ADV3008 Spring 2017 Exam 2

CH7
Connect HW
CH7-1 During which stage of the marketing esearch process is secondary data frequently used?
Informal Research

Def: The second step in the research process, designed to explore a problem by reviewing secondary data and interviewing a few key people with the most information to share. Also called exploratory research.

CH7-2 Though ____. a prestesting method, researchers can elict a full range of responses from people and thereby infer how well advertising messages convey key copy points.
Direct questioning
CH7-3 A researcher from marketing research agency conducted a study on the food handling practices of an eatery. He discovered that the cooks used the same washcloth to wipe their hands as well as the counter. In addition, he found them tasting the food using their fingers. He determined that strict monitoring was needed to make sure that the cooks complied with sanitary regulations. Which of the following techniques did the researcher use?
Observation

Def: A method of research used when researchers actually monitor people’s actions.

CH7-4 A(n)____, A post-testing technique, is used to measure a campaign’s effectiveness in creating a favorable image for a company, its brand, or its products.
Attitude Test
CH7-5 The techniques used during ___, a category of IMC research, are portfolio tests, storyboard tests, consumer juries, matched samples, mechanical devices, and psychological rating scales.
Message pretesting
CH7-6 According to the marketing research process, what should researchers do immediately after completing informal research?
They should establish their research objectives.
CH7-7 Advertisers use ___ to unearth people’s underlying or subconscious feelings, attitudes, interests, opinions, needs, and motives.
Projective techniques
CH7-8 Investigators use ____ to encourage consumers to openly discuss their thoughts and feelings in response to questions from an interviewer.
Qualitative research
CH7-9 When advertising is the dominant element or the only variable in the company’s marketing plan. ____ tests are a useful measure of advertising effectiveness.
Sales
CH7-10 In the context of marketing research, what is meant by an experiment?
It is a scientific investigation in which a researcher randomly assigns different consumers to two or more messages or stimuli.
CH8
Connect HW
CH8-1 The “Bundle of Values” the advertiser presents to the consumer is referred to as the ____.
Product Concept
CH8-2 According to the IMC pyramid, comprehension involves:
Communicating enough information about a product so that some aware consumers recognize its purpose, image, or position.
CH8-3 _____ refer(s) to the place a brand occupies competitively in the minds of consumers.
Positioning
CH8-4 As an element of creative strategy, the _____ are all the vehicles that might transmit the marketer’s message.
communications media
CH8-5 Matching
need to add photo of this
CH8-6 Which of the following refers to sales-target objectives?
They are goals related to increasing or maintaining sales volume and market share.
CH8-7 The _____ method of developing an IMC budget has three steps: defining objectives, determining strategy, and estimating costs.
budget buildup
CH8-8 In terms of bottom-up marketing, a _____ refers to a specific action for helping to accomplish a marketing strategy.
Tactic
CH8-9 A(n) _____ is a document that serves as a guide for the present and future marketing activities of an organization.
marketing plan
CH8-10 A(n) _____ refers to a short description of an organization’s purpose and philosophy.
mission statement
CH 9
Connect HW
CH 9-1 An important influence on the _____ element of the mix is how well a medium works with the style or mood of the particular message.
Media
CH 9-2 A(n) _____ is the total number of people or households exposed to a medium.
Audience
CH 9-3 _____, one of the elements of the media mix, refers to the various targets of a media plan: trade and consumer audiences; global, national, or regional audiences; ethnic and socioeconomic groups; or other stakeholders.
Markets
CH 9-4 The advertising response curve indicates that:
incremental response to advertising actually diminishes with repeated exposures.
CH 9-5 The _____ indicates the sales potential of a particular brand in a specific market area.
brand development index
CH 9-6 The _____ defines the market need and the company’s sales objectives and details strategies for attaining those objectives.
Top-down marketing plan
CH 9-7 The _____, or potential exposures, possible in a medium is arrived at by multiplying the medium’s total audience size by the number of times an advertising message is used during the period.
gross impressions
CH 9-8 In terms of media objectives, _____ define where, when, and how often advertising should appear.
distribution objectives
CH 9-9 _____ translate(s) the advertising strategy into goals that media can accomplish. They have two major components: audience objectives and message-distribution objectives.
Media objectives
CH 9-10 _____ refers to the duration of an advertising message or campaign over a given period of time.
Continuity
CH 13
Connect HW
CH 13-1 Which of the following is an advantage of magazine advertising?
Permanence gives the reader time to appraise ads in detail.
CH 13-2 Which of the following is true of weekly newspapers?
They emphasize local news and advertising.
CH 13-3 Which of the following is an example of an innovation in magazine advertising?
Pop-up ads
CH 13-4 On the basis of physical size, the two basic newspaper formats are:
Standard size and tabloid.
CH 13-5 On the basis of physical size, the two basic newspaper formats are:
standard size and tabloid.
CH 13-6 In terms of newspaper advertising rates, a(n) _____ means that no discounts are allowed.
Flat rate
CH 13-7 In newspaper advertising, _____ advertising includes copy, illustrations or photos, headlines, coupons, and other visual components.
display
CH 13-8 Which of the following is true of the Newspaper Association of America?
-It controls the use of reading notices in national newspapers.
It launched a one-order, one-bill system for national advertising.
CH 13-9 The guaranteed circulation of a magazine refers to the:
number of copies that the publisher expects to circulate.
CH 13-10 Which of the following statements explains why some advertisers are reluctant to use magazines as an advertising medium?
Magazines cannot deliver high frequency.
CH 14
Connect HW
CH 14-1 Which of the following types of TV advertising did Ross Perot popularize?
Program-length advertisement
CH 14-2 Which of the following is true of infomercials?
They combine the power of advertising, direct response, and sales promotion.
CH 14-3 Which of the following is true about the use of television in IMC?
Television’s high visibility forces the sponsor to create ads that consistently reinforce a brand’s strategic position.
CH 14-4 In radio advertising, a(n) _____ guarantees a certain percentage of spots in the better dayparts if the advertiser buys a total package of time.
total audience plan package
CH 14-5 To promote its autumn sale, Polka Inc., an apparel store in Alabama, bought advertising time during a program known as Top 50 Hits that was broadcast at 9:00 P.M. (EST). In terms of dayparts, this time period is known as _____.
prime time
CH 14-6 Which of the following is true of national spot announcements?
They run in clusters between programs.
CH 14-7 The first step in preparing a radio schedule is to:
Identify stations with the greatest concentration of the advertiser’s target audience by demographics.
CH 14-8 Which of the following is true of radio programming?
When buying radio time, advertisers usually buy the station’s format, not its programs.
CH 14-9 A locally produced morning television show is viewed by 4,000 homes whereas 24,000 households have TV sets. What is the program rating of the show?
16.7%
CH 14-10 The advantage of cable TV as an advertising medium is:
its ability to offer specialized programming
Book Notes
CH 7: Research is defined as:
Systematic activities for reducing decision uncertainty
Can serve developmental (getting to know you) or evaluative needs (is our advertising working?)
CH 7: IMC Strategy Reasearch
used to help define the product concept or to assist in the selection of target markets, advertising messages, or media vehicles
CH 7: Brand Assest Valuator
measures brands in terms of differentiation, relevance, esteem, and familiarity
CH 7: Dominance Concept in Target Audience Selection
researching which markets are most important to product sales and targeting those where it can focus its resources to achieve promotion dominance
typically employed with a new product
WSJ
WSJ: In what country did home improvement positively impact their economy recently?
Germany
WSJ: Apple CEO Tim Cook says the new Apple Watch will work for how many hours?
18, even though many investors preferred 24 hours
WSJ: Hit song “Blurred Lines” by artists Robin Thicke and Pharrell Williams was ruled an infringement on copyright of “Gota Give it Up” by what artist?
Marvin Gaye
the settlement was $7.4 million
CH 7: Name two techniques of Qualitative research according to the book:
1. Projective Techniques: asking indirect questions
2. Intensive Techniques: focus groups & in-depth interviews
CH 7: Name 3 basic methods of Quantitative Research
1. Observation method: researchers monitor peoples’ actions
2. Experimental method: control group & test group
3. Surveys: in person, by mail, phone or internet
CH 7: ______ effect is a challenge of pretesting in which consumers are likely to rate the one or two ads that make the best first impression as the highest in all categories.
Halo effect
CH 7: _____ is a type of pretest in which videptapes of test commercials are shown to respondents on a one-to-one basis, usually in shopping center locations.
Central Location Test
CH 8: IMC’s greatest power is in its ________, _______, and _______ effect.
IMC’s greatest power is in its CUMULATIVE, LONG-RANGE, and REINFORCEMENT effect.
CH 7: ______ is a pretest method in which commercials are grouped with noncompetitive control commercials and shown to prospective customers to measure their effectiveness in gaining attention, increasing brand awareness and comprehension, and causing attitude shifts
Clutter Tests
CH 8: All methods of developing an IMC budget rely on these two fallacies:
1. IMC is the result of sales.
2. IMC creates sales.
CH 8: Who is Samantha Avivi?
Previous Global Marketing Director at Kimberly-Clark
UF Advertising alumni
daughter of advertising giant Stan Harris
CH 7: _____ is a pretest method designed to elicit a full range of responses to the advertising. It is especially effective for testing alternative advertisments in the early stages of development.
Direct Questioning
CH 7: Name 4 types of posttesting tests.
1. attitude tests
2. recall tests
3. inquiry tests
4. sales tests
CH 7: Who was George Gallup?
developed lifelong passion for understanding public opinion
worked as head of research and marketing at Young & Rubicam
Eventually started his own polling firm
He was one of the first to measure the effects of TV commercials
GALLUP POLLS
CH 8: Name 3 possible methods a company uses to determine how much to spend on an IMC budget.
1. percentage of sales
2. percentage of profit
3. unit of sale
4. competitive parity
5. share of market
6. objective/task methods
CH 7: What are Gallup Polls?
opininion polls used to make predictions about future events like the outcome of a presidential election
CH 7: _____ ______ are in the same product category but are different brands. Example: Coke & Pepsi, both sodas.
Direct Competitors
CH 7: ______ _______ anything that is not in the same product category but that satifies the same problem. Example: Coke & Water, both satisfy thirst but are not sodas.
Indirect Competitors
Terms:
DAGMAR
Defining Advertising Goals for Measured Advertising Results: a planning tool for setting communications objectives
~Russell Colley
~Awareness, Comprehension, Conviction and Action
CH 13 Equation for CPM
(Venical Cost/Gross impission) x 1000
CH 13 Equation for CPRP
venical cost/ program rating
WSJ: Who made a takeover bid for Salix Pharmaceuticals
Endo International
WSJ: What crop have African Farmers began to put hope in?
Beer making crops
WSJ: What disease has infected farms in Arkansas and Missouri?
Avian Flu (bird flu)
WSJ: What drink has recently gained federal approval?
Powered Alcohol
WSJ: Nadege Vanhee-Cybulski is this firm’s first creative director in nearly 20 years who isn’t designing elsewhere on the side.
Hermes International headquartered in France
WSJ: _____, the largest mall owner in the U.S., launched a $16 billion unsolicited bid for one of its biggest rivals, Macerich Co. As it seeks to gain scale amid an oversupply of retail space and changing habits of U.S. shoppers.
Simon Property Group Inc.
WSJ:
WSJ:
Behind the ADs CH9

Ken Cervantes
VP, Activation Director, Forty-Two Degrees at MediaVest

Page 299
Behind the ADs CH 13

Linda Johnson Rice, President and CEO, Johnson Publishing Company

Page 428
CH 7 Notes:
Advertising Research
Using information to make sensible decisions
CH 7 Notes:
Research is:
Systematic activities for reducing decision uncertainty
(the best friend of an art director and copywriter)
CH 7 Notes:

Road Warriors

Fallon coined the term

traveling business man

low budget for hotels

watches ESPN and the Weather Channel.

