Advertising Venues and Categories
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Questions and Answers

What distinguishes advertising from journalism?

  • Journalism always aims to sell products.
  • Journalism is biased in communication.
  • Advertising aims to encourage specific actions. (correct)
  • Advertising provides a neutral perspective.

Which of the following is not one of the six major venues for advertising?

  • Social Media (correct)
  • Online
  • Direct Mail
  • Broadcast

What is behavioral advertising primarily based on?

  • User preferences indicated through social media likes.
  • Direct responses from consumers to ads.
  • Demographic information collected from surveys.
  • Online users' activities and interests. (correct)

Which type of advertising encourages consumers to visit a retail establishment?

<p>Traditional retail advertising (A)</p> Signup and view all the answers

What is a common tool used in behavioral advertising to track user interests?

<p>Cookies (D)</p> Signup and view all the answers

How does direct response advertising engage with consumers?

<p>By prompting them to engage directly via phone or web. (B)</p> Signup and view all the answers

What is a contentious issue related to behavioral advertising?

<p>Privacy concerns over personal data usage. (B)</p> Signup and view all the answers

Which statement best describes traditional retail advertising?

<p>It encourages foot traffic to retail spaces. (C)</p> Signup and view all the answers

What is the primary role of the Federal Trade Commission (FTC) in advertising?

<p>To regulate the advertising industry and protect consumers (D)</p> Signup and view all the answers

What guideline does the AAF Code establish regarding advertising content?

<p>It requires content to reflect the truth and be tasteful (C)</p> Signup and view all the answers

Which of the following is NOT one of the five specific actions prohibited by the AAAA Standards of Practice?

<p>Testimonials reflecting real opinions (A)</p> Signup and view all the answers

What principle guided American consumers during the 1800s regarding advertising?

<p>Caveat emptor (D)</p> Signup and view all the answers

Why did Congress establish the Federal Trade Commission in 1914?

<p>To promote truthfulness in advertising (A)</p> Signup and view all the answers

Which regulatory body oversees advertising in television and radio?

<p>Federal Communications Commission (B)</p> Signup and view all the answers

What advertising practice does the AAF Code explicitly prohibit?

<p>Misleading consumers (B)</p> Signup and view all the answers

What has been one outcome of consumers' complaints about misleading advertising?

<p>Stricter regulatory oversight (D)</p> Signup and view all the answers

Which of the following is a common issue in advertising agency billing practices?

<p>Disputes over cost overruns and additional work (A)</p> Signup and view all the answers

What does the term bait-and-switch refer to in advertising practices?

<p>Advertising a product that is not available (A)</p> Signup and view all the answers

Which statement best describes the approach of the FTC towards advertising regulations?

<p>Encourage advertisers to act voluntarily and ethically (A)</p> Signup and view all the answers

How can consumers protect themselves from false advertising claims?

<p>By being skeptical of questionable claims (D)</p> Signup and view all the answers

Which agency regulates the advertising of food and pharmaceuticals?

<p>Food and Drug Administration (D)</p> Signup and view all the answers

What does the term 'printer's ink statutes' refer to?

<p>Advertising laws aimed at protecting consumers (C)</p> Signup and view all the answers

What must a drug manufacturer do when using the phrase 'next generation' in advertising?

<p>Document significant improvements over previous versions (C)</p> Signup and view all the answers

What can a manufacturer claim if a government report indicates their product ranks highly?

<p>The product was ranked first or in the top ten, if true (C)</p> Signup and view all the answers

How do watchdog groups view ads that imply urgency, like 'limited time offer'?

<p>They warn that these deadlines are often misleading (D)</p> Signup and view all the answers

What was one outcome for the mouthwash company claiming to be as effective as dental floss?

<p>They were sued by a dental floss manufacturer (B)</p> Signup and view all the answers

What do competing hospitals contest in relation to St. Louis University Hospital's ads?

<p>That they should also be recognized as 'official' hospitals (B)</p> Signup and view all the answers

What does the FTC regulate regarding the term 'manufacturer’s suggested retail price' (MSRP)?

<p>The specification that MSRP must be set by the manufacturer (D)</p> Signup and view all the answers

What tactic do discount stores sometimes use in their pricing strategies?

<p>Displaying higher 'compare with' prices that were never real (C)</p> Signup and view all the answers

What is a main characteristic of product placement in advertising?

