1st exam

Education 3001 with Gaddey at University of Minnesota - Twin Cities

About this deck

By: Marie Rutoski
Textbook:

Advertising and Promotion: An Integrated Marketing Communications Perspective
Created: 2011-03-05
Size: 83 flashcards
Views: 39

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Marketing

Is an exchange between a firm and its customers

Value

is the customer's perception of all of the benefits of a product or service weighed against all the costs of acquiring and consuming it.

IMC

Integrated Marketing Communications, involves coordinating the various elements and other marketing activities that communicate with a firm's customers

4 P's (Marketing Mix)

-Product--will it meet their needs?

-Price-- willing to pay for it?

-Place-- where and how will they find out about it?

-Promotion-- marketing?

Brand

is a person's gut feeling (perception) about a product, service or organization

Promotional Mix

-Advertising

-Direct Marketing

-Interactive/internet Marketing

-Sales promotion

-Publicity/public relations

-Personal selling

Marketing Plan

1. a detailed situation analysis

2. specific marketing objectives

3. a marketing strategy and program

4. a program for implementing the strategy

5. a process for monitoring and evaluating performance

Opportunity Analysis

Market Opportunities-- are areas where there are favorable demand trends

Competitive Analysis

Carefully analyze the competition to be faced in the market place.

Target Market

is the process of focusing marketing resources on a particular part of the market

Basis for Segmentation?

-customer characteristics-- psychographic, demographic, socioeconomic, geographic

-buying situation-- behavior, outlet type, usage, awareness, benefits

Positioning

the way customers perceive a product relative to competing products

Positioning strategies

Product attributes, benefits, prices, quality, application

Product life cycle

Research and product development--> introduction--> growth --> maturity --> decline--> rejuvenation or termination

Pricing factors

costs of production, state of economy, customer perception of value, customer demand

PUSH strategy

a promotional strategy using discounts, trade promotions, personal selling, sales force incentives and sales promotions

PULL strategy

a promotional strategy in which a business promotes directly to consumers in order to develop a strong consumer demand for its product

Advertising Agencies (7)

-Full service

-Creative boutiques

-Media specialist

-Direct marketing

-Sales promotion

-Public relation firms

-Interactive

Centralized system (Pros)

Better communications, fewer personnel, continuity, more top management involvement

Centralized system (negs)

Less goal involvement, longer response time, impractical for multiple brands, products, divisions

Decentralized system (pros)

Concentrated attention, rapid problem response, increased flexibility

Decentralized system (negs)

ineffective decision making, internal conflicts, unequal distribution of funds, lack of authority

In house agency (pros)

Cost savings, more control, better coordination

In house agency (negs)

Less experience, less objectivity, less flexibility

How do advertising agencies get paid?

Commission method, fee arrangement, cost-plus agreement, incentive based compensation

How do advertising agencies gain clients?

referrals, solicitations, public relations, presentations, image, reputation

How do advertising agencies lose clients?

Poor performance, poor communications, unrealistic client demands, personality conflicts, declining sales, payment issues, policy changes, size of client

Consumer behavior

The process and activities people engage in when searching for, selecting, purchasing, using, evaluating and disposing products and services so as to satisfy their needs and desires.

External influences on consumer behavior

Culture, subculture, social class, reference group, situational determinants

5 steps in the consumer decision making process

-Problem recognition

-Information search

-Alternative evaluation

-Purchase decision

-Postpurchase evaluation

4 types of buying motives

-emotional-acts due to passion

-rational-acts on reason

-patronage- buy from a particular store

-product- buyer believes in product

Evoked Set

the brands identified as potential purchase options (smaller set)

Communication process

Source---the person or organization that has info to share

Encoding-- putting thoughts, idea, or info into symbolic form

Decoding--transforming the senders message back into thought

Receiver-- person with whom the sender is sharing thoughts

Channel- Method by which the communication travels from source to receiver

Message-- the info the source hopes to convey

Noise

unplanned distortion or interference

Cognitive Processing

How external information is transformed into meanings and how these meanings are combined to form judgements

Three source factors

-Expertise relevant to topic

-Trusted to give unbiased opinion

-Internalization (wanting to have the right position on an issue)

Risks of using a celebrity endorser?