CH 7 Notes:
IHG (interContinental Hotels group)
Crowne Plaza, Holiday Inn, Candlewood, Hotel Indigo, StayBridge,
Behind the ADs CH 14

Joe Uva, CEO, Univision

Page 459
Class notes
From lecture
Advertising Research (ch7)
Using information to make sensible decisions
Consumer Test
Examine several statements

Write down

Research is:
Systematic activities for reducing decision uncertainty
What Fallon Learned
Independent businessmen (own boss pays their own bills)

Planned and Financed own travel

Planning usually on Sunday or Monday nights
Reservations are for wimps!
Drive hundreds of miles each week
As many as 150 hotels stays a year

Types of research
Developmental Research

Evaluative research

Developmental Methods
one on one interviews

1 topic is sensitive (personal care, health issues)

2 maybe the client is very important (small target)
business leaders are busy

Developmental & Evaluative
testing some times its called A,B Testing
does changing the subject line in an email change the response be different
different online ads
Evaluative Test
Sales? did the sales increase? or something change like awareness grow?
ICE Bucket Challenge
ALS donations 2013 2 million in 2014 100 million
Research in Action
Using research to address client needs:
Focus groups
Consumer surveys (changed the tactic used)
Developmental research:
1st step: Secondary research

Then: Some focus groups

Findings

Part 2 Which Media?

Persuasion
a symbolic process in which communicators try to convince other people to change their attitudes or behaviors regarding an issue through the transmission of a message in an atmosphere of free choice
Attitudes?
Is an evaluation of something for the first time
How are attitudes formed?
Through experience, observations, even genetics?
Where do attitudes come from?
In dealing with the world we form beliefs about things
Fishbein & Ajzen’s Attitude Model
For any individual, beliefs and evaluations are combined
How to persuade?
The fishbein and Ajzen model directs us to specific ways of persuading people

Changing the strength of a belief
Changing an evaluation
Adding (or subtracting) a belief (make the table bigger)

Persuading
Change strength of a belief
Carl Hovland at Yale
Who says what by what means to whom
Who – The Source
Persuasive sources are…
Experts (Nobel Prize winners)
Trustworthy (sometimes expert lies | payoffs)
Credible source = both Experts & Trustworthy
Attractiveness? aids to persuasion
Physically attractive
Kate Upton, Tyra Banks
Likable
Coke polar bears
Similar to us
reminds us like ourselves
Credibility
for issues of fact
Attractiveness
for issues of taste
Does it matter if one source repeats the message several times or several sources say it once?
Advantage: Several sources
What – The Message
Would you allow a Hunger Relief Committee person visit your home? 18%

How are you tonight? Would you allow a Hunger Relief Committee person visit your home? 35%

One sided message
Present argument only in favor of your position
Two sided message
Give argument against your position, then deflate it
Which is better?
One sided – if your audience is with you
Two sided – your audience is against you
Should you appeal to logic?
Appeal to emotions?
Depends upon the audience

Logical arguments appeal to better educated, more knowledgeable audiences

Emotions to less educated, less knowledgeable (political ads late in campaigns)

Cognitive Response Theory
Persuasion-memory problem leads to CRT.

Solution: poor memory for an appeal occurs because people counterargue with messages

If they succeed in counterarguing, no persuasion

If they fail (or are prevented) from counterarguing, persuasion [the message is truly powerful] [distracted]

Elaboration likelihood Model
ELM
Two routes to persuasion
Central route: People pay careful attention to argument strength
Peripheral Route: People are swayed by execution elements
Music
Celebrities
Which Route?
Determined by audience member characteristics
Central Route if…
Person has ability to process
Person has motivation to process
Stronger and long lasting
Convinces people who already care

Else Peripheral Route (not easy nor cheap)
weak : does not last long, its not supported by anything
how cleverly you craft the message

Aperture
when people are ready to listen to the message
Media planning
Developing a strategy for using media to achieve ad objectives
Media Expenditures Today

Advertising revenue market share by media – 2013($billions)

Internet – $42.8
Broadcast TV* – $40.1
Cable TV** – $34.4
Newspaper – $18.0
Radio – $16.7
Magazine(consumer) – $13.4
Out of Home – $7.9
Video Game – $.9
Cinema $.8

Sources: IAB/PwC Internet Ad Revenue Report, 2013; PwC

Media Buying
is implementing that strategy
Vehicle
A specific instance of a medium: broad category
(i.e., Time, ESPN.com, The Office)
Impressions
Exposure to a (print) Vehicle. the potential/opportunity to see an ad
Gross Impressions
Summed exposures to a series of vehicles. just adding over multiple buys
G.I. is to compare your buy
Ratings
Percent of a group exposed to a vehicle
*Ex: 20% of a group watch a showing of Rocky XXXV
Reach
A measure of spread
What % of our audience saw the message at least once?
Frequency
A measure of impact
* is the number of times you hear the message repeated

Average number of exposures for those exposed at least once
Average frequency method
GRPs / Reach

What is the relationship of reach and frequency?
they are negatively related

Frequency (Bombard same people)
Reach (Spread message)

Emphasize Frequency when
New or unfamiliar product
People require reminding (low involvement products)
Effective Frequency
It is not a statistic
It represents a frequency objective
That level of frequency which is assumed necessary to meet the advertiser’s communication objectives.
(the lowest amount of Freq, is 3 times)
Efficiency Statistics
Used to evaluate the cost-effectiveness of media
Cost per thousand (CPM) M = 1,000
Cost per rating point (CPRP)
(ex: Newsweek, Time, U.S
Newspaper Strengths
Relatively credible (even the ads)
Reach Local market (most np are community based)
Timely (Newness within the last 24hrs)
CPM
CPM = Vehicle Cost x 1000
Gross impressions

Cost of ad in Time = $200
Impressions = 10,000

CPM = $200/10,000 x 1000 = $20.00

CRPR
CPRP = Vehicle Cost
Program rating

Ad cost = $1000, program rating 15
CPRP = $1000/15 = $66.67

You do not multiply by $1000

Newspaper Weaknesses
Selective Focus (not able to pinpoint a focus group for advertisers)
Clutter: competing advertising messages (bigger the paper the more ads)
Newspaper sizes
Categorizing by physical size
Standard or Broadsheet (larger)
Gainesville Sun,
NY Times

Tabloid (smaller)
National Enquirer
NY Post

Types of Newspaper Ads
Display Ads
all sizes, every page, 87 percent is local
National advertisers charged 60% more
Classified
Inserts (Sundays)
Designed by advertiser, Carried by paper (NP do not print them)
Magazine Advantages
Selectivity – Target niche audiences
Beautiful ads (richer paper better color)
Unmatched permanence
National Geographic
Magazine Advantages continued
Prestige
New Yorker, Fortune, Architectural Digest
upscale magazines scrutinizes ads and will not publish just any ad for their viewership
Secondary Readership
Drawbacks of Magazines
Editorial currency is poor
Long ad lead times (up to 3 months)
Your ad could become offensive within that time frame
Local reach poor
Poor Frequency (not useful)
Clutter (in top 50 mags, over 50% of pages are ads)
is there a limit of pages in a magazine? No they can just print more pages
More Drawbacks of Magazines
Circulation is down
Especially in newsstands
the more valuable magazine buyer is the one time buyer (new buyer) compared to a subscriber
Magazine Users
90% of the population reads magazines “occasionally”
Secondary readership is high
4.64 readers
Magazine Categories
Content
General or Consumer (Time, Cosmopolitan, Outdoors) (for entertainment, news, and match their lifestyle)
Business (B2B)(largest category) (pollution equipment news)
Farm (pork challenger)
Prospects?
Circulation Flat
Costs increasing
Paper
Postage
Competition from web
Radio advantages
Radio is inexpensive (low cost)
Inexpensive to buy and to produce
Buying the ad and producing the ad is low
Radio is Selective
better to get your target market
More Radio Advantages
Radio is local
Radio has the best reach of any medium
99% of homes have radio
Radio ads can be created very quickly
Radio audience is bigger than TV!
(at least between 5am and 5pm)
Very flexible (anti-freeze)
Radio Drawbacks
No visual channel (biggest drawback!)
Short ad Times (5sec – 30sec) hard for people to respond or capture info
Clutter
Weak nationally (broadcast)
Zapping (change to a different channel)
Radio Ads
Network advertising (5%) spent on
Ad is carried to all network members
Sport radio (20%)
National advertiser buys from station

does not use a network

Local Radio (75%)
Local advertiser buys from station (this is how radio survives

Local advertiser buys from station (this is how radio survives)

Difference: Who is advertising

How much did Sirius XM give Howard stern to move his station to Sirius XM
half a billion dollars
All night radio listeners maximizes which of the two Rating, Share or Both.
They maximizes both Rating and Share
Time | Name | Audience

6-10am | Morning drive | peak
10am – 3pm | Daytime | Large
3-7pm | Afternoon drive | Peak
7pm-12am | Night time | Small
12am – 6am | All night | Tiny

Dr. Weigold radio career was between 3am-6am
Rating (measures in 15min intervals)
station’s percentage of all households
Share (larger number)
station’s percentage of all households using radio (HHUR)
Sirius XM
25.6 million subscribers

Increasing about 1.3 million per year

70 million cars with Sirius XM

* Needs high end talent for their radio programs

HD radio
Percent of people interested: <8% Percent w/ HD in car: 2%
Television Strengths
Powerful ads