<p>Products have their brands prominently displayed through paid agreements (A)</p> Signup and view all the answers

Why has product placement become more popular in the last four decades?

<p>Increased viewer ability to skip commercials (C)</p> Signup and view all the answers

When did the modern era of paid product placement in television begin?

<p>In the 1970s (D)</p> Signup and view all the answers

What notable change occurred for blue jeans sales due to Marlon Brando's influence in the 1950s?

<p>Sales increased dramatically after the film's portrayal (C)</p> Signup and view all the answers

Which advertising tactic is considered 'indirect' or 'subliminal'?

<p>Product placement in films and shows (C)</p> Signup and view all the answers

What is one reason why advertisers have reported few negative reactions to subliminal messages?

<p>Audiences are not aware of product placements (C)</p> Signup and view all the answers

How far back does the history of product placement in motion pictures go?

<p>The early 1900s (B)</p> Signup and view all the answers

What was a significant factor for the resurgence of product placements in movies during the 1980s?

<p>Reese’s Pieces being consumed by an alien creature in a movie. (C)</p> Signup and view all the answers

Which film reportedly generated the highest revenue from product placements?

<p>Tomorrow Never Dies (A)</p> Signup and view all the answers

What is one reason why lawmakers were hesitant to regulate tobacco and alcohol product placements?

<p>First Amendment rights. (C)</p> Signup and view all the answers

How do movie producers justify the use of product placement in films?

<p>It aids in recovering production costs. (D)</p> Signup and view all the answers

What concern do some television producers have regarding product placements?

<p>Commercialism might interfere with artistic integrity. (D)</p> Signup and view all the answers

What common mistake occurred in the show The West Wing regarding product placement?

<p>Using a logo from a future brand. (B)</p> Signup and view all the answers

What unique situation occurred with the Starbucks cup in Game of Thrones?

<p>It was digitally removed after airing. (C)</p> Signup and view all the answers

What does the Central Hudson Test relate to?

<p>Regulations on advertising legal products. (C)</p> Signup and view all the answers

What was the Supreme Court's ruling regarding advertising for abortion services?

<p>No regulations could limit advertisements for legal services. (C)</p> Signup and view all the answers

Which of the following reflects a challenge of product placement in serious dramatic contexts?

<p>Ensuring products match the narrative context. (C)</p> Signup and view all the answers

What is the primary role of the Federal Trade Commission (FTC) regarding advertising?

<p>To enforce truth in advertising laws (A)</p> Signup and view all the answers

What is one of the primary risks associated with product placements in movies compared to television?

<p>Less predictability of success. (D)</p> Signup and view all the answers

Which of the following statements best describes 'false advertising'?

<p>An ad that makes claims known to be untrue (C)</p> Signup and view all the answers

Which year showed a significant challenge related to advertising abortion services that reached the Supreme Court?

<p>1970 (C)</p> Signup and view all the answers

What differentiates deceptive advertising from false advertising?

<p>False advertising contains untrue statements, while deceptive advertising is misleading (C)</p> Signup and view all the answers

What was an unintentional product placement noted in the film Demolition Man?

<p>The use of an Oldsmobile despite its discontinuation. (C)</p> Signup and view all the answers

Why did health-care organizations push for bans on tobacco product placements?

<p>To protect public health. (B)</p> Signup and view all the answers

What does the FTC's 'reasonable consumer standard' entail?

<p>Ads are evaluated based on how a reasonable consumer would be likely to interpret them (A)</p> Signup and view all the answers

Which of the following would not generally be considered as false advertising?

<p>Omitting important information about a product's results (A)</p> Signup and view all the answers

What is the FTC's stance on terms like 'new and improved'?

<p>They may lead to scrutiny and require proof of improvement (B)</p> Signup and view all the answers

In which areas do the FTC and FDA most commonly focus their regulatory scrutiny?

<p>Food products and nonprescription drugs (D)</p> Signup and view all the answers

What constitutes a claim that can lead to regulatory action by the FTC?

<p>An ad that exaggerates product capabilities without evidence (C)</p> Signup and view all the answers

How does the idea of 'sound scientific basis' relate to advertising claims?

<p>Advertisers must document claims with scientific evidence (D)</p> Signup and view all the answers

What can happen to products with misleading advertisements according to the FTC?