-May overshadow the product

-May be overexposed, reducing his or her credibility

-Target audience may not be receptive to celebrity endorsers

-The celebrity's behavior may pose a risk to the company

Message appeal options

Comparative ads

Fear appeals

Humor Appeals

3 benefits of establishing objectives

-Communications

-Planning and decision making

-Measurement and evaluation of results

Top down budgeting

top management sets the spending limit

Bottom up budgeting

budget is approved by top management

Characteristics of good objectives

Specific, attainable, realistic, quantifiable, measurable

SWOT

Opportunity (brand) analysis

-internal strengths and weaknesses

-external opportunities and threats

Advertising Creativity

the ability to generate fresh, unique, and appropriate ideas that can be used as solutions to communication problems, and must be relevant to the target audience

5 steps in Creative Process

1. Preparation--> gathering background info to solve problem through research

2. Incubation--> letting ideas develop

3. Illumination--> birth of idea or solution

4. Verification--> refining the idea and seeing if it is an appropriate solution, testing the ideas

5. Revision--> changes to create the final product

Creative strategy

determines what the advertising message will say or communicate

Creative tactics

how the message strategy will be executed

5 types of advertising appeals

-informative/rational

-emotional

-combination

-reminder ads

-teaser ads

basic components of print ad

-Headline-- words in the leading position of ad

-Subheads- smaller than the headline, larger than the copy

-Body copy- the main text portion of print ad

-Visual elements-- photos

-Layout-- how elements are blended into a finished ad

creative tactics for tv

-sight, motion, sound

TV PROS

Mass coverage, high reach, sight, sound, motion, high prestige, low cost per exposure, attention getting

TV CONS

low selectivity, short message life, high absolute cost, high production cost, clutter

Radio PROS

local coverage, low cost, high frequency, flexible, low production cost, well-segmented audience

Radio CONS

Audio only, clutter, low attention getting, fleeting message

Consumer Magazines PROS

Segmentation potential, quality reproduction, high information content, longevity, multiple readers

Consumer Magazines CONS

Long lead time for ad placement, visual only, lack flexibility

Newspaper PROS

High coverage, low cost, short lead time, ads can be placed in interest section, timely (current), reader controls exposure, used for coupons

Newspaper CONS

Short life, clutter, low attention getting, poor reproduction quality, selective reader exposure

Outdoor PROS

Locations specific, high repetition, easily noticed

Outdoor CONS

Short exposure time, short ads, poor image, local restrictions

Direct Mail PROS

High selectivity, reader controls exposure, high information content, repeat exposure opportunities

Direct Mail CONS

High cost per contact, poor image (Junk Mail), clutter

Media planning

the series of decisions involved in delivering the promotional message to the prospective purchasers and/ or users of the product or brand- guide for media selection

Frequency

the average number of times your target audience saw the ad within a set time period

Reach

it the share (%) of your target that has seen your ad at least once in a set time period

4 parts in developing a media plan

Analyze the market -->Establish media objective --> Develop media strategy --> evaluate performance

3 scheduling methods

continuity--continuous pattern of advertising

pulsing schedule- some advertising each month but amount varies due to seasonal business

flighting schedule- advertiser varies expenditures throughout the year and allocates zero in some months

CPM

Cost per thousand

CPI

Cost per inch

TV advantages

creativity & impact, coverage & cost effectiveness, captivity & attention, selectivity & flexibility

TV Limitations

limited attention, fleeting message, cost, low selectivity, clutter, distrust, negative evaluation

three types of tv programs

Network

spot

local

TV audience measures

Rating: (households tuned to show/ total US households) PROGRAM RATING

SHARE: (HH tuned to show/ US HH using TV) Share audience

Radio advantages

cost & efficiency, receptivity, selectivity, flexibility, mental imagery, integrated marketing

Radio limitation

creative limitations, audience fragmentation, chaotic buying, limited research data, limited listener attention, digital media competition, clutter

3 types of Radio Time

Network (3 national networks)

Spot Radio (Big companies go to local areas to run ads)

Local Radio (local businesses go to local radio)

3 classifications of magazines

Consumer (2/3rds of all advertising goes here)

Farm

Business

Advantages of magazines

selectivity, reproduction quality, creative flexibility, permanence, prestige, receptivity, engagement, services

Disadvantages of Magazines

costs, limited reach, limited frequency, long lead time, clutter, competition

Newspaper advantages

extensive penetration, flexibility, geographic selectivity, involvment, acceptance, services offered

Newspaper disadvantages

low production quality, short life span, lack of selectivity, clutter, limite use of color

types of newspaper

daily, weekly, special audience, national

Newspaper is sold by...

the number of columns TIMES vertical inches

About this deck

By: Marie Rutoski
Textbook:

Advertising and Promotion: An Integrated Marketing Communications Perspective
Created: 2011-03-05
Size: 83 flashcards
Views: 39

About StudyBlue

“I have been getting MUCH better grades on all my tests for school. Flash cards, notes, and quizzes are great on here. Thanks!”
Kathy