Captive audience

Broadcast targets unsegmented audience

Cable targets segmented audiences

Still the glamour medium

TV Threats?
Delayed viewing options
TIVO
Hulu
Network sites
iTunes
Television Weaknesses
Expensive to produce ads
Average ad cost: $300,000 for 30sec can be more expensive than movies

Expensive to buy ads

Clutter (16-18 minutes per hour of ads)

Fleeting messages (15 – 30sec)

Eroding audiences

no one has figured out what to do next that is why they continue to pay more and more for tv ads

Avoidance: zapping = recorded shows that you fast forward, zapping = go from channel to channel, surfing = watch only snippets

How does broadcast work? Part 2
The pilot is what the producer releases on to sell their show to a network downside is it costs to much

Network buy shows that they think people will watch thus the can sell ads for the show

How does broadcast work?
Network
• buys shows
• sells ads
• sends to affiliates

Producer/Syndicator
• Produce shows
• pitch show

Station A
• Network Affiliate
• Local ads make them money

Station B
• Independent Station
• they buy their own shows/first run/old show

Marketing Research
The systematic gathering, recording, and analysis of information to help managers make marketing decisions
The 3 R’s of Marketing Research
1) Recruiting new customers
2) Retaining current customers
3) Regaining lost costumers
IMC Research
Uncovers the information needed in making IMC decisions;
It is the systematic gathering and analysis of information to help develop message strategies, individual promotions, and whole campaigns
The 4 Purposes of IMC Research
1) Strategy research
2) Creative concept research
3) Pretesting
4) Posttesting
(1) IMC Strategy Research
Is used to help define:
1) Product concept = unique benefits to the consumer, that still encompasses their brand

2) The target audience = study their behavior, demographics

3) The communication media = use media research to select media, see that medias results

4) The creative message

(2) Creative Concept Research
Research is again helpful in determining which concepts will be best accepted by the targetted audience
(3) Pretesting
Testing the effectiveness of an advertisement for gaps or flaws in message content before recommending it to clients, often conducted through focus groups; helps determine decisions about the 5 M’s
(4) Posttesting
Testing the effectiveness of an advertisement after it has been run; also called tracking; provides guidelines for future advertising
The 5 M’s of Pretesting:
1) Merchandise
2) Markets
3) Motives (consumers)
4) Messages
5) Media
Media Terms
Media classes: print, electronic, out of home, etc

Media subclasses: newspapers, magazines, tv, radio, etc

Media vehicle: the particular publication or program

Media units: the size or length of an ad (15 sec, 4 pages, etc)

5 Steps of Marketing Research Process
1) Situation analysis and problem definition
2) Informal (exploratory) research
3) Construction of research objectives
4) Primary research
5) Interpretation and reporting of findings
(2) Informal Research
Two types of research data:
1) Primary data = Research info gained directly from the market place

2) secondary data = info that has previously been collected or published (more often used)

(4) Conducting Primary Research
-When a company wants to collect its own data about a specific problem
-Two types of primary research
1) qualitative
2) quantitative
Methods of Qualitative Research
Either (1) Projective or (2) Intensive techniques
(1) Projective Techniques
Used to unearth peoples underlying or subconscious feelings, attitudes, interest, opinions, needs, and motives; using in-direct questions
(2) Intensive Techniques
Typical methods include in-depth interviews & focus groups
Methods of Quantitative Research
(1) observation = researchers monitor consumer activities

(2) experiment = to measure cause and effect relationships; use “test markets”

(3) survey = common method of gathering primary research date

Methods of Pretesting
Companies pretest ads for likability and comprehension; they use both a variety of qualitative and quantitative techniques
-Ex: Direct questioning
-Pretesting helps distinguish from weak messages but there is no way to guarantee its success
Methods of Posttesting
More costly and time consuming than pretesting BUT it can test a campaign under actual market conditions; 5 most common post-testing techniques are