<p>Manufacturers can be required to withdraw or revise their advertisements (C)</p> Signup and view all the answers

Why are advertisements that imply 'prescription strength' potentially problematic?

<p>They may mislead consumers about the actual dosage of the OTC product (B)</p> Signup and view all the answers

Which entity does the FTC work with to regulate advertising of OTC drugs?

<p>The Food and Drug Administration (A)</p> Signup and view all the answers

Which of the following is a characteristic of deceptive advertising?

<p>Leaving out key information that may mislead consumers (D)</p> Signup and view all the answers

What must be proven for an ad to be classified as false advertising?

<p>Proof that advertisers knew the truth and still advertised falsely (D)</p> Signup and view all the answers

What was the reason for the court's approval of casino advertising regulation in Puerto Rico in 1988?

<p>Concerns about the effects of organized crime and gambling. (A)</p> Signup and view all the answers

What principle did the Supreme Court emphasize in the 1997 case concerning Baltimore's advertising regulations?

<p>A connection must be established between the advertisement and its negative effects. (B)</p> Signup and view all the answers

What motivated many newspapers to decline ads from specific controversial businesses?

<p>Avoiding association with potential illegal activities. (A)</p> Signup and view all the answers

What is a violation of federal law related to advertising boycotts?

<p>Coordinated efforts by businesses to boycott a specific media outlet (D)</p> Signup and view all the answers

Which organization argues that religious advertising in government venues violates the establishment clause?

<p>American Civil Liberties Union. (D)</p> Signup and view all the answers

What was the outcome of the boycott attempt organized by religious leaders in Fort Worth, Texas?

<p>The boycott was ultimately unsuccessful. (A)</p> Signup and view all the answers

What is often a common assumption about restaurant critics?

<p>They receive preferential treatment from restaurant management (C)</p> Signup and view all the answers

What legal consequence can media outlets face for accepting discriminatory ads?

<p>They may face significant fines and lawsuits. (D)</p> Signup and view all the answers

What type of advertising boycott is designed to avoid association with controversial topics?

<p>Controversial host boycotts (A)</p> Signup and view all the answers

What was James Dolan's response to Kamer's joke about him?

<p>He cancelled advertising contracts with the Village Voice. (A)</p> Signup and view all the answers

What is a significant reason advertisers typically prefer boycotts over libel suits?

<p>Boycotts are perceived as less expensive and easier to pursue (B)</p> Signup and view all the answers

What concern do critics have regarding the portrayal of women in advertising?

<p>It reinforces harmful stereotypes and affects self-esteem. (D)</p> Signup and view all the answers

Which Supreme Court case emphasized that job advertisements cannot even imply discrimination?

<p>Pittsburgh Press v. Pittsburgh Commission on Human Relations. (B)</p> Signup and view all the answers

What did the Circuit Court rule in the 1991 case Ragin v. New York Times regarding real estate ads?

<p>Real estate ads must include diverse models. (B)</p> Signup and view all the answers

What is typically the focus of advertising boycotts in the context of news coverage?

<p>Responding to perceived false or unfair news coverage (C)</p> Signup and view all the answers

According to Professor Theodore Levitt, what do consumers actually purchase?

<p>The perceived outcomes of a product. (B)</p> Signup and view all the answers

Which regulatory body is mentioned as having a higher standard for advertising aimed at children?

<p>Federal Communications Commission. (A)</p> Signup and view all the answers

What is identified as a contributing factor to personal debt and bankruptcy in contemporary America?

<p>Advertising tactics and easy access to credit. (A)</p> Signup and view all the answers

In larger communities, how do media outlets generally respond to advertising boycotts?

<p>They can compensate with other advertisers (B)</p> Signup and view all the answers

What common example of advertising boycotts occurred in the 1990s and 2000s?

<p>Car dealerships reacting to stories on defective automobiles (D)</p> Signup and view all the answers

What does the term 'commercial speech' refer to in the context of the courts?

<p>Advertising that does not qualify for constitutional protections. (C)</p> Signup and view all the answers

Jean Kilbourne is known for criticizing which aspect of advertising?

<p>Fashion and beauty product advertisements. (A)</p> Signup and view all the answers

What does Charles Revlon imply about the cosmetics industry?

<p>It sells an image of beauty and hope rather than just products. (B)</p> Signup and view all the answers

What was a common feature of employment ads before the civil rights movement?

