MKTG 403: Chapter 10

Assume that during a television show the cost of commercial time is $564,294 and the program rating is 4.6. Calculate the cost per ratings point.

$122,672

Assume that the cost of ad space in a newspaper is $11,600 and the newspaper's circulation is 464,000. Calculate the cost per thousand.

$25.00

Assume that the cost of ad space in a magazine is $412,325 and the magazine's circulation is 5.5 million. Calculate the cost per thousand.

$74.96

Identify an accurate statement about media planning.

It is a process that acts as a guide for media selection.

Identify a disadvantage of outdoor advertising.

It is bound by local restrictions.

Identify an advantage of outdoor advertising.

It is location specific.

What is a disadvantage of the flighting method of scheduling?

It is vulnerable to a competitor's efforts during nonscheduled periods.

Identify an advantage of the continuity method of scheduling.

It maintains the constant presence of a product in the market.

Identify an advantage of the flighting method of scheduling.

It makes advertising cost efficient.

Identify the advantages of digital/interactive media in advertising. (Check all that apply.)

It provides a flexible message platform. It increases user attention and involvement. It creates a two-way relationship.

Which of the following index combinations strongly indicates that a particular market is not a good place for advertising?

Low BDI and low CDI

Identify an accurate statement about the factors that influence a media plan.

Not all media decisions are quantitatively determined.

Recency planning for an ad focuses on which of the following factors?

Short interval reach Brief period before purchase decision

Identify an internal factor that can affect a media strategy.

Size of the media budget

Which of the following factors contributes to the problems in media planning?

The difficulty in determining the relative effectiveness of various media

Why should an advertiser's media strategy be flexible? (Check all that apply.)

To enable the use of alternative media vehicles To respond to threats from competitors To take advantage of new market opportunities

True or false: A media plan focuses on determining the best way to deliver an advertising message.

True

True or false: A viewer's perceptions of a message can be influenced by the context of the medium in which an ad is placed.

True

True or false: Advertisers can make their media strategies more effective by employing a combination of media.

True

True or false: Outdoor advertising is an example of a medium category.

True

What should marketers consider in order to develop an effective media strategy?

Using a media mix to increase the coverage, reach, and frequency of their ads.

Which of the following factors makes it difficult to establish a media plan?

Varying cost bases used by different media

When should advertisers increase the frequency of ads? (Check all that apply.)

When a variety of messages need to be delivered When advertisers aim to create a strong brand image When an advertising campaign is new in the market

Identify a situation in which advertisers need to increase the frequency of their ads.

When the medium used faces a problem of advertising clutter

Lower frequency levels are required for an ad when ______.

a brand's share in the market is high

The general category of delivery systems, such as direct marketing and broadcast (i.e., TV and radio), is known as ______.

a medium

The average number of times the target audience reached by a media schedule is exposed to a media vehicle over a specified period is known as ______.

average frequency

A characteristic of an effective media strategy is that it should ______.

be flexible and adaptable to specific market situations

In the media planning process, the potential for development of a product category in a particular geographic area is determined by the ______.

category development index

In newspaper advertising, the cost per column inch of the paper is known as the ______.

daily inch rate

In media planning, the number of times a person is exposed to the media vehicle in a specified time period is called .

frequency

Establishing a media plan becomes complicated due to ______.

immediate responses to a competitor's actions

Advertisers need to ensure lower frequency levels for an ad when ______.

larger advertising units are required to get a message across

A characteristic of cost per thousand (CPM) is that it ______.

makes only quantitative estimates of the value of media

A series of decisions used to deliver a promotional message to potential consumers of a product is known as ______.

media planning

A specific carrier within a medium category used in the media planning process is known as a(n) ______.

media vehicle

Muzzen is a monthly print magazine that features entertainment-related news and articles about famous personalities. The magazine is an example of a(n) ______.

media vehicle

The use of a product is proportionately greater in a market segment when the index number of that segment is ______.

over 100

Summit Inc. is a manufacturer of sodas and juices. It runs advertisements throughout the year to promote its products. However, the company increases its promotional efforts during the holiday season. In this scenario, the company is using the ______ method of advertising.

pulsing

combines the advantages of the other two methods of scheduling.

pulsing

Exposing potential buyers to an advertising message is called ______.

reach

The process of focusing on short interval reach at minimum frequency levels as close to the purchase decision as possible is known as ______.

recency planning

In advertising, the type of cost used to compare media vehicles is called cost, and it refers to the connection between the price paid for an ad and the size of the audience delivered.

relative

In order to improve the likelihood of achieving overall communications and marketing goals, a media planner should try to ______. (Check all that apply.)

target geographic areas based on interest minimize the amount of waste coverage

The number of people in the primary target audience a media buy will reach combined with the frequency of exposure is referred to as ______.

target ratings points

Advertisers should increase the frequency of ads when ______. (Check all that apply.)

the brand has many successful competitors a brand is used daily and needs to be replaced quickly a brand is new in the market

Less frequency is needed for an ad when ______. (Check all that apply.)

the media vehicle used achieves high levels of attention the media vehicle used increases the chances of repeat exposures the ad is consistent with the editorial environment

Using the average frequency number to calculate GRPs usually results in ______ an audience.

underexposing

The total number of consumers exposed once to an advertisement is known as ______.

unduplicated reach

A situation in which media coverage exceeds the targeted audience resulting in overexposure is known as ______.

waste coverage

Assume that the percentage of product category sales in Virginia and the percentage of total U.S. population in Virginia are 3% and 2%, respectively. Determine the category development index (CDI).