1. Aided recall = measure what respondents noticed, not whether they actually buy the product

2. Unaided recall = (Same as above)

3. Attitude test = effectiveness in creating a favorable image for a company, brand, or its product

4. Inquiry test = a form of test in which consumer responses to an ad for info or free samples

5. Sales test = suited for gauging the effectiveness of campaigns than of individual messages or promotions

Issues with Quantitative Research
Must consider whether the research is valid and reliable
Is the test Valid?
Meaning: Results must be free of bias and reflect the true statue of the market
Is the test Reliable?
Meaning: it must be repeatable – it must produce the same result each time it is administered
Key elements of Validity & Reliability
1) Sampling Methods
2) Data tabulation
3) Analysis methods
(1) Sampling methods
-the sample must reflect the universe (the entire population)
-greatest accuracy is ‘random probability samples’
-but more accessible is ‘nonprobability samples’
-also question cant be asked with a bias
(2) Data tabulation & (3) Analysis
Collected data must be validated, edited, coded, and tabulated; must be checked to eliminate errors or inconsistencies
Which of the following is true of an IMC message?
A. It is a combination of copy, art, and production elements.
B. It is a nonverbal representation of a company’s sales-target objectives
C. It is a representation of the types and levels of consumer involvement
D. It is a verbal representation of a company’s communications objectives
A. It is a combination of copy, art, and production elements.
___-___ ___ are marketing objectives that include goals related to increasing or maintaining sales volume and market share
Sales-target objectives
The ___ ___ refers to the specific people that the IMC will reach
Target audience
The Kim-Lord grid, which depicts the level of consumer involvement in a purchase, recognizes that ___
A. people can be cognitively and affectively involved at the same time
B. Consumers feel rather than think when purchasing
C. Consumers never have a high degree of personal involvement
D. Different products do not require different kinds of advertising
A. people can be cognitively and affectively involved at the same time
A company is planning its promotional budget. Its planners have been running tests in various markets with different budgets in order to determine the appropriate amount of advertising expenditure. In this scenario, the company is using the ___ ___ method for promotional budgeting.
Empirical research
A consumer receives ___ ___ from the marketer in the form of a “bundle of values”
Product concept
The ___ is a specific action for helping to accomplish a marketing strategy
A. creative mix
B. Attribute
C. Marketing objective
D. Tactic
D. Tactic
A document that serves as a guide for the present and future marketing activities of an organization is referred to as a ___ ___
Marketing Plan
The product, price, place, and promotion are elements of the?
A. Target Market
B. Marketing Mix
C. Price Mix
D. Target Mix
B. Marketing Mix
___ is used to define and select a target market.
A. Product development
B. Product diversification
C. Market penetration
D. Market segmentation
D. Market segmentation
The percentage of sales method is based on the fallacy that ___.
A. IMC invalidates the sale
B. IMC closes a sale
C. IMC is a result of sales
D. IMC reduces sales
C. IMC is a result of sales
What are the first 3 steps in the objective/task method?
1. Defining objectives
2. Determining strategy
3. Estimating cost
As an element of creative strategy, all the vehicles that might transmit a marketer’s message are referred to as the ___ ___.
Communications media
According to the DAGMAR system, good objectives___
A. specify an audience
B. Are time independent
C. Avoid defining outcomes
D. Define indefinite outcomes
A. specify an audience
True or False: Successful organizations separate IMC plans from marketing
False
Based on Professor Ernest Martin’s approaches to developing a position strategy define “product attribute”
Stressing a particular product feature important to consumers
Based on Professor Ernest Martin’s approaches to developing a position strategy define “price/quality”
Positioning on the basis of price or quality
Based on Professor Ernest Martin’s approaches to developing a position strategy define “use/application”
Positioning on the basis of how a product is used
Based on Professor Ernest Martin’s approaches to developing a position strategy define “product class”
Positioning against other products that offer the same class of benefits
Based on Professor Ernest Martin’s approaches to developing a position strategy define “product user”
Positioning against the particular group that uses the product
Based on Professor Ernest Martin’s approaches to developing a position strategy define “product competitor”
Positioning against competitors
Based on Professor Ernest Martin’s approaches to developing a position strategy define “cultural symbol”
Positioning through the creation or use of an icon
The IMC pyramid ___
A. Shows that the traditional mass marketing monologue is inappropriate
B. Assumes that people follow the do-feel-learn that model for high-involvement products
C. Represents the do-feel-learn model of effects
D. Reflects the traditional mass marketing monologue
C. Represents the do-feel-learn model of effects
The first part of a good marketing plan is the ___
A. Marketing strategy
B. Mission statement
C. Situation analysis
D. Marketing objective
B. Mission statement
The task of determining the objectives for a marketing program was simplified considerably when Russell Colley introduced a system known as the ___ system
DAGMAR
IMC is used as a(n) ___
A. Ploy to prevent repeated purchases of a product
B. Investment in a product or brand
C. Tactic to curb immediate sales of product
D. Short-term capital investment
B. Investment in a product or brand
What is the first step in Wang and Schultz’s IMC planning model?
Segment the customers and prospects in the database
What is the second step in Wang and Schultz’s IMC planning model?
Analyze information on customers
What is the third step in Wang and Schultz’s IMC planning model?
Set objectives related to nurturing brand loyalty
What is the fourth step in Wang and Schultz’s IMC planning model?
Identify brand contacts required to support consumers’ change of purchase behavior
What is the fifth step in Wang and Schultz’s IMC planning model?
Set communications objectives and strategies
What is the sixth step in Wang and Schultz’s IMC planning model?
Determine what communications tactics to use
The place that a brand occupies competitively in the minds of consumers is referred to as ___
Positioning
The creative mix, whose elements are blended by the IMC strategy, consists of ___
A.product, place, price, and promotion
B. target market, people, processes, communication, and convenience
C. target market profiles, consumer, cost, communication, and convenience
D. target audience, product concept, communications media, and advertising message
D. target audience, product concept, communications media, and advertising message
All the facts are relevant for ___ are presented by the situation analysis in a marketing plan.
A. planning a marketing strategy
B. understanding an organization’s purpose and philosophy
C understanding the growth history of competitors
D. developing a mission statement
A. planning a marketing strategy
What media is used to create awareness?
Public relations activités supported by mass media advertising
What media is used to create comprehension?
Direct mail brochures and special events
What media is used to create desire?
Good reviews in magazines and beautiful brochure photography
What media is used to create action?
Direct mail solicitation, sales promotion, and the attentive service of a retail salesperson
True or False: Although IMC affects sales, it is just one of many influences on consumers.
True
When a company uses IMC in campaigns, the campaigns ___.
A. prevent customers from making repeat purchases
B. are irrelevant to the reputation of the company
C. build consumer preference and promote goodwill
D. are independent of the value of the company name and brand
C. build consumer preference and promote goodwill
One of the big mistakes that a company can make in developing its marketing strategy is ___.
A. having precise communication objectives
B. not staking out any position in the market
C. having realistic sales-target objectives
D. not having mass marketing monologue
B. not staking out any position in the market
True or False: Advertising people must avoid integrating marketing communications because consumers view advertising as IMC
False
The communications media used to promote a product must also___
A. be identical to that of competing brands
B. treat customers in different target markets similarly
C. Create a special environment for the product
D. appeal to customers across all target market segments
C. Create a special environment for the product
A product’s location on the Kim-Lord grid indicates how__
A. expensive it is
V. it is accessible
C. It is purchased
D. it is produced
C. It is purchased
Using the outside-in process, the IMC approach to marketing and campaign planning ___.
A. starts with a customer and works back to a brand
B. separates marketing and communications planning
C. dedicates all marketing functions to building market share
D. focuses on reducing overheads instead of stakeholder loyalty
A. starts with a customer and works back to a brand
How many steps are in Wang and Schultz’s IMC planning model process?
Seven
A company can acknowledge that a sale is just the beginning of a valuable relationship between a marketer and a customer by ___.
A. engaging in sales promotion for newer products
B. soliciting feedback on that customer’s experience
C. conducting special events to showcase a product
D. printing good product reviews in enthusiast magazines
B. soliciting feedback on that customer’s experience
The term “share of voice” refers to ___.
A. the shares issued for sale to the public
B. a company’s share of all promotional spending
C. the shares owned by the board of directors
D. a company’s overall market share
B. a company’s share of all promotional spending
When a company finds a market position not held by a competitor, this hole in the market is most likely filled through ___.
A. bottom-up marketing
B. top-down marketing
C. market penetration
D. product differentiation
D. product differentiation
By starting with the customer and then integrating all aspects of their marketing communications, companies hope to ___.
A. mimic the traditional mass marketing monologue
B. pursue the learn-feel-do models of effects
C. accelerate the communications process
D. coerce the consumer into making a purchase
C. accelerate the communications process
Businesspeople like the percentage of sales method because it ___.
A. takes into consideration the strategic nature of marketing
B. does not cost anything, is related to revenue, and is safe
C. encourages planners to think carefully about a proper budget
D. follows the principle that macerating activities must stimulate demand
B. does not cost anything, is related to revenue, and is safe
Advertising returns ___.
A. build over time and remain stable thereafter
B. continually increase over time
C. increase, plateau, and then decline
D. do not require consistent investment
C. increase, plateau, and then decline
How many dimensions does Richard Vaughn’s FCB grid have?
Two
A shortcoming of the percentage of sales method is that it ___.
A. violates the principle that marketing activities should stimulate demand
B. is unrelated to revenue, and it is quite risky
C. treats marketing activities as a main driver of sales
D. discourages planners from developing objectives to fit a budget
A. violates the principle that marketing activities should stimulate demand
___ are outcomes that are associated with promotional activities, such as increase in brand awareness or increased comprehension of a brand’s attributes.
A. production objectives
B. sales objectives
C. manufacturing objectives
D. communication objectives
D. communication objectives
Marketing objectives should be ___.
A. unattainable
B. tangible
C. vague
D. measurable
D. measurable
The Kim-Lord grid, which depicts the level of consumer involvement in a purchase, recognizes that ___.
A. consumers never have a high degree of personal involvement
B. people can be cognitively and affectively involved at the same time
C. consumers feel rather than think when purchasing
D. different products do not require different kinds of advertising
B. people can be cognitively and affectively involved at the same time
The place that a brand occupies competitively in the minds of consumers is referred to as ___.
Positioning
What is the equation for the Category Development Index
CDI = (Percent of the product category’s total U.S. sales in the area/Percent of total U.S. population in the area) (100)
How are gross rating points calculated for Broadcast Media?
Gross rating points are often calculated for a week or a month
How are gross rating points calculated for Print Media?
Gross rating points are calculated for the number of ads in a campaign
How are gross rating points calculated for Outdoor Advertising?
Gross rating points are calculated on the bases of daily exposure
The sales potential of a particular brand in a specific market area is indicated by the ___ ___ ___.
Brand Development Index
Order of components in a media strategy statement.
1. A brief definition of target audiences. 2. An explanation of the nature of the message. 3. An outline of the specific reach, frequency, and continuity goals. 4. A budget for each medium including the cost of production. 5. A statement about the intended size of message units.
The steps for meeting marketing objectives by blending the four elements of the marketing mix are laid out by ___.
A. audience objectives
B. marketing strategies
C. value-added packages
D. gross rating points
B. marketing strategies
To conceive, analyze, and creatively select channels of communication that will direct advertising messages to the right people in the right place at the right time is the purpose of ___ ___.
Media planning
Based on repeated exposures to the medium or the program, the intensity of a media schedule is measured by ___.
A. circulation
B. frequency
C. reach
D. continuity
B. frequency
The specific types of people the advertiser wants to reach is defined by ___ ___.
Audience objectives
Larger media companies bundle the various stations, publications, or properties they own and offer them in integrated combos as further incentives in order to ___.
A. get a share of the advertiser value-added program
B. get a bigger share of the advertiser’s budget
C. be a part of the advertiser’s contingency plan
D. be part of the advertiser’s audience objectives
B. get a bigger share of the advertiser’s budget
A(n) ___ is the total number of people or households exposed to a medium.
Audience
Due to the advent of modern technology and the natural maturation of the marketplace, ___.
A. major advertisers can ensure a audiences by advertising on TV
B. below-the-line activities show the slowest growth in large agencies
C. the television is now fragmented into multiple sections
D. magazines now aim at the population as a whole
C. the television is now fragmented into multiple sections
What is a continuous schedule?
Advertising runs steadily and varies little over the campaign period.
What is a flighting schedule?
Periods of advertising alternate with periods of no advertising.
What is pulsing schedule?
This schedule mixes advertising that runs steadily and periods of advertising that alternate with periods of no advertising.
___ refers to the percentage of homes exposed to an advertising medium.
Rating
Cannon and Riordan point out that conventional media planning is based on media vehicle exposure, but effectiveness should relate to ___.
A. message continuity
B. overexposure
C. gross rating point systems
D. advertising message exposure
D. advertising message exposure
As the prominence of media departments rose in the late 1990s, agencies started ___.
A. demanding more from clients in terms of accountability
B. competing for media buying assignments separately from the creative business
C. selling their services to clients in the form of package deals only
D. focusing more on the rate of returns rather than efficiency
B. competing for media buying assignments separately from the creative business
Media messages are delivered to the media audience that most closely resembles the desired target consumer using ___ ___.
Media vehicles
How do you calculate gross rating points?
GRP = Reach x Frequency
___ ___ is the local media that many consumers in a neighboring country inadvertently receive.
Spillover media
The cost of reaching many target audiences is increasing for almost all media due to ___.
A. a decrease in below-the-line activities
B. the media restricting the number of ads they sell
C. the integration of many media platform
D. magazines publishing for the audience as a whole
B. the media restricting the number of ads they sell
The ___ ___ ___ is the cost divided by the number of thousands of people in the audience.
Cost per thousand
All communications vehicles available to a marketer make up the ___.
A. mechanics
B. market
C. currencies
D. media
D. media
By adding the ratings of several media vehicles we can determine the message weight of a given advertising schedule that is expressed as ___ ___ ___.
Gross rating points
___ refers to scheduling tactic flooding the airwaves with advertisements thereby making it virtually impossible to miss ads.
A. burst
B. blinking
C. pulsing
D. flighting
B. blinking
A feature of continuity is that it ___.
A. reduces gross rating points
B. reduces circulation
C. creates memory
D. sustains memory
D. sustains memory
In a media plan where, when, and how often advertising should appear is defined by ___ ___.
Distribution objectives
What is the major responsibility of the media department?
To ensure that advertising messages reach the correct target audience
What is the major responsibility of the creative department?
To develop advertising messages
What is the major responsibility of the marketing managers and account executives?