<p>Ads regularly specified gender and race preferences. (C)</p> Signup and view all the answers

What typically drives the financial impact of an advertising boycott?

<p>The size of the community (B)</p> Signup and view all the answers

What was a factor in advertisers pulling ads from Fox News shows in 2017?

<p>Concerns regarding the network's treatment of women (B)</p> Signup and view all the answers

What impact do critics of the advertising industry claim advertisements have on consumers?

<p>They create a disconnect between wants and needs. (A)</p> Signup and view all the answers

How do law enforcement agencies typically respond to vandalism of religious advertising on billboards?

<p>Investigations of such incidents are considered low priority. (A)</p> Signup and view all the answers

What is often a misconception about the effectiveness of advertising boycotts?

<p>They always result in changes to news coverage (D)</p> Signup and view all the answers

In terms of advertising accuracy, what did John Crichton state consumers should expect?

<p>Advertisements should reflect reality without embellishments. (D)</p> Signup and view all the answers

How did the courts view the responsibility of newspapers in monitoring ads for discrimination?

<p>They have a legitimate responsibility to ensure compliance. (A)</p> Signup and view all the answers

What cultural critique does Dave Ramsey make about American spending behavior?

<p>Consumers are misled by advertising into unnecessary spending. (B)</p> Signup and view all the answers

Which type of advertising regulation was highlighted as especially pertinent to ads aimed at children?

<p>Higher regulatory standards imposed by authorities. (C)</p> Signup and view all the answers

What approach do newspaper editors prefer over advertising boycotts for resolving conflicts?

<p>Op-ed pieces or on-camera rebuttals (D)</p> Signup and view all the answers

How do critics view the impact of advertising on young women and teenage girls?

<p>They argue it could lead to unhealthy body image issues. (D)</p> Signup and view all the answers

Which of the following statements best describes the nature of boycotts against news organizations?

<p>They are usually less impactful than expected (D)</p> Signup and view all the answers

What happened to Paula Deen's program in 2013 that reflected the influence of advertisers?

<p>Advertisers cancelled sponsorship due to racial slurs (D)</p> Signup and view all the answers

What is one of the primary concerns raised by the FTC regarding children and advertising?

<p>Children lack the experience to evaluate advertising credibility. (D)</p> Signup and view all the answers

What role do advertisers believe parents should play in evaluating advertising?

<p>They should guide children's media consumption. (A)</p> Signup and view all the answers

What pressure do media outlets face from large advertisers, such as car dealers and developers?

<p>To publish favorable stories and downplay negative news. (C)</p> Signup and view all the answers

What did the survey conducted in 1967 reveal about business and financial editors?

<p>Many reported being told to enhance positive stories about advertisers. (C)</p> Signup and view all the answers

What influence do long-term advertising commitments have on smaller publications?

<p>They can result in favorable news coverage for advertisers. (B)</p> Signup and view all the answers

What policy do most reputable newspapers and television stations implement?

<p>Erect walls of separation between news and advertising departments. (D)</p> Signup and view all the answers

Which behavior is common among smaller weekly newspapers regarding advertiser relationships?

<p>They tend to favor positive coverage for paying advertisers. (C)</p> Signup and view all the answers

What criticism has been directed towards the publication TV Guide?

<p>It has been accused of not reporting negative stories about advertisers. (C)</p> Signup and view all the answers

What assumption do readers often make about restaurant reviewers and advertising?

<p>They tend to write positively about restaurants that advertise. (A)</p> Signup and view all the answers

What trend was noticed regarding broadcast journalists in the 1970s compared to print journalists?

<p>Broadcast journalists ignored tobacco-related stories. (D)</p> Signup and view all the answers

What approach do smaller publications often take to avoid controversial advertising situations?

<p>They proactively publish favorable stories about advertisers. (D)</p> Signup and view all the answers

How do advertisers influence news content in trade publications?

<p>By offering substantial long-term advertising agreements. (B)</p> Signup and view all the answers

What is a common misconception about journalism in relation to advertising?

<p>Advertising does not affect content in reputable newspapers. (B)</p> Signup and view all the answers

What type of media is often more susceptible to advertising influence according to the content?

