Marketing Final Exam, Chp. 18
Unlock all answers in this set
Unlock answersquestion
The next big thing in TV is online TV and online streaming. What are some companies that already participate in that?
answer
Hulu, Netflix, Apple, Amazon
question
Product advertisements take what three forms?
answer
Pioneering (informational), competitive (persuasive), reminder
question
What kind of advertisement would be considered Pioneering (informational)?
answer
The kind that tells people what a product is, what it can do and where it can be found. Key is to inform the target market. Products such as Trident gum or Campbells soup.
question
What kind of advertisement would be considered Competitive (persuasive)?
answer
The kind that promotes a specific brand's features and benefits. Objective is to persuade the target audience. Products such as ads comparing prices to one company to another, like GoDaddy.
question
What kind of advertisement would be considered for reminder?
answer
The kind that needs reinforcement of a product. Products like a 1800flowers.com commercial to send a reminder about Valentines Day. The products using this advertising are typically in the mature stage.
question
What is another type of reminder ad?
answer
Reinforcement which Dial soap advertisement use saying "aren't you glad you use Dial. Don't you wish everybody did?"
question
What kind of advertisement build goodwill or an image for an organization rather than promote a specific good or service?
answer
Institutional advertisements; Texaco, Pfizer, IBM are examples in the book
question
What are 4 alternative forms of Institutional advertisements?
answer
Advocacy, Pioneering Institutional, Competitive Institutional, Reminder Institutional
question
What kind of advertisements state the position of a company on an issue?
answer
Advocacy advertisements. Examples like Tobacco companies and Chevron's "We Agree" campaign, or American Red Cross for blood donations.
question
What kind of advertisement tell us what the company is, what it can do, or where it is located?
answer
Pioneering Institutional. This is very similar to Pioneering advertising, but focuses on companies, not products. Examples like Bayer advertising "we cure more headaches than you think", Bridgestone, Jeep and Laundry
question
What kind of advertisements promote the advantages of one product class over another where different product classes compete for the same buyers?
answer
Competitive Institutional. For example the "Got Milk" campaign is used to increase the demand for milk as it competes against other beverages.
question
The Reminder Institutional is much like the Reminder advertisement for products, in that it bring's the companies name to the attention of the target market again. What is an example of Reminder Institutional?
answer
The Army Branch of the US Military sponsors a campaign to remind potential recruits of the opportunities in the Army.
question
What are some examples of identifying a target audience?
answer
Dr. pepper promoted its reduced-calorie soda to 25-34 year old men, while Kraft targeted 20-30 ear old women for its Greek Yogurt, Athenos. Gatorade introduxed the G-Series Fit placing ads on E! and mapmyfitness.com to "reach" fitness athletes who exercise regularly.
question
What are the most common type of advertising appeals?
answer
Fear, sex and humor
question
Which advertising appeal suggests to the consumer that he or she can avoid some negative experience through the purchase and use of a product or service, a change in behavior, or a reduction in the use of a product?
answer
Fear appeal. For example, automobile safety ads, social ads about drug and alcohol use, food producers encouraging low-carb, low-fat.
question
Which advertising appeal suggests to the audience that the product will increase the attractiveness of the user?
answer
Sex appeal. For example, Bebe, Candie's
question
Which advertising appeal implies either indirectly or subtly that the product is more fun or exciting than competitors' offerings?
answer
Humorous appeal. For example, Geico, AFLAC duck, Travelocity gnome's
question
Which advertising agency was the US Agency of the Year for its creative approach to bringing "brands closer to consumers"?
answer
Wieden + Kennedy
question
Examples of the Wieden + Kennedy's advertising approach would include
answer
"Imported from Detroit" campaign for Chrysler, "The Man Your Man Should Smell Like" campaign for Old Spice, "Curve ID" campaign for Levi's
question
What popular thing can you use to advertise?
answer
A celebrity spokesperson
question
Who are the top 5 celebrity spokespersons?
answer
Tom Hanks, Morgan Freeman, Pauley Perrette, Robin Williams, Clint Eastwood.
question
How much would an actor get paid for a TV ad?
answer
$17,000
question
What are examples of advertising media?