To establish the correct target audience for advertising messages
What is the major responsibility of the research department?
To measure the effectiveness of advertising messages
A true statement about gross rating points is that ___.
A. the more GRPs you buy, the more it costs
B. they represent the number of times an advertisement is used
C. they are the percentage of homes exposed to advertising mediums
D. the unit cost per GRP increases as more GRPs are bought
A. the more GRPs you buy, the more it costs
An agency’s strategic ability to understand the target market and the most optimal time and place to communicate with them is attested by the work of a ___.
A. social media manager
B. supplier
C. logo designer
D. media planner
D. media planner
___ often employ communications vehicles outside traditional media planning, such as public relations activities, sales promotion, and direct marketing.
A. sales communications
B. employee compensation packages
C. value-added packages
D. internal communications
C. value-added packages
A possible exposure of the advertising message to one audience member is called a(n) ___ ___.
Advertising impression
Most consumer campaigns are supported by a ___ ___ directed to the trade because retailers may construe a change in media strategy as a loss of advertising support.
Concurrent campaign
Studies of the advertising response curve indicate that with repeated exposures incremental response to advertising ___.
A. plateaus, and then dips sharply
B. diminishes, rather than builds
C. rises sharply
D. rises steadily
B. diminishes, rather than builds
___ should be an advertiser”s medium of choice in order to reach whole urban populations where TV ownership is low.
A. magazines
B. movies
C. listening
D. internet radio
B. movies
In the past, people who planned and bought media were ___.
A. given the highest salaries for job positions at the entry level
B. ignored since media decisions were made by software programs
C. irrelevant to the success of the overall marketing plan
D. anonymous in comparison to the stars in the creative department
D. anonymous in comparison to the stars in the creative department
The total size of the audience for a set of ads or an entire campaign is called ___ ___.
Message weight
The overall strategy of selecting and scheduling media vehicles to achieve the desired reach, message weight, frequency, and continuity objectives is referred to as ___ element.
A. media
B. mechanics
C. money
D. methodology
D. methodology
True or False: A medium’s attention value and motivation value are impacted in the same way by a similar set of factors.
False
In order to reach the upper class, auto manufacturers make use of __ advertising.
A. internet radio
B. radio
C. internet
D. TV
D. TV
Media planners calculate the total gross impressions for a schedule by summing the ___.
A. gross impressions for each medium used
B. television households across different states
C. readers per copy of different publications
D. advertising impressions per audience member
A. gross impressions for each medium used
___ refers to the number of unique people or households exposed to a medium during a given period of time.
A. frequency
B. circulation
C. reach
D. continuity
C. reach
A factor that significantly affects a medium’s motivation value is the ___.
A. quality of advertising reproduction
B. placement of the ads in the vehicle
C. media choice with ad space
D. senses used to perceive messages from the mediums
A. quality of advertising reproduction
How do you calculate average frequency?
Average frequency = total exposures/audience reach
The average number of times a person must see or hear a message before it becomes effective is defined as ___.
A. effective reach
B. effective frequency
C. continuity
D. gross impression
B. effective frequency
One of the factors that affects the probability of ad exposure is the ___.
A. number of competitive advertisers
B. quality of advertising reproduction
C. price of the product
D. placement of the ad in the media vehicle
D. placement of the ad in the media vehicle
___ concerns the advertising message and copy, as well as the medium.
A. attention value
B. gross value
C. exposure value
D. circulation value
A. attention value
Making comparisons between media plans for various markets is virtually impossible because ___.
A. of the difference in media research methodology used across different markets
B. the media plans for each market are based on similar data
C. the circulation figures and audience demographics are constant for most markets
D. most countries are limited to upper-income consumers only
A. of the difference in media research methodology used across different markets
Based on Cannon and Riordan’s analysis of frequency as a media objective, the basic emphasis in advertising should switch from maximizing frequency to maximizing ___.
A. second exposures
B. target market reach
C. circulation
D. gross impressions
B. target market reach
The term effective reach is used to describe the ___.
A. intensity of a media schedule
B. duration of an ad campaign over a given period of time
C. quality of exposure to a medium
D. percentage of homes exposed to an advertising medium
C. quality of exposure to a medium
A continuous schedule is used for products that ___.
A. consumers purchase regularly
B. have a slim media budget
C. are consumed more heavily during a certain period
D. experience large fluctuations in demand
A. consumers purchase regularly
Historically, media planning emphasized frequency as the most important media objective and assumed a(n) ___ advertising response curve.
A. convex
B. concave
C. step-shaped
D. s-shaped
D. s-shaped
The number or percentage of the audience who receive enough exposure to truly receive the message is measured by ___.
A. message weight
B. continuity
C. average frequency
D. effective reach
D. effective reach
The difference between the contracted rate and the earned rate for the actual inches run is called a(n ___ rate.
Short
True or False: Cost per thousand (CPM) is very low in a national consumer magazine advertising.
False
What does vertical publication deal with?
Deals with all aspects of a specific industry
What does horizontal publication deal with?
Deals with a variety of industries focusing on a particular job function
How is secondary readership estimated?
A. it is estimated through market research
B. it is estimated as 10 percent increase from last year’s primary readership
C. it is estimated as a fixed percent yearly
D. it is estimated as an approximation from the primary circulations
A. it is estimated through market research
___ ___ is a thorough analysis, by companies such as ABC, of the circulation procedures, outlets of distribution, readers, and other factors affecting a magazine.
Circulation audit
Identify a major value addition given by newspapers and magazines to their regular advertisers.
A. Discounts in TV commercial spots
B. Contacts of prominent celebrities and discounts on their services
C. Free prime spots in the newspaper and magazines
D. Research into brand preferences and market conditions
D. Research into brand preferences and market conditions
The rate that an advertiser has to pay to ensure a choice position for an ad is known as the preferred ___ rate.
Position
The circulation figure on which the publisher bases its magazine’s rates is called ___ ___.
Rate base
True or False: Newspaper provides a clutter-free ad space for advertisers.
False
What is the nature of a flat rate?
Allows no discounts
What is the nature of an open rate?
Highest rate for a one-time insertion
What is the nature of a contract rate?
Obtained by signing a bulk space purchase contract
A discount applied retroactively as the volume of advertising increases through the year is called a(n) ___ rate.
A. open
B. short
C. contract
D. earned
D. earned
A(n) ___ ___ is the person in charge of negotiating and contracting with the media.
Media Buyer
Advertisers preprint newspaper advertisements because of the ___.
A. low quality color printing of newspapers
B. high expense newspaper advertising
C. need to save money
D. glossy papers used in newspapers
A. low quality color printing of newspapers
Identify a key item listed in the newspaper rate card.
A. rate of change of readers switching newspapers
B. circulation of newspaper
C. advertising rates
D. demographic data of the newspaper readers
C. advertising rates
What is the cover date?
The date printed on the cover of a magazine.
What is the on-sale date?
The date the magazine is actually issued.
What is the closing date?
The date all ad material must be in the publisher’s hands.
A paid ___ business magazine refers to a magazine that is purchased by a subscriber.
Circulation
An ad is said to ___ off the page when the dark or colored background of the ad extends to the edge of the page.
Bleed
The advertisements that provide a community marketplace for goods, services, and opportunities of every type, from real estate and new-car sales to employment and business opportunities are called ___ ads.
Classified
She Voice, a leading publication for women, notices that many of its subscribers, like libraries, circulate their magazines to others. This prompted She Voice to do a market research on how many people actually read a single issue of its publication. This extra audience is called ___.
A. uninfluential readership
B. primary readership
C. pass-along readership
D. newsstand readership
C. pass-along readership
Moto Unit, a leading car manufacturer, has been having low sales in the past few months. To revive sales, it decides to place large magazine ad that cover almost 60 percent of a middle page and surround it with editorial matter. This usually placing of an ad is called a(n) ___.
A. junior unit
B. insert
C. bleed
D. custom magazine
A. junior unit
The legal ads showing changes in business and personal relationships, public governmental reports, notices by private citizens and organizations, and financial reports, printed for a nominal fee are called ___ ___.
Public notices
The magazine’s total circulation is made available to media buyers through ___.
A. newspapers
B. publishers
C. verified reports
D. other advertisers
C. verified reports
How is print media reacting to the high influence of Internet in the society?
A. print media is incorporating electronic media in its services
B. print media is giving up paper as a medium altogether
C. print media is trying to completely take over the online business platform
D. print media is trying to make restrictions on how people use the Internet
A. print media is incorporating electronic media in its services
The one-order, one-bill system for national advertising launched in 1994 by Newspaper Association of America is called the ___.
A. newspaper licensing authority
B. newspaper network advertising
C. newspaper co-op network
D. newspaper national network
D. newspaper national network
Identify a true statement regarding a custom magazine advertisement.
A. it is cheaper than a regular insert
B. it will include advertisements of various products
C. its pages swing out like a gate to present the advertisement
D. it is purchased by the readers from the newsstands
D. it is purchased by the readers from the newsstands
Readers who share traits, such as age and income level, are targeted by advertisers with the ___ editions of magazines.
A. regional
B. industrial
C. demographic
D. geographic
C. demographic
In print media, display advertisements are commonly found in the ___.
A. lifestyle page
B. editorial page
C. obituary page
D. classified pages
A. lifestyle page
The majority of magazine sales is delivered through ___.
A. newsstand sales
B. bookstore sales
C. online purchases
D. subscriptions
D. subscriptions
Higher national rates in newspapers are attributed to the ___.
A. higher quality paper used in national advertisements
B. high investment costs it has to recover through national ads
C. high demand for national advertisements
D. added costs of servicing national advertisers
D. added costs of servicing national advertisers
Identify an important feature of the newspaper rate card.
A. the rate card mentions reasons that help the advertisers choose an apt newspaper
B. the rates in the rate card are chosen by the government to ensure parity
C. the rates in the rate card vary from newspaper to newspaper
D. the rate card for a newspaper is similar across local and national advertisements
C. the rates in the rate card vary from newspaper to newspaper
Combination rates are given to advertisers when ___.
A. they advertise in two unrelated newspapers simultaneously
B. they advertise in the morning and evening editions of the same newspaper
C. similar kinds of advertisements appear in the same newspaper
D. an old advertisement is repeated in the same newspaper
B. they advertise in the morning and evening editions of the same newspaper
Identify an additional feature of Sunday newspapers.
A. cheaper than usual editions
B. fewer commercial advertisements
C. increased volume of classified ads
D. better quality of paper
C. increased volume of classified ads
A newspaper gives the advertiser a ___ to check when it created ad copy and art.
A. pasteup
B. dub
C. proof copy
D. rough copy
C. proof copy
JeanArt, a popular designer clothes label, wanted to advertise its latest spring collection to its audience. It chose to print a 30-page magazine, in high quality paper, to be supplied free of cost, along with popular lifestyle magazines. JeanArt’s chosen form of advertising is called a(n) ___.
A. insert
B. gatefold
C. custom magazine
D. junior unit
A. insert
The preprinted insert advertisements in a newspaper are printed by the ___.
A. newspaper
B. government
C. advertiser
D. consumers
C. advertiser
Cost per thousand (CPM) is computed by dividing the full-page rate of a magazine by the number of thousands of ___.
A. vendors
B. copies
C. publishers
D. subscribers
D. subscribers
Independent shopping guides are also called ___.
A. inserts
B. tabloids
C. pennysavers
D. Sunday supplements
C. pennysavers
True or False: Split run is a free service given by a newspaper to an advertiser
False
Identify a main content of an insertion order.
A. steps on the strategy followed by the advertisement
B. size and desired position of the advertisement
C. a statement of the relevance of the cast to the product advertised
D. pasteup of the advertisement
B. size and desired position of the advertisement
Identify the role of media-buying software in print media.
A. it helps the creative design a strategically relevant commercial
B. it helps a team bring down the number of advertisements
C. it helps media buyers keep track of orders
D. it helps an advertiser choose the most efficient forms of media
C. it helps media buyers keep track of orders
Today, the ___ handles most of the trashiest for national advertisers.
A. advertiser and its board of directors
B. agency and its creatives
C. audit bureau of circulation
D. advertising Checking Bureau
D. advertising Checking Bureau
Newsstand sales for magazines are impressive from an advertiser’s point of view because they indicate ___.
A. that the magazine is really wanted by the purchaser
B. the buyer’s habitual nature of buying the magazine
C> that the magazine has a high rating
D. that the magazine has credibility and is talked about in the society
A. that the magazine is really wanted by the purchaser
After an insertion order is given to the publication, if an advertiser fails to pay, ___.
A. the advertiser’s assets are attached to the publisher
B. the agency is held liable
C. the government decides the person liable
D. the publication has to bear the loss
B. the agency is held liable
What is the advantage of using media-buying software?
A. it improves the media buyers’ control over placement of ads
B. it improves the sales of the advertised product
C. it improves the credibility of the product
D. it improves the creativity of the commercials
A. it improves the media buyers’ control over placement of ads
Identify an important function of an electronic media buying software.
A. it can design many layouts for the commercial using its advanced technological measures
B. it creates strategies for the company’s growth
C. it draws a budget for the agency based on the needs of the advertisement
D. it evaluate market-by-market performance of media schedules
D. it evaluate market-by-market performance of media schedules
The distribution of the television audience into demographic categories is called ___ ___.
Audience composition
Identify why FM band is more popular than AM.
A. FM band has better sound fidelity
B. FM band is more user friendly
C. FM band is cheaper
D. FM band has more advertising slots
A. FM band has better sound fidelity
The signed and notarized document returned to the advertiser or agency, after the spots run, specifying when the spots aired and what make goods are available is called ___ ___ ___.
Affidavit of performance
True or False: When buying radio time, advertisers usually buy the programs and not the station’s format.
False
Geographic areas (cities, countries) in which the local TV stations attract the most viewing are termed as ___ ___ ___ by the Nielsen station index.
Designated market areas
The most authoritative source of advertising is ___.
A. TV
B. newspapers
C. the Internet
D. magazines
A. TV
Heaviest radio use occurs when many users are ___.
A. working during the day
B. commuting to or from work or school
C. having breakfast or dinner at home
D. jogging or exercising in the morning
B. commuting to or from work or school
The program audience of TV and radio stations for advertisers and broadcasters are measured by companies called ___ ___.
Rating services
A ___ rate is lower because the advertiser agrees to be “bumped” if another advertiser pays the highest regular rate
Preemption
Identify why radio is considered as an active medium/
A. radio ads are more creative and appealing than TV ads
B. radio has infomercials that encourage people to purchase product
C. radio has product demonstrations that take people to the action feel in the creative pyramid
D. radio enables people to call in, make requests, and participate in contests
D. radio enables people to call in, make requests, and participate in contests
Marketing Plan (MP)
Serves as a guide for marketing activities of an organization
What a Marketing Plan Does
1. States the organizations mission