<p>Monthly magazines and lifestyle publications. (D)</p> Signup and view all the answers

Flashcards

Advertising Venues

The different channels or places where advertising is displayed, like print, broadcast, online, direct mail, outdoor, and transit.

Advertising Categories

A classification of advertising, such as Traditional retail, Direct response, or Behavioral.

Traditional Retail Advertising

Advertising designed to encourage customers to visit a physical store.

Direct Response Advertising

Advertising encouraging customers to call a phone number or visit a website.

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Behavioral Advertising

Ads tailored to individual online interests based on their online activity.

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Advertising Bias

Ads are not neutral. They aim to persuade audiences.

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Online Advertising Techniques

Methods used to tailor ads for specific online users tracked by embedded programs like 'cookies'.

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Government Regulation of Advertising

Different advertising venues are subject to varying levels of government oversight; some less than others.

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Gmail's Advertising

Gmail uses keywords from outgoing emails to target ads.

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Social Media Advertising

Social media platforms use user data to show ads.

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FTC's Role

The Federal Trade Commission regulates advertising.

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AAF Code

American Advertising Federation's ethical advertising guidelines.

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AAAA Standards

American Association of Advertising Agencies' ethical guidelines.

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Caveat Emptor

A Latin phrase meaning "let the buyer beware."

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Printer's Ink Statutes

Early state regulations of advertising.

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Federal Trade Commission (FTC)

U.S. government agency regulating advertising.

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Consumer Protection Laws

Laws protecting consumers from misleading ads.

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Ethical Advertising

Advertising that avoids misleading claims.

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Billing Disputes

Problems arising from agency/client billing practices.

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Federal Agencies

Various federal agencies regulate advertising in specific areas.

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Advertising Regulation History

Three periods of advertising regulation in the US.

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Advertising in 1800s

Little government regulation of advertising.

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Advertising in 1900s

Increased government regulation on advertising.

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Consumer Responsibility

Consumers should be skeptical of questionable advertising claims.

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False Advertising

Making untrue claims about a product's ability to produce a specific result.

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Deceptive Advertising

Advertising that doesn't make false statements but omits crucial information or is misleading.

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Reasonable Consumer Standard

The standard used by the FTC to determine if an ad is deceptive, focusing on whether a typical consumer would be misled.

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FTC

Federal Trade Commission, a US agency responsible for ensuring truthful advertising.

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State consumer protection laws

Laws revised and expanded in all 50 states to regulate advertising, alongside the FTC.

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Watchdog groups

Independent groups that scrutinize advertising and often use similar standards to the FTC and state agencies.

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Substantiating False Claims

Demonstrating that the advertiser knew the product's true characteristics and advertised it falsely.

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Fictional endorsements

Fake or fabricated endorsements used to promote products, which is a form of false advertising.

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Omitted information (deceptive)

Leaving out key details in an ad that could mislead a consumer.

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Regulatory Scrutiny

Close examination of advertising, especially for food and OTC drugs.

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Weight loss claims

Claims about weight loss products that lack scientific backing are often scrutinized.

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Sound Scientific Basis

The burden of proof for advertisers who make claims with medical implications or health-related outcomes.

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'New and Improved'

A marketing term that often lacks specific, measurable benefits when used in advertising for products.

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'Prescription Strength'

A phrase that may imply an OTC drug has the same strength as a prescription drug, but often does not.

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County/city advertising restrictions

Limitations on outdoor and other types of advertising at locality levels.

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What is 'product placement'?

Product placement is a type of advertising where a company's products are shown in movies, TV shows, or other media for a fee.

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Subliminal advertising

Subliminal advertising is a type of advertising that uses subtle messages or images that are not consciously noticed by the viewer, but are intended to influence their behavior.

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How might ads use government reports?

Advertisers can use information from government reports, such as crash test results, to support claims about their products, but they must present the information fairly.

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What is 'MSRP'?

MSRP stands for Manufacturer's Suggested Retail Price, the price that a manufacturer recommends for a product.

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What are 'compare with' prices?

'Compare with' prices are used by discount stores to show a higher price that an item might sell for at traditional retailers, often misleading consumers.

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What are 'limited time offers' in advertising?

Limited time offers are often used to create a sense of urgency and encourage quick purchases, but the deadlines are often extended.

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What are 'marketing agreements'?

Marketing agreements are arrangements between companies and organizations, like hospitals and sports teams, where the company pays for exposure but may not actually be the provider of services.

