MKT 3320 Midterm [Baylor, Lindsey-Warren]

4 eras of evolution of advertising

Identification

Information

Promotion

Sales

Identification era

Simple images found in ancient Babylonia, Egypt, Greece, and Rome identified a business, manufacturer, or store.

Information era

Gutenberg's movable type mechanized printing leading to mass communication.

Promotion era

The Industrial Revolution led to surplus goods, improved transportation, and the need for new media.

Sales era

Advertisers became concerned about making ads that worked and defining standards of effective advertising.

Golden Era of Advertising

Ogilvy, creativity took off

N.W. Ayer and Son (1869)

First ad agency

Founded by Francis Wayland Ayer in Philadelphia

Known for creating "open contracts"

clients: Camel, U.S. Army

Hierarchy of ad agency

President

VP account services - VP creative services - VP marketing services - VP management services

Account supervisor, account executive - art/copy, production - media, research - accounting, purchasing, personnel

Account director

communicates with clients, ensures everyone is on same page throughout project, directs operations

Creative director

develops meaningful, effective means of communication/makes message tangible/visible

Definition of IMC

Integrated marketing communications: mixed of paid and unpaid media to make promotions, marketing, PR, brand sings with one voice

What is IMC used for?

1-enhance brand equity

2-affect consumer behavior

IMC: strategy (definition)

plan for achieving objectives (and reasoning)

IMC: tactic (definition)

methods for achieving objectives (big ideas, channels, etc.)

Brand equity definition

the goodwill (i.e., equity) that an established brand has built up over its existence. As such, the concept of brand equity can be considered both from the perspective of the organization that owns a brand and from the vantage point of the customer. This value can be measured by the degree to which a brand is different, relevant, held in high esteem, and has developed consumer knowledge.

Significance of brand equity

As the value, or equity, of a brand increases, various positive outcomes result. These include:

(1) achieving a higher market share

(2) increasing brand loyalty

(3) being able to charge premium prices

(4) earning a revenue premium

Why do brands advertise?

To make money--its a business

Consumer decision-making process

Need recognition and problem awareness

Information search

Evaluation of alternatives

Purchase

Post-purchase evaluation

Maslow's hierarchy of needs

Value definition (words)

the relationship between perceived benefits and perceived costs

Value definition (equation)

value = benefits - costs

Functional value

This type of value is what an offer does, it's the solution an offer provides to the customer.

Monetary value

This is where the function of the price paid is relative to an offering's perceived worth.

This value invites a trade-off between other values and monetary costs.

Social value

The extent to which owning a product or engaging in a service allows the consumer to connect with others.

Psychological value

The extent to which a product allows consumers to express themselves or feel better

"VALUE is ALWAYS defined through the 'eyes' of the ____________"

consumer

4 types of segmentation

Behavioral

Psychographic

Demographic

Geodemographic

Behavioral segmentation (purchase/product use)

Represents information about the audience's behavior—in terms of past purchase behavior or online search activity—in a particular product category or set of related categories.

Psychographics

Aspects of consumers' psychological makeup and lifestyles including their attitudes, values, and motivations.

Demographics

Measurable population characteristics such as age, income, and ethnicity

Geodemographics

Based on demographic characteristics of consumers who reside within geographic clusters such as ZIP code areas and neighborhoods

Positioning statement format

For [target market], [brand] is the [frame of reference] that [point of difference] because [reason to believe].

4 key components of advertising

Strategy

Media

Creative Idea

Creative Execution

Strategy component

The logic and planning behind the ad

Media component

Communication channels that reach a broad audience (how message is delivered)

Creative idea component

The central idea that grabs the consumer's attention

Creative execution

Effective ads adhere to the highest production values in the industry

Creative brief

the "blueprint," or guide, that links the advertising strategy with the execution of the ad campaign

Significance of creative brief

guides entire advertising strategy

4 sections in creative brief

Marketplace Situation

Direction for Proposed Creative

Long-Term Givens

Consumer Insights

What should be include in the Direction for Proposed Creative?

- Target Audience

- Communications Objective

- Reason to Believe

- Practical Considerations

Development of creative brief requires:

-A clear objective

-Brand knowledge

-Close cooperation between the brand team and the agency

-Willingness to listen to many different viewpoints

Communications pyramid

Message development components

Content

Structure

Design

Message effects

The appeal of a message and its construction.

Source effects

Characteristics of the person or character delivering a message

Types of message appeals/construction

Sex

Humor

Fear

Repetition

"YOU"

Expert/Spokesperson

Music

Nostalgia

Kids

Other elements of messages

Verbal, graphic, musical, animation, etc.

Source credibility - why do we choose celeb endorsers?