answer
Newspapers, magazines, radio, TV
question
What is the decision for media selection based on?
answer
The target audience, type of product, nature of the message, campaign objectives, available budget, and the costs of the alternative media
question
Which 3 advertising media selections account for 65% of all advertising expenditures?
answer
Television, direct mail and newspaper
question
What is the number of different people or households exposed to an advertisement that advertisers try to maximize the number of individuals in the target market?
answer
Reach, which newspapers typically use
question
How do TV and radio stations describe their reach term?
answer
Rating, which is the percentage of households in a market that are tuned to a particular TV show or radio station
question
When advertisers want to reach the same audience more than once, they are concerned with what?
answer
Frequency, which is the average number of times a person in the target audience is exposed to the message or advertisement.
question
What is the equation to get the Gross Rating Points (GRP)?
answer
Reach times Frequency
question
What refers to the cost of reaching 1,000 individuals or households with the advertising message in a given medium?
answer
Cost per thousand (CPM)
question
What are the advantages of Television as an advertising medium?
answer
Reaches a large audience, use picture, print, sound and motion for effect, can target specific audiences
question
What are the disadvantages of Television as an advertising medium?
answer
High cost, short exposure time, and perishable message, difficult to convey complex information.
question
What are the advantages of Radio as an advertising medium?
answer
Low cost, targets specific audience, ads can be placed quickly, can use sound, humor and intamacy effectively
question
What are the disadvantages of Radio as an advertising medium?
answer
No visual element, short exposure time and perishable message, difficult to convey complex info
question
What are the advantages of Magazines as an advertising medium?
answer
Can target specific audiences, high-quality color, long life of ad, ads can be clipped and saved, can convey complex info
question
What are the disadvantages of Magazines as an advertising medium?
answer
Long time needed to place ad, relatively high cost, competes for attention with other magazine features
question
What are the advantages of Newspapers as an advertising medium?
answer
Excellent coverage of local markets, ads can be placed and changed quickly, ads can be saved, quick consumer response, low cost
question
What are the disadvantages of Newspaper as an advertising medium?
answer
Ads compete for attention with other newspaper features, short life span, poor color
question
What are the advantages of Yellow Pages as an advertising medium?
answer
Excellent coverage of geographic segments, long use period, available 24/7/365 days
question
What are the disadvantages of Yellow Pages as an advertising medium?
answer
Proliferation of competitive directories in many markets, difficult to keep up-to-date
question
What are the advantages of Internet as an advertising medium?
answer
Video and audio capability, animation can capture attention, ads can be interactive and link to advertiser
question
What are the disadvantages of Internet as an advertising medium?
answer
Animation and interactivity require large files and more time to load, effectiveness is still uncertain
question
What are the advantages of Outdoor as an advertising medium? (example billboard)
answer
Low cost, local market focus, high visibility, opportunity for repeat exposures
question
What are the disadvantages of Outdoor as an advertising medium?
answer
Message must be short and simple, low selectivity of audience, criticized as traffic hazard
question
What are the advantages of Direct Mail as an advertising medium?
answer
High selectivity of audience, can contain complex info and personalized messages, high quality graphics
question
What are the disadvantages of Direct Mail as an advertising medium?
answer
High cost per contact, poor image (junk mail)
question
What are some of the 565 cable networks?
answer
ESPN, MTV, Lifetime, Oxygen, the Speed Channel, History Channel, Science Channel, Food Network
question
What were some of the most popular infomercials during the last 12 months?
answer
Total Gym, Sleep Number, Nutrisystem, Oreck Air
question
Which infomercial was the most successful ever produced?
answer
An infomercial run by President Obama attracted 33.5 million viewers
question
Who mostly still listens to the radio?
answer
18-24 year olds, averaging 12.5 hours a week
question
Which magazine has the highest circulation?
answer
AARP magazine with a circulation of 22.4 million
question
What kind of internet advertising medium has interactive ads with drop-down menus, built-in games, etc?
answer
Rich media
question
What are the most popular online advertising options?
answer
Paid search, display (banner ads), classified ads, and video.
question
What is the fastest growing form of Internet advertising?
answer
Paid search
question
Approximately 80% of all Internet traffic begins at a search engine with which 2 search engines?
