V53 top 10 questions ch. 18

TOP 10 Learning Questions for

Ch. 18 MANAGING MASS
COMMUNICATIONS: Mass
Advertising, Sales Promotions, Events
and Experiences, and Public Relations

Lenilynne Go
Dec. 17, 2010

lenilynnego.blogspot.comRBSD-
lenilynnego.blogspot.com
Marketing Department

Q1: Which of the following
statements is true?

A. The 5M’s of advertising are Mission, Money,
Message, Media and Measurement.
B. The 4M’s of advertising are Mission, Money, Message
and Media.
C. The 4M’s of advertising are Mission, Message, Media,
Masses.
D. The 5M’s of advertising are Mission, Message, Media,
Money, Masses.
E. The 5M’s of advertising are Mission, Message, Media,
Money, Mass Advertising.

The 5M’s of Advertising
MESSAGE
Message generation
Message evaluation and
selection
Message execution
MONEY Social responsibility
review
Factors to Consider:
MISSION Stage in PLC
MEASUREMENT
Market Share and Communications Impact
Sales goals
consumer base Sales Impact
Advertising Objectives
Competition and clutter
Advertising Frequency
Product Suitability
MEDIA
Reach, frequency,
impact
Major media types
Specific media vehicles
Media timing
Geographical media
allocation

*From Marketing Management, 13th Ed, Kotler et al.


The 5M’s of Advertising

These are 5 major decisions after managers identify
their target market and buyer motives.

 Mission : “What are our advertising objectives?”
 Money: “How much can we spend?”
 Message: “What message should we send?”
 Media: “What media should we use?”
 Measurement: “How should we evaluate the
results?”

Q2: Which of the following
statements is false?

A. Informative Advertising aims to create brand awareness and
knowledge of new products or new features of existing
products.
B. Persuasive Advertising aims to create liking, preference,
conviction and purchase of a product or service.
C. Reminder Advertising aims to stimulate repeat purchase of
products and services.
D. Reinforcement advertising aims to convince current purchasers
that they made the right choice.
E. Above are examples of mass communications objectives.


Advertising Objectives

 Defined as a goal that is a specific
communications task and achievement
level to be accomplished with a specific
audience in a specific period of time.
 Advertising objectives is classified
according to the aim of inform,
persuade, remind and reinforce.


Advertising
objectives/goals

 These are made after decisions on
target market, brand positioning and
marketing programs are established.
 It should emerge from a thorough
analysis of current market situation.
 For ex: if product is mature and brand
usage is low, the objective is to remind
customers to stimulate more usage.

Q3: Competition and clutter;
advertising frequency are
examples of _______.

A. Advertising elasticity
B. Reach
C. Factors to consider in setting budget
decisions
D. Market share and consumer base
E. Product substitutability


Factors in Setting Budget
Decisions

Stage in Product Life Cycle

• New products – merit large advertising budgets to build brand awareness
and gain consumer trial.
• Lower budgets for established brands.

Market share and consumer base

• Less advertising expenditure for high market brand share brands
• To build share by increasing market size requires larger expenditures

Competition and Clutter

• More advertising budget is needed in a market with a lot of competition
• Extraneous advertisements from non-direct competitors still affect need for
heavier advertising



Factors in Setting Budget
Decisions

Advertising Frequency

• Number of repetitions needed for the brand’s
message to be heard by consumers can
impact the budget on advertising

Product Substitutability

• Less differentiated industries like beer, soft
drinks etc. need more advertising to be heard.


Q4: In designing and evaluating an ad
campaign, advertisers develop
________ and ______.

A. Marketing strategy, advertising
strategy
B. Message strategy, creative strategy
C. Communications strategy, promotions
strategy
D. Campaign strategy, marketing strategy
E. Message strategy, promotions strategy

Developing the Advertising
Campaign

Positioning of the ad, WHAT the
Message ad attempts to convey about the
Strategy brand

Advertising
Campaign

Creative
How the ad expresses the brand
Strategy
claims


Developing the Advertising
Campaign ( 3 steps):
Message
Strategy Message Generation and Evaluation
Fresh insights are needed to avoid sameness with Prepare a creative brief after doing market research,
other brands. elaborate on positioning statement.

Creative
Strategy
Creative Development and Execution
TV is most powerful advertising medium, Print media
How the ad is says ca be decisive. Media forms
is for building user and usage imagery, Radio ad are
include TV, Print, and Radio.
inexpensive and can be localized.

Social-responsibility Review
Must follow legal and social norms Must be careful not to offend society


Q5: Media Planners consider their
media type choices based on:

A. Target audience and media habits
B. Product Characteristics
C. Message Characteristics
D. Cost
E. All of the above.


Media Selection

 Defined as finding the most cost-
effective media to deliver the desired
number and type of exposures to the
target audience.
 The types of exposures are:
REACH, FREQUENCY, IMPACT


Media Selection

 The types of exposures*:
1.) REACH : the number of different households
exposed to a particular media schedule at least
once during a specified time period
2.) FREQUENCY : the number of times within the
specified time period that an average person or
household is exposed to the message
3.) IMPACT : Qualitative value of a exposure
through a give medium


Variables for deciding the
Media
• Radio and TV • Depending on
are most product, media
is chosen on
effective which media ca
media for show it best.
teens. TARGET
AUDIENCE PRODUCT
AND CHARACT
MEDIA ERISTICS
HABITS

MESSAGE
COST CHARACT
ERISTICS
• What counts • Timeliness and
is cost per information
content is a
thousand factor in media
exposures. choice.