2. Assess a brand’s current marketing situation and identify helping or hindering factors

3. Set clear marketing objectives

4. Describe strategies that will be used to achieve objectives

5. Describe tactics or actions for implementing the market strategy

6. Explain how the effectiveness of the marketing efforts will be evaluated

7. Propose a budget for marketing activities

(MP 1) Mission Statement
= Short description of the organizations purpose and philosopy
(MP 2) Situation Analysis
= A detailed description of the brand’s current marketing situation;

-use ‘SWOT analysis’ that contains the strengths and weaknesses and opportunities and threats

(MP 3) Marketing objectives
= Clear, realistic marketing goals that are to be accomplished; may focus on solving a problem or seizing an opportunity

-Two broad categories of objectives:
1) Sales Target objectives
2) Communication objectives

(3.A) Sales Target Objectives
[Type of marketing objective]
=include goals related to increasing or maintaining sales volume and market share
(3.B) Communication Objectives
[Type of marketing objective]
=are outcomes that can be associated with promotional activities,
such as brand awareness, more positive attitudes about a brand, etc
(MP 4) Marketing strategy
= describes how the company plans to meet its marketing objectives;

Involves 3 steps:
1) Selecting the target market
2) Positioning the product strategically
3) Determining the market mix

Step 1: Selecting the Target Market
= the first step in strategy development is to define and select the target market, using the processes of market segmentation and research (discussed in chapter 7)
Step 2: Positioning the Product
Refers to the place a brand occupies competitively in the minds of consumers; setting it apart of competitors either by price, attributes, cultural symbol, etc
Step 3: Determining the Marketing Mix
= Determining the a cost-effective marketing mix for each target market the company pursues
(the mix blends the marketing elements the company controls: product, price, distribution, and communications)
(MP 5) Marketing Tactics
= Determine the specific shot term actions to be taken, by whom and when
Bottom – Up Marketing
The opposite of standard, top down marketing planning, bottom up marketing focuses on one specific tactic and develops it into an overall strategy
(MP 6) Effectiveness of Marketing
Determine how to measure the effectiveness of marketing
(MP 7) Set a budget plan
Set a budget for the marketing activities
Marketing plan vs IMC plan
=The written doc that directs the company’s advertising effort;
-a natural outgrowth of the marketing plan, it (1) analyzes the situation (2) set advertising objectives (3) lays out a specific strategy from which ads and campaigns are created

“Marketing sells, IMC tells”

(IMC 1) Analyzes Situation
Reviews the marketing plan, briefly summarize the situation analysis and SWOT analysis
(IMC 2) Setting Objectives
Declares what the marketer wants to achieve with respect to consumer awareness, attitude, and preference; focuses on communication goals

Should be specific, realistic, and measurable; use IMC Pyramid to help set objectives

IMC Pyramid
= a guide to setting communication objectives

First create awareness, comprehension, conviction, desire, and finally action

(IMC 3) IMC (Advertising) Strategy
Blends the elements of the creative mix:
1. target audience
2. product concept
3. communications media
4. advertising messages
(IMC 3.A) Target Audience
The specific people the IMC will reach; (usually larger than the target market); who the ‘end user is’ who makes the purchase
(IMC 3.B) Product concept
= how IMC will present the product; the “bundle of values” the marketer presents to the consumer
(IMC 4.C) The Communications Media
= are all the vehicles that might transmit the marketers message
(IMC 4.D) IMC (Advertising) Messages
= what the company plans to say and how it plans to say it both verbally and nonverbally
Different IMC Budget Plans
1. Percentage of sales method
2. percentage of profit
3. unit of sale
4. competitive parity
5. share of market
6. Objective/task methods
1. Percentage of Sales method
is one of the most popular; it may be based on a percentage of last years sales, anticipated sales for next year, or a combination of the two
5. Share of market/ share of voice method
is an attempt to link promotional dollars with sales objectives; determines the firms goals for a certain share and then applying a slightly higher percentage of industry advertising dollars to the firms budget
6. Objective/task methods
aka “budget buildup method” that defines objectives and how advertising is to be used to accomplish them; it has three steps, 1. defining objectives 2. determining strategy 3. and estimating the cost
Note on budgeting and IMC:
the principal job of IMC is to influence consumers by informing, persuading, and reminding. IMC affects sales, but it is just one of many influences on consumers. Brand managers must keep this in mind when preparing their plans and budgets.
What is Media planning
is the process of conceiving, analyzing, and creatively selecting channels of communication that will direct advertising messages to the right people in the right place at the right time
Downside to being a media planner
Among the lowest paid jobs in the business, although their assignment is just as critical as the creative directors
The effect/challenges of new technologies being invented:
-Many more media are available to be chosen
-It has become much more difficult to reach a big audience with all the new options out there
-The cost of reaching target audiences is increasing
-The process of selling and buying media has become more complex
– The competitive environment is growing fiercely
Marketing Mix
Marketing strategies blend these four elements together to form a marketing strategy:
1) Price
2) Product
3) Distribution
4) Communication
Creative Mix
Advertising strategies blend these four elements together to form an advertising strategy:
1) Target audience
2) Product concept
3) Advertising messages
4) Communication media
Media Planning Steps
1. Analyzing the situation (reviewing the marketing and advertising objectives and strategies)
2. Setting objectives achievable by the media
3. Devising a strategy for achieving these objectives
4. Developing specific tactical details of media scheduling and selection
Step 2: Setting Objectives
= Media objectives translate the advertising strategy into goals that media can accomplish

Media objectives have two major components:
1. audience objectives
2. message – distribution objectives

(2.A) Audience objectives
= the specific types of people the advertiser wants to reach through media vechicles; aka target audience

-the target audience is not necessarily the same as the products target market, usually it is larger

Media vechicles
= particular programs or publications (ex a specific magazine or show)
(2.B) Message distribution objectives
define where, when, and how often advertising should appear;

-To determine these, a media planner must understand a set of terms:
1. Message weight
2. Reach
3. Frequency
4. Continuity

Notes about audience size
Marketers want the the media opportunities that offer the largest audience;
1. Message weight
= the total size of the audience for a set of ads or an entire campaign;

-media planners often define media objectives by the schedule’s message weight because it gives indication of the scope of the entire campaign

-Two ways to express message weight:
1. gross impressions
2. gross rating points

(1.A) Gross impressions
= [MULTIPLY] Mediums total audience size [BY] the number of times an advertising message is used during the period
-type of message weight
(1.B) Gross rating points
= [ADDING] the ratings of several media vehicles
–type of message weight

Rating: is the percentage of homes exposed to an advertising medium

2. Reach
= is the total number of people or households, that have the OPPORTUNITY to possibly see the ad or commercial; meaning they used a medium at least once during the given period of time (usually four weeks)

-EX: if 40% of 100,000 people in a target market tune in to the radio station WKKO at least once during the time period the reach is 40,000 people

3. Frequency
= measure the INTENSITY of a media schedule
-the number of times the same person or house hold is exposed to a message in a specific time
-calculated as the average number of times their exposed

Avg Frequency = Total exposures [DIVIDED BY] Audience reach

4. Continuity
= the duration of an advertising message or campaign over a given period of time

-While frequency if important to create memory, continuity is important to sustain it

Effective Reach
Numbers don’t take into account the quality of the exposure so..

=Effective reach refers to measure of the audience that received enough exposures to the message to truly be received

Effective Frequency
=the average number of times a person must see or hear a message before it becomes effective

-Advertising response curve: By Cannon and Riordan, indicates that incremental response to adverting actually diminishes (rather than builds with repeated exposures)

Step 3: Media Strategy
= Describes how the advertiser will achieve the stated media objectives

-Factors that go into developing a strategy, “The Five M’s”
1. Market – audiences
2. Money – budget
3. Media – all communication vehicles
4. Mechanics – dealing creatively with the available advertising media options
5. Methodology – overall strategy of selecting and scheduling media (to achieve desired reach, frequency, and continuity objectives)

External factors that influence media strategy
1. Scope of the media plan
2. Sales potential of different markets
3. Competitive strategies & budget considerations
4. Availability of different media vehicles
5. Nature of the medium
6. Mood of the message
7. Message size & length
8. Buyer purchase patterns
1. Scope of the media plan
The location and makeup of the target audience strongly influence the breadth of the media plan
2. Sales Potential of different markets
Use this factor to determine where to allocate their advertising dollars; planner can determine an area’s sale potential by either:
1. Brand development index (BDI)
2. Category development index (CDI)
(2.A) Brand development index (BDI)
indicates the sales potential of a particular brand in a specific market area

BDI = (% of the brands total US sales in that area / % of total US population in the area) X 100

-To be successful you want the BDI to be, or over, 100

(2.B) Category development index (CDI)
determines the potential of the whole product category

CDI = (% of the products category’s total US sales in the area / % of total US population in the area) X 100

