Advertising and Brand Strategy Lecture Review

Comprehensive vocabulary flashcards covering key concepts from Lectures 1, 2, and 3, including brand definitions, market segmentation, consumer decision-making, research methods, and core principles of advertising strategy.

Brand (AMA Description)

A name, term, sign, symbol, or design intended to identify the goods and services of one seller from another.

Brand (David Aaker)

An organization's promise to a consumer to deliver what the brand stands for, not only in terms of functional benefits but also emotional, self-expressive, and social benefits.

Factors of Brand Worth

The three factors used to calculate brand worth: 1. Financial performance, 2. The role the brand plays in consumer choice, and 3. The strength of the brand to secure a premium price.

Requirements to Build a Strong Brand

1. Stay hyperfocused, 2. Understand their consumer, 3. Make bold promises, 4. Have human characteristics, and 5. Provide an unfair advantage to their owners.

Brand Architecture

How a brand structures and names brands within its portfolio.

Master Brands

Brands that do not have other brands underneath them that they own, such as Nike, Apple, Samsung, and L'Oreal.

Brand Portfolios

A portfolio structure containing multiple brands owned by a overarching organization, such as P&G Laundry (Tide, Gain, Cheer), AB InBev (Budweiser, Michelob, Stella, Artois), or Gap Brands (Gap, Athleta, Banana Republic, Old Navy).

Brand Identity

A specific list of characteristics that identify the brand visually, verbally, and behaviorally, influencing its unique perceived personality, appearance, and behavior.

Brand Core Values

Principles or philosophies that the brand lives up to, as seen in brands like Ben and Jerry's, Patagonia, and Tom's.

Brand Equity

Brand descriptors that the brand "owns".

Target Market

A market segment or group within the market segment towards which all marketing activities will be directed (categorized as Consumers or Businesses).

Target Audience

A specific group of individuals to whom the advertising message is directed.

Steps in Market Segmentation

1. Identify groups with shared needs and characteristics, and 2. Combine the groups into larger segments.

Behavioristic Segmentation

Segmenting consumers based on the benefits being sought, incorporating measures such as User Status, Usage Rate, and specific Benefits.

User Status

A categorization of consumers based on varying degrees of loyalty to certain brands and products, including sole, seminole, discount, aware nontriers, trial/rejectors, and repertoire status.

Usage Rate

The extent to which consumers use a product (light, medium, or heavy).

Volume Segmentation

Defining consumers specifically as light, medium, or heavy users.

Benefit Segmentation

Segmenting based on product attributes offered to customers, such as high quality, low price, or symbolism.

Geographic Segmentation

Segmenting markets by geographic regions based on shared characteristics, needs, or wants of people in that region.

Psychographic Segmentation

Defining consumer markets based on psychological variables such as values, attitudes, personality, and lifestyle.

Aggregative Market Segments

The process of 1. Selecting groups that have a mutual interest in the product's utility, and 2. Reorganizing and aggregating the groups into larger market segments based on their potential for sales and profits.

Primary Demand Trend

A projection of future consumer demand for a product category based on past demand and other market influences.

Marketing Mix (4 Ps)

The four foundational elements every company needs to take into account: Product, Price, Place, and Promotion.

Introductory Phase

The initial phase when a new product is introduced, characterized by the highest costs because heavy advertising must occur to establish a position and gain market share.

Pull Strategy

Marketing, advertising, and sales promotion activities aimed at inducing trial purchases and repurchases directly by consumers.

Push Strategy

Marketing, advertising, and sales promotion activities aimed at getting products into the dealer pipeline and accelerating sales by offering inducements to dealers, retailers, and salespeople.

Product Differentiation

Calling attention to product differences that appeal to the preferences of distinct target markets.

Perceptible Differences

Differences between products that are visibly apparent to consumers.

Hidden Differences

Imperceptible but existing differences between products that may affect desirability.

Induced Differences

Distinguishing characteristics of products created through unique branding, packaging, distribution, merchandising, and advertising.

Consumer Behavior

Activities, actions, and influences of people who purchase and use goods to satisfy particular needs and wants.

Consumer Decision Process

A series of steps a consumer goes through in deciding to make a purchase, governed by personal processes and external influences.

Personal Processes

Processes (perception, learning, and persuasion) that govern the way consumers discern raw data (stimuli) and translate them into feelings, thoughts, beliefs, and actions.

Interpersonal Influences

Social influences affecting consumer decisions, including family, society, and cultural environments.

NonPersonal Influences

Factors outside the consumers' control that affect decisions, such as time, place, and environment.

Evaluation of Alternatives

A stage in the decision process where consumers choose among brands, styles, and colors.

Post Purchase Evaluation

The stage in the decision process determining whether a purchase has been satisfactory or unsatisfactory.

Consumer Involvement

The importance or relevance of a purchasing decision to a consumer.

Conditioning Theory

A theory of learning that is applicable to low-involvement purchases.

Cognitive Theory

A theory of learning that is applicable to high-involvement purchases.

Persuasion

A change in thought process or behavior caused by promotional communication.

Secondary Research

Research that has been designed and conducted by third parties, such as historical analysis, annual reports, case studies, published articles, databases, content analysis, social media listening, and competitor websites.

Primary Research

Research designed and conducted directly by the researcher, including surveys/polls (quantitative) and one-on-ones/focus groups (qualitative).

Quantitative Research

Research that determines what is happening, how much, and among whom, utilizing a nationally projectable sample.

Qualitative Research

In-depth research conducted with fewer respondents to reveal why people do what they do and uncover underlying consumer insights and motivations.

Quant Random Sampling

Selecting research participants in a way that eliminates bias.

Quali-Quant

A research methodology that combines qualitative and quantitative research approaches.

8 Key Principles of Advertising

1. Be strategically focused and succinct, 2. Differentiate!, 3. Own a word or phrase or visual, 4. Remember the Power of Firsts, 5. You are either the leader or deal with the leader's positioning, 6. Be bold, 7. Be honest, and 8. Be relevant– You are not your target audience.

5 Linked Elements for Advertising

1. Products: Why does it exist? Why is it important and differentiating? What does it compete against or for? How is it different?

2. Brand Role/Strategy: Where does the company fall in comparison to competitors?

3. Positioning: Why should “I” care, Why should “I” believe you, Do “I” understand you?

4. Communications Advertising Strategy: Why does it exist? What is important and differentiating? What does it compete against?

5. Execution/Campaigns and Media: What are the audio and visual elements? What makes it memorable to the target audience?

Positioning Statement Components

The five linked structural elements of positioning: Target (who the brand serves), Frame of Reference / For (where/against what it competes), Promise (the benefit received), Support (why the consumer believes), and Personality (the brand character).

Positioning Statement Order

1. To [Target], [Brand] is the brand of [Frame of Reference] that [Message Promise]. Because of [Support] and is [Personality]

   1. TARGET: Who the brands will serve 

   2. FOR: Where/against what the brand completes 

   3. PROMISE: The benefit the consumer will receive 

   4. SUPPORT: Why the consumer will believe the brand delivers 

   5. PERSONALITY: The character appropriate to the brand message and attractive to the target