Advertisement and Promotions

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92 Terms

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What is CPM

Cost per thousand viewers or impressions, depending on context.

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What are Customer Loyalty Programs?

Programs designed to improve customer experience and encourage repeat purchases.

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What is Responsive Web Design?

Website design that adapts to different devices and screen sizes.

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What are Market Segments?

Groups of consumers with similar geographic, demographic, or psychographic characteristics.

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What is Channel Clutter?

The amount of advertising present in a particular medium.

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What is a Landing Page?

The webpage consumers reach after clicking an advertisement.

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What is the Doherty Threshold?

The principle that systems responding within about 400 milliseconds feel responsive to users

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What does IMC stand for?

Integrated Marketing Communications.

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What is a CTV CMP?

Connected TV Consent Management Platform.

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What is Scrollytelling?

Combining storytelling with scrolling text and visual elements.

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What are Collateral Services?

Support functions for advertisers, agencies, media organizations, and specialized marketing firms.

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What is Micromarketing?

An advertising strategy targeting a very narrow, specific consumer group.

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What is Internalization?

Accepting a credible communicator's message as accurate and incorporating it into one's beliefs.

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What are Click-to-Call Features?

Buttons or links that initiate a phone call when clicked.

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What is a Creative Boutique?

A small advertising agency specializing in creativity, design, and content development

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What is the Relationship Era?

An era emphasizing trust, transparency, engagement, authenticity, and customer relationships.

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What is the Sleeper Effect?

When a message becomes more persuasive over time as its source's influence fades.

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What is Information Architecture?

The structural organization of information in a shared information environment.

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What is a Centralized Business Structure?

A structure in which marketing activities are organized along functional lines.

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What is Selective Demand Advertising?

Advertising designed to create demand for a specific company's brand.

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What is a Two-Sided Message?

A message presenting both favorable and unfavorable points about a subject or product.

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What does UX stand for?

User Experience.

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What are Media Buying Agencies?

Agencies that research audiences, negotiate ad space, and purchase media placements.

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What are Cultural Symbols?

Figures or images that connect a brand with consumers' values or identities.

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What is Brand Activism?

A brand taking a stand on social, political, economic, or environmental issues to promote change.

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What are the Promotional Mix Elements?

Advertising, direct marketing, digital marketing, sales promotion, publicity, and personal selling.

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What is Advertising?

Paid, nonpersonal communication about an organization, product, service, or idea from an identified sponsor.

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What is Paid Media?

Media exposure a company pays for, such as advertisements or sponsored placements.

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What is Media Planning?

Decisions involved in delivering promotional messages to prospective consumers.

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What is a Medium?

A general category of communication delivery systems, such as television or radio.

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What is a Media Vehicle?

A specific carrier within a medium, such as a particular TV show or magazine.

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What is Reach?

The number of different audience members exposed to a media vehicle at least once during a period.

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What is the Brand Development Index (BDI)?

A measure comparing a brand's sales in an area with the population in that area relative to national totals.

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What is the Category Development Index (CDI)?

A measure comparing product-category sales in an area with that area's share of the total population.

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What is Frequency?

The number of times an audience member is exposed to a media vehicle during a period.

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What is Coverage?

The potential audience that could receive a message through a media vehicle.

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What is Unduplicated Reach?

The total number of unique people reached across media placements, counting each person once.

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What is Waste Coverage?

Media exposure reaching people who are not potential buyers or users.

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What is Duplicated Reach?

Audience overlap when the same people may be exposed through multiple media placements.

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What is a Program Rating?

A broadcast audience measure indicating the percentage of a defined audience watching a program

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What does GRP stand for?

Gross Rating Points

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What are Gross Rating Points (GRPs)?

A measure of total advertising weight calculated as reach percentage multiplied by average frequency.

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What are Target Rating Points (TRPs)?

Rating points measuring advertising exposure among the specific target audience.

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What is Recency?

Delivering advertising messages as close as possible to the consumer's purchase decision.

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What is Absolute Cost?

The actual total cost of placing an advertisement.

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What is Pass-Along Rate?

How often a media item is shared with or passed on to another person.

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What does TCPM stand for?

