject is difficult to recognize.

3 Metrics in Social Media

Volume of traffic Level of engagement Conversion

Ethnography

Watching people use something to get ideas for how to make it better, or even what products to invent. Need to observe, because people don't tell you what they want.

Inbound Marketing

Ways companies ensure they can be found when consumers search for their product, by aligning websites to search processes and search engines.

Outbound Marketing

Ways that firms reach out to target consumers. Usually through print, radio, TV and such. Consists of search, display, and video ads.

Focalism

We focus so hard on one attribute of something that we fail to see the rest, or their implications.

Psychological Immune System

We underestimate our ability to adapt to new things, exhibiting focalism and ignoring other factors that also impact our overall happiness (ex - in moving to California, people expect the weather to be the toughest transition, ignoring things like traffic, culture, and so on).

Similarity

We're more likely to be influenced by a message from people who are similar to us, leading us to identify with them. Can also come from the belief that the person has similar attitudes, preferences, or behaviors.

Content-Curation Websites

Websites where content is created and distributed simultaneously (BuzzFeed, Reddit)

Calculating Weighted CPM Value

Weighted CPM = (ad cost X 1,000) / actual audience reached.

Product Placement

When a brand or product is inserted into a movie, TV show, or program. Began with Reese's Pieces in E.T. MOstly works to increase awareness and positive attitudes, not so much to increase sales immediately. Doesn't have a call to action.

Crisis Management

When a company accepts the blame for an event, apologizes, or refutes the charges in a forceful manner. Denials make things worse if they aren't backed up with proof, and if bad things keep happening.

Brand Infringement

When a company creates a brand name closely resembling a popular brand (Coors Beer) which they can be sued for. This gets more complex when the brand is so established it's synonymous with the product type, and might be considered a generic term.

Brand Infringement

When a company creates a brand name closely resembling a popular or successful brand. May also include domain squatting.

Sponsorship Marketing

When a company pays money to sponsor a group or person to increase brand loyalty and positive feelings. Creates situations in which prospects, customers, etc. all gather together in a positive setting, so positive feelings are extended to the company. Not a charity - sponsorships want exposure in return. Mostly done with sports teams, people, or certain key groups).

Organic Emergence

When a company spends time and effort to have their website naturally listed in a top place. Requires knowing how algorithms work, optimizing content, etc.

Spontaneous Trait Transference

When a comparative ad criticizes the competition based on a particular attribute, viewers also attribute the deficiency to the promoted brand.

Investigative Spider-Webbing

When a customer pursues a specific type of content across multiple platforms.

Puffery

When a firm makes an exaggerated statement about its goods and services, although they can't be proven true or false because they aren't factual. Claims like "friendliest", "best", "finest". Lately marketers use words like "fresh" and "wholesome" that have no real marketing meaning.

Stimulus Codability

When a logo evokes consensual meanings within a culture or subculture, like the Apple or Nike logo. In these cases the brand name itself doesn't even have to be present.

Diversion

When a retailer purchases a product on sale in one location and ships it to another location where it's not on sale. Needs to examine shipping costs and potential profit.

Forward Buying

When a retailer purchases extra amounts of a product while it's on sale and sells it after the deal ends, saving the cost of purchasing it at full price.

Projective Techniques

When accurate beliefs are hard to uncover, we let people project their thoughts onto something else by having them fill in speech bubbles, make collages, etc. But the real purpose has to be hidden from the participant, so the researchers spend tons of time trying to deduce results.

Sales-Expenditures Relationship - Wear-Out Effects

When ads become old and boring, so consumers start to tune it out and develop negative attitudes toward it. About half of all campaigns experience this by lasting too long.

Satisficing

When an acceptable alternative has been identified, the search ends (instead of taking up time trying to find an optimal solution).

Apology Strategies

When an investigation reveals that a firm was at fault, so the firm offers a quick apology. Usually the consumers forgive the company and can even feel more positively toward it afterward.

Incidental Ambushing

When consumers associate a brand with an event without any effort on the part of the company (ex - Swimmers using Speedo gear, causing it to be mentioned by announcers).

