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Test 2 Study Guide

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by: Allison Notetaker

Test 2 Study Guide MKTG4025

Allison Notetaker

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About this Document

Covers chapters 6, 8, 9, 10, 11
Advertising Management
Sean Rugless
Study Guide
advertising management, Advertising, ad, Marketing, business, Study Guide
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"I had to miss class because of a doctors appointment and these notes were a LIFESAVER"
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This 5 page Study Guide was uploaded by Allison Notetaker on Friday February 26, 2016. The Study Guide belongs to MKTG4025 at University of Cincinnati taught by Sean Rugless in Spring 2016. Since its upload, it has received 53 views. For similar materials see Advertising Management in Marketing at University of Cincinnati.


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Date Created: 02/26/16
Advertising Test 2 Study Guide: Key Terms: • Chapter 6: Market Segmentation, Positioning, and the Value Proposition o Target segment – the subgroup of the larger market chosen as the focal point for the marketing program and advertising campaign o Positioning – the process of designing and representing one’s product or service so that it will occupy a distinct and valued place in the target consumer’s mind o Positioning strategy – involves the selection of key themes or concepts that the organization will feature when communicating this distinctiveness to the target segment o STP Marketing –segmenting, targeting, and positioning o Usage patterns and commitment levels: § Heavy users – users in a category that account for the majority of a product’s sales and therefore become the preferred or primary target segment § Nonusers – offer lowest level of opportunity § Brand-loyal users – asset of loyal to brand, difficult to convert if loyal to competitor § Switchers/Variety Seekers – fleeting, purchase dependent on cheapest price at the given time § Emergent consumers – first time buyers; offers opportunity § Point-of-entry marketing – developing advertising campaigns to win first time users o Demographic segmentation – segmenting based on age, gender, race, etc o Geodemographic segmentation - segmenting based on neighborhood/zipcode o Psychodemographics – form of research that emphasizes the understanding of consumers’ activities, interests, and opinions (AMO’s) o Lifestyle segmentation - segmenting based on consumer lifestyle, can be result from analyzing psychodemographics o Benefit segmentation – target segments are delineated by the various benefit packages that different consumers want from competing products and brands o Consumer markets – the markets for products and services purchased by individuals or households o Business markets – the institutional buyers who purchase items to be used in other products and services or to be resold to other businesses or households. o Competitive field – companies that compete for the segments business o Market niche – segment that is not profitable for more than one organization to serve it o Fundamental positioning themes: § Benefit positioning – distinctive customer benefit is featured § User positioning – takes specific profile of user as the focal point of the positioning strategy § Competitive positioning – uses an explicit reference to an existing competitor to help define precisely what your brand can do; good for more established brands with crowded competitive field (brand x vs brand y) o Repositioning – redeploying STP process to arrive at a revised positioning strategy in order to revive an ailing brand or fix lackluster performance of a new market entry o Value proposition – a statement of the functional, emotional, and self- expressive benefits delivered by the brand that provide value to customers in the target segment. A balanced brand proposition is the basis for brand choice and customer loyalty, and is critical to the ongoing success of a firm. • Chapter 8: Planning Advertising and IBP o Advertising plan – specifies the thinking, tasks, and timetable needed to conceive and implement an effective advertising effort o Situational analysis – current situation of market o Ethnocentrism – the tendency to view and value things from the perspective of one’s own culture o Self-reference criterion (SRC) – the unconscious reference to one’s own cultural values, experiences, and knowledge as a basis for decisions o Industry analysis – focuses on development and trends within an entire industry and on any other factors that it may make a difference in how an advertiser proceeds with their advertising plan o Market analysis – emphasizes the demand, examines the factors the drive and determine the market for the firm’s product or service o Competitor analysis –who the competitors are, what are their strengths, weaknesses, tendencies and any threats they pose o Advertising Objectives § Brand awareness –indicator of consumer knowledge about the existence of the brand and how easily that knowledge can be retrieved from memory § Top-of-the-mind awareness - represented by the brand listed first/first brand to come to mind when asked § Purchase intent – determined by asking consumers whether they intend to buy product/service in near future § Trial usage – encourage consumer to try brand; reflects actual consumer behavior and is commonly used as an advertising objective § Repeat purchase – aimed at percentage of customers who try a new product and then purchase it a second time § Brand switching – can be common or rare based on category; persuading customers to switch can be long and expensive process o Percentage-of-sales approach – calculates the advertising budget based on a percentage of the prior year’s sales or the projected year’s sales o Share of voice – advertising presence in the market that is equal or greater than the competitor’s share of advertising voice o Advertising response function – mathematical relationship that associates dollars spent on advertising and sales generated o Objective-and-ask approach –method of budget setting that focuses on the relationship between spending and advertising objectives o Build-up analysis – building up the expenditures levels for tasks § Reach, frequency, time frame, production costs, media expenditures, ancillary costs, integrating other promotional costs • Chapter 9: Managing Creativity in Advertising and IBP o Creativity – the ability to consider and hold together seemingly inconsistent elements and forces, making a new connection o Account executives (AEs) – the liaison between the agency and the client o Account team – bicycle wheel example/hub and spokes o Creative brief – document outlining the guidelines of ad development/creation o Cognitive style – the unique preferences of each person for thinking about and solving a problem o Creative abrasion – clash of ideas, and from which new ideas and breakthrough solutions can evolve o Interpersonal abrasion - clash of people, from which communication shuts down and new ideas get slaughtered o Brainstorming – an organized approach to idea generation in groups o 3P’s creativity framework- § People – Process – Place • Chapter 10: Creative Message Strategy o Unique Selling Proposition (USP) – a type of ad that strongly emphasizes a supposedly unique quality of the advertised brand o Comparison advertisements – another form of advertising designed to persuade the consumer o Testimonial – when an advocacy position is taken by a spokesperson in an advertisement o Infomercial – when an advertiser typically buys from 5 to 60 minutes of television time and runs an information/entertainment program that is really an extended advertisement • Chapter 11: Executing the Creative o Media planner – manages media used in ad o Account planner – consumer research o Creative team – people involved; includes copywriters, art directors, media planners, and account planners o Creative brief – outline of what needs to be done by team o Brandscapes – the total environment in which the brand is presented and displayed o Copywriting – the process of expressing the value and benefits a brand has to offer, via written or verbal descriptions o Headline- he leading sentence/s usually at the top or bottom of an advertisement that attracts attention, communicates a key selling point, or achieves brand identification o Subhead- few words or a short sentence that usually appears above or below the headline o Straight-line copy – explains in straight forward terms why a reader will benefit from the use of a brand o Dialogue – delivers the selling points of a message to the audience through character/s in the ad o Narrative – ta method preparing body copy that simply displays a series of statements about the brand o Direct response copy – tries to highlight the urgency of acting immediately o Slogan/tagline – a short phrase that is in part used to help establish an image, identity, or position for a brand or an organization, but its most often used to increase memorability of the key benefit of a brand • What to know: o Idea of segmentation: dividing world to develop o Position: formulating brand’s position in market, functional vs emotional benefits, o 7 points of an advertising plan: summary, budget, etc o Know people/players in campaign and what they do § Account Exec – client liaison § Creative Team o What document brings everything together? – Creative Brief o Different sectors to target for advertising § B2B, consumer groups, government (biggest purchaser) o Legislation, policies, truth in advertising o *STP – explain and be able to apply o *Advertising objectives o Copywriting – understand differences across the mediums


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