Q5: Media Planners consider their
media choices based on which
variables:

A. Target audience and media habits
B. Product Characteristics
C. Message Characteristics
D. Cost
E. All of the above.


Q6: Which of the following are
examples of traditional place
advertising?
A. Green marketing
B. Special Magazines
C. Public talks
D. Blogging
E. None of the above.


Media Types


Place Advertising*

 Place advertising is also called out of
home advertising; and is a broad
category including many creative and
unexpected forms to grab consumer’s
attention. The rationale is that
marketer’s are better off reaching
people where they work, play and shop.


Q6: Which of the following are
examples of traditional place
advertising?
A. Green marketing
B. Special Magazines
C. Public talks
D. Blog
E. None of the above.


Q7: In launching a product, the
advertiser must choose among
the following except:
A. Continuity
B. Concentration
C. Flighting
D. Buyer turnover
E. Pulsing


Deciding on Media Timing
and Allocation

 To be more effective, communication
objectives should depend on the nature
of the product, target customers,
distribution channels and other
marketing factors.
 The media schedule patterns are based
on continuity, concentration, flighting
and pulsing.

Media Schedule Patterns*
1.) Continuity – means exposures appear evenly throughout a
given period. For expanding market situations, with
frequently purchased items, and in tightly defined buyer
categories.
2.) Concentration – calls for spending all advertising budget
in a single period. This makes sense for products with one
selling season or related holiday.
3.) Flighting – calls for advertising for a period, followed by a
period of advertising and so on. For limited funding and
infrequent purchase cycle.
4.) Pulsing – continuous advertising at low-weight levels
reinforced periodically by waves of heavier activity.

Q8: The following are components of
a formula to measure sales impact of
advertising except:
A. Share of expenditure
B. Share of voice
C. Share of audience
D. Share of market
E. Share of heart and mind


Formula for Measuring Sales
Impact of Advertising

Shareof
Expenditures
• Budget of the company on advertising

• Proportion of company advertising of that
Share of
Voice product to all advertising of that product

• In consumer’s psyche which can result to
purchase of your product
Share of
mind and
heart

Share of • % of market using the company’s product
market


Formula for Measuring Sales
Impact of Advertising

 To know if the company is
overspending or underspending, the
formula guide is as follows:
 A company’s share of advertising
expenditures produces a share of voice,
that earns a share of consumer’s minds
and hearts, and ultimately, a share of the
market.*

Q9: Cebu Pacific introduced the “Piso
fares” to boost sales. What kind of sales
promotion tactic did they use?

A. Coupons
B. Price offs
C. Sales contests
D. Specialty advertising
E. Points of Purchase Display


Timing factors*
1.) Buyer turnover – rate at which new buyers enter the
market, the higher it is, the more continuous
advertising
2.) Purchase frequency – number of times during the
period that the average buyer buys the product, the
higher it is, the more continuous advertising should be
3.) Forgetting rate: the rate at which the buyer forgets
the brand, the higher the more continuous advertising
should be


Sales Promotion vs.
Advertising

 Sales promotion consists of incentive tools,
mostly short term and designed to stimulate
greater purchase.
 Advertising efficiency declined when more
brands increased.
 Nowadays, sales promotion becomes more
accepted by top management as an effective
sales tool.


Sales Promotion Tactics

Consumer Trade-
directed directed

Samples
Coupons Price-offs
A straight Cash Refund Allowances
Offers
discount off the Free goods
Price offs
list price on Sales contests
Premiums
each case Spiffs
Prizes
purchased
Patronage Trade shows
during a stated Rewards
time period. Specialty
Free trials advertising
Tie-in Promotions


Q9: Cebu Pacific introduced the “Piso
fares” to boost sales. What kind of sales
promotion tactic did they use?

A. Coupons
B. Price offs
C. Sales contests
D. Specialty advertising
E. Free trials


Q10: Pinoy Big Brother house contestants
consume C2 drinks and other URC
products. What is URC spending on?

A. TV advertising
B. Product placements
C. Events
D. Sponsorships
E. Public Relations


Types of Media

 TV Advertising – Paid form of
advertising through television
 Product placements – has expanded
from movies to TV shows, ex: Coca
Cola on American Idol
 Events – Conferences, seminars,
outings trade shows, exhibits arranged
by the company.

Types of Media

 Sponsorships – promotion of brands
through the sponsoring sports or
cultural events and other causes.
 Public Relations – main tools include
publications, events, news, speeches,
public service activities and identity
media.


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