answer
Google & Yahoo!
question
Messages that are displayed in locations such as airports, movie theatres, health clubs, doctor offices grocery stores are called what?
answer
Out-of-home advertising or place based media
question
What factors must be considered when choosing among an alternative media?
answer
Knowing the media habits of the target audience, knowing product attributes to determine which media to use (for example, if color is an aspect of product appeal, radio would not work), and the final factor is cost.
question
What 3 factors must be considered when scheduling to advertise a product?
answer
Buyer turnover, purchase frequency, forgetting rate
question
How often new buyers enter the market to buy the product is called what?
answer
Buyer turnover. The higher the buyer turnover, the greater amounf of advertising is required.
question
The more frequently the product is purchased, the less repetition is required is called what?
answer
Purchase frequency
question
The speed with which buyers forget the brand if advertising is not seen is called what?
answer
Forgetting rate
question
Setting schedules for advertising requires an understanding of how the market behaves. What 3 basic approaches do most companies follow?
answer
Continuous, steady scheduled - advertising is run at a continuous. (cereal) Flighting (intermittent) schedule - seasonal demand. (black friday, sun tan lotion, skis) Pulse (burst) schedule - continuous & flight combined, heavy periods of promotion, intro to a new product (super bowl, automobiles, toys)
question
Pretests are conducted before the advertisements are placed in any medium to determine whether the advertisement communicates the intended message. What are the pretests?
answer
1. Portfolio Tests - test copy alternatives that consumers rate 2. Jury Tests - showing the ad copy to a jury panel and have them rate it. Unlike the portfolio test, a test advertisement is not hidden within other ads. 3. Theater Tests - the most sophisticated of pretesting. Consumer view new TV shows or movies where test commercials are also shown.
question
What are the 3 ways to carry out an advertising program?
answer
Full-service agency, limited-service (specialty) agency, in-house agency
question
What services are provided with the full-service agency?
answer
Provides the most complete range of services, does research, selects media, develops copy, produces artwork, also coordinated integrated campaigns with all marketing efforts. 46% of all agency clients use this approach.
question
What services are provided with the limited-service (specialty) agency?
answer
Specializes in one aspect of creative process, usually provides creative production work, buys previously unpurchased media space
question
What services are provided with the in-house agency?
answer
Company's own advertising staff, provides range of services, depending on company needs
question
Advertisements may go through posttests after it has been shown to the target audience to determine whether it accomplished its intended purpose. What are the 5 common approaches to posttests?
answer
Aided recall - respondents are asked whether their previous exposure to it was through reading, viewing or listening (Starch test). Unaided recall - an unexpected approach asking respondents to determine whether they saw or heard advertising messages. Attitude tests - did their attitudes change after the advertisement?. Inquiry tests - additional product info, product samples, or premiums are offered to an ad's readers or viewers. Sales tests - controlled experiments
question
What kind of sales promotions are sales tools used to support a company's advertising and personal selling?
answer
Consumer-oriented sales promotions, or consumer promotions
question
What are the types of consumer-oriented sales promotions?
answer
Coupons, deals, premiums, contests, sweepstakes, samples, loyalty programs, POS displays, rebates, product placements
question
What are sales tools used to support a company's advertising and personal selling directed to wholesalers, retailers, or distributors?
answer
Trade-oriented sales promotions, or trade promotions
question
What 3 common types of trade promotions are there?
answer
Allowances and discounts, cooperative advertising, training of distributors' salesforces
question
Many companies use which frequently used publicity tool that consists of announcements regarding changes in the company or the product line?
answer
News release
question
Which publicity tool is used when representatives of the media are all invited to an informational meeting, and advance materials regarding the content are sent? This tool is offten used when new products are introduced or significant changes in corporate structure are being made.
answer
News conference.
question
Which publicity tool is free space or time that is donated by the media?
answer
Public Service Announcements (PSA)
question
Which publicity tool is used to create visibility for their companies, their products, and themselves?
answer
High-visibility individuals. Celebrity's and US Senators use this.
question
In what 2 ways can you increase the value of promotion?
answer
Emphasize on long-term relationships and increase self-regulation