150

Assume that the percentage of brand sales in Texas and the percentage of total U.S. population in Texas are 70% and 28%, respectively. Determine the brand development index.

250

Although no one knows the exact number of exposures necessary for an ad to make an impact, advertisers generally consider effective reach to be ______ exposures.

3 to 10

Which of the following are factors that affect the frequency of advertisement needed to make an impact on a consumer?

Ad creativity Involvement of the consumer Noise

Which of the following factors creates problems during media planning?

Time pressures due to a false sense of urgency

True or false: Pulsing is ideal for seasonal products.

False

True or false: TV viewing statistics are fairly reliable for determining whether an ad has reached its intended audience.

False

Which of the following measures in media planning combines the program rating and the frequency of exposure during that period?

Gross ratings points

______ makes it difficult to establish a media plan.

Inconsistency in the standards used to measure different media

Identify a true statement about the factors that influence a media plan.

Information about actual audience figures is inadequate as some data cannot be measured.

Identify the role of buying power index in establishing a media plan.

It assesses the relative value of a particular market.

Identify the advantages of television as an advertising medium. (Check all that apply.)

It can achieve mass coverage. It has a high reach. It has a favorable image.

What are the advantages of using the flighting method of scheduling? (Check all that apply.)

It can allow advertisers to use more than one medium. It can include a combination of media vehicles with limited budgets.

What are the advantages of using the continuity method of scheduling?

It covers the entire buying cycle. It enables advertisers to use media based on their priorities.

Identify the disadvantages of the flighting method of scheduling.

It does not allow retention of promotional message during nonscheduled times. It increases the likelihood of wearout.

Identify a disadvantage of direct mail in advertising.

It faces the problem of advertising clutter.

Identify a disadvantage of using radio as an advertising medium.

It faces the problem of advertising clutter.

Which of the following are characteristics of the television medium? (Check all that apply.)

It has a high prestige in the market. It has a short message life. It can achieve a high level of attention. It has low selectivity.

Which of the following are characteristics of outdoor advertising? (Check all that apply.)

It has a short exposure time. It has a poor image in the market. It is easily noticed. It has high repetition.

Identify the disadvantages of television as an advertising medium. (Check all that apply.)

It has high production costs and absolute cost. It faces the problem of advertising clutter.

Identify an advantage of direct mail in advertising.

It has high selectivity.

Identify an advantage of using radio as an advertising medium.

It has low production costs.

Identify a disadvantage of the continuity method of scheduling.

It increases the chances of waste coverage.

What are the disadvantages of using the continuity method of scheduling?

It increases the costs incurred by media planners. It allows limited media allocation.

Identify a disadvantage of digital/interactive media in advertising.

It increases the potential for deception.

Which factors contribute to the difficulty of establishing a media plan?

The periodic rather than continuous measurement of audience figures A lack of information and transparency when using periodic buying

Which of the following measures helps to determine the potential of a particular metropolitan area and is based on population, effective purchasing capacity, and total retail sales in that area?

The survey of buying power index

Which of the following are characteristics of newspapers as an advertising medium? (Check all that apply.)

They are timely and have a short life span. They require short lead time for ad placement. Readers can control the rate of exposure. They face the problem of advertising clutter.

Which of the following are characteristics of magazines as an advertising medium? (Check all that apply.)

They have a long life span. They have good reproduction quality. They have multiple readers. They require long lead time to place an ad.

Identify an advantage of using magazines as an advertising medium.

They have good potential for segmentation.

Identify a disadvantage of newspapers in advertising.

They have poor reproduction quality.

Identify an accurate statement about costs per thousand (CPMs).

They make quantitative estimates of the value of media.

What should marketers do when developing an effective media strategy?

They should consider the creative aspects of a message.

An overlap in which people are exposed to an advertisement twice is known as ______.

duplicated reach

The percentage of a media vehicle's audience reached at each effective frequency increment is represented by ______.

effective reach

Sierra Corp. is a manufacturer of fishing equipment. It runs ad campaigns during the fishing season, from May to October, to promote its fishing gear to consumers. However, it does not run any advertisements from November to April. In this scenario, the company is using the ______ method of advertising.

flighting