Advertising Knowledge Quiz

Advertising

• Organizations use advertising to create a favorable image, launch products, and promote brands
• Advertising is a form of paid non-personal communication
• Classified into institutional and product advertising
• Institutional advertising focuses on creating a positive image of the organization
• Product advertising focuses on the features and benefits of specific products
• Product advertising is further divided into:
  • Pioneer advertising
  • Competitive advertising
  • Comparative advertising
  • Reminder advertising
  • Reinforcement advertising
• Native advertising is digital advertising embedded into content outside of its own platform

Developing an Advertising Campaign

• Identify and analyze the target audience
  • Research location, demographic factors, lifestyle, and consumer attitudes
• Define the advertising objectives
  • Clearly stated with a time frame and benchmarks
• Create the advertising platform
  • Issues important to customers
• Determine the advertising appropriation
  • Depends on factors such as geographic size of the market, type of product, and sales volume relative to competitors

Budgeting

• Three approaches to budgeting:
  • Objective-and-task approach
  • Percent-of-sales approach
  • Competition-matching approach
• Arbitrary approach used when a high-level executive makes a decision

Media Planning

• Consider the reach and frequency of the advertisement
• Target audience and cost of the media used
• Digital marketing is becoming increasingly popular
• Three types of media schedules:
  • Continuous
  • Flighting
  • Pulsing
• Media scheduling decisions affected by:
  • Target audience characteristics
  • Product attributes
  • Seasonality
  • Customer media behavior
  • Size of the advertising budget

Advertising Message

• Basic content and form of an advertising message:
  • Product features, uses, and benefits
  • Intensity of the advertising
  • Characteristics of people in the target audience
  • Advertising campaign's objectives and platform
  • Choice of media
• Technology has changed the way consumers access messages and the nature and context of the message

Evaluating Advertising Effectiveness

• Before, during, and after the campaign
• Methods:
  • Consumer juries
  • Recognition tests
  • Unaided recall tests
  • Aided recall tests

Public Relations

• Communication efforts used to create and maintain favorable relations between an organization and its stakeholders
• Includes written materials, corporate identity materials, speeches, event sponsorships, and unique events
• Publicity-based public relations tools:
  • News releases
  • Feature articles
  • Captioned photographs
  • Press conferences
• Advantages:
  • Credibility
  • News value
  • Significant word-of-mouth communications
  • Perception of media endorsement
  • Low cost compared to advertising
• Limitations:
  • No control over the content or timing of the communication