Target Cost Per Thousand (typically targeted impressions); terminology can vary by course.

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What is Relative Cost?

The cost of advertising compared with the size of the audience delivered.

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What is a Refutational Appeal?

A persuasive message that presents an opposing argument and then refutes it with evidence.

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What is the formula for GRP?

GRP = Reach (%) × Frequency.

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What does BDI stand for?

Brand Development Index.

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What is the difference between CPM and TCPM?

CPM measures cost per thousand impressions or viewers; TCPM typically focuses on a defined target audience.

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When is a Two-Sided Message most effective?

When the audience disagrees with the claim or is informed and skeptical.

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What is the purpose of Selective Demand Advertising?

To persuade consumers to choose a particular brand rather than competing brands.

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What is the purpose of Customer Loyalty Programs?

To encourage repeat purchases and strengthen long-term customer relationships.

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What is the difference between Reach and Frequency?

Reach counts unique people exposed; frequency counts how often they are exposed

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What is the difference between a Medium and a Media Vehicle?

A medium is a general delivery category; a vehicle is a specific outlet within it.

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What is the difference between Absolute Cost and Relative Cost?

Absolute cost is the total price; relative cost compares that price with the audience delivered.

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What does a Creative Boutique specialize in?

Creative development, advertising concepts, design, and content.

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What is the goal of Brand Activism?

To take a public stand on an issue and encourage social, economic, political, or environmental change.

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How is BDI generally calculated?

Brand sales percentage in an area ÷ population percentage in that area × 100.How is CDI generally calculated?

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How is CDI generally calculated?

Category sales percentage in an area ÷ population percentage in that area × 100.

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Integrated Marketing Communications & it’s role in advertising

Coordinating all promotional tools and communication channels to deliver a consistent, unified message about a brand. It Builds Brand awareness, strengthens the brand image and influences consumer behavior. Advertising, PR, sales promotions, direct marketing, social media, and personal selling

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Product advertising

Promotes a specific product or service

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Institutional advertising

promotes a company or organization and its image

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Competitive Advertising

Tries to persuade consumers to choose one brand over competitors

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Comparative Advertising

Directly or indirectly compares a brand with competitors

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Reminder Advertising

Keeps an established brand in consumers’ minds

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Advocacy advertising

Supports a particular cause, position, or point of view

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Consumer Advertising

Targets individual consumers

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Local Advertisements

targets consumers in a specific geographical area

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National Advertising

Targets a broad national audience

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Market Segmentation

dividing a larger market into smaller groups of consumers with similar characteristics, needs, or behaviors. The four major types are:

Geographic: Location, climate, region, or city.

Demographic: Age, gender, income, education, occupation, or family size.

Psychographic: Lifestyle, interests, personality, and values.

Behavioral: Purchasing habits, product usage, loyalty, and benefits sought.


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Cultural Symbols

images, objects, colors, words, gestures, or people that carry shared meanings within a culture.

An example- A heart represents love

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Customer Profiles

A description of the ideal customer for a product or service.

It may include:

Demographics, Geographic information, Psychographics, Behavioral Information

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Types of Advertising agencies and compensation

Full-service agency: Handles most or all advertising functions, including research, creative work, media planning, and account management.

Creative boutique: Specializes in creative services, such as copywriting, design, and ad concepts.

Media-buying agency: Plans and purchases advertising time and space.

Interactive/digital agency: Specializes in websites, digital advertising, social media, and online campaigns.

In-house agency: Performs advertising work within the company itself.

Specialized agency: Focuses on a particular industry, audience, or advertising service.

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How do Advertising agencies provide value

Agencies provide value through specialized expertise and resources that businesses may not have internally.

Key benefits:

  1. Creativity: Develop original, memorable advertising concepts.

  2. Research: Study consumers, competitors, and markets.

  3. Media expertise: Choose the right channels and negotiate media purchases.

  4. Objectivity: Offer an outside perspective on the company's brand.

  5. Efficiency: Coordinate campaigns and save the client time.

  6. Integrated strategy: Keep messaging consistent across different channels.

  7. Measurement: Evaluate advertising effectiveness and recommend improvements.


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Consumer Motivation

the internal drive that causes someone to take action to satisfy a need or want.