-To be successful you want the CDI to be, or over, 100

3. Competitive strategies
-Must be aware of what competitors are doing
4. Availability of different media vehicles
-lower income markets (around the world) use radio as the medium of choice
5. Nature of the medium and message &
6. Mood of the message
-its important how well a medium works with the style or mood of the particular message
-complex messages require more space or time for explanation; along with more frequency to be understood by the audience
7. Message size & length
-color and larger units of space or time make a huge difference in terms of reach and frequency
8. Buyer purchase patterns
-planner must consider how, when, and where the product is typically purchased and repurchased
Step 4: Media Tactics
=the specific tactics to make the strategies happen
-here the media planner will select and schedule particular media vehicles

Several factors to consider:
1. Overall campaign objectives and strategy
2. Size and characteristics of each medium’s audience
3. Attention, exposure, and motivational value of each medium
4. Cost efficiency

1. Overall campaign objectives and strategy
-Have the medium match the product or service being advertised
2. Size and characteristics of each medium’s audience
-The planner needs to know how closely the medium’s audience matches the profile of the target market and how interested prospective customers are in the publication or program
3. Attention, exposure, and motivational value of each medium
Exposure Value= The value of a medium determined by how well it exposes an ad to the audience
-aka how many people an ad “sees” rather than the other way around
-relates only to the medium

Attention value = selecting media based on the degree of attention paid to ads
-relates to the medium and and the advertising message

Motivation Value: selecting media based on the medium’s ability to motivate people to act

4. Cost efficiency
=the cost of exposing the message to the target audience rather than to the total circulation
Mixed media approach
-Using a combination of media
-More beneficial
Helps produce synergy (= the total effect is greater than the sum of its parts)
Terms for scheduling media
1. continuous schedule = advertising runs steadily and caries little over the campaign period

2. flighting = alternates periods of advertising with periods of no advertising

3. Pulsing = mixes continuous and flighting strategies

4. Bursting = running the same commercial every half hour on the same network during prime time

5. Roadblocking = buying air time on all three networks simultaneously

6. Blinking = floods the airwaves for one day on both cable and network channels to make it virtually impossible to miss the ads

Media buyer
=The person in charge of negotiating and contracting with the media

-This is where the big money in advertising is spent, on the actual placement of ads in the media

Types of print media discussed in this chapter
1. Magazines
2. Newspapers
Pros of Magazine Advertising
-Read at consumers ease
-Easy to reach target audience because magazines are specialized
-colorful, viberant
Cons of Magazine advertising
-expensive
-difficult to build up reach and frequency since they only come out monthly (usually)d
Creative Possibilities with Magazines
1. bleed – colors, type, or visuals that run all the way to the edge of the page

2. cover position – front, back of both sides of the cover

3. junior unit – large ad placed in the middle

4. insert – printed on stock paper and put in the magazine

5. gatefold – insert that is so wide it has to be folded to match the other pages

How magazines are categorized
1. by content
2. geography
3. size
1. By content
3 of the broadest magazine categories:
1. consumer
2. farm publications
3, business
(1.A) Consumer Magazines
purchased for entertainment, info, or to buy products for own personal consumptions
(1.B) Farm publications
directed to farmers and their families, or to companies that manufacture farm equipment
(1.C) Business Magazines
the largest category, that targets business readers
2. Geography
Can be classified as local, regional, or national
3. Size
magazine sizes can vary
Steps in analyzing a publication’s potental
step 1: assessing its audience
step 2: understanding the magazines rate-card information
Step 1: Assessing the Audience
To do this, the buyer studies
1. circulation statistics
2. primary and secondary readership
3. subscription and vendor sales
4. any special merchandising services the magazine offers
(1.A) Circulation statistics
Rate base = is the circulation on which the publisher bases its rates

Guaranteed circulation = is the number of copies the publisher expects to circulate & if it doesn’t reach the guaranteed amount, the publisher will refund

Circulation audit = thorough analysis of the circulation by publishers, so they don’t ever over estimate their circulation

(1.B) Primary and Secondary readership
Primary circulation = represents the number of people who buy the publication personally

Secondary readership = is an estimate of how many people read the publication in addition to the primary consumers

(1.C) Subscription and vendor sells
Buyers want to know the ratio between subscriptions to newsstands sales

-subscriptions account for the majority of sales

Step 2: Reading Rate Cards of magazines
They help advertisers determine cost, mechanical requirements, closing dates, special editions
-they all follow a standard format
Rates
-Are a way to compare magazines, by determining how much it costs to reach a 1000 people based on the magazines rate for an ad

-use the Cost Per Thousand formula:
CPM = Page rate / (circulation / 1000)

Discounted rates offered by publishers
1. frequency discounts = based on the number of ad insertions within a year

2. volume discounts = based on the total amount of space bought during a specific peroid

Newspapers as a Medium
-newspapers are now the 3 largest medium in terms of advertising volume
Pros of Newspaper advertising
-print ads in general are more unique
-reasonable cost
-broad range of markets
Cons of newspaper advertising
-poor production quality
-cluttered
-lack of of selectivity
How newspapers are categoriezed
either by
1. frequency of delivery
2. physical size
3. type of audience
1. Frequency of Delivery
daily vs weekly newspapers
2. Physical size
two basic newspaper formats:
1. standard size
2. tabloid – smaller

-in 1984 the Standard Advertising Unit was put in place, that standardized the newspaper column width, page size, and ad sizes

Types of Newspaper Advertising
1. Display
2. Classified
3. Public notices
4. Pre-printed inserts
1. Display advertising
=includes copy, illustrations or photos, headlines, coupons, etc
2. Classified advertising
provides a community market place for goods, services, and opportunities of every type
3. Public notices
tell of changes in business, governmental reports, and
4. Preprinted inserts
like magazines, newspapers can have inserted ads as weel
Rates of Newspapers
1. national vs local rates

-national ads in newspapers are about 75 percent more expensive

Mediums of Television
1. Broadcast TV – uses electromagnetic waves through the air to reach audience

2. Cable TV – uses wires to reach audience

1. Broadcast tv as a medium
-grew faster than any other advertising medium in history

-first to offer sight, sound, and motion

-still attracts the largest volume of national advertising

2. Cable TV as a medium
-followed after broadcast tv, and grew quickly stealing broadcasts dominance
TV Audience trends
-No other medium today was the unique creative abilities as tv to reach a mass audience
-most authoritative advertising source
-rated most popular source of medium
-tv viewing hours is increasing
-cable advertising revenues have grown steadily
Use of TV in IMC
TV is now affordable for even small advertisers, making it a great option for an IMC program
Network Advertising
= any of the national tv or radio broadcasting chains or companies such as ABC, CBS, NBC, or fox;

-Networks offer the large advertiser convenience and efficiency because the message can be broadcast simultaneously throughout the country

Types of Network Advertising
1. sponsorship
2. participation basis
3. spot annoucement
1. Sponsorship
=the presentation of a radio or tv program, event, or website by a sole advertiser
-very expensive
-but can offer good advantages to the sponsoring compant
2. Participation basis
= the basis on which most network tv advertising is sold on

-advertisers buy 30-60 second segments within the program

-allows the advertiser to spread out the budget

-allows the advertiser to be in the program without a long term commitment

3. Spot announcement
= an individual commercial message that runs between program but has no relationship to either

-spots can be sold nationally or locally

-must be purchased through individual stations directly

-less expensive; the route most advertiser choose

Syndication
= is the sale of programs directly from the producer to the stations, instead of going through the networks
-has become largest source of programming in the US
Pros to syndication
-gives local tv station more programming control and greater profits

-allows advertisers to affiliate with popular programs, gaining back much of the audience they used to reach through the networks

-powerful tool for building reach;

3 Forms of TV syndication
1. off network syndication
2. first run syndication
3. barter syndication
1. Off network syndication
=former popular network programs (reruns) are sold to individual stations for rebroadcast
2. First run syndication
=original shows that are produced specifically for the syndication market
3. Barter syndication
=first run programs offered at a reduced rate, but with some of the ad space pre-sold to national advertisers

-aka advertiser supported syndication

-fast growing trend in tv

Program length advertisement (PLA)
=a long tv commercial that gives consumers detailed info about a product or service; may run for as long as an hour

-aka infomercial

Rating Services
= companies that measure the program audiences of tv and radio stations for advertisers and broadcaster
Prime time
= highest viewing ratings
-during 7-10pm CST / 8-11pmEST
Day part mix
=A media scheduling strategy based on the tv usage levels reported by the rating services

-media planners determine a daypart mix to reach the greatest percentage of the target audience

Program Rating
= refers to the tv households in an area that are tuned in to a specific program

-Rating = TVHH tuned in to program / Total TTHH in area

Gross rating points
In tv, GRPS are the total rating points that a particular media schedule achieves over a specific period

GRPs = Reach (avg rating) X Frequency

The Process of Buying TV
Step 1. Determine which programs are available at what cost

Step 2. analyze the various programs for efficiency

Step 3. negotiate price with station reps

Step 4. determine what reach and frequency they are achieving

Step 5. Sign broadcast contracts

Step 6. review affidavits of performance to be sure the commercials ran as agreed

Step 1. Requesting Avails
-the media buyer contacts a rep, and asks the rep to supply a list of ‘avails’ (available time slots) along with prices and rating
Step 2. Selecting programs to buy
-media buyer selects the most efficient programs in relation to the target audience using ‘cost per rating point’ and the ‘cost per thousand’ for each program
(2.A) Cost per rating point (CPP)
CPP = Cost / Rating
(2.B) Cost per thousand (CPM)
CPM = cost / (people / 1000)
Step 3. Negotiating prices and contracts
-preemption rate = is lower because the advertisers agree to be “bumped” (preempted) if another advertiser pays the higher, nonpreemption rate
Step 4-6. Finishing the Process
with today’s electronic media buying software, the rest of the process can all be done online
Medium of Radio
= is a personal, one on one medium; and mobile

-ideal for IMC because the radio is involves people, and in doing so forms a relationship

Programming format
= the genre of music of other programming style that characterizes and differentiates radio stations from each other

-Important because when advertisers buy radio time they usually buy the stations format, not its programs

Notes about Radio Advertisers
-way cheaper than tv ads
-yet it only makes up 4% of all ad spending
-has a lot of room to grow
Types of Radio advertising
1. network
2. spot radio
3. local radio time
1. Network
advertisers may use one the national radio networks to carry their messages to the entire national market
2. Spot radio
National advertisers purchase of airtime on individual stations
-buying spot radio allows advertisers great flexibility in their choice of markets, stations, airtime, and copy
3. Local radio
denotes radio spots purchased by a local advertiser or agency
Drive times
heaviest radio use
-6-10am & 3-7pm
Package offers for advertisers
1. Run-of-station – cheapest, but leaves total control of spot placement up to the station

2. Total audience plan – package rate, guarantees a certain percentage of spots doing high ratings

Steps in Research Process
– Situation Analysis
-Informal search (internal/external)
-Construction of research objectives
-Primary research (qualitative/quantitative)
-Interpretation and reporting of findings
Marketing Information System (MIS)
Set of procedures for generating an orderly flow of pertinent information for use in making marketing decisions

-Ensure managers get information they need when they need it

Informal Research
Explore a problem by reviewing secondary data and interviewing few key people with the most information to share

-learn about market, competition, business environment, and better define the problem.