Brand Parity

When consumers believe that various brands provide the same set of attributes.

Earned Media

When customers share information, or when news talks about a company.

Dual Channel Marketing

When goods are sold to both consumers and businesses, like when a product sold in business markets is adapted to the consumer market. Since new products have high costs, businesses are usually turned to first until economies of scale emerge. Then we move to retail when price gets lower and products get user friendly.

Spin-off Sales

When individuals who buy a particular brand enjoy positive experiences at work, and buy it for their home due to that positive experience.

Omnichannel Shopping

When people are comfortable buying from different distribution channels, like if someone sees an ad for something online and decides to go in store to buy it. So we shouldn't analyze the two separately, or else the e-commerce side of it will look like it's underperforming.

Sales-Expenditures Relationship - Carryover Effects

When people don't buy something immediately after seeing an ad, and instead wait until they need the product (like a washing machine) much later.

Sales-Expenditures Relationship - Decay Effects

When people forget the message after a company stops advertising. To counteract this, companies should continue to engage in some form of marketing communications to keep the brand in people's thoughts.

Offline Conversions

When people make an in-person sale based on an online ad's impact.

Showrooming

When people see a product in person, compare prices online, and then buy it online.

Cybersquatting/Domain Squatting

When someone buys domain names in hopes of profiting by selling to the actual company later.

Snowball Sampling

When someone joins a survey and is encouraged to share it with friends, which is bad sampling

Settlements

When the FTC orders the company to take certain actions instead of accepting a consent order (ex - forcing people to reveal they were paid to say something about a company).

Straight Rebuy

When the firm has chosen a vendor previously and places a reorder, usually only using a few members of a buying center. No evaluation of alternatives or info search takes place.

Decoding

When the message reaches a receiver's senses. If the receiver can accurately understand the message as it was intended by the senter, it was a quality marketing communication.

Brand Alliance

When two companies develop new products using both names (like Head and Shoulders joining with Old Spice).

Trade Contests

When winners receive cash or prizes (spiff money), held at every level within the channel. Used to influence salespeople. Companies often don't want employees participating since it may lead to poor decisions.

Sentiment

Whether buzz was positive or negative.

To amplify messages we have to know three things

Why consumers share content (intrinsic and extrinsic motivations), what consumers share (comedy? entertainment?), and how consumers share content (will it go viral?).

Infection

Widespread use of the product occurs.

Decisions made when selecting music for an ad

Will it be original or familiar? What role will the music play? What emotional pitch should the music reach? How does it fit in with the message?

Roles of Advertising Personnel - Media

Work on planning and buying media space.

Roles of Advertising Personnel - Traffic Managers

Works with the agency's staff and ensures scheduling stays on time.

Rational Appeals

Works with the hierarchy of effects stages. Usually focuses on just one of the six steps. Leads to conviction about a product's benefits. Rely on the customer actively processing the info by paying attention, comprehending the message, and comparing the info to info already present in a cognitive map. Best done with print media and the internet (since TV and radio are too short to make new linkages).

Cognitive > Affective > Conative

You hear and collect information about something, then determine how you feel about it, then develop a belief about it.

Benchmark Measure

establishes a starting point to be compared with the degree of change following a promotional change. A baseline for assessing future outcomes.

B2B Segmentation - Customer Value

examines value associated with each customer, which is easy for B2B since there's tons of dtaa about each customer, placing them into low, medium, or high value groups.

Direct Marketing Agencies

handle every aspect of a campaign via telephone orders, internet programs, and direct mail.

Response Rates

measured when consumers make inquiries by phone, email, websites, etc. Marketing pieces are coded so that a person responding to a certain communication uses a special phone line, QR code, etc.

Metrics

measures of success we can use to portray the effectiveness of a marketing communications plan.

Free Standing Inserts

sheets of coupons distributed in newspapers.

Dead Person Endorsement

using the image of someone who passed away.

Calculating Search Ad Profit

(impressions AND clickthrough rate X conversion rate X margin) - search ad cost.