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What are 'watchdog groups'?

Watchdog groups are organizations that monitor advertising practices and consumer protection, alerting consumers to misleading or deceptive claims.

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What is the FTC's role in advertising?

The Federal Trade Commission (FTC) regulates advertising to ensure it is truthful, fair, and not deceptive.

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What is the purpose of a 'disclaimer' in advertising?

A disclaimer is a statement that clarifies or qualifies a claim made in an advertisement to avoid misleading consumers.

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Why is product placement effective?

Product placement can be effective because viewers are exposed to the message without actively choosing to watch it, unlike traditional commercials.

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How has product placement evolved?

Product placement has evolved from simple brand recognition to more sophisticated integrations that weave products seamlessly into storylines.

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Why might companies use product placement?

Companies use product placement to gain positive exposure for their products, reaching a large audience without the viewer actively choosing to consume the message.

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What is the difference between traditional advertising and product placement?

Traditional advertising is direct and often intrusive, while product placement is more subtle and integrated into media content, aiming to create a more nuanced and natural exposure.

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Product Placement

A marketing strategy where brands subtly incorporate their products into movies, TV shows, or music videos.

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Product Placement Revenue

Money earned by movie producers from brands who pay to have their products featured in their films.

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First Amendment Concerns

Legal issues regarding freedom of speech and the government's ability to regulate advertising.

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Central Hudson Test

A four-part legal test used by courts to determine if government regulations on advertising are valid.

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Advertising of Controversial Products

The legal debate over whether governments can restrict advertising for products like alcohol or tobacco.

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Public Health Concerns

When advertising is considered harmful to public health, like tobacco ads.

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Supreme Court Rulings

Decisions by the U.S. Supreme Court on advertising law.

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Consumer Watchdog Groups

Organizations that monitor advertising and advocate for consumer rights.

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Unintentional Product Placement

When a product appears in a movie or show without the producers intending to feature it.

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Product Placement Ethics

Debates about whether product placements are appropriate in serious dramas.

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Advertising in the 1800s

A time when advertising was largely unregulated.

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Advertising in the 1900s

A period when government advertising regulation increased.

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Consumer Responsibility in Advertising

The importance of consumers being critical of what they see advertised.

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Children and Advertising

Children are considered vulnerable to advertising due to their limited ability to assess information's credibility.

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Advertiser Pressure on Media

Advertisers sometimes try to influence news coverage to portray themselves positively and downplay negative stories.

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Ethical Wall Between News & Advertising

Reputable media outlets have strict policies separating their news and advertising departments to prevent influence.

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Influencing News Coverage in Smaller Publications

Advertisers can exert more influence on smaller publications like weekly newspapers or trade magazines, sometimes affecting news content.

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Restaurant Reviews and Ethical Concerns

The relationship between restaurant reviewers and advertising departments can be scrutinized for potential biases.

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Advertising's Impact on Children's Perceptions

Claims that children are unable to recognize exaggerated or untrue representations in advertising.

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Parent's Role in Evaluating Advertising

The responsibility of parents to assist children in discerning the credibility of information presented through media.

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Journalistic Ethics and Advertiser Influence

The debate surrounding the potential for advertisers to pressure journalists to publish favorable content.

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Advertising's Influence on Content

The potential for advertisers to influence the content of news articles or stories, especially in smaller publications.

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Strategies to Avoid Influence

Reputable media outlets establish strict policies to separate news and advertising departments to prevent biased reporting.

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The 'Buy an Ad, Get a Story' Strategy

The practice of certain publications, particularly smaller ones, to favor advertisers by publishing positive stories.

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Documenting Advertising Influence

The difficulty in obtaining hard evidence to prove instances of advertiser influence on news content.

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The Trade Publication Dilemma

Trade publications often face pressure to publish positive stories about their advertisers to secure advertising revenue.

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Advertising's Impact on Specific Industries

Certain media outlets or industries, such as fashion magazines or architectural journals, might be heavily influenced by advertising.

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Restaurant Reviews and Advertising

The perception that restaurant reviewers might write positive reviews about establishments that advertise in their publication.

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Advertising Boycott

A sponsor's decision to cancel advertising with a media outlet in retaliation for negative news coverage or association with controversial hosts or topics.

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Types of Boycotts

Boycotts can protest negative news coverage or avoid association with controversial topics.

