Marketing Exam 3 (Ch.18)

Paid form of communication delivered through media from an identifiable source about an organization, product, service, or idea designed to persuade the receiver to take some action now or in the future. First, _______ is not free; someone has paid, with money, trade, or other means to get the message shown. Second, _____ must be carries by some medium-TV, radio, print, the web, etc. Third, legally the source of the message must be knowledgeable. Fourth, ____ represents persuasive form of communication designed to get consumer to take some action. ______ most visible form of marketing communications that people think that marketing and ______ are synonymous. Consumers screen out messages not important to them, You may not react to an ___ when you see it or you won't remember it. Even if you remember the ___ you may remember it as an ___ for another brand which is an advertiser's worse nightmare. Consumers only exposed to end product.

Advertising

Subsection of the firm's overall marketing plan that analyzes the marketing and ______ situation, identifies objectives of _____ campaign, clarifies specific strategy for accomplishing those objectives, and indicates later how firm can serve as a measure for if the _____ was success or failure

Advertising Plan (Step 2: Set Advertising Objectives)

Specifies timing and duration of advertising. Three types of schedules: continuous schedule, flighting, pulsing

Advertising Schedule (Step 5: Evaluate and Select Media) (Determining the Advertising Schedule)

Represent main text portion of ad. Used to build on interest generated by visual and headline, explains more in depth what headline and subheads introduced, arouses desire for product, and provides enough info to move target consumer to action. Some ____ may be longer because it requires some explanation-the other ad elements are insufficient to explain and sell product

Body Copy (Step 6: Create Advertisements)

The ad typically has a number of _____ that identify the sponsor of the ad, usually through a logo and a unique selling proposition. Advertiser must convey message using compelling visuals, headlines, body copy, and identifying brand elements. Advertisers must remain careful to not let their creativity overshadow their message. Whatever the execution style, advertisement must be able to attract audience's attention, provide reason for audience to spend its time viewing the ad, and accomplish what it set out to do. In the end, execution style must match the medium and objectives.

Brand Elements (Step 6: Create Advertisements)

Commercial activity in which businesses and charities form a partnership to market an image, product, or service for their mutual benefit in history. Ex: Chili's allows people to design a chili and then donate money to St, Jude's

Cause-related marketing (Public Relations)

Brand sponsored competition that requires some form of skill or effort. Ex: Get Me to the World Cup contest

Contest (Types of Sale Promotions)

Runs steadily throughout the year so is suited to products and services that are consumed continually at relatively steady rates and require steady level of persuasive and/or reminder advertising. Ex: Tide advertises continuously

Continuous Schedule (Step 5: Evaluate and Select Media) (Determining the Advertising Schedule)

Offers a discount on the price of specific items when purchased. _____ issued by manufacturers and retailers in newspapers, on products, etc. Some retailers directly link _____ to loyalty programs. Ex: CVS tracks customers' purchases when they use ExtraCare loyalty card and gives them ______ that are tailored just for their needs. Some _____, also contain information about the customer who uses it. Traditionally, ______ had low redemption rates, so were inexpensive ____ tool, but using consumer data to create more targeted promotions has resulted in higher redemption rates increasing their expense.

Coupons (Types of Sale Promotions)

When 2 or more firms join to reach a specific target market. To be successful in ___ the two products must appeal to the same target market and together create value for customers. Ex: J.Crew has teamed up with Ray-Bean, Speedo, etc. Goal of any sales promotion is to create value for consumer and firm. Understanding needs of its customers, a firm can develop promotional messages and events for these customers. Traditionally, sales promotion has been to generate short-term results, where the goal of advertising was to generate long-term results. But, both sales promotion and advertising can generate long and short term effects. `

Cross-promoting (Using Sales Promotion Tools)

_____ refers to a type of short-term price reduction that can take several forms like a featured price or a reduced percentage interest rates or extended repayment terms. _____ encourage customers to try a product because they lower the risk for consumers by reducing the cost of the good. But ____ can alter perceptions of value-a short-term price reduction may signal a different price-quality relationship than would be ideal from the manufacturer's perspective. Also, offering too many deals can offset gains

Deals (Types of Sale Promotions)

Aims to satisfy consumers' emotional desires rather than utilitarian needs. Focus on feeling about the self. Key is to create a bond between consumer and brand. Most common types of emotional appeals: fear, safety, humor, happiness, love (or sex), comfort and nostalgia

Emotional Appeal (Step 4 Convey the Message) (The Appeal)

Another PR tool. When corporations support various activities (financially or otherwise), usually in the cultural or sports and entertainment sectors. Ex: Red Bull frequent sponsor of many sports events, like Red Bull Air Race

Event Sponsorship (Public Relations)

Advertising schedule implemented in spurts, with periods of heavy advertising followed by periods of no advertising. Ex suntan lotion advertised heavily in months leading up to summer

Flighting (Step 5: Evaluate and Select Media) (Determining the Advertising Schedule)