Primary Data
Research information gained directly from the market place. Its expensive to obtain.
Secondary Data
Information that has previously been collected or published. It is readily available and inexpensive.
Assembling Internal Secondary Data
Company records, product shipment figures, billings, warranty card records, advertising expenditures, sales expenses, customer correspondence, records of meetings with sales staff
Assembling Internal Secondary Data helps researchers analyze:
Sales data, review past tracking studies, examine previous marketing research data.
External Secondary Data
Much available information at little to no cost from the government, market research companies, trade publications, computerized databases.
Quantitative Research
Gain reliable, hard statistics about specific market conditions or situations

-observation
-experiment
-survey

Observation
Method of research used when researchers monitor people’s actions
Universal Product Code
Identifying series of vertical bars with 12- digit number that atoms every consumer packaged good (observation)
Experiment
Measure cause and effect relationship. Scientific investigation– a researcher alters the stimulus received by a test group or groups and compares the results with those of a control group that did not receive the altered stimuli
Test market
Isolated geographic area used to introduce and test the effectiveness of a product, ad campaign, prior to a national rollout (experiment)
Survey
Basic method of quantitative research to get people’s opinions by mail, telephone and internet.
Posttesting Method
Test campaign under actual market conditions. Marketers use both qualitative and qualitative methods
5 Categories of Posttesting
1) Aided Recall
2) Unaided Recall
3) Attitude Tests
4) Inquiry Tests
5) Sales Tests
Attitude Tests
Measure a campaigns effectiveness in creating a favorable image for a company, its brand, or products.
Recall Tests
Determine extent to which an advertisement and its message have been noticed, read or watched.
George Gallup
Advanced understanding of power properly conducted surveys. Has a doctorate in Psychology and taught journalism at Drake Northwestern and Columbia. Passion for understanding public opinion.

Worked at Young & Rubicam (NY) as head of research and marketing. Left Y&R to run his own polling firm where we accurately forecasted results of 1936 presidential election.

Elaboration Likelihood Model (ELM)
Learning can happen through a thoughtful way (cognition) or simple way (conditioning).

Two routes: Central
Peripheral

Central
High involvement with message

Attention- focus on central product related information

Comprehension- deep though about product’s attributes

Persuasion- product belief, brand attitude, purchase intention

Peripheral
Lower involvement with product message

Attention- focus on non product information

Comprehension- shallow thoughts about non product

Persuasion- non product belief, attitude, purchase intention

Mission Statement
Short description of the organizations purpose.
Situation Analysis
Second part of marketing plan. Detailed description of brand’s current marketing situation.
SWOT
Strength
Weakness
Opportunity
Threats
Marketing Objectives
Third parking in marketing plan. Goals of marketing effort that may be expressed in terms of the needs of specific target markets and specific sales objectives.
Sales Target
Goals related to increasing or maintaining sales volume and market share. Specific to market and product, quantified as to time and amount and realistic. Sales volume, sales by product, market segment, customer type, market share, growth of sales volume and gross profit.
Communication Objectives
Outcomes that can reasonably be associated with promotional activities, increase in brand recognition or awareness, increased comprehension of brand’s attributes, more positive attitudes about brand or more favorable image of brand or it’s typical users, and stronger intentions to try and buy a brand.
DAGMAR
Defining Advertising Goals for Measured Advertising Results

Planning tool for setting communication objectives of a campaign

Awareness
Comprehension
Conviction
Action

Awareness
Know brand exists
Comprehension
Knowing brand attributes
Conviction
Favorable attitude toward brand
Action
Purchasing and using brand
Marketing Strategy
How company plans to meet its marketing objectives

1) Defining particular target market
2) Determine strategic position
3) Developing appropriate marketing mix for each target market

Selecting Target Market
Using market segmentation and research to define and select the target market
Setting Communication Objectives
Action
Desire
Conviction
Comprehension
Awareness
Campaigns build consumer preference and promote good will
Enhances reputation and value of company name and brand. Encourages customers to make repeat purchases.
Relationship of IMC to sales and profit
-Consumer good marketing– increases in market share are closely related to increase in marketing budget

– Sales increase with additional advertising

-Sales response to advertising builds over time, durability of advertising is brief and consistent investment is important

-Some sales occur with no advertising

-Advertising expenditures below certain minimum levers have no effect on sales.

5 Categories of Posttesting
Aided Recall, Unaided Recall, Attitude Tests, Inquiry Tests, Sales Test
Media Planning
Process that directs advertising messages to the right people in the right place at the right time.

Where should we advertise?
Which vehicle should we use?
When should we concentrate our advertising during the year?
How often should we run the ad?

Top-Down Marketing
Defines market need and the company’s sales objectives and details strategies for obtaining those objectives
Creative Mix

(Adv Strategy)

Advertising elements the company controls to achieve its advertising objectives:

-Target Audience
-Product Concept
-Communications Media
-Advertising Message

Message Weight
The total size of audience for a set of ads/an entire campaign

-Gross Impression
-Gross Rating Points

Advertising Impression
Possible exposure of the advertising message to one audience member
Opportunity to See (OTS)
Advertising impressions, multiplying medium’s total audience size by the number of times an advertising message is used during the period.

audience size x # of time an ad message use during the period

Gross Impression
Total of all audiences delivered by a media plan
Rating
Percent of households or individuals exposed to an advertising medium

R= household watching/ total households x 100

TV Households (TVHH)
Homes with TV sets
Gross Rating Points
Add ratings of several media vehicles

Add up all vehicle ratings to get gross ratings

Five Ms in the Media Mix
Markets
Money
Media
Mechanics
Methodology
Markets
Various target markets of media plan. Trade and consumer audience, national or regional audience
Money
How much to budget and where to allocate it
Media
All communication vehicles available to a marketer
Mechanics
Deals creatively with the amiable media options
Methodology
Overall strategy of selecting and scheduling media vehicles to achieve the desired message, weight, reach, frequency, and continuity objectives

-Creativity in planning
-Negotiating
-Buying

Attention Value
Advertising message and copy
Motivation Value
Select media based on medium’s ability to motivate people to act.

-Good quality reproduction
-Timeliness
-Editoral Evidence

Cost Per Thousand (CPM)
Cost of media vehicle

#charged for ad (vehicle cost) / (gross impression) subscribers x 1,000

Cost Efficiency
Cost of reaching the target audiences through a particular medium
Cost Per Point (CPP)
vehicle cost / program rating
Mixed-Media Approach
Using combination of advertising media vehicles in a single advertising campaign.
Synergy
Total effect is greater than the sum of its parts
Consumer Magazine
Purchased for entertainment information or both, are edited for consumers who buy products for their own personal consumption
Business Magazine
Largest category, target business readers. Trade publications for retailers, wholesalers, business and industrial for business people involved in manufacturing and services, and professional journals for lawyers, doctors…
Local City Magazine
Most major U.S. cities have one – typical readership is upscale professional people interested in local arts, fashion and businesses
Regional Publications
Targeted to specific areas of the country, such as North, South, East, West
Vertical Publications
Business publications aimed at people within a specific industry

-Restaurant, Institutions

Horizontal Publications
Business publications targeted at people with particular job functions that cut across industry lines

-Purchasing magazine

Cover Date
Date printed on a cover of a publication
On-Sale-Date
Date magazine is actually issued
Standard-Size Newspaper
22 inches deep
13 inches wide
Divided into 6 columns
Tabloid Newspaper
Half as deep as standard

14 inches deep
11 inches wide

Standard Advertising Unit (SAU)
Standardized the newspaper column width, page size and ad sizes.

2 1/16 inches wide by 1 inch deep

Major Classification of Newspaper Advertising
Display
Classified
Public Notices
Preprinted Inserts
Display Advertising
Includes copy, illustrations and photographs, headlines, coupons and other visual components.
Reading Notice
Looks like editorial matter and sometimes costs more than normal display advertising. To prevent readers from mistaking it for editorial matter the word ‘advertisement” appears at the top
Cooperative (co-op) Programs
Retailers often run news ads through co-op sponsored by manufactures whose products they sell. Manufacturer pays fully or partially to create and run the ad, which features the manufacturer’s product and logo along with the local retailers name and address
Classified Ads
Newspapers, magazines, Internet ads usually arranged under subheadings that describe the class of goods or the need the ads seek to satisfy. Rates are based on the number of lines the ad occupies. Most employment housing, and automotive advertising is in the form of a classified ad.
Classified Display Ads
Ads that run in the classified section of the newspaper buy have larger size type, photos, art borders, abundant white space and sometimes color
Public Notice
For nominal fee, newspapers carry these legal changes in businesses and personal relationships, public government reports, notices by private citizens and organizations and financial reports
Preprinted Inserts
Newspaper advertisements printed in advanced by the advertiser and then delivered to the newspaper plant for insertion into a specific edition

Insert sizes range from a newspaper page to a double postcard, formats include brochures, mail-back devices, and perforated coupons

Insertion Order
A form submitted to a newspaper or magazine when an advertiser wants to run an advertisement. This form states the date(s) on which the ad runs, size, requested position and the rate
Proof Copy
Copy of the completed advertisement that is used to check for final errors and corrections
Tearsheet
The printed ad cut out and sent by the publisher to the advertiser as a proof of the ad’s print quality and that it was published.
Inventory
Commercial time for advertisers
Off-network Syndication
Availability of programs that originally appeared on networks to individual stations for rebroadcast
First-Run Syndication
Programs produced specifically for the syndication market
Barter Syndication

(advertiser-supported)

Marketing of first-run TV programs to local stations free or for a reduced price because some of the ad space has been pressed to national advertisers
Rating Services
These services measure the program audiences of TV and radio stations for advertisers and broadcasters by picking a representative sample of the market and furnishing data on the size and characteristics of views or listeners
Designated Market Areas (DMA)
Geographic area in which TV stations attract most of their viewers
Dayparts
Advertisers must decide when to air commercials and on which programs

-TV viewers are loyal to programs not stations

* 9 a.m. – 4 p.m. EST

*daytime and early fringe are viewed most heavily by women

Primetime
Viewing is the highest
8p.m. – 11 p.m. EST
Daypart Mix
Media scheduling strategy based on TV usage levels reported by rating services
Bottom-up-Marketing
Focuses on one specific tactic and develops into an overall strategy