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Boycott Effectiveness

Boycotts protesting news coverage are rarely effective, while those avoiding controversial topics have mixed results.

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Boycott's Impact

Boycott's financial impact depends on the community's size and the advertiser's importance. Larger communities and national media are less affected.

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Boycott's Justification

Advertisers may claim boycotts are a 'last resort' against unfair news coverage, but editors often claim they were surprised.

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Alternatives to Boycotts

Instead of boycotting, advertisers can seek opportunities to respond to negative news stories through op-eds or on-camera rebuttals.

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Car Dealership Boycotts

Car dealerships are often involved in advertising boycotts, protesting negative news about defective cars or price negotiation tips.

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Paula Deen Boycott

Food Network cut ties with Paula Deen after advertisers refused to sponsor her program due to racist remarks.

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Laura Ingraham Boycott

Advertisers canceled ads on Laura Ingraham's show after she mocked a Parkland school shooting survivor.

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Sean Hannity Boycott

Major advertisers pulled ads from Sean Hannity's program after sexual harassment allegations against his former boss.

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Fox News Boycotts

Fox News experienced significant advertising boycotts due to multiple controversies involving hosts like Bill O'Reilly, Glenn Beck, and Roger Ailes.

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Antitrust Laws and Boycotts

If businesses conspire to boycott a media outlet, it violates antitrust laws and could be investigated by the FTC and Justice Department.

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Boycott's Impact on Local Media

A boycott in a small town can have a significant impact on a local newspaper's revenue, but larger cities and national media are less affected.

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Boycott's Impact on National Media

National chains or networks can easily survive the loss of a major advertiser, while local independent newspapers or stations may struggle.

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Boycott's Short-Term Nature

Many advertising boycotts are short-lived, as advertisers realize they need the media outlet more than the outlet needs them.

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Boycott Strategy

Using economic pressure to punish someone by canceling contracts, rather than suing them for libel. This tactic was employed by James Dolan against blogger, Michael Kamer.

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First Amendment Defense

The right to freedom of speech, as outlined in the First Amendment, can be used as a defense against penalties for expressing opinions, even if those opinions are offensive to others.

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Retaliation Allowed?

While you have the legal right to speak freely, others are not restricted from taking negative actions against your speech, even if they disagree with your views.

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Influence of Advertising on Self-Image

Advertising's portrayal of women, often using unrealistic standards of beauty, can negatively impact the self-esteem of viewers and contribute to body image issues.

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Manipulation of Needs vs. Wants

Advertising often blurs the lines between necessities and desires, leading consumers to feel they 'need' products they may only truly 'want'.

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Advertising and Consumer Debt

The rise of advertising and easy access to credit is blamed, in part, for the increasing trend of personal debt and bankruptcy.

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Professor Levitt's View

Professor Levitt argues consumers do not purchase physical goods, but rather the benefits those goods provide; we desire the result, not the product itself.

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Revlon's Insight

Charles Revlon, a cosmetics mogul, famously said that his company sells hope, not just makeup, suggesting advertising goes beyond selling products; it sells aspirations.

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Economic Consequences of Advertising

Overspending promoted by advertising and easy credit are significant contributors to the financial struggles of many individuals and families.

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Consumer Advocate's Critique

Consumer advocates often criticize advertising and credit industries for their role in promoting overspending and financial instability, claiming they prey on consumer vulnerabilities.

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Supreme Court Rulings on Advertising

Decisions made by the Supreme Court on advertising law, influencing how ads are regulated across the country.

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Advertising That Implies Discrimination

Ads that, even without explicitly saying so, suggest that certain groups aren't welcome. It's illegal under employment and housing laws.

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Pittsburgh Press v. Pittsburgh Commission on Human Relations

A 1973 Supreme Court case that ruled newspapers can't categorize job listings as 'male interest' or 'female interest' because it implied discrimination.

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Ragin v. New York Times

A 1991 court ruling that said newspapers can't show only white families in real estate ads, as it implies racial discrimination.

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Advertising and Young Audiences

Advertising aimed at children is subject to stricter rules because kids are more susceptible to persuasion.

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First Amendment Concerns Regarding Advertising

When government regulations on advertising clash with the First Amendment's guarantee of freedom of speech.