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Types of Consumer motives

  • Rational motives: Based on practical considerations, such as price, quality, safety, and convenience.

  • Emotional motives: Based on feelings, such as happiness, love, fear, pride, or belonging.

  • Positive motivation: Moving toward a desired outcome or reward.

  • Negative motivation: Moving away from an unwanted outcome or problem.


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Maslow Hierarchy of Needs

5.Self-Actualization,4.Esteem,3.Social needs,2.Safety needs,1.Physiological Needs

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Attitude

a learned tendency to evaluate a product, brand, person, or idea positively or negatively.

Cognitive- Beliefs and knowledge “This shoe is lightweight.”

Affective-Feelings and emotions “I love this shoe.”

Conative Behavioral intention or tendency to act

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Direct mail advertising

Direct-mail advertising sends promotional material directly to a person's physical mailing address.

Advantages include:

  • Targeting: Send materials to selected households or customer groups.

  • Personalization: Include a recipient's name or tailored offer.

  • Tangibility: Consumers can physically hold and keep the advertisement.

  • Detailed information: Include catalogs, coupons, product details, and offers.

  • Measurability: Track responses using unique codes, coupons, or URLs.

  • Geographic selectivity: Target specific neighborhoods or regions.

  • Less digital competition: Reach consumers through a channel other than online advertising.

Disadvantages to remember: printing and postage can be expensive, and recipients may discard mail without reading it.

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Perpetual debate

ongoing disagreement over whether advertising should prioritize creativity and originality or research, strategy, and proven effectiveness.

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Inherent Drama

the compelling story, human interest, or meaningful benefit already present in a product or service.

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Sleeper Effect

occurs when a message becomes more persuasive over time, even though its original source was not very credible.

Example: Someone hears a product claim from a source they initially consider unreliable. Weeks later, they remember the claim but not the source, so the claim may influence their opinion.

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Refutational appeal

acknowledges an opposing argument or criticism and then attempts to disprove or answer it.

Example: A running shoe advertisement says, “Think lightweight shoes sacrifice durability? Our shoes are tested for durability while remaining lightweight.”

The ad recognizes a possible objection and provides a counterargument.

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The communications Effect Pyramid

illustrates how advertising can move consumers from limited awareness toward stronger understanding, conviction, and action.

  • Awareness

  • Knowledge

  • Liking

  • Preference

  • Conviction

  • Purchase


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Magazine Advertising

  • High-quality color and visual presentation.

  • Targets specific interests and demographics through specialized publications.

  • Longer shelf life; readers may revisit an issue.

  • Can offer prestige and credibility.

  • Detailed messages are possible because readers can spend time with the ad.


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TV advertising

  • Combines sight, sound, motion, and storytelling.

  • Can reach large audiences.

  • Demonstrates how products work.

  • Creates emotional connections through music, imagery, and stories.

  • Can build mass-market awareness quickly.


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Radio Advertising

  • Usually less expensive than television.

  • Allows geographic and audience targeting.

  • Can reach listeners while driving, working, or doing other activities.

  • Offers flexibility for changing messages.

  • Uses music, sound effects, and imagination to create interest.


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Newspaper

  • Can reach local communities.

  • Useful for sales, coupons, events, and retail promotions.

  • Offers timely placement and frequent publication.

  • Allows consumers to compare prices and offers.

  • Can provide substantial written information.


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Integrated Marketing Approach

To implement IMC successfully, a company must coordinate its advertising and other promotional activities around shared goals.

  1. Consistent messaging: Maintain the same core brand message across platforms.

  2. Clear target audience: Understand the consumers the campaign is intended to reach.

  3. Unified brand identity: Use consistent logos, colors, tone, and visual style.

  4. Coordinated channels: Make advertising, social media, public relations, direct marketing, and promotions reinforce one another.

  5. Clear objectives: Establish measurable goals, such as awareness, engagement, leads, or sales.

  6. Customer-focused communication: Adapt the message to the audience and the medium without losing the central brand identity.

  7. Coordination across departments: Ensure marketing teams, agencies, and other stakeholders work toward the same objectives.

  8. Measurement and evaluation: Track results and improve the campaign based on performance.