Large type in ad that is designed to draw attention

Headline (Step 6: Create Advertisements)

Helps consumers make purchase decisions by offering factual information that encourages consumers to evaluate the brand favorably on the basis of the key benefits it provides. Ex: Sexy Green Car Show allows consumers to educate themselves in environmentally conscious manner when it comes to their cars. This appeal is good for: informing consumers about potential source of its comparative advantage, including tangible features and images of science, advertising copy directly delivers informational, persuasive message

Informational Appeal (Step 4 Convey the Message) (The Appeal)

Communication used to create ad build brand awareness, with goal of moving consumer through the buying cycle to a purchase. Helps determine early stages of a product's life cycle especially when consumers have little info about the product. Retailers often use _____ to tell customers about sales or merchandise

Informative Advertising (Step 2: Set Advertising Objectives)

Inform, persuade, or remind consumer about issues related to places, politics, or an industry. Well known _____ is "Got Milk?" these ads highlight beneficial properties of mil, combined with mild emotional fear of what happens if milk is not drunk.

Institutional Advertisements (Step 2: Set Advertising Objectives)

Additional sales caused by advertising

Lift (Step 7: Assess Impact Using Market Metrics)

Specifically designed to retain customers by offering premiums or other incentives to customers who make multiple purchases over time.

Loyalty Programs (Types of Sale Promotions)

Channels include outdoor/billboards, newspapers, magazines, radio, and TV are ideal for reaching large numbers of anonymous audience members. Yahoo.com, Comcast.com

Mass Media (Step 5: Evaluate and Select Media)

The actual purchase of airtime or print pages, is generally largest expense in the advertising budget. TV advertising is most expensive. To characterize these various types of media we use: mass and niche media

Media Buy (Step 5: Evaluate and Select Media)

_____ refers to the process of evaluating and selecting the ____ which is the combination of the media used and the frequency of advertising in each medium-that will deliver a clear, consistent, compelling message to the intended audience. Ex: Macy's may determine heavy dose of TV, radio, print, and billboards is appropriate for the holiday season between Thanksgiving and end of the year

Media Planning and Media Mix (Step 5: Evaluate and Select Media)

More focused to reach narrow segments, often with unique demographic characteristics or interests. Specialty TV channels like Home and Garden TV, Cosmo Girl Magazine, American Express

Niche Media (Step 5: Evaluate and Select Media)

When product has gained certain level of brand awareness firms use _____ to motivate consumers to take action. _____ usually occurs in growth and early maturity stages of PLC, when competition is most intense. In later stages of _____ may be used to reposition established brands by persuading consumers to change existing perceptions of the product. Firms like Lancome use ____ to convince consumers to switch brands, try new product, or continue to buy advertised product

Persuasive Advertising (Step 2: Set Advertising Objectives)

Merchandise displays located at the _____ like the checkout counter in a supermarket. Retailers know most valuable real estate in the store is at the ____ since they increase product visibility and encourage trial. On the Internet, shoppers stimulated by special merchandise,etc at checkout screen

Point-of-Purchase (POP) Displays (Types of Sale Promotions)

Evaluation of campaign's impact after it has been implemented. At this stage, advertisers assess the sales and/or communication impact of the advertisement or campaign. Measuring sales impact can be challenging because many influences other than advertising on consumers' choices, purchase behavior, and attitudes. These influences include level of competitors' advertising, economic conditions in the target market, sociocultural changes, in-store merchandise availability, and even whether all can influence purchasing behavior. For frequently purchased consumer goods, sales volume gives good indicator of advertising effectiveness because their sales are stable and if we assume other elements of the marketing mix and the environment have not changed, we can attribute changes in volume to changes in advertising. Time-series analysis, sales data from the past is used to forecast the future. The data can be decomposed into its basic trend, seasonal influences, and the lift

Post-testing (Step 7: Assess Impact Using Market Metrics)

Offers an item for free or at a bargain price to reward some type of behavior, such as buying, sampling, or testing. These rewards build goodwill among consumers who perceive high value om them. Ex: toys inside cereal boxes, coupon for milk on a box of Cheerios. ____ can be very effective if they are consistent with brand's message and image and desirable to target market

Premiums (Types of Sale Promotions)

Refers to assessments performed before an ad campaign is implemented to endure that the various elements are working in an integrated fashion and doing what they are intended to do

Pretesting (Step 7: Assess Impact Using Market Metrics)

Marketers pay to have their product included in nontraditional situations, such as a scene in a movie or TV program. BY doing so, they increase ti=he visibility of their product. Ex: American Idol drinking Coke. Apple can earn returns without paying for the placements, but not all firms so lucky

Product Placement (Types of Sale Promotions)

To inform, persuade, or remind consumers about issues related to place, politics, or an industry

Product-focused advertisements (Step 2: Set Advertising Objectives)