Ethical

Honest

Believable

Unbiased

Knowledgeable

Trustworthy

Skillful

Experienced

Considerations when choosing a celeb endorser

Match w/audience

Match w/product

Image

Cost

Trust

Risk

Familiarity

Likability

What is PR?

I. Earned Media

II. Strategy used to reach all of one's "publics"

III. Good PR is not free

IV. PR professionals must manage "crisis." ("Be the Queen/King of

Cool")

V. Manages perception

VI. ALL PR is good PR (in my opinion)

Tools of PR

I. Press Release - Has Headline & Sub-Headline

II. Media Alert

III. Media Kit

IV. Infographic

V. Press Conference

VI. Media Launch

VII. Red Carpets, Product Gifting, Event Sampling

VIII. Social Media & Content

Quiz1: In the HBS article, "How to Make Your Case in 30 Seconds or Less," in the space below, list at least two of the tips that the writer, Nick Wredon, shares will help make your pitch the most effective.

a. Know that the goal of a 30 second pitch is to peak curiosity and get a foot in the door for further communication.

b. Know your audience and tailor your pitch to them.

Quiz2: In the space below, please name any two "Godfathers" and/or "Godmothers" of the Advertising industry that were mentioned in class.

a. David Ogilvy "The Father of Modern Advertising" took the customer seriously and made the

creative work of advertising slightly more scientific in order to produce successful campaigns

that could be learned from.

b. Edward Bernays "The Father of Public Relations" shaped public relations through fine-tuning the press release, using surveys to understand consumers, and promoting endorsements as an

effective advertising tool

Quiz3. According to your class readings, client service is an "______." (Fill in the bank.)

Art

Quiz4. In the client service book by Robert Solomon, what are the three main components of the Client Service "Trust Relationship?"

a. Relationship

b. Great work

c. Trust

Quiz5. As an Account person at an agency and/or manager in a corporate environment, you want to

ALWAYS work to "_________" your clients' expectations. (Fill in the blank.)

manage

Quiz6. In preparing for your kick-off meeting/call with your clients, you want to always remember to first create an _________ for the meeting. (Fill in the blank.)

agenda

Quiz7. In Chapter 12 of the client service book, what does the author mean by as account people you must always "Live the Client's Brand?" (Please explain in the space below.)

"Living the client's brand" means putting yourself into the position of the client. It means understanding how the client operates, their language, their goals, their culture, and their motivations. It's living (or working) like you are a member of the client's brand, not a hired outside force. This helps you be quicker and more effective in your strategy, and can also help you win big accounts against larger competitors.

Quiz8a. List one major advertising "family" in the ad industry

Omnicom Group

Quiz8b. List one major "general market" advertising agency.

Ogilvy

Quiz 8c. List one major "multicultural" or niche advertising agency.

NeoSol (Hispanic target audience)

Quiz9. What does the acronym "IMC" stand for and what is its definition according to your textbook?

(Explain in the space below.)

IMC, or Integrated Marketing Communications, is he coordination of the promotional mix elements with each other and with the other elements of the brands' marketing mix such that all elements sing with one voice.

Quiz10A. What is the definition of Advertising? (Explain in the space below.)

Advertising is any paid form of non-personal communication of ideas, goods, or services by an

identified sponsor.

Quiz10B. What is the difference between "earned" media and "paid" media? (Explain in the space below.)

Earned media is public relations, while paid media is advertising. Earned media is not paid for while (aptly named) paid media is paid for by the advertiser.

Quiz11. Explain the meaning of "touch points" and "360-degree branding," especially in regard to Advertisers always wanting their brand to speak or "sing" with one voice.

Touch points are any message medium capable of reaching target customers and presenting the brand in a favorable light. 360-degree branding is surrounding present or prospective customers with the brand message at every possible opportunity and allowing them to use whatever information about the brand they deem most useful, this means maximizing touch points. Doing this will allow a brand to sing with one voice through many different means and if one channel doesn't resonate with the customer or prospective customer, there's a high likelihood another will, and the brand message will be effectively communicated.

Quiz12. According to your textbook, what is the definition of "brand equity?" (Explain in the space below.)

Brand equity is the goodwill that an established brand has built up over its existence, considered both from the perspective of the organization that owns a brand and from the vantage point of the customer.

Quiz13. In advertising, what is the purpose of creating a "positioning" statement for your product or service?(Explain in the space below.)

The entire creative platform for a brand is summarized into a single positioning statement, which

includes the most important idea that a brand is intended to stand for in consumers' minds while taking into account how competitors have positioned their brands. The positioning statement is the direction for the brand in which all the brand's creative will come from.

EC: According to the articles you have presented in class thus far, list the name of the media outlet and a writer from one of your articles.

Name of Writer:

Chris Kelly

Name of Media Outlet:

Marketing Dive