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Study Notes

Advertising Venues and Categories

  • Advertising is a biased form of communication, aiming to influence audience actions or viewpoints, often for product/service purchases.
  • It's distinct from journalism, never claiming neutrality.
  • Six major advertising venues exist: print, broadcast, online, direct mail, outdoor, and transit.
  • Venues have varying government regulations and professional ethical codes.
  • Advertising often categorized into three types: traditional retail, direct response, and behavioral.
  • Behavioral advertising, controversial and newest, profiles online users based on their activity ("cookies") to target ads.
  • Techniques include tracking websites visited, emails, and social media activity.
  • Examples include pop-up ads based on car searches or golf interests.
  • Companies like Google and Facebook utilize this data.
  • Advertising is subject to legal and ethical limitations.
  • The Federal Trade Commission (FTC) is the main federal agency for advertising regulation.
  • The FTC encourages voluntary adherence to tasteful, truthful, and accurate advertising.
  • Major advertising professional organizations like AAF and AAAA provide ethical guidance.
  • AAF Code emphasizes truthfulness, avoiding consumer deception, and good taste.
  • AAAA Standards of Practice prohibit specific actions regarding content: false statements, misleading testimonials/prices, unsubstantiated claims, and offensive statements.
  • Issues concerning billing practices are common, requiring clear contract stipulations.

Government Regulation

  • Advertising regulation in the US has evolved through three phases.
  • Early 1800s: minimal regulation, emphasis on "caveat emptor."
  • Early 1900s: "printer's ink statutes," state-level regulations.
  • Mid-20th century to present: FTC gains significant authority with consumer protection laws.
  • Several federal agencies regulate advertising, including the FTC, FCC, FEC, FDA, HUD, EPA and USPS.
  • Agencies have varying areas of regulation and compliance, depending on product or service.
  • Courts recognize some First Amendment protection for commercial speech, but limited First Amendment protection.

Issues and Controversies

  • False and Deceptive Advertising:
    • False advertising involves untrue claims, needing proven advertiser knowledge of falsity.
    • Deceptive advertising omits crucial info or misleads, judged by a reasonable consumer standard.
  • Regulation Focus Areas: Food products, OTC drugs, and product claims related to health/weight issues are frequently scrutinized.
  • Promotional Phrases: Terms like "new and improved," "vitamin-enriched", and "prescription strength" are under scrutiny, needing factual support.
  • Use of Research: Advertiser caution is advised when using government test results. Presenting findings fairly is vital.
  • Advertisers' Reactions to News: News coverage can trigger boycotts/retaliation (often involving major advertisers)

The Debate over Product Placements

  • Product placement, embedded marketing, features a product displayed in film/TV without explicitly promoting it.
  • Advantages: high viewer exposure, but lack of explicit promotion.

Advertising of Controversial Products and Services

  • Government regulation of the promotion of legal products/services is limited.
  • Exceptions arise with product deception or health/safety concerns.
  • The "Central Hudson Test" provides a framework for regulating advertising.

Advertising and Young Audiences

  • Advertising aimed at children receives harsher scrutiny due to their perceived susceptibility.
  • Regulations may concern advertising time during children's programming.
  • Debate exists over who is responsible for protecting children from deceptive ads (parents/agencies).

Biting the Hands that Feed: News Content and Advertiser Concerns

  • Advertisers can exert influence on news content through pressure and boycotts.
  • Boycotts and threats to pull advertising funds can influence news coverage, especially in smaller communities.
  • "Buy an ad, get a story" strategy is common in smaller publications.
  • Policies separating news and advertising are crucial for integrity, especially in larger publications.
  • Critics argue a conflict of interest with potential editorial biases.

Portrayals of Women

  • Advertising portrayals of women can be criticized as harmful, often using thin models which impact self-esteem.
  • Critics like Jean Kilbourne highlight potentially harmful stereotypes and impacts on image perception.
  • Realistic representation is encouraged alongside accuracy.

The Influence of Advertising on Consumer Spending

  • Advertising can blur lines between needs and wants, often promoting desire over true necessity.
  • Advertising's influence, combined with easy credit, contributes to consumer debt.
  • Criticism of the strategy to encourage spending.

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Explore the various advertising venues and categories in this quiz. Understand how advertising differs from journalism, the types of advertising, and the ethical and legal frameworks governing them. Test your knowledge on behavioral advertising and its implications.

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