Involves managing communications and relationships to achieve various objectives such as building and maintaining a positive image of the firm, handling or heading off unfavorable stories or events, and maintaining positive relationships with the media. A lot of the time, ______ activities support other promotional efforts by generating free media attention and good will. Ex: Placement of designer apparel at media events benefits both the designer and the celebrity

Public Relations

Specific category of institutional advertising is ______. _____ focus on public welfare; usually sponsored by nonprofits, civic groups. religious groups, trade associations or political groups. Like product and institutionally focused advertising, ____ also inform, persuade, or remind consumers, but focus is for betterment of society

Public Service Advertising (PSA) (Step 2: Set Advertising Objectives)

Line between legal and illegal more difficult to discern when it comes to _____. Legal exaggeration of praise, stopping just short of deception, lavished on a product. Ex: When Match.com claims that it leads to "better first dates" =___. Charmin's claims extend to only to leaving less toilet paper behind than other brands (______), not eliminating the problem all together (deception). _____ is acceptable as long as consumers know that the firm is stretching the truth through exaggeration.

Puffery (Regulatory and Ethical Issues in Advertising)

Generally in advertising to consumers, objective is a _____ which the goal is to get consumers to pull the product in to the marketing channel by demanding it

Pull Strategy (Step 2: Set Advertising Objectives)

Combines continuous and flighting schedules by maintaining base level of advertising but increasing advertising intensity during certain periods. Ex: airlines, hotels, and car rental companies might continuously advertise for brand awareness but might increase advertising in spikes during certain low demand periods

Pulsing (Step 5: Evaluate and Select Media) (Determining the Advertising Schedule)

Designed to increase demand by focusing on wholesalers. retailers, or salespeople. These campaigns try to motivate seller to highlight product and not competitor products. Advertising campaigns attempt to inform, persuade, and remind customers. another way of looking at advertising objectives is to examine ad's focus: product vs. institutional

Push Strategy (Step 2: Set Advertising Objectives)

Particular type of price reduction in which a portion of the purchase price is returned by the seller to the buyer in the form of cash. Firms get value from ____ because they attract consumers and therefore stimulate sales, but they may not have to pay off all the _____ offered.

Rebates (Types of Sale Promotions)

Communication used to remind or prompt purchases, especially for products that have gained acceptance and are in maturity stage. Such advertising appears in traditional media and other forms of advertising. Ex: when you need to buy tissues do you look at other options, prices, etc or grab the first thing you see. You grab Kleenex first, because it is o you top-of-the-mind awareness which the manufacturer has received through advertising. Kleenex gad a prominent place in people's memories and triggers their response without thinking. The adverting and end cap display and then prompt you to respond by buying a package

Reminder Advertising (Step 2: Set Advertising Objectives)

Special incentives or excitement-building programs that encourage consumers to purchase a particular product or service, usually used in conjunction with other advertising or personal selling programs. Many ____ try to build short term sales with free samples, etc. Others like loyalty programs, sweepstakes, etc. are long-term. The tools of any _______ can be focused on any channel member-wholesalers, retailers, or end-user consumers. When ______ targeted at channel members, marketer is employing a push strategy; when it targets consumers themselves, it is using a pull strategy

Sales Promotions

Offers potential customers the opportunity to try a product or service before they make a buying decision. _____ one of the most costly sales promotion tools but also one of the most effective. Ex: Costco

Sampling (Types of Sale Promotions)

PSAs represent a form of _____which is the application of marketing principles to a social issue to bring about attitude and behavior change among general public or a specific population segment. Reba McEntire spokesperson for Outnumber Huger

Social Marketing (Step 2: Set Advertising Objectives)

The success of a advertising program depends on how well the advertiser can _______. Firms keep in mind that their ______ may or may not be the same as current users of the product. Ex: Adidas knows that FIFA fans know about their product, but music fans may not know a lot about the brand's products so brought in Selena Gomez to advertise

Step 1: Identify Target Audience (Steps in Designing and Executing an Advertising Campaign)

Smaller headline, provide more info about product its selling

Subhead (Step 6: Create Advertisements)

Form of sales promotion that offers prizes based on a chance drawing of entrants' names, ____ do not require entrant to complete a task other than buying a ticket or filling out a form. Sometime sweepstakes appears inside product but most states don't require a purchase

Sweepstakes (Types of Sale Promotions)

Includes monitoring key indicators such as daily or weekly sales volume while the advertisement is running to shed light on any problems with the message or the medium

Tracking (Step 7: Assess Impact Using Market Metrics)

Another common strategy differentiates a product by establishing its unique benefits. This distinction forms basis for _____. Usually theme or slogan in an advertising campaign, Communicates unique attributes of product and becomes snapshot of entire campaign. Selling proposition must not only be unique to brand but also meaningful to the consumer. Must be sustainable over time, even with repetition. Oreo: Milk's Favorite Cookie

Unique Selling Proposition (Step 4 Convey the Message) (The Message)